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Black Helterline News, Articles & Events
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Related Attorneys

  • Margaret E. Schroeder

Practice Areas

  • Real Estate, Land Use, Environmental and Construction

News & Articles

2009 Legislative Session – Notable Real Estate Legislation

08/12/2009

1. Landowner Immunity Extended for Public Recreational Use

Extends landowner immunity for the public's use of land for recreational purposes, which includes gardening, woodcutting, and harvesting of special forest products. Extends immunity for the use of paths, trails, roads, watercourses and other rights of way that are used by a person to reach land for recreational purposes, provided the right-of-way is on land that is adjacent to land that the person intends to use for recreational purposes, gardening, woodcutting or harvesting of special forest products. Also requires that a landowner charge no more than $25 per year for use of land for gardening or no more than $75 for permission to enter or per cord for woodcutting.

House Bill 2003 (effective January 1, 2010)

2. Owner of Improvement or Land Seeking Release of Lien Must File Surety Bond with the County Recording Officer or County Treasurer

Clarifies distribution procedure county treasurer or recorder must follow upon resolution of lien claim dispute. States that the county or an officer or employee of the county may not be named or otherwise made a party to the lien claim. Upon filing the bond with the county recorder or treasurer, the property described in the claim of lien is freed of the lien and the lien attaches to the bond filed.

House Bill 2349 (effective January 1, 2010)

3. List of Parties Exempt from Real Estate Licensing Law Enlarged

Adds (1) regular full time employees of a limited liability company; (2) individuals who are the sole member or managing member of a domestic or foreign limited liability company engaging in the acquisition, sale, exchange, lease, transfer, or management of the real estate of the limited liability company; (3) individuals who are partners in a partnership engaging in the acquisition, sale, exchange, lease, transfer, or management of the real estate of the partnership; and (4) individuals who are officers or directors of a corporation engaging in the acquisition, sale, exchange, lease, transfer, or management of the real estate of the corporation to the list of individuals exempt from real estate licensing requirements.

House Bill 2418 (effective January 1, 2010)

4. Reservation of Right to Payment or Profit on Transfer of Fee Simple Interest in Property Prohibited

Generally prohibits the conveyance of or agreement for transfer of real property that imposes fees or other consideration upon actual or purported future transfer of the property.

House Bill 2481 (effective June 17, 2009)

5. Form for Correction of Errors in Recorded Trust Deed Created

Creates a form to be used to correct an error concerning the status of a recorded trust deed.

House Bill 2759 (effective January 1, 2010)

6. Allows Farm Use Special Assessment for Farm Parcels on which Severe Adverse Conditions are Being Remediated or Mitigated

Allows land to qualify as farm use and thereby be specially assessed for ad valorem tax purposes if land is undergoing remediation of severe adverse conditions pursuant to a remediation plan. A remediation plan is a plan certified by an extension agent to remediate or mitigate severe adverse conditions on farmland, and ‘severe adverse conditions on farmland' is defined as conditions that render impracticable continued farm use and that are not due to an intentional or negligent act or omission by the owner, tenant or lessee of the farmland or the applicant for certification of a remediation plan. An application for farm use special assessment pursuant to a remediation plan must be filed within 180 days after the effective date of the bill. Exempts hoop houses and other structures that are primarily used to grow plants, are covered with transparent or translucent material like polyethylene, and do not have a permanent heat source from ad valorem taxes.

House Bill 2904 (effective September 28, 2009)

7. Task Force on Energy Performance Scores Created to Study and Evaluate Energy Use in New and Existing Commercial and Residential Buildings

Creates task force to study and evaluate energy use in commercial and residential buildings and to make recommendations regarding the implementation of a statewide mandatory energy performance scoring system for new and existing commercial and residential buildings.

Senate Bill 79 (effective July 22, 2009)

8. Realtor Required to Place Real Estate Client Trust Funds in Licensed, Neutral Escrow Depository

Allows a real estate licensee who is a sole practitioner, principal real estate broker, or real estate property manager to conduct real estate activity under the name of the licensee, a registered business name, or a name prescribed by rule of the Real Estate Agency. Provides for civil penalties against a licensee who is a property manager or real estate broker if the licensee fails to comply with rules that require the licensee to produce for inspection records related to the management of rental real estate maintained by the licensee. Requires that the escrow agent with whom trust funds are placed be licensed.

Senate Bill 140 (effective January 1, 2010)

9. Revisions to ORS Chapter 701 Relating to Construction Contractors

Expands the consumer notice requirement to include the original purchaser of a residential structure or zero-lot-line dwelling. Makes standard contractual term requirement regarding notice summary applicable to zero-lot-line dwelling contracts. Specifies time for a contractor to provide a recommended maintenance schedule to property owner or original purchaser. Eliminates the requirement that a maintenance schedule be acknowledged in the contract and eliminates requirement that the CCB make minimum information required for a recommended maintenance schedule available to construction contractors without charge. Makes warranty offer requirement applicable to newly constructed residential structure or zero-lot-line dwellings sold by a contractor. Identifies types of work subject to the written contract requirement.

Senate Bill 205 (effective January 1, 2010)

10. Trustee Foreclosing Trust Deed Required to Record Affidavits Stating that Notice was Sent to Grantor

Requires that on or before the date the trustee conducts the sale, the trustee file an affidavit of mailing with respect to the notice required to be given to the grantor in the official record of the county in which the property is situated. If the notice is not sent, the grantor does not actually receive a copy at least 25 days before the sale, or the grantor informs the trustee, purchaser, and beneficiary in writing not later than 60 days after the purchaser takes possession that the grantor did not receive notice and did not have actual notice, then the 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.

Senate Bill 239 (effective June 4, 2009)

11. Mandatory Mediation Between Trustee and Grantor Required Before Sale to Foreclose Residential Trust Deed

Requires mediation between the trustee and the grantor before a sale to foreclose a trust deed and provides notice procedures and form to be sent to the grantor prior to foreclosure.

Senate Bill 628 (effective July 30, 2009)

12. Arsenic Added to List of Substances for which Seller of Real Estate Must Test Well Water

Requires that a seller of real estate that includes a well that supplies ground water for domestic purposes test the well water for arsenic as well as the previously required tests for nitrates and total coliform bacteria. Requires that the seller submit the results of the tests to the Department of Human Services and the buyer within 90 days of receiving the results of the test. Previously the seller was only required to submit the results to the Department, now seller must submit the results of all of the tests to the buyer as well.

Senate Bill 739 (effective January 1, 2010)

13. 60 Day No-Cause Notice for Terminating Tenancy Created and Landlords Prohibited From Using Liquidated Damages Provisions

Requires that landlord give tenant 30 days notice of termination if the tenancy is a month-to-month tenancy and the termination is during the first year of occupancy or the tenancy is a fixed term tenancy. The landlord must give the tenant 60 days notice if it is a month-to-month tenancy after the first year of occupancy. The landlord must give the tenant 10 days notice of termination if the tenancy is a week-to-week tenancy. If a tenancy consists of rented space for a manufactured dwelling or floating home that is owned by the tenant, but the space is not in a facility, then the landlord may only terminate tenancy without cause if notice is given 180 days before termination. Allows landlords, tenants, and guests of tenants to enter into an agreement for a guest to become a temporary occupant of the premises. Specifies the contents of the agreement and the rights of the parties. Specifies the procedure for the disposition of certain personal property the landlord presumes is abandoned due to the death of a tenant. Requires the landlord to disclose deposits, fees and rent before entering into a rental agreement or accepting payment. Prohibits the landlord's use of a liquidated damages provisions in a lease and regulates the charging of security deposits and claims against security deposits.

Senate Bill 771 (effective January 1, 2010)

14. Purchaser is Entitled to Possession of Property Sold at Trustee's Sale Subject to Interests of Person in Possession of Property Under Interest Created by the Grantor

States that a purchaser's right to possession is subject to the interest of a person in possession pursuant to an interest created by the grantor or the grantor's successor. Prescribes the notice and procedural requirements that the purchaser must follow to obtain possession from the current possessor who possesses pursuant to an interest created by the grantor. The purchaser, however, is not a landlord subject to ORS chapter 90 unless the purchaser accepts rent, enters into a new rental agreement, or fails to terminate the tenancy in the manner provided in the bill within 30 days after the date of the sale.

Senate Bill 952 (effective August 23, 2009)

15. Legislation Affecting Homeowners Associations and Condominium Associations

Makes several technical changes concerning the governance of planned communities and condominiums in Oregon.

Senate Bill 963 (effective January 1, 2010)

 

For more information:
Margaret E. Schroeder, Associate
503.224.5560

Black Helterline LLP
805 SW Broadway
Suite 1900
Portland, Oregon
97205-3359
Tel: 503.224.5560
Fax: 503.224.6148
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