2007 Minnesota Statutes

336A.15 BUYERS TAKING FREE OF AND SUBJECT TO FARM PRODUCTS
STATUTORY LIENS.
    Subdivision 1. Taking free of lien. Except as provided in subdivision 2, and notwithstanding
other law or rule to the contrary, a buyer in the ordinary course of business who buys farm
products from a seller engaged in farming operations takes free of a farm products statutory
lien applicable to the purchased farm products even though the farm products statutory lien is
perfected and the buyer knows the lien exists.
    Subd. 2. Taking subject to lien. A buyer in the ordinary course of business of farm products
takes subject to a farm products statutory lien applicable to the purchased farm products if the
lienholder has perfected the farm products statutory lien and:
(1) the buyer has failed to register with the secretary of state as provided in section 336A.11;
or
(2) the buyer has registered with the secretary of state as provided in section 336A.11,
the buyer receives a notice from the secretary of state specifying that the seller and the farm
products being sold are subject to a lien notice, and the buyer fails to secure a waiver or release
of the farm products statutory lien specified in the lien notice by making a payment, satisfying
an obligation, or otherwise.
History: 1992 c 525 s 16