2021 Oregon Revised Statutes
Chapter 086 - Mortgages; Trust Deeds
Section 86.812 - Impermissible conditions for approving short sale or sale of note; exceptions.


(2) Except as provided in subsection (3) of this section, a beneficiary may not, as a condition of offering or approving a short sale as an alternative to foreclosing a residential trust deed, require a nonprofit entity that purchases property that is subject to the residential trust deed from a grantor in a short sale, or that purchases a note from the beneficiary that secures the grantor’s obligation to the beneficiary by means of the residential trust deed, to enter into an agreement with the beneficiary or the grantor that limits or bars the grantor, after the short sale or the sale of the note, from owning or occupying the property that is subject to the residential trust deed.
(3) Subsection (2) of this section does not apply if:
(a) The beneficiary does not receive notice before the short sale that the nonprofit entity or the grantor intends for the grantor to continue after the short sale to own or occupy the property that is the subject of the short sale;
(b) The grantor does not allow the beneficiary reasonable access to the property that is the subject of the short sale for the purpose of inspecting or appraising the property;
(c) Offering or approving the short sale would require the beneficiary to breach a contractual obligation to another person with respect to a residential trust deed that was recorded before July 19, 2013; or
(d) Offering or approving the short sale would require the beneficiary to breach a legal obligation that is not based on a contract. [2013 c.625 §2]

Structure 2021 Oregon Revised Statutes

2021 Oregon Revised Statutes

Volume : 02 - Business Organizations, Commercial Code

Chapter 086 - Mortgages; Trust Deeds

Section 86.095 - Acts not affecting priority of lien of credit instrument.

Section 86.110 - Discharge of record by owner and holder of mortgage note who is not the mortgagee of record.

Section 86.150 - Loan agreements and promissory notes to state maximum prepayment privilege penalty.

Section 86.155 - Priority of line of credit instrument as to certain advances; procedure to limit indebtedness in residential line of credit instrument.

Section 86.157 - Action for residual debt after short sale of residential property; payoff statements.

Section 86.160 - Definitions for ORS 86.160 to 86.185.

Section 86.165 - Late charge.

Section 86.205 - Definitions for ORS 86.205 to 86.275.

Section 86.225

Section 86.230

Section 86.240 - Limit on amount required in security protection escrow account; compliance with federal laws for certain loans as compliance with state laws.

Section 86.245 - Interest on security protection deposits; exception.

Section 86.255 - Arrangements where security protection provisions not required; information to borrower.

Section 86.260 - Payment of taxes where security protection provision required; credit of discount where taxes not paid; cause of action by borrower.

Section 86.265 - Effect of lender violation of ORS 86.205 to 86.275.

Section 86.705 - Definitions for ORS 86.705 to 86.815.

Section 86.707 - Additional definitions for ORS 86.726, 86.729, 86.732, 86.736, 86.741, 86.744 and 86.748.

Section 86.713 - Qualifications of trustee; certificate of authority to transact business; law practice serving as trustee; appointment of successor trustee; trustee’s duties.

Section 86.720 - Reconveyance upon performance; liability for failure to reconvey; release of trust deed.

Section 86.722 - Correction of error concerning status or effect of trust deed; rights of bona fide purchaser.

Section 86.726 - Resolution conference for foreclosure; exemptions; procedure to request conference; fee.

Section 86.729 - Scheduling and notice for resolution conference; information required; fees; postponement, rescheduling and cancellation; liability of facilitator.

Section 86.732 - Attendance at resolution conference; authority of beneficiary’s agent; representation of grantor; terms of foreclosure avoidance measure; report.

Section 86.736 - Certificate of compliance; expiration.

Section 86.741 - Attorney General duties and powers; payments; rules.

Section 86.744 - Foreclosure Avoidance Fund.

Section 86.748 - Determination of ineligibility for foreclosure avoidance measure; notice; recording; penalty.

Section 86.752 - Foreclosure by advertisement and sale.

Section 86.756 - Notice to grantor; requirements; additional forms; rules.

Section 86.761 - Failure to give notice to grantor; remedy.

Section 86.764 - Notice of sale for certain persons.

Section 86.767 - Failure to give notice of sale; action by omitted person; defense; pleading and proving knowledge of sale; attorney fees; exclusive remedy.

Section 86.771 - Contents of notice of sale; additional notices; contents and requirements.

Section 86.774 - Service and publication of notice; recording proof of compliance.

Section 86.778 - Discontinuance of foreclosure proceedings after cure of default.

Section 86.782 - Sale of property; obtaining possession after sale; procedures; notices; requirements for postponing or rescinding sale.

Section 86.786 - Request for information from trustee.

Section 86.789 - Information provided by trustee.

Section 86.794 - Disposition of proceeds of sale.

Section 86.797 - Effect of sale; actions for deficiency; restrictions.

Section 86.812 - Impermissible conditions for approving short sale or sale of note; exceptions.

Section 86.815 - Time within which foreclosure must be commenced.