75th OREGON LEGISLATIVE ASSEMBLY--2009 Regular Session
Enrolled
Senate Bill 687
Sponsored by COMMITTEE ON JUDICIARY (at the request of
Representative Tina Kotek)
CHAPTER ................
AN ACT
Relating to lawyer trust accounts; amending ORS 98.352, 98.386
and 98.392; and appropriating money.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 98.352 is amended to read:
98.352. (1) Every person holding funds or other property,
tangible or intangible, presumed abandoned under ORS 98.302 to
98.436 and 98.992 shall report and pay or deliver to the
Department of State Lands all property presumed abandoned as
provided in this section, except that:
(a) Funds transferred to the General Fund under ORS 293.455
(1)(a) shall only be reported to the department.
(b) Funds in the possession of the Child Support Program
described in ORS 180.345 shall only be reported to the
department.
{ + (c) Funds in lawyer trust accounts shall only be reported
to the department. + }
(2) The report shall be verified as to the accuracy of the
information contained and shall include:
(a) Except with respect to traveler's checks and money orders,
the name, if known, and address, if known, of each person
appearing from the records of the holder to be the owner of any
property of value of $50 or more presumed abandoned under ORS
98.302 to 98.436 and 98.992;
(b) In case of unclaimed funds of life insurance corporations,
the full name of the insured or annuitant and last-known address
according to the life insurance corporation's records;
(c) The nature and identifying number, if any, or description
of the property and the amount appearing from the records to be
due, except that items of value under $50 each may be reported in
aggregate;
(d) The date when the property became payable, demandable, or
returnable, and the date of the last transaction with the owner
with respect to the property; and
(e) Other information that the department prescribes by rule as
necessary for the administration of ORS 98.302 to 98.436 and
98.992.
(3) If the person holding property presumed abandoned is a
successor to other persons who previously held the property for
the owner, or if the holder has had a name change while holding
the property, the holder shall file with the report all prior
Enrolled Senate Bill 687 (SB 687-A) Page 1
known names and addresses and effective dates of changes if known
of each holder of the property.
(4) The report shall be filed after October 1, but no later
than November 1 of each year for accounts dormant as of June 30.
The department may postpone the reporting date upon written
request by any person required to file a report. All records are
exempt from public review for 12 months from the time the
property is reportable and for 24 months after the property has
been remitted to the department. All lists of records or property
held by a government or public authority under ORS 98.336 shall
be exempt from public review until 24 months after the property
is remitted to the department.
(5) If the holder of property presumed abandoned under ORS
98.302 to 98.436 and 98.992 knows the whereabouts of the owner
and if the owner's claim has not been barred by the statute of
limitations, the holder shall, before filing the annual report,
communicate with the owner and take necessary steps to prevent
abandonment from being presumed. The holder shall exercise due
diligence to ascertain the whereabouts of the owner.
{ + (6) If the property presumed abandoned is a lawyer trust
account established by an attorney or law firm, the report
required by this section must indicate that the account is a
lawyer trust account in addition to providing the information
required by subsection (2) of this section. + }
{ - (6) - } { + (7) + } Verification, if made by a
partnership, shall be executed by a partner; if made by an
unincorporated association or private corporation, by an officer;
and if made by a public corporation, by its chief fiscal officer.
SECTION 2. ORS 98.386 is amended to read:
98.386. (1) { + Except as provided in subsection (2) of this
section, + } all funds received under ORS 98.302 to 98.436 and
98.992, including the proceeds from the sale of unclaimed
property under ORS 98.382, shall be deposited by the Department
of State Lands in the Common School Fund Account with the State
Treasurer. Before making the deposit the department shall record
the name and last-known address of each person appearing from the
holders' reports to be entitled to the unclaimed property and the
name and last-known address of each insured person or annuitant,
and with respect to each policy or contract listed in the report
of a life insurance corporation, its number, the name of the
corporation, and the amount due.
{ + (2) Any amounts identified as lawyer trust account funds
in the report required by ORS 98.352 shall be paid or delivered
by the person holding the amounts to the Oregon State Bar along
with a copy of the report. All amounts paid or delivered to the
Oregon State Bar under this section are continuously appropriated
to the Oregon State Bar, and may be used only for the funding of
legal services provided through the Legal Services Program
established under ORS 9.572, the payment of claims allowed under
ORS 98.392 (2) and the payment of expenses incurred by the Oregon
State Bar in the administration of the Legal Services
Program. + }
{ - (2) - } { + (3) + } Before making a deposit to the
credit of the Common School Fund Account, the department may
deduct:
(a) Any costs in connection with sale of unclaimed property;
(b) Any costs of mailing and publication in connection with
efforts to locate owners of unclaimed property as prescribed by
rule; and
(c) Reasonable service charges.
Enrolled Senate Bill 687 (SB 687-A) Page 2
SECTION 3. ORS 98.392 is amended to read:
98.392. { + (1) + } A person claiming an interest in unclaimed
property reported to the Department of State Lands may file a
claim to the property or to the proceeds from the sale of the
property at any time after the person learns that the property
has been reported to the department. Claims shall be filed on the
form prescribed by the department. The department may require the
person to provide a lost instrument bond if the claim is for
securities and the person does not surrender the original
certificate to the department.
{ + (2) If a claim is filed under this section for amounts
identified as lawyer trust account funds in the report required
by ORS 98.352, the department shall forward the claim to the
Oregon State Bar for review and for payment by the Oregon State
Bar if the claim is allowed. The department and the Oregon State
Bar shall adopt rules for the administration of claims subject to
this subsection. + }
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Passed by Senate May 5, 2009
...........................................................
Secretary of Senate
...........................................................
President of Senate
Passed by House June 2, 2009
...........................................................
Speaker of House
Enrolled Senate Bill 687 (SB 687-A) Page 3
Received by Governor:
......M.,............., 2009
Approved:
......M.,............., 2009
...........................................................
Governor
Filed in Office of Secretary of State:
......M.,............., 2009
...........................................................
Secretary of State
Enrolled Senate Bill 687 (SB 687-A) Page 4