(1) As used in this section:
(a) “Contractor” means a person who contracts on predetermined terms with a chief petitioner, or a person acting on behalf of a chief petitioner, of an initiative or referendum petition for the purpose of obtaining signatures on the petition.
(b) “Subcontractor” means a person who contracts on predetermined terms with a contractor for the purpose of obtaining signatures on an initiative or referendum petition and who has no direct contractual relationship with a chief petitioner or other person acting on behalf of a chief petitioner.
(2) If a contractor has knowledge of an unreported violation of section 1b, Article IV of the Oregon Constitution, by a subcontractor, the violation by the subcontractor is conclusively considered a violation by the contractor.
(3) A contractor is not liable under subsection (2) of this section if the contractor notifies the Secretary of State in writing not later than one business day after the contractor obtains knowledge of an unreported potential violation. The notice shall state:
(a) That a potential violation has occurred;
(b) The nature of the potential violation; and
(c) All specific information known to the contractor regarding the potential violation.
(4) This section does not apply to a violation of law that is subject to criminal penalty. [2007 c.848 §7]
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