ORS 696.710¹
Necessity of alleging license in action to collect compensation

(1) A real estate broker or principal real estate broker conducting professional real estate activity within this state may not bring or maintain any action for the collection of compensation without alleging and proving that the individual was a real estate licensee when the alleged cause of action arose.

(2) An action for collection of compensation from a client for professional real estate activity conducted by a real estate broker associated with a principal real estate broker may not be brought or maintained except by the principal real estate broker with whom the real estate broker was associated when the alleged cause of action arose. [Amended by 1981 c.617 §32; 1991 c.5 §44; 2001 c.300 §43; 2007 c.319 §18; 2017 c.234 §26]

Notes of Decisions

The ac­tion to recover compensa­tion for brokerage services was proper despite the lack of a license where the plaintiff was a “regular employe” of the defendant within the terms of ORS 696.030 (Exemptions) which exempts certain per­sons from the licensing require­ment of this sec­tion. Brown v. Haverfield, 276 Or 911, 557 P2d 233 (1976)

This sec­tion imposes absolute bar to bringing and maintaining ac­tion for compensa­tion for real estate activities unless plaintiff is licensed real estate agent in Oregon. Fields v. Macnab, 70 Or App 154, 688 P2d 409 (1984)

Expenditures relating to opening of office for marketing of timeshares does not come within defini­tion of compensa­tion for purposes of this sec­tion. Jim Jarvis-Jim Beamer, Inc. v. Black Bear Resort, 85 Or App 51, 735 P2d 1240 (1987), Sup Ct review denied

This sec­tion does not bar ac­tion by licensed real estate salesper­son brought pursuant to valid assign­ment from licensed real estate broker. Scanlon v. Jensen, 102 Or App 631, 796 P2d 371 (1990), Sup Ct review denied

Atty. Gen. Opinions

Seller of own business franchise not a “business chance broker,” (1972) Vol 36, p 100

Chapter 696

Atty. Gen. Opinions

Sales of subdivision lots by mobile home salespeople, (1975) Vol 37, p 865; sales or offers of interests in limited partnerships to invest in real estate, (1978) Vol 38, p 1971

1 Legislative Counsel Committee, CHAPTER 696—Real Estate and Escrow Activities, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ors696.­html (2019) (last ac­cessed May 16, 2020).
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2019, Chapter 696, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ano696.­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