2017 ORS 323.727¹
Penalties for violating ORS 323.700 to 323.730
  • seizure and forfeiture

(1) Except as otherwise provided in this section:

(a) The first time a person violates a provision of ORS 323.700 (Definitions for ORS 323.700 to 323.730) to 323.730 (Persons who may bring actions), the person shall be subject to a penalty of $1,000 or five times the retail value of the tobacco involved in the violation, whichever is greater; and

(b) In the case of a second or subsequent violation of ORS 323.700 (Definitions for ORS 323.700 to 323.730) to 323.730 (Persons who may bring actions), the person shall be subject to a penalty of $5,000 or five times the retail value of the tobacco involved in the violation, whichever is greater.

(2) A person who knowingly violates a provision of ORS 323.700 (Definitions for ORS 323.700 to 323.730) to 323.730 (Persons who may bring actions) or who knowingly submits a false certification under ORS 323.709 (Requirements for persons mailing or shipping tobacco in delivery sales) under the name of another person:

(a) Shall be subject to a penalty of $10,000 or five times the retail value of the tobacco involved, whichever is greater; or

(b) May be imprisoned for a period of not more than five years.

(3) A person who accepts a purchase order for a delivery sale and, in connection with the sale, fails to pay a tax due under ORS 323.005 (Short title) to 323.482 (Offense of unlawful distribution of cigarettes) or 323.500 (Definitions for ORS 323.500 to 323.645) to 323.645 (Short title) shall pay a penalty of five times the amount of tax due and not timely paid under ORS 323.005 (Short title) to 323.482 (Offense of unlawful distribution of cigarettes) or 323.500 (Definitions for ORS 323.500 to 323.645) to 323.645 (Short title).

(4) The penalties prescribed under this section are in addition to and not in lieu of any other penalty applicable under the laws of this state.

(5) Any tobacco sold or attempted to be sold in a delivery sale that does not meet the requirements of ORS 323.700 (Definitions for ORS 323.700 to 323.730) to 323.730 (Persons who may bring actions) may be immediately seized and subject to forfeiture. Tobacco seized and forfeited under this subsection shall be destroyed.

(6) Any fixtures, equipment, materials or other personal property on the premises of a person who violates ORS 323.700 (Definitions for ORS 323.700 to 323.730) to 323.730 (Persons who may bring actions) may be immediately seized and subject to forfeiture. Property seized and forfeited under this subsection may be sold or destroyed. [2003 c.804 §81]

Chapter 323

Notes of Decisions

This chapter was not intended to impose a tax on cigarettes sold by an Oregon distributor, to be shipped out of state and sold out of state to ultimate consumers for use out of state. Carter & Son v. Dept. of Rev., 5 OTR 379 (1974)

1 Legislative Counsel Committee, CHAPTER 323—Cigarettes and Tobacco Products, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ors323.­html (2017) (last ac­cessed Mar. 30, 2018).
 
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2017, Chapter 323, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ano323.­html (2017) (last ac­cessed Mar. 30, 2018).
 
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.