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90_SB1039sam001 LRB9002918DJcdam 1 AMENDMENT TO SENATE BILL 1039 2 AMENDMENT NO. . Amend Senate Bill 1039 by replacing 3 everything after the enacting clause with the following: 4 "Section 1. Short title. This Act may be cited as the 5 Automotive Repair Act. 6 Section 5. Legislative finding. The automotive repair 7 industry supports good communication between motor vehicle 8 repair facilities and their customers. The General Assembly 9 recognizes that improved communications and accurate 10 representations between automotive repair facilities and 11 their customers will increase consumer confidence, reduce the 12 likelihood of disputes arising, and promote fair and 13 nondeceptive practices, thereby enhancing the safety and 14 reliability of motor vehicles serviced by motor vehicle 15 repair facilities in the State of Illinois. 16 Section 10. Definitions. In this Act: 17 "Automotive repair" includes, but is not limited to: 18 (1) All repairs to motor vehicles that are commonly 19 performed in a motor vehicle repair facility by a motor 20 vehicle technician, including the diagnosis, 21 installation, exchange, or repair of mechanical or -2- LRB9002918DJcdam 1 electrical parts or units for any vehicle, the 2 performance of any electrical or mechanical adjustment to 3 any vehicle, or the performance of any service work 4 required for routine maintenance or repair of any 5 vehicle. The term does not include commercial fleet 6 repair or maintenance transactions involving 2 or more 7 vehicles or ongoing service or maintenance contracts 8 involving vehicles used primarily for business purposes. 9 (2) All repair work in motor vehicle repair 10 facilities that perform one or more specialties within 11 the automotive repair service industry, including, but 12 not limited to, refinishing, brake, electrical, exhaust 13 repair or installation, front-end, radiators, tires, 14 transmission, tune-up, and windshield. However, 15 transactions involving the retail purchase of merchandise 16 when a facility installs the merchandise as part of the 17 transaction at the discretion of the customer for a firm 18 price are not included. These transactions shall include 19 but not be limited to tires, batteries, oil, and lube 20 jobs. 21 "Automotive repair facility" or "motor vehicle repair 22 facility" means any person, firm, association, or corporation 23 that for compensation engages in the business of automotive 24 repair or diagnosis, or both, of malfunctions of motor 25 vehicles. 26 A "used" part consists of a used assembly removed from a 27 vehicle and installed on a vehicle undergoing repair without 28 the benefit of being rebuilt or remanufactured. 29 Section 15. Disclosures to consumers; estimates. 30 (a) Disclosures required. No work for compensation that 31 exceeds $100 shall be commenced without specific 32 authorization from the consumer after the disclosures set 33 forth in this Section. -3- LRB9002918DJcdam 1 (b) Estimated costs. Every motor vehicle repair 2 facility shall either (i) give to each consumer a written 3 estimated price for labor and parts for a specific repair and 4 shall not charge for work done or parts supplied in an amount 5 that exceeds the estimate by more than 10% without oral or 6 written consent of the consumer or (ii) give to each consumer 7 a written price limit for each specific repair and shall not 8 exceed that limit without oral or written consent of the 9 consumer. Either option shall include an estimate of the 10 time necessary to complete the repair, if in excess of one 11 working day. The estimate shall include the total costs to 12 repair the vehicle. 13 Estimates shall include all charges to be paid by the 14 consumer to complete the repair, including any charges for 15 estimates and diagnostics. 16 (c) Description of parts. Motor vehicle repair 17 facilities shall describe in the estimate the major parts 18 needed to effectuate the repair and whether parts are new or 19 used. 20 (d) Calculation of labor costs. Estimates shall 21 indicate that the motor vehicle repair facility may use a 22 combination of industry standard flat rate (time) manuals, 23 actual time, or condition of the vehicle to determine labor 24 costs. This disclosure mandate may also be fulfilled by 25 means of a sign that provides the same information to the 26 consumer. Such a sign shall be posted at a location that can 27 be easily viewed by the consumer. 28 (e) Required or suggested repairs. Estimates shall 29 indicate whether the estimated repairs are required or 30 suggested and the reason or reasons for the requirement or 31 suggestion. 32 (f) Disassembly and reassembly charges. If it is 33 necessary to disassemble, or partially disassemble, a vehicle 34 or vehicle component in order to provide the consumer with a -4- LRB9002918DJcdam 1 written estimate for required repair or maintenance, the 2 estimate shall show the cost of any disassembly or 3 reassembly, or both, if the consumer elects not to proceed 4 with the repair or maintenance of the vehicle. 5 (g) Date. The estimate shall include the date the 6 estimate was prepared or the date the vehicle was presented 7 to the motor vehicle repair facility for repair or servicing, 8 or both, the odometer reading on the vehicle at the time it 9 was left with the motor vehicle repair facility, and a 10 promised date of delivery. 11 Section 20. Notice of consumer's rights; estimate. 12 Every motor vehicle repair facility shall disclose to every 13 prospective consumer an estimated price quotation or the 14 option to waive the price quotation by completing the 15 following statement with the consumer's signature: 16 "You are entitled to a price estimate for the repairs you 17 have authorized. The repair price may be less than the 18 estimate but shall not exceed (1) any price limited estimate 19 or (2) any parts and labor estimate by more than 10%. 20 Additional repairs may not be performed without your consent. 21 You may waive your right to a written estimate and require 22 that you be notified if the price exceeds an amount you have 23 specified. 24 You may waive your right to an estimate, which gives the 25 motor vehicle repair facility the right to set the price 26 without your permission. Your signature will indicate your 27 selection. 28 (a) I request an estimate in writing before you begin 29 repairs. 30 Signature ................................. 31 (b) Please proceed with repairs but call me for approval 32 before continuing if the price exceeds $ ............. 33 Signature .......................................... -5- LRB9002918DJcdam 1 (c) I do not want an estimate and you may set the price 2 of repairs. 3 Signature ................................... 4 Date .......... Time.......... 5 This estimated price for authorized repairs will be 6 honored if the motor vehicle is delivered to the facility 7 within the time period agreed to by the consumer and the 8 motor vehicle repair facility." 9 However, transactions involving the retail purchase of 10 merchandise when a facility installs the merchandise as part 11 of the transaction at the discretion of the customer for a 12 firm price are not included. These transactions shall 13 include but not be limited to tires, batteries, oil, and lube 14 jobs. 15 Section 25. Estimated price insufficient. If it is 16 determined that the estimated price is insufficient because 17 of unforeseen circumstances, the consumer's consent must be 18 obtained before the work estimated is done or parts estimated 19 are supplied. If the consumer's consent is oral, the motor 20 vehicle repair facility shall make a notation on the work 21 order or estimate and on the invoice of the date, time, name 22 of person authorizing the additional repairs, and telephone 23 number called, if any, together with a specification of the 24 additional parts and labor and the total additional cost. 25 Section 30. Consumer's authorization of repairs or other 26 action. After receiving the estimate, the owner or the 27 owner's agent may (i) authorize the repairs at the estimate 28 of cost and time in writing, (ii) request the return of the 29 motor vehicle in a disassembled state, or (iii) request that 30 the vehicle be assembled in reasonably the same condition as 31 when released to the motor vehicle repair facility, in which 32 case the motor vehicle repair facility shall make the motor -6- LRB9002918DJcdam 1 vehicle available for possession within 3 working days after 2 the time of request, unless parts are not available, making 3 additional time necessary. The motor vehicle repair facility 4 may receive payment for only those items on the schedule of 5 charges to which the facility is entitled. 6 Section 35. Inability to deliver motor vehicle to 7 facility during business hours. When the consumer is unable 8 to deliver the motor vehicle to the motor vehicle repair 9 facility during business hours and the consumer has requested 10 the motor vehicle repair facility to take possession of the 11 motor vehicle for the purpose of repairing or estimating the 12 cost of repairing the motor vehicle, the motor vehicle repair 13 facility may not undertake the diagnosing or repairing of any 14 malfunction of the motor vehicle for compensation unless the 15 motor vehicle repair facility has complied with all of the 16 following conditions: 17 (1) The motor vehicle repair facility has prepared 18 a written estimate of the price for labor and parts 19 necessary to repair the motor vehicle. 20 (2) By telephone or otherwise, the consumer has 21 been given all of the material information on the written 22 estimate, and the consumer has approved the written 23 estimate. 24 (3) The consumer has given his or her oral or 25 written authorization to the motor vehicle repair 26 facility to make the repairs pursuant to the written 27 estimate. 28 If the consumer's authorization is oral, the motor 29 vehicle repair facility shall make, on both the written 30 estimate and the invoice, a notation of the name of the 31 person authorizing the repairs, the date, the time, and the 32 telephone number called, if any. Any charge for parts or 33 labor in excess of the original estimate must be separately -7- LRB9002918DJcdam 1 authorized by the consumer as provided in subsection (b) of 2 Section 15 and in Section 25. 3 Section 40. Motor vehicle repair facility unable to 4 complete repair in time. If the motor vehicle repair facility 5 is unable to complete the repairs in the time estimated, the 6 facility shall notify the owner or the owner's agent of this 7 fact. After receiving that notification the owner or the 8 owner's agent may request return of the motor vehicle in 9 either an assembled or disassembled state, in which case the 10 motor vehicle repair facility shall make the motor vehicle 11 available for possession within 3 working days from the date 12 of the request. The motor vehicle repair facility may receive 13 payment for the work actually done and for those items on the 14 schedule of charges to which the facility is entitled. 15 Section 45. Consumer's waiver of estimate. A consumer 16 may waive the right to receive a written estimate if the 17 waiver is voluntary and made without coercion by the motor 18 vehicle repair facility. A motor vehicle repair facility or 19 anyone in its employ shall not make use of the waiver in an 20 attempt to evade this Act. Nothing in this Section shall be 21 construed as requiring a motor vehicle repair facility to 22 give a written estimated price if the motor vehicle repair 23 facility does not agree to perform the requested repair. 24 Section 50. Disclosures to consumers; invoices. 25 (a) Disclosures required. Whether or not a written 26 estimate is required, parts and labor provided by a motor 27 vehicle repair facility shall be clearly and accurately 28 recorded in writing on an invoice and shall include all of 29 the items set forth in this Section. 30 (b) Itemization of cost of repair performed. The 31 invoice shall show the motor vehicle repair facility's -8- LRB9002918DJcdam 1 business name and address, the date of the invoice, the 2 odometer reading at the time the invoice was prepared, the 3 name of the consumer, the description of the vehicle, and the 4 terms and time limit of any guarantee for the repair work 5 performed. In addition, the invoice shall describe all 6 repair work done by a motor vehicle repair facility, 7 including all warranty work, and shall separately identify 8 (i) each major part supplied in a manner so that the consumer 9 can understand what was purchased and (ii) the total price 10 charged for all parts and labor. 11 Service work and parts shall be listed separately on the 12 invoice, which shall also state separately the subtotal 13 prices for service work and for parts, not including sales 14 tax, and shall state separately the sales tax, if any, 15 applicable to each. 16 The invoice shall itemize any additional charges and 17 include those charges in the total presented to the consumer. 18 (c) Description of parts installed. The invoice shall 19 include a description of the major parts installed. 20 (d) Copies of invoices. A legible copy of the invoice 21 shall be given to the consumer and a legible copy shall be 22 retained by the motor vehicle repair facility for a period of 23 2 years from the date of repair as a part of the motor 24 vehicle repair facility's records. Records may be stored at 25 a separate location. 26 Section 55. Consumer disclosures; guarantees; 27 warranties. 28 (a) If a motor vehicle repair facility provides a 29 warranty on repair parts and labor, the facility shall put 30 the warranty in writing and give a legible copy to the 31 consumer. The consumer's copy of the warranty must contain 32 the following: 33 (1) The nature and extent of the warranty, -9- LRB9002918DJcdam 1 including a description of parts or service included in 2 or excluded from the warranty. 3 (2) The duration of the warranty and the 4 requirements to be performed by the warrantee before the 5 warrantor will fulfill the warranty. 6 (3) All conditions and limitations of the warranty 7 and the manner in which the warrantor will fulfill the 8 warranty, such as by repair, replacement, or refund. 9 (4) Any options of the warrantor or warrantee. 10 (5) The warrantor's identity and address. 11 (b) When repair or diagnostic work is performed pursuant 12 to a warranty, a motor vehicle repair facility shall give an 13 estimate of the time to complete the repairs. 14 Section 60. Consumer disclosures; required signs. Every 15 motor vehicle repair facility shall post in a prominent place 16 on the business premises one or more signs, readily visible 17 to customers, in the following form: 18 YOUR CUSTOMER RIGHTS. YOU ARE ENTITLED BY LAW TO: 19 1. A WRITTEN ESTIMATE FOR REPAIRS THAT WILL COST MORE 20 THAN $100 UNLESS WAIVED OR ABSENT FACE-TO-FACE CONTACT (SEE 21 ITEM 3 BELOW). 22 2. AUTHORIZE ORALLY OR IN WRITING ANY REPAIRS THAT 23 EXCEED THE ESTIMATED TOTAL PRE-SALES-TAX COST BY MORE THAN 24 10% OR THAT EXCEED THE LIMITED PRICE ESTIMATE. 25 3. AUTHORIZE ANY REPAIRS ORALLY OR IN WRITING IF YOUR 26 VEHICLE IS LEFT WITH THE MOTOR VEHICLE REPAIR FACILITY 27 WITHOUT FACE-TO-FACE CONTACT BETWEEN YOU AND THE MOTOR 28 VEHICLE REPAIR FACILITY PERSONNEL. 29 IF YOU HAVE AUTHORIZED A REPAIR IN ACCORDANCE WITH THE 30 ABOVE INFORMATION, YOU ARE REQUIRED TO PAY FOR THE COSTS OF 31 THE REPAIR PRIOR TO TAKING THE VEHICLE FROM THE PREMISES. 32 The first line of each sign shall be in letters not less 33 than 1.5 inches in height, and the remaining lines shall be -10- LRB9002918DJcdam 1 in letters not less than 0.5 inch in height. However, 2 transactions involving the retail purchase of merchandise 3 when a facility installs the merchandise as part of the 4 transaction at the discretion of the customer for a firm 5 price are not included. These transactions shall include but 6 not be limited to tires, batteries, oil, and lube jobs. 7 Section 65. Recordkeeping. Every motor vehicle repair 8 facility shall maintain copies of signed estimates and all 9 work orders, invoices, parts purchase orders, appraisals, and 10 schedules of charges prepared by that repair facility. The 11 copies shall be kept for 2 years and shall be available for 12 inspection by the Attorney General. 13 Section 70. Removal of vehicle from facility. Upon 14 reasonable notice and during the motor vehicle repair 15 facility's business hours, a consumer may remove a vehicle 16 from a motor vehicle repair facility upon paying for the 17 following: 18 (1) Labor actually performed. 19 (2) Parts actually installed. 20 (3) Parts ordered specifically for the consumer's 21 car if the order is not cancelable or the parts are not 22 returnable for cash or credit. 23 (4) Storage charges imposed in accordance with the 24 schedule of charges if disclosed to consumers prior to 25 repairs. 26 Section 75. Lien barred. A motor vehicle repair 27 facility that fails to comply with Section 15, 20, 25, 30, 28 35, 40, 45, 50, 55, or 60 is barred from asserting a 29 possessory or chattel lien for the amount of the unauthorized 30 parts or labor upon the motor vehicle or component. -11- LRB9002918DJcdam 1 Section 80. Unlawful acts or practices. Each of the 2 following acts or practices is unlawful when committed by a 3 motor vehicle repair facility: 4 (1) Advertising in a false, deceptive, or 5 misleading manner. 6 (2) Charging a consumer for parts not delivered or 7 installed or a labor operation or repair procedure that 8 has not actually been performed. 9 (3) Unauthorized operation of a consumer's vehicle 10 for purposes not related to repair or diagnosis. 11 (4) Failing or refusing to provide a consumer, upon 12 request, a copy, at no charge, of any document signed by 13 the consumer. 14 (5) Retaining duplicative payment from both the 15 consumer and the warranty or extended service contract 16 provider for the same covered component, part, or labor. 17 (6) Charging a consumer for unnecessary repairs. 18 For purposes of this paragraph, "unnecessary repairs" 19 means those repairs for which there is no reasonable 20 basis for performing the service. A reasonable basis 21 includes: (i) that the repair service is consistent with 22 specifications established by law or the manufacturer of 23 the motor vehicle, component, or part; (ii) that the 24 repair is in accordance with usual and customary 25 practices; (iii) that the repair was performed at the 26 specific request of the consumer after the technician 27 disclosed to the consumer the reasons for recommending 28 the repair when the recommendation is not in accordance 29 with manufacturer specifications or accepted trade 30 practices; or (iv) that the repair is at the consumer's 31 request. 32 (7) Misrepresenting the terms of a warranty, 33 guarantee, or service agreement. 34 (8) Altering a motor vehicle to create a condition -12- LRB9002918DJcdam 1 requiring repair. 2 (9) Failing to honor a warranty, guarantee, or 3 service agreement to which the motor vehicle repair 4 facility is a party. 5 (10) Charging or receiving payment for repairs not 6 authorized by the consumer under Section 15, 20, 25, 30, 7 35, 40, 45, 50, 55, or 60. 8 Section 85. Violations. 9 (a) A violation of any of the provisions of this Act is 10 an unlawful practice under the Consumer Fraud and Deceptive 11 Business Practices Act. Under the Consumer Fraud and 12 Deceptive Business Practices Act whenever the Attorney 13 General or the State's Attorney has reason to believe that 14 any person is using, has used, or is about to use any method, 15 act or practice declared by the Consumer Fraud and Deceptive 16 Business Practices Act to be unlawful, and that the 17 proceedings would be in the public interest, he or she may 18 bring an action in the name of the People of the State 19 against that person to restrain by preliminary or permanent 20 injunction the use of the method, act, or practice. All 21 remedies, penalties, and authority granted to the Attorney 22 General and the State's Attorney by the Consumer Fraud and 23 Deceptive Business Practices Act shall be available for the 24 enforcement of this Act. 25 (b) Any consumer injured by a violation of this Act may 26 bring an action for the recovery of damages plus costs and 27 reasonable attorney's fees.".