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.