Oregon Revised Statutes Chapter 652 § 652.197 — Joint

Joint and several liability for unpaid wages owed to unrepresented employees performing labor under a construction contract. (1) As used in this section and ORS 652.198: (a) “Authorized third party representative” means a third party that is authorized by an unrepresented employee to assert the rights of the unrepresented employee. (b) “Construction contract” means an express or implied agreement: (A) For the construction, reconstruction, alteration, maintenance, moving or demolition of any building, structure or improvement. (B) Relating to the excavation of or other development of or improvement to land. (c) “Construction trade labor organization” means a bona fide labor organization that represents employees in the building and construction trades. (d) “Direct contractor” means any person, including a construction manager, joint venture or any combination thereof, the person’s successors, heirs or assigns, that enters into a construction contract with an owner. (e) “Fringe benefit contributions” means the amount of compensation that accompanies or is in addition to an employee’s regular salary or wages, including, but not limited to, payments made to profit-sharing plans, retirement or pension plans, medical insurance, severance pay or holiday, vacation or sick leave plans, but does not include the benefit payments from such plans. (f) “Labor organization” means an organization, agency or an employee representation committee or plan, in which employees participate and which exists, in whole or in part, for the purpose of dealing with employers concerning grievances, labor disputes, wages, rates of pay, hours of employment or work conditions. (g)(A) “Owner” means any person, firm, partnership, corporation, association, company, organization or other entity, or any combination thereof, with an ownership interest, whether the interest or estate is in fee, as vendee under a contract to purchase, as lessee or another interest or estate less than fee that causes: (i) A building, structure or improvement, new or existing, to be constructed, reconstructed, erected, altered, remodeled, repaired, maintained, moved or demolished; or (ii) Land to be excavated or otherwise developed or improved. (B) “Owner” does not mean: (i) A public agency, as defined in ORS 279C.800; or (ii) A financial institution that acquires ownership of a property through foreclosure or a deed in lieu of foreclosure, provided that the financial institution does not undertake, contract for or direct construction work beyond activities necessary to preserve or secure the property. (h) “Subcontractor” means any person that may or may not have direct privity with a direct contractor but that is a party to an express or implied contract with a direct contractor or with a direct contractor’s subcontractors at any tier to perform any portion of work within the scope of the direct contractor’s construction contract with an owner. (i) “Unrepresented employee” means an employee of a direct contractor or subcontractor who is: (A) Not represented by a construction trade labor organization that has established itself or its affiliates as the collective bargaining representative for persons performing work on a project; or (B) Not covered by a collective bargaining agreement that: (i) Contains a grievance procedure that results in a final and binding decision; and (ii) Provides a mechanism for recovering unpaid wages and fringe benefit contributions on behalf of the employees covered by the agreement. (2) An owner that enters into a construction contract with a direct contractor shall be jointly and severally liable with the direct contractor for any unpaid wages, including fringe benefit contributions and penalties, owed to any unrepresented employee of the direct contractor and any unrepresented employee of a subcontractor at any tier for labor performed on a project within the scope of the construction contract. (3)(a) Any of the following persons may bring a civil action against an owner, a direct contractor or a subcontractor in any court of competent jurisdiction to recover unpaid wages, including fringe benefit contributions, interest and penalty wages, damages, attorney fees and costs incurred in connection with the action: (A) An unrepresented employee. (B) An authorized third party representative. (b) Notwithstanding ORS chapter 180, the Attorney General may accept the assignment of claims under this subsection, bring civil actions in the name of the State of Oregon on assigned claims and recover costs as provided in this section. The Attorney General may adopt rules to implement this paragraph. (c)(A) Prior to commencing a civil action against an owner or a direct contractor under this subsection, a person must send written notice of the alleged violation by first-class certified mail to the owner and direct contractor that sets forth the alleged violation and the nature of the