USA Statutes : oregon
Title : TITLE 53 FINANCIAL INSTITUTIONS
Chapter : Chapter 713 Out-of-State Banks and Extranational Institutions
(1) Every
activity engaged in by every out-of-state bank and extranational
institution conducting a banking business in this state is subject to all
of the applicable provisions of the Bank Act.

(2) An out-of-state state bank that opens, occupies or maintains a
branch in this state pursuant to and in accordance with the requirements
of ORS 713.270 and that has been issued a certificate of authority by the
Director of the Department of Consumer and Business Services to conduct a
banking business in this state pursuant to ORS 713.020, and 713.140 to
713.160, shall have the same powers to engage in any activity in this
state as permitted to the out-of-state state bank under the laws of its
home state, except that an out-of-state state bank may not transact trust
business in this state unless it complies with ORS chapter 709. When
there is a conflict between the provisions of this chapter and the
provisions of the laws of the home state of the out-of-state state bank,
the laws of that home state control. [Amended by 1965 c.170 §2; 1967
c.333 §1; 1973 c.797 §307; 1975 c.725 §8; 1979 c.88 §13; 1997 c.631 §283](1) An out-of-state state bank shall not conduct banking
business in this state unless its insurable deposits are insured by the
Federal Deposit Insurance Corporation and the out-of-state state bank has
received a certificate of authority to conduct banking business pursuant
to ORS 713.020 and 713.140 to 713.160.

(2) Unless it complies with the requirements of ORS 713.025, an
extranational institution shall not conduct banking business in this
state. This subsection and ORS 713.025 do not apply to any extranational
institution having a branch office in this state and lawfully conducting
banking business on December 31, 1966. [1973 c.797 §309; 1975 c.725 §10;
1997 c.631 §286] The
Director of the Department of Consumer and Business Services shall issue
to an out-of-state state bank or extranational institution that applies
and that complies with the requirements of this chapter a certificate of
authority to transact business in this state, provided for in ORS 713.140
to 713.160. [Amended by 1965 c.170 §3; 1973 c.797 §310; 1975 c.725 §11;
1983 c.37 §23; 1987 c.197 §8; 1989 c.324 §55; 1991 c.67 §190; 1997 c.631
§287](1) Except as provided in subsection (4) of this section and ORS
713.300, every extranational institution with one or more offices in this
state shall deposit with the Director of the Department of Consumer and
Business Services in an office located in this state of another bank
approved by the director under an agreement satisfactory to the director
for the protection of depositors of the extranational institution, free
and clear of all other liens and encumbrances, assets in an amount set
forth in subsection (2) of this section of the following types:

(a) Cash;

(b) Interest-bearing bonds, notes or obligations of the United
States, including those of its agencies and instrumentalities, or bonds,
notes or obligations for which the faith of the United States is pledged
for the payment of the principal and interest;

(c) Bonds or other obligations of the State of Oregon, any county
of this state or any incorporated city, town or school or port district
of this state having a population of not less than 2,000 as shown by the
last federal census, or bonds of any other state, any county,
incorporated city, town or school or port district therein having a
population of not less than 25,000, as shown by the last federal census,
if:

(A) The bonds or obligations are issued in compliance with the
constitution and laws of the applicable state;

(B) The bonds or obligations are general obligations of the state,
city, town or school or port district issuing the bonds; and

(C) There has been no default in payment of either principal or
interest on any of the general obligations of the state, county,
incorporated city, town or school or port district for a period of five
years preceding the date of the deposit;

(d) A surety bond issued by a surety company authorized to transact
business in this state and in a form approved by the director, under
which the principal and surety indemnify the depositors and creditors of
the extranational institution against loss due to nonpayment by the
extranational institution, including by reason of the failure of the
extranational institution;

(e) An irrevocable letter of credit issued by an insured
institution, as defined in ORS 706.008, satisfactory to the director; or

(f) Any combination of cash, securities complying with subsection
(1)(b) and (c) of this section, surety bonds complying with subsection
(1)(d) of this section, and letters of credit complying with subsection
(1)(e) of this section.

(2) The market value of the assets deposited pursuant to subsection
(1) of this section shall be not less than:

(a) Five percent of the total liabilities of the office including
acceptances, but excluding accrued expenses and amounts due to and other
liabilities of offices, branches, agencies and subsidiaries of the
extranational institution; or

(b) Such other amount as the director may determine to be necessary
for the protection of depositors and the public interest.

(3) The director shall determine the value of the assets maintained
for the purposes of this section and shall value marketable securities
according to accepted principles of accounting.

(4) The deposit requirements of subsection (1) of this section
shall not apply to an office of an extranational institution that is an
insured branch as defined in section 3(s) of the Federal Deposit
Insurance Act (12 U.S.C. 1813(s)). [1975 c.725 §3; 1997 c.631 §290; 1999
c.30 §5]If at the close of any banking day an extranational
institution does not have on deposit the assets required to be maintained
under ORS 713.025, the managing officer in charge of the office of the
extranational institution shall immediately notify the Director of the
Department of Consumer and Business Services and the main office of the
extranational institution of the deficit. The extranational institution
shall have three banking days to eliminate the deficiency. If the
deficiency is not eliminated within the three-day period, the
extranational institution is prohibited from conducting banking business,
making loans, issuing letters of credit or accepting drafts or bills of
exchange and the director may revoke its certificate of authority. [1975
c.725 §4; 1997 c.631 §291](1) If an extranational
institution becomes insolvent or goes into voluntary or involuntary
liquidation or cannot otherwise pay its deposit or other liabilities, the
Director of the Department of Consumer and Business Services may take
possession of the assets required to be deposited under ORS 713.025
directly or through the appointment of a receiver, free of any liens and
other claims, and those assets shall be held by the director or receiver
in trust.

(2) Unless the deposited assets are delivered to the Federal
Deposit Insurance Corporation as receiver, the amount available for
distribution to the depositors under subsection (1) of this section shall
be allocated to the depositors of the office pro rata to the extent of
their deposits.

(3) Any additional deposited assets remaining after the
distributions to depositors provided for in subsection (2) of this
section shall be available for distribution to the other creditors of the
extranational institution in accordance with ORS 711.530 to 711.570.

(4) As used in this section, the term “depositor” has the meaning
ascribed to it in ORS 711.515. [1975 c.725 §5; 1997 c.631 §292] (1) Every
out-of-state state bank and every extranational institution conducting
banking business in this state shall file reports under oath with the
Director of the Department of Consumer and Business Services in the form
and giving the information the director may require.

(2) Every out-of-state state bank and extranational institution
conducting banking business shall be subject to the fee provided in ORS
706.530 and to examination and regulation in the manner provided in ORS
706.500. [Amended by 1973 c.797 §317; 1975 c.725 §15; 1997 c.631 §293;
1999 c.59 §222] (1) The Director of the
Department of Consumer and Business Services shall not issue a
certificate of authority to an out-of-state state bank or extranational
institution if the name of the out-of-state state bank or extranational
institution does not conform to ORS 707.075, except as provided in
subsection (2) of this section.

(2) If the director determines that the name of the applicant
out-of-state state bank or extranational institution is deceptively
similar to the name of another financial institution conducting a banking
business in this state, the director shall not issue a certificate of
authority to the applicant unless the out-of-state state bank or
extranational institution states the corporate name on the application
for a certificate of authority under ORS 713.140 (1)(a) and in the
filings required by ORS 713.140 (3) as “_________(name under which
organized), an institution of ________ (place of organization),” the
entirety of which shall be the “real and true name” of the out-of-state
state bank or extranational institution under ORS chapter 648.

(3) Nothing contained in this section shall preclude an
out-of-state state bank or extranational institution from transacting
business under one or more assumed business names, if the names meet the
requirements of subsection (1) of this section, unless the director
determines that the names will be confusingly similar to any financial
institution, corporate, professional corporate, nonprofit corporate,
cooperative, limited liability company, limited partnership, business
trust, reserved or registered name currently on file with the Secretary
of State or Director of the Department of Consumer and Business Services,
or an assumed business name registered as provided in ORS 648.010. The
name designated under this section shall be accorded the same legal
effect under ORS 707.075 and ORS chapters 647 and 648 as the name of an
Oregon state bank. Issuance of the certificate of authority shall not
abrogate or limit the law as to unfair competition or unfair trade
practices or derogate from the common law, the principles of equity or
the statutes of this state or of the United States with respect to the
right to acquire and protect trade names, trademarks and service marks.
[1989 c.324 §58; 1997 c.631 §294](1) To procure a
certificate of authority to conduct banking business in this state, an
out-of-state state bank or extranational institution shall apply to the
Director of the Department of Consumer and Business Services. The
application shall state:

(a) The name as designated under ORS 713.130.

(b) The state or country under the laws of which the out-of-state
state bank or extranational institution was organized.

(c) The date of organization.

(d) The period of duration of the out-of-state state bank or
extranational institution, if the duration is not perpetual.

(e) A mailing address to which the director may send notices.

(f) The address of the main office of the out-of-state state bank
or extranational institution in the state or country under the laws of
which it is organized.

(g) Unless the out-of-state state bank or extranational institution
is a corporation, limited partnership, limited liability company or
business trust, the street address of the proposed registered office of
the institution in this state, and the name of its proposed registered
agent, who shall be amenable to service of process at the address.

(h) The names and respective addresses of the president and
secretary of the out-of-state state bank or extranational institution.

(i) Any additional information that the director may by rule
require.

(2) The director may prescribe and furnish forms for the
application. The president or a vice president and secretary or an
assistant secretary of the out-of-state state bank or extranational
institution shall sign the application.

(3) The out-of-state state bank or extranational institution shall
also take the steps necessary to become authorized to transact business:

(a) If a corporation, as a foreign corporation under ORS chapter 60;

(b) If a limited partnership, as a foreign limited partnership
under ORS chapter 70;

(c) If a limited liability company, as a foreign limited liability
company under ORS chapter 63; or

(d) If a business trust, as a business trust under ORS 128.560 to
128.600.

(4) If the out-of-state state bank is an unincorporated company,
partnership or association, it shall register its name as an assumed
business name as provided in ORS chapter 648. [1989 c.324 §59; 1997 c.631
§295](1) The out-of-state state bank or extranational institution
shall submit the application for a certificate of authority, together
with an application fee of $500, to the Director of the Department of
Consumer and Business Services for filing. The out-of-state state bank or
extranational institution shall also deliver with the completed
application a certificate of existence or a document of similar import,
duly authenticated by the official with custody of records in the state
or country under whose law it is organized and a copy of the documents
filed to comply with ORS 713.140 (3) evidencing filing of such documents
by the Secretary of State.

(2) If the director finds that such application conforms to this
chapter, the director, when all fees and charges have been paid, shall
issue and return to the sender a certificate of authority to conduct
banking business in this state with the copy of the filed application.
[1989 c.324 §60; 1997 c.631 §296]
Upon the issuance of a certificate of authority by the Director of the
Department of Consumer and Business Services, the out-of-state state bank
or extranational institution shall be authorized to conduct a banking
business in this state, subject, however, to the right of this state to
suspend or revoke the authority as provided in ORS 713.230. [1989 c.324
§61; 1997 c.631 §297] Each
out-of-state state bank and each extranational institution authorized to
conduct banking business in this state shall have and continuously
maintain in this state:

(1) A registered office that may be, but need not be, the same as
its place of business in this state.

(2) A registered agent or authorized representative, in compliance
with the requirements imposed by ORS 713.140 (3). [1989 c.324 §62; 1997
c.631 §298] (1) The
registered agent appointed by an out-of-state state bank or extranational
institution authorized to transact business in this state shall be an
agent of such institution upon whom any process, notice or demand
required or permitted by law to be served upon the institution may be
served.

(2) The Director of the Department of Consumer and Business
Services shall be an agent of an out-of-state state bank or extranational
institution upon whom any process, notice or demand may be served, if:

(a) The out-of-state state bank or extranational institution is
authorized to conduct banking business in this state, and:

(A) It fails to appoint or maintain a registered agent in this
state;

(B) Its registered agent cannot with reasonable diligence be found
at the registered office;

(C) Its certificate of authority has been suspended or revoked; or

(D) It is an unincorporated company, partnership or association;

(b) The out-of-state state bank or extranational institution is
conducting banking business in this state without the authorization
provided by this chapter;

(c) The out-of-state state bank or extranational institution has
been authorized to conduct banking business in this state and has
withdrawn and consented to service on the director as prescribed in this
chapter; or

(d) The out-of-state state bank or extranational institution has
conducted banking business in this state without the authorization to do
so, has ceased to conduct banking business and has become subject to
service on the director as prescribed in this chapter.

(3) Except as provided in subsection (4) of this section, service
on the director of any such process, notice or demand shall be made by:

(a) Service on the director or a clerk on duty in any office of the
director of a copy of the process, notice or demand with any papers
required by law to be delivered in connection with the service, or by
mailing to the director a copy of the process, notice or demand by
certified or registered mail, and a $2 fee for each document being
served; or

(b) Transmittal by the person instituting the proceedings of notice
of the service on the director and a copy of the process, notice or
demand and accompanying papers to the out-of-state state bank or
extranational institution being served by certified or registered mail:

(A) At the last-registered office of the out-of-state state bank or
extranational institution as shown by the records of the director;

(B) At such address, the use of which the person initiating the
proceedings knows or, on the basis of reasonable inquiry, has reason to
believe is most likely to result in actual notice; and

(C) Filing with the appropriate court or other body, as part of the
return of service, the return receipt of mailing and an affidavit of the
person initiating the proceedings stating compliance with this section.

(4) When the out-of-state state bank or extranational institution
that is being served with the process, notice or demand is not authorized
to conduct banking business in this state and was not authorized to
conduct banking business in this state at the time the transaction, event
or occurrence upon which the suit or proceeding is based occurred,
service shall be made in the same manner as provided in subsection (3) of
this section, except that the copy of the process, notice or demand shall
be sent forthwith by registered or certified mail by the plaintiff or the
attorney of the plaintiff to the principal office or place of business of
the out-of-state state bank or extranational institution, instead of the
last-registered office of the out-of-state state bank or extranational
institution.

(5) The director shall keep a record of all processes, notices and
demands served upon the director under this section.

(6) Nothing contained in this section shall limit or affect the
right to serve any process, notice or demand required or permitted by law
to be served upon an out-of-state state bank or extranational institution
in any other manner now or hereafter permitted by law, or enlarge the
purposes for which service on the director is permitted where such
purposes are limited by other provisions of law. [1989 c.324 §64; 1997
c.631 §299](1) Every out-of-state state bank and every
extranational institution that has been issued a certificate of authority
to conduct banking business in this state shall deliver to the Director
of the Department of Consumer and Business Services, promptly after
filing with the Secretary of State, all documents filed by the
out-of-state state bank or extranational institution with the Secretary
of State pursuant to ORS chapters 60, 63, 70 and 648 and ORS 128.560 to
128.600.

(2) If an out-of-state state bank or an extranational institution
that has been issued a certificate of authority to conduct banking
business in this state changes its name or duration, it shall apply to
the director to amend its certificate of authority.

(3) The requirements in respect to the form and contents of the
application, the manner of its signing and the submission of the
application referred to in subsection (2) of this section to the director
shall be the same as in the case of an original application for a
certificate of authority under ORS 713.140. The filing of the application
for the amended certificate of authority by the director shall have the
same legal effect as the filing of the original certificate of authority.
[1989 c.324 §65; 1997 c.631 §300] (1) An out-of-state state bank or
extranational institution that has been issued a certificate of authority
to conduct banking business in this state may withdraw from this state by
applying to the Director of the Department of Consumer and Business
Services to withdraw. An application to withdraw shall set forth:

(a) The name of the out-of-state state bank or extranational
institution and the state or country under the laws of which it is
organized.

(b) A statement that the out-of-state state bank or extranational
institution no longer conducts banking business in this state.

(c) A statement that the out-of-state state bank or extranational
institution surrenders its authority to conduct banking business in this
state.

(d) A statement that the out-of-state state bank or extranational
institution revokes the authority of its registered agent in this state
to accept service of process, notice or demand and consents that service
of process, notice or demand in any action, suit or proceeding based upon
any transaction, event or occurrence which took place in this state prior
to the filing of the application to withdraw may thereafter be made on
such out-of-state state bank or extranational institution by service
thereof on the director.

(e) A mailing address to which the person initiating any
proceedings may mail a copy of any process, notice or demand, which has
been served on the director, to the out-of-state state bank or
extranational institution.

(f) Such additional information as may be necessary or appropriate
to enable the director to determine and assess any unpaid fees or charges
payable by such out-of-state state bank or extranational institution as
prescribed in the Bank Act.

(2) The application for withdrawal may be made on forms prescribed
or furnished by the director and shall be signed by the out-of-state
state bank or extranational institution by its president or a vice
president and by its secretary or an assistant secretary, and verified by
one of the officers signing the application or, if the out-of-state state
bank or extranational institution is in the hands of a receiver or
trustee, shall be signed on behalf of the institution and verified by the
receiver or trustee.

(3) An out-of-state state bank or extranational institution that
conducted banking business in this state without the authorization
provided by this chapter will be subject to service after it has ceased
to conduct banking business in this state in the same manner as though it
had been authorized to conduct banking business, had later withdrawn and,
in connection with such withdrawal, had filed a consent to service in the
manner required by subsection (1)(d) of this section. [1989 c.324 §66;
1997 c.631 §301] (1) The
application to withdraw shall be delivered to the Director of the
Department of Consumer and Business Services. If the director finds that
such application conforms to the provisions of this chapter, the
director, when all fees and charges have been paid, shall file the
application to withdraw and return the copy marked “Filed” to the sender.

(2) Upon the filing of the application to withdraw, the authority
of the out-of-state state bank or extranational institution to conduct
banking business in this state shall cease. [1989 c.324 §67; 1997 c.631
§302] The certificate of
authority of an out-of-state state bank or extranational institution to
conduct banking business in this state may be revoked when:

(1) The out-of-state state bank or extranational institution has
not filed any report which it is required to file under the Bank Act or
has not paid any fee which it is required to pay under the Bank Act;

(2) The out-of-state state bank or extranational institution has
failed to appoint or maintain a registered agent or office in this state
as required by ORS 713.170 or has failed to maintain authority to
transact business as required by ORS 713.140 (3);

(3) The out-of-state state bank or extranational institution has
changed its registered office or registered agent and has failed to
submit to the Director of the Department of Consumer and Business
Services a statement of the change as required by ORS 713.200 (1);

(4) A misrepresentation has been made of any material matter in any
application, report, affidavit or other document submitted by such
out-of-state state bank or extranational institution pursuant to the Bank
Act;

(5) The out-of-state state bank or extranational institution has
failed to submit for filing an application to amend its certificate of
authority as required by ORS 713.200 (2); or

(6) The out-of-state state bank or extranational institution has
failed to submit for filing a certificate of merger or consolidation as
required by ORS 713.260. [1989 c.324 §68; 1997 c.631 §303](1) Whenever an out-of-state state bank or
extranational institution has given cause for revocation of its
certificate of authority as provided in ORS 713.230 and has failed to
correct the neglect, omission, misrepresentation or delinquency, the
Director of the Department of Consumer and Business Services may revoke
the right of the out-of-state state bank or extranational institution to
conduct banking business in this state. The director shall mail a notice
of the revocation to the mailing address shown for the out-of-state state
bank or extranational institution in the current records of the director
to the out-of-state state bank or extranational institution at its
registered office in this state or its principal office in its home state.

(2) After the director revokes the certificate of authority, all
powers that this state conferred upon the out-of-state state bank or
extranational institution shall cease, and thereafter no person shall
exercise or attempt to exercise in this state any power under the revoked
certificate of authority.

(3) Whenever it is established to the satisfaction of the director
that any out-of-state state bank or extranational institution, the
certificate of authority of which has been revoked under subsection (1)
of this section, has corrected the cause for revocation, the director
shall restore the out-of-state state bank or extranational institution to
all its former rights and privileges in the same manner as the director
revoked the authority of the out-of-state state bank or extranational
institution.

(4) Any out-of-state state bank or extranational institution
previously authorized to conduct banking business in this state that has
had its certificate of authority revoked and that has corrected the cause
for revocation under subsection (1) of this section may apply for
reinstatement of its certificate of authority within two years of the
date of revocation. The out-of-state state bank or extranational
institution shall pay all fees which accrued before the director revoked
the certificate of authority and a reinstatement filing fee of $100. The
payment shall accompany the application for reinstatement. If the
director is satisfied that the cause for revocation has been corrected,
the director shall file the application for reinstatement of the
out-of-state state bank or extranational institution, entitling it to
resume its business in this state. The director shall not file the
application for reinstatement unless the name of the out-of-state state
bank or extranational institution conforms to ORS 713.130 and the
application is filed within two years of the date of revocation.

(5) Reinstatement under this section relates back to and takes
effect as of the effective date of the revocation of the certificate of
authority, so that the existence of the out-of-state state bank or
extranational institution is deemed to have continued without
interruption from that date. [1989 c.324 §69; 1997 c.631 §304](1) No out-of-state state bank or extranational institution
conducting banking business in this state without a certificate of
authority shall be permitted to maintain any action, suit or proceeding
in any court of this state until such out-of-state state bank or
extranational institution shall have obtained a certificate of authority.

(2) The failure of an out-of-state state bank or extranational
institution to obtain a certificate of authority to conduct banking
business in this state shall not impair the validity of any contract or
act of such out-of-state state bank or extranational institution, and
shall not prevent such out-of-state state bank or extranational
institution from defending any action, suit or proceeding in any court of
this state.

(3) An out-of-state state bank or extranational institution that
conducts banking business in this state without a certificate of
authority shall be liable to this state for the years or parts thereof
during which it conducted banking business in this state without a
certificate of authority in an amount equal to all fees, assessments and
other charges which would have been imposed upon the out-of-state state
bank or extranational institution under the Bank Act had it duly applied
for and received a certificate of authority to conduct banking business
in this state as required by this chapter and thereafter filed all
reports required by the Bank Act, plus all penalties imposed under the
Bank Act for failure to pay such fees and charges. The Attorney General
may bring proceedings to recover all amounts due this state under the
provisions of this section. [1989 c.324 §70; 1997 c.631 §305] Whenever an out-of-state state
bank or extranational institution that has been issued a certificate of
authority under ORS 713.020 ceases to exist because of a statutory merger
or consolidation with any other out-of-state state bank, extranational
institution or other entity, it shall, within 60 days after the effective
date of such merger or consolidation, file with the Director of the
Department of Consumer and Business Services a certificate from the
appropriate public officer of the state, territory or country under the
laws of which it is organized, or other evidence satisfactory to the
director, to the effect that such out-of-state state bank or
extranational institution has merged or consolidated and has thereby
ceased to exist. [1989 c.324 §71; 1997 c.631 §306]
(1) Notwithstanding any other provision of the Bank Act, no out-of-state
bank may conduct banking business at a branch located in this state
unless the out-of-state bank has converted from, has assumed all or
substantially all of Oregon deposit liabilities of or has merged with an
insured institution that, by itself or together with any predecessor, has
been engaged in banking business or otherwise has been lawfully accepting
deposits at an office in this state for a period of not less than three
years prior to the effective date of the conversion, assumption or merger.

(2) This section does not prohibit an out-of-state bank lawfully
conducting a banking business in this state on October 4, 1997, from
continuing to conduct banking business in this state. [1997 c.631 §284]An out-of-state state
bank or extranational institution shall not be denied a certificate of
authority by reason of the fact that the laws of the state or country
under which such out-of-state state bank or extranational institution is
organized, governing its organization and internal affairs differ from
the laws of this state. Nothing contained in this chapter shall be
construed to authorize this state to regulate the organization or
internal affairs of such out-of-state state bank or extranational
institution. [1997 c.631 §285]An extranational institution shall not accept deposits at
any office in this state in an amount less than $100,000, unless the
insurable deposits of that office are insured by the Federal Deposit
Insurance Corporation or no such insurance is required under the Federal
Deposit Insurance Act and the regulations of the Federal Deposit
Insurance Corporation thereunder. [1997 c.631 §289](1) For purposes of this
section, “foreign association” means a foreign association as defined in
ORS 722.004 or a federal association as defined in ORS 722.004, the home
state of which is a state other than Oregon.

(2) Subject to subsection (3) of this section, any out-of-state
bank, extranational institution or foreign association, without being
authorized to transact banking business or savings and loan business in
this state, may take, acquire, hold and enforce notes secured by
mortgages or trust deeds and make commitments to purchase such notes. The
out-of-state bank, extranational institution or foreign association may
foreclose the mortgages or trust deeds in the courts of this state,
acquire the mortgaged property, hold, own and operate the property for a
period not exceeding five years and dispose of the property. The
activities authorized under this subsection by an out-of-state bank,
extranational institution or foreign association shall not constitute
transacting business in this state for the purposes of ORS chapter 60.

(3) Before an out-of-state bank, extranational institution or
foreign association engages in any of the activities described in
subsection (2) of this section, the bank, institution or association
shall first file with the Department of Consumer and Business Services a
statement signed by its president, secretary, treasurer or general
manager indicating that the bank, institution or association designates
the Director of the Department of Consumer and Business Services its
attorney for service of process. The out-of-state bank, extranational
institution or foreign association shall pay an initial filing fee of
$200 and an annual fee of $200. The statement shall include the address
of the principal place of business of the out-of-state bank,
extranational institution or foreign association.

(4) The Director of the Department of Consumer and Business
Services, upon receiving service of process as authorized by subsection
(3) of this section, immediately shall forward all documents served upon
the director to the principal place of business of the out-of-state bank,
extranational institution or foreign association.

(5) The filing requirements of subsection (3) of this section do
not apply to an out-of-state bank or extranational institution that has
obtained a certificate of authority to transact banking business in this
state under ORS 713.020, or to a foreign association that has obtained a
certificate of authority to transact savings and loan business in this
state under ORS 722.502. Notwithstanding subsection (3) of this section,
such an out-of-state bank, extranational institution or foreign
association may take, acquire, hold and enforce notes secured by
mortgages or trust deeds, make commitments to purchase such notes and
participate with other lenders authorized to do business in this state in
the making of loans for which such notes are executed and delivered.

(6) An out-of-state bank, extranational institution or foreign
association that indirectly engages in the activities described in
subsection (2) of this section because of its beneficial interest in a
pool of notes secured by mortgages or trust deeds need not comply with
subsection (3) of this section. [1999 c.30 §4] The Director of the Department of Consumer
and Business Services may impose on any person violating any provision of
this chapter a civil penalty of up to $1,000 for each day during which
the offense continues. The penalty shall be assessed and collected in the
manner prescribed in ORS 706.570 (2). [1997 c.631 §308]

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