Bill Text: OR HB3610 | 2010 | 1st Special Session | Enrolled


Bill Title: Relating to affidavits for loan modification; and prescribing an effective date.

Spectrum: Slight Partisan Bill (Republican 2-1)

Status: (Passed) 2010-03-10 - Chapter 40, (2010 Laws): Effective date May 27, 2010. [HB3610 Detail]

Download: Oregon-2010-HB3610-Enrolled.html


     75th OREGON LEGISLATIVE ASSEMBLY--2010 Special Session

                            Enrolled

                         House Bill 3610

Sponsored by Representative GARRARD; Representative RICHARDSON,
  Senator BONAMICI (Presession filed.)

                     CHAPTER ................

                             AN ACT

Relating to affidavits for loan modification; amending ORS 86.750
  and section 3, chapter 864, Oregon Laws 2009; and prescribing
  an effective date.

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

  SECTION 1. Section 3, chapter 864, Oregon Laws 2009, is amended
to read:
   { +  Sec. 3. + } (1) { + (a) + } If a grantor returns the form
identified in
  { - section 20 (6), chapter 19, Oregon Laws 2008, - }   { + ORS
86.737 (6) + } to the lender by the date specified on the form,
the beneficiary or an agent of the beneficiary shall review the
information the grantor provided in the form and, in good faith,
shall process the grantor's request. The beneficiary or the
beneficiary's agent, as soon as reasonably practicable but not
later than 45 days after receiving the form, shall notify the
grantor whether the beneficiary approves or denies the request or
requires additional information.
   { +  (b) If the beneficiary denies a request made under
paragraph (a) of this subsection, the beneficiary or the
beneficiary's agent in the notice shall provide the grantor with
an explanation of how the beneficiary or the beneficiary's agent
calculated that the grantor was not eligible for a loan
modification.
  (c) A beneficiary or the beneficiary's agent complies with the
requirement set forth in paragraph (b) of this subsection if the
beneficiary or the beneficiary's agent provides the information
specified for a borrower notice in Supplemental Directive 09-08,
as in effect on the effective date of this 2010 Act, issued by
the United States Department of the Treasury under the Helping
Families Save Their Homes Act of 2009, P.L. 111-22, as in effect
on the effective date of this 2010 Act.
  (d)  + }A trustee's sale for the property subject to the loan
may not occur until after the beneficiary or the beneficiary's
agent timely responds to the grantor { +  as provided in this
subsection + }.  During the 45-day period, the beneficiary or the
beneficiary's agent may request the grantor to provide additional
information required to determine whether the loan can be
modified.
  (2)(a) Except as provided in paragraph (b) of this subsection,
if the grantor timely requests a meeting with the beneficiary,
the beneficiary or the beneficiary's agent shall meet with the

Enrolled House Bill 3610 (HB 3610-A)                       Page 1

grantor in person or shall speak to the grantor by telephone
before the beneficiary or the beneficiary's agent responds to the
grantor's request to modify the loan. If the grantor requests the
meeting, the beneficiary or the beneficiary's agent shall take
reasonable steps to schedule the meeting by contacting the
grantor at the grantor's last known address or telephone number
or at the grantor's electronic mail address, if the grantor
indicates on the loan modification form that the beneficiary or
the beneficiary's agent can contact the grantor at the electronic
mail address.
  (b) A beneficiary or the beneficiary's agent complies with the
provisions of paragraph (a) of this subsection even if the
beneficiary or beneficiary's agent does not speak to or meet with
the grantor if, within seven business days after the beneficiary
or beneficiary's agent attempts to contact the grantor, the
grantor does not respond.
  (c) The beneficiary or the beneficiary's agent that meets with
the grantor shall have or be able to obtain authority to modify
the loan.
  (3)(a) The beneficiary or the beneficiary's agent shall provide
the trustee with the affidavit described in ORS 86.750 (5). In
the affidavit, the beneficiary or the beneficiary's agent shall
describe how the beneficiary or the beneficiary's agent has
complied with subsections (1) and (2) of this section. { +  If
the beneficiary denies a request made under subsection (1)(a) of
this section, as part of the description, the beneficiary or the
beneficiary's agent shall state that the beneficiary or the
beneficiary's agent provided the grantor with the information
described in subsection (1)(b) or (c) of this section. + }
  (b) The trustee shall record the affidavit described in
paragraph (a) of this subsection.
  (4) Subsections (1) and (2) of this section do not apply to a
beneficiary that determines in good faith, after considering the
most current financial information the grantor provides, that the
grantor is not eligible for a loan modification, provided that
the beneficiary   { - informs - }  { +  or the beneficiary's
agent notifies + } the grantor { +  in writing + } that the
grantor is not eligible.  { + In the notice, the beneficiary or
the beneficiary's agent shall describe the basis for the
beneficiary's determination and explain the reasons why the
grantor was not eligible. + }
  SECTION 2. ORS 86.750 is amended to read:
  86.750. (1)(a) Except as provided in paragraph (b) of this
subsection, the notice prescribed in ORS 86.745   { - shall - }
 { + must + } be served upon an occupant of the property
described in the trust deed in the manner in which a summons is
served pursuant to ORCP 7 D(2) and 7 D(3) at least 120 days
before the day the trustee conducts the sale.
  (b)(A) If service cannot be effected on an occupant as provided
in paragraph (a) of this subsection on the first attempt, the
person   { - attempting - }   { + that attempts to effect + }
service shall post a copy of the notice in a conspicuous place on
the property on the date of the first attempt. The person
 { - attempting - }   { + that attempts to effect  + }service
shall make a second attempt to effect service on a day that is at
least two days after the first attempt.
  (B) If service cannot be effected on an occupant as provided in
paragraph (a) of this subsection on the second attempt, the
person   { - attempting - }   { + that attempts to effect + }
service shall post a copy of the notice in a conspicuous place on

Enrolled House Bill 3610 (HB 3610-A)                       Page 2

the property on the date of the second attempt. The person
 { - attempting - }   { + that attempts to effect + } service
shall make a third attempt to effect service on a day that is at
least two days after the second attempt.
  (C) If service cannot be effected on an occupant as provided in
paragraph (a) of this subsection on the third attempt, the person
 { - attempting - }   { + that attempts to effect  + }service
shall send a copy of the notice, bearing the word 'occupant' as
the addressee, to the property address by first class mail with
postage prepaid.
  (c) Service on an occupant is   { - deemed - }  effected on the
earlier of the date that notice is served as provided in
paragraph (a) of this subsection or the first date on which
notice is posted as described in paragraph (b)(A) of this
subsection.
  (2) A copy of the notice of sale   { - shall - }   { + must + }
be published in a newspaper of general circulation in each of the
counties in which the property is situated once a week for four
successive weeks. The last publication   { - shall - }
 { + must + } be made more than 20 days prior to the date the
trustee conducts the sale.
  (3)   { - On or before the date - }  { +  At or before the
time + } the trustee conducts the sale, the trustee shall file
for recording in the official record of the county or counties in
which the property described in the deed is situated the
following affidavits with respect to the notice of sale:
  (a) An affidavit of mailing, if any;
  (b) An affidavit of service, if any;
  (c) An affidavit of service attempts and posting, if any; and
  (d) An affidavit of publication.
  (4)   { - On or before the date - }  { +  At or before the
time + } the trustee conducts the sale, the trustee shall file
for recording in the official record of the county or counties in
which the property described in the deed is situated an affidavit
of mailing with respect to the notice to the grantor required
under ORS 86.737.
  (5)   { - On or - }  { +  Not later than five days + } before
the date the trustee conducts the sale, the trustee shall file
for recording in the official record of the county or counties in
which the property is located an affidavit from the beneficiary
or the beneficiary's agent that states how the beneficiary or the
beneficiary's agent has complied with the provisions of section 3
(1) and (2), chapter 864, Oregon Laws 2009.
  SECTION 3. ORS 86.750, as amended by section 6, chapter 864,
Oregon Laws 2009, is amended to read:
  86.750. (1)(a) Except as provided in paragraph (b) of this
subsection, the notice prescribed in ORS 86.745   { - shall - }
 { +  must + } be served upon an occupant of the property
described in the trust deed in the manner in which a summons is
served pursuant to ORCP 7 D(2) and 7 D(3) at least 120 days
before the day the trustee conducts the sale.
  (b)(A) If service cannot be effected on an occupant as provided
in paragraph (a) of this subsection on the first attempt, the
person   { - attempting - }  { +  that attempts to effect + }
service shall post a copy of the notice in a conspicuous place on
the property on the date of the first attempt. The person
 { - attempting - }  { +  that attempts to effect + } service
shall make a second attempt to effect service on a day that is at
least two days after the first attempt.

Enrolled House Bill 3610 (HB 3610-A)                       Page 3

  (B) If service cannot be effected on an occupant as provided in
paragraph (a) of this subsection on the second attempt, the
person   { - attempting - }  { +  that attempts to effect + }
service shall post a copy of the notice in a conspicuous place on
the property on the date of the second attempt. The person
 { - attempting - }  { +  that attempts to effect + } service
shall make a third attempt to effect service on a day that is at
least two days after the second attempt.
  (C) If service cannot be effected on an occupant as provided in
paragraph (a) of this subsection on the third attempt, the person
 { - attempting - }  { +  that attempts to effect + } service
shall send a copy of the notice, bearing the word 'occupant' as
the addressee, to the property address by first class mail with
postage prepaid.
  (c) Service on an occupant is   { - deemed - }  effected on the
earlier of the date that notice is served as provided in
paragraph (a) of this subsection or the first date on which
notice is posted as described in paragraph (b)(A) of this
subsection.
  (2) A copy of the notice of sale   { - shall - }  { +  must + }
be published in a newspaper of general circulation in each of the
counties in which the property is situated once a week for four
successive weeks. The last publication   { - shall - }  { +
must + } be made more than 20 days prior to the date the trustee
conducts the sale.
  (3)   { - On or before the date - }  { +  At or before the
time + } the trustee conducts the sale, the trustee shall file
for recording in the official record of the county or counties in
which the property described in the deed is situated the
following affidavits with respect to the notice of sale:
  (a) An affidavit of mailing, if any;
  (b) An affidavit of service, if any;
  (c) An affidavit of service attempts and posting, if any; and
  (d) An affidavit of publication.
  (4)   { - On or before the date - }  { +  At or before the
time + } the trustee conducts the sale, the trustee shall file
for recording in the official record of the county or counties in
which the property described in the deed is situated an affidavit
of mailing with respect to the notice to the grantor required
under ORS 86.737.
  SECTION 4.  { + This 2010 Act takes effect on the 91st day
after the date on which the special session of the Seventy-fifth
Legislative Assembly adjourns sine die. + }
                         ----------

Enrolled House Bill 3610 (HB 3610-A)                       Page 4

Passed by House February 15, 2010

Repassed by House February 23, 2010

      ...........................................................
                                             Chief Clerk of House

      ...........................................................
                                                 Speaker of House

Passed by Senate February 22, 2010

      ...........................................................
                                              President of Senate

Enrolled House Bill 3610 (HB 3610-A)                       Page 5

Received by Governor:

......M.,............., 2010

Approved:

......M.,............., 2010

      ...........................................................
                                                         Governor

Filed in Office of Secretary of State:

......M.,............., 2010

      ...........................................................
                                               Secretary of State

Enrolled House Bill 3610 (HB 3610-A)                       Page 6
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