Full Text of HB1142 96th General Assembly
HB1142eng 96TH GENERAL ASSEMBLY
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| AN ACT concerning business.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 1. Short title. This Act may be cited as the | 5 |
| Manufactured Housing Buyer Protection Act. | 6 |
| Section 5. Definitions. As used in this Act:
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| "Consumer" means an individual who purchases or leases for | 8 |
| a period of
at least one year a new manufactured housing unit | 9 |
| from the
seller for primarily personal, household, or family | 10 |
| purposes.
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| "Express warranty" has the meaning given to that term in | 12 |
| the Uniform Commercial Code.
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| "Manufactured home" means a manufactured home as defined in | 14 |
| 77 Ill. Adm. Code 880.10. The term "manufactured home" shall | 15 |
| not include a modular dwelling, which is defined as a building | 16 |
| assembly, or system of building sub-assemblies, designed for | 17 |
| habitation as a dwelling for one or more persons, including the | 18 |
| necessary electrical, plumbing, heating, ventilating, and | 19 |
| other service systems that is of closed or open construction | 20 |
| and is made or assembled by a manufacturer, on or off the | 21 |
| building site, for installation, or assembly and installation, | 22 |
| on the building site with a permanent foundation. | 23 |
| "Nonconformity" refers to a manufactured housing unit's |
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| failure to conform
to all express warranties applicable to that | 2 |
| manufactured housing unit, which failure
substantially impairs | 3 |
| the use, market value, or safety of that manufactured housing | 4 |
| unit.
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| "Seller" means the manufacturer of manufactured housing, | 6 |
| that manufacturer's
agent or distributor, or that | 7 |
| manufacturer's authorized dealer.
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| "Statutory warranty period" means the period of one year | 9 |
| after the date of the delivery of a manufactured housing
unit | 10 |
| to the consumer who purchased or leased it.
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| "Lease cost" includes deposits, fees, taxes, down | 12 |
| payments, periodic
payments, and any other amount paid to a | 13 |
| seller by a consumer in connection
with the lease of a | 14 |
| manufactured housing unit. | 15 |
| Section 10. Failure of manufactured housing to conform; | 16 |
| remedies; presumptions.
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| (a) If, after a reasonable number of attempts, the seller | 18 |
| is unable to conform
the manufactured housing unit to any of | 19 |
| its applicable express warranties, then the manufacturer
must | 20 |
| either provide the consumer with a new manufactured housing | 21 |
| unit of like model line, if
available, or otherwise a | 22 |
| comparable manufactured housing unit as a replacement, or | 23 |
| accept
the return of the manufactured housing unit from the | 24 |
| consumer and refund to the consumer the full
purchase price or | 25 |
| lease cost of the new manufactured housing unit, including all |
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| collateral
charges, less a reasonable allowance for consumer | 2 |
| use of the manufactured housing unit. For
purposes of this | 3 |
| Section, "collateral charges" does not include taxes paid by
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| the purchaser on the initial purchase of the new manufactured | 5 |
| housing unit. The retailer who
initially sold the manufactured | 6 |
| housing unit may file a claim for credit for taxes paid | 7 |
| pursuant
to the terms of Sections 6, 6a, 6b, and 6c of the | 8 |
| Retailers' Occupation Tax
Act. Should the manufactured housing | 9 |
| unit be converted, modified, or altered in a way other than
the | 10 |
| manufacturer's original design, the party that performed the | 11 |
| conversion or
modification shall be liable under the provisions | 12 |
| of this Act, provided the
part or parts causing the | 13 |
| manufactured housing unit not to perform according to its | 14 |
| warranty were
altered or modified.
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| (b) A presumption that a reasonable number of attempts have | 16 |
| been undertaken
to conform a new manufactured housing unit to | 17 |
| its express warranties shall arise where, within
the statutory | 18 |
| warranty period,
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| (1) the same nonconformity has been subject to repair | 20 |
| by the seller, its
agents or authorized dealers during the | 21 |
| statutory warranty period,
4 or more times, and such | 22 |
| nonconformity continues to exist; or
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| (2) the manufactured housing unit has been out of | 24 |
| service by reason of repair of
nonconformities for a total | 25 |
| of 30 or more business days during the
statutory warranty | 26 |
| period.
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| (c) A reasonable allowance for consumer use of a | 2 |
| manufactured housing unit is that amount
directly attributable | 3 |
| to the wear and tear incurred by the new manufactured housing | 4 |
| unit as a
result of its having been used prior to the first | 5 |
| report of a nonconformity
to the seller and during any | 6 |
| subsequent period in which it is not out of
service by reason | 7 |
| of repair.
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| (d) The fact that a new manufactured housing unit's failure | 9 |
| to conform to an express warranty
is the result of abuse, | 10 |
| neglect, or unauthorized modifications or alterations
is an | 11 |
| affirmative defense to claims brought under this Act.
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| (e) The statutory warranty period of a new manufactured | 13 |
| housing unit shall be suspended for
any period of time during | 14 |
| which repair services are not available to the
consumer because | 15 |
| of a war, invasion or strike, or a fire, flood, or other
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| natural disaster.
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| (f) Refunds made pursuant to this Act shall be made to the | 18 |
| consumer, and
lienholder if any exists, as their respective | 19 |
| interests appear.
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| (g) For the purposes of this Act, a manufacturer sells a | 21 |
| new manufactured housing unit to a
consumer when he provides | 22 |
| that consumer with a replacement manufactured housing unit | 23 |
| pursuant
to subsection (a).
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| (h) In no event shall the presumption herein provided apply | 25 |
| against a
manufacturer, his agent, distributor or dealer unless | 26 |
| the manufacturer has
received prior direct written |
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| notification from or on behalf of the consumer,
and has an | 2 |
| opportunity to correct the alleged defect. | 3 |
| Section 15. Informal settlement procedure. | 4 |
| (a) The provisions of subsection (a) of Section 10 shall | 5 |
| not
apply, unless the consumer has first resorted to an | 6 |
| informal settlement
procedure applicable to disputes to which | 7 |
| that subsection would apply where:
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| (1) the manufacturer of the new manufactured housing | 9 |
| unit has established such a procedure;
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| (2) the procedure conforms:
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| (A) substantially with the provisions of Title 16, | 12 |
| Code of Federal
Regulation, Part 703, as from time to | 13 |
| time amended; and
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| (B) to the requirements of subsection (c); and
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| (3) The consumer has received from the seller adequate | 16 |
| written notice of
the existence of the procedure. Adequate | 17 |
| written notice includes but is not limited to the | 18 |
| incorporation
of the informal dispute settlement procedure | 19 |
| into the terms of the written
warranty to which the | 20 |
| manufactured housing unit does not conform.
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| (b) If the consumer is dissatisfied with the decision | 22 |
| reached in an informal
dispute settlement procedure or the | 23 |
| results of such a decision, he may bring
a civil action to | 24 |
| enforce his rights under subsection (a) of Section 3.
The | 25 |
| decision reached in the informal dispute settlement procedure |
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| is admissible
in such a civil action. The period of limitations | 2 |
| for a civil action to
enforce a consumer's rights or remedies | 3 |
| under subsection (a) of Section
3 shall be extended for a | 4 |
| period equal to the number of days the subject
matter of the | 5 |
| civil action was pending in the informal dispute settlement | 6 |
| procedure.
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| (c) A disclosure of the decision in an informal dispute | 8 |
| settlement procedure
shall include notice to the consumer of | 9 |
| the provisions of subsection (b). | 10 |
| Section 20. Election to proceed and settle. Persons | 11 |
| electing to proceed and settle under this Act are barred from a | 12 |
| separate cause of action under the Uniform Commercial
Code.
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| Section 25. Commencement of action. Any action brought | 14 |
| under this Act must be commenced within
18 months following the | 15 |
| date of original delivery of the manufactured housing unit
to | 16 |
| the consumer. | 17 |
| Section 30. Written statement. The seller who sells a new | 18 |
| manufactured housing unit to a consumer, must, upon
delivery of | 19 |
| that manufactured housing unit to the consumer, provide the | 20 |
| consumer with a
written statement clearly and conspicuously | 21 |
| setting forth in full detail
the consumer's rights under | 22 |
| subsection (a) of Section 10, and the
presumptions created by | 23 |
| subsection (b) of that Section. |
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| Section 35. Application of Act. This Act shall apply to | 2 |
| manufactured housing sold after the effective date of this Act.
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