Priority of certain liens arising by operating of law

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  • (a) “Possessory lien.” In this section, “possessory lien” means an interest, other than a security interest or an agricultural lien:

    • (1) which secures payment or performance of an obligation for services or materials furnished with respect to goods by a person in the ordinary course of the person's business;

    • (2) which is created by statute or rule of law in favor of the person; and

    • (3) whose effectiveness depends on the person's possession of the goods.

  • (b) Priority of possessory lien. A possessory lien on goods has priority over a security interest in the goods unless the lien is created by a statute that expressly provides otherwise.


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