Chapter 701 — Chapter 701
183 sections in this chapter.
ORS 701.527 Definitions for ORS 702.527 to 701.536. As used in ORS 701.527 to 701.536
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(1) “Home energy assessor” means a person who assigns residential buildings a home energy performance score. (2) “Home energy performance score” means a score assigned to a residential building using the home energy performance score system adopted by the State Department of Ener…
ORS 701.529 Certification and licensing requirements; use of title. (1) An individual may not undertake, offer to undertake or submit a bid to do work as a home energy assessor unless the individual is certified as a home energy assessor under ORS 701.532
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(2) A business may not undertake, offer to undertake or submit a bid to assign home energy performance scores unless the business: (a) Is licensed by the Construction Contractors Board under this chapter or endorsed as a residential contractor by the board under ORS 701.534; and …
ORS 701.530 [2005 c.734 §5; renumbered 701.547 in 2013]
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[Repealed or reserved.]
ORS 701.532 Home energy assessor certification; training; rules; fees. (1) The Construction Contractors Board shall certify an individual as a home energy assessor if the individual meets the requirements of this section and of any rule adopted by the board under this section. A home energy assessor certificate must be renewed annually
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(2) The board shall require that an applicant for a home energy assessor certificate present proof of passing a training program designated by the State Department of Energy under ORS 469.703. (3) The board may adopt rules to regulate the practice of assigning home energy perform…
ORS 701.534 Home energy performance score contractors. A home energy performance score contractor endorsement authorizes the holder to operate a business assigning home energy performance scores. [2013 c.383 §6]
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[Repealed or reserved.]
ORS 701.536 Assessor and contractor exemption from testing and continuing education. (1) Notwithstanding ORS 701.126, the Construction Contractors Board may not impose a continuing education requirement for a home energy assessor or a home energy performance score contractor
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(2) Notwithstanding ORS 701.122, the board may not require a home energy assessor or a home energy performance score contractor to take a test measuring the knowledge of the home energy assessor, contractor or responsible managing individual regarding business practices and laws …
ORS 701.540 Licensing; standards and practices; rules. (1) As used in this section
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(a) “Board-up services” means covering over the openings of a damaged structure to secure against weather or unauthorized or unsafe entry. (b) “Man-made or natural disaster” means a fire, flood, earthquake, crime or other sudden event that causes a structure or the contents of a …
ORS 701.545 Provision of accessible features list to purchaser; effect. (1) As used in this section and ORS 701.547
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(a) “Developer” means a person who contracts to construct, or arrange for the construction of, new residential housing on behalf of, or for the purpose of selling the residential housing to, a specific individual the person knows is the purchaser of the residential housing. (b) “…
ORS 701.547 Model list of accessibility features; rules. The Construction Contractors Board shall adopt by rule a model list of features recommended for inclusion in a list of features that a developer supplies to a purchaser of residential housing under ORS 701.545. In developing the model list of features, the board shall solicit the comments of advocacy groups and other organizations serving persons with disabilities. [Formerly 701.530]
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Note: See note under 701.545. MERCURY THERMOSTATS
ORS 701.550 Notice of Department of Consumer and Business Services rules regarding thermostats containing mercury. The Construction Contractors Board shall provide an annual notice to each contractor licensed under this chapter that informs contractors of the rules developed by the Director of the Department of Consumer and Business Services pursuant to ORS 455.355 prohibiting the installation of thermostats that contain mercury and requiring proper disposal of thermostats that contain mercury. [2001 c.924 §22]
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PROHIBITED MATERIAL INSTALLATION
ORS 701.555 Barrier-type exterior insulation and finish systems. (1) As used in this section, “barrier-type exterior insulation and finish system” means a foam insulation board inner layer, a polymer and cement base coat middle layer reinforced with glass fiber mesh and a textured finish coat exterior layer, in which
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(a) The layers are bonded to the outside face of an exterior wall; (b) The middle or exterior layer, but not the inner layer, provides a water resistant barrier for the exterior of the building envelope; (c) The layers do not provide a means of drainage for water that accumulates…
ORS 701.560 Definitions for ORS 701.560 to 701.595 and 701.605. As used in ORS 701.560 to 701.595 and 701.605
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(1) “Contractor” means a person that performed services for the construction, alteration or repair of a residence. (2) “Defect” means a deficiency, an inadequacy or an insufficiency arising out of or relating to the construction, alteration or repair of a residence. “Defect” incl…
ORS 701.565 Notice of defect requirement; contents; mailing. (1) Except as provided in ORS 701.600, an owner may not compel arbitration or commence a court action against a contractor, subcontractor or supplier to assert a claim arising out of or related to any defect in the construction, alteration or repair of a residence or in any system, component or material incorporated into a residence located in this state unless the owner has sent that contractor, subcontractor or supplier a notice of defect as provided in this section and has complied with ORS 701.575
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(2) An owner must send a notice of defect by registered or certified mail, return receipt requested. If a notice of defect is sent to a contractor or subcontractor, the owner must send the notice to the last known address for the contractor or subcontractor as shown in the record…
ORS 701.570 Secondary notice of defect; inspection of residence; response to notice or secondary notice. (1) A contractor, subcontractor or supplier that receives a notice of defect sent under ORS 701.565 shall, not later than 14 days after receiving the notice of defect, send a secondary notice to any other known contractor, subcontractor or supplier that may be responsible for some or all of the defects described in the notice of defect. The contractor, subcontractor or supplier must send the secondary notice by registered or certified mail, return receipt requested, to an address described in ORS 701.565 (2). The secondary notice must be accompanied by a statement describing the basis for contending that the other contractor, subcontractor or supplier may be responsible for some or all of the defects
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(2) A contractor, subcontractor or supplier that receives a notice of defect or secondary notice may send the owner a written request to conduct a visual examination of the residence. Except as provided in ORS 701.572, the written request must be sent not later than 14 days after…
ORS 701.572 Duties and rights of contractor, subcontractor or supplier following association’s notice of defect; requirements for offers to pay compensation; duties of owner upon receipt of offer to pay compensation; dispute resolution; satisfaction of claim. If a homeowners association or association of unit owners sends a notice of defect under ORS 701.565
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(1) The periods during which a contractor, subcontractor or supplier may send a written request to conduct a visual examination or request to inspect the residence under ORS 701.570 (2) or (3) are each extended from 14 days to 30 days. (2) The contractor, subcontractor or supplie…
ORS 701.575 Availability of residence; scope of inspection; report of inspection results. (1) An owner sending a notice of defect under ORS 701.565 shall make the residence available for visual examination pursuant to any written request sent under ORS 701.570 or 701.572. The owner shall make the residence available for visual examination, during normal business hours or as otherwise agreed, not later than 20 days after receiving the written request for visual examination
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(2) An owner sending a notice of defect under ORS 701.565 shall make the residence available for an inspection pursuant to any written request sent under ORS 701.570 or 701.572. The owner shall make the residence available for inspection during normal business hours or at a time …
ORS 701.580 Offer by contractor, subcontractor or supplier; effect of accepting offer; nonperformance; compelling arbitration or commencing court action; admissibility of evidence. (1) An owner may accept an offer contained in a written response under ORS 701.570 by delivering a written acceptance to the offering contractor, subcontractor or supplier within 30 days after receiving the offer. If an owner fails to accept an offer within 30 days after receipt, the offer is deemed rejected
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(2) If the owner accepts a contractor, subcontractor or supplier’s offer to perform remediation or to pay monetary compensation, completion of the remediation or payment satisfies the claims by the owner for those defects included in the offer for which remediation was performed …
ORS 701.585 Effect of notice of defect on time for commencing court action. (1) If an owner sends a contractor, subcontractor or supplier a notice of defect within the time allowed for the owner to commence a court action against that contractor, subcontractor or supplier for a claim described in ORS 701.565, the time for the owner to commence the action shall be extended, notwithstanding any statute of limitation or statute of ultimate repose, until the later of
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(a) One hundred and twenty days after the owner receives a written response from the contractor, subcontractor or supplier that received the notice of defect if the written response does not contain a written offer to perform remediation or pay monetary compensation for one or mo…
ORS 701.590 [2003 c.660 §7; 2007 c.114 §12; repealed by 2007 c.648 §18]
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[Repealed or reserved.]
ORS 701.595 Failure to follow notice of defect procedure. If an owner compels arbitration or commences a court action against any contractor, subcontractor or supplier to assert a claim arising out of or related to the construction, alteration or repair of a residence located in this state and the owner has not followed the procedure set forth in ORS 701.565 and 701.575, the arbitrator or court must dismiss the arbitration or action without prejudice. The owner may not commence a new arbitration or action unless the owner follows the procedure set forth in ORS 701.565 and 701.575. [2003 c.660 §8]
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Note: See note under 701.560.
ORS 701.600 Nonapplicability of ORS 701.560 to 701.595 and 701.605. ORS 701.560 to 701.595 and 701.605 do not apply
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(1) To personal injury or death claims. (2) To claims or complaints filed pursuant to ORS 671.695 or 701.139. (3) To claims against a person registered under ORS 671.010 to 671.220. (4) To complaints filed in a small claims department established in a justice court or circuit cou…
ORS 701.605 Recording of written warranty agreement. (1) To facilitate the handling of warranty work or remediation of defects to a new commercial or residential structure or a zero-lot-line dwelling, a contractor who builds the structure may present for recording in the deed records of the county in which the new structure is built a written warranty agreement that
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(a) Is signed by the contractor and the original owner of the new structure; (b) Sets forth any express warranties furnished by the contractor; and (c) Contains the names of the contractor and the original property owner, the title of the document, a legal description of the prop…
ORS 701.610 [2013 c.300 §5a; renumbered 701.501 in 2015]
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CONSTRUCTION CONTRACT PAYMENTS
ORS 701.620 Definitions for ORS 701.620 to 701.640. As used in ORS 701.620 to 701.640
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(1) “Construction contract” means a written or oral construction agreement, including all drawings, specifications and addenda relating to: (a) Excavating, landscaping, demolishing and detaching existing structures, leveling, filling in and other preparation of land for the makin…
ORS 701.625 Progress payments; notice requirements; nonapproval of billing or estimate; withholding; final payment. (1) If a construction contract is for construction work that is expected to take 60 or more days to complete, an owner shall make progress payments to the original contractor. By mutual agreement with an original contractor, an owner may make progress payments to the original contractor under a construction contract for which the construction work is expected to take less than 60 days to complete
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(2) The owner shall make progress payments on the basis of a certified billing or estimate for work performed, and for materials or products supplied, during the preceding monthly billing cycle or during an alternative billing cycle identified in the construction contract. If a c…
ORS 701.630 Payments to subcontractors and material suppliers; failure to pay; omission of payment. (1) An original contractor, subcontractor or material supplier that performs in accordance with a construction contract is entitled to payment from the party with whom the original contractor, subcontractor or material supplier contracts
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(2)(a) If a subcontractor has performed in accordance with a construction contract, and the original contractor receives payment from the owner for work performed by the subcontractor, the original contractor shall pay the subcontractor for that work no later than seven days afte…
ORS 701.635 Suspension of performance. (1) An original contractor may suspend performance under a construction contract, or if performance is suspended for longer than one month may terminate a construction contract, if the owner fails to make timely payment of the amount certified under ORS 701.625. An original contractor shall provide written notice to an owner at least seven days before the original contractor suspends performance or terminates the construction contract, unless a shorter notice period is prescribed in the construction contract. An original contractor may not be deemed in breach of a construction contract for suspending performance or terminating a construction contract pursuant to this subsection. A construction contract may not extend the notice period under this subsection
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(2) A subcontractor may suspend performance under a construction contract, or if performance is suspended for longer than one month may terminate a construction contract, if the owner fails to make timely payment of amounts certified under ORS 701.625 or the subcontractor does no…
ORS 701.640 Prohibition against contrary provisions, covenants or clauses. (1) A construction contract may not include any provision, covenant or clause that
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(a) Makes the construction contract subject to the laws of another state or that requires any litigation, arbitration or other dispute resolution proceeding arising from the construction contract to be conducted in another state; or (b) States that a party to the construction con…
ORS 701.645 Contracts and housing not subject to ORS 701.620 to 701.640. ORS 701.620 to 701.640 do not apply to
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(1) A contract for the construction, alteration, repair, maintenance, moving or demolition of a building that is subject to the Low-Rise Residential Dwelling Code; (2) A public contract under ORS 279.835 to 279.855 or ORS chapter 279A, 279B or 279C; or (3) Housing in which all or…
ORS 701.900 [1989 c.928 §31; 1999 c.402 §40; renumbered 701.002 in 2001]
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PENALTIES
ORS 701.990 Criminal penalties. (1) Violation of ORS 701.021 is a Class A misdemeanor
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(2) The intentional use of a contractor’s license number without the authorization of the licensed contractor is a Class A misdemeanor. (3) Use of a contractor’s license number, with or without the authorization of the licensed contractor, with the intent to deceive the public is…
ORS 701.992 Civil penalties and other sanctions; enforcement. (1) Except as provided in subsections (4) and (5) of this section, any person who violates any provision of this chapter or any rule adopted by the Construction Contractors Board shall forfeit and pay into the General Fund of the State Treasury a civil penalty in an amount determined by the board of not more than $5,000 for each offense
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(2) Civil penalties under this section must be imposed as provided in ORS 183.745. (3) The provisions of this section are in addition to and not in lieu of any other penalty or sanction provided by law. (4) The board shall impose sanctions for a violation of ORS 701.098 (1)(k) on…
ORS 701.995 Civil penalties for violations related to lead-based paint activities; reporting of penalties and sanctions. (1) A person who violates any provision of, or any rule adopted under, ORS 701.505 to 701.515 shall pay to the Construction Contractors Board Lead-Based Paint Activities Fund established under ORS 701.520 a civil penalty of not more than $5,000 for each violation
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(2) Civil penalties under this section shall be imposed as provided in ORS 183.745. (3) A civil penalty imposed under this section is in addition to and not in lieu of any other penalty or sanction provided by law. (4) The board shall report all civil penalties or sanctions impos…