Section 86A.306 - License requirement; applicability; exceptions; enforcement; rules(1) A person may not directly or indirectly service a residential mortgage loan in this state unless the person obtains or renews a license under ORS 86A.309.(2) Subsection (1) of this section does not apply to:(a) A person, or an affiliate of the person, that in all operations within the United States during the calendar year services fewer than 5,000 residential mortgage loans, excluding loans that the person or the person's affiliate originates or owns.(b) A financial institution, as defined in ORS 706.008.(c) A person that has obtained a license under ORS 725.140.(d) A financial holding company or bank holding company, both as defined in ORS 706.008, if the financial holding company or bank holding company does not do more than control an affiliate or a subsidiary, as defined in 12 U.S.C. 1841(d), and does not engage in business as a residential mortgage loan servicer.(e) An attorney who is licensed or otherwise authorized to practice law in this state if the attorney: (A) Services a residential mortgage loan as an ancillary matter while representing a client; and(B) Does not receive compensation from a residential mortgage loan servicer.(f) An agency or instrumentality of this state or the United States.(g) A housing finance agency, as defined in 24 C.F.R. 266.5.(h) An institution that the Farm Credit Administration regulates.(i) A person that the Director of the Department of Consumer and Business Services designates by rule or order as exempt, including but not limited to a nonprofit organization that promotes affordable housing or financing.(3) Notwithstanding subsection (2) of this section, the director may require any person to obtain a license under ORS 86A.309 before servicing a residential mortgage loan if the director determines that the person has violated state or federal law or has engaged in a course of dealing that is fraudulent, deceptive or dishonest.(4)(a) If the director reasonably believes that a person is subject to ORS 86A.303 to 86A.339 or is engaging in or is about to engage in an act or practice that constitutes servicing a residential mortgage loan in this state without first obtaining a license as provided in subsection (1) of this section, the director may:(A) Order the person to: (i) Cease and desist from the act or practice; or(ii) Affirmatively perform an act; or(B) Apply to a circuit court of this state to enjoin the person from engaging in the act or practice.(b) The director shall state in reasonable detail the facts on which the director bases an order under paragraph (a)(A) of this subsection.(c) If a person that is subject to an order under paragraph (a)(A) of this subsection requests a hearing, the director shall schedule and give notice of a hearing in accordance with ORS chapter 183. If the person does not request a hearing, the director's order becomes final 30 days after the date of the order.(5) Notwithstanding ORS 86A.175 (2), the director shall regulate mortgage servicers under ORS 86A.303 to 86A.339, including mortgage servicers that hold other licenses the director issued.