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| Public Act 094-0211 |
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AN ACT concerning warehouses.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Grain Code is amended by changing Section | ||||
10-25 as follows:
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(240 ILCS 40/10-25)
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Sec. 10-25. Warehouse receipts and storage of grain.
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(a) When grain is delivered to a warehouseman at a location
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where grain is also purchased, the licensee shall give written
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evidence of delivery of grain and that written evidence shall | ||||
be
marked to indicate whether the grain is delivered for | ||||
storage or
for sale. In the absence of adequate evidence of | ||||
sale, the grain
shall be construed to be in storage.
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(b) Upon demand by a depositor, a warehouseman shall
issue | ||||
warehouse receipts for grain delivered into storage.
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(c) There shall be no charge for the first warehouse
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receipt issued to a depositor for a given lot of grain.
Charges | ||||
for any additional warehouse receipts for grain
previously | ||||
covered by a warehouse receipt must be commensurate
with the | ||||
cost of issuance of the additional warehouse receipt.
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(d) A warehouseman shall issue warehouse receipts only in
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accordance with the following requirements:
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(1) Warehouse receipts shall be consecutively numbered | ||||
in a form
prescribed
by the Department and issued | ||||
consecutively by the warehouseman.
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(2) In the case of a lost or destroyed warehouse
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receipt, the new warehouse receipt shall bear the same date | ||||
as
the original and shall be plainly marked on its face
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"duplicate in lieu of lost or destroyed warehouse receipt
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number .......", and the warehouseman shall duly fill in
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the blank with the appropriate warehouse receipt number.
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(3) Warehouse receipts shall be printed by a person | ||||
authorized by the Department.
The person shall register | ||
with the Department and pay an annual registration
fee of | ||
$100 to print warehouse receipts.
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(4) Negotiable warehouse receipts shall be issued only
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for grain actually in storage with the warehouseman from | ||
which
it is issued or redeposited by that warehouseman as | ||
provided in subsection (e)
of Section 10-20.
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(5) A warehouseman shall not insert in any negotiable
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warehouse receipt issued by it any language that in any way
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limits or modifies its liability or responsibility.
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(e) Upon delivery of grain covered by a negotiable | ||
warehouse
receipt, the holder of the negotiable warehouse | ||
receipt must
surrender the warehouse receipt for cancellation, | ||
and a warehouseman must
cancel
and issue a new negotiable | ||
warehouse receipt for the balance of
grain in storage.
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(f) When all grain, the storage of which is evidenced by a
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warehouse receipt, is delivered from storage, the warehouse | ||
receipt
shall be plainly marked across its face with the word | ||
"cancelled"
and shall have written on it the date of | ||
cancellation, the name
of the person canceling the warehouse | ||
receipt, and such other information as
required by rule, and is | ||
thereafter void.
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(g) When a warehouseman delivers grain out of storage but
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fails to collect and cancel the negotiable warehouse receipt, | ||
the warehouseman
shall be liable to any purchaser of the | ||
negotiable warehouse receipt for value
in good
faith
for | ||
failure to deliver the grain to the
purchaser, whether the | ||
purchaser acquired the negotiable warehouse receipt
before or | ||
after the delivery of the grain by the warehouseman.
If, | ||
however, grain has been lawfully sold by a warehouseman to
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satisfy its warehouseman's lien, the warehouseman shall not be
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liable for failure to deliver the grain pursuant to the demands | ||
of
a holder of a negotiable warehouse receipt to the extent of | ||
the amount of
grain sold.
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(h) Except as otherwise provided by this Code or other
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applicable law, a warehouseman shall deliver the grain upon | ||
demand
made by the holder of a warehouse receipt pertaining to | ||
that grain if the
demand is
accompanied by:
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(1) satisfaction of the warehouseman's lien;
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(2) in the case of a negotiable warehouse receipt, a
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properly endorsed negotiable warehouse receipt; or
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(3) in the case of a non-negotiable warehouse receipt,
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written evidence that the grain was delivered to the
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warehouseman and that the depositor is entitled to it.
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(i) If no warehouse receipt is issued to a
depositor, a | ||
warehouseman shall deliver grain upon the demand of a
depositor | ||
if the demand is accompanied by satisfaction of the
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warehouseman's lien and written evidence that the grain was
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delivered to the warehouseman and the depositor is entitled to
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it.
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(j) If a warehouseman refuses or fails to deliver grain in
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compliance with a demand by a holder of a warehouse receipt or | ||
a
depositor, the burden is on the warehouseman to establish
the | ||
existence of a lawful excuse for the refusal.
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(k) If a warehouse receipt has been lost or destroyed, a
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warehouseman may issue a substitute warehouse receipt, as | ||
provided
for in this Section, upon delivery to the warehouseman | ||
of an
affidavit under oath stating that the applicant for the | ||
substitute
warehouse receipt is entitled to the original | ||
warehouse receipt and
setting forth the circumstances that | ||
resulted in the loss or
destruction of the original warehouse | ||
receipt. The warehouseman
may request from the depositor a bond | ||
in double the value of the
grain represented by the original | ||
warehouse receipt at the time of
issuance of the substitute | ||
warehouse receipt so as to protect the
warehouseman from any | ||
liability or expense that it, or any person
injured by the | ||
delivery, may incur by reason of the original
warehouse receipt | ||
remaining outstanding.
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(l) A warehouse receipt that is to be used for collateral
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purposes by a warehouseman must be first issued by the | ||
warehouseman
to itself.
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(m) The Department shall approve temporary storage space in
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an amount to be determined by the Department if all the | ||
following conditions
are met:
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(1) The warehouseman pays all fees and assessments
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associated with the temporary storage space.
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(2) The warehouseman demonstrates that there is a need
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for additional storage on a temporary basis due to a bumper
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crop or otherwise.
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(3) The structure for the storage of grain meets all of
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the following requirements:
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(A) The grain storage area has a permanent base
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made of concrete, asphalt, or a material having similar
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structural qualities.
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(B) Hot spot detectors, aeration fans, and ducts
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are provided to assure that the quality of grain in
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storage is maintained.
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(C) The grain storage structure has rigid
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sidewalls made of concrete, wood, metal, or a material
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having similar structural qualities.
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(D) The grain storage structure is equipped with
a | ||
waterproof covering of sufficient strength to support
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a person's weight and with inlets to allow airflow.
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(E) Access to the grain is provided for the
purpose | ||
of sampling and making examinations.
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(4) Temporary storage space shall be considered an | ||
increase
in the licensed storage capacity of the licensee | ||
and shall be
subject to Section 5-30.
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(5) The authorization to use temporary storage space | ||
for the
storage of grain shall expire at the end of 6 | ||
months after the
date of approval by the Department or May | ||
15th, whichever comes
first.
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(n) The Department may approve emergency storage space at | ||
the request of the
licensee according to rule. | ||
(o) The issuance and transfer of the warehouse receipts in | ||
electronic form pursuant to rules promulgated by the Department | ||
are specifically authorized by this Code, and any such | ||
warehouse receipts shall have the same validity and | ||
enforceability, for all purposes, as those in non-electrical | ||
form. For purposes of this Code, the words "written" and | ||
"printed", and derivatives thereof, when used in relation to | ||
warehouse receipts, shall include warehouse receipts created | ||
or displayed electronically.
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(Source: P.A. 91-213, eff. 7-20-99.)
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Section 99. Effective date. This Act takes effect upon | ||
becoming law.
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