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Lien sales in Tennessee: marinas, storage, repair shops and towing

A boat nobody has paid on in a year. A storage unit gone silent. A truck that was repaired and never picked up. Tennessee lets the business holding that property sell it to recover what it is owed, but only if the notice rules are followed exactly. Here is how each kind of lien sale works, and what changed in 2025 and 2026.

Short answer

A marina, storage facility, repair shop or tow company can sell property it lawfully holds for unpaid charges, but only after the exact notice its statute requires. Marina liens can be enforced once charges are three months past due, storage sales can be held online, and from January 25, 2027 towed and abandoned vehicle sales must be advertised on the state's portal.

Licensed Tennessee auctioneerUpdated November 2026

The short version

A lien sale lets a business that lawfully holds someone's property, and is owed money for storing or working on it, sell that property at auction. Each type of lien has its own statute, and the details differ: how long you wait, how you notify the owner, where you advertise, and what happens to any extra money.

Most lien-sale disputes are not about the debt. They are about notice. A sale that skips a step can be challenged, and a buyer who cannot get a title will not pay full price. Get the notice right first, then sell in front of enough bidders that nobody can call the price unreasonable.
New in 2025 and 2026
Tennessee rewrote its towing and abandoned vehicle law in the MOTION Act of 2025.[10] The state's Abandoned Vehicle Portal went live on October 27, 2026. Starting January 25, 2027, towing companies, law enforcement and garagekeepers must enter vehicles in the portal and advertise sales there, and newspaper advertising of those sales ends.[13]

Marina and boat storage liens

A marina, boat dock, dry dock or dry storage facility in Tennessee has a lien on a vessel or personal watercraft it lawfully holds, for its reasonable charges. It can enforce that lien once the charges are three months or more past the due date in the contract.[1] The statute sets no minimum dollar amount.

The three notice steps in the marina statute
  1. Search the records: a UCC search for a personal watercraft, or a U.S. Coast Guard search for a vessel.
  2. Send notice by certified mail, return receipt requested, to every known owner and interested party.
  3. Advertise in a newspaper where the sale will be held, at least once a week for two or more consecutive weeks.

Doing all three creates a presumption, which can be rebutted, that notice was proper.[1]

The sale itself follows Tennessee's general artisan lien procedure, covered next.[1] Tennessee also has a separate court-based route for boat liens, and floating cabins have their own lien statute, so ask your attorney which applies before you start.

The artisan lien procedure: notice, ad, auction

Several Tennessee liens, including marina liens and garagekeeper liens, are enforced through the same artisan lien steps:

1. Written notice to the owner
Notice is delivered in person or by registered mail. For titled property, finding the owner includes checking the state's title records.[2] The notice must itemize the claim, describe the property, give a date to pay that is at least 10 days after the notice is delivered, and state the time and place of the auction.[3]
2. Advertising
The sale is advertised in a newspaper once a week for two consecutive weeks, and the sale must be at least 15 days after the first publication. If there is no local newspaper, notices are posted in at least six conspicuous places at least 10 days before the sale. From January 25, 2027, sales of titled property are advertised on the state's Abandoned Vehicle Portal instead of in the newspaper.[4]
3. Redemption and surplus
Anyone with an interest in the property can redeem it before the sale by paying the lien and the expenses. After the sale, any surplus is paid on demand to the person entitled to it. If no one claims it within 12 months, it goes to the county trustee.[5]

Repair shop, garagekeeper and towing liens

Tennessee gives a lien for repairs and parts on any conveyance that travels by land, by water or through the air, which covers cars, trucks, boats and aircraft.[6] Garagekeepers and towing companies also have a lien for their charges, which can be enforced after 30 days using the artisan lien procedure above. Notices and advertisements must include the vehicle identification number.[7]

Two traps for shops
Repairs over $250 do not bind a seller or lienholder of the vehicle unless they authorized the work in writing, with an exception for licensed dealers. And there is no lien for a tow that violates the MOTION Act.[7] The Department of Revenue's garagekeeper lien instructions describe the paperwork the county clerk will want afterward.[8] Where its summary of advertising differs from the statute, follow the statute and ask your attorney.

Self-storage liens

Tennessee's Self-Service Storage Facility Act gives the facility a lien on what is stored in a unit. The rules for selling are friendlier to online auctions than most liens:[9]

  • Default. The enforcement process applies once the tenant has been in default for 15 continuous days.
  • Notice. Delivered by hand, by verified mail or by email. It must itemize the claim, give at least 30 days to pay, and state that the sale will be no sooner than 60 days after the default.
  • The sale. Held at the facility, online, or at the nearest suitable place. Advertising must be commercially reasonable, which the law treats as met if at least three independent bidders take part. A newspaper ad is optional.
  • After the sale. A good-faith buyer takes the property free of the tenant's rights. Surplus is held for the tenant, and after one year goes to the State Treasurer as unclaimed property.
Vehicles and boats left in a unit
The storage law treats boats as vehicles. After 60 days unpaid, the facility can have the vehicle towed, or search the title or registration records, notify the owner and lienholders, give them 30 days to pay, and then sell it, including at auction.[9]

Towed and abandoned vehicles under the MOTION Act

When police or a garagekeeper take custody of an abandoned or unclaimed vehicle, the MOTION Act sets tight deadlines to verify ownership and send notice, measured in business days.[11] Owners and lienholders then have 20 days from receiving notice to reclaim the vehicle or contest the tow.[11]

Unclaimed vehicles are sold at public auction. The buyer takes the vehicle free and clear of other claims and gets a title from the Department of Revenue based on the sales receipt. Any surplus is held for 60 days for the owner or lienholder.[12]

If you tow, store or repair vehicles, register for the Abandoned Vehicle Portal now. After January 25, 2027, a sale advertised the old way will not meet the law.[13]

Title after the sale

A lien-sale buyer pays more when they know they can register what they bought. For vehicles, the buyer takes the lien-sale paperwork to the county clerk, including the Department of Revenue's certification of sale form and the notices, advertisement and itemized charges behind the lien.[8] Vehicles sold under the abandoned vehicle law are titled based on the sales receipt.[12]

Boats are not titled in Tennessee. They are registered through the Tennessee Wildlife Resources Agency, and a buyer registers through the county clerk with a bill of sale showing the hull identification number.[14] Keep a complete file of your lien notices so the buyer can show where the boat came from.

If your property is the one being sold

If you received a lien notice, you still have options. Under the artisan lien procedure, anyone with an interest can redeem the property before the sale by paying the lien and expenses, and any surplus after the sale belongs to the person entitled to it.[5] Read the notice for the deadline, and talk to an attorney quickly if you dispute the charges.

Why sell a lien asset through a licensed auction firm

A lien sale only has to recover what you are owed, but a sale that draws real competition protects you. It answers the question of whether the price was reasonable, it maximizes any surplus owed back to the owner, and a licensed firm knows the title and paperwork buyers will ask for. FALCO routes boats, vehicles, equipment and unit contents to the licensed Tennessee auction firm whose buyers fit them.

No cost to you. The buyer pays a 10% premium on top of the winning bid, and FALCO is paid from that premium. Your lien notices remain your responsibility, so have your attorney confirm them before the sale.

Questions

Common questions

How long does a Tennessee marina have to wait before selling a boat for unpaid storage?

Under Tennessee's marina lien statute, a marina, dock or dry storage facility can enforce its lien once its charges are three months or more past the due date in the contract. The sale then follows Tennessee's artisan lien procedure, with written notice to the owner and newspaper advertising.

What notice does a Tennessee marina lien sale require?

The statute describes three steps that together create a presumption that notice was proper: a records search (a UCC search for a personal watercraft or a U.S. Coast Guard search for a documented vessel), notice by certified mail, return receipt requested, to all known owners and interested parties, and a newspaper advertisement at least once a week for two or more consecutive weeks in the area where the sale will be held.

Do self-storage auctions in Tennessee have to be advertised in the newspaper?

No. Tennessee's self-storage law requires the sale to be advertised in a commercially reasonable manner, which is deemed met if at least three independent bidders take part. A newspaper ad once before the sale is allowed but not required, and the sale may be held online.

How much time does an owner get to reclaim a towed or abandoned vehicle in Tennessee?

Under the MOTION Act of 2025, owners and lienholders have 20 days from receiving notice to reclaim the vehicle or contest the tow. Unclaimed vehicles are then sold at public auction.

How does someone who buys at a lien sale get a title?

For vehicles, the buyer applies to the county clerk with the lien-sale paperwork, including the Department of Revenue's certification of sale form and the supporting notices and records. For vehicles sold under the abandoned vehicle law, the Department of Revenue issues title based on the sales receipt. Boats are registered, not titled, in Tennessee, through TWRA and the county clerk.

What does it cost a marina, storage facility or shop to use FALCO?

No cost to you. The buyer pays a 10% premium on top of the winning bid, and FALCO is paid from that premium. The licensed auction firm runs the sale. Your lien notices and paperwork stay your responsibility, and your attorney should confirm them.

Sources

  1. [1]Tenn. Code Ann. § 66-19-212 (marina and boat storage liens)
  2. [2]Tenn. Code Ann. § 66-14-102 (artisan lien: notice to owner)
  3. [3]Tenn. Code Ann. § 66-14-103 (contents of the notice)
  4. [4]Tenn. Code Ann. § 66-14-104 (sale by auction; advertisement)
  5. [5]Tenn. Code Ann. § 66-14-106 (surplus after sale)
  6. [6]Tenn. Code Ann. § 66-19-101 (lien for repairs on vehicles, vessels and aircraft)
  7. [7]Tenn. Code Ann. § 66-19-103 (garagekeeper and towing liens)
  8. [8]Tennessee Department of Revenue, LIEN-12: How to Apply for a Garagekeeper's or Mechanic's Lien
  9. [9]Tenn. Code Ann. § 66-31-105 (self-service storage: enforcement of the lien)
  10. [10]Tenn. Code Ann. Title 55, Chapter 31 (MOTION Act of 2025; unclaimed and abandoned vehicles)
  11. [11]Tenn. Code Ann. § 55-31-301 (vehicles taken into custody; notice to owners and lienholders)
  12. [12]Tenn. Code Ann. § 55-31-303 (public auction; title to buyer; surplus)
  13. [13]Tennessee Department of Revenue, Abandoned Vehicle Portal for towing companies, law enforcement and authorized users
  14. [14]Tennessee Wildlife Resources Agency, Boating Registration

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This page is general information about Tennessee and federal law, not legal, tax, or financial advice, and not a promise about any outcome. Laws change and every situation is different. For advice about your circumstances, consult a licensed Tennessee attorney, CPA, or other licensed professional. FALCO is not a law firm, a government agency, or a court, and is not affiliated with any of them. FALCO does not buy, list, broker, or sell anything itself. Licensed Tennessee auction firms, and licensed real estate firms where real estate is involved, run every sale.