72nd OREGON LEGISLATIVE ASSEMBLY--2003 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 881
Senate Bill 109
Printed pursuant to Senate Interim Rule 213.28 by order of the
President of the Senate in conformance with presession filing
rules, indicating neither advocacy nor opposition on the part
of the President (at the request of Attorney General Hardy
Myers for Department of Justice)
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.
Revises provisions concerning home solicitation sales.
A BILL FOR AN ACT
Relating to home solicitation sales; creating new provisions; and
amending ORS 83.710, 83.720 and 83.730.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 83.710 is amended to read:
83.710. (1) As used in ORS 83.710 to 83.750 { - , a sale of
goods or services as defined in ORS 83.010 is - } :
(a) A { + transaction is a + } 'home solicitation sale' if:
{ - (A) The seller or a person acting for the seller engages
in a personal solicitation of the sale at a residence other than
that of the seller; and - }
{ - (B) The buyer's agreement or offer to purchase is there
given to the seller or a person acting for the seller. - }
{ + (A) It is a sale, lease or rental of goods or services,
as defined in ORS 83.010;
(B) The seller or the seller's representative personally
solicits the sale, lease or rental, including a sale, lease or
rental in response to or following an invitation by the buyer;
and
(C) The buyer's agreement or offer to purchase is made at a
place other than the place of business of the seller. As used in
this subparagraph, 'a place other than the place of business of
the seller' means a place that is not the seller's main or
permanent branch office or permanent local address and includes
but is not limited to the residence or workplace of the buyer and
facilities rented by the seller on a temporary or short-term
basis, such as a hotel or motel room, convention center,
restaurant, fairgrounds or dormitory lounge. + }
(b) A { + transaction is a + } 'telephone solicitation sale'
if:
(A) The seller or person acting for the seller engages in a
solicitation conducted by telephone to a residence;
(B) The transaction is initiated by the seller or person acting
for the seller and is in no way solicited by the buyer;
(C) The buyer's agreement or offer to purchase is given over
the telephone to the seller or person acting for the seller; and
(D) There is no personal contact between the buyer and the
seller or person acting for the seller prior to delivery of goods
or performance of services.
(2) The provisions of ORS 83.710 to 83.750 relating to home
solicitation sales do not apply to:
(a) A sale made pursuant to a preexisting revolving charge
account { + unless the sale is made at the residence of the
buyer + };
{ + (b) The provision of cash, credit or debit services by a
financial institution when the transactions occur between the
same seller and the same buyer on a continuing basis, including
but not limited to use by the holder of a credit card, a debit
card or an automated teller machine card issued by a financial
institution to obtain cash or credit or to debit the holder's
account; + }
{ - (b) - } { + (c) + } A contract in writing for the sale
or lease of a house or business property or the construction of a
new house or business property;
{ - (c) - } { + (d) + } A sale made pursuant to prior
business negotiations relevant to such sale between the parties
at a business establishment at a fixed location where goods or
services are offered or exhibited for sale;
{ - (d) - } { + (e) + } A sale for cash or check in the
amount of less than $25; { - or - }
{ - (e) - } { + (f) + } A sale of insurance, farm equipment
or motor vehicles { - . - } { + ;
(g) Sales of arts and crafts at fairs;
(h) A sale made at a fair, provided the seller maintains a
business establishment at a permanent local address within this
state; or
(i) Except as provided in subsection (3) of this section, a
transaction in which the buyer initiated the contact and
specifically requested the seller to come to the buyer's home for
the purpose of repairing or performing maintenance on the buyer's
personal property.
(3) The provisions of ORS 83.710 to 83.750 apply to a sale
under subsection (2)(i) of this section if the seller, while at
the home of the buyer to repair or perform maintenance on the
buyer's personal property at the request of the buyer, sells the
buyer the right to receive additional goods or services other
than replacement parts necessary to perform the maintenance or to
make the repairs on the buyer's personal property. + }
{ - (3) - } { + (4) + } The provisions of ORS 83.710 to
83.750 relating to telephone solicitation sales apply only to a
sale of periodicals, magazines or any other reading material with
or without illustrations that the buyer is to receive at fixed
intervals and do not apply to sales of newspaper subscriptions or
advertising and sales in which the buyer is offered reasonable
opportunity to preview and return reading material without
contractual obligation.
SECTION 2. ORS 83.720 is amended to read:
83.720. (1) Except as provided in subsection (5) of this
section, in addition to any other right to revoke an offer or
rescind a transaction { - which - } { + that + } the buyer
may have, the buyer has the right to cancel a home solicitation
sale until 12 midnight of the third business day after the day on
which the buyer signs an agreement or offer to purchase
{ - which - } { + that + } complies with ORS 83.710 to 83.750
or pays by cash or check.
(2) Cancellation occurs when the buyer gives written notice of
cancellation to the seller at the address stated in the agreement
or offer to purchase.
(3) Notice of cancellation, if given by mail, is given when it
is deposited in a mailbox properly addressed and postage prepaid.
(4) Notice of cancellation given by the buyer need not take a
particular form and is sufficient if it indicates by a form of
written expression the intention of the buyer not to be bound by
the home solicitation sale.
(5) The buyer may not cancel a home solicitation sale if the
buyer { + initiates the contact with the seller and the
buyer, + } in a separate signed writing not furnished by the
seller { + , + } requests the seller to provide goods or services
without delay because of an emergency, { + describes the
emergency and expressly acknowledges and waives the right to
cancel the sale, + }and { + : + }
(a) The seller in good faith makes a substantial beginning of
performance of the contract before the buyer gives notice of
cancellation { - , - } { + ; + } and
(b) In case of goods, the goods cannot be returned to the
seller in substantially as good condition as when received by the
buyer.
SECTION 3. ORS 83.730 is amended to read:
83.730. (1) { - In a home solicitation sale the seller must
present to the buyer and obtain the signature of the buyer to a
written agreement or offer to purchase which - } { + A home
solicitation sale must be evidenced by a written agreement or
offer to purchase signed by the buyer. At the time a buyer
executes the written agreement or offer to purchase:
(a) The seller must furnish the buyer with a fully completed
copy of the agreement or offer.
(b) The written agreement or offer to purchase must:
(A) + } { - designates - } { + Designate + } as the date of
the transaction the date on which the buyer actually
signs { + ; + } { - and - }
{ + (B) Contain the name of the seller and address of the
seller's place of business;
(C) Be in the same language as the language that is principally
used in the sales presentation; and
(D) + } { - Contains a statement of the buyer's right which
complies with subsection (2) of this section - } { + Contain,
in immediate proximity to a space reserved for the signature of
the buyer, in at least 10-point boldfaced type, a statement in
substantially the following form: + }
________________________________________________________________
{ + You, the buyer, may cancel this transaction at any time
prior to midnight of the third business day after the date of
this transaction. See the attached notice of buyer's right to
cancel for an explanation of the right to cancel. + }
________________________________________________________________
{ + (c) The seller must provide the buyer, by a method chosen
by the seller, with a duplicate copy of the notice of the buyer's
right to cancel described in subsection (2) of this section so
that, if the buyer cancels the transaction, the buyer can retain
a complete copy of the written agreement or offer to purchase. If
both copies of the notice are not attached to the written
agreement or offer to purchase, the seller shall change the last
sentence in the statement required under paragraph (b)(D) of this
subsection to conform to the actual location of the copies of the
notice. Both copies of the notice must contain:
(A) The name of the seller;
(B) The address of the seller's place of business;
(C) The date of the transaction; and
(D) The date, not earlier than the third business day following
the date of the transaction, by which the buyer may give notice
of cancellation.
(d) The seller must orally inform the buyer of the buyer's
right to cancel. + }
(2) The { - statement - } { + notice of the buyer's right
to cancel + } must be in conspicuous type, { - 8-point - }
{ + 10-point + } or larger, and must read as follows:
_________________________________________________________________
{ +
NOTICE OF + } BUYER'S RIGHT TO CANCEL
{ - If this agreement was solicited at a residence other than
that of the seller and you do not want the goods or services, - }
You { + , the buyer, + } may cancel this agreement without any
penalty, cancellation fee or other financial obligation by
mailing { + or delivering + } a notice to the seller. The notice
{ - must say that you do not want the goods or services and - }
must be mailed { + or delivered + } before 12 midnight of the
third business day after you sign this agreement. The notice must
be mailed to:
_________________________________________________________________
_________________________________________________________________
(insert name and mailing address of seller)
However { + , + } { - : - } you may not cancel if you
{ - have - } { + initiated the contact with the seller, + }
requested the seller to provide goods or services without delay
because of an emergency { - , - } and { + expressly
acknowledged and waived the right to cancel the sale, and: + }
(1) The seller in good faith { - makes - } { + made + } a
substantial beginning of performance of the contract before you
{ - give - } { + gave + } notice of cancellation { - , - }
{ + ; + } and
(2) In the case of goods, { + you cannot return + } the goods
{ - cannot be returned - } to the seller in substantially as
good condition as when { + you + } received { - by the
buyer - } { + them + }.
{ + If you cancel:
(1) Any property you traded in, any payments you made under the
sales contract and any checks or notes you signed will be
returned within 10 BUSINESS DAYS following receipt by the seller
of your notice of cancellation. Any security interest that arises
from the transaction will be canceled.
(2) You may either make available to the seller at your
residence, in substantially as good condition as when received,
any goods delivered to you under the sales contract or you may
comply with the seller's instructions regarding the return
shipment of the goods at the seller's expense and risk.
(3) If you make the goods available to the seller at your
residence and the seller does not pick up the goods within 20
days of the date of your notice of cancellation, you may keep or
discard the goods without further obligation.
(4) If you do not make the goods available to the seller, or if
you agree to return the goods to the seller and you do not return
the goods, you must perform all of your obligations under the
sales contract.
(5) If you do not make the goods available to the seller in
substantially as good condition as when you received the goods,
you may be held liable to the seller for any decrease in the
value of the goods.
To cancel this transaction, mail or deliver a signed and dated
copy of this notice or other written expression of your intention
to cancel to (name of seller) at (address of seller's place of
business) NOT LATER THAN 12 MIDNIGHT on (date), the third
business day after you signed this agreement. Saturdays, Sundays
and legal holidays are not counted as business days.
I HEREBY CANCEL THIS TRANSACTION. + }
____NOTE_TO_WEB_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________
____________
___
{ +
(S(Date)r+ }f buyer)
____________________________________________________________
END OF POSSIBLE IRREGULAR TABULAR TEXT
____________________________________________________________
_________________________________________________________________
(3) Until the seller has complied with this section { + , + }
the buyer may cancel the home solicitation sale by notifying the
seller in any manner and by any means of an intention to cancel.
SECTION 4. { + The amendments to ORS 83.710, 83.720 and 83.730
by sections 1, 2 and 3 of this 2003 Act apply only to
transactions entered into on or after the effective date of this
2003 Act. + }
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