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ECKLES v. STATE OF OREGON

TC 143089; CA A35776; SC S32710.

760 P.2d 846 (1988)

306 Or. 380

Frank R. ECKLES, Dba Riverview Marina, Petitioner On Review, v. STATE OF OREGON, William Rutherford, Treasurer of State of Oregon, and Oregon Department of Revenue and Its Director, Richard Munn, Respondents On Review.

Supreme Court of Oregon, In Banc.

Decided August 4, 1988.

Reassigned March 16, 1988.

Reconsideration Denied September 29, 1988.

Attorney(s) appearing for the Case

Robert Mix, Corvallis, argued the cause and filed the petition for petitioner on review.

William F. Gary, Deputy Atty. Gen., Salem, argued the cause for respondents on review.

LENT, Justice.

At issue is the constitutionality of a legislative act that, inter alia, directed the State Treasurer to transfer $81 million from the Industrial Accident Fund (IAF) to the General Fund. Or. Laws 1982 (Special Session 3), ch. 2 (hereinafter the "Transfer Act"). We hold that the transfer breached a contract of the state, for which the state may be liable in a breach of contract action, but did not violate the state or federal constitutions. We...

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