2007 Oregon Code - Chapter 586 :: Chapter 586 - Warehouses - Grain and Commodity Inspection
Chapter 586 —
Warehouses; Grain and Commodity Inspection
2007 EDITION
WAREHOUSES; GRAIN AND COMMODITY INSPECTION
AGRICULTURAL MARKETING AND WAREHOUSING
GENERAL PROVISIONS
586.210Â Â Â Â Definitions
for ORS 586.210 to 586.730
PUBLIC WAREHOUSES
586.225Â Â Â Â Exemption
for certain warehousing facilities
586.230Â Â Â Â State
Department of Agriculture to inspect warehouses and records and make rules to
enforce ORS 586.210 to 586.730
586.235Â Â Â Â Cooperative
agreements for inspections in other states
586.250Â Â Â Â Improper
acts of department officers or employees and of others improperly influencing
them
586.270Â Â Â Â Warehouse
licenses; federal licenses; license application and fee
586.275Â Â Â Â Revocation
of or refusal to issue license
586.280Â Â Â Â Prohibition
against operating a warehouse or issuing a warehouse receipt without a license
586.285Â Â Â Â Operation
without a license may be enjoined
586.290Â Â Â Â Posting
of signs at warehouses
586.295Â Â Â Â Warehouse
to be maintained in adequate manner
586.300Â Â Â Â WarehousemanÂ’s
bond; liability; automatic license suspension for failure to have or to
maintain bond
586.315Â Â Â Â Warehouseman
required to insure grain or retain written waiver by depositor
586.330Â Â Â Â Investigating
and fixing warehouse charges
586.340Â Â Â Â Posting
rate schedules; increase or discrimination in rates prohibited
586.350Â Â Â Â Overcharges,
rebates and preferences prohibited
586.360Â Â Â Â Warehouseman
required to receive grain for storage; reservation of space for local
customers; load slips; warehouse receipts
586.370Â Â Â Â Obtaining
blank forms of receipts from department
586.380Â Â Â Â Only
authorized receipts to be used; exception
586.382Â Â Â Â Warehouse
records; warehouse receipts
586.385Â Â Â Â WarehousemanÂ’s
liability for failure to issue proper receipt
586.395Â Â Â Â WarehousemanÂ’s
liability for injury to grain; disposal of grain which is a hazard
586.400Â Â Â Â Duty
of warehouseman receiving grain for storage; damages for failure to deliver
586.410Â Â Â Â Loading
and shipping instructions; liability of warehouseman
586.415Â Â Â Â Approval
of holder of receipt required before sale, shipment or other transaction
586.520Â Â Â Â Inspection
of warehouses; records required of warehouseman
586.525Â Â Â Â Procedure
in case of probable shortage in grain or where warehouseman refuses to submit
to inspection
586.527Â Â Â Â Settlement
of claims against defaulting warehouseman
586.529Â Â Â Â Receivership
of warehouse business; claims against surety
586.530Â Â Â Â Establishment
of standard grades for commodities received
586.550Â Â Â Â Warehouseman
to keep copy of regulations available for inspection
586.555Â Â Â Â WarehousemanÂ’s
reports to department
586.561Â Â Â Â Discontinuance
of operation of warehouse
GRAIN AND COMMODITY INSPECTION, WEIGHING AND
GRADING
586.570Â Â Â Â Department
to control weighing, inspection and grading of grain at inspection points;
inspection of commodities other than grain; records to be kept; certificates
issued
586.580Â Â Â Â Fixing
fees for inspecting, grading and weighing; fees as lien
586.590Â Â Â Â Review
by department of decisions as to grades
586.600Â Â Â Â Designating
inspection points
586.610Â Â Â Â Inspection
and grading of grain and hay at public terminal warehouses; weighing of grain
at inspection points
586.630Â Â Â Â Examination
of cars and seals on arrival for inspection, grading or weighing; opening,
unloading and resealing cars; authorized persons only to act
586.640Â Â Â Â Sidetracks
for cars to be inspected, graded or weighed; distribution of cars after
inspection
586.650Â Â Â Â Loading
or unloading outside usual hours; additional fees for inspection, grading and
weighing; compensation of department employees; rules
586.660Â Â Â Â Samples
of products graded, inspected or weighed; furnishing samples to those handling
or dealing in grain
586.670Â Â Â Â Examining
grain stored in warehouses
586.680
When
shipperÂ’s weight and grade final and conclusive
MISCELLANEOUS PROVISIONS
586.710Â Â Â Â Disposition
of certain fees; continuing appropriation
586.720Â Â Â Â Application
of Uniform Commercial Code–Documents of Title and other laws to public
warehouses and warehousemen
586.730Â Â Â Â Violation
of ORS 586.210 to 586.730 prohibited
PENALTIES
586.990Â Â Â Â Penalties
     586.010 [Repealed by 1955 c.731 §34]
     586.020 [Repealed by 1955 c.731 §34]
     586.030 [Repealed by 1955 c.731 §34]
     586.040 [Repealed by 1955 c.731 §34]
     586.050 [Repealed by 1955 c.731 §34]
     586.060 [Repealed by 1955 c.731 §34]
     586.070 [Repealed by 1955 c.731 §34]
     586.080 [Repealed by 1955 c.731 §34]
     586.090 [Repealed by 1955 c.731 §34]
     586.100 [Repealed by 1955 c.731 §34]
     586.110 [Repealed by 1963 c.116 §1]
     586.120 [Amended by 1961 c.726 §419; repealed by
1963 c.116 §1]
     586.130 [Repealed by 1955 c.731 §34]
GENERAL
PROVISIONS
     586.210
Definitions for ORS 586.210 to 586.730. As used in ORS 586.210 to 586.730, unless the context requires
otherwise:
     (1) “Department” means the State
Department of Agriculture.
     (2) “Grain” means wheat, corn, oats,
barley, rye, flaxseed, soybeans, grain sorghum, dry beans and peas and any
other grain for which standards are established by the state or the federal
government.
     (3) “Handling” includes receiving and
loading out grain tendered for storage.
     (4) “Public terminal warehouse” means any
public warehouse located in a city of this state designated as an inspection
point by the department.
     (5) “Public warehouse” includes any
elevator, mill, warehouse or other structure in which grain is received from
one or more members of the public for storage or handling for compensation.
     (6) “Warehouseman” includes any person,
existing legal entity or municipality owning, operating or controlling any
public warehouse. [Amended by 1955 c.731 §1; 1959 c.195 §1; 1961 c.445 §1; 1967
c.492 §1; 1969 c.190 §1; 2001 c.66 §1]
     586.220 [Repealed by 1955 c.731 §34]
PUBLIC
WAREHOUSES
     586.225
Exemption for certain warehousing facilities. (1) The provisions of ORS 586.210 to 586.561 do not apply to any
public warehouse or other facility where the owner or operator thereof only
receives grain:
     (a) The owner or operator has purchased or
has agreed to purchase,
     (b) For processing or cleaning for the
owner of the grain,
     (c) For such purposes other than storage
or handling as the State Department of Agriculture may by rule prescribe,
if the
records of the owner or operator include such written evidence as the
department requires, furnished on or before delivery of the grain by the owner
or the authorized agent of the owner, clearly showing that the grain was left
or deposited for one or more of the purposes set forth in this subsection.
     (2) Grain left or deposited with an owner
or operator whose records do not clearly include the evidence showing such
grain was only left or deposited for one or more purposes as required by
subsection (1) of this section, must be considered by the department to be
grain deposited for storage and handling pursuant to ORS 586.210 to 586.561.
Such owner or operator and the warehouse or other facility of the owner or
operator where grain is received, are subject to all provisions of ORS 586.210
to 586.561 during the license period. [1969 c.190 §2b]
     586.230
State Department of Agriculture to inspect warehouses and records and make
rules to enforce ORS 586.210 to 586.730. (1) The State Department of Agriculture shall have the power to
inspect public warehouses. The department shall investigate all complaints of
fraud or injustice in the operation of public warehouses and the business
practices of warehousemen licensed by the department and make all necessary rules
and regulations for carrying out and enforcing the provisions of ORS 586.210 to
586.730.
     (2) If sufficient funds are available, the
department annually shall inspect at reasonable times any warehouse or storage
facility where grain is stored, handled or received and any records kept by the
owner or person in control of such warehouse or storage facility and pertaining
to the operation thereof, in order to determine whether or not such facility
should be licensed pursuant to this chapter. [Amended by 1955 c.731 §2; 1959
c.195 §2; 1961 c.445 §2; 1997 c.608 §4]
     586.235
Cooperative agreements for inspections in other states. The Director of Agriculture may enter into
cooperative agreements with approved warehouse examination programs provided by
state governments of contiguous states to perform warehouse examinations of
merged code facilities domiciled in these contiguous states. [1997 c.608 §6]
     Note: 586.235 was added to and made a part of
586.210 to 586.730 by legislative action but was not added to any smaller
series therein. See Preface to Oregon Revised Statutes for further explanation.
     586.240 [Repealed by 1955 c.731 §34]
     586.250
Improper acts of department officers or employees and of others improperly
influencing them. (1) No
officer, employee, inspector, sampler or weigher of the State Department of
Agriculture shall:
     (a) Be guilty of any neglect of duty.
     (b) Knowingly or carelessly inspect,
sample or weigh any grain, grain products, hay or other commodities improperly.
     (c) Directly or indirectly accept any
money or other consideration for any neglect of duty or any improper
performance of duty as such officer, employee, inspector, sampler or weigher.
     (2) No person shall improperly influence
or attempt to improperly influence any officer, employee, inspector, sampler or
weigher of the department in the performance of duties as such officer,
employee, inspector, sampler or weigher.
     586.260 [Repealed by 1955 c.731 §34]
     586.270
Warehouse licenses; federal licenses; license application and fee. (1) Every person operating any public
warehouse in this state shall, before July 1 of each year or such date as may
be specified by rule of the State Department of Agriculture, procure from the
department a license for each such warehouse so operated for the ensuing year,
before transacting business at such public warehouse; but the holder of a
license to store grain under the United States Warehouse Act shall furnish the
department with a copy of such license and bond and, having furnished such
copies, is not required to secure a state license or pay state warehouse
inspection fees during the time the license holder continues to operate under
the federal license. The license shall be posted in a conspicuous place in the
office of each warehouse.
     (2) Application for a license under this
section shall be made to the department upon forms furnished by it. The
application shall include:
     (a) The name and address of the applicant.
     (b) The location of each public warehouse
of the applicant.
     (c) The total rated storage capacity in
bushels of each public warehouse.
     (d) The tariff schedule of charges to be
made at each public warehouse for the handling, storage and shipment of grain
during the license year.
     (e) Documentation satisfactory to the
department that the applicant has net assets of at least $50,000.
     (f) Such other information as the
department deems necessary to carry out the purposes of ORS 586.210 to 586.730.
     (3) The applicant shall submit with the
application an annual license fee of $500 for each public warehouse.
     (4) The department shall issue a license
to the applicant if it finds that the application is in due form and the
applicant has complied with the provisions of ORS 586.210 to 586.730. [Amended
by 1955 c.731 §3; 1967 c.492 §2; 1969 c.190 §2; 1981 c.204 §1; 1997 c.608 §2;
2001 c.66 §2; 2007 c.768 §16]
     586.275
Revocation of or refusal to issue license. Subject to the provisions of ORS chapter 183, upon determining that
any person licensed under this chapter, or who has applied for a license under
ORS 586.270, has violated or failed to comply with any of the provisions of
this chapter or any of the rules and regulations of the State Department of
Agriculture made under this chapter, or that such person has failed to place
and keep the premises, where the person conducts the licensed business, in the
manner required under this chapter, the department may revoke such personÂ’s
license or refuse to issue a license to such person. [1957 c.11 §2; 1961 c.425 §6;
1961 c.445 §5; 1971 c.734 §89]
     586.280
Prohibition against operating a warehouse or issuing a warehouse receipt
without a license. (1) No
person operating a public warehouse within this state shall issue any
negotiable grain warehouse receipt for grain for storage purposes unless the
person is at the time licensed so to do, either by the State Department of
Agriculture or by the United States Department of Agriculture.
     (2) No person shall operate a public
warehouse in this state without a license under ORS 586.210 to 586.730. [Amended
by 1955 c.731 §4]
     586.285
Operation without a license may be enjoined. The State Department of Agriculture may apply for, and the circuit
courts of this state hereby are vested with jurisdiction to issue, a temporary
or permanent injunction against the operation by any person of a public
warehouse without a license if such license is required by ORS 586.210 to
586.730. The remedy conferred by this section is in addition to any other
remedy provided by law. [1955 c.731 §8 (enacted in lieu of 586.320); 1971 c.418
§17]
     586.290
Posting of signs at warehouses.
(1) Every warehouseman operating a public warehouse licensed and bonded under
ORS 586.210 to 586.730 shall post at or near the main entrance to the warehouse
a sign to be furnished by the State Department of Agriculture of such design as
the department directs, having thereon the words, “Oregon Bonded Grain
Warehouse.” It is unlawful to permit such sign or any sign of similar
appearance or bearing the same words, or words of similar import, to remain
during any time that the warehouse is not duly and regularly licensed or bonded
under ORS 586.210 to 586.730.
     (2) When any such license expires or is
revoked and a new license from the department has not yet been issued, or if
the full amount of the bond required has not been filed and approved, then the
warehouseman immediately shall:
     (a) Remove the sign.
     (b) Discontinue operation of the business
as a public warehouse.
     (c) Place and maintain for at least one
year at the main entrance to the warehouse a sign of such dimensions and other
specifications as prescribed by the department and having thereon the words, “This
is Not a Licensed or Bonded Grain Warehouse.” [Amended by 1955 c.731 §5; 1959
c.195 §3]
     586.295
Warehouse to be maintained in adequate manner. A public warehouse shall be maintained in a
manner adequate to provide suitable, sanitary and safe storage of the
particular product or commodity stored therein. [1957 c.11 §6; 1957 c.314 §4]
     586.300
WarehousemanÂ’s bond; liability; automatic license suspension for failure to
have or to maintain bond.
(1)(a) Each warehouseman operating a public warehouse required to be licensed
under ORS 586.210 to 586.730 shall, on or before July 1 of each year, give a
bond to the State of
     (b) The bond for each warehouseman who
elects to provide to the State Department of Agriculture a financial statement
or audit satisfactory to the department shall be not less than $20,000 nor more
than $200,000, as conforms with a schedule to be established by the department.
Such schedule shall be based upon a number of cents, varying from 8 to 15,
multiplied by the number of bushels of rated grain storage capacity of the
public warehouse furnishing the bond. The department shall determine the rate
between 8 and 15 cents and fix the amount of the bond with reference to the
market value of the commodity found or expected by the warehouseman to
preponderate in storage in the warehouse of the warehouseman. In so doing, the
department shall take into consideration, but not be limited by, the coverage
requirements of lending agencies. The bond of a public warehouse when first
licensed shall conform with the value of commodities expected in storage.
     (c) For all warehousemen who fail to
provide the financial statement or audit referred to in paragraph (b) of this
subsection, the amount of the bond shall be determined by multiplying 20 cents
times the number of bushels of rated grain storage capacity of the public
warehouse furnishing the bond. The amount of the bond shall be not less than
$20,000 nor more than $500,000. In lieu of a surety bond, the warehouseman may
submit a letter of credit or securities satisfactory to the State Department of
Agriculture.
     (2) The bond must be approved by the
department and shall be conditioned upon faithful performance by the
warehouseman of the acts and duties enjoined by law upon the warehouseman as a
warehouseman, and such further obligations as a warehouseman as the
warehouseman may lawfully assume under contracts with depositors of grain in
the warehouse of the warehouseman. The liability of the surety upon such bond
is limited to the amount specified in the bond.
     (3) The warehouseman may give a single
bond meeting the requirements of ORS 586.210 to 586.730, and all public
warehouses operated by the warehouseman shall be deemed as one public warehouse
for the purpose of the bond required under such sections.
     (4) If a bond has been filed with, and
approved by, the Department of Agriculture of the United States, as required by
the United States Warehouse Act, then such bond shall be considered as in lieu
of the bond required by this section, if:
     (a) Satisfactory proof of the filing and approval
of the bond is filed with the department;
     (b) The department is satisfied with the
form of the bond;
     (c) The surety is a corporation authorized
to do business as a surety in this state; and
     (d) The bond meets the other requirements
of ORS 586.210 to 586.730.
     (5) The department may require the filing
of an additional bond or bonds, within the limit stated in subsection (1) of
this section, when it has knowledge of the principalÂ’s methods of conducting
business or of conditions affecting such business that, in the departmentÂ’s
judgment, make such increase advisable for the protection of holders of the
bonded public warehouseÂ’s receipts or load slips.
     (6) Notwithstanding ORS chapter 183, the
license of a warehouseman shall be automatically suspended for failure at any
time to have or to maintain a bond in the amount and type required by this
chapter. The department shall not remove the suspension or issue a license as
the case may be, until it is satisfied the required bond has been obtained. [Amended
by 1955 c.731 §6; 1959 c.195 §4; 1961 c.445 §8; 1997 c.608 §1]
     586.310 [Repealed by 1961 c.445 §23]
     586.315
Warehouseman required to insure grain or retain written waiver by depositor. (1) Except as provided in subsection (2) of
this section, grain in storage in a public warehouse or public terminal
warehouse shall be kept fully insured by the warehouseman for the current
market value of such grain against loss by fire, lightning, inherent explosion,
windstorm, cyclone and tornado. Evidence of such insurance coverage in the form
of a certificate of insurance approved by the State Department of Agriculture
shall be filed with the department at the time of making application for an
annual license to operate a public warehouse as required by this chapter. The
department shall not issue a license until such certificate of insurance is
received.
     (2) Any person depositing or storing grain
who does not wish to have the grain of the person insured by a warehouseman, as
required by subsection (1) of this section, may relieve the warehouseman of
that duty and the provisions of this section, by notifying the warehouseman in
writing that the person does not wish the grain of the person insured. If such
notice specifies a definite period during which such grain shall not be
insured, the warehouseman shall keep such notice in the files of the
warehouseman for at least two years after such period ends. If no period is
mentioned and the notice covers all grain which has been or may thereafter be
deposited or stored with such warehouseman, then the warehouseman shall retain
such notice for at least two years after all grain has been removed by the
person giving such notice.
     (3) Notwithstanding the provisions of ORS
586.275, when the provisions of this section are violated, the department shall
immediately suspend the license of the warehouseman. The suspension shall
remain in effect until there has been compliance with this section. The
provisions of this subsection shall supersede any inconsistent provisions in
ORS chapter 183. [1959 c.195 §6; 1961 c.425 §7]
     586.320 [Repealed by 1955 c.731 §§7, 34 (586.285
enacted in lieu of 586.320)]
     586.330
Investigating and fixing warehouse charges. All charges made by any warehouseman subject to the provisions of ORS
586.210 to 586.730, for the handling or storage of grain shall be just, fair
and reasonable; and the State Department of Agriculture, upon the complaint of
any person interested or by inquiry upon its own motion, after a full hearing,
may:
     (1) Declare any existing charge for the
handling or storage of grain or any regulation whatsoever affecting such
charge, or the receipt, handling or storage, to be unreasonable or unjust; and
     (2) Declare and order what is a just and
reasonable charge or regulation to be imposed or enforced in place of that
found to be unreasonable or unjust. [Amended by 1955 c.731 §9]
     586.340
Posting rate schedules; increase or discrimination in rates prohibited. Every warehouseman shall annually, during
the first week in July, publish by posting in a conspicuous place in the public
warehouse of the warehouseman, a schedule of grain storage and handling rates
for the ensuing year. The schedule shall be kept posted in a conspicuous place
in the public warehouse. The rates shall not be changed during such year. No
discrimination in rates shall be made by any warehouseman. [Amended by 1955
c.731 §10]
     586.350
Overcharges, rebates and preferences prohibited. No warehouseman subject to the provisions of
ORS 586.210 to 586.730 shall:
     (1) Directly or indirectly, by any special
charge, rebate, drawback or other device, demand, collect or receive from any
person a greater or lesser compensation for any service rendered or to be
rendered in the handling or storage of grain than the warehouseman demands, collects
or receives from any other person for doing for the person a like and
contemporaneous service in the handling or storage of grain under substantially
similar circumstances or conditions.
     (2) Make or give any undue or unreasonable
preference or advantage to any person in any respect whatsoever.
     (3) Subject any particular person to any
undue or unreasonable prejudice or disadvantage in any respect whatsoever. [Amended
by 1955 c.731 §11]
     586.360
Warehouseman required to receive grain for storage; reservation of space for
local customers; load slips; warehouse receipts. (1) Every warehouseman shall receive for
storage and handling, as the capacity of the public warehouse of the
warehouseman will permit, all grain in a public warehouse licensed for such
purpose, in suitable condition for storage, tendered the warehouseman in the
usual course of business, without discrimination of any kind. However, a
warehouseman may reserve adequate storage space for local producer customers.
     (2) Every warehouseman receiving grain for
storage or handling shall issue to every person delivering the grain to the
warehouseman a load slip which shall contain thereon the actual weight of each
draft of the grain and the tare, if any, and other information required by the
State Department of Agriculture, immediately upon receipt of each load or
parcel of grain. The warehouseman receiving grain for storage or handling shall
within 10 days after demand, issue and deliver to the owner of the grain, or
the representative of the owner, a negotiable or nonnegotiable grain warehouse
receipt in form prescribed by the department, unless exempted by ORS 586.380
(3). [Amended by 1955 c.731 §12; 1961 c.445 §9; 1991 c.894 §2]
     586.370
Obtaining blank forms of receipts from department. (1) The State Department of Agriculture
shall cause to be printed, bound and delivered to each person operating a
public warehouse a sufficient number of blank negotiable and nonnegotiable
grain warehouse receipts, in such form and as prescribed by the department,
required to carry on the business of such public warehouse when needed. No
person shall use such forms for any purpose other than in connection with
receipt of grain for storage or handling.
     (2) Every person intending to operate a
public warehouse shall file with the department for that purpose a requisition
for such number of negotiable and nonnegotiable grain warehouse receipts as may
be required for the operation of such public warehouse during the ensuing
license year, specifying:
     (a) The name of the warehouseman intending
to operate such public warehouse.
     (b) The state number of the public
warehouse, or the respective numbers of the public warehouses, intended to be
operated.
     (c) The respective quantities of blank
forms of receipts required for each public warehouse.
     (d) The place where each public warehouse,
respectively, is located.
     (e) The location of the principal place of
business of the warehouseman operating such public warehouse or warehouses.
     (f) The rate of handling and storage
charges at such public warehouse, or each of such warehouses, respectively.
     (g) Such other information as may be
required by the department, specified in the blank form of requisition.
     (3) All receipt forms shall state thereon
the amount of cash or other advances made by the warehouseman to the depositor
of grain.
     (4) Payment for such receipts shall be
made in advance. Every such warehouseman may file requisitions for additional
receipts from time to time as the warehouseman requires. [Amended by 1955 c.731
§13; 1961 c.445 §10]
     586.380
Only authorized receipts to be used; exception. (1) It is unlawful to issue negotiable or
nonnegotiable grain warehouse receipts other than those furnished by the State
Department of Agriculture and such receipts shall be issued consecutively as
numbered and dated with the true and correct date on which each receipt is
actually issued. It is unlawful to print or have in possession for the purpose
of issuance under ORS 586.210 to 586.730, any negotiable or nonnegotiable grain
warehouse receipt blanks intended for use under the provisions of those
sections other than those authorized to be printed or other than those
furnished by the department.
     (2) Nothing in ORS 586.210 to 586.730
shall be construed to prevent the issuance of nonnegotiable load slips or other
nonnegotiable evidence of similar nature showing when and what quantities of
grain were received or the condition thereof upon delivery.
     (3) Warehouses operated under the United
States Warehouse Act, are exempted from the use of receipts furnished by the
department. [Amended by 1955 c.731 §14; 1961 c.445 §11; 1969 c.190 §7]
     586.382
Warehouse records; warehouse receipts. (1) A warehouseman operating another business in conjunction with, or
in proximity to, the licensed public warehouse of the warehouseman shall keep a
complete set of records for the warehouse business, entirely separate and
distinct from the accounts and records of any other business. Deposits of grain
for the account of such other business, or for grain owned by the warehouseman,
shall be entered in the books of the warehouse in the same manner as those of
other depositors.
     (2) No sale of grain by a warehouseman for
future delivery, made when grain is not in storage in the warehouse, shall be
deemed a transaction to which this chapter is applicable, nor shall such
transaction be entered in the warehouse records as a storage obligation until
the grain is placed in the public warehouse. When such grain is received and
deposited to an account of a purchaser, the warehouseman shall immediately
issue and deliver to the purchaser a negotiable or nonnegotiable warehouse
receipt therefor.
     (3) When grain in storage, not covered by
an outstanding warehouse receipt, is purchased from one depositor and title
passed to a new owner, the warehouseman shall immediately issue and deliver to
such new owner a negotiable or nonnegotiable warehouse receipt therefor. [1961
c.445 §7]
     586.385
WarehousemanÂ’s liability for failure to issue proper receipt. (1) No warehouseman shall issue a receipt
for grain not known by the warehouseman to be in the public warehouse of the
warehouseman.
     (2) When partial withdrawal of the grain
of the depositor is made by a depositor, the warehouseman shall make
appropriate notation thereof on the depositorÂ’s nonnegotiable receipt and on
other records as prescribed by the State Department of Agriculture, or, if the
warehouseman has theretofore issued a negotiable receipt to the depositor, the
warehouseman shall claim, cancel and replace it with a negotiable receipt
showing the amount of such depositorÂ’s grain remaining in the public warehouse.
     (3) A nonnegotiable receipt shall have
plainly lettered upon the face thereof, “Not Negotiable” or “Nonnegotiable.”
     (4) For failure of the warehouseman to
claim and cancel, on delivery by grain stored in the public warehouse of the
warehouseman, a negotiable receipt therefor issued by the warehouseman, the
negotiation of which would transfer the right to possession of such grain, a
warehouseman shall be liable to any one who purchases such receipt for value
and in good faith, for failure to deliver to the purchaser all the grain
specified in the receipt, whether such purchaser acquired title to the
negotiable receipt before or after delivery of any part of the grain by the
warehouseman. [1961 c.445 §13]
     586.390 [Repealed by 1955 c.731 §34]
     586.395
WarehousemanÂ’s liability for injury to grain; disposal of grain which is a
hazard. (1) A warehouseman
shall be liable for any loss or injury to the grain in the public warehouse of
the warehouseman caused by the failure of the warehouseman to exercise such
care in regard to it as a reasonably careful person would exercise in regard to
similar grain of the personÂ’s own.
     (2)(a) If a warehouseman discovers that as
a result of a quality or condition of certain grain placed in the public
warehouse of the warehouseman, of which the warehouseman had no notice at the
time of deposit, such grain is a hazard to other grain or to persons or to the
public warehouse, and if it is not immediately removed by the owners at the
request of the warehouseman, the warehouseman may sell the grain at public or
private sale without advertisement but with reasonable notification to all
persons known to claim an interest in the grain. If the warehouseman after a
reasonable effort is unable to sell the grain, the warehouseman may dispose of
it in any other lawful manner and shall incur no liability by reason of such
disposition.
     (b) At any time prior to sale or
disposition as authorized in this section, the warehouseman shall deliver the
grain to any person entitled to it, upon proper demand and payment of charges.
     (c) From the proceeds of sale or other
disposition of the grain the warehouseman may satisfy the charges of the
warehouseman for which otherwise the warehouseman would have a lien, and shall
hold the balance thereof for delivery on the demand of any person to whom the
warehouseman would have been required to deliver the grain. [1961 c.445 §14]
     586.400
Duty of warehouseman receiving grain for storage; damages for failure to
deliver. (1) Except as
otherwise provided in subsection (2) of this section, the duty of a
warehouseman receiving grain for storage or shipment in a public warehouse
operated by the warehouseman shall be governed by the provisions of ORS
77.4030.
     (2) A warehouseman’s duty to deliver grain
is fulfilled if delivery is made to the several owners in the order of demand
as rapidly as it can be done by ordinary diligence; where delivery is made
within 48 hours after facilities for receiving the grain are provided, such
delivery is deemed to comply with this subsection.
     (3) No warehouseman shall fail to deliver
grain as provided in this section.
     (4) In addition to being subject to
penalties under ORS 586.990 for violation of subsection (3) of this section, if
a warehouseman fails to deliver grain as provided in this section, the person
entitled to delivery of the grain may maintain an action against the
warehouseman for any damages resulting from the warehousemanÂ’s failure to
deliver. In any such action the person entitled to delivery of the grain has
the option to seek recovery of actual damages or of liquidated damages of one
cent per bushel for each day’s delay. [Amended by 1955 c.731 §15; 1961 c.726 §420]
     586.410
Loading and shipping instructions; liability of warehouseman. Owners of negotiable grain warehouse
receipts surrendered for shipment of grain or of grain in a public warehouse
for which load slips only are furnished shall furnish the warehouseman with
written instructions regarding the capacity of cars to be ordered from the
transportation company and as to the manner of loading and billing shipments
made in such cars as are furnished by the transportation company. The
warehouseman shall load and bill all such shipments in exact accordance with
instructions given, and is liable to the owner of the receipt so surrendered or
of the grain for which load slips only are furnished for the amount of any
excess freight paid, or for other damages suffered, by the owner of the receipt
or grain resulting from the failure of the warehouseman to follow exactly the
loading and billing instructions as given the warehouseman. [Amended by 1955
c.731 §16]
     586.415
Approval of holder of receipt required before sale, shipment or other
transaction. No warehouseman
shall sell, encumber, ship, transfer or in any manner remove or permit to be
shipped, transferred or removed from a warehouse any grain received by the
warehouseman for deposit or handling, without the written approval of the
holder of the warehouse receipt or load slip. [1961 c.445 §16]
     586.420 [Repealed by 1955 c.731 §34]
     586.425 [1957 c.11 §4; 1957 c.314 §3; 1961 c.726 §421;
repealed by 1963 c.116 §1]
     586.430 [Repealed by 1955 c.731 §34]
     586.440 [Repealed by 1955 c.731 §34]
     586.450 [Repealed by 1955 c.731 §34]
     586.460 [Repealed by 1955 c.731 §34]
     586.470 [Repealed by 1955 c.731 §34]
     586.480 [Repealed by 1955 c.731 §34]
     586.490 [Repealed by 1955 c.731 §34]
     586.500 [Repealed by 1955 c.731 §34]
     586.510 [Repealed by 1955 c.731 §34]
     586.520
Inspection of warehouses; records required of warehouseman. (1) Upon the request of any person or
persons having an interest in grain stored in any public warehouse and upon
payment of $25 in advance, the State Department of Agriculture shall cause such
warehouse to be inspected and shall cause to be checked the outstanding
negotiable grain warehouse receipts and load slips which have not been
superseded by negotiable grain warehouse receipts with the grain on hand and shall
report the amount of receipts and load slips outstanding and the amount of
storage, if any. If the cost of the examination is less than $25 the excess
shall be returned to the person making the payment, and if the cost of the
examination is more than $25 the person or persons having an interest in the
grain stored in any such warehouse, and requesting such examination, shall pay
the additional cost to the department.
     (2) The department may cause every such
warehouse and business thereof and the mode of conducting the warehouse to be
inspected by one or more of its officers, employees or inspectors whenever
deemed proper. A public warehouse shall be maintained in a manner adequate to
provide convenient and safe means of ingress and egress to the various storage
bins and compartments by those persons authorized to make inspections. The
warehouseman shall cooperate with the department in any inspection of the
warehouse or warehouse records and shall assist the department in every
reasonable manner in any of such inspections.
     (3) The property, books, records,
accounts, papers and proceedings of every such warehouseman shall at all times
during the business hours be subject to such inspection by the department. The
warehouseman shall maintain adequate records and systems for the filing and
accounting of warehouse receipts, canceled warehouse receipts, load slips,
other documents and transactions necessary or common to the warehouse industry.
Canceled warehouse receipts, copies of load slips and other copies of documents
evidencing ownership or ownership liability shall be retained by the
warehouseman for a period of at least three years from date of cancellation. [Amended
by 1955 c.731 §17; 1957 c.11 §5; 1957 c.314 §2; 1969 c.190 §4; 1981 c.204 §2]
     586.525
Procedure in case of probable shortage in grain or where warehouseman refuses
to submit to inspection. (1)
Whenever it appears probable after investigation that a licensed warehouseman
has not in possession sufficient grain to cover the outstanding warehouse
receipts, load slips or other evidence of storage liability issued or assumed
by the warehouseman, or when such warehouseman refuses to submit books, papers
or property to lawful inspection, the State Department of Agriculture may give
notice to the warehouseman to comply with all or any of the following
requirements:
     (a) Cover such shortage.
     (b) Give additional bond.
     (c) Submit to such inspection as the
department may deem necessary.
     (2) If such warehouseman fails to comply
with the terms of such notice within 24 hours from the date of its issuance, or
within such further time as the department may allow, the department,
represented by the Attorney General or the district attorney of the county in
which the warehouse is located, shall apply to the circuit court of such county
for an order:
     (a) Authorizing the department to take
possession of all special piles and special bins of grain and all commingled
grain in the public warehouse or warehouses owned, operated or controlled by
the warehouseman, and of all books, papers and property of all kinds used in
connection with the conduct or the operation of such warehousemanÂ’s warehouse
business, whether such books, papers, records and property pertain
specifically, exclusively, directly or indirectly to that business, or are
related to the handling, storage or use of grain of the warehouseman in any
other business; and
     (b) Enjoining the warehouseman from
interfering with the department in the discharge of its duties as required by
this section.
     (3) Upon taking possession the department
shall give written notice of its action to the surety on the bond of the
warehouseman and may notify the holders of all warehouse receipts or other
evidence of deposits issued for grain, to present their warehouse receipts or
other evidence of deposits, for inspection, or to account for the same. The
department may thereupon cause an audit to be made of the affairs of such
public warehouse with respect to the grain in which there is an apparent
shortage, determine the amount of such shortage and compute the shortage as to
each depositor of grain. The department shall notify the warehouseman and the
surety on the bond of the warehouseman of the amount of such shortage and
notify each depositor thereby affected.
     (4) The department shall retain possession
of the grain in the warehouse or warehouses, and of the books, papers and
property of the warehouseman, until such time as the warehouseman or the surety
on the bond shall have satisfied the claims of all holders of warehouse receipts
or other evidence of deposits, or, in case the shortage exceeds the amount of
the bond, the surety on the bond shall have satisfied such claims pro rata, or
until such time as the department is ordered by the court to surrender
possession.
     (5) If during or after the audit provided
for in this section, or at any other time the department is of the opinion that
the warehouseman is insolvent or in danger of becoming so or is unable to
satisfy the claims of all holders of warehouse receipts or other evidence of
deposits, the department, represented by the Attorney General or the district
attorney of the county in which the public warehouse is located, may petition
the circuit court of such county for the appointment of a receiver to operate
or liquidate the business of the warehouseman in accordance with law.
     (6) At any time within 10 days after the
department takes possession of any grain, or the books, papers and property of
any licensed grain warehouse, the warehouseman may serve notice upon the department
to appear in the circuit court of the county in which such warehouse is
located, at a time to be fixed by such court, which shall be not less than
five, nor more than 15 days from the date of the service of such notice, and
show cause why such grain, books, papers and property should not be restored to
the possession of the warehouseman.
     (7) All expenses incurred by the
department in carrying out the provisions of this section shall be a first
charge and lien upon the assets of the warehouseman, and may be recovered in a
separate civil action brought by the department, represented by the Attorney
General or the district attorney, in the circuit court of the county in which
the public warehouse is located, or recovered at the same time and as a part of
the action filed under this section.
     (8) As a part of the expenses so incurred,
the department or the receiver is authorized to include the cost of adequate
liability insurance necessary to protect the department, its officers and
others engaged in carrying out the provisions of this section.
     (9) Nothing in this section shall be
construed as a waiver by the State of
     586.527
Settlement of claims against defaulting warehouseman. (1) If the State Department of Agriculture
considers the appointment of a receiver or other action provided by ORS 586.525
inadvisable or inexpedient in the case of depositors of grain in a public
warehouse operated by a warehouseman who is in default as to any condition of
bond, it may obtain settlement for such depositors as provided in this section.
     (2) The department shall:
     (a) Give reasonable notice to persons
holding warehouse receipts or other evidence of deposit issued by the
defaulting warehouseman, to file claims with the department.
     (b) Fix a reasonable time within which
such filing shall be done.
     (c) Investigate each claim so filed and
reasonably verify the circumstances under which the claims accrued and the good
faith of the claimants.
     (3) With the approval of the claimants who
filed claims, the department may settle such claims with the surety without
filing legal action. Such settlement unless appealed to the circuit court
within 30 days as provided by law, is final between the surety and all
claimants covered by the bond.
     (4) If any claimant or the surety does not
agree with the findings of the department, the department shall file a
declaratory judgment action without right to jury trial in the circuit court in
the name of the State of
     586.529
Receivership of warehouse business; claims against surety. (1) An employee of the State Department of
Agriculture may be appointed receiver if the court is unable, or deems it
inadvisable, to obtain the services of another qualified person to accept the
position as authorized by ORS 586.525. If a person other than an employee of
the department is appointed a receiver and if at any time it is apparent to the
court that there is or may be insufficient assets from which to make reasonable
payment for expenses or services rendered or to be rendered, the department is
authorized with the approval of the court from funds received under this
chapter, to make payment to such receiver for services rendered or expenses
incurred thereunder of a total amount not to exceed $2,000 in any one
particular receivership. The department is entitled to be reimbursed from the
assets of the receivership on the same basis and priority as otherwise applies
by law to payment to receivers appointed by the court.
     (2) If a receiver is appointed as
authorized by ORS 586.525, the surety on the bond of the warehouseman shall be
made a party to the receivership and the action filed by the department. In
addition to other authority provided by law, the receiver shall have authority
to give notice and provide a reasonable time, as approved by the court, to
persons holding warehouse receipts or other evidence of deposit issued by the
defaulting warehouseman, to file their claims with the receiver. The receiver
shall investigate each claim, determine the pro rata share of grain less
setoffs, or the proceeds of the sale of such grains, due each claimant. The
receiver shall also determine the amount, if any, due each claimant by the
surety. The court after hearing may adopt or amend the findings of the receiver
and shall by order, make distribution of grains or the proceeds from the sale
of grains. The court by order shall also require the surety to make payment to
claimants. Such orders unless appealed as otherwise authorized by law, are to
be a final settlement of such matters between the parties concerned. The
receiver is authorized with the approval of the court to continue the operation
of all or any part of the entire business of the warehouseman and to take any
other course of action or procedure which will best serve the interests of the
depositors or those who need and use the services offered by the licensee and
the warehouse. [1961 c.445 §20]
     586.530
Establishment of standard grades for commodities received. (1) The State Department of Agriculture
shall fix and establish standard grades to apply to all grain received for
shipment or storage by public warehouses in this state. The department may
establish standard grades for forage products, including but not limited to
straw and hay and for other agricultural commodities received for shipment or
storage at such warehouses.
     (2) The standards shall be established or
changed in accordance with the provisions of ORS 632.900 to 632.935. [Amended
by 1955 c.731 §18; 1969 c.190 §5; 1997 c.460 §1]
     586.540 [Repealed by 1955 c.731 §34]
     586.550
Warehouseman to keep copy of regulations available for inspection. (1) It is the duty of the State Department
of Agriculture, immediately after the establishment of grades under ORS
586.530, to supply all warehousemen with a copy of the grades, rules and
regulations of the department.
     (2) Every public warehouseman shall keep:
     (a) The copy of grades, rules and
regulations on file in a convenient place in every such warehouse.
     (b) If an office is maintained in connection
with such warehouse, a copy of the grades, rules and regulations on file in the
office.
     (c) A placard notice, furnished by the
department, posted in a conspicuous place in every such warehouse and such
office, reading as follows:
______________________________________________________________________________
A copy of
______________________________________________________________________________
     (3) Every warehouseman shall exhibit the
copy of grades, rules and regulations to any interested party applying therefor
at the warehouse or office and shall permit the interested party to examine and
consult the copy. [Amended by 1955 c.731 §19; 1995 c.79 §317]
     586.555
WarehousemanÂ’s reports to department. Each warehouseman shall report information to the State Department of
Agriculture at such times and as may be required by the department for the
necessary enforcement and supervision of a sound, reasonable and efficient
warehouse inspection program for the protection of depositors of grain and for
persons or agencies who lend money against such grains. [1961 c.445 §21]
     586.560 [Repealed by 1955 c.731 §34]
     586.561
Discontinuance of operation of warehouse. (1) Any person operating a public warehouse who desires to discontinue
the operation shall at least 30 days prior to the date of expiration or closing
date notify, by certified or registered mail, at the last-known address all
holders of warehouse receipts, all persons storing grain in such warehouse and
the department of the intention to discontinue the public warehouse business.
     (2) If the address of any holder of a
warehouse receipt or persons storing grain is unknown, then the person
operating a public warehouse shall also give notice of the intention to
discontinue the operation of a public warehouse by publication in some
newspaper of general circulation in the county once a week for two consecutive
weeks. The date of the second published notice shall be at least 30 days prior
to the date of expiration of the operations.
     (3) It shall be the duty of owners of such
grain to remove, or cause to be removed, their grain from such warehouse before
the expiration date.
     (4) If the warehouseman has not notified all
persons or holders of warehouse receipts as provided in subsection (1) of this
section or published a notice as provided by subsection (2) of this section,
and if at the expiration date of the operations of the warehouseman there are
outstanding warehouse receipts covering grain in storage in the warehouse, or
in the opinion of the department there is reasonable evidence of outstanding
liability by the warehouseman under ORS chapter 77 or this chapter, then:
     (a) The warehouseman is required to apply
for, obtain and maintain a bond as provided for in ORS 586.300 until such date
that the State Department of Agriculture determines all grain has been removed
from the warehouse or the rights or claims of all holders of warehouse receipts
have been protected and satisfied.
     (b) The department may invoke and is
authorized to use the procedures and authority as provided for in ORS 586.525.
The department is authorized to carry out and the warehouseman is subject to
the provisions of ORS 586.525 regardless of the fact that the license of the
warehouseman may have expired. [1957 c.11 §1; 1961 c.726 §422; 1995 c.79 §318]
GRAIN AND
COMMODITY INSPECTION, WEIGHING AND GRADING
     586.570
Department to control weighing, inspection and grading of grain at inspection
points; inspection of commodities other than grain; records to be kept;
certificates issued. (1) The
State Department of Agriculture shall have exclusive control of the weighing,
inspection and grading of grain at all inspection points established under ORS
586.600, including public terminal warehouses. The department may also, upon
the request of any interested party, weigh, grade, sample or inspect
commodities of commerce other than grain including but not limited to hay,
grain or hay products, rice, beans and other agricultural or horticultural
commodities, fertilizer, sulfur or other chemicals used in the arts, science or
in manufacturing, when such commodities are received from or delivered to any
rail, water or other motor vehicle carrier within the state in commercial
transportation. The department may certify the weight, grade or other results
of its inspection in accordance with the request therefor, insofar as its
personnel and facilities permit. The action and certificate of the department,
signed by one of its officers, employees, inspectors or weighers in the
discharge of duties, as to all commodities weighed, graded or inspected by the
officer, employee, inspector or weigher, is conclusive upon all parties
interested but appeal may be taken to the department in the manner provided in
ORS 632.960. The provisions of ORS 632.965 shall apply to any certificate
issued under the provisions of this section.
     (2) Suitable books and records shall be
kept in which shall be entered a faithful and true record of every carload,
motor vehicle load or cargo or part of cargo of grain and other commodities
inspected, graded or weighed by the department, showing the following:
     (a) The number and initial or other
designation of the car, motor vehicle or boat containing the carload, load or
cargo or part thereof.
     (b) Its weight.
     (c) The kind of grain or other commodity,
and its grade.
     (3) For each carload, load or cargo, or
part thereof, of grain or other commodity inspected, the officers, employees,
inspectors and weighers of the department shall, if requested so to do by
consignor or consignee, give a certificate of inspection showing:
     (a) The kind and grade of such grain or
commodity and the reason for all grades below No. 1.
     (b) If other than bulk, the number of sacks,
bales or other parcels thereof, with the grade or grades and weight of same.
     (4) The department also shall furnish the
agent of the railroad company or other carrier over which such commodity was
shipped or carried a certificate showing the weight thereof, if requested so to
do.
     (5) The department also shall keep a true
record of all appeals, decisions and a complete record of every official act,
which books and records shall be open to inspection by any party in interest. [Amended
by 1955 c.731 §20]
     586.580
Fixing fees for inspecting, grading and weighing; fees as lien. The State Department of Agriculture shall
fix the fees for inspection, grading and weighing of grain and other
commodities included in the provisions of ORS 586.210 to 586.730, which fees
shall be sufficient to cover the cost of such service. The fees for the
inspection, grading and weighing of grain or other commodities are lien upon
such grain or other commodities and shall, in the case of grain and hay only,
be paid by the carrier transporting it and treated by the carrier as advanced
charges. The department may prescribe a different scale of fees for different
localities. Notwithstanding any other provision of this chapter, the fees
charged for inspection, grading and weighing at
     586.590
Review by department of decisions as to grades. If any owner, consignee or shipper of grain
or other commodity, or the agent or broker of the owner, consignee or shipper
or any warehouseman, is aggrieved at the grading of such commodity, the
aggrieved person may appeal to the State Department of Agriculture as provided
in ORS 632.960. Notice of appeal to the department shall state that the party
appeals from the decision of the inspector and shall specify the initials and
numbers of cars or motor vehicles or the name of the ship in which the
commodity was contained when inspected and graded. [Amended by 1955 c.731 §22]
     586.600
Designating inspection points.
Any place where grain is received in carload lots or by watercraft, or motor
vehicle, may be designated by the State Department of Agriculture as an
inspection point and be provided with state inspection, grading and weighing. [Amended
by 1955 c.731 §23; 1967 c.208 §10]
     586.610
Inspection and grading of grain and hay at public terminal warehouses; weighing
of grain at inspection points.
(1) All grain and hay received at public terminal warehouses may be inspected
and graded by the State Department of Agriculture. All grain received at public
terminal warehouses, except that received in truck lots of not more than 15
tons of grain, shall be weighed by or under the supervision of the department.
Weighing is not required where grain has been officially weighed at point of
origin unless it is so requested by the consignee. If requested, all grain
delivered out of any such warehouse shall be inspected, weighed or graded in
like manner and a certificate of grade issued.
     (2) All other grain received at inspection
points in carload lots or in any other manner, in lots containing more than 15
tons of grain, not unloaded at a public terminal warehouse, shall be weighed. [Amended
by 1955 c.731 §24; 1969 c.190 §6]
     586.620 [Repealed by 1955 c.731 §34]
     586.630
Examination of cars and seals on arrival for inspection, grading or weighing;
opening, unloading and resealing cars; authorized persons only to act. (1) Any officer, employee, deputy inspector,
sampler or weigher of the State Department of Agriculture before opening the
doors of any car containing grain, hay or any other commodity for the purpose
of inspection, grading or weighing shall first ascertain the condition of such
cars and determine whether any leakages have occurred while the cars were in
transit, whether or not the doors were properly secured and sealed at point of
shipment, and shall make a record of such facts in all cases, giving seal
numbers.
     (2) After such examinations are made and
recorded, and the inspection, grading or weighing of such grain, hay or other
commodity has been made, such officials shall securely close and reseal such
doors as have been opened by them, using the special seal of the department for
the purpose. Such officials shall make a record of all original seals broken by
them, the date when broken, the state seals substituted therefor and the date
and number of such seals.
     (3) The authorized officers, employees,
inspectors, deputies, samplers or weighers of the department shall break the
seal, weigh and superintend the unloading of all cars of grain, hay or other
commodity subject to inspection, grading or weighing. No person other than the
authorized officers, employees, inspectors, deputies, samplers or weighers of
the department shall break the seal or weigh such cars of grain, hay or other
commodity. [Amended by 1955 c.731 §25]
     586.640
Sidetracks for cars to be inspected, graded or weighed; distribution of cars
after inspection. Any
railroad delivering grain, hay or other commodities in cars at any of the
places provided with state inspection under ORS 586.210 to 586.730 shall
designate safe and convenient sidetracks on which all cars of such commodities
required to be inspected, graded or weighed shall upon arrival be set and
arranged convenient for inspection, grading or weighing and there held until
the inspection, grading or weighing has been completed, subject to applicable
tariffs, charges and limitations. [Amended by 1955 c.731 §26]
     586.650
Loading or unloading outside usual hours; additional fees for inspection, grading
and weighing; compensation of department employees; rules. (1) When occasions arise where it is deemed
advisable to load or unload cars, motor vehicles or cargoes of grain, hay or
other commodities outside of the usual working days or working hours, the State
Department of Agriculture shall provide inspectors and weighers necessary to
supervise the inspection, grading and weighing of such commodities. The
department shall, by rule, fix a reasonable sum per hour to be paid therefor by
the party requesting such unusual service. Such fees are in addition to the
regular fees provided for weighing, grading and inspection.
     (2) All moneys collected under the
provisions of this section shall be paid into the State Treasury and credited
to the Department of Agriculture Account and an amount not exceeding such
additional fees may be paid to the employees of the department by whom such
additional service may be performed. [Amended by 1955 c.731 §27]
     586.660
Samples of products graded, inspected or weighed; furnishing samples to those
handling or dealing in grain.
Samples may be drawn from all grain and other commodities inspected, graded or
weighed. Such samples become the property of the state and are subject to
disposition by the State Department of Agriculture under such rules and
regulations as the State Department of Agriculture prescribes. The department
shall transmit samples of grain showing the standards thereof adopted to such
foreign chambers of commerce, boards of trade, exporters and persons, firms, corporations
or associations handling and dealing in grain, as the department deems
desirable. Upon request the department shall furnish such samples to similar
parties in this state or the
     586.670
Examining grain stored in warehouses. Every person having an interest in any grain stored in any public
warehouse has the right to examine at all times during ordinary business hours
any grain so stored, and all parts of the public warehouse. Every warehouseman,
the agents and servants of the warehouseman, shall furnish proper facilities
for such examination. [Amended by 1955 c.731 §29]
     586.680
When shipperÂ’s weight and grade final and conclusive. When grain, hay or any other agricultural
commodity is shipped to points where inspection is provided and the grain, hay
or other agricultural commodity is unloaded without being inspected, graded or
weighed by the State Department of Agriculture under the provisions of ORS
586.210 to 586.730, the shipperÂ’s weight and grade is conclusive and final and
is the weight and grade upon which settlement shall be made with the seller. [Amended
by 1955 c.731 §30]
     586.690 [Repealed by 1955 c.731 §34]
     586.700 [Repealed by 1955 c.731 §34]
MISCELLANEOUS
PROVISIONS
     586.710
Disposition of certain fees; continuing appropriation. Except for fees paid under ORS 586.270,
586.580 and 586.650, all fees collected by the State Department of Agriculture
under this chapter shall be paid into the State Treasury to the credit of the
Department of Agriculture Account. Such moneys constitute a continuing
appropriation for the purpose of carrying out the provisions of this chapter.
The fees paid to the department under ORS 586.270, 586.580 or 586.650 shall be
deposited in the Department of Agriculture Service Fund, and such funds are
continuously appropriated to the department for the purpose of administering
and enforcing this chapter. [Amended by 1955 c.731 §31; 1979 c.499 §10]
     586.720
Application of Uniform Commercial Code–Documents of Title and other laws to
public warehouses and warehousemen. (1) Except as provided in subsection (2) of this section, every public
warehouse and warehouseman complying with the provisions of ORS 586.210 to
586.730 is exempt from all the provisions of all other laws of this state
regulating and licensing warehouses and warehousemen.
     (2) The provisions of ORS chapter 77 apply
to public warehouses and warehousemen complying with the provisions of ORS 586.210
to 586.730 to the extent that the provisions of ORS chapter 77 are not
inconsistent with the provisions of ORS 586.210 to 586.730. [Amended by 1955
c.731 §32; 1961 c.726 §423; 1995 c.79 §319]
     586.730
Violation of ORS 586.210 to 586.730 prohibited. (1) No warehouseman shall violate, or
procure, aid, or abet any violation by any warehouseman, of any provision of
ORS 586.210 to 586.300, 586.315 to 586.380, 586.400, 586.410, 586.520, 586.525,
586.530, 586.550, 586.570 to 586.630 and 586.650 to 586.730, or fail to comply
with any order of the State Department of Agriculture, or procure, aid or abet
any warehouseman in failure to comply with any such order.
     (2) No person, individually or acting as
an official or agent of any corporation other than a warehouseman, shall
violate any provisions of ORS 586.210 to 586.300, 586.315 to 586.380, 586.400,
586.410, 586.520, 586.525, 586.530, 586.550, 586.570 to 586.630 and 586.650 to
586.730, or fail to comply with any order made by the department under those sections
so long as the order remains in force, or procure, aid or abet any such
corporation, in its violation of those sections, or in its failure to comply
with any such order. [Amended by 1983 c.740 §226]
PENALTIES
     586.990
Penalties. (1) Violation of
ORS 586.250 is punishable, upon conviction, by a fine of not less than $1,000
nor more than $3,000, or by imprisonment in the county jail for not less than
six months nor more than one year, or by both.
     (2) Violation of ORS 586.730 is
punishable, upon conviction, by a fine not exceeding $3,000, or by imprisonment
in the county jail for not more than one year, or by both.
     (3) Violation of any of the provisions of
ORS 586.210 to 586.300, 586.315 to 586.380, 586.400, 586.410, 586.520, 586.525,
586.530, 586.550, 586.570 to 586.630 and 586.650 to 586.720, or failure to
comply with any order, rule, direction, demand or requirement of the State
Department of Agriculture made pursuant to those sections, is punishable, upon
conviction, by a fine not exceeding $3,000 for each offense. Each violation is
a separate and continuing offense; and in case of a continuing violation, every
dayÂ’s continuance of the violation is a separate and distinct offense.
     (4) Violation of ORS 586.382, 586.385 and
586.395 is a misdemeanor. [Amended by 1955 c.731 §33; subsection (4) added by
1961 c.445 §22; 1961 c.726 §424; 1963 c.116 §2; 1983 c.740 §227; 1997 c.608 §3]
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