94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB4898

 

Introduced 1/19/2006, by Rep. Jim Sacia

 

SYNOPSIS AS INTRODUCED:
 
625 ILCS 5/5-101   from Ch. 95 1/2, par. 5-101
625 ILCS 5/5-102   from Ch. 95 1/2, par. 5-102

    Amends the Illinois Vehicle Code with regard to new and used vehicle dealer license fees. Provides that the fee varies according to the number of vehicles sold by the dealer during the previous year. Provides that a dealer's license application shall indicate the number of vehicles sold by the dealer the previous year, supported by documentation prescribed by the Secretary of State. Sets a new schedule of license fees for new and used vehicle dealers, including one fee for the applicant's established place of business and a lower fee for each additional place of business, if any, to which the application pertains. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB4898 LRB094 17032 DRH 52314 b

1     AN ACT concerning transportation.
 
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
 
4     Section 5. The Illinois Vehicle Code is amended by changing
5 Sections 5-101 and 5-102 as follows:
 
6     (625 ILCS 5/5-101)  (from Ch. 95 1/2, par. 5-101)
7     Sec. 5-101. New vehicle dealers must be licensed.
8     (a) No person shall engage in this State in the business of
9 selling or dealing in, on consignment or otherwise, new
10 vehicles of any make, or act as an intermediary or agent or
11 broker for any licensed dealer or vehicle purchaser other than
12 as a salesperson, or represent or advertise that he is so
13 engaged or intends to so engage in such business unless
14 licensed to do so in writing by the Secretary of State under
15 the provisions of this Section.
16     (b) An application for a new vehicle dealer's license shall
17 be filed with the Secretary of State, duly verified by oath, on
18 such form as the Secretary of State may by rule or regulation
19 prescribe and shall contain:
20         1. The name and type of business organization of the
21     applicant and his established and additional places of
22     business, if any, in this State.
23         2. If the applicant is a corporation, a list of its
24     officers, directors, and shareholders having a ten percent
25     or greater ownership interest in the corporation, setting
26     forth the residence address of each; if the applicant is a
27     sole proprietorship, a partnership, an unincorporated
28     association, a trust, or any similar form of business
29     organization, the name and residence address of the
30     proprietor or of each partner, member, officer, director,
31     trustee, or manager.
32         3. The make or makes of new vehicles which the

 

 

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1     applicant will offer for sale at retail in this State.
2         4. The name of each manufacturer or franchised
3     distributor, if any, of new vehicles with whom the
4     applicant has contracted for the sale of such new vehicles.
5     As evidence of this fact, the application shall be
6     accompanied by a signed statement from each such
7     manufacturer or franchised distributor. If the applicant
8     is in the business of offering for sale new conversion
9     vehicles, trucks or vans, except for trucks modified to
10     serve a special purpose which includes but is not limited
11     to the following vehicles: street sweepers, fertilizer
12     spreaders, emergency vehicles, implements of husbandry or
13     maintenance type vehicles, he must furnish evidence of a
14     sales and service agreement from both the chassis
15     manufacturer and second stage manufacturer.
16         5. A statement that the applicant has been approved for
17     registration under the Retailers' Occupation Tax Act by the
18     Department of Revenue: Provided that this requirement does
19     not apply to a dealer who is already licensed hereunder
20     with the Secretary of State, and who is merely applying for
21     a renewal of his license. As evidence of this fact, the
22     application shall be accompanied by a certification from
23     the Department of Revenue showing that that Department has
24     approved the applicant for registration under the
25     Retailers' Occupation Tax Act.
26         6. A statement that the applicant has complied with the
27     appropriate liability insurance requirement. A Certificate
28     of Insurance in a solvent company authorized to do business
29     in the State of Illinois shall be included with each
30     application covering each location at which he proposes to
31     act as a new vehicle dealer. The policy must provide
32     liability coverage in the minimum amounts of $100,000 for
33     bodily injury to, or death of, any person, $300,000 for
34     bodily injury to, or death of, two or more persons in any
35     one accident, and $50,000 for damage to property. Such
36     policy shall expire not sooner than December 31 of the year

 

 

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1     for which the license was issued or renewed. The expiration
2     of the insurance policy shall not terminate the liability
3     under the policy arising during the period for which the
4     policy was filed. Trailer and mobile home dealers are
5     exempt from this requirement.
6         If the permitted user has a liability insurance policy
7     that provides automobile liability insurance coverage of
8     at least $100,000 for bodily injury to or the death of any
9     person, $300,000 for bodily injury to or the death of any 2
10     or more persons in any one accident, and $50,000 for damage
11     to property, then the permitted user's insurer shall be the
12     primary insurer and the dealer's insurer shall be the
13     secondary insurer. If the permitted user does not have a
14     liability insurance policy that provides automobile
15     liability insurance coverage of at least $100,000 for
16     bodily injury to or the death of any person, $300,000 for
17     bodily injury to or the death of any 2 or more persons in
18     any one accident, and $50,000 for damage to property, or
19     does not have any insurance at all, then the dealer's
20     insurer shall be the primary insurer and the permitted
21     user's insurer shall be the secondary insurer.
22         When a permitted user is "test driving" a new vehicle
23     dealer's automobile, the new vehicle dealer's insurance
24     shall be primary and the permitted user's insurance shall
25     be secondary.
26         As used in this paragraph 6, a "permitted user" is a
27     person who, with the permission of the new vehicle dealer
28     or an employee of the new vehicle dealer, drives a vehicle
29     owned and held for sale or lease by the new vehicle dealer
30     which the person is considering to purchase or lease, in
31     order to evaluate the performance, reliability, or
32     condition of the vehicle. The term "permitted user" also
33     includes a person who, with the permission of the new
34     vehicle dealer, drives a vehicle owned or held for sale or
35     lease by the new vehicle dealer for loaner purposes while
36     the user's vehicle is being repaired or evaluated.

 

 

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1         As used in this paragraph 6, "test driving" occurs when
2     a permitted user who, with the permission of the new
3     vehicle dealer or an employee of the new vehicle dealer,
4     drives a vehicle owned and held for sale or lease by a new
5     vehicle dealer that the person is considering to purchase
6     or lease, in order to evaluate the performance,
7     reliability, or condition of the vehicle.
8         As used in this paragraph 6, "loaner purposes" means
9     when a person who, with the permission of the new vehicle
10     dealer, drives a vehicle owned or held for sale or lease by
11     the new vehicle dealer while the user's vehicle is being
12     repaired or evaluated.
13         7. (A) An application for a new motor vehicle dealer's
14     license shall indicate the number of vehicles sold by the
15     dealer during the previous year, supported by
16     documentation prescribed by the Secretary, and shall be
17     accompanied by the following license fees:
18             (i) for dealers that sold 3,000 or more vehicles
19         the previous year: $1,500 for the applicant's
20         established place of business; $750 for each
21         additional place of business, if any, to which the
22         application pertains;
23             (ii) for dealers that sold 2,000 to 2,999 vehicles
24         the previous year: $1,250 for the applicant's
25         established place of business; $625 for each
26         additional place of business, if any, to which the
27         application pertains;
28             (iii) for dealers that sold 1,500 to 1,999 vehicles
29         the previous year: $1,000 for the applicant's
30         established place of business; $500 for each
31         additional place of business, if any, to which the
32         application pertains;
33             (iv) for dealers that sold 1,000 to 1,499 vehicles
34         the previous year: $750 for the applicant's
35         established place of business; $375 for each
36         additional place of business, if any, to which the

 

 

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1         application pertains;
2             (v) for dealers that sold 500 to 999 vehicles the
3         previous year: $500 for the applicant's established
4         place of business; $250 for each additional place of
5         business, if any, to which the application pertains.
6             (vi) for dealers that sold 0 to 499 vehicles the
7         previous year: $250 for the applicant's established
8         place of business; $125 for each additional place of
9         business to which the application pertains; but if the
10         application is made after June 15 of any year, the
11         license fee shall be $125 for the applicant's
12         established place of business and $62.50 for each
13         additional place of business, if any, to which the
14         application pertains. $1,000 for applicant's
15         established place of business, and $100 for each
16         additional place of business, if any, to which the
17         application pertains; but if the application is made
18         after June 15 of any year, the license fee shall be
19         $500 for applicant's established place of business
20         plus $50 for each additional place of business, if any,
21         to which the application pertains.
22             License fees shall be returnable only in the event
23         that the application is denied by the Secretary of
24         State. All moneys received by the Secretary of State as
25         license fees under paragraph (7)(A) of subsection (b)
26         of this Section prior to applications for the 2004
27         licensing year shall be deposited into the Motor
28         Vehicle Review Board Fund and shall be used to
29         administer the Motor Vehicle Review Board under the
30         Motor Vehicle Franchise Act. Of the money received by
31         the Secretary of State as license fees under paragraph
32         (7)(A) of subsection (b) of this Section for the 2004
33         licensing year and thereafter, 10% shall be deposited
34         into the Motor Vehicle Review Board Fund and shall be
35         used to administer the Motor Vehicle Review Board under
36         the Motor Vehicle Franchise Act and 90% shall be

 

 

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1         deposited into the General Revenue Fund.
2             (B) An application for a new vehicle dealer's
3         license, other than for a new motor vehicle dealer's
4         license, shall be accompanied by the following license
5         fees:
6             $1,000 for applicant's established place of
7         business, and $50 for each additional place of
8         business, if any, to which the application pertains;
9         but if the application is made after June 15 of any
10         year, the license fee shall be $500 for applicant's
11         established place of business plus $25 for each
12         additional place of business, if any, to which the
13         application pertains. License fees shall be returnable
14         only in the event that the application is denied by the
15         Secretary of State. Of the money received by the
16         Secretary of State as license fees under this
17         subsection for the 2004 licensing year and thereafter,
18         95% shall be deposited into the General Revenue Fund.
19         8. A statement that the applicant's officers,
20     directors, shareholders having a 10% or greater ownership
21     interest therein, proprietor, a partner, member, officer,
22     director, trustee, manager or other principals in the
23     business have not committed in the past 3 years any one
24     violation as determined in any civil, criminal or
25     administrative proceedings of any one of the following
26     Acts:
27             (A) The Anti Theft Laws of the Illinois Vehicle
28         Code;
29             (B) The Certificate of Title Laws of the Illinois
30         Vehicle Code;
31             (C) The Offenses against Registration and
32         Certificates of Title Laws of the Illinois Vehicle
33         Code;
34             (D) The Dealers, Transporters, Wreckers and
35         Rebuilders Laws of the Illinois Vehicle Code;
36             (E) Section 21-2 of the Criminal Code of 1961,

 

 

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1         Criminal Trespass to Vehicles; or
2             (F) The Retailers' Occupation Tax Act.
3         9. A statement that the applicant's officers,
4     directors, shareholders having a 10% or greater ownership
5     interest therein, proprietor, partner, member, officer,
6     director, trustee, manager or other principals in the
7     business have not committed in any calendar year 3 or more
8     violations, as determined in any civil, criminal or
9     administrative proceedings, of any one or more of the
10     following Acts:
11             (A) The Consumer Finance Act;
12             (B) The Consumer Installment Loan Act;
13             (C) The Retail Installment Sales Act;
14             (D) The Motor Vehicle Retail Installment Sales
15         Act;
16             (E) The Interest Act;
17             (F) The Illinois Wage Assignment Act;
18             (G) Part 8 of Article XII of the Code of Civil
19         Procedure; or
20             (H) The Consumer Fraud Act.
21         10. A bond or certificate of deposit in the amount of
22     $20,000 for each location at which the applicant intends to
23     act as a new vehicle dealer. The bond shall be for the term
24     of the license, or its renewal, for which application is
25     made, and shall expire not sooner than December 31 of the
26     year for which the license was issued or renewed. The bond
27     shall run to the People of the State of Illinois, with
28     surety by a bonding or insurance company authorized to do
29     business in this State. It shall be conditioned upon the
30     proper transmittal of all title and registration fees and
31     taxes (excluding taxes under the Retailers' Occupation Tax
32     Act) accepted by the applicant as a new vehicle dealer.
33         11. Such other information concerning the business of
34     the applicant as the Secretary of State may by rule or
35     regulation prescribe.
36         12. A statement that the applicant understands Chapter

 

 

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1     One through Chapter Five of this Code.
2     (c) Any change which renders no longer accurate any
3 information contained in any application for a new vehicle
4 dealer's license shall be amended within 30 days after the
5 occurrence of such change on such form as the Secretary of
6 State may prescribe by rule or regulation, accompanied by an
7 amendatory fee of $2.
8     (d) Anything in this Chapter 5 to the contrary
9 notwithstanding no person shall be licensed as a new vehicle
10 dealer unless:
11         1. He is authorized by contract in writing between
12     himself and the manufacturer or franchised distributor of
13     such make of vehicle to so sell the same in this State, and
14         2. Such person shall maintain an established place of
15     business as defined in this Act.
16     (e) The Secretary of State shall, within a reasonable time
17 after receipt, examine an application submitted to him under
18 this Section and unless he makes a determination that the
19 application submitted to him does not conform with the
20 requirements of this Section or that grounds exist for a denial
21 of the application, under Section 5-501 of this Chapter, grant
22 the applicant an original new vehicle dealer's license in
23 writing for his established place of business and a
24 supplemental license in writing for each additional place of
25 business in such form as he may prescribe by rule or regulation
26 which shall include the following:
27         1. The name of the person licensed;
28         2. If a corporation, the name and address of its
29     officers or if a sole proprietorship, a partnership, an
30     unincorporated association or any similar form of business
31     organization, the name and address of the proprietor or of
32     each partner, member, officer, director, trustee or
33     manager;
34         3. In the case of an original license, the established
35     place of business of the licensee;
36         4. In the case of a supplemental license, the

 

 

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1     established place of business of the licensee and the
2     additional place of business to which such supplemental
3     license pertains;
4         5. The make or makes of new vehicles which the licensee
5     is licensed to sell.
6     (f) The appropriate instrument evidencing the license or a
7 certified copy thereof, provided by the Secretary of State,
8 shall be kept posted conspicuously in the established place of
9 business of the licensee and in each additional place of
10 business, if any, maintained by such licensee.
11     (g) Except as provided in subsection (h) hereof, all new
12 vehicle dealer's licenses granted under this Section shall
13 expire by operation of law on December 31 of the calendar year
14 for which they are granted unless sooner revoked or cancelled
15 under the provisions of Section 5-501 of this Chapter.
16     (h) A new vehicle dealer's license may be renewed upon
17 application and payment of the fee required herein, and
18 submission of proof of coverage under an approved bond under
19 the "Retailers' Occupation Tax Act" or proof that applicant is
20 not subject to such bonding requirements, as in the case of an
21 original license, but in case an application for the renewal of
22 an effective license is made during the month of December, the
23 effective license shall remain in force until the application
24 is granted or denied by the Secretary of State.
25     (i) All persons licensed as a new vehicle dealer are
26 required to furnish each purchaser of a motor vehicle:
27         1. In the case of a new vehicle a manufacturer's
28     statement of origin and in the case of a used motor vehicle
29     a certificate of title, in either case properly assigned to
30     the purchaser;
31         2. A statement verified under oath that all identifying
32     numbers on the vehicle agree with those on the certificate
33     of title or manufacturer's statement of origin;
34         3. A bill of sale properly executed on behalf of such
35     person;
36         4. A copy of the Uniform Invoice-transaction reporting

 

 

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1     return referred to in Section 5-402 hereof;
2         5. In the case of a rebuilt vehicle, a copy of the
3     Disclosure of Rebuilt Vehicle Status; and
4         6. In the case of a vehicle for which the warranty has
5     been reinstated, a copy of the warranty.
6     (j) Except at the time of sale or repossession of the
7 vehicle, no person licensed as a new vehicle dealer may issue
8 any other person a newly created key to a vehicle unless the
9 new vehicle dealer makes a copy of the driver's license or
10 State identification card of the person requesting or obtaining
11 the newly created key. The new vehicle dealer must retain the
12 copy for 30 days.
13     A new vehicle dealer who violates this subsection (j) is
14 guilty of a petty offense. Violation of this subsection (j) is
15 not cause to suspend, revoke, cancel, or deny renewal of the
16 new vehicle dealer's license.
17     This amendatory Act of 1983 shall be applicable to the 1984
18 registration year and thereafter.
19 (Source: P.A. 92-391, eff. 8-16-01; 92-835, eff. 6-1-03; 93-32,
20 eff. 7-1-03.)
 
21     (625 ILCS 5/5-102)  (from Ch. 95 1/2, par. 5-102)
22     Sec. 5-102. Used vehicle dealers must be licensed.
23     (a) No person, other than a licensed new vehicle dealer,
24 shall engage in the business of selling or dealing in, on
25 consignment or otherwise, 5 or more used vehicles of any make
26 during the year (except house trailers as authorized by
27 paragraph (j) of this Section and rebuilt salvage vehicles sold
28 by their rebuilders to persons licensed under this Chapter), or
29 act as an intermediary, agent or broker for any licensed dealer
30 or vehicle purchaser (other than as a salesperson) or represent
31 or advertise that he is so engaged or intends to so engage in
32 such business unless licensed to do so by the Secretary of
33 State under the provisions of this Section.
34     (b) An application for a used vehicle dealer's license
35 shall be filed with the Secretary of State, duly verified by

 

 

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1 oath, in such form as the Secretary of State may by rule or
2 regulation prescribe and shall contain:
3         1. The name and type of business organization
4     established and additional places of business, if any, in
5     this State.
6         2. If the applicant is a corporation, a list of its
7     officers, directors, and shareholders having a ten percent
8     or greater ownership interest in the corporation, setting
9     forth the residence address of each; if the applicant is a
10     sole proprietorship, a partnership, an unincorporated
11     association, a trust, or any similar form of business
12     organization, the names and residence address of the
13     proprietor or of each partner, member, officer, director,
14     trustee or manager.
15         3. A statement that the applicant has been approved for
16     registration under the Retailers' Occupation Tax Act by the
17     Department of Revenue. However, this requirement does not
18     apply to a dealer who is already licensed hereunder with
19     the Secretary of State, and who is merely applying for a
20     renewal of his license. As evidence of this fact, the
21     application shall be accompanied by a certification from
22     the Department of Revenue showing that the Department has
23     approved the applicant for registration under the
24     Retailers' Occupation Tax Act.
25         4. A statement that the applicant has complied with the
26     appropriate liability insurance requirement. A Certificate
27     of Insurance in a solvent company authorized to do business
28     in the State of Illinois shall be included with each
29     application covering each location at which he proposes to
30     act as a used vehicle dealer. The policy must provide
31     liability coverage in the minimum amounts of $100,000 for
32     bodily injury to, or death of, any person, $300,000 for
33     bodily injury to, or death of, two or more persons in any
34     one accident, and $50,000 for damage to property. Such
35     policy shall expire not sooner than December 31 of the year
36     for which the license was issued or renewed. The expiration

 

 

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1     of the insurance policy shall not terminate the liability
2     under the policy arising during the period for which the
3     policy was filed. Trailer and mobile home dealers are
4     exempt from this requirement.
5         If the permitted user has a liability insurance policy
6     that provides automobile liability insurance coverage of
7     at least $100,000 for bodily injury to or the death of any
8     person, $300,000 for bodily injury to or the death of any 2
9     or more persons in any one accident, and $50,000 for damage
10     to property, then the permitted user's insurer shall be the
11     primary insurer and the dealer's insurer shall be the
12     secondary insurer. If the permitted user does not have a
13     liability insurance policy that provides automobile
14     liability insurance coverage of at least $100,000 for
15     bodily injury to or the death of any person, $300,000 for
16     bodily injury to or the death of any 2 or more persons in
17     any one accident, and $50,000 for damage to property, or
18     does not have any insurance at all, then the dealer's
19     insurer shall be the primary insurer and the permitted
20     user's insurer shall be the secondary insurer.
21         When a permitted user is "test driving" a used vehicle
22     dealer's automobile, the used vehicle dealer's insurance
23     shall be primary and the permitted user's insurance shall
24     be secondary.
25         As used in this paragraph 4, a "permitted user" is a
26     person who, with the permission of the used vehicle dealer
27     or an employee of the used vehicle dealer, drives a vehicle
28     owned and held for sale or lease by the used vehicle dealer
29     which the person is considering to purchase or lease, in
30     order to evaluate the performance, reliability, or
31     condition of the vehicle. The term "permitted user" also
32     includes a person who, with the permission of the used
33     vehicle dealer, drives a vehicle owned or held for sale or
34     lease by the used vehicle dealer for loaner purposes while
35     the user's vehicle is being repaired or evaluated.
36         As used in this paragraph 4, "test driving" occurs when

 

 

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1     a permitted user who, with the permission of the used
2     vehicle dealer or an employee of the used vehicle dealer,
3     drives a vehicle owned and held for sale or lease by a used
4     vehicle dealer that the person is considering to purchase
5     or lease, in order to evaluate the performance,
6     reliability, or condition of the vehicle.
7         As used in this paragraph 4, "loaner purposes" means
8     when a person who, with the permission of the used vehicle
9     dealer, drives a vehicle owned or held for sale or lease by
10     the used vehicle dealer while the user's vehicle is being
11     repaired or evaluated.
12         5. An application for a used vehicle dealer's license
13     shall indicate the number of vehicles sold by the dealer
14     during the previous year, supported by documentation
15     prescribed by the Secretary, and shall be accompanied by
16     the following license fees:
17              (A) for dealers that sold 2,500 or more vehicles
18         the previous year: $1,500 for the applicant's
19         established place of business; $750 for each
20         additional place of business, if any, to which the
21         application pertains;
22             (B) for dealers that sold 1,500 to 2,499 vehicles
23         the previous year: $1,250 for the applicant's
24         established place of business; $625 for each
25         additional place of business, if any, to which the
26         application pertains;
27             (C) for dealers that sold 750 to 1,499 vehicles the
28         previous year: $1,000 for the applicant's established
29         place of business, $500 for each additional place of
30         business, if any, to which the application pertains;
31             (D) for dealers that sold 500 to 749 vehicles the
32         previous year: $750 for the applicant's established
33         place of business; $375 for each additional place of
34         business, if any, to which the application pertains.
35             (E) for dealers that sold 200 to 499 vehicles the
36         previous year: $500 for the applicant's established

 

 

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1         place of business; $250 for each additional place of
2         business, if any, to which the application pertains;
3             (F) for dealers that sold 0 to 199 vehicles the
4         previous year: $250 for the applicant's established
5         place of business; $125 for each additional place of
6         business, if any, to which the application pertains;
7         but if the application is made after June 15 of any
8         year, the license fee shall be $125 for the applicant's
9         established place of business and $62.50 for each
10         additional place of business, if any, to which the
11         application pertains.
12         $1,000 for applicant's established place of business,
13     and $50 for each additional place of business, if any, to
14     which the application pertains; however, if the
15     application is made after June 15 of any year, the license
16     fee shall be $500 for applicant's established place of
17     business plus $25 for each additional place of business, if
18     any, to which the application pertains.
19         License fees shall be returnable only in the event that
20     the application is denied by the Secretary of State. Of the
21     money received by the Secretary of State as license fees
22     under this Section for the 2004 licensing year and
23     thereafter, 95% shall be deposited into the General Revenue
24     Fund.
25         6. A statement that the applicant's officers,
26     directors, shareholders having a 10% or greater ownership
27     interest therein, proprietor, partner, member, officer,
28     director, trustee, manager or other principals in the
29     business have not committed in the past 3 years any one
30     violation as determined in any civil, criminal or
31     administrative proceedings of any one of the following
32     Acts:
33             (A) The Anti Theft Laws of the Illinois Vehicle
34         Code;
35             (B) The Certificate of Title Laws of the Illinois
36         Vehicle Code;

 

 

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1             (C) The Offenses against Registration and
2         Certificates of Title Laws of the Illinois Vehicle
3         Code;
4             (D) The Dealers, Transporters, Wreckers and
5         Rebuilders Laws of the Illinois Vehicle Code;
6             (E) Section 21-2 of the Illinois Criminal Code of
7         1961, Criminal Trespass to Vehicles; or
8             (F) The Retailers' Occupation Tax Act.
9         7. A statement that the applicant's officers,
10     directors, shareholders having a 10% or greater ownership
11     interest therein, proprietor, partner, member, officer,
12     director, trustee, manager or other principals in the
13     business have not committed in any calendar year 3 or more
14     violations, as determined in any civil or criminal or
15     administrative proceedings, of any one or more of the
16     following Acts:
17             (A) The Consumer Finance Act;
18             (B) The Consumer Installment Loan Act;
19             (C) The Retail Installment Sales Act;
20             (D) The Motor Vehicle Retail Installment Sales
21         Act;
22             (E) The Interest Act;
23             (F) The Illinois Wage Assignment Act;
24             (G) Part 8 of Article XII of the Code of Civil
25         Procedure; or
26             (H) The Consumer Fraud Act.
27         8. A bond or Certificate of Deposit in the amount of
28     $20,000 for each location at which the applicant intends to
29     act as a used vehicle dealer. The bond shall be for the
30     term of the license, or its renewal, for which application
31     is made, and shall expire not sooner than December 31 of
32     the year for which the license was issued or renewed. The
33     bond shall run to the People of the State of Illinois, with
34     surety by a bonding or insurance company authorized to do
35     business in this State. It shall be conditioned upon the
36     proper transmittal of all title and registration fees and

 

 

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1     taxes (excluding taxes under the Retailers' Occupation Tax
2     Act) accepted by the applicant as a used vehicle dealer.
3         9. Such other information concerning the business of
4     the applicant as the Secretary of State may by rule or
5     regulation prescribe.
6         10. A statement that the applicant understands Chapter
7     1 through Chapter 5 of this Code.
8     (c) Any change which renders no longer accurate any
9 information contained in any application for a used vehicle
10 dealer's license shall be amended within 30 days after the
11 occurrence of each change on such form as the Secretary of
12 State may prescribe by rule or regulation, accompanied by an
13 amendatory fee of $2.
14     (d) Anything in this Chapter to the contrary
15 notwithstanding, no person shall be licensed as a used vehicle
16 dealer unless such person maintains an established place of
17 business as defined in this Chapter.
18     (e) The Secretary of State shall, within a reasonable time
19 after receipt, examine an application submitted to him under
20 this Section. Unless the Secretary makes a determination that
21 the application submitted to him does not conform to this
22 Section or that grounds exist for a denial of the application
23 under Section 5-501 of this Chapter, he must grant the
24 applicant an original used vehicle dealer's license in writing
25 for his established place of business and a supplemental
26 license in writing for each additional place of business in
27 such form as he may prescribe by rule or regulation which shall
28 include the following:
29         1. The name of the person licensed;
30         2. If a corporation, the name and address of its
31     officers or if a sole proprietorship, a partnership, an
32     unincorporated association or any similar form of business
33     organization, the name and address of the proprietor or of
34     each partner, member, officer, director, trustee or
35     manager;
36         3. In case of an original license, the established

 

 

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1     place of business of the licensee;
2         4. In the case of a supplemental license, the
3     established place of business of the licensee and the
4     additional place of business to which such supplemental
5     license pertains.
6     (f) The appropriate instrument evidencing the license or a
7 certified copy thereof, provided by the Secretary of State
8 shall be kept posted, conspicuously, in the established place
9 of business of the licensee and in each additional place of
10 business, if any, maintained by such licensee.
11     (g) Except as provided in subsection (h) of this Section,
12 all used vehicle dealer's licenses granted under this Section
13 expire by operation of law on December 31 of the calendar year
14 for which they are granted unless sooner revoked or cancelled
15 under Section 5-501 of this Chapter.
16     (h) A used vehicle dealer's license may be renewed upon
17 application and payment of the fee required herein, and
18 submission of proof of coverage by an approved bond under the
19 "Retailers' Occupation Tax Act" or proof that applicant is not
20 subject to such bonding requirements, as in the case of an
21 original license, but in case an application for the renewal of
22 an effective license is made during the month of December, the
23 effective license shall remain in force until the application
24 for renewal is granted or denied by the Secretary of State.
25     (i) All persons licensed as a used vehicle dealer are
26 required to furnish each purchaser of a motor vehicle:
27         1. A certificate of title properly assigned to the
28     purchaser;
29         2. A statement verified under oath that all identifying
30     numbers on the vehicle agree with those on the certificate
31     of title;
32         3. A bill of sale properly executed on behalf of such
33     person;
34         4. A copy of the Uniform Invoice-transaction reporting
35     return referred to in Section 5-402 of this Chapter;
36         5. In the case of a rebuilt vehicle, a copy of the

 

 

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1     Disclosure of Rebuilt Vehicle Status; and
2         6. In the case of a vehicle for which the warranty has
3     been reinstated, a copy of the warranty.
4     (j) A real estate broker holding a valid certificate of
5 registration issued pursuant to "The Real Estate Brokers and
6 Salesmen License Act" may engage in the business of selling or
7 dealing in house trailers not his own without being licensed as
8 a used vehicle dealer under this Section; however such broker
9 shall maintain a record of the transaction including the
10 following:
11         (1) the name and address of the buyer and seller,
12         (2) the date of sale,
13         (3) a description of the mobile home, including the
14     vehicle identification number, make, model, and year, and
15         (4) the Illinois certificate of title number.
16     The foregoing records shall be available for inspection by
17 any officer of the Secretary of State's Office at any
18 reasonable hour.
19     (k) Except at the time of sale or repossession of the
20 vehicle, no person licensed as a used vehicle dealer may issue
21 any other person a newly created key to a vehicle unless the
22 used vehicle dealer makes a copy of the driver's license or
23 State identification card of the person requesting or obtaining
24 the newly created key. The used vehicle dealer must retain the
25 copy for 30 days.
26     A used vehicle dealer who violates this subsection (k) is
27 guilty of a petty offense. Violation of this subsection (k) is
28 not cause to suspend, revoke, cancel, or deny renewal of the
29 used vehicle dealer's license.
30 (Source: P.A. 92-391, eff. 8-16-01; 92-835, eff. 6-1-03; 93-32,
31 eff. 7-1-03.)
 
32     Section 99. Effective date. This Act takes effect upon
33 becoming law.