Bill Text: OR HB3306 | 2011 | Regular Session | Introduced

Oregon House Bill 3306 (Prior Session Legislation)

Introduced

Bill Title: Relating to dishonored checks; declaring an emergency.

Sponsorship: Partisan Bill (Republican 1)

Status: (Failed) 2011-06-30 - In committee upon adjournment. [HB3306 Detail]

Download: Oregon-2011-HB3306-Introduced.html



     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 3531

                         House Bill 3306

Sponsored by Representative BERGER

                             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.

  Clarifies that certain provisions of law relating to dishonored
checks also apply to electronic checks and to debit card
transactions that draw on checking accounts.
  Declares emergency, effective on passage.

                        A BILL FOR AN ACT
Relating to dishonored checks; amending ORS 30.701; and declaring
  an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 30.701 is amended to read:
  30.701. (1) In any action against a maker of a dishonored
check, a payee may recover from the maker statutory damages in an
amount equal to $100 or triple the amount for which the check is
drawn, whichever is greater. Statutory damages awarded under this
subsection are in addition to the amount for which the check was
drawn and may not exceed by more than $500 the amount for which
the check was drawn. The court shall allow reasonable attorney
fees at trial and on appeal to the prevailing party in an action
on a dishonored check and in any action on a check that is not
paid because payment has been stopped.
  (2) Statutory damages and attorney fees under subsection (1) of
this section may be awarded only if the payee made written demand
of the maker of the check not less than 30 days before commencing
the action and the maker failed to tender to the payee before the
commencement of the action an amount of money not less than the
amount for which the check was drawn, all interest that has
accrued on the check under ORS 82.010 as of the date of demand
and any charges imposed under subsection (5) of this section.
  (3) Statutory damages under subsection (1) of this section
shall not be awarded by the court if after the commencement of
the action but before trial the defendant tenders to the
plaintiff an amount of money equal to the amount for which the
check was drawn, all interest that has accrued on the check under
ORS 82.010 as of the date of payment, any charges imposed under
subsection (5) of this section, costs and disbursements and the
plaintiff's reasonable attorney fees incurred as of the date of
the tender.
  (4) If the court or jury determines that the failure of the
defendant to satisfy the dishonored check at the time demand was
made under subsection (2) of this section was due to economic
hardship, the court or jury has the discretion to waive all or
part of the statutory damages provided for in subsection (1) of
this section. If all or part of the statutory damages are waived
under this subsection, judgment shall be entered in favor of the
plaintiff for the amount of the dishonored check, all interest
that has accrued on the check under ORS 82.010, any charges
imposed under subsection (5) of this section, the plaintiff's
reasonable attorney fees and costs and disbursements.
  (5) If a check is dishonored, the payee may collect from the
maker a { +   + }reasonable fee representing the cost of handling
and collecting on the check. The total fee for any single check
may not exceed $25. Any award of statutory damages under
subsection (1) of this section must be reduced by the amount of
any charges imposed under this subsection that have been paid by
the maker or that are entered as part of the judgment.
  (6) The provisions of this section apply only to a check that
has been dishonored because of a lack of funds or credit to pay
the check, because the maker has no account with the drawee or
because the maker has stopped payment on the check without good
cause. A plaintiff is entitled to the remedies provided by this
section without regard to the reasons given by the drawee for
dishonoring the check.
   { +  (7) The provisions of this section apply to all checks,
including electronic checks, and to debit card transactions that
draw on checking accounts. + }
    { - (7) - }  { +  (8) + } For the purposes of this section:
  (a) 'Check' means a check, draft or order for the payment of
money.
  (b) 'Drawee' has that meaning given in ORS 73.0103.
  (c) 'Payee' means a payee, holder or assignee of a check.
  SECTION 2.  { + This 2011 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2011 Act takes effect on its
passage. + }
                         ----------