On January 30, 2025, the Oregon State Legislature introduced Senate Bill 166, a legislative proposal aimed at modernizing the representation of business entities in legal proceedings. The bill seeks to clarify and expand the types of individuals who may represent various business forms, including partnerships and limited liability companies, in front of the Oregon State Bar.

The primary provisions of SB 166 include allowing individuals who are not licensed members of the Oregon State Bar to represent certain business entities, provided they hold specific roles within those entities, such as general partners, managers, or authorized employees. This change is intended to streamline legal processes for businesses, making it easier for them to navigate the legal system without the immediate need for licensed legal representation.

Notably, the bill includes amendments to the Oregon Rules of Civil Procedure (ORCP), specifically regarding the issuance and content of summonses. These amendments aim to ensure that summonses are clear and contain essential information, such as the court's name, parties involved, and instructions for the defendant. The bill also stipulates that defendants must respond within 30 days of service, whether served directly or through publication.

Debate surrounding SB 166 has focused on the implications of allowing non-lawyers to represent businesses in legal matters. Proponents argue that this will reduce costs and improve access to justice for small businesses, while opponents express concerns about the potential for inadequate legal representation and the risks of untrained individuals navigating complex legal issues.

The economic implications of SB 166 could be significant, particularly for small businesses that may struggle with legal fees. By allowing more flexibility in representation, the bill could foster a more business-friendly environment in Oregon. However, the potential for increased disputes over representation and the quality of legal advice remains a concern.

As the legislative process unfolds, stakeholders from various sectors will be closely monitoring the bill's progress. If passed, SB 166 could reshape the landscape of legal representation for businesses in Oregon, potentially setting a precedent for similar legislative efforts in other states. The next steps will involve committee reviews and discussions, where further amendments may be proposed before a final vote is taken.