Chapter 594 Oregon Laws 1999

Session Law

AN ACT

HB 2742

Relating to savings associations; creating new provisions; and amending ORS 722.262.

Be It Enacted by the People of the State of Oregon:

SECTION 1. ORS 722.262 is amended to read:

722.262. (1) On the death of an account holder or a holder of a demand deposit account, if the savings liability of an association or federal association on all savings accounts of the deceased, and the amounts held in all demand deposit accounts of the deceased, is [$15,000] $25,000 or less, the association or federal association may, upon receipt of an affidavit from the person claiming the account, pay the withdrawal value of the accounts of the deceased holder:

(a) To the surviving spouse;

(b) If there is no surviving spouse, to the surviving children 18 years of age or older;

(c) If [the account holder left] there is no surviving spouse or surviving children 18 years of age or older, to the [account holder's] surviving parents; or

(d) If there is no surviving spouse, surviving child 18 years of age or older or surviving parent, to the [account holder's] surviving brothers and sisters 18 years of age or older.

(2) If the deceased account holder or holder of a demand deposit account received public assistance pursuant to ORS chapter 411, 412, 413 or 414, the Adult and Family Services Division may claim such withdrawal value by filing an affidavit in the form prescribed by subsection (3) of this section and the Adult and Family Services Division shall be preferred to all other claimants except a surviving spouse.

(3) The affidavit of the person or the Adult and Family Services Division claiming the account shall:

(a) State where and when the account holder or holder of a demand deposit account died;

(b) State that the total withdrawal value of all savings and demand deposit accounts of the deceased holder in all associations in Oregon, including federal associations, does not exceed [$15,000] $25,000;

(c) Show the relationship of the affiant or affiants to the deceased holder; and

(d) Embody a promise to pay the expenses of last sickness, funeral expenses and just debts of the deceased out of the account to the full extent of the account if necessary and to distribute any balance to those persons entitled thereto by law.

(4) In the event the decedent died intestate without known heirs, the Director of the Division of State Lands shall be the affiant.

[(4)] (5) A savings association or federal association is under no obligation to determine the relationship of the affiant to the deceased. Payment made in good faith to the person or the Adult and Family Services Division making the affidavit is a full acquittance and release of the association or federal association for the amount so paid.

[(5)] (6) A probate proceeding is not necessary to establish the right of the surviving spouse, surviving children, surviving parent or surviving brothers and sisters to withdraw [a savings] an account as provided by this section. However, if a personal representative is appointed in an estate of a deceased [account holder] person whose account has been withdrawn under this section, the person or the Adult and Family Services Division withdrawing the account shall account for it to the personal representative.

SECTION 2. The amendments to ORS 722.262 by section 1 of this 1999 Act apply to withdrawals from savings accounts or demand deposit accounts when the death of the account holder or holder of the demand deposit account occurs on or after the effective date of this 1999 Act.

Approved by the Governor July 12, 1999

Filed in the office of Secretary of State July 12, 1999

Effective date October 23, 1999

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