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Imposing Storage Charges

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  • Imposing Storage Charges

    Hi all,

    Apologies if this has been addressed elsewhere - I did a quick search but couldn't find anything that solves my full query. Please do link me to an answer if there is one!

    I'm a director for a heritage railway and am currently reviewing our agreements relating to rolling stock currently stored on our premises. We have established a number of private owners that cannot evidence a storage agreement (and due to poor record keeping in years gone by, neither can we!). Contact has been made with these owners, and a 12 month period given to provide evidence has now expired. As such, we are moving to the next stage which is where I would greatly appreciate some guidance.

    I am proposing that all owners without existing storage agreements are contacted with the following options:

    1) Contact the business to arrange agreement of a new storage contract
    2) Remove vehicle(s) from the premises
    3) Donate vehicle(s) to our supporting charity

    If none of these options have been completed by the end of a certain period (for example, 3 months), I would be looking to impose storage charges on the vehicles. Should storage charges go unpaid after a further period, the vehicles would be treated as abandoned and possession then taken by the railway company.

    So the questions I have are: Can I impose charges on any vehicle without an agreement? And if these charges are unpaid, can the Company legally claim possession?

    Hopefully this makes sense. I doubt it's particularly niche but happy to provide further detail if required!


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  • #2

    1) you cannot unilaterally impose storage charges

    2) having given written notice to remove goods, if that is not complied with you may dispose of the items.
    This has to be at market value (usually ascertained by going to open auction)
    You then have to retain the proceeds (less your costs) for the owners

    Legislation: Torts (interference with goods) act 1977


    • #3
      I use the Torts act often - when you notify the owners that you are going to sell they often emerge "from the woodwork" and you do not need to do so.
      It may be true that you cannot unilaterally impose charges but your letter informing them could say that the alternative to removal and sale is to sign a new contract?


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