(1) If a client has a claim against a debt consolidating agency registered under ORS 697.632, and the claim is one for which the client may seek recovery under the bond of the debt consolidating agency, the client may file the claim and a request for hearing with the Director of the Department of Consumer and Business Services if the claim:
(a) Has not been determined by proceedings in any court or is not the subject of proceedings pending in any court; and
(b) Has not been removed from the director under ORS 697.792.
(2) Upon receipt of a claim and request for hearing that qualifies under this section, the director shall initiate a hearing on the claim. The parties involved in the claim shall have the right to appear and be heard at the hearing. A hearing under this section is subject to ORS chapter 183.
(3) If the director determines that any of the conditions for payment under the bond of the debt consolidating agency exist and that the existence of any of the conditions for payment is a basis of the client’s claim, the director, after final resolution of any appeals permitted under ORS chapter 183, shall order the debt consolidating agency to pay within 20 days the claim determined by the director. If the debt consolidating agency does not pay the claim as required by this subsection, the director shall order the claim paid out of the bond filed under ORS 697.642.
(4) The director shall not:
(a) Determine damages under this section in excess of the amount of the bond filed under ORS 697.642.
(b) Accept for filing or hold hearings under this section on any claim that does not meet the qualifications under subsection (1) of this section.
(c) Hold hearings under this section on any claim if the amount of the bond is not sufficient to pay the claim after payment of other claims under ORS 697.812. [1983 c.17 §20; 1989 c.209 §5]Section: Previous 697.760 697.762 697.765 697.770 697.772 697.775 697.780 697.782 697.783 697.785 697.790 697.792 697.802 697.810 697.812 Next
Last modified: August 7, 2008