59.131 Effect of notice of intent to return unlawfully purchased security; contents of notice; registration of transaction
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59.131 Effect of notice of intent to return unlawfully purchased security; contents of notice; registration of transaction.
(1)Except as provided in subsection
(3)of this section, no action or suit may be commenced under ORS 59.127 if the seller has received before suit a written notice of intent to return the security as outlined in subsection
(2)of this section.
(2)The notice shall contain:
(a)An offer to tender the security and interest from the date of purchase, at a rate equal to the greater of the rate of interest specified in ORS 82.010 for judgments for the payment of money or the rate provided in the security if the security is an interest-bearing obligation, less the consideration paid for the security; and
(b)A statement of the effect on the seller’s rights of failure to respond as required in subsection
(3)of this section.
(3)An action or suit under this section may be commenced after receipt of a notice as outlined in subsection
(2)of this section:
(a)If the seller accepts the offer and gives notice of acceptance within three days after receipt of the offer and fails to receive the contents of such offer as specified in subsection (2)(a) of this section within one day from the date the notice of acceptance was sent; or
(b)If the seller elects to recover damages as specified in subsection (2)(b) of this section and gives notice of the election within 30 days after receipt of the offer.
(4)An offer to tender the security pursuant to this section involves the offer for sale of a security. The transaction must be registered under ORS 59.055 unless there is an exemption from the registration requirement or a notice is filed under ORS 59.049. [1975 c.300 §3; 1985 c.349 §15; 1987 c.603 §8; 1997 c.772 §12; 2003 c.576 §320]