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 2516
 
                         Senate Bill 609
 
Sponsored by COMMITTEE ON FINANCE AND REVENUE (at the request of
  Association of Oregon Industries)
 
 
                             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.
 
  Creates rebuttable presumption of harm to party that discloses
confidential business records, tax returns or documents
containing trade secrets in tax court. Modifies procedure for
obtaining protective order before tax court magistrate or judge.
  Applies to appeals of tax court determinations filed on or
after effective date of Act.
  Takes effect on 91st day following adjournment sine die.
 
                        A BILL FOR AN ACT
Relating to protective orders in tax court proceedings; creating
  new provisions; amending ORS 305.430; and prescribing an
  effective date.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 305.430 is amended to read:
  305.430. (1) Except as provided in subsections (2) and (3) of
this section, hearings before the judge or a magistrate of the
tax court shall be open to the public. All proceedings in the
regular division of the tax court shall be reported unless waived
by the parties with the consent of the court. The expense of
reporting shall be paid by the state from the appropriation for
the court.  Proceedings before the magistrate division shall not
be reported.
  (2) If information is confidential under ORS 308.411 (4) or by
court order under ORS 305.420 (4), and is introduced into
evidence in any hearing before the tax court, the court first
shall make such order or orders as are necessary to protect the
confidentiality of the information.
  (3) In any proceeding before a magistrate or before the tax
court judge   { - in which - }   { + involving + } confidential
business records, tax returns or documents containing trade
secrets   { - are - }  to be introduced into evidence, upon
motion of a party to the proceeding, the magistrate or judge may
make such protective orders as may be necessary to protect the
confidentiality of such records or the information contained
therein. In determining whether such protective orders should be
issued,  { + there shall be a rebuttable presumption that
disclosure of confidential business records, tax returns and
documents containing trade secrets will cause harm to the
disclosing party and + } the court shall weigh the  { +
potential + } harm  { + that could be + } suffered by the
disclosing party against any benefit received by the public as a
result of the disclosure. Complaints, pleadings and other filings
containing confidential business record information, tax return
information or trade secret information shall be subject to the
provisions of this subsection.
  (4) In a matter involving a request for a protective order
under subsections (2) and (3) of this section, the decision of
  { - the judge or - }  a magistrate of the tax court  { + may be
appealed to the regular division of the tax court and the
magistrate shall stay the case on the merits until the request
for a protective order is resolved by the tax court judge or the
Supreme Court. A decision of the tax court judge resolving a
request for a protective order + } shall be a final order for
purposes of appeal to the Supreme Court. The parties may appeal
the issue of the protective order to the Supreme Court at any
time after the protective order was granted or denied { +  by the
tax court judge + }.  Upon appeal to the Supreme Court, the
 { - judge or a magistrate of the tax court may - }   { + court
shall + } stay the case on the merits until a resolution of the
protective order issue is determined by the Supreme Court.
  SECTION 2.  { + The amendments to ORS 305.430 by section 1 of
this 2009 Act apply to appeals of tax court determinations filed
on or after the effective date of this 2009 Act. + }
  SECTION 3.  { + This 2009 Act takes effect on the 91st day
after the date on which the regular session of the Seventy-fifth
Legislative Assembly adjourns sine die. + }
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