ORS 671.690: Surety bond, letter of credit or other security.
Edition: 2025 EditionEffective: 2026-01-01Last verified: 2026-09-07
(1) An applicant for a license as a landscape contracting business or a licensed landscape contracting business shall file with the State Landscape Contractors Board a surety bond with one or more corporate sureties authorized to do business in this state, or an irrevocable letter of credit issued by an insured institution, as defined in ORS 706.008. The amount of the bond or letter of credit must be $20,000. (2) The bond or letter of credit must be conditioned that the applicant or licensed landscape contracting business pays: (a) All taxes and contributions due to the State of Oregon; (b) All persons furnishing labor or material, or renting or supplying equipment to the applicant or licensed landscape contracting business; (c) All amounts that may be adjudged against the applicant or licensed landscape contracting business by reason of negligent or improper work or breach of contract in performing any work subject to ORS 671.510 to 671.760; and (d) All amounts from the bond, letter of credit or deposit the board orders paid under ORS 671.703. (3) In addition to providing the applicant or licensed landscape contracting business with coverage for the activities described in ORS 671.520 (1), the bond or letter of credit must provide the applicant or licensed landscape contracting business with coverage for: (a) Backflow assembly testing services provided by employees of the applicant or licensed landscape contracting business who are certified under ORS 448.279; (b) The installation, repair or maintenance by the applicant or licensed landscape contracting business of backflow assemblies for irrigation systems and ornamental water features as described in ORS 447.060; (c) The installation by the applicant or licensed landscape contracting business of landscape irrigation control wiring and outdoor landscape lighting as described in ORS 479.940; and (d) The removal or pruning of a tree, removal of limbs or stumps and tree or limb guying. (4) In lieu of the surety bond or letter of credit, the applicant or licensed landscape contracting business may file with the board, under the same terms and conditions as when a bond is filed, a deposit in cash or negotiable securities acceptable to the board. (5) The bond, letter of credit or deposit must be continuously on file with the board in the amount required by this section and is for the exclusive purpose of payment of final orders and arbitration awards in accordance with ORS 671.703. Upon termination or cancellation of the bond, withdrawal of the deposit or reduction of the bond, letter of credit or deposit to less than the required amount, the licensed landscape contracting business shall immediately: (a) File a replacement bond, letter of credit or deposit; or (b) Surrender the license to the board and cease operating as a landscape contracting business. (6) If the cost of a project makes, or foreseeably will make, an applicant or a licensed landscape contracting business subject to a higher bond or letter of credit requirement under subsection (1) of this section, the applicant or licensed landscape contracting business shall immediately file additional bonds, letters of credit or deposits to meet the higher requirements. (7) The licensed landscape contracting business is responsible for all work subject to ORS 671.510 to 671.760 that is performed or contracted for by the licensed landscape contracting business. [1973 c.832 §29b; 1979 c.840 §6; 1983 c.452 §15; 1991 c.331 §103; 1995 c.645 §3; 1997 c.631 §520; 1999 c.32 §3; 2001 c.198 §2; 2005 c.609 §18; 2007 c.149 §5; 2007 c.541 §35; 2011 c.104 §1; 2015 c.672 §13; 2025 c.180 §1]
Administrative rules citing this section
- OAR 808-002-0100: Definitions Generally — implements
- OAR 808-002-0205: Charges — implements
- OAR 808-002-0220: Claims — implements
- OAR 808-002-0240: Compensation — implements
- OAR 808-002-0278: Project — implements
- OAR 808-002-0451: Improper Work — implements
- OAR 808-002-0495: Landscape Job — implements
- OAR 808-002-0500: Landscaping Work — implements
- OAR 808-002-0560: Legal Entity — implements
- OAR 808-002-0760: Person — implements
- OAR 808-002-0870: Respondent — implements
- OAR 808-002-0881: Trees — implements
- OAR 808-003-0610: Bonds, Generally — implements
- OAR 808-003-0611: Letters of Credit or Deposits, Generally — implements
- OAR 808-003-0612: Entity Name Required on Bond, Letter of Credit or Cash Deposit — implements
- OAR 808-003-0613: Bond, Letter of Credit or Cash Deposit Amounts — implements
- OAR 808-003-0614: Effective and Cancellation Dates of the Bond, Letter of Credit or Cash Deposit — implements
- OAR 808-003-0615: New Bond, Letter of Credit or Cash Deposit Required for Change in Entity — implements
- OAR 808-003-0616: Restoration of Bond, Letter of Credit or Cash Deposit after Payment on Claim — implements
- OAR 808-004-0320: Jurisdictional Requirements — implements
- OAR 808-004-0600: Payment from Bond, Irrevocable Letter of Credit or Other Security; Exhaustion of Bond, Irrevocable Letter of Credit or Other Security — implements
This rule cites
- ORS 706.008 — resolved
- ORS 671.510 — resolved
- 671.760 — resolved
- ORS 671.703 — resolved
- ORS 671.520 — resolved
- ORS 448.279 — resolved
- ORS 447.060 — resolved
- ORS 479.940 — resolved
Cited by
- ORS 671.565: Landscape contracting business license application process and information requirements.
- ORS 671.568: Inactive status for landscape contracting business license.
- ORS 671.610: Grounds for sanctions against licensee; suspension or refusal of license without prior hearing; hearing; effect of revocation; civil penalty; rules.
- ORS 671.695: Types of claims.
- ORS 671.700: Notice of claim; timeliness; board authority over dispute.
- ORS 671.703: Investigation of claim; resolution processes; dismissal of claim; rules.
- ORS 701.010: Exemptions from licensure; rules.
- OAR 808-002-0205: Charges
- OAR 808-002-0220: Claims
- OAR 808-002-0278: Project
- OAR 808-002-0451: Improper Work
- OAR 808-002-0685: Negligent
- OAR 808-002-0755: Patio
- OAR 808-002-0870: Respondent
- OAR 808-002-0881: Trees
- OAR 808-003-0015: Application for Landscape Contracting Business and Landscape Construction Professional License; Age Minimum
- OAR 808-003-0230: Renewal of Landscaping Contracting Business and Landscape Construction Professional License
- OAR 808-003-0255: Converting from Inactive to Active Status
- OAR 808-003-0612: Entity Name Required on Bond, Letter of Credit or Cash Deposit
- OAR 808-003-0613: Bond, Letter of Credit or Cash Deposit Amounts
- OAR 808-003-0616: Restoration of Bond, Letter of Credit or Cash Deposit after Payment on Claim
- OAR 808-004-0120: Liability of Landscape Contracting Business
- OAR 808-004-0250: Exclusion of Certain Damages from Award
- OAR 808-004-0320: Jurisdictional Requirements
- OAR 808-004-0590: Referral of Claim to Arbitrator or Contested Case Hearing or Removal to Court
- OAR 808-004-0600: Payment from Bond, Irrevocable Letter of Credit or Other Security; Exhaustion of Bond, Irrevocable Letter of Credit or Other Security
- OAR 808-005-0020: Schedule of Civil Penalties and Suspensions
- OAR 808-008-0040: Arbitration of Disputes Outside Jurisdictional Requirements
- OAR 808-008-0420: Time, Form, and Scope of Award; Limitation on Award
- OAR 808-009-0010: Application of Rules
Official source: https://www.oregonlegislature.gov/bills_laws/ors/ors671.html