Statutory Liens

ORS 87.057
Notice of intent to foreclose

  • list of materials furnished and statement of prices
  • effect of failure to give notice

(1)

A person intending to foreclose a lien shall deliver to the owner of the property upon which the lien is claimed and to the mortgagee a notice in writing not later than 10 days prior to commencement of the suit stating that such person, or others, intends to commence suit to foreclose the lien. Notice delivered to the mortgagee who received the notice required by ORS 87.025 (Priority of perfected liens) shall be deemed in compliance with this subsection, unless the person giving notice has actual knowledge of a change of mortgagee.

(2)

Where a notice of intent to foreclose a lien has been given as provided by subsection (1) of this section, the sender of the notice upon demand of the owner shall furnish to the owner within five days after the demand a list of the materials and supplies with the charge therefor, or a statement of a contractual basis for the owner’s obligation, for which a claim will be made in the suit to foreclose.

(3)

A plaintiff or cross-complainant seeking to foreclose a lien in a suit to foreclose shall plead and prove compliance with subsections (1) and (2) of this section. No costs, disbursements or attorney fees otherwise allowable as provided by ORS 87.060 (Foreclosure) shall be allowed to any party failing to comply with the provisions of this section. [1975 c.466 §15; 1987 c.662 §11]

Notes of Decisions

Mortgagee is entitled to notice whether or not necessary party to foreclosure. Molalla Pump & Heating Co. v. Chaney, 42 Or App 789, 602 P2d 874 (1979)

Where defendant files surety bond guaranteeing payment of construction lien before plaintiff commences action to foreclose lien, plaintiff's failure to plead and prove it gave mortgagee notice of intent to foreclose does not bar award of attorney fees when mortgagee is neither necessary nor permissive party to action. Morse Bros. Contractors v. C.J.H. Construction Co., 66 Or App 901, 675 P2d 1122 (1984)

§§ 87.001 to 87.060

Notes of Decisions

In absence of express waiver by contractor of right to file construction lien, agreement to arbitrate disputes did not prevent filing of lien and thereafter foreclosing to recover unpaid amounts and costs and attorney fees incurred in preparation, filing and foreclosure of lien claim. Harris v. Dyer, 50 Or App 223, 623 P2d 662 (1981), as modified by 292 Or 233, 637 P2d 918 (1981)

Source

Last accessed
Jun. 26, 2021

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