Chapter 44 Oregon Laws 2001

 

AN ACT

 

HB 2031

 

Relating to abandoned personal property; creating new provisions; and amending ORS 90.425 and 90.675.

 

Be It Enacted by the People of the State of Oregon:

 

          SECTION 1. ORS 90.425 is amended to read:

          90.425. (1) As used in this section:

          (a) “Current market value” means the amount in cash, as determined by the county assessor, that could reasonably be expected to be paid for a manufactured dwelling or floating home by an informed buyer to an informed seller, each acting without compulsion in an arm's length transaction occurring on the assessment date for the tax year or on the date of a subsequent reappraisal by the county assessor.

          (b) “Dispose of the personal property” means that, if reasonably appropriate, the landlord may throw away the property or may give it without consideration to a nonprofit organization or to a person unrelated to the landlord. The landlord may not retain the property for personal use or benefit.

          (c) “Goods” includes those goods left inside a recreational vehicle, manufactured dwelling or floating home or left upon the rental space outside a recreational vehicle, manufactured dwelling or floating home, whether the recreational vehicle, dwelling or home is located inside or outside of a facility.

          (d) “Lienholder” means any lienholder of an abandoned recreational vehicle, manufactured dwelling or floating home, if the lien is of record or the lienholder is actually known to the landlord.

          (e) “Owner” means any owner of an abandoned recreational vehicle, manufactured dwelling or floating home, if different from the tenant and either of record or actually known to the landlord.

          (f) “Personal property” means goods, vehicles and recreational vehicles and includes manufactured dwellings and floating homes not located in a facility. “Personal property” does not include manufactured dwellings and floating homes located in a facility and therefore subject to being stored, sold or disposed of as provided under ORS 90.675.

          (2) A landlord shall not store, sell or dispose of abandoned personal property except as provided by this section. This section governs the rights and obligations of landlords, tenants and any lienholders or owners in any personal property abandoned or left upon the premises by the tenant or any lienholder or owner in the following circumstances:

          (a) The tenancy has ended by termination or expiration of a rental agreement or by relinquishment or abandonment of the premises and the landlord reasonably believes under all the circumstances that the tenant has left the personal property upon the premises with no intention of asserting any further claim to the premises or to the personal property;

          (b) The tenant has been absent from the premises continuously for seven days after termination of a tenancy by a court order that has not been executed; or

          (c) The landlord elects to remove the personal property pursuant to ORS 105.165.

          (3) Prior to selling or disposing of the tenant's personal property under this section, the landlord must give a written notice to the tenant which shall be:

          (a) Personally delivered to the tenant; or

          (b) Sent by first class mail addressed and mailed to the tenant at:

          (A) The premises;

          (B) Any post-office box held by the tenant and actually known to the landlord; and

          (C) The most recent forwarding address if provided by the tenant or actually known to the landlord.

          (4)(a) In addition to the notice required by subsection (3) of this section, in the case of an abandoned recreational vehicle, manufactured dwelling or floating home, a landlord shall also give a copy of the notice described in subsection (3) of this section to:

          (A) Any lienholder of the recreational vehicle, manufactured dwelling or floating home;

          (B) Any owner of the recreational vehicle, manufactured dwelling or floating home;

          (C) The tax collector of the county where the manufactured dwelling or floating home is located; and

          (D) The assessor of the county where the manufactured dwelling or floating home is located.

          (b) The landlord shall give the notice copy required by this subsection by personal delivery or first class mail, except that for any lienholder, mail service shall be by first class mail with certificate of mailing.

          (5) The notice required under subsection (3) of this section shall state that:

          (a) The personal property left upon the premises is considered abandoned;

          (b) The tenant or any lienholder or owner must contact the landlord by a specified date, as provided in subsection (6) of this section, to arrange for the removal of the abandoned personal property;

          (c) The personal property is stored at a place of safekeeping, except that if the property includes a manufactured dwelling or floating home, the dwelling or home shall be stored on the rented space;

          (d) The tenant or any lienholder or owner, except as provided by subsection (17) of this section, may arrange for removal of the personal property by contacting the landlord at a described telephone number or address on or before the specified date;

          (e) The landlord shall make the personal property available for removal by the tenant or any lienholder or owner, except as provided by subsection (17) of this section, by appointment at reasonable times;

          (f) If the personal property is considered to be abandoned pursuant to subsection (2)(a) or (b) of this section, the landlord may require payment of removal and storage charges, as provided by subsection (7)(d) of this section, prior to releasing the personal property to the tenant or any lienholder or owner;

          (g) If the personal property is considered to be abandoned pursuant to subsection (2)(c) of this section, the landlord shall not require payment of storage charges prior to releasing the personal property;

          (h) If the tenant or any lienholder or owner fails to contact the landlord by the specified date, or after that contact, fails to remove the personal property within 30 days for recreational vehicles, manufactured dwellings and floating homes or 15 days for all other personal property, the landlord may sell or dispose of the personal property. If the landlord reasonably believes that the personal property will be eligible for disposal pursuant to subsection (10)(b) of this section and the landlord intends to dispose of the property if it is not claimed, the notice shall state that belief and intent; and

          (i) If the personal property includes a recreational vehicle, manufactured dwelling or floating home and if applicable, there is a lienholder or owner that has a right to claim the recreational vehicle, dwelling or home, except as provided by subsection (17) of this section.

          (6) For purposes of subsection (5) of this section, the specified date by which a tenant, lienholder or owner must contact a landlord to arrange for the disposition of abandoned personal property shall be:

          (a) For abandoned recreational vehicles, manufactured dwellings or floating homes, not less than 45 days after personal delivery or first class mailing of the notice; or

          (b) For all other abandoned personal property, not less than five days after personal delivery or eight days after first class mailing of the notice.

          (7) After notifying the tenant as required by subsection (3) of this section, the landlord:

          (a) Shall store any abandoned manufactured dwelling or floating home on the rented space and shall exercise reasonable care for the dwelling or home;

          (b) Shall store all other abandoned personal property of the tenant, including goods left inside a recreational vehicle, manufactured dwelling or floating home or left upon the rented space outside a recreational vehicle, dwelling or home, in a place of safekeeping and shall exercise reasonable care for the personal property, except that the landlord may:

          (A) Promptly dispose of rotting food; and

          (B) Allow an animal control agency to remove any abandoned pets or livestock. If an animal control agency will not remove the abandoned pets or livestock, the landlord shall exercise reasonable care for the animals given all the circumstances, including the type and condition of the animals, and may give the animals to an agency that is willing and able to care for the animals, such as a humane society or similar organization;

          (c) Except for manufactured dwellings and floating homes, may store the abandoned personal property at the dwelling unit, move and store it elsewhere on the premises or move and store it at a commercial storage company or other place of safekeeping; and

          (d) Shall be entitled to reasonable or actual storage charges and costs incidental to storage or disposal, including any cost of removal to a place of storage. In the case of an abandoned manufactured dwelling or floating home, the storage charge shall be no greater than the monthly space rent last payable by the tenant.

          (8) If a tenant, lienholder or owner, upon the receipt of the notice provided by subsection (3) or (4) of this section or otherwise, responds by actual notice to the landlord on or before the specified date in the landlord's notice that the tenant, lienholder or owner intends to remove the personal property from the premises or from the place of safekeeping, the landlord must make that personal property available for removal by the tenant, lienholder or owner by appointment at reasonable times during the next 15 days or, in the case of a recreational vehicle, manufactured dwelling or floating home, 30 days, subject to subsection (17) of this section. If the personal property is considered to be abandoned pursuant to subsection (2)(a) or (b) of this section, but not pursuant to subsection (2)(c) of this section, the landlord may require payment of removal and storage charges, as provided in subsection (7)(d) of this section, prior to allowing the tenant, lienholder or owner to remove the personal property. Acceptance by a landlord of such payment shall not operate to create or reinstate a tenancy or create a waiver pursuant to ORS 90.415.

          (9) Except as provided in subsections (17) to (19) of this section, if the tenant, lienholder or owner of a recreational vehicle, manufactured dwelling or floating home does not respond within the time provided by the landlord's notice, or the tenant, lienholder or owner does not remove the personal property within the time required by subsection (8) of this section or by any date agreed to with the landlord, whichever is later, the tenant's, lienholder's or owner's personal property shall be conclusively presumed to be abandoned. The tenant and any lienholder or owner that have been given notice pursuant to subsection (3) or (4) of this section shall, except with regard to the distribution of sale proceeds pursuant to subsection (12) of this section, have no further right, title or interest to the personal property and may not claim or sell the property.

          (10) If the personal property is presumed to be abandoned under subsection (9) of this section, the landlord then may:

          (a) Sell the personal property at a public or private sale, provided that prior to the sale of a recreational vehicle, manufactured dwelling or floating home:

          (A) The landlord may seek to transfer the certificate of title and registration to the personal property by complying with the requirements of the appropriate state agency; and

          (B) The landlord shall:

          (i) Place a notice in a newspaper of general circulation in the county in which the recreational vehicle, manufactured dwelling or floating home is located. The notice shall state:

          (I) That the recreational vehicle, manufactured dwelling or floating home is abandoned;

          (II) The tenant's and owner's name, if of record or actually known to the landlord;

          (III) The address and any space number where the recreational vehicle, manufactured dwelling or floating home is located, and if actually known to the landlord, the plate, registration or other identification number as noted on the certificate of title;

          (IV) Whether the sale is by private bidding or public auction;

          (V) Whether the landlord is accepting sealed bids and, if so, the last date on which bids will be accepted; and

          (VI) The name and telephone number of the person to contact to inspect the recreational vehicle, manufactured dwelling or floating home;

          (ii) At a reasonable time prior to the sale, give a copy of the notice required by sub-subparagraph (i) of this subparagraph to the tenant and to any lienholder and owner, by personal delivery or first class mail, except that for any lienholder, mail service shall be by first class mail with certificate of mailing;

          (iii) Obtain an affidavit of publication from the newspaper to show that the notice required under sub-subparagraph (i) of this subparagraph ran in the newspaper at least one day in each of two consecutive weeks prior to the date scheduled for the sale or the last date bids will be accepted; and

          (iv) Obtain written proof from the county that all property taxes on the manufactured dwelling or floating home have been paid or, if not paid, that the county has authorized the sale, with the sale proceeds to be distributed pursuant to subsection (12) of this section;

          (b) Destroy or otherwise dispose of the personal property if the landlord determines that:

          (A) For a manufactured dwelling or floating home, the current market value of the property is [$3,500] $8,000 or less as determined by the county assessor; or

          (B) For all other personal property, the reasonable current fair market value is $500 or less or so low that the cost of storage and conducting a public sale probably exceeds the amount that would be realized from the sale; or

          (c) Consistent with paragraphs (a) and (b) of this subsection, sell certain items and destroy or otherwise dispose of the remaining personal property.

          (11)(a) A public or private sale authorized by this section shall:

          (A) For a recreational vehicle, manufactured dwelling or floating home, be conducted consistent with the terms listed in subsection (10)(a)(B)(i) of this section. Every aspect of the sale including the method, manner, time, place and terms must be commercially reasonable; or

          (B) For all other personal property, be conducted under the provisions of ORS 79.5040 (3).

          (b) If there is no buyer at a sale of a manufactured dwelling or floating home, the personal property shall be considered to be worth [$3,500] $8,000 or less, regardless of current market value, and the landlord [may] shall destroy or otherwise dispose of the personal property.

          (12)(a) The landlord may deduct from the proceeds of the sale:

          (A) The reasonable or actual cost of notice, storage and sale; and

          (B) Unpaid rent.

          (b) If the sale was of a manufactured dwelling or floating home, after deducting the amounts listed in paragraph (a) of this subsection, the landlord shall remit the remaining proceeds, if any, to the county tax collector to the extent of any unpaid property taxes owed on the dwelling or home.

          (c) If the sale was of a recreational vehicle, manufactured dwelling or floating home, after deducting the amounts listed in paragraphs (a) and (b) of this subsection, if applicable, the landlord shall remit the remaining proceeds, if any, to any lienholder to the extent of any unpaid balance owed on the lien on the recreational vehicle, dwelling or home.

          (d) After deducting the amounts listed in paragraphs (a), (b) and (c) of this subsection, if applicable, the landlord shall remit to the tenant or owner the remaining proceeds, if any, together with an itemized accounting.

          (e) If the tenant or owner cannot after due diligence be found, the remaining proceeds shall be deposited with the county treasurer of the county in which the sale occurred, and if not claimed within three years shall revert to the general fund of the county available for general purposes.

          (13) The county tax collector shall cancel all unpaid property taxes owed on a manufactured dwelling or floating home, as provided under ORS 311.790, [if] only under circumstances described in paragraph (a), (b), (c) or (d) of this subsection:

          (a) The landlord disposes of the manufactured dwelling or floating home after a determination described in subsection (10)(b) of this section[;].

          (b) There is no buyer of the manufactured dwelling or floating home at a sale described under subsection (11) of this section[; or].

          (c)(A) [The proceeds of a sale described under subsection (11) of this section are insufficient to] There is a buyer of the manufactured dwelling or floating home at a sale described under subsection (11) of this section;

          (B) The current market value of the manufactured dwelling or floating home is $8,000 or less; and

          (C) The proceeds of the sale are insufficient to satisfy the unpaid property taxes owed on the dwelling or home after distribution of the proceeds pursuant to subsection (12) of this section.

          (d)(A) The landlord buys the manufactured dwelling or floating home at a sale described under subsection (11) of this section;

          (B) The current market value of the manufactured dwelling or floating home is more than $8,000;

          (C) The proceeds of the sale are insufficient to satisfy the unpaid property taxes owed on the manufactured dwelling or floating home after distribution of the proceeds pursuant to subsection (12) of this section; and

          (D) The landlord disposes of the manufactured dwelling or floating home.

          (14) The landlord shall not be responsible for any loss to the tenant, lienholder or owner resulting from storage of personal property in compliance with this section unless the loss was caused by the landlord's deliberate or negligent act. In the event of a deliberate and malicious violation, the landlord shall be liable for twice the actual damages sustained by the tenant, lienholder or owner.

          (15) Complete compliance in good faith with this section shall constitute a complete defense in any action brought by a tenant, lienholder or owner against a landlord for loss or damage to such personal property disposed of pursuant to this section.

          (16) If a landlord does not comply with this section:

          (a) The tenant shall be relieved of any liability for damage to the premises caused by conduct that was not deliberate, intentional or grossly negligent and for unpaid rent and may recover from the landlord up to twice the actual damages sustained by the tenant;

          (b) A lienholder or owner aggrieved by the noncompliance may recover from the landlord the actual damages sustained by the lienholder or owner. ORS 90.255 does not authorize an award of attorney fees to the prevailing party in any action arising under this paragraph; and

          (c) A county tax collector aggrieved by the noncompliance may recover from the landlord the actual damages sustained by the tax collector, if the noncompliance is part of an effort by the landlord to defraud the tax collector. ORS 90.255 does not authorize an award of attorney fees to the prevailing party in any action arising under this paragraph.

          (17) In the case of an abandoned recreational vehicle, manufactured dwelling or floating home, the provisions of this section regarding the rights and responsibilities of a tenant to the abandoned vehicle, dwelling or home shall also apply to any lienholder except that the lienholder shall not sell or remove the vehicle, dwelling or home unless:

          (a) The lienholder has foreclosed its lien on the recreational vehicle, manufactured dwelling or floating home;

          (b) The tenant has waived the tenant's rights under this section pursuant to subsection (25) of this section; or

          (c) The notice and response periods provided by subsections (6) and (8) of this section have expired.

          (18) In the case of an abandoned manufactured dwelling or floating home but not including a dwelling or home abandoned following a termination pursuant to ORS 90.429 and except as provided by subsection (21)(d) and (e) of this section, if a lienholder makes a timely response to a notice of abandoned personal property and so requests, a landlord shall enter into a written agreement with the lienholder providing that the dwelling or home shall not be sold or disposed of by the landlord for up to 12 months, so long as the lienholder makes timely periodic payment of all future storage charges as provided by subsection (7)(d) of this section and maintains the dwelling or home and the rented space on which it is stored. The lienholder's right to such an agreement shall arise upon the failure of the tenant, owner or, in the case of a deceased tenant, the personal representative, designated person, heir or devisee to remove or sell the dwelling or home within the allotted time.

          (19) During the term of an agreement described under subsection (18) of this section, the lienholder shall have the right to remove or sell the property, subject to the provisions of its lien. Selling the property includes a sale to a purchaser who wishes to leave the dwelling or home on the rented space and become a tenant, subject to any conditions previously agreed to by the landlord and tenant regarding the landlord's approval of a purchaser or, if there was no such agreement, any reasonable conditions by the landlord regarding approval of any purchaser who wishes to leave the dwelling or home on the rented space and become a tenant. The landlord also may condition approval for occupancy of any purchaser of the property upon payment of all storage charges and maintenance costs. If the lienholder violates the agreement, the landlord may terminate it upon 90 days' written notice stating facts sufficient to notify the lienholder of the reason for the termination. Unless the lienholder corrects the violation within the notice period, the agreement shall terminate as provided and the landlord may sell or dispose of the dwelling or home without further notice to the lienholder.

          (20) Upon termination of an agreement described under subsection (18) of this section, unless the parties otherwise agree or the lienholder has sold or removed the manufactured dwelling or floating home, the landlord may sell or dispose of the property pursuant to this section without further notice to the lienholder.

          (21) If the personal property consists of an abandoned manufactured dwelling or floating home and is considered abandoned as a result of the death of a tenant who was the only tenant and who owned the dwelling or home, the provisions of subsections (1) to (20), (23), (24) and (26) of this section shall apply, except as follows:

          (a) The provisions of this section regarding the rights and responsibilities of a tenant to the abandoned dwelling or home shall apply to any personal representative named in a will or appointed by a court to act for the deceased tenant or any person designated in writing by the tenant to be contacted by the landlord in the event of the tenant's death.

          (b) The notice required by subsection (3) of this section shall be:

          (A) Sent by first class mail to the deceased tenant at the premises; and

          (B) Personally delivered or sent by first class mail to any personal representative or designated person if actually known to the landlord.

          (c) The notice described in subsection (5) of this section shall refer to any personal representative or designated person, instead of the deceased tenant, and shall incorporate the provisions of this subsection.

          (d) If a personal representative, designated person or other person entitled to possession of the property, such as an heir or devisee, responds by actual notice to a landlord within the 45-day period provided by subsection (6) of this section and so requests, the landlord shall enter into a written agreement with the representative or person providing that the dwelling or home shall not be sold or disposed of by the landlord for up to 90 days or until conclusion of any probate proceedings, whichever is later, so long as the representative or person makes timely periodic payment of all future storage charges as provided by subsection (7)(d) of this section and maintains the dwelling or home and the rented space on which it is stored. If such an agreement is entered, the landlord shall not enter a similar agreement with a lienholder pursuant to subsection (18) of this section until the agreement with the personal representative or designated person ends.

          (e) During the term of an agreement described under paragraph (d) of this subsection, the representative or person shall have the right to remove or sell the dwelling or home, including a sale to a purchaser or a transfer to an heir or devisee where the purchaser, heir or devisee wishes to leave the dwelling or home on the rented space and become a tenant, subject to any conditions previously agreed to by the landlord and tenant regarding the landlord's approval for occupancy of a purchaser, heir or devisee or, if there was no such agreement, any reasonable conditions by the landlord regarding approval for occupancy of any purchaser, heir or devisee who wishes to leave the dwelling or home on the rented space and become a tenant. The landlord also may condition approval for occupancy of any purchaser, heir or devisee of the dwelling or home upon payment of all storage charges and maintenance costs. If the representative or person violates the agreement, the landlord may terminate it upon 30 days' written notice stating facts sufficient to notify the representative or person of the reason for the termination. Unless the representative or person corrects the violation within the notice period, the agreement shall terminate as provided and the landlord may sell or dispose of the dwelling or home without further notice to the representative or person.

          (22) Upon termination of an agreement described under subsection (21)(d) of this section, unless the parties otherwise agree or the representative or person has sold or removed the manufactured dwelling or floating home, the landlord may sell or dispose of the property pursuant to this section without further notice to the representative or person.

          (23) In the case of an abandoned recreational vehicle, manufactured dwelling or floating home that is owned by someone other than the tenant, the provisions of this section regarding the rights and responsibilities of a tenant to the abandoned vehicle, dwelling or home shall also apply to that owner, with regard only to the vehicle, dwelling or home, and not to any goods left inside or outside the vehicle, dwelling or home.

          (24) In the case of an abandoned motor vehicle, the procedure authorized by ORS 98.830 and 98.835 for removal of abandoned motor vehicles from private property may be used by a landlord as an alternative to the procedures required in this section.

          (25) Except for personal property that is subject to subsection (21) of this section, a landlord may sell or dispose of a tenant's abandoned personal property without complying with the provisions of this section if, after termination of the tenancy or no more than seven days prior to the termination of the tenancy, the landlord and the tenant and, in the case of a recreational vehicle, manufactured dwelling or floating home, any lienholder and owner so agree in a writing entered into in good faith. A landlord shall not, as part of a rental agreement, require a tenant or any lienholder or owner to waive any right provided by this section.

          (26) Until personal property is conclusively presumed to be abandoned under subsection (9) of this section, a landlord shall not have a lien pursuant to ORS 87.152 for storing the personal property.

 

          SECTION 2. ORS 90.675 is amended to read:

          90.675. (1) As used in this section:

          (a) “Current market value” means the amount in cash, as determined by the county assessor, that could reasonably be expected to be paid for personal property by an informed buyer to an informed seller, each acting without compulsion in an arms-length transaction occurring on the assessment date for the tax year or on the date of a subsequent reappraisal by the county assessor.

          (b) “Dispose of the personal property” means that, if reasonably appropriate, the landlord may throw away the property or may give it without consideration to a nonprofit organization or to a person unrelated to the landlord. The landlord may not retain the property for personal use or benefit.

          (c) “Lienholder” means any lienholder of abandoned personal property, if the lien is of record or the lienholder is actually known to the landlord.

          (d) “Personal property” means only a manufactured dwelling or floating home located in a facility. “Personal property” does not include goods left inside a manufactured dwelling or floating home or left upon a rented space and subject to disposition under ORS 90.425.

          (2) A landlord shall not store, sell or dispose of abandoned personal property except as provided by this section. This section governs the rights and obligations of landlords, tenants and any lienholders in any personal property abandoned or left upon the premises by the tenant or any lienholder in the following circumstances:

          (a) The tenancy has ended by termination or expiration of a rental agreement or by relinquishment or abandonment of the premises and the landlord reasonably believes under all the circumstances that the tenant has left the personal property upon the premises with no intention of asserting any further claim to the premises or to the personal property;

          (b) The tenant has been absent from the premises continuously for seven days after termination of a tenancy by a court order that has not been executed; or

          (c) The landlord elects to remove the personal property pursuant to ORS 105.165.

          (3) Prior to selling or disposing of the tenant's personal property under this section, the landlord must give a written notice to the tenant which shall be:

          (a) Personally delivered to the tenant; or

          (b) Sent by first class mail addressed and mailed to the tenant at:

          (A) The premises;

          (B) Any post-office box held by the tenant and actually known to the landlord; and

          (C) The most recent forwarding address if provided by the tenant or actually known to the landlord.

          (4)(a) A landlord shall also give a copy of the notice described in subsection (3) of this section to:

          (A) Any lienholder of the personal property;

          (B) The tax collector of the county where the personal property is located; and

          (C) The assessor of the county where the personal property is located.

          (b) The landlord shall give the notice copy required by this subsection by personal delivery or first class mail, except that for any lienholder, mail service shall be by first class mail with certificate of mailing.

          (5) The notice required under subsection (3) of this section shall state that:

          (a) The personal property left upon the premises is considered abandoned;

          (b) The tenant or any lienholder must contact the landlord by a specified date, as provided in subsection (6) of this section, to arrange for the removal of the abandoned personal property;

          (c) The personal property is stored on the rented space;

          (d) The tenant or any lienholder, except as provided by subsection (17) of this section, may arrange for removal of the personal property by contacting the landlord at a described telephone number or address on or before the specified date;

          (e) The landlord shall make the personal property available for removal by the tenant or any lienholder, except as provided by subsection (17) of this section, by appointment at reasonable times;

          (f) If the personal property is considered to be abandoned pursuant to subsection (2)(a) or (b) of this section, the landlord may require payment of storage charges, as provided by subsection (7)(b) of this section, prior to releasing the personal property to the tenant or any lienholder;

          (g) If the personal property is considered to be abandoned pursuant to subsection (2)(c) of this section, the landlord shall not require payment of storage charges prior to releasing the personal property;

          (h) If the tenant or any lienholder fails to contact the landlord by the specified date or fails to remove the personal property within 30 days after that contact, the landlord may sell or dispose of the personal property. If the landlord reasonably believes the county assessor will determine that the current market value of the personal property is [$3,500] $8,000 or less, and the landlord intends to dispose of the property if it is not claimed, the notice shall state that belief and intent; and

          (i) If applicable, there is a lienholder that has a right to claim the personal property, except as provided by subsection (17) of this section.

          (6) For purposes of subsection (5) of this section, the specified date by which a tenant or lienholder must contact a landlord to arrange for the disposition of abandoned personal property shall be not less than 45 days after personal delivery or first class mailing of the notice.

          (7) After notifying the tenant as required by subsection (3) of this section, the landlord:

          (a) Shall store the abandoned personal property of the tenant on the rented space and shall exercise reasonable care for the personal property; and

          (b) Shall be entitled to reasonable or actual storage charges and costs incidental to storage or disposal. The storage charge shall be no greater than the monthly space rent last payable by the tenant.

          (8) If a tenant or lienholder, upon the receipt of the notice provided by subsection (3) or (4) of this section or otherwise, responds by actual notice to the landlord on or before the specified date in the landlord's notice that the tenant or lienholder intends to remove the personal property from the premises, the landlord must make that personal property available for removal by the tenant or lienholder by appointment at reasonable times during the next 30 days, subject to subsection (17) of this section. If the personal property is considered to be abandoned pursuant to subsection (2)(a) or (b) of this section, but not pursuant to subsection (2)(c) of this section, the landlord may require payment of storage charges, as provided in subsection (7)(b) of this section, prior to allowing the tenant or lienholder to remove the personal property. Acceptance by a landlord of such payment shall not operate to create or reinstate a tenancy or create a waiver pursuant to ORS 90.415.

          (9) Except as provided in subsections (17) to (19) of this section, if the tenant or lienholder does not respond within the time provided by the landlord's notice, or the tenant or lienholder does not remove the personal property within 30 days after responding to the landlord or by any date agreed to with the landlord, whichever is later, the personal property shall be conclusively presumed to be abandoned. The tenant and any lienholder that have been given notice pursuant to subsection (3) or (4) of this section shall, except with regard to the distribution of sale proceeds pursuant to subsection (12) of this section, have no further right, title or interest to the personal property and may not claim or sell the property.

          (10) If the personal property is presumed to be abandoned under subsection (9) of this section, the landlord then may:

          (a) Sell the personal property at a public or private sale, provided that prior to the sale:

          (A) The landlord may seek to transfer the certificate of title and registration to the personal property by complying with the requirements of the appropriate state agency; and

          (B) The landlord shall:

          (i) Place a notice in a newspaper of general circulation in the county in which the personal property is located. The notice shall state:

          (I) That the personal property is abandoned;

          (II) The tenant's name;

          (III) The address and any space number where the personal property is located, and if actually known to the landlord, the plate, registration or other identification number as noted on the title;

          (IV) Whether the sale is by private bidding or public auction;

          (V) Whether the landlord is accepting sealed bids and, if so, the last date on which bids will be accepted; and

          (VI) The name and telephone number of the person to contact to inspect the personal property;

          (ii) At a reasonable time prior to the sale, give a copy of the notice required by sub-subparagraph (i) of this subparagraph to the tenant and to any lienholder, by personal delivery or first class mail, except that for any lienholder, mail service shall be by first class mail with certificate of mailing;

          (iii) Obtain an affidavit of publication from the newspaper to show that the notice required under sub-subparagraph (i) of this subparagraph ran in the newspaper at least one day in each of two consecutive weeks prior to the date scheduled for the sale or the last date bids will be accepted; and

          (iv) Obtain written proof from the county that all property taxes on the personal property have been paid or, if not paid, that the county has authorized the sale, with the sale proceeds to be distributed pursuant to subsection (12) of this section; or

          (b) Destroy or otherwise dispose of the personal property if the landlord determines from the county assessor that the current market value of the property is [$3,500] $8,000 or less.

          (11)(a) A public or private sale authorized by this section shall be conducted consistent with the terms listed in subsection (10)(a)(B)(i) of this section. Every aspect of the sale including the method, manner, time, place and terms must be commercially reasonable.

          (b) If there is no buyer at a sale described under paragraph (a) of this subsection, the personal property shall be considered to be worth [$3,500] $8,000 or less, regardless of current market value, and the landlord [may] shall destroy or otherwise dispose of the personal property.

          (12)(a) The landlord may deduct from the proceeds of the sale:

          (A) The reasonable or actual cost of notice, storage and sale; and

          (B) Unpaid rent.

          (b) After deducting the amounts listed in paragraph (a) of this subsection, the landlord shall remit the remaining proceeds, if any, to the county tax collector to the extent of any unpaid property taxes owed on the dwelling or home.

          (c) After deducting the amounts listed in paragraphs (a) and (b) of this subsection, if applicable, the landlord shall remit the remaining proceeds, if any, to any lienholder to the extent of any unpaid balance owed on the lien on the personal property.

          (d) After deducting the amounts listed in paragraphs (a), (b) and (c) of this subsection, if applicable, the landlord shall remit to the tenant the remaining proceeds, if any, together with an itemized accounting.

          (e) If the tenant cannot after due diligence be found, the remaining proceeds shall be deposited with the county treasurer of the county in which the sale occurred, and if not claimed within three years shall revert to the general fund of the county available for general purposes.

          (13) The county tax collector shall cancel all unpaid property taxes as provided under ORS 311.790 [if] only under circumstances described in paragraph (a), (b), (c) or (d) of this subsection:

          (a) The landlord disposes of the personal property after a determination described in subsection (10)(b) of this section[;].

          (b) There is no buyer of the personal property at a sale described under subsection (11) of this section[; or].

          [(c) The proceeds of a sale described under subsection (11) of this section are insufficient to satisfy the unpaid property taxes owed on the dwelling or home after distribution of the proceeds pursuant to subsection (12) of this section.]

          (c)(A) There is a buyer of the personal property at a sale described under subsection (11) of this section;

          (B) The current market value of the personal property is $8,000 or less; and

          (C) The proceeds of the sale are insufficient to satisfy the unpaid property taxes owed on the personal property after distribution of the proceeds pursuant to subsection (12) of this section.

          (d)(A) The landlord buys the personal property at a sale described under subsection (11) of this section;

          (B) The current market value of the personal property is more than $8,000;

          (C) The proceeds of the sale are insufficient to satisfy the unpaid property taxes owed on the personal property after distribution of the proceeds pursuant to subsection (12) of this section; and

          (D) The landlord disposes of the personal property.

          (14) The landlord shall not be responsible for any loss to the tenant or lienholder resulting from storage of personal property in compliance with this section unless the loss was caused by the landlord's deliberate or negligent act. In the event of a deliberate and malicious violation, the landlord shall be liable for twice the actual damages sustained by the tenant or lienholder.

          (15) Complete compliance in good faith with this section shall constitute a complete defense in any action brought by a tenant or lienholder against a landlord for loss or damage to such personal property disposed of pursuant to this section.

          (16) If a landlord does not comply with this section:

          (a) The tenant shall be relieved of any liability for damage to the premises caused by conduct that was not deliberate, intentional or grossly negligent and for unpaid rent and may recover from the landlord up to twice the actual damages sustained by the tenant;

          (b) A lienholder aggrieved by the noncompliance may recover from the landlord the actual damages sustained by the lienholder. ORS 90.255 does not authorize an award of attorney fees to the prevailing party in any action arising under this paragraph; and

          (c) A county tax collector aggrieved by the noncompliance may recover from the landlord the actual damages sustained by the tax collector, if the noncompliance is part of an effort by the landlord to defraud the tax collector. ORS 90.255 does not authorize an award of attorney fees to the prevailing party in any action arising under this paragraph.

          (17) The provisions of this section regarding the rights and responsibilities of a tenant to the abandoned personal property shall also apply to any lienholder, except that the lienholder shall not sell or remove the dwelling or home unless:

          (a) The lienholder has foreclosed its lien on the manufactured dwelling or floating home;

          (b) The tenant has waived the tenant's rights under this section pursuant to subsection (23) of this section; or

          (c) The notice and response periods provided by subsections (6) and (8) of this section have expired.

          (18) Except as provided by subsection (21)(d) and (e) of this section, if a lienholder makes a timely response to a notice of abandoned personal property and so requests, a landlord shall enter into a written agreement with the lienholder providing that the personal property shall not be sold or disposed of by the landlord for up to 12 months, so long as the lienholder makes timely periodic payment of all future storage charges as provided by subsection (7)(b) of this section and maintains the property and the rented space on which it is stored. The lienholder's right to such an agreement shall arise upon the failure of the tenant or, in the case of a deceased tenant, the personal representative, designated person, heir or devisee to remove or sell the dwelling or home within the allotted time.

          (19) During the term of an agreement described under subsection (18) of this section, the lienholder shall have the right to remove or sell the property, subject to the provisions of its lien. Selling the property includes a sale to a purchaser who wishes to leave the property on the rented space and become a tenant, subject to the provisions of ORS 90.680. The landlord may condition approval for occupancy of any purchaser of the property upon payment of all storage charges and maintenance costs. If the lienholder violates the agreement, the landlord may terminate it upon 90 days' written notice stating facts sufficient to notify the lienholder of the reason for the termination. Unless the lienholder corrects the violation within the notice period, the agreement shall terminate as provided and the landlord may sell or dispose of the property without further notice to the lienholder.

          (20) Upon termination of an agreement described under subsection (18) of this section, unless the parties otherwise agree or the lienholder has sold or removed the property, the landlord may sell or dispose of the property pursuant to this section without further notice to the lienholder.

          (21) If the personal property is considered abandoned as a result of the death of a tenant who was the only tenant, the provisions of subsections (1) to (20) of this section shall apply, except as follows:

          (a) The provisions of this section regarding the rights and responsibilities of a tenant to the abandoned personal property shall apply to any personal representative named in a will or appointed by a court to act for the deceased tenant or any person designated in writing by the tenant to be contacted by the landlord in the event of the tenant's death.

          (b) The notice required by subsection (3) of this section shall be:

          (A) Sent by first class mail to the deceased tenant at the premises; and

          (B) Personally delivered or sent by first class mail to any personal representative or designated person if actually known to the landlord.

          (c) The notice described in subsection (5) of this section shall refer to any personal representative or designated person, instead of the deceased tenant, and shall incorporate the provisions of this subsection.

          (d) If a personal representative, designated person or other person entitled to possession of the property, such as an heir or devisee, responds by actual notice to a landlord within the 45-day period provided by subsection (6) of this section and so requests, the landlord shall enter into a written agreement with the representative or person providing that the personal property shall not be sold or disposed of by the landlord for up to 90 days or until conclusion of any probate proceedings, whichever is later, so long as the representative or person makes timely periodic payment of all future storage charges as provided by subsection (7)(b) of this section and maintains the property and the rented space on which it is stored. If such an agreement is entered, the landlord shall not enter a similar agreement with a lienholder pursuant to subsection (18) of this section until the agreement with the personal representative or designated person ends.

          (e) During the term of an agreement described under paragraph (d) of this subsection, the representative or person shall have the right to remove or sell the property, including a sale to a purchaser or a transfer to an heir or devisee where the purchaser, heir or devisee wishes to leave the property on the rented space and become a tenant, subject to the provisions of ORS 90.680. The landlord also may condition approval for occupancy of any purchaser, heir or devisee of the property upon payment of all storage charges and maintenance costs. If the representative or person violates the agreement, the landlord may terminate it upon 30 days' written notice stating facts sufficient to notify the representative or person of the reason for the termination. Unless the representative or person corrects the violation within the notice period, the agreement shall terminate as provided and the landlord may sell or dispose of the property without further notice to the representative or person.

          (22) Upon termination of an agreement described under subsection (21)(d) of this section, unless the parties otherwise agree or the representative or person has sold or removed the property, the landlord may sell or dispose of the property pursuant to this section without further notice to the representative or person.

          (23) Except for personal property that is subject to subsection (21) of this section, a landlord may sell or dispose of a tenant's abandoned personal property without complying with the provisions of this section if, after termination of the tenancy or no more than seven days prior to the termination of the tenancy, the landlord and the tenant and any lienholder so agree in a writing entered into in good faith. A landlord shall not, as part of a rental agreement, as a condition to approving a sale of property on rented space under ORS 90.680 or in any other manner, require a tenant or any lienholder to waive any right provided by this section.

          (24) Until personal property is conclusively presumed to be abandoned under subsection (9) of this section, a landlord shall not have a lien pursuant to ORS 87.152 for storing the personal property.

 

          SECTION 3. The amendments to ORS 90.425 and 90.675 by sections 1 and 2 of this 2001 Act apply to sales of manufactured dwellings, floating homes or personal property occurring on or after the effective date of this 2001 Act.

 

Approved by the Governor April 6, 2001

 

Filed in the office of Secretary of State April 6, 2001

 

Effective date January 1, 2002

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