Oregon Lien: A Complete Guide to Liens in the State

A lien is simply a claim recorded against a debtor’s property. It is awarded by a court to a creditor to enable them to collect their funds or obligations.

What Is a Lien in Oregon?

Section 88.710 of the Oregon Revised Statutes defines a lien as a claim or charge upon a debtor’s property until the debt, tax, or duty is paid. The government at all levels, individuals, or organizations, such as hospitals, may file for a lien in court. Liens may be enforced on real property (including homes, land, or commercial buildings) or personal property (such as vehicles, business equipment, or other assets).

Once a lien is filed in the county record, it becomes public record, alerting buyers, lenders, and title companies to outstanding obligations. This implies that property owners are restricted from refinancing or selling their property until the lien is satisfied. Liens are an essential safeguard for buyers and a legal tool for creditors to secure repayment.

Types of Liens in Oregon

There are several different types of liens filed in Oregon, each serving a different purpose, depending on the location. Common ones include:

1. TaxLiens- These are filed by the government against commercial or residential property for non-payment of taxes. The Internal Revenue Service (IRS) handles tax liens on behalf of the federal government. The tax lien filed by the state government is known as a state tax lien. These liens ensure prompt payment of property taxes, and failure to fulfill them may result in forcing property into foreclosure.
2. Mechanic’s or Construction Liens - These liens are filed by contractors, subcontractors, or suppliers for unpaid labor or materials. Oregon law requires the contractors to file the lien within 75 days from the last day of work or completion of work on the property.
3. Judgment Liens - These are received by a creditor who wins a court judgment and secures a claim against a debtor’s property. These liens, established by law, may be enforced on the debtor’s real property.
4. Mortgage Liens - These liens, created under Section 87, are recorded by lenders against properties that are listed as collateral or security for mortgages. They are placed on such property until the mortgage is repaid and a satisfaction is filed.
5. HOA Liens - They are filed by homeowners’ associations under the state law for unpaid dues, fees, or code enforcement penalties.
6. Medical Services Liens - These are liens filed by hospitals or medical providers to secure payment from any compensation a victim receives through settlement or judgment for their injury.
7. Agricultural Produce Liens - These are filed by farmers or ranchers for the contract price of their product.
8. Personal Injury Liens - They are liens that ensure that the state is reimbursed for medical expenses it paid on behalf of an injured victim from a settlement or court judgment.

How to Search for Liens in Oregon

Liens in Oregon are public records per the State Public Records Law and may be accessed by individuals in several ways, including:

• County Clerk or Recorder Offices: The state government provides a county clerk and recorder office in each county. Individuals may search for property and lien filings by using the names of the lienholder, address, or parcel ID.
• Online County Portals: Counties such as Multnomah (Portland), Washington, and Lane provide online portals that allow the public to view property and lien records.
• Oregon Judicial Department Records: The judicial department provides an OJCIN OnLine Portal that enables the public to access court records, including liens.
• TitleCompaniesandThird-PartyServices: Some websites or third-party agencies allow lien searches, especially in real estate transactions, for the public.

Lien Records in Major Oregon Cities

Individuals may find information, including the lienholder’s name, debt amount, date of filing, and property description, in a lien record. To access lien records in cities, the public must contact the correct county office, such as:

• Portland (Multnomah County): The Multnomah County Recorder’s Officemaintains lien and property records, with online access available to the public.
• Eugene (Lane County): Lane County Clerk manages lien and property filings in the county.
• Salem (Marion County): Marion County Clerk maintains property and lien records.
• Gresham (Multnomah County): Individuals must contact the Multnomah County Recorder’s Office.
• Hillsboro (Washington County): The Washington County Recording Office provides access to lien and property filings.

How Long Does a Lien Stay on Property in Oregon?

The duration of a lien in Oregon depends on the lien type:

• Tax Liens: They remain active until the taxes are paid or the property is foreclosed, with redemption rights generally lasting 2 years.
• Mechanic’sLiens: They must be enforced within 120 days of completion of work, or they may expire.
• Judgment Liens: They are valid for 10 years, with the possibility of renewal if unpaid.
• AgriculturalProduceLiens: They are valid for 45 days but may be extended to 225 days by filing a notice of Agricultural Produce Lien with the Secretary of State.
• Mortgage Liens: They are continually placed on the property until the mortgage is fully satisfied and released.
• Tax Liens (IRS): Federal liens typically last 10 years.

How to Remove a Lien in Oregon

To remove a lien in Oregon, an individual must resolve their debts or dispute the validity of the lien. Common ways to do so include:

• Paying the Debt in Full: Once the debt has been paid, the lienholder must issue a release, which must be recorded with the county clerk.
• Negotiating a Settlement: Creditors may agree to accept reduced repayment terms from their debtors, followed by filing a lien release.
• Court Petition: Debtors may challenge a lien in court if it is fraudulent, invalid, or improperly filed.
• Recording a Release or Satisfaction: Even after complete repayment of debts, property owners should confirm that the lienholder files a release to clear the property title.

Liens in Oregon play a crucial role in property and debt enforcement, ensuring creditors’ rights are protected while requiring debtors to meet their financial obligations. It is important to understand the types of liens in Oregon, ways to search for them, their validity, and how to remove them. Additional information may be sought at a county clerk, a title company, or an attorney’s office. With the right approach, property owners can maintain clear titles and smooth real estate transactions.