ORS 100.490¹
Notice to unit owners of intent of association to commence judicial or administrative proceedings
  • contents of notice
  • right of unit owner to opt out

(1) At least 10 days prior to instituting any litigation or administrative proceeding to recover damages under ORS 100.405 (Association of unit owners) (4)(e)(E), the association of unit owners shall provide written notice to each affected owner of the association’s intent to seek damages on behalf of the owner. The notice shall, at a minimum:

(a) Be mailed to the mailing address of each unit or to the mailing addresses designated by the owners in writing to the association;

(b) Inform each owner of the general nature of the litigation or proceeding;

(c) Describe the specific nature of the damages to be sought on the owner’s behalf;

(d) Set forth the terms under which the association is willing to seek damages on the owner’s behalf, including any mechanism proposed for the determination and distribution of any damages recovered;

(e) Inform each owner of the owner’s right not to have the damages sought on the owner’s behalf and specify the procedure for exercising the right; and

(f) Inform the owner that exercising the owner’s right not to have damages sought on the owner’s behalf:

(A) Relieves the association of its duty to reimburse or indemnify the owner for the damages;

(B) Does not relieve the owner from the owner’s obligation to pay dues or assessments relating to the litigation or proceeding;

(C) Does not impair any easement owned or possessed by the association; and

(D) Does not interfere with the association’s right to make repairs to common elements.

(2) Within 10 days of mailing the notice described in this section, any owner may request in writing that the association not seek damages on the owner’s behalf. If an owner makes such a request, the association shall not make or continue any claim or action for damages with regard to the objecting owner’s unit or interest and shall be relieved of any duty to reimburse or indemnify the owner for damages under the litigation or proceeding. [1999 c.677 §57; 2001 c.756 §48]

Note: 100.490 (Notice to unit owners of intent of association to commence judicial or administrative proceedings) was added to and made a part of ORS chapter 100 by legislative action but was not added to any smaller series therein. See Preface to Oregon Revised Statutes for further explanation.

(formerly 94.004 to 94.480)

See also annota­tions under ORS 91.505 to 91.675 in permanent edi­tion.

Notes of Decisions

Even if declara­tions filed for purpose of bringing develop­ment within condominium law were defective for failure to conform to statutory require­ments, develop­ment was not vitiated but deficiencies would constitute mis­take in transac­tion thus making instru­ment eligible for reforma­tion in equity. Dickey v. Barnes, Mossberg, 268 Or 226, 519 P2d 1252 (1974)

Developers of planned unit develop­ments which are not organized as condominiums cannot claim the tax advantages of the Unit Ownership Law. Brooks Resources v. Dept. of Rev., 276 Or 1177, 558 P2d 312 (1976)

Purchasers of condominium units are automatically members of the unit owners associa­tion and subject to its declara­tion and bylaws; where those declara­tions and bylaws provide discre­tion to the Board of Directors to assess for fees necessary to create a “unified plan for the develop­ment and opera­tion” of the condominium, and the purchaser has alleged no abuse of discre­tion, the judg­ment of the Board of Directors is upheld. Assn. of Unit Owners of the Inn of the Seventh Mountain v. Gruenfeld, 277 Or 259, 560 P2d 641 (1977)

Acquisi­tion of prop­erty by condominium associa­tion is not limited to prop­erty subject to annexa­tion require­ments. Gier’s Liquor v. Associa­tion of Unit Owners, 124 Or App 365, 862 P2d 560 (1993)

Law Review Cita­tions

16 WLR 253 (1979)

Chapter 100

Notes of Decisions

This chapter does not authorize regula­tion by the Real Estate Division of sales of “right to use” time share interests in condominiums. Royal Aloha Partners v. Real Estate Division, 59 Or App 564, 651 P2d 1350 (1982)

Law Review Cita­tions

18 WLR 95 (1982)

1 Legislative Counsel Committee, CHAPTER 100—Condominiums, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ors100.­html (2019) (last ac­cessed May 16, 2020).
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2019, Chapter 100, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ano100.­html (2019) (last ac­cessed May 16, 2020).
3 OregonLaws.org assembles these lists by analyzing references between Sections. Each listed item refers back to the current Section in its own text. The result reveals relationships in the code that may not have otherwise been apparent. Currency Information