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 575
A-Engrossed
Senate Bill 239
Ordered by the Senate March 18
Including Senate Amendments dated March 18
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 Senate Interim Committee on
Judiciary for Oregon State Bar Debtor/Creditor Section)
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.
Requires trustee foreclosing trust deed to record affidavits of
mailing of notice required to be sent to grantor.
Requires grantor to { - assert - } { + inform certain
persons in writing + } that grantor did not receive notice and
did not have actual notice of trustee's sale in order to obtain
rights equivalent to those of omitted party defendant in judicial
foreclosure proceeding.
Declares emergency, effective on passage.
A BILL FOR AN ACT
Relating to notices required for foreclosures of trust deeds;
creating new provisions; amending ORS 86.750 and 86.780 and
section 21, chapter 19, Oregon Laws 2008; and declaring an
emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 86.750 is amended to read:
86.750. (1)(a) Except as provided in paragraph (b) of this
subsection, the notice prescribed in ORS 86.745 shall be served
upon an occupant of the property described in the trust deed in
the manner in which a summons is served pursuant to ORCP 7 D(2)
and 7 D(3) at least 120 days before the day the trustee conducts
the sale.
(b)(A) If service cannot be effected on an occupant as provided
in paragraph (a) of this subsection on the first attempt, the
person attempting service shall post a copy of the notice in a
conspicuous place on the property on the date of the first
attempt. The person attempting service shall make a second
attempt to effect service on a day that is at least two days
after the first attempt.
(B) If service cannot be effected on an occupant as provided in
paragraph (a) of this subsection on the second attempt, the
person attempting service shall post a copy of the notice in a
conspicuous place on the property on the date of the second
attempt. The person attempting service shall make a third attempt
to effect service on a day that is at least two days after the
second attempt.
(C) If service cannot be effected on an occupant as provided in
paragraph (a) of this subsection on the third attempt, the person
attempting service shall send a copy of the notice, bearing the
word 'occupant' as the addressee, to the property address by
first class mail with postage prepaid.
(c) Service on an occupant is deemed effected on the earlier of
the date that notice is served as provided in paragraph (a) of
this subsection or the first date on which notice is posted as
described in paragraph (b)(A) of this subsection.
(2) A copy of the notice of sale shall be published in a
newspaper of general circulation in each of the counties in which
the property is situated once a week for four successive weeks.
The last publication shall be made more than 20 days prior to the
date the trustee conducts the sale.
{ - (3) On or before the date the trustee conducts the sale,
the trustee shall file the following with respect to the notice
of sale for recording in the official record of the county or
counties in which the property described in the deed is
situated: - }
{ + (3) On or before the date the trustee conducts the sale,
the trustee shall file for recording in the official record of
the county or counties in which the property described in the
deed is situated the following affidavits with respect to the
notice of sale: + }
(a) An affidavit of mailing, if any;
(b) An affidavit of service, if any;
(c) An affidavit of service attempts and posting, if any; and
(d) An affidavit of publication.
{ + (4) On or before the date the trustee conducts the sale,
the trustee shall file for recording in the official record of
the county or counties in which the property described in the
deed is situated an affidavit of mailing with respect to the
notice to the grantor required under section 20, chapter 19,
Oregon Laws 2008. + }
SECTION 2. ORS 86.780 is amended to read:
86.780. When the trustee's deed is recorded in the deed records
of the county or counties where the property described in the
deed is situated, the recitals contained in the deed and in the
affidavits required under ORS 86.750 (3) { + and (4) + } shall
be prima facie evidence in any court of the truth of the matters
set forth therein, but the recitals shall be conclusive in favor
of a purchaser for value in good faith relying upon them.
SECTION 3. Section 21, chapter 19, Oregon Laws 2008, is amended
to read:
{ + Sec 21. + } { + (1) + } { - If a notice required by
section 20 of this 2008 Act is not sent to a grantor, and the
grantor does not actually receive a copy of the notice at least
25 days prior to the date the trustee conducts the sale, the - }
{ + A + } grantor shall have the same rights possessed by the
holder of a junior lien or interest who was omitted as a party
defendant in a judicial foreclosure proceeding { - . - } { +
if:
(a) The notice required by section 20, chapter 19, Oregon Laws
2008, is not sent to the grantor;
(b) The grantor does not actually receive a copy of the notice
at least 25 days before the date on which the trustee conducts
the sale; and
(c) The grantor informs the trustee, the purchaser, the
beneficiary or any loan servicer in writing not later than 60
days after the purchaser takes possession of the property upon
which a trust deed was foreclosed that the grantor did not
receive the notice and did not have actual notice of the sale.
(2) + } The purchaser at the trustee's sale, or the purchaser's
heirs, assigns or transferees, shall have the same rights
possessed by a purchaser at a sheriff's sale following a judicial
foreclosure.
SECTION 4. { + The amendments to ORS 86.750 and 86.780 and
section 21, chapter 19, Oregon Laws 2008, by sections 1, 2 and 3
of this 2009 Act apply to trustees' sales under ORS 86.705 to
86.795 that occur on or after the effective date of this 2009
Act. + }
SECTION 5. { + This 2009 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2009 Act takes effect on its
passage. + }
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