Oregon Statutes - Chapter 709 - Regulation of Trust Business

• 709.005   Certificate of authority to transact trust business; application; contents; fee; exceptions.
  (1) Except as provided in ORS 709.030 (4) or in subsection (4) of this section, no company shall transact any trust business in this state...
• 709.010   [Repealed by 1973 c.797 §428]
• 709.015   Organization as limited liability company.
  (1) As an alternative to being organized as a corporation pursuant to the provisions of ORS chapter 707 and this chapter, an Oregon trust company...
• 709.020   [Amended by 1973 c.428 §10; repealed by 1973 c.797 §428]
• 709.030   Approval to transact trust business; exceptions; deposit of cash, securities, letter of credit or surety bond with director; amount.
  (1) Except as provided in subsection (4) of this section, no person other than a trust company shall transact a trust business in this state....
• 709.040   Securities eligible for deposit.
  The securities mentioned in ORS 709.030 may only be of the following classes: (1) Interest-bearing bonds, notes or obligations of the United States including those...
• 709.050   Trust companies depositing securities guaranteed by mortgage insurance and mortgage participation certificates.
  A trust company authorized to do a trust business in this state which is required to make any deposit of securities with any public official...
• 709.060   Primary liability of deposit.
  The deposit mentioned in ORS 709.030 is primarily liable for the malfeasance of a trust company as a fiduciary and is not liable for any...
• 709.070   Right of action against deposit.
  A person who suffers loss or damage because of the breach of any trust committed to a trust company may recover the amount of the...
• 709.080   Charges for handling securities; collection procedure.
  (1) The Director of the Department of Consumer and Business Services may charge a reasonable amount for any expenses incurred and services rendered in connection...
• 709.090   [Repealed by 1973 c.797 §428]
• 709.100   [Repealed by 1973 c.797 §428]
• 709.110   Deposit of documents with notes or bonds.
  All mortgages or deeds of trust and all insurance policies, abstracts of title, certificates of title or title insurance policies and appraisements required by the...
• 709.120   Substitution of deposit securities; income of securities deposited.
  (1) The Director of the Department of Consumer and Business Services may require the immediate substitution of other securities when the director has reason to...
• 709.130   Indemnity bond when cash and securities of one trust exceed stockholders’ equity of trust company.
  If the cash and securities belonging to any single fiduciary account exceed the amount of the trust company’s stockholders’ equity, the court appointing the trust...
• 709.140   Return of deposit; liability of state.
  The State of Oregon is liable for the return of any funds or securities deposited in accordance with ORS 709.030. [Amended by 1973 c.797 §192]
• 709.145   Investment of capital.
  The capital of a trust company may be invested in the securities specified in ORS 709.040. [1973 c.797 §193] GENERAL POWERS
• 709.150   General powers of trust companies.
  A trust company may: (1) Act as fiscal or transfer agent of the United States or of any state, county, municipality, political subdivision or corporation,...
• 709.160   Solicitation and performance of legal business.
  (1) A trust company shall not advertise to furnish or furnish to the public legal advice or hold itself out as practicing law. (2) A...
• 709.170   Establishment of and investment in common trust funds; rules; accounting.
  (1) “Common trust fund” as used in this section, means any fund maintained by a trust company exclusively for the collective investment and reinvestment of...
• 709.175   Limitation on investment of trust funds; exceptions.
  (1) Except as provided in ORS 709.220, subsection (2) of this section, or as lawfully authorized by the instrument creating the trust relationship or by...
• 709.180   [Repealed by 1973 c.797 §428]
• 709.190   Trust department kept separate; records of securities; retention of records.
  (1) Each banking institution and each non-Oregon institution authorized to transact a trust business in this state shall establish and maintain in its office a...
• 709.200   Acquisition or investment of trust property in own name or name of nominee.
  (1) In the acquisition or investment of trust property, a trust company may take in its own name, or in the name of its nominee,...
• 709.210   Disclosure of fiduciary character or terms of trust instrument.
  In acquiring, holding, satisfying and conveying trust property, a trust company is not required to disclose that it is acting in a fiduciary capacity, the...
• 709.220   Handling of funds awaiting investment or distribution; security for use of funds.
  (1) Funds placed or held in trust by a trust company awaiting investment or distribution shall not be held uninvested or undistributed for a longer...
• 709.230   [Amended by 1961 c.344 §107; repealed by 1973 c.797 §428; amended by 1973 c.823 §143; amendment treated as reenactment, see 709.231]
• 709.231   [1973 c.823 §143 amending 709.230 treated as reenactment of 709.230 repealed by 1973 c.797 §428; repealed by 1974 c.36 §28]
• 709.240   Oath and bond exemption for trust company appointed as fiduciary.
  An official oath or indemnity bond or other security shall not be required when a trust company is appointed as fiduciary or during the administration...
• 709.250   [Repealed by 1973 c.797 §428; amended by 1973 c.823 §145; amendment treated as reenactment, see 709.251]
• 709.251   [1973 c.823 §145 amending 709.250 treated as reenactment of 709.250 repealed by 1973 c.797 §428; repealed by 1974 c.36 §28]
• 709.260   [Repealed by 1973 c.797 §428]
• 709.270   Disclosure of communications and writings.
  A trust company shall, except as otherwise provided in this section, keep inviolate all communications and writings made to or by the trustees touching the...
• 709.280   Loans to directors, officers, employees or affiliates.
  (1) A trust company shall not make any loan to any director, officer or employee of the trust company or to any affiliate or any...
• 709.290   Closing of trust unduly delayed.
  If, as a result of an examination, the Director of the Department of Consumer and Business Services finds that the closing of any trust by...
• 709.300   Transaction of trust business by national bank.
  (1) A national bank authorized to conduct a trust business that has complied with the applicable provisions of this chapter may transact trust business in...
• 709.310   [Amended by 1963 c.55 §2; repealed by 1973 c.797 §428]
• 709.320   [Repealed by 1973 c.797 §428]
• 709.330   Sale or transfer of assets or liabilities; effect on fiduciary relations.
  (1) When a sale or transfer of assets or liabilities becomes effective, the purchasing corporation shall succeed to all the rights, obligations and relations of...
• 709.335   Digital signatures.
  A trust company may conduct transactions using digital signatures and issue certificates for the purpose of verifying digital signatures. [1997 c.631 §234a; 1999 c.718 §3;...
• 709.340   Trust company quitting business; examination.
  A trust company quitting business shall furnish to the Director of the Department of Consumer and Business Services satisfactory evidence of its release and discharge...
• 709.350   Successor trustee upon liquidation or receivership; appointment and qualification; petition by director; applicability of state laws.
  (1) If a trust company goes into voluntary or involuntary liquidation or receivership, the appointment of a successor trustee for the trust shall be handled...
• 709.360   [Repealed by 1973 c.797 §428]
• 709.370   [Repealed by 1973 c.797 §428]
• 709.380   [Repealed by 1973 c.797 §428]
• 709.390   Discontinuance of trust business; determination of claims against deposit of securities.
  (1) If a trust company discontinues its trust business, the Director of the Department of Consumer and Business Services shall file in the circuit court...
• 709.400   Order to start court action; publication of order; jurisdiction over securities; notice to trustor; applicability of state laws.
  (1) Upon the filing of the petition under ORS 709.390, the court shall make an order requiring all persons having claims against the deposits to...
• 709.410   Termination of right to do trust business.
  The filing by the Director of the Department of Consumer and Business Services of the petition provided for in ORS 709.390 terminates the right of...
• 709.420   Actions or suits on claims; service of summons; preference on calendar.
  (1) In all actions to determine claims to the deposits, the Director of the Department of Consumer and Business Services shall be a necessary party...
• 709.430   Release or payment of deposit pending suit; distribution of deposits upon determination of suit.
  (1) If any actions on claims against the deposit mentioned in ORS 709.390 are begun within the six-month period, the Director of the Department of...
• 709.440   Director’s charges as prior lien on deposit.
  All unpaid charges owing to the Director of the Department of Consumer and Business Services for expenses and services rendered under ORS 709.080 in connection...
• 709.450   Sale and disposition of securities to pay expenses, costs and claims.
  The court hearing the proceedings instituted by the Director of the Department of Consumer and Business Services under ORS 709.390 may, upon terms fixed by...
• 709.460   Application of ORS 709.390 to 709.450 to merger or consolidation; return of security deposit after merger or consolidation.
  (1) ORS 709.390 to 709.450 do not apply to a merger or consolidation of a trust company with another trust company authorized to conduct a...
• 709.500   [Formerly 57.830; renumbered 709.600 in 1997]
• 709.520   Conversion to out-of-state trust company; conversion to Oregon trust company; procedures.
  (1) An Oregon trust company may convert into an out-of-state trust company subject to the prior approval of the supervisory authority having jurisdiction over the...
• 709.525   Merger or acquisition; procedures.
  An Oregon trust company may merge with or have its outstanding shares acquired by any other trust company if the merger or acquisition of shares...
• 709.530   Applicability of ORS 711.190, 711.197 and 711.199 to merging or converting trust company.
  ORS 711.190, 711.197 and 711.199 shall be applicable to a merging or converting Oregon trust company. [1997 c.631 §232]
• 709.535   Sale of assets or transfer of liabilities; approval by stockholders and director; appeal.
  (1) Subject to the provisions of this section, and subject to the approval of the Director of the Department of Consumer and Business Services, an...
• 709.540   Rights of stockholder of trust company party to merger, share exchange or acquisition.
  A stockholder of an Oregon trust company that is a party to a merger, share exchange or acquisition transaction shall have the rights granted stockholders...
• 709.600   Regulation of trust business by corporations formed prior to adoption of Bank Act; regulation of other business.
  (1) Trust business done by corporations created prior to the adoption of the Bank Act (General Laws 1925, chapter 207) shall be subject to regulation...
• 709.980   Civil penalties.
  (1) Any person who violates ORS 709.270 or 709.280 or any rule adopted under ORS 709.170 (3) shall forfeit a civil penalty in an amount...
• 709.990   [Repealed by 1973 c.797 §428]

Last modified: August 7, 2008