Receivership for buildings that constitute threat to public health, safety or welfare; procedure.

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(2) No less than 60 days prior to the filing of a petition for appointment of a receiver, the city or county shall give written notice by regular mail to all interested parties of the following:

(a) The identity of the property;

(b) The violations of the building or housing codes giving rise to the need for the receiver;

(c) The name, address and telephone number of the person or department where additional information can be obtained concerning violations and their remedy; and

(d) That the city or county may petition the court for the appointment of a receiver pursuant to ORS 105.420 to 105.455 unless action is taken within 60 days by an interested party.

(3) A city or county may not file a petition for the appointment of a receiver if:

(a) Probate proceedings have been commenced under ORS chapter 112 and are currently pending in the county of the property for an owner of the property, unless authorized by an order of the probate court.

(b) An interested party has commenced and is timely prosecuting an action or other judicial or nonjudicial proceeding to foreclose a security interest on the property, or to obtain specific performance or forfeiture of the purchaser’s interest under a land sale contract.

(4) The petition for the appointment of a receiver pursuant to ORS 105.420 to 105.455 must be served on all interested parties in the manner provided by ORCP 7 D.

(5) If, following the filing of a petition for appointment of a receiver, an interested party intends to correct the conditions at the property giving rise to the petition for the appointment of a receiver or initiate a proceeding described in subsection (3) of this section, the court may stay the matter and order the party to post security in an amount the court deems appropriate to insure timely performance and other conditions the court deems appropriate to effect the timely completion of the corrections or proceeding.

(6) The court shall appoint a receiver under ORS 105.420 to 105.455 if the court finds that the city or county has complied with this section and that the property is a threat to public health, safety or welfare and:

(a) No interested party appears within 30 days after service;

(b) An interested party fails to comply with an order under subsection (5) of this section; or

(c) If the matter has not been stayed under subsection (5) of this section, upon a hearing that shall be held no later than 30 days after requested by the city or county.

(7) A receiver may be any one of the following:

(a) A housing authority organized under the terms of ORS 456.055 to 456.235;

(b) An urban renewal agency organized under the terms of ORS 457.035 to 457.320;

(c) A private not-for-profit corporation, the primary purpose of which is the improvement of housing conditions within the city or county; or

(d) A city or county agency, bureau or similar subdivision designated by the city or county as being responsible for the rehabilitation of property.

(8) A receiver appointed by the court pursuant to ORS 105.420 to 105.455 may not be required to give security or bond of any sort prior to appointment.

(9) In lieu of the appointment of a receiver under subsection (6) of this section, upon the motion of city or county the court shall enter a general judgment in favor of the city or county against the real property in the amount of the estimated costs of abatement if:

(a) The court finds the city or county has complied with the requirements of this section;

(b) The court finds the property is in an unsafe or insanitary condition;

(c)(A) No interested party appears within 30 days after service; or

(B) An interested party fails to comply with an order under subsection (5) of this section;

(d) The city or county has proven by evidence in the record that the reasonably estimated cost of abatement exceeds 25 percent of the property’s real market value, as shown on the property’s most recent tax records;

(e) The property is not currently occupied as a dwelling; and

(f) The motion for judgment has been served by the city or county on all interested parties, including interested parties in default, in the manner provided for by ORCP 9 C, no less than 30 days prior to the motion.

(10) A judgment given under subsection (9) of this section shall have the priority of a lien created under ORS 105.440 (2) as provided in ORS 105.445. [1989 c.649 §4; 1995 c.79 §34; 2019 c.191 §2]


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