Bill Text: OR HB2706 | 2013 | Regular Session | Enrolled
Bill Title: Relating to self-service storage facilities.
Spectrum: Slight Partisan Bill (Democrat 5-3)
Status: (Passed) 2013-05-22 - Chapter 209, (2013 Laws): Effective date January 1, 2014. [HB2706 Detail]
Download: Oregon-2013-HB2706-Enrolled.html
77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session
Enrolled
House Bill 2706
Sponsored by Representative GARRETT, Senator BEYER;
Representatives HOYLE, HUFFMAN, PARRISH, Senators DEVLIN,
FERRIOLI, ROSENBAUM (at the request of Dave Barrows for the
Self Storage Association)
CHAPTER ................
AN ACT
Relating to self-service storage facilities; creating new
provisions; and amending ORS 87.685, 87.686, 87.689 and 87.691.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + Section 2 of this 2013 Act and ORS 87.685 to
87.695 are added to and made a part of ORS chapter 87. + }
SECTION 2. { + An owner may charge and collect a reasonable
fee for an occupant's late payment of rent due for use of an
individual storage space in a self-service storage facility. The
rental agreement must specify the amount of the fee and the date
on which the owner may charge the fee. The owner may charge the
fee once in each month in which the occupant fails to pay the
rent due or pays the rent due later than the due date specified
in the rental agreement. For purposes of this section, a fee is
reasonable if the fee does not exceed the greater of $20 or 20
percent of the monthly rent due for the individual storage space.
The owner may charge and collect the late fee in addition to any
other fees authorized by law or under the rental agreement. + }
SECTION 3. ORS 87.685 is amended to read:
87.685. As used in ORS 87.685 to 87.693 { - , unless the
context requires otherwise - } :
(1) 'Default' means { - the - } { + a + } failure to
perform in a timely manner any obligation or duty set forth in
{ - the - } { + a + } rental agreement.
(2) 'Last known address' means { - the - } { + a physical
or electronic mail + } address { - provided by the - } { +
that an + } occupant { + provided + } in the latest rental
agreement or the { + physical or electronic mail + } address
{ - provided by - } the occupant { + provided + } in a
subsequent written notice of a change of address.
(3) 'Occupant' means a person or a sublessee, successor or
assignee of the person who is entitled, under a rental agreement,
to the exclusive use of specified { + individual + } storage
space at a self-service storage facility.
(4) 'Owner' means { - the - } { + an + } owner, operator,
lessor or sublessor of a self-service storage facility or an
agent or any other person { - authorized by - } { + that + }
the owner, operator, lessor or sublessor { + authorizes + } to
manage the facility or to receive rent from an occupant under a
rental agreement.
Enrolled House Bill 2706 (HB 2706-A) Page 1
(5) 'Personal property' means movable property { + that is + }
not affixed to land and includes, but is not limited to, goods,
merchandise, household items and watercraft.
(6) 'Rental agreement' means { - any - } { + a + } written
agreement or lease that establishes or modifies { - the - }
terms, conditions, rules or any other provisions concerning
{ - the - } { + an occupant's + } use and occupancy of a
self-service storage facility.
(7) { + (a) + } 'Self-service storage facility' means
{ - any - } real property { + that is + } designed and used
for { - the purpose of - } renting or leasing individual
storage space to occupants who { - are to - } have { +
exclusive + } access to the storage space { - for the purpose
of storing and removing - } { + to store or remove + } personal
property.
{ + (b) + } { - The term - } { + 'Self-service storage
facility' + } does not include { + :
(A) + } A warehouse or other facility { - used for storage
of - } { + that a person uses to store + } personal property
{ - and at - } { + for + } which { + the person that operates
the facility issues + } a warehouse receipt, bill of lading or
other document of title { - covering the personal property is
issued - } under ORS chapter 77 { - by the person operating
the facility. The term 'self-service storage facility' does not
include - } { + ; or
(B) + } Real property { - used - } { + that a person
uses + } for residential purposes.
{ + (8) 'Verified mail' means any method of mailing that the
United States Postal Service or a private delivery service offers
that provides evidence of mailing. + }
SECTION 4. ORS 87.686 is amended to read:
87.686. (1) { - Each - } { + A + } rental agreement
{ - shall describe - } { + must state + } whether { + the
owner holds an insurance policy that protects + } personal
property { - of the occupant - } { + that is + } stored at
the self-service storage facility { - is protected by insurance
held by the owner - } { + identified in the rental
agreement + }.
(2) If the { + owner holds an insurance policy that
protects + } personal property { - is protected by insurance
held by the owner - } { + stored at the self-service storage
facility + }, the rental agreement
{ - shall contain a statement describing - } { + must
describe + } the nature of the insurance coverage.
(3) If the { + owner does not hold an insurance policy that
protects + } personal property { - is not protected by
insurance held by the owner - } { + stored at the self-service
storage facility + }, the rental agreement { - shall contain a
statement indicating that the personal property of the
occupant - } { + must state that the occupant's personal
property + } is not protected by insurance held by the owner.
(4) At the time the occupant signs the rental agreement, the
occupant shall initial the applicable statement described in
subsection (2) or (3) of this section { - regarding
insurance - } .
SECTION 5. ORS 87.689 is amended to read:
87.689. (1) { - The - } { + An owner may foreclose a + }
lien created by ORS 87.687 { - may be foreclosed - } upon { +
the occupant's + } default { - by the occupant - } .
Enrolled House Bill 2706 (HB 2706-A) Page 2
(2) Before an owner may foreclose { + by sale + } a lien
created by ORS 87.687 { - by sale - } , the owner shall
{ - give notice of - } { + notify the occupant of + } the
foreclosure and sale { - to the occupant - } by
{ + sending + } registered or certified mail { + or other
verified mail to the occupant's last known address or by sending
electronic mail to the occupant's last known address + }
{ - sent to the occupant at the last known address of the
occupant - } .
(3) { + A + } notice provided under this section
{ - shall - } { + must + } include:
(a) An itemized statement of the owner's claim
{ - showing - } { + that shows + } the sum due { - at the
time of - } { + on the date of the + } notice.
(b) An identification of the specific { - unit rented by - }
{ + individual storage space that + } the occupant { +
rented + } at the self-service storage facility.
(c) A statement that { + denies the occupant + } access to the
occupant's personal property stored at the self-service storage
facility { - is denied - } , if { - such denial is permitted
under - } the terms of the rental agreement { + allow the owner
to deny access + }.
(d) A demand for payment within a specified time { + that
is + } not earlier than 30 days after { + the + } default.
(e) A conspicuous statement { - declaring - } { + that
declares + } that, unless the claim is paid within the time
stated in the notice, the personal property will be advertised
for sale and will be sold at a specified time and place.
(f) The name, street address and telephone number of the owner
or the owner's designated agent whom the occupant may contact to
respond to the notice.
(4) Any notice given under this section is presumed delivered
{ - when it - } { + if the notice + } is properly addressed
with postage prepaid and { + is + } deposited with the United
States Postal Service { + or if the owner has a record or other
evidence that shows that the owner sent the notice to an
electronic mail address that the occupant designated in the
rental agreement for receiving electronic mail + }.
SECTION 6. ORS 87.691 is amended to read:
87.691. (1) After the time specified in the notice given under
ORS 87.689 expires, if the { + owner determines, based on the
owner's previous experience, that the + } personal property
subject to the lien created by ORS 87.687 has a { - fair
market - } value of { - $100 - } { + $300 + } or less, the
owner may dispose of the property { - in - } { + at + } the
{ + owner's + } sole discretion { - of the owner - } .
(2) After the time specified in the notice given under ORS
87.689 expires, if the { + owner determines, based on the
owner's previous experience, that the + }personal property
subject to the lien created by ORS 87.687 has a { - fair
market - } value of more than
{ - $100 - } { + $300 + }, the owner shall cause an
advertisement of the sale to be published once a week for two
consecutive weeks in a newspaper of general circulation in the
city or county in which the self-service storage facility is
located. If there is no newspaper of general circulation in the
city or county, the advertisement must be posted in not fewer
than six conspicuous places in the neighborhood in which the
self-service storage facility is located. The advertisement must
include:
Enrolled House Bill 2706 (HB 2706-A) Page 3
(a) The address of the self-service storage facility, the
number, if any, of the space where the personal property is
located and the name of the occupant.
(b) The time, place and manner of the sale.
(3) The sale of the personal property may not take place
earlier than 15 days after the first { + advertisement, + }
publication or posting { + concerning the sale + }. The sale
{ - shall - } { + must + } conform to the terms stated in the
advertisement published or posted under this section.
(4) The owner { + may conduct the lien sale without obtaining
a license and may offer the personal property for sale on a
publicly accessible website that regularly offers personal
property for auction or sale, but the owner + }shall
{ - hold - } { + complete + } the sale of the personal
property at the self-service storage facility or at a suitable
place closest to where the personal property is held or stored.
(5)(a) If the owner { - receives no - } { + does not
receive any + } bids at the public sale held under this section,
the owner may
{ - otherwise - } dispose of the { + personal + }
property { + in another manner at the owner's + } { - in
the - } sole discretion { - of the owner - } . The owner may
satisfy the lien created by ORS 87.687 and reasonable expenses
associated with the disposition from the proceeds of the
disposition but shall hold the balance, if any, for delivery on
demand to the occupant. If the occupant does not claim the
balance of the proceeds within two years { - of - } { +
after + } the date of the disposition, the owner shall presume
the balance is abandoned and shall report and deliver the balance
as provided in ORS 98.352.
(b) The owner, an employee of the owner, an affiliate or
relative of the owner or an associate or relative of the employee
may not acquire, directly or indirectly, property that is subject
to disposal under this section.
{ + (6)(a) If personal property that is subject to the lien
is a motor vehicle, watercraft or trailer, the owner may have the
personal property towed away from the self-service storage
facility if:
(A) Rent and other charges for storing the personal property at
the self-service storage facility remain unpaid for 60 days or
more; and
(B) The owner sends notice as provided in ORS 87.689.
(b) An owner is not liable for damage to personal property that
a tower removes from the self-service storage facility once the
tower takes possession of the personal property.
(c) A tower has a lien on personal property the tower removes
from the self-service storage facility for reasonable towing and
storage charges as provided in ORS 98.812. + }
{ - (6) - } { + (7) + } Before a sale or other disposition
of { - the - } personal property under this section, the
occupant may pay the amount necessary to satisfy the lien and the
reasonable expenses incurred under this section and thereby
redeem the personal property. Upon receiving payment, the owner
shall return the personal property, and thereafter the owner has
no liability with respect to the personal property.
{ - (7) - } { + (8) + } After a sale under this section,
the owner may satisfy the lien created by ORS 87.687 from the
proceeds of the sale, but shall hold the balance, if any, for
delivery on demand to the occupant. If the occupant does not
claim the balance of the proceeds within two years after the date
Enrolled House Bill 2706 (HB 2706-A) Page 4
of sale, the owner shall presume that the balance of the proceeds
is abandoned and shall report and deliver the balance as provided
in ORS 98.352.
{ - (8) - } { + (9) + } A purchaser in good faith of the
personal property sold to satisfy a lien created by ORS 87.687
takes the property free of any rights of persons against whom the
lien was valid,
{ - despite noncompliance by - } { + even if + } the
owner { + does not comply + } with the requirements of this
section and ORS 87.689.
SECTION 7. { + Section 2 of this 2013 Act and the amendments
to ORS 87.685, 87.686, 87.689 and 87.691 by sections 3 to 6 of
this 2013 Act apply to rental agreements that an owner and
occupant enter into on or after the effective date of this 2013
Act and to foreclosure sales that occur on or after the effective
date of this 2013 Act. + }
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Passed by House April 10, 2013
.............................................................
Ramona J. Line, Chief Clerk of House
.............................................................
Tina Kotek, Speaker of House
Passed by Senate May 13, 2013
.............................................................
Peter Courtney, President of Senate
Enrolled House Bill 2706 (HB 2706-A) Page 5
Received by Governor:
......M.,............., 2013
Approved:
......M.,............., 2013
.............................................................
John Kitzhaber, Governor
Filed in Office of Secretary of State:
......M.,............., 2013
.............................................................
Kate Brown, Secretary of State
Enrolled House Bill 2706 (HB 2706-A) Page 6
