75th OREGON LEGISLATIVE ASSEMBLY--2009 Regular Session
Enrolled
Senate Bill 206
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 Governor Theodore R.
Kulongoski for Construction Contractors Board)
CHAPTER ................
AN ACT
Relating to persons regulated by the Construction Contractors
Board; creating new provisions; and amending ORS 701.046,
701.098, 701.102, 701.114 and 701.131.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + Section 2 of this 2009 Act is added to and made
a part of ORS chapter 701. + }
SECTION 2. { + (1) Social Security numbers, driver license
numbers, dates of birth and other personal identifier information
included in a license or certificate application filed under this
chapter are confidential. Except as provided in this section, the
Construction Contractors Board may not disclose personal
identifier information contained in a license or certificate
application.
(2) Subsection (1) of this section does not prohibit the board
from making the following disclosures:
(a) Disclosures made with the written consent of the person to
whom the personal identifier information pertains.
(b) Disclosures of information that a license or certificate
holder is required by law or rule to disclose to the public,
including but not limited to board-issued license or certificate
numbers.
(c) Disclosures for the purpose of causing, conducting or
assisting an investigation into possible violations of law, rules
or regulations, including but not limited to disclosures to an
administrative agency, law enforcement agency or district
attorney office. A public body receiving information from the
board under this paragraph may not disclose the information
except as necessary to an investigation or as necessary to
criminal, civil or contested case proceedings. + }
SECTION 3. ORS 701.046 is amended to read:
701.046. (1) { + Except as provided in subsection (2) of this
section, + } an applicant for a construction contractor license
must submit the application on a form prescribed by the
Construction Contractors Board. The application shall include,
but not be limited to, the following information:
(a) The endorsement being sought.
(b) A list of construction debts involving the applicant, or an
owner or officer of the applicant, if the order, award, penalty
Enrolled Senate Bill 206 (SB 206-INTRO) Page 1
or judgment that establishes the debt was issued within the
preceding five years.
(c) For each person described in paragraphs (h) and (i) of this
subsection, a Social Security number.
(d) Workers' compensation insurance account number, if the
applicant is required to have workers' compensation insurance.
(e) Unemployment insurance account number, if the applicant is
required to have unemployment insurance.
(f) State withholding tax account number, if the applicant is
required to withhold state income tax.
(g) Federal employer identification number, if the applicant is
required to have a federal employer identification number.
(h) The name and address of:
(A) Each partner, if the applicant is a partnership, limited
liability partnership or foreign limited liability partnership.
(B) The general partner, if the applicant is a limited
partnership.
(C) Each joint venturer, if the applicant is a joint venture.
(D) The owner, if the applicant is a sole proprietorship.
(E) The officers, if the applicant is a corporation.
(F) The manager and each member, if the applicant is a
manager-managed limited liability company.
(G) Each member, if the applicant is a member-managed limited
liability company.
(H) The responsible managing individual designated by the
applicant.
(I) Each trustee, if the applicant is a trust.
(i) The name and address of the following if the applicant is a
partnership, limited liability partnership, foreign limited
liability partnership, joint venture, manager-managed limited
liability company or member-managed limited liability company:
(A) Each partner in a partnership, limited liability
partnership or foreign limited liability partnership that is a
partner, joint venturer or member of the applicant.
(B) Each general partner in a limited partnership that is a
partner, joint venturer or member of the applicant.
(C) Each joint venturer in a joint venture that is a partner,
joint venturer or member of the applicant.
(D) The manager and each member of a manager-managed limited
liability company that is a partner, joint venturer or member of
the applicant.
(E) Each member of a member-managed limited liability company
that is a partner, joint venturer or member of the applicant.
(F) Each officer of a corporation that is a partner, joint
venturer or member of the applicant.
(G) The general partner in a limited partnership that is a
partner, joint venturer or member of the applicant.
(H) Each individual who has a controlling ownership interest
in, or management authority over, the applicant and who meets
criteria adopted by the board by rule.
(j) For each person described in paragraphs (h) and (i) of this
subsection, information as required by board rule regarding the
following if related to construction activities:
(A) A final judgment against the person by a court in any state
entered within five years preceding the application date that
requires the person to pay money to another person or to a public
body if the judgment remains unsatisfied on the application date.
(B) A final order against the person by an administrative
agency in any state issued within five years preceding the
application date that requires the person to pay money to another
Enrolled Senate Bill 206 (SB 206-INTRO) Page 2
person or to a public body if the order remains unsatisfied on
the application date.
(C) A court action against the person in any state pending on
the application date that alleges the person owes money to
another person or to a public body.
(D) An action by an administrative agency in any state pending
on the application date that seeks an order that the person pay
money to another person or to a public body.
(E) A conviction for a crime listed in ORS 701.098 (1)(i)
entered within five years preceding the application date.
(F) An indictment for a crime listed in ORS 701.098 (1)(i)
filed within five years preceding the application date.
(k) The basis on which the applicant meets the standards for
independent contractor status under ORS 670.600.
{ + (2) Subsection (1)(h) and (i) of this section does not
apply if the applicant is a company that offers securities
registered with the United States Securities and Exchange
Commission for sale to the general public. + }
{ - (2) - } { + (3) + } The application described in
subsection (1) of this section must be accompanied by proof
satisfactory to the board that the applicant:
(a) Is in compliance with ORS 701.091.
(b) Has the legal capacity to enter into contracts.
{ - (3) - } { + (4) + } Subsection { - (2)(a) - } { +
(3)(a) + } of this section does not apply to an applicant for
licensing with endorsement solely as a residential or commercial
developer.
{ - (4) - } { + (5) + } An applicant shall conform to the
information provided by the applicant on the application and to
the terms of the application.
SECTION 4. ORS 701.098 is amended to read:
701.098. (1) The Construction Contractors Board may revoke,
suspend or refuse to issue or reissue a license and the board may
assess a civil penalty as provided in ORS 701.992 if the board
determines after notice and opportunity for hearing:
(a) That the licensee or applicant has violated a provision of
ORS 701.026, 701.091, 701.114, 701.305, 701.320, 701.325 (1),
701.335 or 701.345 or a rule adopted under ORS 701.330 (4).
(b) That the licensee has violated a rule or order of the
board.
(c) That the licensee has knowingly assisted an unlicensed
person to act in violation of this chapter.
(d) That a lien was filed on a structure under ORS 87.010 to
87.060 and 87.075 to 87.093 because the licensee or applicant
wrongfully failed to perform a contractual duty to pay money to
the person claiming the lien.
(e) That the licensee has knowingly provided false information
to the board.
(f) That the licensee has worked without a construction permit
where a permit is required and the work resulted in a complaint
being filed with the board under ORS 701.139. For purposes of
this paragraph, 'construction permit' includes a building permit,
electrical permit, mechanical permit or plumbing permit.
(g) That the number of licensed contractors working together on
the same task on the same job site, where one of the contractors
is licensed as exempt under ORS 701.035 (2)(b), exceeded the
following:
(A) Two sole proprietors;
(B) One partnership;
(C) One corporation; or
Enrolled Senate Bill 206 (SB 206-INTRO) Page 3
(D) One limited liability company.
(h) Consistent with the provisions of ORS 670.280, that the
licensee or applicant, or an owner or officer of the licensee or
applicant has been convicted of one of the following crimes in
this state or an equivalent crime in another state:
(A) Murder;
(B) Assault in the first degree;
(C) Kidnapping;
(D) Rape, sodomy or unlawful sexual penetration;
(E) Sexual abuse;
(F) Arson in the first degree;
(G) Robbery in the first degree;
(H) Theft in the first degree; or
(I) Theft by extortion.
(i) That the licensee or applicant has not, within 90 days
after the date when payment was received from the public
contracting agency, or contractor in the case of a subcontractor,
made payment to any person for supplying labor or materials
contracted for with a public contract for a public improvement
plus the amount of interest due.
(j) That the licensee or applicant has repeatedly reported bad
faith or false complaints of nonpayment against contractors or
subcontractors.
(k) That the licensee or applicant has engaged in conduct as a
contractor that is dishonest or fraudulent and that the board
finds injurious to the welfare of the public.
(2) The board may revoke, suspend or refuse to issue or reissue
a license if the board determines after notice and opportunity
for hearing that an applicant or licensee is unfit for licensure
based upon information submitted { + to the board + } under ORS
701.046 { + , submitted in a registration of securities described
in ORS 701.046 (2) + }or discovered by a board investigation
under ORS 701.225.
(3) The board may assess a civil penalty as provided in ORS
701.992 if the board determines after notice and opportunity for
hearing that any person has violated ORS 701.026 (1).
(4)(a) The administrator of the board, in accordance with
administrative rules adopted by the board and after setting forth
specific reasons for the findings, may suspend or refuse to renew
a license without hearing in any case where the administrator
finds a serious danger to the public welfare, including but not
limited to:
(A) Lack of a surety bond required by ORS 701.068;
(B) Lack of liability insurance required by ORS 701.073;
(C) Hiring employees while licensed as exempt under ORS
701.035;
(D) Conduct as a construction contractor that is dishonest or
fraudulent; or
(E) Failure to pay a construction debt.
(b) If the licensee or applicant demands a hearing within 90
days after the date of notice to the licensee or applicant of the
suspension or refusal to renew, then a hearing must be granted to
the licensee or applicant as soon as practicable after the
demand, and the administrator shall issue, pursuant to the
hearing as required by ORS chapter 183, an order confirming,
altering or revoking the administrator's earlier order.
Notwithstanding ORS 670.325, a hearing need not be held where the
order of suspension or refusal to renew is accompanied by or is
pursuant to a citation for violation that is subject to judicial
determination in any court of this state, and the order by its
Enrolled Senate Bill 206 (SB 206-INTRO) Page 4
terms will terminate in case of final judgment in favor of the
licensee or applicant.
(5)(a) In addition to all other remedies, if the board has
reason to believe that a person is engaging in an act, practice
or transaction that violates this chapter or a board rule, the
board may issue an order directing the person to cease the act or
to take corrective action.
(b) The board shall mail a copy of an order issued under this
subsection to the person by first class mail with certificate of
mailing. The board shall include with the order a notice
informing the person of the right to request a hearing concerning
the order. The notice shall inform the person that any hearing
request must be received by the board no later than 21 days after
the date the order was mailed by the board.
(c) If the board receives a timely request for a hearing
concerning an order issued under this subsection, the board shall
schedule the hearing no later than 30 days after receiving the
request. The board shall mail written notice of the hearing to
the person by first class mail with certificate of mailing no
later than seven days before the scheduled hearing date.
(d) An order described in this subsection becomes final if the
person does not file a timely request for a hearing concerning
the order or fails to appear at the requested hearing as
scheduled.
(e) The issuance of a board order under this subsection is
subject to ORS 183.413 to 183.497.
(6) In addition to all other remedies, if it appears to the
board that a person has engaged in, or is engaging in, any act,
practice or transaction that violates the provisions of this
chapter, the board may direct the Attorney General or the
district attorney of the county in which the act, practice or
transaction occurs, to apply to the court for an injunction
restraining the person from violating the provisions of this
chapter. An injunction may not issue for failure to maintain the
list provided for in ORS 701.345, unless the court determines
that the failure is intentional.
(7) A certified copy of the record of conviction shall be
conclusive evidence of a conviction under subsection (1)(h) of
this section.
(8) If the board suspends or revokes the license of an
individual contractor or contractor business for a violation of
subsection (1)(g) of this section, the board may not restore or
reissue the license unless the individual contractor or a
responsible managing individual for the contractor business has
successfully completed the training and testing described in ORS
701.122.
SECTION 5. ORS 701.098, as amended by section 63, chapter 836,
Oregon Laws 2007, is amended to read:
701.098. (1) The Construction Contractors Board may revoke,
suspend or refuse to issue or reissue a license and the board may
assess a civil penalty as provided in ORS 701.992 if the board
determines after notice and opportunity for hearing:
(a) That the licensee or applicant has violated a provision of
this chapter.
(b) That the licensee has violated a rule or order of the
board.
(c) That the licensee has knowingly assisted an unlicensed
person to act in violation of this chapter.
Enrolled Senate Bill 206 (SB 206-INTRO) Page 5
(d) That the licensee has knowingly assisted a licensed
contractor to perform work for which the contractor is not
properly endorsed.
(e) That a lien was filed on a structure under ORS 87.010 to
87.060 and 87.075 to 87.093 because the licensee or applicant
wrongfully failed to perform a contractual duty to pay money to
the person claiming the lien.
(f) That the licensee has knowingly provided false information
to the board.
(g) That the licensee has worked without a construction permit
where a permit is required and the work resulted in a complaint
being filed with the board under ORS 701.139. For purposes of
this paragraph, 'construction permit' includes a building permit,
electrical permit, mechanical permit or plumbing permit.
(h) That the number of licensed contractors working together on
the same task on the same job site, where one of the contractors
is classed as exempt under ORS 701.035 (2)(b), exceeded the
following:
(A) Two sole proprietors;
(B) One partnership;
(C) One corporation; or
(D) One limited liability company.
(i) Consistent with the provisions of ORS 670.280, that the
licensee or applicant, or an owner or officer of the licensee or
applicant has been convicted of one of the following crimes in
this state or an equivalent crime in another state:
(A) Murder;
(B) Assault in the first degree;
(C) Kidnapping;
(D) Rape, sodomy or unlawful sexual penetration;
(E) Sexual abuse;
(F) Arson in the first degree;
(G) Robbery in the first degree;
(H) Theft in the first degree; or
(I) Theft by extortion.
(j) That the licensee or applicant has not, within 90 days
after the date when payment was received from the public
contracting agency, or contractor in the case of a subcontractor,
made payment to any person for supplying labor or materials
contracted for with a public contract for a public improvement
plus the amount of interest due.
(k) That the licensee or applicant has repeatedly reported bad
faith or false complaints of nonpayment against contractors or
subcontractors.
(L) That the licensee or applicant has engaged in conduct as a
contractor that is dishonest or fraudulent and that the board
finds injurious to the welfare of the public.
(2) The board may revoke, suspend or refuse to issue or reissue
a license if the board determines after notice and opportunity
for hearing that an applicant or licensee is unfit for licensure
based upon information submitted { + to the board + } under ORS
701.046 { + , submitted in a registration of securities described
in ORS 701.046 (2) + }or discovered by a board investigation
under ORS 701.225.
(3) The board may assess a civil penalty as provided in ORS
701.992 if the board determines after notice and opportunity for
hearing that any person has violated ORS 701.021.
(4)(a) The administrator of the board, in accordance with
administrative rules adopted by the board and after setting forth
specific reasons for the findings, may suspend or refuse to renew
Enrolled Senate Bill 206 (SB 206-INTRO) Page 6
a license without hearing in any case where the administrator
finds a serious danger to the public welfare, including but not
limited to:
(A) Lack of a surety bond required by ORS 701.068;
(B) Lack of liability insurance required by ORS 701.073;
(C) Hiring employees while classed as exempt under ORS 701.035;
(D) Conduct as a construction contractor that is dishonest or
fraudulent; or
(E) Failure to pay a construction debt.
(b) If the licensee or applicant demands a hearing within 90
days after the date of notice to the licensee or applicant of the
suspension or refusal to renew, then a hearing must be granted to
the licensee or applicant as soon as practicable after the
demand, and the administrator shall issue, pursuant to the
hearing as required by ORS chapter 183, an order confirming,
altering or revoking the administrator's earlier order.
Notwithstanding ORS 670.325, a hearing need not be held where the
order of suspension or refusal to renew is accompanied by or is
pursuant to a citation for violation that is subject to judicial
determination in any court of this state, and the order by its
terms will terminate in case of final judgment in favor of the
licensee or applicant.
(5)(a) In addition to all other remedies, if the board has
reason to believe that a person is engaging in an act, practice
or transaction that violates this chapter or a board rule, the
board may issue an order directing the person to cease the act or
to take corrective action.
(b) The board shall mail a copy of an order issued under this
subsection to the person by first class mail with certificate of
mailing. The board shall include with the order a notice
informing the person of the right to request a hearing concerning
the order. The notice shall inform the person that any hearing
request must be received by the board no later than 21 days after
the date the order was mailed by the board.
(c) If the board receives a timely request for a hearing
concerning an order issued under this subsection, the board shall
schedule the hearing no later than 30 days after receiving the
request. The board shall mail written notice of the hearing to
the person by first class mail with certificate of mailing no
later than seven days before the scheduled hearing date.
(d) An order described in this subsection becomes final if the
person does not file a timely request for a hearing concerning
the order or fails to appear at the requested hearing as
scheduled.
(e) The issuance of a board order under this subsection is
subject to ORS 183.413 to 183.497.
(6) In addition to all other remedies, if it appears to the
board that a person has engaged in, or is engaging in, any act,
practice or transaction that violates the provisions of this
chapter, the board may direct the Attorney General or the
district attorney of the county in which the act, practice or
transaction occurs, to apply to the court for an injunction
restraining the person from violating the provisions of this
chapter. An injunction may not issue for failure to maintain the
list provided for in ORS 701.345, unless the court determines
that the failure is intentional.
(7) A certified copy of the record of conviction shall be
conclusive evidence of a conviction under subsection (1)(i) of
this section.
Enrolled Senate Bill 206 (SB 206-INTRO) Page 7
(8) If the board suspends or revokes the license of an
individual contractor or contractor business for a violation of
subsection (1)(h) of this section, the board may not restore or
reissue the license unless the individual contractor or a
responsible managing individual for the contractor business has
successfully completed the training and testing described in ORS
701.122.
SECTION 6. ORS 701.102 is amended to read:
701.102. (1) As used in this section, 'construction contractor
license' means a license issued within the United States to
engage in the business of construction contracting.
(2) The Construction Contractors Board may revoke, suspend or
refuse to issue a license required under this chapter to a
business if:
(a) The business owes a construction debt or has had a
construction contractor license revoked or suspended;
(b) An owner, officer or responsible managing individual of the
business owes a construction debt or has had a construction
contractor license revoked or suspended;
(c) An owner, officer or responsible managing individual of the
business was an owner, officer or responsible managing individual
of another business at the time the other business incurred a
construction debt that is owing or at the time of an event that
resulted in the revocation or suspension of the other business's
construction contractor license; or
(d) The board determines that an owner, officer or responsible
managing individual of the business is not fit for licensure,
based upon information submitted { + to the board + } under ORS
701.046 { + , submitted in a registration of securities described
in ORS 701.046 (2) + }or discovered by a board investigation
under ORS 701.225.
(3) The board may place a contractor on probation if a total of
three or more complaints are filed with the board under ORS
701.139 within a 12-month period against the contractor or a
former licensed construction contracting business in which the
contractor held at least a 10 percent ownership interest,
measured as determined by board rule. A contractor may not be
placed on probation unless the board determines after
investigation that it is likely that the contractor has caused
harm to the complainants. The board may require a contractor
that is placed on probation to develop a corrective action plan,
to attend specific classes and to resolve outstanding complaints.
The board may require a contractor that is placed on probation to
take training and pass a test, both as described in ORS 701.122.
The board shall take action to terminate the contractor's license
if the contractor is unwilling or unable to comply with the
conditions of probation.
SECTION 7. ORS 701.114 is amended to read:
701.114. { + (1) Except as provided in this subsection, + }a
contractor licensed under this chapter shall immediately notify
the Construction Contractors Board of any change in the identity,
name or address of a person who holds a position with the
contractor that is described in ORS 701.046 (1)(h) or (i) or of a
responsible managing individual for the contractor as defined in
ORS 701.091. { + A contractor described in ORS 701.046 (2) is
not required to report a change in the identity, name or address
of a person described in ORS 701.046 (1)(h) or (i).
(2) Except as provided in this subsection, + }if a partner or
joint venturer departs from a contractor that is a partnership or
joint venture, the contractor must obtain a new license before
Enrolled Senate Bill 206 (SB 206-INTRO) Page 8
continuing to conduct activities that require a license under
this chapter. { + A contractor described in ORS 701.046 (2) that
is a partnership or joint venture is not required to obtain a new
license upon departure of a partner or joint venturer. + }
SECTION 8. ORS 701.131 is amended to read:
701.131. (1) Except as provided in subsection (2) of this
section, a contractor may not perfect a construction lien, file a
complaint with the Construction Contractors Board or commence an
arbitration or a court action for compensation for the
performance of any work or for the breach of any contract for
work that is subject to this chapter, unless the contractor had a
valid license issued by the board:
(a) At the time the contractor bid or entered into the contract
for performance of the work; and
(b) Continuously while performing the work for which
compensation is sought.
(2) The board, arbitrator or court may not apply the provisions
of subsection (1) of this section to a contractor if the board,
arbitrator or court determines that:
(a) The contractor either did not have a valid license at any
time required under subsection (1) of this section, or had an
initial issuance of a valid license, and:
(A) The contractor was not aware of the requirement that the
contractor be licensed, and the contractor submitted a completed
application for a license within a number of days established by
the board, but not more than 90 days, of the date the contractor
became aware of the requirement;
(B) At the time the contractor perfected a construction lien or
commenced any proceeding subject to the provisions of subsection
(1) of this section, the contractor was licensed by the board;
and
(C) Enforcement of the provisions of subsection (1) of this
section would result in substantial injustice to the contractor;
(b) The contractor was licensed by the board for some but not
all of the times required under subsection (1) of this section
and had a lapse in the license and:
(A) The contractor was not aware of the lapse in the license
for more than a number of days established by the board, but not
to exceed 90 days, before submitting a completed application for
license renewal with the board;
(B) Except for perfection of a construction lien and a court
action to foreclose the lien, at the time the contractor
commenced any proceeding subject to the provisions of subsection
(1) of this section the contractor's license was renewed under
ORS 701.063 to include the entire time period for which a license
was required under subsection (1) of this section; and
(C) For perfection of a construction lien and a court action to
foreclose the lien, the contractor's license was renewed under
ORS 701.063 for the entire time period for which a license was
required under subsection (1) of this section, but not later than
90 days following perfection of the lien;
(c)(A) The contractor is a licensed developer and did not have
a valid license during all or part of the period described in
subsection (1) of this section;
(B) The licensed developer was unaware of the license
requirement and obtained a license within a time established by
the board, not to exceed 90 days after the licensed developer
learned of the requirement;
Enrolled Senate Bill 206 (SB 206-INTRO) Page 9
(C) The licensed developer was licensed at the time the
licensed developer perfected the lien or commenced the
proceeding; and
(D) Enforcement of subsection (1) of this section would result
in substantial injustice to the licensed developer; or
(d) The proceeding:
(A) Is directed against a person or entity that:
(i) Is subject to this chapter or ORS chapter 671 or 672;
(ii) Provides construction or design labor or services of any
kind; or
(iii) Manufactures, distributes, rents or otherwise provides
materials, supplies, equipment, systems or products; and
(B) Arises out of defects, deficiencies or inadequate
performance in the construction, design, labor, services,
materials, supplies, equipment, systems or products provided.
(3) { - If - } A contractor { + that + } falsely swears to
information
{ - provided - } { + submitted to the board + } under ORS
701.046 { + or submitted in a registration of securities
described in ORS 701.046 (2), + }or { + that + } knowingly
violates the provisions of ORS 656.029, 670.600 or 701.046,
{ - the contractor - } may not perfect a construction lien,
file a complaint with the board or commence an arbitration or a
court action for compensation for the performance of any work on
a residential structure or for the breach of any contract for
work on a residential structure that is subject to this chapter.
SECTION 9. ORS 701.131, as amended by section 58, chapter 836,
Oregon Laws 2007, is amended to read:
701.131. (1) Except as provided in subsection (2) of this
section, a contractor may not perfect a construction lien, file a
complaint with the Construction Contractors Board or commence an
arbitration or a court action for compensation for the
performance of any work or for the breach of any contract for
work that is subject to this chapter, unless the contractor had a
valid license issued by the board and properly endorsed for the
work performed:
(a) At the time the contractor bid or entered into the contract
for performance of the work; and
(b) Continuously while performing the work for which
compensation is sought.
(2) The board, arbitrator or court may not apply the provisions
of subsection (1) of this section to a contractor if the board,
arbitrator or court determines that:
(a) The contractor either did not have a valid license with a
proper endorsement at any time required under subsection (1) of
this section, or had an initial issuance of a valid license, and:
(A) The contractor was not aware of the requirement that the
contractor be licensed or properly endorsed for the work
performed, and the contractor submitted a completed application
for a license within a number of days established by the board,
but not more than 90 days, of the date the contractor became
aware of the requirement;
(B) At the time the contractor perfected a construction lien or
commenced any proceeding subject to the provisions of subsection
(1) of this section, the contractor was licensed by the board and
properly endorsed for the work performed; and
(C) Enforcement of the provisions of subsection (1) of this
section would result in substantial injustice to the contractor;
Enrolled Senate Bill 206 (SB 206-INTRO) Page 10
(b) The contractor was licensed by the board for some but not
all of the times required under subsection (1) of this section
and had a lapse in the license and:
(A) The contractor was not aware of the lapse in the license
for more than a number of days established by the board, but not
to exceed 90 days, before submitting a completed application for
license renewal with the board;
(B) Except for perfection of a construction lien and a court
action to foreclose the lien, at the time the contractor
commenced any proceeding subject to the provisions of subsection
(1) of this section the contractor's license was renewed under
ORS 701.063 to include the entire time period for which a license
was required under subsection (1) of this section; and
(C) For perfection of a construction lien and a court action to
foreclose the lien, the contractor's license was renewed under
ORS 701.063 for the entire time period for which a license was
required under subsection (1) of this section, but not later than
90 days following perfection of the lien; or
(c) The proceeding:
(A) Is directed against a person or entity that:
(i) Is subject to this chapter or ORS chapter 671 or 672;
(ii) Provides construction or design labor or services of any
kind; or
(iii) Manufactures, distributes, rents or otherwise provides
materials, supplies, equipment, systems or products; and
(B) Arises out of defects, deficiencies or inadequate
performance in the construction, design, labor, services,
materials, supplies, equipment, systems or products provided.
(3) { - If - } A contractor { + that + } falsely swears to
information
{ - provided - } { + submitted to the board + } under ORS
701.046 { + or submitted in a registration of securities
described in ORS 701.046 (2), + }or { + that + } knowingly
violates the provisions of ORS 656.029, 670.600 or 701.046,
{ - the contractor - } may not perfect a construction lien,
file a complaint with the board or commence an arbitration or a
court action for compensation for the performance of any work on
a residential structure or for the breach of any contract for
work on a residential structure that is subject to this chapter.
SECTION 10. { + (1) Section 2 of this 2009 Act applies to the
disclosure on or after the effective date of this 2009 Act of
information that the Construction Contractors Board receives
before, on or after the effective date of this 2009 Act.
(2) The amendments to ORS 701.046 by section 3 of this 2009 Act
apply to applications submitted on or after the effective date of
this 2009 Act.
(3) The amendments to ORS 701.098, 701.102 and 701.131 by
sections 4 to 6, 8 and 9 of this 2009 Act apply to information
submitted in a registration of securities before, on or after the
effective date of this 2009 Act.
(4) The amendments to ORS 701.114 by section 7 of this 2009 Act
apply to changes in identity, name or address, and to withdrawals
of partners or joint venturers, occurring on or after the
effective date of this 2009 Act. + }
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Enrolled Senate Bill 206 (SB 206-INTRO) Page 11
Passed by Senate February 16, 2009
...........................................................
Secretary of Senate
...........................................................
President of Senate
Passed by House May 22, 2009
...........................................................
Speaker of House
Enrolled Senate Bill 206 (SB 206-INTRO) Page 12
Received by Governor:
......M.,............., 2009
Approved:
......M.,............., 2009
...........................................................
Governor
Filed in Office of Secretary of State:
......M.,............., 2009
...........................................................
Secretary of State
Enrolled Senate Bill 206 (SB 206-INTRO) Page 13