72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
 
SA to SB 159
 
LC 528/SB 159-3
 
                      SENATE AMENDMENTS TO
                         SENATE BILL 159
 
               By COMMITTEE ON BUSINESS AND LABOR
 
                            April 15
 
  On page 1 of the printed bill, line 2, after '725.600 ' delete
the rest of the line and insert 'and 725.610.'.
  Delete line 3.
  In line 19, delete 'issued' and insert 'or electronic repayment
agreement provided'.
  Delete line 30.
  On page 2, delete lines 1 through 5.
  In line 6, delete '3' and insert '2'.
  Delete lines 10 through 45.
  Delete page 3 and insert:
  '  { +  SECTION 3. + }  { + Sections 4 and 5 of this 2003 Act
are added to and made a part of ORS 725.600 to 725.625. + }
  '  { +  SECTION 4. + }  { + A lender in the business of making
payday loans may not:
  ' (1) Include in a payday loan contract:
  ' (a) A hold-harmless clause;
  ' (b) A confession of judgment or other waiver of the right to
notice and the opportunity to be heard in an action;
  ' (c) An agreement by the consumer not to assert any claim or
defense arising out of the contract against the lender or any
holder in due course; or
  ' (d) An executory waiver or a limitation of exemption from
attachment, execution or other process on real or personal
property held by, owned by or due to the consumer, unless the
waiver or limitation applies only to property subject to a
security interest executed in connection with the loan;
  ' (2) Conduct a payday loan business where liquor or lottery
tickets are sold or where gambling devices are located;
  ' (3) Charge the consumer more than one fee under ORS 30.701
per loan transaction for dishonored checks when the consumer
issues more than one check to the lender. However, the lender may
recover from the consumer any fee charged to the lender by an
unaffiliated financial institution for each dishonored check;
  ' (4) Renew a payday loan more than three times; or
  ' (5) Make a new payday loan to a consumer on the same day that
a previous payday loan expires if the lender has renewed the
previous payday loan three times. The lender shall wait at least
until the next day after the expiration date of the previous loan
before making the new loan to the consumer. + }
  '  { +  SECTION 5. + }  { + (1) A person claiming to be
aggrieved by a practice that violates section 4 of this 2003 Act,
or the person's attorney, may file with the Director of the
Department of Consumer and Business Services a verified complaint
in writing. The person shall state in the complaint the name and
address of the lender alleged to have committed the unlawful
practice and the particulars of the alleged unlawful practice.
The director may require the person to set forth in the complaint
other information that the director considers pertinent. The
person may file the complaint no later than one year after the
alleged unlawful practice.
  ' (2) After the filing of a complaint under this section, the
director may cause an investigation to be made under ORS
725.310. + }
  '  { +  SECTION 6. + }  { + Sections 4 and 5 of this 2003 Act
and the amendments to ORS 725.600 and 725.610 by sections 1 and 2
of this 2003 Act apply to payday loans offered on or after the
effective date of this 2003 Act. + } ' .
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