December 30, 2025

Important Updates – Changes to ORHA Form #T3 (24-Hour Notice for Unlawful Occupant) & Form #S7 (Deposit to Hold Agreement)


Attention all Members,

New Squatter Eviction Authority Approved

During the 2025 Oregon Legislative Session, lawmakers enacted a change to termination rules under ORS Chapter 91 that allows squatters to be removed with 24 hours’ notice.

Under ORS 90.100, a squatter is defined as:

“A person occupying a dwelling unit who is not entitled to occupy the unit under a rental agreement and who is not authorized by the tenant to occupy the dwelling unit.”

Previously, ORS 90.403 allowed a 24-hour notice for an unlawful occupant only in very limited circumstances—specifically, when individuals remained in a unit after a lawful tenant vacated, were not tenants themselves, and had never paid rent to the landlord. The new law expands the situations in which a 24-hour notice may be used to remove unlawful occupants, including squatters.

Because this law is brand new and untested, members are strongly encouraged to seek legal advice before proceeding in any specific situation.

Effective January 1, 2026, the 24-Hour Notice for Unlawful Occupant (ORHA Form T3) will be updated to reflect this change. The revised form will include the following language:

“Or you are a squatter as defined in ORS 90.100.”

To avoid purging existing form stock, members may print this language on labels and affix them to current forms. The revised form will be available on the ORHA website by January 2, 2026, and will also be available for ordering through our printing company.

Important Changes to Deposit to Hold Agreements


Another significant change effective January 1, 2026, affects the Deposit to Hold Agreement (ORHA Form S7).

With the passage of HB 3521A, the statute now allows a prospective tenant to reject a unit due to habitability violations by the landlord. In such cases, landlords must refund the Deposit to Hold (DTH) in full within five business days, unless the delay is caused by an act of God. This refund requirement previously applied only when the landlord was unable to deliver the unit as promised; it now also applies when the tenant rejects the unit for habitability reasons.

The law also establishes a penalty equal to the greater of the DTH amount or an amount agreed upon by the parties (a legislative choice that leaves many of us scratching our heads).

As a result, ORHA Form S7 has been revised to comply with the new law. Members should immediately purge all prior versions of this form. The updated version will be available on the ORHA website by January 2, 2026, and will be available for ordering from our printing company.

For additional updates, be sure to review the Forms Committee Report in the upcoming January 2026 newsletter.


Thank you,
ORHA Forms Committee

** Responses to this eblast will not be monitored – Please contact your local association directly with all questions.

ORHA Legal Disclaimer: The Oregon Rental Housing Association (ORHA) is a non-profit educational landlord association – ORHA Board Members, Mentors, Staff, Contractors, and/or other related ORHA affiliates do not give legal advice. Please be advised that this email is no substitute for professional legal counsel or legal advice and any advice or guidance does not constitute legal advice. Please consult an attorney for legal advice related to your specific situation.

Oregon Rental Housing Association
PO Box 20862, Keizer, OR 97307
www.oregonrentalhousing.com