| State law allows owners of self-service storage facilities to attach a lien to the property stored if a renter fails to pay the rent for a 30-day consecutive period. (38-21.5-101 et. seq., C.R.S.) |
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All storage facilities must post a visible notice in their office that states, "All articles stored by a rental agreement, and charges not having been paid for thirty days will be sold or otherwise disposed of to pay charges."
The rental agreement must also contain a notice stating that the owner may sell stored items if no payment has been made for a 30-day period. The rental agreement must also require that the renter disclose ALL lien holders with an interest in the property that is being stored.
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IF A DEFAULT OCCURS: - The storage facility owner must first determine if a financing statement concerning the property to be sold has been filed with the Secretary of State's Uniform Commercial Code Section (U.C.C., 303-894-2200).
Link: http://www.sos.state.co.us/pubs/business/faq_ucc.htm
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ENFORCEMENT OF LIENS: - Can only take place when a renter has been in default for a 30-day period.
- The owner must then give notice to the occupant/renter IN WRITING and may be delivered in person or by certified mail to the last known address of the renter. A copy of this notice must also be sent to the Sheriff's Office in the county where the storage facility is located. All other lien holders who may also have an interest in the property must also be notified.
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| THE NOTICE MUST INCLUDE: - An itemized statement of the owner's claim and total amount owed. - A brief description of the property. - A demand for payment within a minimum 15-day period. - A statement that unless the claim is paid within the time stated in the notice, the property will be sold. |
| IF THE CLAIM IS NOT PAID WITHIN THE SPECIFIED PERIOD OF TIME: -The owner must advertise the sale or disposition in a newspaper of general circulation in the county where the storage facility is located, once a week for two consecutive weeks. |
| THE ADVERTISEMENT MUST INCLUDE: - A brief description of the property. - The address of the facility and space number where the property is stored. - The time, date and place of the sale (not less than 15 days after the first advertisement). |
