Bill Text: OR HB3267 | 2011 | Regular Session | Introduced

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Bill Title: Relating to estate sales.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2011-06-30 - In committee upon adjournment. [HB3267 Detail]

Download: Oregon-2011-HB3267-Introduced.html

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     76th OREGON LEGISLATIVE ASSEMBLY--2011 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 3797

                         House Bill 3267

Sponsored by Representative HOLVEY

                             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.

  Requires person who conducts estate sale to provide notice, to
refrain from certain practices and to hold moneys received from
sale in trust account if person does not pay moneys to client
immediately. Exempts certain types of sales from application of
Act.

                        A BILL FOR AN ACT
Relating to estate sales; amending ORS 698.635, 698.640 and
  698.650.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 698.635 is amended to read:
  698.635. As used in ORS 698.640 and 698.650:
  (1) 'Auction' or 'auction sale' means   { - the sale of or
offer - }  { +  selling or offering + } to sell real or personal
property   { - by public outcry or - }  to the highest
 { - bidders - }  { +  bidder + }.
  (2) 'Auctioneer' means   { - any - }  { +  a + } person who
sells or offers to sell property at auction, either on the
person's own behalf or for another person.
  (3) 'Auction mart' means   { - any - }  { +  a + } fixed or
established place designed, intended or used   { - for the
conduct of - }  { +  to conduct + } auction sales where more than
one sale has   { - been held in any one - }  { +  occurred during
a + } calendar year.
   { +  (4)(a) 'Estate sale' means a sale of all or a portion of
the personal property of a deceased individual.
  (b) 'Estate sale' does not include a sale of real property. + }
  SECTION 2. ORS 698.640 is amended to read:
  698.640. Except as provided in ORS 698.650, this section
establishes requirements for auction sales, { +  estate
sales, + } auctioneers and auction marts. The requirements under
this section are in addition to   { - any provisions relating to
auctions under - }  { +  the provisions of + } ORS 72.3280 { +
that relate to auctions + }. A person who violates   { - any - }
 { +  a + } requirement under this section commits an unlawful
practice as described in ORS 646.608 (1)(v). The requirements
under this section are subject to enforcement and penalty as
provided under ORS 646.605 to 646.652. The following requirements
are established for auction sales, { +  estate sales, + }
auctioneers and auction marts as described:

  (1)   { - Any - }  { +  An + } advertisement of an auction
sale { +  or an estate sale + }   { - shall - }  { +  must + }
include the name of the auctioneer who will conduct the auction
sale or the person responsible for   { - the conduct of - }  { +
conducting + } the auction sale { +  or estate sale + }.
  (2) An auctioneer and the operator of an auction mart
 { - shall - }  { +  may + } not use   { - any - }  { +  a + }
method of bidding at an auction that will allow property to be
purchased in an undisclosed manner on behalf of the auctioneer or
auction mart operator.
  (3) An auctioneer { + , a person who conducts an estate
sale + } or { +  an + } auction mart operator   { - shall - }
 { +  may + } not use   { - any - }  { +  a + } method of bidding
at an auction { +  or selling at an estate sale + } that allows
the auctioneer { + , the person who conducts an estate sale + }
or { +  an + } auction mart operator to avoid selling
 { - any - }  property offered for sale at auction { +  or at an
estate sale + }.
  (4) An auctioneer { + , person who conducts an estate sale + }
or { +  an + } auction mart operator   { - shall - }  { +
may + } not employ or use another person to act as a bidder or
buyer at the auction { +  or estate sale + } on behalf of the
auctioneer { + , the person who conducts the estate sale + }
or { +  the + } operator of the auction mart.
  (5)   { - Any time - }  { +  If + } an auctioneer { + , a
person who conducts an estate sale + } or  { + an + } auction
mart operator receives money that { +  the auctioneer, person or
auction mart operator owes to the auctioneer's, person's or
auction mart operator's clients + }   { - is owed to clients of
the auctioneer or auction mart operator - }  from the sale of the
client's goods { +  or personal property + }, the
auctioneer { + , person + } or auction mart operator
 { - must - }  { +  shall + } comply with all of the following if
the { +  auctioneer, person or auction mart operator does not pay
the + } money   { - is not - }  immediately   { - paid - }  to
the client at the time of auction:
  (a)   { - Any such money maintained in an account must be kept
in a trust account where the money is held in trust for the
client and identified and accounted for - }  { +  The auctioneer,
person or auction mart operator must maintain the money for the
client in a trust account and identify and account for the
money + } separately in a manner that will allow the money to be
distinguished from the moneys of the auctioneer { + , person + }
or operator that are subject to the debts of the auctioneer { + ,
person + } or operator. The account required by this paragraph
must be separate from   { - any - }  { +  an + } account
  { - used by - }  { +  that + } the auctioneer { + , person + }
or operator { +  uses + } for personal reasons or other business
reasons.
  (b) The client has a right to an accounting from the
auctioneer { + , person + } or auction mart operator for
 { - any - }  money that the auctioneer { + , person + } or
auction mart operator received in payment for the client's goods
that is not paid to the client.
  (c) The auctioneer { + , person + } or auction mart operator
must pay the client the money owed to the client before the end
of 21 calendar days after the auction { +  or estate sale + } at
which the client's goods were sold unless the parties have
mutually agreed  { +  in writing + } to another time of payment
 { - in writing - } .
  SECTION 3. ORS 698.650 is amended to read:
  698.650.   { - This section establishes exemptions from the
requirements for auctions, auction marts and auctioneers
established under ORS 698.640. The exemptions are as described in
the following - }   { + ORS 698.640 does not apply to + }:

  (1)   { - Nothing in ORS 698.640 applies to any - }  { +
An + } auction, auctioneer or auction mart regulated under ORS
chapter 599.
  (2)   { - Nothing in ORS 698.640 applies to - }  The sale of
timber at
  { - any - }  { +  an + } auction or auction mart or by
 { - any - }  { +  an + } auctioneer. In addition, the sale of
timber at auction is with reserve unless the timber is in
explicit terms put up without reserve.
   { +  (3) An estate sale conducted under the authority of a
court, or in accordance with procedures specified in ORS chapter
113, if the provisions of ORS 698.640 conflict with the orders of
the court or procedures set forth in ORS chapter 113.
  (4) A going out of business sale or liquidation sale regulated
under ORS 646A.100 to 646A.110. + }
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