(1) If the licensee and depositor agree, a licensee shall issue a warehouse receipt for any farm produce received from a depositor for storage.
  (2) If a grain dealer issues a warehouse receipt for a deposit, the warehouse receipt must be on a form approved by the department that includes spaces for inserting all of the following information and statements, as applicable:

Terms Used In Michigan Laws 285.80

  • Collateral warehouse receipt: means a warehouse receipt issued to a financial institution by a grain dealer for unencumbered grain owned by that grain dealer. See Michigan Laws 285.62
  • Department: means the department of agriculture. See Michigan Laws 285.62
  • Depositor: means either of the following:
  (i) A person who delivers farm produce to a licensed grain dealer for storage, processing, shipment, or sale and has title to the farm produce at the time of delivery. See Michigan Laws 285.62
  • Director: means the director of the department or his or her designee. See Michigan Laws 285.62
  • Facility: means an edifice, silo, tank, bin, crib, interstice, or protected enclosed structure, or more than 1 edifice, silo, tank, bin, crib, interstice, or protected enclosed structure located contiguous to each other, used to receive, deposit, or store farm produce in bulk. See Michigan Laws 285.62
  • Farm produce: means 1 or more of dry edible beans, soybeans, small grains, cereal grains, or corn. See Michigan Laws 285.62
  • feed bank: means farm produce stored on a nonnegotiable warehouse receipt that the owner intends to periodically, partially withdraw. See Michigan Laws 285.62
  • Grain dealer: means a person engaged in the business of receiving, buying, exchanging, selling, or storing farm produce in this state. See Michigan Laws 285.62
  • Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
  • License: means a license issued by the department to a grain dealer in the manner provided under this act. See Michigan Laws 285.62
  • Licensee: means a grain dealer licensed under this act. See Michigan Laws 285.62
  • Lien: A claim against real or personal property in satisfaction of a debt.
  • Person: means an individual, corporation, limited liability company, partnership, association, cooperative organization, or other legal entity. See Michigan Laws 285.62
  • Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
  • Storage: means the deposit of farm produce in trust with a grain dealer by a depositor. See Michigan Laws 285.62
  • Warehouse receipt: means a written or electronically transmitted receipt issued by a grain dealer to a depositor at the time the grain dealer accepts farm produce for storage. See Michigan Laws 285.62
    •   (a) The location of the facility.
      (b) The date the warehouse receipt is issued.
      (c) The grain dealer’s storage rate and the calculation of the depositor’s storage charge.
      (d) The net weight and grade factors of the farm produce.
      (e) Whether the warehouse receipt is negotiable or nonnegotiable, which shall be conspicuously printed on the form.
      (f) The signature of the grain dealer or his or her authorized agent.
      (g) An expiration date. At the expiration date, the grain dealer and holder shall renegotiate the terms of storage or settle at market price.
      (h) A statement of the amount of advances made or liability incurred for which the grain dealer claims a lien. If the exact amount of advances made or liabilities incurred at the time of issuance of the warehouse receipt is unknown to the grain dealer, the warehouse receipt shall include a statement of the fact that advances have been made or liabilities incurred.
      (i) A statement that the warehouse receipt is issued subject to this act and rules promulgated under this act.
      (3) The holder of a warehouse receipt has legal title to farm produce held under the warehouse receipt.
      (4) A grain dealer shall sequentially number its warehouse receipts and issue them in numerical sequence and retain any voided warehouse receipts.
      (5) If a grain dealer’s license is revoked or terminated, the grain dealer shall deliver all unused warehouse receipts to the department.
      (6) A person shall not do any of the following:
      (a) Issue a warehouse receipt for farm produce except on a form approved by the director under this section.
      (b) Falsely make, alter, forge, or counterfeit a warehouse receipt.
      (c) Knowingly deposit farm produce under a warehouse receipt without disclosing any lien or lack of title.
      (7) If a grain dealer delivers from storage a portion of the farm produce for which he or she has issued a negotiable warehouse receipt, the grain dealer shall cancel the original warehouse receipt and issue a new warehouse receipt for the remainder of the farm produce still in storage. The new warehouse receipt shall contain the number and date of the original warehouse receipt in addition to meeting the other requirements of this section.
      (8) A warehouse receipt issued for farm produce identified and stored separately shall describe the storage location of the farm produce.
      (9) A licensee may issue a collateral warehouse receipt only against farm produce owned and unencumbered by the licensee at the time of issuance.
      (10) A grain dealer shall place farm produce held in a grain bank or feed bank on a warehouse receipt.
      Previous section
    Next section  
     Act 141 of 1939 Contents