Change font size: Switch to default font size Switch to medium font size Switch to large font size

  4th Annual Real Estate General Counsels Forum (East)
New York, NY
September 29-30, 2014
  The 3rd Annual Real Estate CFO Forum East
New York, NY
September 29-30, 2014
  4th Annual Bank & Financial Institutions Special Assets Executive Conference on Real Estate Workouts (Midwest)
Chicago, IL
September 29-30, 2014
  The 2nd Annual Land & Homebuilding Real Estate Private Equity Forum (West)
Las Vegas, NV
October 7-8, 2014
  15th Annual European Real Estate Opportunity & Private Fund Investing Forum
London, UK
November 3-4, 2014
  Borrower & Investor Forum on Real Estate Mezzanine Financing & Subordinated Debt
New York, NY
November 10, 2014
  5th Annual Financing, Investing & Real Estate Development for Data Centers (West)
Half Moon Bay, CA
November 12-13, 2014
  The 3rd Annual Single Family Rental Investment Forum
Scottsdale, AZ
December 3-5, 2014
  10th Annual Non-Traded REIT & Retail Alternative Investment Symposium
Dana Point, CA
December 3-4, 2014
  12th Annual Winter Forum On Real Estate Opportunity & Private Fund Investing
Laguna Beach, CA
January 21-23, 2015
Main Website >>Real Estate >>Blog >> Dodging a Bullet on the Oregon Trail
<< Back to Blog
Email/Share:

Stephen Whelan, Partner, SNR DENTON US LLP

Dodging a Bullet on the Oregon Trail
Thursday, March 10 2011 | 02:17 PM
Stephen Whelan
Partner, SNR DENTON US LLP

Readers of this blog were alerted last month to potentially ruinous legislation which had been introduced in the Oregon legislature. Senate Bill 892 would have overridden any contractual “hell or high water” clauses and permitted a lessee or buyer with any “dispute” with the seller or lessor--even if unrelated to the sale or lease contract--to deposit any “payments” (not just periodic installment purchase or rental payments) into an attorney trust account or a statutory escrow trust account, until the dispute had been “resolved”. There was no provision for the seller or lessor to receive interest on any amounts so escrowed.

The legislation also would have applied to lenders and securitization investors, so the Bill threatened to complicate any financing involving Oregon equipment or an Oregon lessee--and probably any Oregon seller, lessor or lender. But this week, face to face discussions by the Equipment Leasing and Finance Association (and member law firm Farleigh Wada Witt) with the sponsor of the Bill were followed by withdrawal of the legislation. Further discussions are expected because of the sponsor’s unsatisfactory experience with processing equipment acquired for use in his business, but it appears that the Senator is aware that legislation as originally introduced could have impeded the flow of capital to Oregon businesses.
0 Comment | Add Comment(s) | Bill_892, Legislation, Regulation, ELFA, Equipment_Leasing,


<< Back to Blog
Email/Share:

Leave a Comment

To make comments, please Sign-In