Rep. Eva-Dina Delgado

Filed: 5/6/2024

 

 


 

 


 
10300SB2919ham002LRB103 35721 JRC 73000 a

1
AMENDMENT TO SENATE BILL 2919

2    AMENDMENT NO. ______. Amend Senate Bill 2919 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Code of Civil Procedure is amended by
5changing Section 15-1507 and by adding Sections 15-1507.2 and
615-1510.1 as follows:
 
7    (735 ILCS 5/15-1507)  (from Ch. 110, par. 15-1507)
8    Sec. 15-1507. Judicial Sale.
9    (a) In General. Except as provided in Sections 15-1402 and
1015-1403, upon entry of a judgment of foreclosure, the real
11estate which is the subject of the judgment shall be sold at a
12judicial sale in accordance with this Section 15-1507.
13    (b) Sale Procedures.
14        (1) Upon expiration of the reinstatement period and
15    the redemption period in accordance with subsection (b) or
16    (c) of Section 15-1603 or upon the entry of a judgment of

 

 

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1    foreclosure after the waiver of all rights of redemption,
2    except as provided in subsection (g) of Section 15-1506,
3    the real estate shall be sold at a sale as provided in this
4    Article, on such terms and conditions as shall be
5    specified by the court in the judgment of foreclosure. A
6    sale may be conducted by any judge, or sheriff, or other
7    person as set forth in paragraph (3) of subsection (f) of
8    Section 15-1506.
9        (2) Without limiting the general authority and powers
10    of the court, the mortgagee, in a foreclosure under this
11    Article, may request that the judge, sheriff, or other
12    person conduct the sale either in person, online, or both,
13    if available.
14    (c) Notice of Sale. The mortgagee, or such other party
15designated by the court, in a foreclosure under this Article
16shall give public notice of the sale as follows:
17        (1) The notice of sale shall include at least the
18    following information, but an immaterial error in the
19    information shall not invalidate the legal effect of the
20    notice:
21            (A) the name, address and telephone number of the
22        person to contact for information regarding the real
23        estate;
24            (B) the common address and other common
25        description (other than legal description), if any, of
26        the real estate;

 

 

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1            (C) a legal description of the real estate
2        sufficient to identify it with reasonable certainty;
3            (D) a description of the improvements on the real
4        estate;
5            (E) the times specified in the judgment, if any,
6        when the real estate may be inspected prior to sale;
7            (F) the time and place of the sale, including: ;
8                (i) whether the sale will take place online,
9            in person, or both; and
10                (ii) the website where the online bidding may
11            take place, if applicable;
12            (G) the terms of the sale;
13            (H) the case title, case number and the court in
14        which the foreclosure was filed;
15            (H-1) in the case of a condominium unit to which
16        subsection (g) of Section 9 of the Condominium
17        Property Act applies, the statement required by
18        subdivision (g)(5) of Section 9 of the Condominium
19        Property Act;
20            (H-2) in the case of a unit of a common interest
21        community to which subsection (g-1) of Section 18.5 of
22        the Condominium Property Act applies, the statement
23        required by subdivision (g-1) of Section 18.5 of the
24        Condominium Property Act; and
25            (I) such other information ordered by the Court.
26        (2) The notice of sale shall be published at least 3

 

 

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1    consecutive calendar weeks (Sunday through Saturday), once
2    in each week, the first such notice to be published not
3    more than 45 days prior to the sale, the last such notice
4    to be published not less than 7 days prior to the sale, by:
5    (i) (A) advertisements in a newspaper circulated to the
6    general public in the county in which the real estate is
7    located, in the section of that newspaper where legal
8    notices are commonly placed and (B) separate
9    advertisements in the section of such a newspaper, which
10    (except in counties with a population in excess of
11    3,000,000) may be the same newspaper, in which real estate
12    other than real estate being sold as part of legal
13    proceedings is commonly advertised to the general public;
14    provided, that the separate advertisements in the real
15    estate section need not include a legal description and
16    that where both advertisements could be published in the
17    same newspaper and that newspaper does not have separate
18    legal notices and real estate advertisement sections, a
19    single advertisement with the legal description shall be
20    sufficient; in counties with a population of more than
21    3,000,000, the notice required by this item (B) shall be
22    published in a newspaper different from the newspaper that
23    publishes the notice required by item (A), and the
24    newspaper in which the notice required by this item (B) is
25    published shall be a newspaper published in the township
26    in which the real estate is located; and (ii) such other

 

 

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1    publications as may be further ordered by the court.
2        (3) The party who gives notice of public sale in
3    accordance with subsection (c) of Section 15-1507 shall
4    also give notice to all parties in the action who have
5    appeared and have not theretofore been found by the court
6    to be in default for failure to plead. Such notice shall be
7    given in the manner provided in the applicable rules of
8    court for service of papers other than process and
9    complaint, not more than 45 days nor less than 7 days prior
10    to the day of sale. After notice is given as required in
11    this Section a copy thereof shall be filed in the office of
12    the clerk of the court entering the judgment, together
13    with a certificate of counsel or other proof that notice
14    has been served in compliance with this Section.
15        (4) The party who gives notice of public sale in
16    accordance with subsection (c) of Section 15-1507 shall
17    again give notice in accordance with that Section of any
18    adjourned sale; provided, however, that if the adjourned
19    sale is to occur less than 60 days after the last scheduled
20    sale, notice of any adjourned sale need not be given
21    pursuant to this Section. In the event of adjournment, the
22    person conducting the sale shall, upon adjournment,
23    announce the date, time and place upon which the adjourned
24    sale shall be held or post on its website the date, time,
25    and place upon which the adjourned sale shall be held.
26    Notwithstanding any language to the contrary, for any

 

 

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1    adjourned sale that is to be conducted more than 60 days
2    after the date on which it was to first be held, the party
3    giving notice of such sale shall again give notice in
4    accordance with this Section.
5        (5) Notice of the sale may be given prior to the
6    expiration of any reinstatement period or redemption
7    period.
8        (6) No other notice by publication or posting shall be
9    necessary unless required by order or rule of the court.
10        (7) The person named in the notice of sale to be
11    contacted for information about the real estate may, but
12    shall not be required, to provide additional information
13    other than that set forth in the notice of sale.
14    (d) Election of Property. If the real estate which is the
15subject of a judgment of foreclosure is susceptible of
16division, the court may order it to be sold as necessary to
17satisfy the judgment. The court shall determine which real
18estate shall be sold, and the court may determine the order in
19which separate tracts may be sold.
20    (e) Receipt upon Sale. Following Upon and at the sale of
21mortgaged real estate, the person conducting the sale shall
22give to the purchaser a receipt of sale. The receipt shall
23describe the real estate purchased and shall show the amount
24bid, the amount paid, the total amount paid to date and the
25amount still to be paid therefor. An additional receipt shall
26be given at the time of each subsequent payment.

 

 

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1    (f) Certificate of Sale. Upon payment in full of the
2amount bid, the person conducting the sale shall issue, in
3duplicate, and give to the purchaser a Certificate of Sale.
4The Certificate of Sale shall be in a recordable form,
5describe the real estate purchased, indicate the date and
6place of sale and show the amount paid therefor. The
7Certificate of Sale shall further indicate that it is subject
8to confirmation by the court. The duplicate certificate may be
9recorded in accordance with Section 12-121. The Certificate of
10Sale shall be freely assignable by endorsement thereon.
11    (g) Interest after Sale. Any bid at sale shall be deemed to
12include, without the necessity of a court order, interest at
13the statutory judgment rate on any unpaid portion of the sale
14price from the date of sale to the date of payment.
15(Source: P.A. 100-685, eff. 8-3-18.)
 
16    (735 ILCS 5/15-1507.2 new)
17    Sec. 15-1507.2. Online judicial sale.
18    (a) The sheriff or other person may conduct the sale
19online in accordance with this Article.
20    (b) The sheriff or other person may engage a third-party
21online sale provider to assist with performance of the online
22sale. Any third-party online sale provider engaged by a
23sheriff must be acquired through a process that confirms that
24the provider meets the requirements set forth in this Article.
25    (c) In this Section, "third-party online sale provider"

 

 

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1means any sale platform or services provider that is not the
2person conducting the sale or a party to the case involving the
3judicial sale and that is engaged by the person conducting the
4sale to assist with conducting the sale online in accordance
5with State law.
6    (d) The sheriff or other person may charge an additional
7fee as a reasonable expense of the sale for costs associated
8with conducting the sale online.
9    (e) For any foreclosure involving residential real estate,
10the fee set forth in subsection (d) may not exceed $400, unless
11a higher fee is otherwise approved by the court. Any fees not
12charged as a cost in the case may be agreed to and paid
13directly by the judge, sheriff, other person conducting the
14sale or a party to the case without limitation. The fees
15charged under this Section shall not reduce or impact the
16sheriff's fees set forth in Section 4-5001 and 4-12001 of the
17Counties Code.
18    (f) To conduct a sale online, the sheriff or other person
19conducting the sale must demonstrate to the court's
20satisfaction documented processes and procedures for
21conducting online auctions, adequate recordkeeping, and the
22ability to comply with the requirements in this Article.
23    (g) If the sale takes place both online and in person, all
24bids accepted during the auction shall be simultaneously
25announced at the in-person sale and visible to the public
26online at the time the bids are placed. Any maximum bid amounts

 

 

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1provided by bidders ahead of the sale shall not be visible to
2the public until the bid is placed.
3    (h) There shall be no fee charged to the public to view
4properties for sale online or to participate in any auction in
5person or online.
6    (i) Any third-party online sale provider may not maintain
7custody of sale funds on behalf of the judge, sheriff, or other
8person conducting the sale unless specifically approved by the
9court to maintain custody of funds on their behalf.
10    (j) The sheriff or other person conducting the sale shall
11require a person seeking to bid electronically online to
12complete a registration process that includes providing
13information relevant to properly identify the bidder, contact
14the bidder, and complete the sale of the property as
15determined by the sheriff or other person conducting the sale.
16    (k) If the person registering to bid is an individual, the
17information required shall include the individual's name,
18electronic mail address, and telephone number.
19    (l) If the person registering to bid is an entity, the
20information required in this Section shall include the
21entity's legal name, name of an individual contact person for
22the entity, electronic mail address, and telephone number.
23    (m) The sheriff or other person conducting the sale online
24shall require all bidders who wish to participate in bidding
25online to have their identity verified through an
26identification verification process before a bid can be placed

 

 

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1online, which may include verification through a government
2issued identification, biometric verification, or other method
3of verification as determined by the judge, sheriff, or other
4person conducting the sale. If a bidder's identity cannot be
5verified through the verification process, then the bidder may
6be prohibited from participating in the online sale.
7    (n) The purchaser at the sale shall submit to the person
8conducting the sale the following information prior to the
9sale being finalized:
10        (1) All winning purchasers shall provide any required
11    information to be checked against the federal Office for
12    Foreign Assets Control sanction list by the person
13    conducting the sale before finalizing the purchase of the
14    property. The person conducting the sale shall check the
15    winning purchaser against the sanction list before an
16    order approving the sale may be entered.
17        (2) If the purchaser is an individual, the information
18    shall include the individual's name, physical mailing
19    address, electronic mail address, and any other
20    information requested by the person conducting the sale to
21    adequately identify and contact the purchaser.
22        (3) If the purchaser is an entity, the information
23    shall include the entity's legal name, trade name if
24    different from its legal name, state and date of
25    formation, mailing address, proof of business registration
26    with the State of Illinois, and the name of an individual

 

 

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1    contact person for the entity, electronic mail address,
2    and the person's telephone number.
3        (4) The purchaser must provide the sale deposit, if
4    applicable, and the balance due to the sheriff or other
5    person conducting the sale at least 24 hours after the end
6    of the sale, unless otherwise set forth by the sheriff or
7    other person conducting the sale, in the form designated
8    by the sheriff or other person conducting the sale.
9        (5) If the purchaser fails to provide the required
10    information within the time period designated by the
11    judge, sheriff, or other person conducting the sale, the
12    purchaser is in default and the judge, sheriff, or other
13    person conducting the sale may void the sale and proceed
14    with a resale.
15    (o) Any person conducting a sale online must maintain
16evidence of satisfactory internal informational security
17controls that meet industry standards and are maintained by
18the platform used to conduct online sales. Such evidence of
19satisfactory internal controls regarding data security may be
20in the form of an annual SOC 2 Report certification, with the
21ability to test and report on the design effectiveness (Type
221) and operating effectiveness (Type 2) of the platform's
23controls, or another form ensuring performance and security
24requirements are met.
25    (p) The person conducting the sale and the third-party
26online sale provider may engage in activities to promote and

 

 

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1market the sale to encourage and facilitate bidding, including
2listing the property on real estate websites and conducting
3email campaigns. The person conducting the sale or the
4third-party online sale provider is solely responsible for
5paying all fees or expenses incurred in connection with such
6activities.
7    (q) In every sale conducted online of residential real
8estate, (1) the sale may be held open for bidding for up to 3
9days and extended by the person conducting the sale as needed
10to allow for all active competitive bidding to occur, counted
11in accordance with Section 1.11 of the Statute on Statutes;
12and (2) bidding shall be open to everyone for the entire
13duration of the bidding period.
 
14    (735 ILCS 5/15-1510.1 new)
15    Sec. 15-1510.1. Third-party purchaser fees and costs.
16Notwithstanding any other provision of law to the contrary,
17for the sale of residential real estate, no fee, including a
18buyer's premium, may be charged to a third-party bidder or
19purchaser who is not a party to the case at the sale of real
20estate under this Article beyond the winning bid amount to
21cover an expense of conducting the sale.".