A warehouse receipt must embody within its terms: (a) The location of the warehouse where the goods are stored; (b) the date of the issue of the receipt ; (c) the consecutive number of the receipt ; (d) a statement whether the goods received will be delivered to the bearer, to a specified person, or to a specified person or his order; (e) the rate of storage . charges ; (f) a description of the goods or of the packages containing them ; (g) the signature of the warehouseman; (h) if the receipt is issued for goods of which the warehouseman is owner, either solely or jointly, or in common with others, the fact of such ownership ; and (1) a statement of advances made and of liabilities incurred for which the warehouseman claims a lien. If the precise amount of such advances made or such liabilities incurred is, at the time of the issue of the receipt, unknown to the ware houseman or to his agent who issues it, a statement of the fact that advances have been made or liabilities incurred, and the purpose thereof, is sufficient. A warehouse man shall be liable for all damage caused by the omission from a receipt of any of the terms.
Receipts are negotiable or non-negotiable, the latter when it is stated that the goods re ceived will be delivered to the depositor or any other specified person ; and it shall have plainly placed on its face "non-negotiable" or "not negotiable." Such words, however, if placed on a negotiable receipt, shall be of no effect.
The warehouseman is obliged to deliver the goods upon a demand made by the holder of the receipt or by the depositor, if accompanied with (a) an offer to satisfy the warehouse man's lien, (b) to surrender the receipt prop erly indorsed, (c) and to give, when the goods are delivered, an acknowledgment that they have been delivered.
He may deliver the goods (a) to the person entitled to delivery by the terms of a non negotiable receipt, (b) or to the holder of a negotiable receipt, if properly indorsed or if the goods 'are deliverable to bearer ; but if the warehouseman had knowledge that de livery about to be made was to one not law fully entitled to the possession of the goods, then he will be liable as for conversion if he so delivers them.
Negotiable receipts must be cancelled when the goods are delivered ; when part only of the goods have been delivered, they must be cancelled (and a new receipt issued) or mark ed. The alteration of a receipt shall not ex cuse the warehouseman who issued it from any liability if such alteration was immate rial, authorized, or made without fraudulent intent, but he shall be liable according to the terms of the receipt as originally issued.
Where a negotiable receipt has been lost or destroyed, a court may order delivery of the goods upon satisfactory proof and the giving of a bond, but the delivery shall not relieve the warehouseman from liability to the hold er of the receipt, for value and without no tice of the delivery. A warehouseman can
not set up title in himself, and if more than one person claims title, he may require all known claimants to interplead. The ware houseman has reasonable time to determine the validity of claims.
He is liable for non-existence of goods, or misdescription, unless the goods are described in a receipt merely by a statement of marks or labels upon them, or upon packages con taining them, and such statements are true.
As a rule, goods must be kept separate, but fungible goods may be commingled if the warehouseman is authorized by agree ment or custom.
In case of negotiable receipts, the creditor's remedies are to reach the receipts.
The warehouseman has a lien for storage and preservation of the goods, for all lawful claims for money advanced, interest, insur ance, transportation, labor, weighing, cooper age, and also all reasonable charges for no tice and advertisements, of sale, and for the sale of goods where default has been made in satisfying the warehouseman's lien. The lien may be lost by a- surrender of the goods or by refusing to deliver when a proper ten der has been made. In case of a negotiable receipt, it must state on its face charges for which lien is claimed. The goods need not be delivered until the lien is satisfied. The lien does not preclude the other remedies to which a warehouseman, as a creditor, is en titled. The lien may be satisfied, by giving notice with a brief description of the goods, with the demand and statement that unless claims be paid within a specified time the goods will be advertised for sale and sold by auction at a specified time and place. After a sale, the warehouseman shall not be liable for failure to deliver the goods.
Receipts may be negotiated the same as bills of lading.
See BILLS OF LADINO; WARRANTY ; NEGOTIA BLE INSTRUMENTS.
This act substantially follows the common law (except perhaps in broadening negotia bility) and its rules are largely in force in states which have not enacted it.
The issue of a receipt for goods not receiv ed ; or containing false statements ; or the is sue of duplicate receipts not so marked ; or the issue for warehouseman's goods of re ceipts which do not state that fact; or the delivery of the goods without surrender of the negotiable receipt ; or the depositing of goods by one who has no title and taking a negotiable receipt which he negotiates ; all of these acts are criminal offenses and pun ishable as such.
Under the Illinois constitution, which de clares all elevators where grain is stored for a compensation to be "public warehouses," the owners of elevator companies were en joined from mixing their own grain with other grain stored in their elevators; Han nah v. People, 198 Ill. 77, 64 N. E. 776.
See LIEN ; BILL OF LADING ; RATES ; IM