71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 1462
House Bill 2036
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
Presession filed (at the request of Joint Interim Committee on
Water, Agriculture and Natural Resources for Representative
Jeff Kropf and Oregon Farm Bureau Federation and Oregon Bankers
Association)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Changes location for filing agricultural produce lien. Sets
date for notice to others who have filed claims on same inventory
or accounts.
A BILL FOR AN ACT
Relating to liens by agricultural producers; creating new
provisions; amending ORS 87.710, 87.730, 87.735 and 205.246;
and repealing ORS 87.720.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + Section 2 of this 2001 Act is added to and made
a part of ORS 87.700 to 87.740. + }
SECTION 2. { + (1) Notices filed with the Secretary of State
under ORS 87.710 and certificates filed with the Secretary of
State under ORS 87.735 must be in a form prescribed by the
Secretary of State. The Secretary of State shall include the
notices and certificates in the index maintained by the secretary
for filing financial statements pursuant to ORS chapter 79. The
secretary shall maintain the notices and certificates as public
records for a period of time established by the secretary.
(2) The Secretary of State shall establish fees pursuant to ORS
177.130 for filing notices and certificates and for furnishing
copies of notices or certificates. Fees established pursuant to
this subsection are nonrefundable. + }
SECTION 3. ORS 87.710 is amended to read:
87.710. (1) An agricultural producer shall file a notice
evidencing the lien under ORS 87.705 only if a food processor or
Christmas tree dealer fails to pay the agricultural producer for
{ - such - } { + the + } agricultural produce by the date
{ - on which - } payment
{ - from the food processor or Christmas tree dealer to the
agricultural producer for the agricultural produce - } is due.
(2) An agricultural producer { - claiming - } { + may file
notice of + }a lien { + created + } under ORS 87.705
{ - shall file with the recording officer of the county where
the food is processed or the Christmas trees are grown, - } { +
with the Secretary of State + } within 20 days of the date
{ - on which the - } payment { - from the food processor or
Christmas tree dealer to the agricultural producer - } for
agricultural produce is due or, in the case of meat animals,
within 20 days of the date the meat animals are delivered to the
food processor. { - The statement shall be in writing verified
by the oath of the agricultural producer and shall contain: - }
{ + The notice must be supported by affidavit and contain: + }
(a) A true statement of the producer's demand after deducting
all credits and offsets; { - and - }
(b) The name of the food processor or Christmas tree dealer who
received the produce to be charged with the lien; { - and - }
(c) A description of the produce to be charged with the lien
sufficient for identification; { - and - }
(d) A statement that the amount claimed is a true and bona fide
existing debt as of the date of the filing of notice evidencing
the lien; { - and - }
(e) The date on which payment was due for the produce to be
charged with the lien { + ; and
(f) Such other information as the Secretary of State may
require + }.
(3) When an agricultural producer files notice evidencing the
lien, an agricultural producer claiming a lien under ORS 87.705
shall notify all other persons who have filed a claim of lien on
the inventory of the food processor or Christmas tree dealer or
who have filed a financing statement under ORS chapter 79 that
perfects a security interest in the inventory of the food
processor or Christmas tree dealer. If the lien for which an
agricultural producer files notice under this section attaches to
accounts receivable, the agricultural producer shall notify all
other persons who have filed a claim of lien on the accounts
receivable of the food processor or who have filed a financing
statement under ORS chapter 79 that perfects a security interest
in the accounts receivable of the food processor. The notice to
other lien claimants and secured parties shall provide the same
information contained in the { - statement - } { + notice + }
required by subsection (2) of this section and shall be sent by
certified mail, return receipt requested.
(4) { - If - } The { + producer must send + }notice
{ + to other persons as + } required by subsection (3) of this
section { - is not given, - } { + no later than the ___ day
after filing the notice of lien with the Secretary of State. If
the producer does not send a person notice within the time
allowed, + }the lien created { - by - } { + under + } ORS
87.705
{ - is - } { + becomes + } subordinate, with respect to a
person not notified, to:
(a) A lien that has attached to the agricultural produce,
inventory or accounts receivable prior to the date on which the
lien created under ORS 87.705 attaches; or
(b) A { + + }perfected security interest in the agricultural
produce, inventory or accounts receivable.
(5) For purposes of this section, payment { - from a food
processor or Christmas tree dealer - } to the
{ - agricultural - } producer for agricultural produce is due:
(a) On the date specified for payment in the contract between
the { - food - } processor or { - Christmas tree - } dealer
and the
{ - agricultural - } producer; or
(b) If there is no contract or no date of payment is specified
in the contract, two business days after the { - food - }
processor or { - Christmas tree - } dealer takes delivery of
the
{ - agricultural - } produce.
SECTION 4. ORS 87.735 is amended to read:
87.735. (1) When an agricultural producer receives full payment
for agricultural produce { + , + } { - from the food processor
or Christmas tree dealer to which such agricultural produce is
delivered, - } if the agricultural producer { + has + } filed
{ - a claim of lien on such agricultural produce under ORS
87.705 and 87.710 - } { + notice of a lien under ORS 87.710 (2)
or has filed under ORS 87.725 to foreclose a lien + }, the
agricultural producer shall file with the { - recording officer
of the county in which the claim of lien is recorded - } { +
Secretary of State + } a certificate declaring that full payment
has been received from the food processor or Christmas tree
dealer and that the claim of lien is discharged.
(2) Upon receiving the certificate, the { - recording
officer - } { + Secretary of State + } shall enter { - it in
full length - } { + the certificate + } in the { - book kept
to record such liens - } { + index maintained by the secretary
for filing financial statements pursuant to ORS chapter 79 + }.
(3) If { - any - } { + an + } agricultural producer { - ,
after - } { + that receives + } full payment for agricultural
produce { - , within 10 days after being requested thereto, - }
fails to { - discharge the claim of lien, - } { + file the
certificate described in subsection (1) of this section on or
before the 10th day after receiving a request to file from a food
processor or Christmas tree dealer, + } the agricultural producer
is liable to the { - food - } processor or { - Christmas
tree - } dealer in the sum of $100 damages and for all actual
damages caused by { - such - } { + the + } failure, to be
recovered in an action at law.
SECTION 5. ORS 205.246 is amended to read:
205.246. (1) The county clerk shall record the following
instruments required or permitted by law to be recorded and
entered in the office of the county clerk:
(a) Fixture filings recorded in the office of the county clerk
under ORS 79.3130 (1)(b);
(b) Hospital and physician liens recorded under ORS 87.565;
(c) Federal tax liens and certificates and notices affecting
federal tax liens recorded under ORS 87.806;
(d) Cooperative contracts recorded under ORS 62.360;
(e) Special district assessments attaching to real property;
(f) Lien foreclosure statements recorded under ORS 87.202;
(g) A certified copy of the judgment or a lien record abstract
or other liens affecting the title to real property;
(h) Building code exemptions required under ORS 455.320 and
455.345;
(i) Construction liens recorded under ORS 87.050;
(j) Liens upon chattels recorded under ORS 87.246;
(k) Liens on real property recorded under ORS 87.372;
(L) Employee benefit plan liens recorded under ORS 87.860;
(m) Attorney liens recorded under ORS 87.455 and 87.460;
(n) Long term care liens recorded under ORS 87.517;
(o) Ambulance services liens recorded under ORS 87.623;
{ - (p) Agricultural producers liens recorded under ORS
87.720; - }
{ - (q) - } { + (p) + } Community property records recorded
under ORS 108.530;
{ - (r) - } { + (q) + } Sheriff transfer of records
recorded under ORS 206.100;
{ - (s) - } { + (r) + } Corrected instruments required
under ORS 205.244;
{ - (t) - } { + (s) + } Mineral and mining records required
under ORS 517.030, 517.052, 517.160, 517.180, 517.210, 517.220,
517.280, 517.310 and 517.320;
{ - (u) - } { + (t) + } Copies of records certified by a
county clerk or court clerk;
{ - (v) - } { + (u) + } Subdivision and partition plats
recorded under ORS 92.140;
{ - (w) - } { + (v) + } Authority to solemnize marriage
recorded under ORS 106.120; and
{ - (x) - } { + (w) + } Condominiums recorded under ORS
chapter 100.
(2) The county clerk shall charge and collect fees specified in
ORS 205.320, 205.327 and 205.350 for recording any instrument
required to be recorded under subsection (1) of this section.
(3) Indexes may be maintained for instruments recorded under
subsection (1) of this section in the same manner as provided in
ORS 205.160.
SECTION 6. ORS 87.730 is amended to read:
87.730. Unless suit to foreclose the lien is brought in an
appropriate court within six months after { - claim of - }
{ + notice of a + } lien is filed under ORS 87.710, or if a
credit is given, then within six months after the expiration of
such credit, a lien created by ORS 87.705 shall cease to exist.
SECTION 7. { + ORS 87.720 is repealed. + }
SECTION 8. { + The amendments to ORS 87.730, 87.735 and
205.246 by sections 4 to 6 of this 2001 Act apply only to notices
of liens filed on or after the effective date of this 2001
Act. + }
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