This bill amends several sections of South Dakota law regarding agricultural processor's liens, specifically focusing on the requirements for obtaining and perfecting such liens. Key amendments include the requirement for a financing statement to be filed electronically with the Secretary of State, which must include specific information such as the names and addresses of the lienholder and the service recipient, the amount due, and the location of the agricultural products involved. Additionally, the bill stipulates that the lien must be perfected within thirty days of the completion of processing and that a copy of the filing must be provided to the service recipient.

Furthermore, the bill introduces a new section that outlines the obligations of the person for whom the processing was done if they wish to sell or deliver the agricultural products. They must notify the purchaser that the processing bill remains unpaid and that a lien exists. If the products are sold with the lienholder's knowledge or consent, the lien will not attach unless the lienholder provides written notice to the purchaser. The bill also clarifies that liens under this act have priority over other liens if filed within the specified timeframe and establishes that these liens are to be treated as agricultural liens under existing law. The effective date for these changes is set for January 1, 2027.

Statutes affected:
Introduced, 01/21/2025: 38-17-14, 38-17-15, 38-17-16
House Agriculture and Natural Resources Engrossed, 02/20/2025: 38-17-14, 38-17-15, 38-17-16, 38-17-19
Enrolled, 03/06/2025: 38-17-14, 38-17-15, 38-17-16, 38-17-19