69th OREGON LEGISLATIVE ASSEMBLY--1997 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 1917
A-Engrossed
House Bill 2858
Ordered by the House April 21
Including House Amendments dated April 21
Sponsored by Representative ADAMS; Representative JOSI (at the
request of Self Storage Facility Association)
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.
Creates lien for owner of self-service storage facility.
Provides procedure for foreclosure of lien. Defines terms.
{ - Declares emergency, effective on passage. - }
A BILL FOR AN ACT
Relating to self-service storage facilities; creating new
provisions; and amending ORS 87.162.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + This Act shall be known as the Oregon
Self-Service Storage Facility Act. + }
SECTION 2. { + As used in sections 2 to 6 of this Act, unless
the context requires otherwise:
(1) 'Default' means the failure to perform in a timely manner
any obligation or duty set forth in the rental agreement.
(2) 'Last known address' means the address provided by the
occupant in the latest rental agreement or the address provided
by the occupant 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 storage space at a self-service
storage facility.
(4) 'Owner' means the owner, operator, lessor or sublessor of a
self-service storage facility or an agent or any other person
authorized by the owner, operator, lessor or sublessor to manage
the facility or to receive rent from an occupant under a rental
agreement.
(5) 'Personal property' means movable property not affixed to
land and includes, but is not limited to, goods, merchandise,
household items and watercraft.
(6) 'Rental agreement' means any written agreement or lease
that establishes or modifies the terms, conditions, rules or any
other provisions concerning the use and occupancy of a
self-service storage facility.
(7) 'Self-service storage facility' means any real property
designed and used for the purpose of renting or leasing
individual storage space to occupants who are to have access to
the storage space for the purpose of storing and removing
personal property. The term does not include a warehouse or
other facility used for storage of personal property and at which
a warehouse receipt, bill of lading or other document of title
covering the personal property is issued under ORS chapter 77 by
the warehouseman or other person operating the facility. The term
'self-service storage facility' does not include real property
used for residential purposes. + }
SECTION 3. { + (1) The owner of a self-service storage
facility has a lien upon all personal property, whether or not
owned by the occupant, that is located in a specified storage
space rented by an occupant at the facility to secure payment for
rent, reasonable or agreed charges for labor, materials or other
services provided by the owner at the request of the occupant,
expenses necessarily incurred in preserving the personal property
and expenses reasonably incurred in the sale or other disposition
of the personal property under section 4 of this Act. The owner
may retain the personal property until the rent and other charges
and expenses are paid.
(2) The lien created by this section attaches to personal
property of an occupant at the time at which the personal
property is stored at the self-service storage facility.
(3) Except for a lien or security interest that is perfected
prior to the attachment of the lien created by this section, the
lien created by this section has priority over any other lien or
security interest or encumbrance on the personal property subject
to the lien. + }
SECTION 4. { + (1) The lien created by section 3 of this Act
may be foreclosed upon default by the occupant.
(2) Before an owner may foreclose a lien created by section 3
of this Act by sale, the owner shall give notice of the
foreclosure and sale to the occupant by registered or certified
mail sent to the occupant at the last known address of the
occupant.
(3) Notice provided under this section shall include:
(a) An itemized statement of the owner's claim showing the sum
due at the time of notice.
(b) An identification of the specific unit rented by the
occupant at the self-service storage facility.
(c) A statement that 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.
(d) A demand for payment within a specified time not earlier
than 30 days after default.
(e) A conspicuous statement declaring 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 is properly addressed with postage prepaid and deposited
with the United States Postal Service. + }
SECTION 5. { + (1) After the expiration of the time specified
in the notice given under section 4 of this Act, if the personal
property subject to the lien created by section 3 of this Act has
a fair market value of $100 or less, the owner may dispose of the
property in the sole discretion of the owner.
(2) After the expiration of the time specified in the notice
given under section 4 of this Act, if the personal property
subject to the lien created by section 3 of this Act has a fair
market value of more than $100, an advertisement of the sale
shall 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 such city or county, the
advertisement shall be posted in not less than six conspicuous
places in the neighborhood in which the self-service storage
facility is located. The advertisement shall include:
(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 shall not take place
earlier than 15 days after the first publication or posting. The
sale shall conform to the terms stated in the advertisement
published or posted under this section.
(4) The sale of the personal property shall be held at the
self-service storage facility or at a suitable place closest to
where the personal property is held or stored.
(5) If no bids are received at the public sale held under this
section, the owner may otherwise dispose of the property in the
sole discretion of the owner.
(6) Before any 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 receipt of such payment, the owner shall return
the personal property, and thereafter the owner shall have no
liability to any person with respect to the personal property.
(7) After a sale under this section, the owner may satisfy the
lien created by section 3 of this Act 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 of sale, the balance
of the proceeds shall become the property of the owner without
further recourse by the occupant.
(8) A purchaser in good faith of the personal property sold to
satisfy a lien created by section 3 of the Act takes the property
free of any rights of persons against whom the lien was valid,
despite noncompliance by the owner with the requirements of this
section and section 4 of this Act. + }
SECTION 6. { + (1) Except as provided in subsection (2) of
this section, section 3 of this Act is the sole and exclusive
statute creating a lien applicable to personal property in
self-service storage facilities.
(2) If a motor vehicle is stored or parked at a self-service
storage facility, upon default, the owner may proceed as an owner
of a parking facility under ORS 98.810 to 98.818. + }
SECTION 7. { + Nothing in sections 2 to 6 of this Act shall be
construed as in any manner impairing or affecting the right of
parties to create liens by special contract or agreement. + }
SECTION 8. ORS 87.162 is amended to read:
87.162. { - (1) - } Except as provided in ORS 87.156 and
90.120, a landlord has a lien on all chattels, except wearing
apparel as defined in ORS 23.160 (1), owned by a tenant or
occupant legally responsible for rent, brought upon the leased
premises, to secure the payment of rent and such advances as are
made on behalf of the tenant. The landlord may retain the
chattels until the amount of rent and advances is paid.
{ - (2) The application of this section includes but is not
limited to the rental or lease of space in a storage facility to
a person who has access to the space in order to store chattels
for which no warehouse receipt, bill of lading or other document
of title is issued. However, the exclusion in subsection (1) of
this section for wearing apparel does not apply to this
subsection. - }
SECTION 9. { + This Act does not affect a rental agreement
entered into before the effective date of this Act. However, this
Act applies to a renewal or extension of an existing rental
agreement on or after the effective date of this Act as well as
to a new rental agreement made on or after the effective date of
this Act. + }
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