Kansas Statutes 58-243. Same; effect of lien; priority; what lien attaches to; when lien attaches
Terms Used In Kansas Statutes 58-243
- Agricultural chemical: means fertilizers, lime or agricultural chemicals that are applied to crops or to land that is used for raising crops, including fertilizer material, plant amendment, plant food, soil amendment, pesticide and plant regulator. See Kansas Statutes 58-241
- Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
- Feed: means commercial feeds, feed ingredients, mineral feeds, drugs, animal health products, supplements, customer-formula feeds or other products, including grain, that are used for feeding livestock. See Kansas Statutes 58-241
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Lender: means a person in the business of lending money identified in the lien-notification statement. See Kansas Statutes 58-241
- Lien: A claim against real or personal property in satisfaction of a debt.
- Lien: means a lien for the unpaid retail cost of agricultural production input. See Kansas Statutes 58-241
- Livestock production input: means feed and labor furnished in raising livestock, but shall not include feed or labor for which the statutory lien created by Kan. See Kansas Statutes 58-241
- Petroleum product: means motor fuels and special fuels that are used in the production and drying of crops and production of livestock, including motor-vehicle fuels, special fuels and liquefied petroleum gas, as defined in subsections (l) and (s) of Kan. See Kansas Statutes 58-241
- Proceeds: means proceeds as defined in Kan. See Kansas Statutes 58-241
- Seed: means agricultural seeds that are used to produce crops. See Kansas Statutes 58-241
- Supplier: means a person who furnishes agricultural production inputs. See Kansas Statutes 58-241
(a) A supplier who furnishes crop production inputs has a lien for the unpaid retail cost of the crop production inputs. Subject to the limitations of subsection (d) of Kan. Stat. Ann. § 58-242, the lien shall have priority over a security interest of a lender only if perfected and if the supplier notifies the lender of the supplier’s lien pursuant to Kan. Stat. Ann. § 58-242. The lien attaches to:
(1) The existing crops upon the land where the furnished agricultural chemical was applied or if crops are not planted, to the next production crop within 16 months following the last date on which the agricultural chemical was applied;
(2) the crops produced from the furnished seed; or
(3) the crops produced, harvested or processed using the furnished petroleum product. If the crops are grown on leased land and the lease provides for payment in crops, the lien does not attach to the lessor’s share of the crops. The lien continues in crop products and proceeds, except that the lien does not continue after a cash sale.
(b) A supplier who furnishes livestock production inputs has a lien for the unpaid retail cost of the livestock production input. Subject to the limitations of subsection (d) of Kan. Stat. Ann. § 58-242, the lien shall have priority over a security interest of a lender only if perfected and if the supplier notifies the lender of such supplier’s lien pursuant to Kan. Stat. Ann. § 58-242. The lien attaches to all livestock consuming the feed and continues in livestock products and proceeds, except that the lien does not continue after a cash sale. A perfected lien that attaches to livestock may not exceed the amount, if any, that the sales price of the livestock exceeds the greater of the fair market value of the livestock at the time the lien attaches or the acquisition price of the livestock.
(c) A lien attaches when the agricultural production inputs are furnished by the supplier to the purchaser.