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Overhaul of Iowa Storage Lien Law Goes Into Effect on July 1, 2019

The Iowa legislature recently passed a significant overhaul of the state's lien law . The overhaul adopts all of SSA's legislative priorities, including: allowing lien notices to be sent exclusively by verified mail or email; expressly allowing online lien sales; providing for alternatives to newspaper advertising of lien sales; providing for simplified vehicle towing; setting a late fee safe harbor of $20 or 20 percent, whichever is greater; and recognizing contractual limitations on the value of stored property.

Notably, in light of the recent floods in Iowa, the new law requires operators to disclose in the rental agreement if the facility is in a special flood hazard area as defined by FEMA. Operators should promptly review the new law, because you will need to revise your existing rental agreements to maximize the benefits. The law goes into effect on July 1, 2019. Please email Joe Doherty with any questions.