Skip to main content Skip to office menu Skip to footer
Minnesota Legislature

Office of the Revisor of Statutes

Key: (1) language to be deleted (2) new language

                            CHAPTER 110-S.F.No. 1041 
                  An act relating to agriculture; changing and 
                  clarifying provisions of the warehouse law; amending 
                  Minnesota Statutes 1998, sections 231.01; 231.04; 
                  231.08; 231.09; 231.11; 231.12; 231.13; 231.14; 
                  231.15; 231.16; 231.17; 231.18, subdivisions 1 and 6; 
                  231.24; 231.28; 231.34; 231.36; 231.37; 231.38; and 
                  231.39; proposing coding for new law in Minnesota 
                  Statutes, chapter 231; repealing Minnesota Statutes 
                  1998, sections 231.02; 231.03; 231.05; 231.06; 231.07; 
                  231.10; 231.15; and 231.35. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1998, section 231.01, is 
        amended to read: 
           231.01 [DEFINITIONS.] 
           Subdivision 1.  [DEPARTMENT SCOPE.] The word "department," 
        as used in this chapter, means the Minnesota state department of 
        agriculture.  The definitions in this section apply to this 
        chapter. 
           Subd. 2.  [COMMISSIONER.] The term "Commissioner," as used 
        in this chapter, means the commissioner of agriculture. 
           Subd. 3.  [PERSON COMPENSATION.] The term "person," as used 
        in this chapter, includes any individual, firm, or 
        copartnership.  "Compensation" means any remuneration, 
        recompense, indemnification, requital, or satisfaction assessed, 
        collected, or received for the storage or warehousing of goods, 
        wares, or merchandise of another by a warehouse operator. 
           Subd. 4.  [CORPORATION.] The term "Corporation," as used in 
        this chapter, includes any corporation, company, association, 
        joint stock company, or association.  
           Subd. 5.  [WAREHOUSE OPERATOR DEPARTMENT.] The term 
        "warehouse operator," as used in this chapter, means and 
        includes every corporation, company, association, joint stock 
        company or association, firm, partnership, or individual, their 
        trustees, assignees, or receivers appointed by any court, 
        controlling, operating, or managing within this state directly 
        or indirectly, any building or structure, or any part thereof, 
        or any buildings or structures, or any other property, and using 
        the same for the storage or warehousing of goods, wares, or 
        merchandise for compensation, or who shall hold itself out as 
        being in the storage or warehouse business, or as offering 
        storage or warehouse facilities, or advertise for, solicit or 
        accept goods, wares, or merchandise for storage for 
        compensation, but shall not include persons, corporations, or 
        other parties operating storage facilities containing minerals, 
        ores, or rock products such as, but not limited to, aggregates, 
        clays, railroad ballast, iron ore, copper ore, nickel ore, 
        limestone, coal, and salt or operating grain or cold storage 
        warehouses, or storing on a seasonal basis boats, boating 
        accessories, recreational vehicles or recreational equipment or 
        facilities in which the party storing goods rents and occupies 
        space as a tenant and the entire risk of loss is with the tenant 
        pursuant to written contract between the landlord and tenant.  
        "Department" means the department of agriculture. 
           Subd. 6.  [SERVICE HOUSEHOLD GOODS.] The term "service," as 
        used in this chapter, is used in its broadest sense and includes 
        not only the use and occupancy of space for storage purposes, 
        but also any labor expended, and the use of any equipment, 
        apparatus, and appliances or any drayage or other facilities, 
        employed, furnished, or used in connection with the storage of 
        goods, wares, and merchandise, subject to the provisions of this 
        chapter.  "Household goods" means: 
           (1) personal effects and property used or to be used in a 
        dwelling if it is part of the equipment or supply of the 
        dwelling; 
           (2) furniture, fixtures, equipment, and the property of 
        business places and institutions, public or private, when a part 
        of the stock, equipment, supplies, or property of such 
        establishments.  It does not mean the storage of property of a 
        business concern in the usual course of its business activities; 
           (3) articles which, because of their unusual nature or 
        value, require specialized handling and equipment customarily 
        employed in moving household goods. 
           Subd. 7.  [RATE HOUSEHOLD GOODS WAREHOUSE OPERATOR.] The 
        term "rate," as used in this chapter, includes every individual 
        or joint rate, charge, or other compensation of every warehouse 
        operator, either for storage or for any other service furnished 
        in connection therewith, or any two or more such individual or 
        joint rates, charges, or other compensations of any warehouse 
        operator, or any schedule or tariff thereof, and any rule, 
        regulation, charge, practice, or contract relating thereto.  
        "Household goods warehouse operator" means an individual, 
        corporation, partnership, or any other business association or 
        their trustees, assignees, or receivers appointed by a court who 
        control, operate, or manage, directly or indirectly, a building 
        or structure or any part of a building or structure in this 
        state used for the storage or warehousing of household goods for 
        compensation.  "Household goods warehouse operator" does not 
        include persons, corporations, or other parties operating 
        storage facilities for storage on a seasonal basis of boats, 
        boating accessories, recreational vehicles, or recreational 
        equipment, or facilities in which the party storing goods rents 
        and occupies space as a tenant and the entire risk of loss is 
        with the tenant pursuant to written contract between the 
        landlord and tenant. 
           Subd. 8.  [COMPENSATION RATE.] The term "compensation," as 
        used in this chapter, means any remuneration, recompense, 
        indemnification, requital, or satisfaction assessed, collected, 
        or received for the storage or warehousing of goods, wares, or 
        merchandise of another by a warehouse operator.  "Rate" includes 
        every individual or joint rate, charge, or other compensation of 
        a household goods warehouse operator, either for storage or for 
        any other service furnished in connection with storage; any 
        schedule or tariff of rates, charges, or compensation of a 
        household goods warehouse operator; and any rule, regulation, 
        charge, practice, or contract relating to the rates, charges, or 
        compensation. 
           Subd. 9.  [HOUSEHOLD GOODS SERVICE.] "Household goods" 
        means: 
           (a) personal effects and property used or to be used in a 
        dwelling if it is part of the equipment or supply of the 
        dwelling; 
           (b) furniture, fixtures, equipment, and the property of 
        business places and institutions, public or private, when a part 
        of the stock, equipment, supplies, or property of such 
        establishments.  It does not mean the storage of property of a 
        business concern in the usual course of its business activities; 
           (c) articles which, because of their unusual nature or 
        value, require specialized handling and equipment customarily 
        employed in moving household goods. "Service" is used in its 
        broadest sense and includes not only the use and occupancy of 
        space for storage purposes, but also any labor expended, and the 
        use of any equipment, apparatus, and appliances or any drayage 
        or other facilities employed, furnished, or used in connection 
        with the storage of goods, wares, and merchandise subject to 
        this chapter.  
           Subd. 10.  [WAREHOUSE OPERATOR.] "Warehouse operator" means 
        a corporation, company, association, joint stock company or 
        association, firm, partnership, or individual and their 
        trustees, assignees, or receivers appointed by any court, that 
        directly or indirectly controls, operates, or manages within 
        this state one or more buildings or structures, any part thereof 
        of a building or structure, or any other property which is used 
        for the storage or warehousing of goods, wares, business or 
        other records, or merchandise for compensation, or who holds 
        itself out as being in the storage or warehouse business or as 
        offering storage or warehouse facilities, or who advertises for, 
        solicits, or accepts goods, wares, business or other records, or 
        merchandise for storage for compensation.  "Warehouse operator" 
        does not include household goods warehouse operators or persons, 
        corporations, or other parties operating storage facilities 
        containing minerals, ores, or rock products such as, but not 
        limited to, aggregates, clays, railroad ballast, iron ore, 
        steel, aluminum, copper ore, nickel ore, limestone, coal, and 
        salt or operating grain warehouses, or storing on a seasonal 
        basis boats, boating accessories, recreational vehicles, or 
        recreational equipment or facilities in which the party storing 
        goods rents and occupies space as a tenant and the entire risk 
        of loss is with the tenant pursuant to written contract between 
        the landlord and tenant or provided by a railroad or common 
        carrier. 
           Sec. 2.  [231.035] [INSPECTION AUTHORITY.] 
           The commissioner or the commissioner's designee may, upon 
        presentation of appropriate credentials and during regular 
        working hours or at other reasonable times, inspect premises 
        including equipment and stored goods subject to and for reasons 
        relating to the commissioner's enforcement and licensing 
        authority; request information from persons with information 
        relevant to an inspection; and inspect relevant papers and 
        records relating to the storage of goods. 
           Sec. 3.  Minnesota Statutes 1998, section 231.04, is 
        amended to read: 
           231.04 [DEPARTMENT TO ENFORCE WAREHOUSE LAW.] 
           It is hereby made a duty of The department to shall see 
        that the provisions of the constitution and the statutes of this 
        state affecting warehouse operators or household goods warehouse 
        operators, the enforcement of which is not specifically vested 
        in some other officer or tribunal, are enforced and obeyed, that 
        violations thereof are promptly prosecuted, and that penalties 
        due the state therefor are recovered and collected; and, to this 
        end, it may sue in the name of the state.  
           Sec. 4.  Minnesota Statutes 1998, section 231.08, is 
        amended to read: 
           231.08 [WHAT IS REQUIRED OF WAREHOUSE OPERATORS AND 
        HOUSEHOLD GOODS WAREHOUSE OPERATORS.] 
           Subdivision 1.  [TO FURNISH INFORMATION.] Every warehouse 
        operator and household goods warehouse operator shall furnish 
        all information required by the department to carry into effect 
        the provisions of administer this chapter and make specific 
        answers to all questions submitted by the department, under 
        oath; and if such.  A warehouse operator or household goods 
        warehouse operator which is a corporation, it shall answer under 
        the oath of one of its duly authorized officers. 
           Every A warehouse operator or household goods warehouse 
        operator shall obey and comply with each and every requirement 
        of every order, decision, direction, or rule made or prescribed 
        by the department in the matters specified in this chapter; and 
        do everything necessary or proper to secure the compliance with 
        and the observance of the same, by all its officers, agents, and 
        employees. 
           Subd. 2.  [RIGHTS NOT LIMITED.] Nothing in this chapter 
        shall be construed as limiting the rights of any warehouse 
        operator or household goods warehouse operator to lease or let 
        for any storage purpose any floor portion of a building or any 
        portion thereof.  Any warehouse operator who so leases any 
        portion or portions of a warehouse shall first file with the 
        department a schedule showing the rates for such spaces and the 
        monthly rental per square foot or per cubic foot. 
           Sec. 5.  Minnesota Statutes 1998, section 231.09, is 
        amended to read: 
           231.09 [OBLIGATION TO ISSUE UNIFORM RECEIPTS.] 
           Every A warehouse operator receiving goods in store shall 
        issue for all such the goods a receipt embodying the terms of 
        such receipts as authorized by article 7 of the Uniform 
        Commercial Code.  Receipts or records of storage in electronic 
        form are acceptable. 
           Sec. 6.  Minnesota Statutes 1998, section 231.11, is 
        amended to read: 
           231.11 [SCHEDULE OF RATES; STORING HOUSEHOLD GOODS.] 
           In order to insure ensure nondiscriminatory rates and 
        charges for all depositors of household goods, the commissioner 
        shall establish a collective rate-making procedure which 
        will insure ensure the publication and maintenance of just and 
        reasonable rates and charges under uniform, reasonably related 
        rate structures.  These procedures shall must provide for the 
        joint consideration, initiation, and establishment of rates and 
        charges, and shall assure ensure that the respective revenues 
        and expenses of household goods warehouse operators engaged in 
        warehouse services for household goods are ascertained.  Any 
        participating household goods warehouse operator party to a 
        collectively mandated rate or charge has the right to petition 
        the commissioner for the establishment of a rate or charge which 
        deviates from the collectively set rate.  Upon receiving the 
        commissioner's approval, that household goods warehouse operator 
        may proceed to establish the requested rate or charge.  
        All household goods warehouse operators subject to rate 
        regulation under this chapter must comply with the 
        commissioner's rate-making procedures.  No household goods 
        warehouse operator shall undertake to perform any service or 
        store any household goods until a schedule of rates has been 
        filed and published in accordance with this chapter.  In case of 
        emergency, however, a service or storage not specifically 
        covered by the schedules filed, may be performed or furnished at 
        a reasonable rate, which must then be promptly filed, and which 
        is subject to review in accordance with this chapter.  
           Sec. 7.  Minnesota Statutes 1998, section 231.12, is 
        amended to read: 
           231.12 [CHANGE OF RATES; STORING HOUSEHOLD GOODS.] 
           Unless the department otherwise orders, no household goods 
        warehouse operator storing household goods may change any rate 
        except after ten days' notice to the department and to the 
        public pursuant to this section.  Notice shall must be given by 
        filing with the department and keeping open for public 
        inspection new schedules or supplements stating plainly the 
        changes to be made in the schedules then in force and the time 
        when the changes will go into effect.  The department for good 
        cause shown, may, after hearing, allow changes without requiring 
        the ten days' notice by an order specifying the changes to be 
        made, the time when they shall take effect, and the manner in 
        which they shall be filed and published.  
           Sec. 8.  Minnesota Statutes 1998, section 231.13, is 
        amended to read: 
           231.13 [CHARGING MORE OR LESS THAN THE PUBLISHED RATE; 
        STORING HOUSEHOLD GOODS.] 
           Except as specified in sections 231.11 and 231.12, no 
        household goods warehouse operator storing household goods shall 
        have, demand, collect, or receive, a greater or less or 
        different compensation for any service rendered or for storing 
        any household goods than the rates applicable to such that 
        service or storage, as specified in the schedules of rates on 
        file with the commissioner and in effect at the time.  
           When If a household goods warehouse operator shall have 
        has had household goods in store for such a period so long that 
        the storage charges thereon accumulated on them are more than 
        such the household goods would bring at a forced sale, the 
        department, upon written application and proof thereof, may 
        authorize such the household goods warehouse operator to 
        compromise such the charges for a sum not less than the amount 
        which such the household goods would bring at such a forced 
        sale.  
           Sec. 9.  Minnesota Statutes 1998, section 231.14, is 
        amended to read: 
           231.14 [DISCRIMINATION IN RATES; STORING HOUSEHOLD GOODS.] 
           Except as herein otherwise specified, no household goods 
        warehouse operator storing household goods, or any officer, 
        agent, or employee thereof, shall, directly or indirectly, by 
        remittance, rebate, or any device, inducement, or other means, 
        suffer or permit any corporation or person to obtain any 
        service, or the storage of any household goods at less than the 
        rates then established and in force as shown by the schedule of 
        rates filed and in effect at the time.  No person or corporation 
        shall, directly or indirectly, by any device, inducement, or 
        means, either with or without the consent or connivance of 
        a household goods warehouse operator storing household goods, or 
        any of the officers, agents, or employees thereof, obtain, or 
        seek to obtain, any service, or the storage of any household 
        goods at less than the rates then established and in force 
        therefor.  Any household goods warehouse operator storing 
        household goods, or the officers, agents, or employees thereof, 
        or any person acting for or employed by it, or transacting 
        business with it, or any other person, who shall violate any 
        provision of violates this section, shall be is guilty of a 
        gross misdemeanor; and is, upon conviction, subject to 
        imprisonment not exceeding one year or to a fine not exceeding 
        $3,000, or both.  
           Sec. 10.  Minnesota Statutes 1998, section 231.15, is 
        amended to read: 
           231.15 [DEPARTMENT TO FIX RATES AND RULES; STORAGE OF 
        HOUSEHOLD GOODS.] 
           When If the department after a hearing upon its own motion, 
        or upon complaint finds that the rates demanded, observed, 
        charged, or collected by any warehouse operator a household 
        goods warehouse operator for or in connection with any service 
        or storage of goods, wares, or merchandise, or in connection 
        with such service or storage, are unjust, unreasonable, 
        discriminatory, preferential, or in any wise in violation of any 
        provision of law otherwise illegal, the department shall 
        determine the just and reasonable rates to be thereafter 
        effective and in force in such for that household goods 
        warehouse operator and fix the same rates by an order, which 
        shall determine when such the rates shall go into effect.  
        Before making any an order is issued under the provisions of 
        this section, the household goods warehouse operator shall have 
        an opportunity to be heard upon reasonable notice to be 
        determined by the department.  
           Sec. 11.  Minnesota Statutes 1998, section 231.16, is 
        amended to read: 
           231.16 [WAREHOUSE OPERATOR OR HOUSEHOLD GOODS WAREHOUSE 
        OPERATOR TO OBTAIN LICENSE.] 
           Every person desiring to engage in the business of A 
        warehouse operator, before engaging therein, shall or household 
        goods warehouse operator must be licensed annually by, and shall 
        be under the supervision and subject to the inspection of, the 
        department.  The department shall prescribe the form of the 
        written application.  in the form prescribed by the department 
        shall be made to the department for license, specifying the city 
        in which it is proposed to carry on the business of warehousing, 
        the location, size, character, and equipment of the buildings or 
        premises to be used by the warehouse operator, the kind of 
        goods, wares, and merchandise intended to be stored therein, the 
        name of the person or corporation operating the same, and of 
        each member of the firm or officer of the corporation, and any 
        other facts necessary to satisfy the department that the 
        property proposed to be used is suitable for warehouse purposes 
        and that the warehouse operator making the application is 
        qualified to carry on the business of warehousing.  Should If 
        the department decide that the building or other property 
        proposed to be used as a warehouse is suitable for the proposed 
        purpose and that the applicants are entitled to a license, 
        notice of the decision shall be given the interested parties 
        and, upon the applicants filing approves the license application 
        and the applicant files with the department the necessary 
        bond, in the case of household goods warehouse operators, or 
        proof of warehouse operators legal liability insurance coverage 
        in an amount of $50,000 or more, as provided for in this 
        chapter, the department shall issue the license provided for, 
        upon payment of the license fee, as required in this section 
        provided.  A warehouse operator or household goods warehouse 
        operator to whom a license is issued shall pay for the license a 
        fee based on the storage capacity of the warehouse as follows:  
                       Storage capacity in square feet 
               Building square footage used for public storage 
                    (1) 5,000 or less               $ 80     
                    (2) 5,001 to 10,000             $155 
                    (3) 10,001 to 20,000            $250 
                    (4) 20,001 to 100,000           $315     
                    (5) 100,001 to 200,000          $410 
                    (6) over 200,000                $470 
           Fees collected under this chapter shall must be paid into 
        the grain buyers and storage fund established in section 232.22. 
           The license shall must be renewed annually on or before 
        July 1, and always upon payment of the full license fee, as 
        provided for required in this section for such renewal; and.  No 
        license shall be issued for any portion of a year for less than 
        the full amount of the license fee, as provided for required in 
        this section.  Each license obtained under this chapter shall 
        must be publicly displayed in the main office of the place of 
        business of the warehouse operator or household goods warehouse 
        operator to whom it is issued.  The license shall authorize 
        authorizes the warehouse operator or household goods warehouse 
        operator to carry on the business of warehousing only in the one 
        city or town named in the application and in the buildings 
        therein described.  The department, without requiring an 
        additional bond and license, may issue permits from time to time 
        to any warehouse operator already duly licensed under the 
        provisions of this chapter to operate an additional warehouse in 
        the same city or town for which the original license was issued 
        during the term thereof, upon the filing an application for a 
        permit in the form prescribed by the department. 
           A license may be refused for good cause shown and revoked 
        by the department for violation of law or of any rule adopted by 
        it prescribed the department, upon notice and after hearing. 
           Sec. 12.  Minnesota Statutes 1998, section 231.17, is 
        amended to read: 
           231.17 [BONDS OF WAREHOUSE OPERATORS; LEGAL LIABILITY 
        INSURANCE.] 
           Every warehouse operator applying for and receiving a 
        license from the department, as provided for in under this 
        chapter, shall file with the department, acceptable to the 
        department, a surety bond to the state of Minnesota.  Such Bonds 
        shall must be in an the amount to be determined by the 
        department as reasonable for the applicant but shall not be less 
        than of $10,000. 
           The commissioner shall, after a study of the existing 
        bonding structure and after consultation with the warehousing 
        industry, adopt rules for bonding.  The rules must be adopted by 
        April 1, 1994. 
           The bond shall must be conditioned for the faithful 
        discharge of all duties as a household goods warehouse operator 
        operating under this chapter, and full compliance with the laws 
        of the state and rules and orders of the department relative 
        thereto.  Failure to maintain the bond as required shall void 
        the license.  
           The bond must be continuous until canceled.  To cancel a 
        bond, the surety must provide 90 days' written notice of the 
        bond's termination date to the licensee and the department. 
           In lieu of the bond required by this section, the applicant 
        may deposit with the state treasurer cash; a certified check; a 
        cashier's check; a postal, bank, or express money order; 
        assignable bonds or notes of the United States; or an assignment 
        of bank savings account or investment certificate or an 
        irrevocable bank letter of credit as defined in section 
        336.5-103, in the same amount as would be required for a bond. 
           In lieu of the bond required by this section, a warehouse 
        operator that does not provide for the storage of household 
        goods may provide proof of legal liability insurance coverage in 
        the amount of $50,000 or more.  A warehouse operator must notify 
        the department with written notice of the cancellation of the 
        policy.  If the policy is terminated without notification to the 
        department, the warehouse operator is subject to penalties under 
        section 231.39. 
           Sec. 13.  Minnesota Statutes 1998, section 231.18, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [FILING A CLAIM.] A depositor claiming to 
        be damaged by the breach of an agreement to store general 
        merchandise and household goods must file a claim with the 
        department within 180 days of the date of breach. 
           Sec. 14.  Minnesota Statutes 1998, section 231.18, 
        subdivision 6, is amended to read: 
           Subd. 6.  [BOND DISBURSEMENT.] (a) Upon expiration of the 
        claim filing period, the department shall promptly determine the 
        validity of all claims filed and notify the claimants of the 
        determination.  An aggrieved party may appeal the department's 
        determination by requesting, within 15 days, that the department 
        initiate a contested case proceeding.  In the absence of such a 
        request, or following the issuance of a final order in a 
        contested case, the surety company shall issue payment promptly 
        to those claimants entitled to payment. 
           (b) If a household goods warehouse operator has become 
        liable to more than one depositor by reason of breaches of the 
        conditions of the bond and the amount of the bond is 
        insufficient to pay the entire liability to all depositors 
        entitled to the protection of the bond, the proceeds of the bond 
        shall be apportioned among the bona fide claimants. 
           Sec. 15.  Minnesota Statutes 1998, section 231.24, is 
        amended to read: 
           231.24 [COMPLAINT THAT RATE IS UNREASONABLE; DUTY OF 
        DEPARTMENT.] 
           Upon verified complaint of any person or of any corporation 
        that any rates of a household goods warehouse operator are 
        unjust, unreasonable, discriminatory, preferential, or in any 
        way in violation of law, the department shall proceed to 
        investigate the matters alleged in such complaint; and, for the 
        purposes of such investigation, they may require the attendance 
        of witnesses and the production of books, papers, and 
        documents.  If, upon the hearing, such rates are found to be 
        unjust, unreasonable, discriminatory, preferential, or in any 
        way in violation of law, the department shall make an order, 
        stating wherein the same are so unjust, unreasonable, 
        discriminatory, preferential, or in any way in violation of law, 
        and make rates which shall be substituted for those as to which 
        complaint is made.  Rates so made by the department shall be 
        deemed prima facie reasonable in all courts, and shall be in 
        full force during the pendency of any appeal or other 
        proceedings to review the action of the department in 
        establishing the same.  
           Sec. 16.  Minnesota Statutes 1998, section 231.28, is 
        amended to read: 
           231.28 [FAILURE TO OBEY ORDER OR LAW.] 
           When any If a warehouse operator shall fail or household 
        goods warehouse operator fails to obey any law of this state, or 
        any order of the department, the department may, upon verified 
        petition alleging such failure, apply to the district court of 
        the county in which the warehouse operator's principal place of 
        business is located, for the enforcement of such law or order, 
        or other appropriate relief.  The court, upon such notice as it 
        may direct, shall hear such matter as in case of an appeal from 
        an order.  On the hearing, the findings of fact upon which the 
        order is based shall be prima facie evidence of the merits 
        therein stated, and the court may grant any provisional or other 
        relief, ordinary or extraordinary, legal or equitable, which the 
        nature of the case may require, and may impose a fine of not 
        more than $50 for each day's failure to obey any writ, process, 
        or order of the court, in addition to all other penalties or 
        forfeitures provided by law.  A temporary mandatory or 
        restraining order may be made in such proceedings, 
        notwithstanding any undetermined issue of fact, upon such terms 
        as to security as the court may direct.  
           Sec. 17.  Minnesota Statutes 1998, section 231.34, is 
        amended to read: 
           231.34 [ACTION ON BOND IN THE NAME OF THE STATE.] 
           When any one If a licensed to do business as a public 
        household goods warehouse operator fails to perform a duty, or 
        violates any of the provisions of this chapter, any person or 
        corporation injured by such failure or violation may, with the 
        consent of the department and the attorney general, bring an 
        action in the name of the state, but to the person's or 
        corporation's own use, in any court of competent jurisdiction on 
        the bond of such the household goods warehouse operator.  In 
        such action the person or corporation in whose behalf the action 
        is brought shall file with the court a satisfactory bond for 
        costs, and the state shall not be liable for any costs.  
           Sec. 18.  Minnesota Statutes 1998, section 231.36, is 
        amended to read: 
           231.36 [FALSIFICATION OR DESTRUCTION OF ACCOUNTS.] 
           Any person who shall willfully make any false entry in the 
        account or in any record or memorandum kept by a warehouse 
        operator or household goods warehouse operator, or who shall 
        willfully destroy, mutilate, alter, or by any other means or 
        device, falsify a record of any such account, record, or 
        memorandum, or who shall willfully neglect or fail to make full, 
        true, and correct entries in such accounts, records, or 
        memoranda, of all facts and transactions appertaining to the 
        business of the warehouse operator or household goods warehouse 
        operator, or shall keep any accounts or records with the intent 
        to evade the provisions of this chapter, shall be is guilty of a 
        gross misdemeanor; and, upon conviction, is subject to 
        imprisonment not exceeding one year or to a fine not exceeding 
        $3,000, or both.  
           Sec. 19.  Minnesota Statutes 1998, section 231.37, is 
        amended to read: 
           231.37 [PENALTY FOR DIVULGENCE OF INFORMATION.] 
           Any officer or employee of the department who divulges to 
        any person, other than a member of the department, any fact or 
        information coming to the knowledge of the officer or employee 
        during the course of an inspection, examination, or 
        investigation of any accounts, records, memoranda, books, or 
        papers of a warehouse operator or household goods warehouse 
        operator, except insofar as may be authorized by the department, 
        or by a court of competent jurisdiction, or a judge thereof, 
        shall be is guilty of a gross misdemeanor; and, upon conviction, 
        is subject to imprisonment not exceeding one year or to a fine 
        not exceeding $3,000, or to both. 
           Sec. 20.  Minnesota Statutes 1998, section 231.38, is 
        amended to read: 
           231.38 [PENALTY FOR TRANSACTING BUSINESS WITHOUT A 
        LICENSE.] 
           Any person who shall transact the business of a warehouse 
        operator or household goods warehouse operator, except for the 
        purpose of winding up the same under the supervision of the 
        department, without first procuring a license and giving a 
        bond or providing proof of insurance as provided for in this 
        chapter and any licensed warehouse operator or household goods 
        warehouse operator who shall operate any warehouse without 
        obtaining the permit herein provided for or who shall continue 
        to transact such business after such license has expired or the 
        required insurance has lapsed or such bond may have become void 
        or found insufficient security for the penal sum in which it is 
        executed by the department approving the same shall be is guilty 
        of a gross misdemeanor; and, upon conviction, shall be fined in 
        a sum not less than $100 nor more than $3,000 for each and every 
        day such the business is carried on before the license or 
        permit, as the case may be, is issued or after the expiration of 
        such license or permit or after receiving notice from the 
        department that such the insurance has lapsed or bond has become 
        void or has been found insufficient security; and the operation 
        of such warehouse operator or household goods warehouse operator 
        may be enjoined upon complaint of the department before a court 
        of competent jurisdiction.  
           A warehouse operator or household goods warehouse operator 
        has 30 days after a license or permit has expired or insurance 
        has lapsed or bond become void or been found insufficient before 
        the penalty in this section applies. 
           Sec. 21.  Minnesota Statutes 1998, section 231.39, is 
        amended to read: 
           231.39 [PERSONS VIOLATING ACT OR ORDER; PENALTY.] 
           Any warehouse operator or household goods warehouse 
        operator and each person who, either individually or acting as 
        an officer, agent, or employee of a warehouse operator or 
        household goods warehouse operator, violates or fails to comply 
        with any provisions of this chapter, or fails to observe, obey, 
        or comply with any order, decision, rule, direction, or 
        requirement or any part or portion thereof of the department 
        made or issued under authority of this chapter or who procures, 
        aids, or abets any warehouse operator or household goods 
        warehouse operator in the violation of this chapter or in the 
        failure to observe, obey, or comply with this chapter or any 
        such order, decision, rule, direction, or requirement or any 
        part or portion thereof in a case in which a penalty is not 
        otherwise provided for in this chapter is guilty of a gross 
        misdemeanor; and, upon conviction, shall be punished by a fine 
        not exceeding $3,000 or by imprisonment not exceeding one year 
        or by both such fine and imprisonment.  
           Each violation of the provisions of this chapter, or of any 
        order, decision, rule, direction, or requirement of the 
        department, or any part or portion thereof, by any warehouse 
        operator or household goods warehouse operator is a separate and 
        distinct offense.  
           In construing and enforcing the provisions of this chapter 
        relating to penalties, the act, omission, or failure of any 
        officer, agent, or employee of any warehouse operator or 
        household goods warehouse operator, acting within the scope of 
        official duties or employment, shall in each case be and be 
        deemed to be the act, omission, or failure of such warehouse 
        operator or household goods warehouse operator.  
           Sec. 22.  [REPEALER.] 
           Minnesota Statutes 1998, sections 231.02; 231.03; 231.05; 
        231.06; 231.07; 231.10; 231.15; and 231.35, are repealed. 
           Presented to the governor April 26, 1999 
           Signed by the governor April 27, 1999, 11:25 a.m.