OAR 150-307-0020: Personal Property Definitions

(1) Goodwill. “Goodwill” is a saleable business asset based on reputation, not physical assets. (2) Customer list. “Customer list” is a proprietary list containing information regarding a business enterprises’s clients and is part of the business records for that business. (3) Contracts and contract rights. “Contracts and contract rights” refers to agreements between two or more parties, which establish mutual rights and responsibilities for a stated consideration, and rights created under such agreements. Examples of contracts include but are not limited to: (a) Contracts for sale of goods; (b) Covenants not to compete; (c) Contracts for purchase of supplies; (d) Contracts to rent or lease property; (e) Contracts to provide financing; (f) Contracts for services by employees or others; (g) Contracts for permission to use property or processes. (4) When appraising property utilizing the income approach, the rent attributable to the property shall be based on market rent. “Market rent” is the rental income that the property would most probably command in the open market as of the assessment date. Market rent shall be used for both owner occupied and rented or leased property regardless of the terms of any particular rental or lease agreement encumbering the property. (5) Trade secret. “Trade secret” means information, including a formula, pattern, compilation, program, device, method, technique or process that derives independent economic value from not being generally known by other persons who can obtain economic value from its disclosure or use, and is the subject of efforts that are reasonable under the circumstances to maintain its secrecy.