75th OREGON LEGISLATIVE ASSEMBLY--2009 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 867
 
                         Senate Bill 213
 
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.
 
  Expands scope of prohibition on cigarette sales of tobacco
product manufacturers not listed on Attorney General directory to
include sales occurring out-of-state or over Internet. Authorizes
imposition of civil penalty for violation of prohibition.
 
                        A BILL FOR AN ACT
Relating to the Attorney General's regulation of tobacco;
  amending ORS 180.440 and 180.455.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 180.440 is amended to read:
  180.440. (1) A person may not:
  (a) Affix a stamp to a package or other container of cigarettes
of a tobacco product manufacturer or brand family that is not
included in the directory developed under ORS 180.425;
  (b) Sell, offer for sale or possess for sale   { - in this
state - } cigarettes of a tobacco product manufacturer or brand
family that the person acquired at a time when the tobacco
product manufacturer or brand family was not included in the
directory developed under ORS 180.425; or
  (c) Possess in this state for sale in another jurisdiction
cigarettes of a tobacco product manufacturer or brand family that
the person acquired at a time when the tobacco product
manufacturer or brand family was not included in the directory
developed under ORS 180.425 and was not in compliance with the
Master Settlement Agreement qualifying statute in the other
jurisdiction or with statutes that supplement the qualifying
statute in that jurisdiction.
  (2) A person who sells, offers for sale, distributes, acquires,
holds, owns, possesses, transports, imports or causes to be
imported cigarettes that the person knows or should know are
intended for sale or distribution in violation of subsection (1)
of this section commits a Class A misdemeanor.
  SECTION 2. ORS 180.455 is amended to read:
  180.455. (1) Upon a determination that a distributor has
violated ORS 180.440, the Department of Revenue may revoke or
suspend the license of the distributor in the manner provided by
 
ORS 323.140. Each stamp affixed and each offer to sell cigarettes
in violation of ORS 180.440 constitutes a separate violation.
  (2) Upon a determination that a person applying for a license
under ORS 323.105 has violated ORS 180.440 at any time within the
five years preceding the application, the department may refuse
to issue the license. The department shall provide opportunity
for hearing and judicial review in the manner provided in ORS
323.140.
  (3)(a) Upon a determination that a person has violated ORS
180.440 (1)(b) or (c), the department may impose a civil penalty
in an amount not to exceed the greater of $5,000 or 500 percent
of the retail value of the cigarettes sold, offered for sale or
possessed for sale. Judicial review of an order imposing a civil
penalty shall be as provided in ORS 305.445 and 305.501.
  (b) Upon a determination that a person has violated ORS 180.440
(1)(a), the department may impose a civil penalty in an amount
not to exceed $5,000. Judicial review of an order imposing a
civil penalty shall be as provided in ORS 305.445 and 305.501.
  (4) The Attorney General may seek an injunction to restrain a
threatened or actual violation of ORS 180.435 or 180.440 by a
  { - distributor - }  { +  person + } and to compel the
 { - distributor - }  { +  person + } to comply with those
sections. In any action brought pursuant to this subsection, the
state may recover the costs of investigation, the costs of the
action   { - and - }  { + , + } reasonable attorney fees
 { - . - }  { +  and a civil penalty for each violation not to
exceed $5,000. The civil penalty must be imposed in the manner
provided by ORS 183.745. + }
  (5) A person who violates ORS 180.440 (1) engages in an
unlawful practice in violation of ORS 646.608.
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