Oregon Governor Signs New Self-Storage Lien Law, Tenant-Insurance Bill

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Update on 6/11/13 – Oregon Gov. John Kitzhaber signed House Bill 2845 on June 4, which enables licensed self-storage operators to sell customers tenant insurance. The new law went into effect immediately.


Oregon Gov. John Kitzhaber recently signed an amended version of the state’s self-storage lien law (House Bill 2706) that enables self-storage facility operators to notify tenants about impending lien procedures via e-mail. The legislature has also passed a bill (House Bill 2845) that would enable operators to sell customers tenant insurance, but it is awaiting the governor’s signature. The national Self Storage Association has been working with lawmakers to update the laws.

Under the new lien law, tenant notifications may be sent by registered mail, Certified Mail or e-mail. Electronic notification is presumed delivered as long as the facility has evidence the e-mail was opened or can demonstrate the e-mail address used was provided by the tenant in the rental agreement for the purpose of receiving e-mails.

The law also enables operators to have stored vehicles towed after default exceeds 60 days. In addition, operators can also now assess monthly late fees on defaulted accounts as long as the fees do not exceed $20 or 20 percent of the monthly rent, whichever is greater.

The tenant-insurance bill would allow operators to sell tenant insurance to customers as long as they are licensed. The licensed operator would also have to meet training requirements for any employees who might sell the insurance on the licensee’s behalf.

Oregon joins Connecticut, Georgia and Maryland as the most recent states to update their lien laws. Legislative activity has been busy through the first five months of 2013, with at least 14 states making progress toward updating self-storage regulations.

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