{"data":{"id":"us-ky/krs-376.435","jurisdiction":"us-ky","citation":"KRS 376.435","heading":"Lien on die, mold, form, or pattern -- Respective rights of molder and","body":"customer.\n(1) As used in this section, unless the context otherwise requires:\n(a) \"Customer\" means any person who causes a molder to fabricate, cast, or\notherwise make a die, mold, form, or pattern, or who provides a molder with a\ndie, mold, form, or pattern, to manufacture, assemble, cast, fabricate, or\notherwise make a product for a customer; and\n(b) \"Molder\" means any person who fabricates, casts, or otherwise makes or uses\na die , mold, form, or pattern for the purpose of manufacturing, assembling,\ncasting, fabricating, or otherwise making a product for a customer. \"Molder\"\nincludes, but is not limited to, a tool or die maker.\n(2) (a) In the absence of any agreement to the contrar y, a customer shall have all\nrights and title to any die, mold, form, or pattern in the possession of a molder.\n(b) If a customer does not claim possession from a molder of a die, mold, form, or\npattern, all rights and title to any die, mold, form, or patt ern shall be\ntransferred by operation of law to the molder for the purpose of destroying or\notherwise disposing of the die, mold, form, or pattern, consistent with this\nsubsection.\n(c) If a molder chooses to have all rights and title to any die, mold, form , or\npattern transferred to the molder by operation of law, the molder shall send\nwritten notice by registered mail to the chief executive officer of the customer\nor, if the customer is not a business entity, to the customer, at the customer's\nlast known address. The written notice shall indicate that the molder intends to\nterminate the customer's rights and title by having the rights and title\ntransferred to the molder by operation of law under this section. The notice\nshall include a statement of the cust omer's rights set forth in paragraph (d) of\nthis subsection.\n(d) 1. If a customer does not respond in person or by mail to claim possession\nof a particular die, mold, form, or pattern within one hundred twenty\n(120) days following the date that the notice was mailed, or does not\nmake contractual arrangements with the molder for storage of the die,\nmold, form, or pattern, all rights and title of the customer, except patents\nand copyrights, shall transfer by operation of law to the molder.\nThereafter, the molder may destroy or otherwise dispose of the particular\ndie, mold, form, or pattern as the molder's own property without any risk\nof liability to the customer.\n2. This section shall not be construed in any manner to affect any right of\nthe customer under fe deral patent or copyright law or federal law\npertaining to unfair competition.\n(3) (a) A molder shall have a lien, dependent on possession, on all dies, molds,\nforms, or patterns in his hands and that belong to a customer, for the balance\ndue him from the customer for any manufacturing or fabrication work, and in\nthe value of all material related to the work. The molder may retain possession\nof the die, mold, form, or pattern until the charges are paid.\n(b) Before enforcing a lien, a molder shall give notic e in writing to the customer,\nwhether delivered personally or sent by registered mail to the last known\naddress of the customer. The notice shall state that a lien is claimed for the\ndamages set forth in or attached to the writing for manufacturing or\nfabrication work contracted or performed for the customer. The notice shall\nalso include a demand for payment.\n(c) If the molder has not been paid the amount due within sixty (60) days after the\nnotice has been received by the customer, as pr ovided in paragraph (b) of this\nsubsection, the molder may sell the die, mold, form, or pattern at a public\nauction.\n(4) (a) Before a molder may sell the die, mold, form, or pattern, the molder shall\nnotify the customer by registered mail, return receipt r equested. The notice\nshall include:\n1. The molder's intention to sell the die, mold, form, or pattern thirty (30)\ndays after the customer's receipt of the notice;\n2. A description of the die, mold, form, or pattern to be sold;\n3. The time and place of the sale; and\n4. An itemized statement for the amount due.\n(b) If there is not a return of the receipt of the mailing or if the postal service\nreturns the notice as being nondeliverable, the molder shall publish the notice\nof the molder's intention to sell the  die, mold, form, or pattern in a newspaper\nof general circulation in the customer's last known place of business. The\nnotice shall include a description of the die, mold, form, or pattern.\n(c) 1. If the sale is for a sum greater than the amount of the lie n, the excess\nshall be paid to any prior lienholder known to the molder at the time of\nthe sale and any remainder shall be paid to the customer, if the\ncustomer's address is known, or the Kentucky State Treasurer for deposit\nin the general fund if the customer's address is unknown to the molder at\nthe time of the sale.\n2. A molder shall not conduct a sale if the sale violates any right of a\ncustomer under federal patent or copyright law.","path":["KRS Chapter 376"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=35333","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:59:09Z","sha256":"cee532ccfb4984ac6e40abd568f9f89f296e9a52e1d1cdfb20dca75ec30cf568","source_id":"us-ky","stale":false,"prev":"us-ky/krs-376.430","next":"us-ky/krs-376.440"},"notice":"GroundRules: Original legal text. Not legal advice."}
