Oregon Statutes 698.640 – Requirements for auction sales, consignment sales, auctioneers, consignees and auction marts; violation as unlawful trade practice; payments; penalty
(1) Except as provided in ORS § 698.650:
Terms Used In Oregon Statutes 698.640
- Person: includes individuals, corporations, associations, firms, partnerships, limited liability companies and joint stock companies. See Oregon Statutes 174.100
- Personal property: All property that is not real property.
- Trust account: A general term that covers all types of accounts in a trust department, such as estates, guardianships, and agencies. Source: OCC
(a) This section establishes requirements for auction sales, consignment sales, auctioneers, consignees and auction marts.
(b) A person who violates a requirement under this section commits an unlawful practice as described in ORS § 646.608 (1)(v) that is subject to enforcement and penalty as provided under ORS § 336.184 and 646.605 to 646.652.
(c) The requirements of this section are in addition to the provisions of ORS § 72.3280 that relate to auctions and in addition to other provisions of law that govern consignment sales.
(2) The following requirements apply to auction sales, consignment sales, auctioneers, consignees and auction marts as described:
(a) An advertisement of an auction sale or consignment sale must include the name of the auctioneer who will conduct the auction sale or the person responsible for conducting the auction sale or consignment sale.
(b) An auctioneer, auction mart operator or consignee may not use any method of bidding at an auction or selling at a consignment sale that will allow the auctioneer, auction mart operator or consignee to purchase property in an undisclosed manner on the auctioneer’s, auction mart operator’s or consignee’s own behalf.
(c) An auctioneer, auction mart operator or consignee may not use a method of bidding at an auction or selling at a consignment sale that allows the auctioneer, auction mart operator or consignee to avoid selling property offered for sale at auction or at a consignment sale.
(d) An auctioneer, auction mart operator or consignee may not employ or use another person to act as a bidder or buyer at the auction or consignment sale on behalf of the auctioneer, auction mart operator or consignee.
(e) If an auctioneer, auction mart operator or consignee does not immediately pay moneys that the auctioneer, auction mart operator or consignee owes to a person after selling real or personal property that the person offered, gave or entrusted to the auctioneer, auction mart operator or consignee to sell on the person’s behalf at auction or at a consignment sale, the auctioneer, auction mart operator or consignee shall:
(A) Maintain the moneys in trust for the person in a trust account that is separate from any account that the auctioneer, auction mart operator or consignee uses for personal reasons or other business reasons, and identify and account for the moneys so that the moneys may be distinguished from moneys that are subject to the auctioneer’s, auction mart operator’s or consignee’s other debts;
(B) Account to the person for all moneys the auctioneer, auction mart operator or consignee receives in payment for the person’s real or personal property;
(C) Pay the moneys the auctioneer, auction mart operator or consignee owes to the person within 21 calendar days after the date of the auction or the consignment sale at which the auctioneer, auction mart operator or consignee sold the person’s real or personal property, unless the person and the auctioneer, auction mart operator or consignee have mutually agreed in writing to payment on a different date; and
(D) Return the person’s unsold property within 21 calendar days after the auction or consignment sale unless the parties have mutually agreed in writing to another date. [1965 c.313 § 4; 1983 c.404 § 2; 1985 c.822 § 1; 2013 c.493 § 2]