Oregon Governor Signs Into Law Amendments to Statutory Attorney Fee Provisions in Small Tort and Contract Claims
July, 2009
On June 24, 2009, Oregon Governor Ted Kulongoski signed Senate Bill 306, which amends ORS 20.080 and 20.082 that, respectively, provide for attorney fees in small tort and contract cases.
The amendments raise the maximum amount of a claim in which attorney fees are allowed under the statute from $5,500 to $7,500 in personal injury and property damage claims, and raise the maximum amount for attorney fees in contract cases from $5,500 to $10,000.
Significantly, the amendments also add additional requirements upon a plaintiff in order to qualify for the statutory attorney fees. First, the claimant now must provide thirty days advance written demand to the defendant, and to the defendant's insurer (if known to the plaintiff) before commencement of the action (the old law only required ten days advance demand before the action could be filed). The amendments also require the plaintiff to provide, along with the demand, a copy of medical records and bills for medical treatment in personal injury cases sufficient to determine the nature and scope of the injury claimed in the demand or, in an action for damage to property, documentation of the repair to the property, a written estimate for the repair of the property, or a written estimate of the difference in the value of the property before the damage and the value of the property after the damage.
Lastly, if the plaintiff acquires additional information after making the demand, but before an action is commenced, the plaintiff must provide that information to the defendant, and to the defendant's insurer (if known to the plaintiff) as soon as possible after the information becomes available to the plaintiff.
While the amendments benefit plaintiffs in raising the maximum amounts that may be claimed and still make the plaintiff eligible for an award of attorney fees, the additional requirements that a plaintiff must meet in order to qualify for an award of attorney fees in personal injury and property damage claims is a significant benefit to defendants and their insurers. A complete copy of the bill, as signed by the Governor, can be found at www.bullivant.com/bill-signed-by-governor.