Full Text of SB1394 97th General Assembly
SB1394enr 97TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning civil law.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Self-Service Storage Facility Act is amended | 5 | | by changing Sections 2 and 4 and by adding Sections 7.5 and | 6 | | 7.10 as follows:
| 7 | | (770 ILCS 95/2) (from Ch. 114, par. 802)
| 8 | | Sec. 2. Definitions. As used in this Act, unless the | 9 | | context clearly
requires otherwise:
| 10 | | (A) "Self-service storage facility" means any real | 11 | | property designed and
used for the purpose of renting or | 12 | | leasing individual storage space to occupants
who are to have | 13 | | access to such for the purpose of storing and removing personal
| 14 | | property. A self-service storage facility is not a warehouse | 15 | | for purposes
of Article 7 of the Uniform Commercial Code.
If an | 16 | | owner issues any warehouse receipt, bill of lading, or other | 17 | | document
of title for the personal property stored,
the | 18 | | provisions of this Act do not apply.
| 19 | | (B) "Owner" means the owner, operator, lessor, or sublessor | 20 | | of a self-service
storage facility, his agent, or any other | 21 | | person authorized by him to manage
the facility, or to receive | 22 | | rent from an occupant under a rental agreement.
| 23 | | (C) "Occupant" means a person, his sublessee, successor, or |
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| 1 | | assign, entitled
to the use of the storage space at a | 2 | | self-service storage facility under
a rental agreement, to the | 3 | | exclusion of others.
| 4 | | (D) "Rental agreement" means any agreement or lease, | 5 | | written or oral,
that establishes or modifies the terms, | 6 | | conditions, rules or any other provisions
concerning the use | 7 | | and occupancy of a self-service storage facility.
| 8 | | (E) "Personal property" means movable property not affixed | 9 | | to land, and
includes, but is not limited to goods, | 10 | | merchandise, motor vehicles, watercraft, and household items.
| 11 | | (F) "Last known address" means that address provided by the | 12 | | occupant in
the latest rental agreement, or the address | 13 | | provided by the occupant in
a subsequent written notice of a | 14 | | change of address.
| 15 | | (G) "Late fee" means a charge assessed for an occupant's | 16 | | failure to pay rent when due. "Late fee" does not include | 17 | | interest on a debt, reasonable expenses incurred in the | 18 | | collection of unpaid rent, or costs associated with the | 19 | | enforcement of any other remedy provided by statute or | 20 | | contract. | 21 | | (Source: P.A. 83-800.)
| 22 | | (770 ILCS 95/4) (from Ch. 114, par. 804)
| 23 | | Sec. 4. Enforcement of lien. An owner's lien as provided | 24 | | for in Section
3 of this Act for a claim which has become due | 25 | | may be satisfied as follows:
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| 1 | | (A) The occupant shall be notified;
| 2 | | (B) The notice shall be delivered : | 3 | | (1) in person ; or | 4 | | (2) sent by certified mail
or by first-class mail with | 5 | | a certificate of mailing to the last known address of the | 6 | | occupant;
| 7 | | (C) The notice shall include:
| 8 | | (1) An itemized statement of the owner's claim showing | 9 | | the sum due at
the time of the notice and the date when the | 10 | | sum became due;
| 11 | | (2) The name of the facility, address, telephone | 12 | | number, date, time, location, and manner of the lien sale, | 13 | | and the occupant's name and unit number; A brief and | 14 | | general description of the personal property subject to
the | 15 | | lien. The description shall be reasonably adequate to | 16 | | permit the person
notified to identify it, except that any | 17 | | container including, but not limited
to, a trunk, valise, | 18 | | or box that is locked, fastened, sealed, or tied in
a | 19 | | manner which deters immediate access to its contents may be | 20 | | described
as such without describing its contents;
| 21 | | (3) A notice of denial of access to the personal property, | 22 | | if such denial
is permitted under the terms of the rental | 23 | | agreement, which provides the
name, street address, and | 24 | | telephone number of the owner, or his designated
agent, whom | 25 | | the occupant may contact to respond to this notice ; | 26 | | (3.5) Except as otherwise provided by a rental agreement |
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| 1 | | and until a lien sale, the exclusive care, custody, and control | 2 | | of all personal property stored in the leased self-service | 3 | | storage space remains vested in the occupant. No bailment or | 4 | | higher level of liability is created if the owner over-locks | 5 | | the occupant's lock, thereby denying the occupant access to the | 6 | | storage space. Rent and other charges related to the lien | 7 | | continue to accrue during the period of time when access is | 8 | | denied because of non-payment ;
| 9 | | (4) A demand for payment within a specified time not less | 10 | | than 14 days
after delivery of the notice;
| 11 | | (5) A conspicuous statement that unless the claim is paid | 12 | | within the time
stated in the notice, the personal property | 13 | | will be advertised for sale
or other disposition, and will be | 14 | | sold or otherwise disposed of at a specified
time and place.
| 15 | | (D) Any notice made pursuant to this Section shall be | 16 | | presumed delivered
when it is deposited with the United States | 17 | | Postal Service, and properly
addressed with postage prepaid;
| 18 | | (E) After the expiration of the time given in the notice, | 19 | | an advertisement
of the sale or other disposition shall be | 20 | | published once a week for two
consecutive weeks in a newspaper | 21 | | of general circulation where the self-service
storage facility | 22 | | is located. The advertisement shall include:
| 23 | | (1) The name of the facility, address, telephone number, | 24 | | date, time, location, and manner of lien sale and the | 25 | | occupant's name and unit number. A brief and general | 26 | | description of the personal property reasonably
adequate to |
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| 1 | | permit its identification as provided for in division (C)(2)
of | 2 | | this Section;
| 3 | | (2) (Blank). The address of the self-service storage | 4 | | facility and the number, if
any, of the space where the | 5 | | personal property is located and the name of the occupant;
| 6 | | (3) The time, place, and manner of the sale or other | 7 | | disposition. The
sale or other disposition shall take place not | 8 | | sooner than 15 days after
the first publication. If there is no | 9 | | newspaper of general circulation
where the self-service | 10 | | storage facility is located, the advertisement shall
be posted | 11 | | at least 10 days before the date of the sale or other | 12 | | disposition
in not less than 6 conspicuous places in the | 13 | | neighborhood where the self-service
storage facility is | 14 | | located.
| 15 | | (F) Any sale or other disposition of the personal property | 16 | | shall conform
to the terms of the notification as provided for | 17 | | in this Section;
| 18 | | (G) Any sale or other disposition of the personal property | 19 | | shall be held
at the self-service storage facility, or at the | 20 | | nearest suitable place to
where the personal property is held | 21 | | or stored;
| 22 | | (G-5) If the property upon which the lien is claimed is a | 23 | | motor vehicle or watercraft and rent or other charges related | 24 | | to the property remain unpaid or unsatisfied for 60 days, the | 25 | | owner may have the property towed from the self-service storage | 26 | | facility. If a motor vehicle or watercraft is towed, the owner |
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| 1 | | shall not be liable for any damage to the motor vehicle or | 2 | | watercraft, once the tower takes possession of the property. | 3 | | After the motor vehicle or watercraft is towed, the owner may | 4 | | pursue other collection options against the delinquent | 5 | | occupant for any outstanding debt. If the owner chooses to sell | 6 | | a motor vehicle, aircraft, mobile home, moped, motorcycle, | 7 | | snowmobile, trailer, or watercraft, the owner shall contact the | 8 | | Secretary of State and any other governmental agency as | 9 | | reasonably necessary to determine the name and address of the | 10 | | title holder or lienholder of the item, and the owner shall | 11 | | notify every identified title holder or lienholder of the time | 12 | | and place of the proposed sale. The owner is required to notify | 13 | | the holder of a security interest only if the security interest | 14 | | is filed under the name of the person signing the rental | 15 | | agreement or an occupant. An owner who fails to make the lien | 16 | | searches required by this Section is liable only to valid | 17 | | lienholders injured by that failure as provided in Section 3; | 18 | | (H) Before any sale or other disposition of personal | 19 | | property pursuant
to this Section, the occupant may pay the | 20 | | amount necessary to satisfy the
lien, and the reasonable | 21 | | expenses incurred under this Section, and thereby
redeem the | 22 | | personal property. Upon receipt of such payment, the owner | 23 | | shall
return the personal property, and thereafter the owner | 24 | | shall have no liability
to any person with respect to such | 25 | | personal property;
| 26 | | (I) A purchaser in good faith of the personal property sold |
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| 1 | | to satisfy
a lien, as provided for in Section 3 of this Act, | 2 | | takes the property free
of any rights of persons against whom | 3 | | the lien was valid, despite noncompliance
by the owner with the | 4 | | requirements of this Section;
| 5 | | (J) In the event of a sale under this Section, the owner | 6 | | may satisfy his
lien from the proceeds of the sale, but shall | 7 | | hold the balance, if any,
for delivery on demand to the | 8 | | occupant. If the occupant does not claim
the balance of the | 9 | | proceeds within one year two years of the date of sale, it | 10 | | shall
become the property of the owner without further recourse | 11 | | by the occupant.
| 12 | | (K) The lien on any personal property created by this Act | 13 | | shall be terminated
as to any such personal property which is | 14 | | sold or otherwise disposed of
pursuant to this Act and any such | 15 | | personal property which is removed from
the self-service | 16 | | storage facility. | 17 | | (L) If 3 or more bidders who are unrelated to the owner are | 18 | | in attendance at a sale held under this Section, the sale and | 19 | | its proceeds are deemed to be commercially reasonable.
| 20 | | (Source: P.A. 83-800.)
| 21 | | (770 ILCS 95/7.5 new) | 22 | | Sec. 7.5. Limitation of value. If the rental agreement | 23 | | contains a limit on the value of property that may be stored in | 24 | | the occupant's space, this limit is deemed to be the maximum | 25 | | value of the stored property, provided that this limit |
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| 1 | | provision must be printed in bold type or underlined in the | 2 | | rental agreement in order to be enforceable. In addition to the | 3 | | remedies otherwise provided by law, only the occupant listed on | 4 | | the last known rental agreement injured by a violation of this | 5 | | Act may bring a civil action to recover damages. | 6 | | (770 ILCS 95/7.10 new) | 7 | | Sec. 7.10. Late fees. | 8 | | (a) A reasonable late fee may be imposed and collected by | 9 | | an owner for each service period that an occupant does not pay | 10 | | rent when due under a rental agreement, provided that the due | 11 | | date for the rental payment is not earlier than the day before | 12 | | the first day of the service period to which the rental payment | 13 | | applies. No late payment fee shall be assessed unless the | 14 | | rental fee remains unpaid for at least 5 days after the date | 15 | | specified in the rental agreement for payment of the rental | 16 | | fee. | 17 | | (b) No late fee may be collected pursuant to this Section | 18 | | unless the amount of that fee and the conditions for imposing | 19 | | that fee are stated in the rental agreement or in an addendum | 20 | | to that agreement. | 21 | | (c) For purposes of this Section, a late fee of $20 or 20% | 22 | | of the rental fee for each month an occupant does not pay rent, | 23 | | whichever is greater, is deemed reasonable and does not | 24 | | constitute a penalty. | 25 | | (d) Any reasonable expense incurred as a result of rent |
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| 1 | | collection or lien enforcement by an owner may be charged to | 2 | | the occupant in addition to the late fees permitted by this | 3 | | Section. If any such expenses are charged, they shall be | 4 | | identified on an itemized list that is available to the | 5 | | occupant.
| 6 | | Section 99. Effective date. This Act takes effect upon | 7 | | becoming law.
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