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OREGON STATUTES AND CODES

ORS Chapter 586

Chapter 586 — Warehouses;Grain and Commodity Inspection

 

2009 EDITION

 

 

WAREHOUSES;GRAIN AND COMMODITY INSPECTION

 

AGRICULTURALMARKETING AND WAREHOUSING

 

GENERALPROVISIONS

 

586.210     Definitionsfor ORS 586.210 to 586.730

 

PUBLICWAREHOUSES

 

586.225     Exemptionfor certain warehousing facilities

 

586.230     StateDepartment of Agriculture to inspect warehouses and records and make rules toenforce ORS 586.210 to 586.730

 

586.235     Cooperativeagreements for inspections in other states

 

586.250     Improperacts of department officers or employees and of others improperly influencingthem

 

586.270     Warehouselicenses; federal licenses; license application and fee

 

586.275     Revocationof or refusal to issue license

 

586.280     Prohibitionagainst operating a warehouse or issuing a warehouse receipt without a license

 

586.285     Operationwithout a license may be enjoined

 

586.290     Postingof signs at warehouses

 

586.295     Warehouseto be maintained in adequate manner

 

586.300     Warehouseman’sbond; liability; automatic license suspension for failure to have or tomaintain bond

 

586.315     Warehousemanrequired to insure grain or retain written waiver by depositor

 

586.330     Investigatingand fixing warehouse charges

 

586.340     Postingrate schedules; increase or discrimination in rates prohibited

 

586.350     Overcharges,rebates and preferences prohibited

 

586.360     Warehousemanrequired to receive grain for storage; reservation of space for localcustomers; load slips; warehouse receipts

 

586.370     Obtainingblank forms of receipts from department

 

586.380     Onlyauthorized receipts to be used; exception

 

586.382     Warehouserecords; warehouse receipts

 

586.385     Warehouseman’sliability for failure to issue proper receipt

 

586.395     Warehouseman’sliability for injury to grain; disposal of grain which is a hazard

 

586.400     Dutyof warehouse receiving grain for storage; damages for failure to deliver

 

586.410     Loadingand shipping instructions; liability of warehouseman

 

586.415     Approvalof holder of receipt required before sale, shipment or other transaction

 

586.520     Inspectionof warehouses; records required of warehouseman

 

586.525     Procedurein case of probable shortage in grain or where warehouseman refuses to submitto inspection

 

586.527     Settlementof claims against defaulting warehouseman

 

586.529     Receivershipof warehouse business; claims against surety

 

586.530     Establishmentof standard grades for commodities received

 

586.550     Warehousemanto keep copy of regulations available for inspection

 

586.555     Warehouseman’sreports to department

 

586.561     Discontinuanceof operation of warehouse

 

GRAINAND COMMODITY INSPECTION, WEIGHING AND GRADING

 

586.570     Departmentto control weighing, inspection and grading of grain at inspection points;inspection of commodities other than grain; records to be kept; certificatesissued

 

586.580     Fixingfees for inspecting, grading and weighing; fees as lien

 

586.590     Reviewby department of decisions as to grades

 

586.600     Designatinginspection points

 

586.610     Inspectionand grading of grain and hay at public terminal warehouses; weighing of grainat inspection points

 

586.630     Examinationof cars and seals on arrival for inspection, grading or weighing; opening,unloading and resealing cars; authorized persons only to act

 

586.640     Sidetracksfor cars to be inspected, graded or weighed; distribution of cars afterinspection

 

586.650     Loadingor unloading outside usual hours; additional fees for inspection, grading andweighing; compensation of department employees; rules

 

586.660     Samplesof products graded, inspected or weighed; furnishing samples to those handlingor dealing in grain

 

586.670     Examininggrain stored in warehouses

 

586.680     Whenshipper’s weight and grade final and conclusive

 

MISCELLANEOUSPROVISIONS

 

586.710     Dispositionof certain fees; continuing appropriation

 

586.720     Applicationof Uniform Commercial Code–Documents of Title and other laws to publicwarehouses

 

586.730     Violationof ORS 586.210 to 586.730 prohibited

 

PENALTIES

 

586.990     Penalties

 

      586.010 [Repealed by1955 c.731 §34]

 

      586.020 [Repealed by1955 c.731 §34]

 

      586.030 [Repealed by1955 c.731 §34]

 

      586.040 [Repealed by1955 c.731 §34]

 

      586.050 [Repealed by1955 c.731 §34]

 

      586.060 [Repealed by1955 c.731 §34]

 

      586.070 [Repealed by1955 c.731 §34]

 

      586.080 [Repealed by1955 c.731 §34]

 

      586.090 [Repealed by1955 c.731 §34]

 

      586.100 [Repealed by1955 c.731 §34]

 

      586.110 [Repealed by1963 c.116 §1]

 

      586.120 [Amended by1961 c.726 §419; repealed by 1963 c.116 §1]

 

      586.130 [Repealed by1955 c.731 §34]

 

GENERALPROVISIONS

 

      586.210Definitions 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, grainsorghum, dry beans and peas and any other grain for which standards areestablished 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 ofthis state designated as an inspection point by the department.

      (5)“Public warehouse” includes any elevator, mill, warehouse or other structure inwhich grain is received from one or more members of the public for storage orhandling for compensation.

      (6)“Warehouseman” includes any person, existing legal entity or municipalityowning, 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 by1955 c.731 §34]

PUBLICWAREHOUSES

 

      586.225Exemption for certain warehousing facilities. (1) The provisions of ORS586.210 to 586.561 do not apply to any public warehouse or other facility wherethe 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 ofAgriculture may by rule prescribe,

 

ifthe records of the owner or operator include such written evidence as thedepartment requires, furnished on or before delivery of the grain by the owneror the authorized agent of the owner, clearly showing that the grain was leftor 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 clearlyinclude the evidence showing such grain was only left or deposited for one ormore purposes as required by subsection (1) of this section, must be consideredby the department to be grain deposited for storage and handling pursuant toORS 586.210 to 586.561. Such owner or operator and the warehouse or otherfacility of the owner or operator where grain is received, are subject to allprovisions of ORS 586.210 to 586.561 during the license period. [1969 c.190 §2b]

 

      586.230State Department of Agriculture to inspect warehouses and records and makerules to enforce ORS 586.210 to 586.730. (1) The State Department of Agricultureshall have the power to inspect public warehouses. The department shallinvestigate all complaints of fraud or injustice in the operation of publicwarehouses and the business practices of warehousemen licensed by thedepartment and make all necessary rules and regulations for carrying out andenforcing the provisions of ORS 586.210 to 586.730.

      (2)If sufficient funds are available, the department annually shall inspect atreasonable times any warehouse or storage facility where grain is stored,handled or received and any records kept by the owner or person in control ofsuch warehouse or storage facility and pertaining to the operation thereof, inorder to determine whether or not such facility should be licensed pursuant tothis chapter. [Amended by 1955 c.731 §2; 1959 c.195 §2; 1961 c.445 §2; 1997c.608 §4]

 

      586.235Cooperative agreements for inspections in other states. The Director ofAgriculture may enter into cooperative agreements with approved warehouseexamination programs provided by state governments of contiguous states toperform warehouse examinations of merged code facilities domiciled in thesecontiguous states. [1997 c.608 §6]

 

      Note: 586.235 wasadded to and made a part of 586.210 to 586.730 by legislative action but wasnot added to any smaller series therein. See Preface to Oregon Revised Statutesfor further explanation.

 

      586.240 [Repealed by1955 c.731 §34]

 

      586.250Improper acts of department officers or employees and of others improperly influencingthem.(1) No officer, employee, inspector, sampler or weigher of the State Departmentof Agriculture shall:

      (a)Be guilty of any neglect of duty.

      (b)Knowingly or carelessly inspect, sample or weigh any grain, grain products, hayor other commodities improperly.

      (c)Directly or indirectly accept any money or other consideration for any neglectof 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 anyofficer, employee, inspector, sampler or weigher of the department in theperformance of duties as such officer, employee, inspector, sampler or weigher.

 

      586.260 [Repealed by1955 c.731 §34]

 

      586.270Warehouse licenses; federal licenses; license application and fee. (1) Every personoperating any public warehouse in this state shall, before July 1 of each yearor such date as may be specified by rule of the State Department ofAgriculture, procure from the department a license for each such warehouse sooperated for the ensuing year, before transacting business at such publicwarehouse; but the holder of a license to store grain under the United StatesWarehouse Act shall furnish the department with a copy of such license and bondand, having furnished such copies, is not required to secure a state license orpay state warehouse inspection fees during the time the license holdercontinues to operate under the federal license. The license shall be posted ina conspicuous place in the office of each warehouse.

      (2)Application for a license under this section shall be made to the departmentupon 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 thehandling, storage and shipment of grain during the license year.

      (e)Documentation satisfactory to the department that the applicant has net assetsof at least $50,000.

      (f)Such other information as the department deems necessary to carry out thepurposes of ORS 586.210 to 586.730.

      (3)The applicant shall submit with the application an annual license fee of $500for each public warehouse.

      (4)The department shall issue a license to the applicant if it finds that theapplication is in due form and the applicant has complied with the provisionsof 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]

 

      586.275Revocation of or refusal to issue license. Subject to the provisions of ORSchapter 183, upon determining that any person licensed under this chapter, orwho has applied for a license under ORS 586.270, has violated or failed tocomply with any of the provisions of this chapter or any of the rules andregulations of the State Department of Agriculture made under this chapter, orthat such person has failed to place and keep the premises, where the personconducts the licensed business, in the manner required under this chapter, thedepartment may revoke such person’s license or refuse to issue a license tosuch person. [1957 c.11 §2; 1961 c.425 §6; 1961 c.445 §5; 1971 c.734 §89]

 

      586.280Prohibition against operating a warehouse or issuing a warehouse receiptwithout a license.(1) No person operating a public warehouse within this state shall issue anynegotiable grain warehouse receipt for grain for storage purposes unless theperson is at the time licensed so to do, either by the State Department ofAgriculture or by the United States Department of Agriculture.

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