Or. Admin. R. 839-014-0380 - Action Against the Bond or Deposit
(1) Any person entitled to recover sums
received by the indorsee or the indorsee's agents or damages occasioned to the
person by reason of any material misrepresentation, fraud, deceit or other
unlawful act or omission by the indorsee or the indorsee's agents or employees
acting within the scope of their employment, or any employee of the indorsee
who is legally owed any sum has a right of action against the surety on the
bond or deposit with the commissioner. The individual may exercise this right
or may assign this right to another.
(2) The action on the bond or on the deposit
held by the commissioner may not be joined in a suit or action on the bond or
against the commissioner brought for any other claim.
(3) Any person seeking to recover on the bond
or from the deposit with the commissioner must first establish the farm-worker
camp operator liability. The liability may be established in any of the
following ways:
(a) A judgment of the court;
or
(b) A final administrative order
issued pursuant to statute or rule; or
(c) The acknowledgment of the farm-worker
camp operator of such liability; or
(d) Other satisfactory evidence of liability
as may be shown which establishes the liability.
(4) Claims against the bond or deposit will
not be paid unless, within six months of the end of the license year to which
the bond or deposit applies, the claimant or claimant's assignee gives notice
of the claim by certified mail to the surety or the commissioner.
(5) Any claim or notice of claim filed
pursuant to a claimant's right of action must be filed as follows:
(a) If the filing is against a surety bond,
the claim or notice must be filed with the surety. The name and address of the
surety may be obtained from the Bureau of Labor and Industries, Wage and Hour
Division, Farm Labor Unit, 3865 Wolverine Street, NE, Bldg. E-1, Salem, OR
97305;
(b) If the filing is against
a deposit held by the commissioner, the claim or notice must be filed with the
Bureau of Labor and Industries, Wage and Hour Division, Farm Labor Unit, 3865
Wolverine Street, NE, Bldg. E-1, Salem, OR 97305;
(6) The commissioner and the surety shall
make payments on the bond or deposit in the following priority:
(a) Wage claims;
(b) Payments on all sums legally owing to any
employee of the indorsee;
(c)
Payments on all sums legally owing to any person when the indorsee or the
indorsee's agents have received such sums;
(d) Payments on all damages occasioned to any
person by reason of any material misrepresentation, fraud, deceit or other
unlawful act or omission by the indorsee or the indorsee's agents or employees
acting within the scope of their employment;
(e) If there are insufficient funds to pay
all sums, in accordance with the priority of payment, in full, such sums will
be paid in part.
Notes
Stat. Auth.: ORS 164, 165, 651, 658 & 962
Stats. Implemented: ORS 658.705 - 658.850
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