Oregon HOA Laws

Condominium and homeowners associations are subject to certain provisions within the Oregon Revised Statutes. Understanding these Oregon HOA laws is the first step in ensuring protection from legal liability.

For Planned Communities

The Oregon Planned Community Act regulates the creation, authority, management, and operation of residential planned communities such as homeowners associations. It covers the adoption of the annual budget, voting rules, insurance requirements, assessments, and liens, among other things.

You can find the Oregon Planned Community Act under Title 10, Chapter 94 of the Oregon Revised Statutes. It consists of 6 sections, each one broken down further into subsections.

Section 1 – General Provisions

• Definitions for ORS 94.550 to 94.783.
• Legislative findings.

Section 2 – Creation of Planned Community

• Planned community to be created under ORS 94.550 to 94.783; exception; conveyance of lot or unit prohibited until declaration recorded.
• Applicability of ORS 94.550 to 94.783.
• Applicability of certain provisions of ORS 94.550 to 94.783 to Class I or Class II planned communities.
• Applicability of subdivision law.
• Declaration; recordation; contents.
• Authority to amend declaration and initial bylaws to comply with federal or state laws.
• Amendment of declaration by owners.
• Reserve account for maintaining, repairing and replacing common property; reserve study; maintenance plan.

Section 3 – Declarant Control; Turnover of Administrative Control

• Declarant control of association.
• Transitional advisory committee.
• Notice of meeting to turn over administrative responsibility.
• Turnover meeting; transfer of administration; receivership.
• Rights of declarant following turnover meeting.
• Obligations and liabilities arising from transfer of special declarant rights.
• Acquisition of special declarant rights by successor declarant; exceptions.

Section 4 – Homeowners Association; Management of Planned Community

• Formation of homeowners association; adoption of initial bylaws; amendment of bylaws.
• Corporate dissolution of association.
• Powers of association.
• Association bylaws.
• Criteria for board of directors membership.
• Association board of directors; powers and duties; removal of director; meetings; executive sessions.
• Assent of director to board action.
• Receivership for failure of homeowners association to fill vacancies on board of directors.
• Adoption of annual budget.
• Use of written ballot for approving or rejecting matters subject to meeting of association members; procedures; exceptions.
• Meetings of lot owners; notice.
• Electronic notice to owner or director.
• Quorum for association meetings.
• Rules of order.
• Voting or granting consent.
• Method of voting or consenting.
• Electronic ballot.
• Notice to lot owners of intent of association to commence judicial or administrative proceeding; contents of notice; right of lot owner to opt out.
• Authority of association to sell, transfer, convey or encumber common property.
• Recording association information with county clerk.
• Association duty to keep documents and records; deposit of assessments; payment of association expenses; review of financial statement by certified public accountant; examination of records by owner.
• Application of ORS 94.670 (5).
• When compliance with specified provisions of ORS 94.640 and 94.670 required.
• Insurance for common property.
• Insurance deductible for certain planned communities.
• Election to have ORS 94.645, 94.655 and 94.675 apply.
• Blanket all-risk insurance.
• Specification of insurance for individual lots.
• Terms of insurance under ORS 94.680.
• Authority to delegate association powers to master association.
• Duration and termination of initial management agreements and service and employment contracts; exceptions.

Section 5 – Assessments and Liens Against Lots; Easements

• Assessment and payment of common expenses.
• Liens against lots; priority; duration; record notice of claim of unpaid assessment; foreclosure procedure.
• Lot owner personally liable for assessment; joint liability of grantor and grantee following conveyance; limitations.
• Lien against two or more lots; release.
• Lien foreclosure; other legal action by declarant, association or owner; attorney fees.
• Common expenses; liability of first mortgagee.
• Taxation of lots and common property.
• Easements held by owner of lot and by declarant; homeowners association access to lots.

Section 6 – Miscellaneous

• Promotional material showing possible improvements.
• Legislative findings regarding electric vehicle charging stations.
• Electric vehicle charging stations.
• Changes or actions that require approval or consent of mortgagee.
• Application of rule against perpetuities; conflict between declaration and bylaws; effect on title of declaration’s noncompliance with Oregon Planned Community Act; conflict between Oregon Planned Community Act and ORS chapter 65.
• Judicial partition prohibited.
• Compliance with bylaws and other restrictions required; effect of noncompliance.
• Remedies.
• When certain administrative provisions apply.
• Short title.

For Condominiums

The Oregon Condominium Act governs the creation, conversion, common expenses, apportionment of interest, management, and powers of condominium associations in the state. It also covers voting rights, insurance, association administration, and insurance requirements.

You can find the Oregon Condominium Act under Title 10, Chapter 100 of the Oregon Revised Statutes. It consists of 22 sections, listed below.

• General Provisions – Sections 100.005 through 100.025
• Creation Of Unit Ownership – Sections 100.100 through 100.140
• Flexible Condominiums – Sections 100.150 through 100.155
• Rights And Duties Of Declarant – Sections 100.170 through 100.175
• Warranties On New Units – Section 100.185
• Declarant Control; Turnover – Sections 100.200 through 100.210
• Special Declarant Rights – Sections 100.220 through 100.225
• Document Filing – Sections 100.250 through 100.290
• Conversion Condominiums – Sections 100.300 through 100.320
• Association Of Unit Owners; Management Of Property; Encumbrances; Conveyances – Sections 100.405 through 100.490
• Attributes And Duties Of Ownership – Sections 100.505 through 100.555
• Removal Of Property From Unit Ownership – Sections 100.600 through 100.620
• Dividing Or Converting Units – Section 100.625
• Electric Vehicle Charging Stations – Sections 100.626 through 100.627
• Regulation Of Sales; Filing Requirements – Sections 100.635 through 100.675
• Unit Sales Agreement – Sections 100.680 through 100.685
• Inspection Of Condominium; Disclosure Statement – Sections 100.700 through 100.710
• Requirements For Sale – Sections 100.720 through 100.750
• Prohibited Acts – Sections 100.770 through 100.785
• Enforcement – Sections 100.900 through 100.910
• Miscellaneous – Section 100.920
• Criminal Penalties – Section 100.990

Oregon HOA Laws on Corporate Governance

The Oregon Nonprofit Corporation Act regulates the corporate procedure, structure, and management of non-profit corporations in the state. In Oregon, homeowners associations must establish themselves as either non-profit or for-profit corporations. For the former, HOAs must adhere to the Oregon Nonprofit Corporation Act.

The same goes for condominium associations formed on or after September 27, 2007. There are exceptions to this, though, such as when the condominium only has four units or less, not including the units used for storage, parking, or other use ancillary to a unit.

You can find the Oregon Nonprofit Corporation Act under Chapter 65 of the Oregon Revised Statutes. It contains the following sections:

• General Provisions – Sections 65.001 through 65.042
• Incorporation – Sections 65.044 through 65.067
• Purposes and Powers – Sections 65.074 through 65.084
• Name – Sections 65.094 through 65.101
• Office and Agent – Sections 65.111 through 65.121
• Members and Memberships – Sections 65.131 through 65.177
• Membership Meetings and Voting – Sections 65.201 through 65.254
• Directors and Officers – Sections 65.301 through 65.414
• Amendment of Articles of Incorporation and Bylaws – Sections 65.431 through 65.467
• Merger – Sections 65.481 through 65.504
• Sale of Assets – Sections 65.531 through 65.534
• Distributions – Sections 65.551 through 65.554
• Dissolution – Sections 65.621 through 65.674
• Foreign Corporations – Sections 65.701 through 65.757
• Records and Reports – Sections 65.771 through 65.787
• Transfer of Assets of Hospital – Sections 65.800 through 65.875
• Miscellaneous – Sections 65.951 through 65.967
• Penalty – Section 65.990

Oregon HOA Laws on Solar Rights

Under the HOA laws of Oregon, homeowners associations can’t prohibit members from installing solar energy devices such as solar panels on their property. Such laws can be found under Chapter 94 and Chapter 105 of the Oregon Revised Statutes. If a planned community has provisions within their declaration or bylaws that forbid solar panels, those provisions are considered void and unenforceable. However, associations may regulate the size and placement of the panels.

Oregon HOA Laws on Fair Debt Collection

The federal Fair Debt Collection Practices Act protects consumers from unfair debt collection practices. The Oregon Unfair Debt Collection Practices Act offers similar protections on a state level. Under the Act, homeowners are considered consumers, and HOA dues are considered debts. The term “debt collector,” though, only applies to third-party collectors and not the homeowners association itself.

Homeowners who have become victims of unfair collection practices can report the matter to the Federal Trade Commission, the Consumer Financial Protection Bureau, or the Oregon Department of Justice. Alternatively, victims can also sue the debt collector in federal or state court.

Fair Housing

Oregon Revised Statutes Section 659A offers protection to persons against discrimination based on color, race, national origin, sex, sexual orientation, religion, familial status, marital status, disability, or source of income. It contains similar provisions as the federal Fair Housing Act.

Housing discrimination victims can lodge a complaint with the U.S. Department of Housing and Urban Development or the Bureau of Labor and Industries. On the other hand, victims can also file a private lawsuit in federal district court.