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92_HB1975enr HB1975 Enrolled LRB9201948SMdv 1 AN ACT concerning taxes. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Division 1. General provisions 5 Section 1. Short title. This Act may be cited as the 6 Mobile Home Local Services Tax Enforcement Act. 7 Section 5. Definitions. As used in this Act: 8 "Mobile home" means that term as defined in the Mobile 9 Home Local Services Tax Act. 10 Section 10. Application. This Act applies to 11 delinquencies in payment of the tax imposed by the Mobile 12 Home Local Services Tax Act. 13 Division 2. Enforcement actions 14 Section 15. Lien; payments by representative or agent. 15 When a mobile home is taxed to any person as agent for 16 another, or in a representative capacity, the agent or 17 representative shall have a lien on the mobile home, or any 18 mobile home of his or her principal in the agent's 19 possession, until he or she is indemnified against the 20 payment thereof, or, if he or she has paid the tax, until he 21 or she is reimbursed for the payment. 22 Section 20. Lien for taxes. The taxes upon a mobile 23 home, together with all penalties, interests, and costs that 24 may accrue thereon, shall be a prior and first lien on the 25 mobile home, superior to all other liens and encumbrances, 26 from and including the first day of January in the year in HB1975 Enrolled -2- LRB9201948SMdv 1 which the taxes are imposed until the taxes are paid or until 2 a court order transfers ownership of the mobile home. 3 (a) Foreclosure; mobile home forfeited for 2 or more 4 years. A lien may be foreclosed, in the circuit court in the 5 name of the People of the State of Illinois, whenever the 6 taxes for 2 or more years on the same mobile home have been 7 forfeited to the State and there is not an open scavenger 8 buy. The mobile home may be sold under the order of the 9 court by the person having authority to receive County taxes, 10 with notice to interested parties and right of redemption 11 from the sale, (except that the interest or any other amount 12 to be paid upon redemption in addition to the amount for 13 which the mobile home was sold shall be as provided herein), 14 as provided in Sections 290 through 310 and 325. 15 In any action to foreclose the lien for delinquent taxes 16 brought by the People of the State of Illinois when the taxes 17 for 2 or more years on the same mobile home have been 18 forfeited to the State, service of process shall be made in 19 the manner now prescribed by law. All owners, parties 20 interested, and occupants of any mobile home against which 21 tax liens are sought to be foreclosed shall be named as 22 parties defendant, and shall be served in the manner and form 23 as provided by law for the service of defendants in 24 foreclosures of lien or encumbrances upon real estate. In 25 case there are other parties with ownership interests in the 26 mobile home, they shall be named in the notice under the 27 designation "unknown owners". 28 (b) Redemption interest. The interest to be paid upon 29 redemption from all tax foreclosure sales held under this 30 Section shall be: 31 (1) If redeemed within 2 months from the date of 32 the sale, 3% per month upon the amount for which the 33 mobile home was sold for each of the first 2 months, or 34 fraction thereof; HB1975 Enrolled -3- LRB9201948SMdv 1 (2) If redeemed between 2 and 6 months from the 2 date of the sale, 12% of the amount of sale; 3 (3) If redeemed between 6 and 12 months from the 4 date of the sale, 24% of the amount of sale; 5 (4) If redeemed between 12 and 18 months from the 6 date of the sale, 36% of the amount of sale; 7 (5) If redeemed between 18 and 24 months from the 8 date of the sale, 48% of the amount of sale; 9 (6) If redeemed after 24 months from the date of 10 sale, the 48% for the 24 months plus interest at 6% per 11 year thereafter. 12 (c) Enforcement of lien from rents and profits. A lien 13 under this Section may be enforced at any time after 6 months 14 from the day the tax becomes delinquent out of the rents and 15 profits of the mobile home accruing, or accrued and under the 16 control or jurisdiction of a court. This process may be 17 initiated by the county board of the county or by the 18 corporate authorities of any taxing body entitled to receive 19 any part of the delinquent tax, by petition in any pending 20 suit having jurisdiction of the mobile home, or in any 21 application for judgment and order of sale of mobile homes 22 for delinquent taxes in which the mobile home is included, in 23 the name of the People of the State of Illinois. 24 The process, practice, and procedure under this 25 subsection shall be the same as provided in the Civil 26 Practice Law and the Supreme Court Rules adopted in relation 27 to that Law, except that receivers may be appointed on not 28 less than 3 days' written notice to holders of certificate of 29 title or persons in possession. In all petitions the court 30 shall have power to appoint the county collector to take 31 possession of the mobile home only for the purpose of 32 collecting the rents, issues and profits therefrom, and to 33 apply them in satisfaction of the tax lien. When the taxes 34 set forth in the petition are paid in full, the receiver HB1975 Enrolled -4- LRB9201948SMdv 1 shall be discharged. If the taxes described in the petition 2 are reduced by the final judgment of a court, the county 3 collector shall immediately refund all moneys collected by 4 him or her as receiver over and above the taxes as reduced, 5 and shall deduct that amount from the moneys thereafter 6 distributed to the taxing bodies which received the tax 7 revenue. 8 In proceedings to foreclose the tax lien, or in petitions 9 to enforce the lien, the amount due on the collector's books 10 against the mobile home shall be prima facie evidence of the 11 amount of taxes against the mobile home. When any taxes are 12 collected, they shall be paid to the county collector, to be 13 distributed by him or her to the authorities entitled to 14 them. All sales made under this Section shall be conducted 15 under the order and supervision of the court by the county 16 collector. 17 An action to foreclose the lien for delinquent taxes 18 under this Act is an action in rem. 19 Section 25. Preventing waste to mobile homes; receiver. 20 During the pendency of any tax foreclosure proceeding and 21 until the time to redeem the mobile home sold expires, or 22 redemption is made, from any sale made under any judgment 23 foreclosing the lien of taxes, no waste shall be committed or 24 suffered on any of the mobile homes involved. The mobile home 25 shall be maintained in good condition and repair. When 26 violations of local building, health, or safety codes or 27 violations of mobile home park rules and regulations make the 28 mobile home dangerous or hazardous, when taxes on the mobile 29 home are delinquent for 2 years or more, or when in the 30 judgment of the court it is to the best interest of the 31 parties, the court may, upon the verified petition of any 32 party to the proceeding, or the holder of the certificate of 33 purchase, appoint a receiver for the mobile home with like HB1975 Enrolled -5- LRB9201948SMdv 1 powers and duties of receivers as in cases of foreclosure of 2 mortgages or trust deeds. The court, in its discretion, may 3 take any other action as may be necessary or desirable to 4 prevent waste and maintain the mobile home in good condition 5 and repair. 6 Section 30. No receiver for homestead dwelling. No 7 receiver shall be appointed under the provisions of Section 8 25 for mobile homes used as a family dwelling and occupied by 9 the owner as a residence at the time the unpaid taxes became 10 a lien and continuously thereafter. 11 Section 35. Purchase and sale by county; distribution of 12 proceeds. When any mobile home is delinquent, or is forfeited 13 for each of 2 or more years, and is offered for sale under 14 any of the provisions of this Act, the county board of the 15 county in which the mobile home is located, in its 16 discretion, if there are no other bids, may bid, or, in the 17 case of a forfeited mobile home, may apply to purchase it, in 18 the name of the county as trustee for all taxing districts 19 having an interest in the mobile home's taxes for the 20 nonpayment of which the mobile home is sold. The presiding 21 officer of the county board, with the advice and consent of 22 the board, may appoint on its behalf some officer or person 23 to attend such sales and bid or, in the case of a forfeited 24 mobile home, to apply to the county clerk to purchase. The 25 county shall apply on the bid or purchase the unpaid taxes 26 due upon the mobile home. No cash need be paid. The county 27 shall take all steps necessary to acquire certificate of 28 title to the mobile home and upon acquisition of the 29 certificate of title may manage and operate the mobile home. 30 When a county, or other taxing district within the county, is 31 a petitioner for a tax certificate of title, no filing fee 32 shall be required. When a county or other taxing district HB1975 Enrolled -6- LRB9201948SMdv 1 within the county is the petitioner for a tax certificate of 2 title, one petition may be filed including all mobile homes 3 that are tax delinquent within the county or taxing district, 4 and any publication made under Section 380 of this Act may 5 combine all such mobile homes within a single notice. The 6 notice shall list the street or common address, and the 7 mobile home park where the mobile home is sited, if known, of 8 the mobile homes for informational purposes. The county, as 9 tax creditor and as trustee for other tax creditors, or other 10 taxing districts within the county, shall not be required to 11 allege and prove that all taxes that become due and payable 12 after the sale to the county have been paid nor shall the 13 county be required to pay the subsequently accruing taxes at 14 any time, except when subsequent taxes are sold to another 15 buyer. The county board or its designee may prohibit the 16 county collector from including the mobile home in the tax 17 sale of one or more subsequent years. The lien of taxes that 18 become due and payable after a sale to a county shall merge 19 in the certificate of title of the county, or other taxing 20 district within the county, on the issuance of a certificate 21 of title. 22 The County may sell or assign the mobile home so 23 acquired, or the certificate of purchase to it, to any party, 24 including taxing districts. The proceeds of that sale or 25 assignment, less all costs of the county incurred in the 26 acquisition and sale or assignment of the mobile home, shall 27 be distributed to the taxing districts in proportion to their 28 respective interests therein. 29 Under Sections 55 and 60, a County may bid or purchase 30 only in the absence of other bidders. 31 Section 40. Tax abatement after acquisition by a 32 governmental unit. When any county or municipality acquires 33 a mobile home through the foreclosure of a lien, through a HB1975 Enrolled -7- LRB9201948SMdv 1 judicial order, through the foreclosure of receivership 2 certificate lien, or by acceptance of a certificate of title 3 in lieu of foreclosing any lien against the mobile home, or 4 when any county or other taxing district acquires a 5 certificate of title for a mobile home under Section 35 or 6 Sections 90 and 200, all due or unpaid mobile home taxes and 7 existing liens for unpaid mobile home taxes imposed or 8 pending under any law or ordinance of this State or any of 9 its political subdivisions shall become null and void. 10 Section 45. Notice to county officials; voiding of tax 11 bills. The county board or corporate authorities of the 12 county, or other taxing district acquiring a mobile home 13 under Section 35 shall give written notice of the acquisition 14 to the chief county assessment officer and the county 15 collector and the county clerk of the county in which the 16 mobile home is located, and request the voiding of the tax 17 liens as provided in this Section. The notice shall describe 18 the acquired mobile home by the vehicle identification number 19 of the mobile home, if there is one. 20 Upon receipt of the notice, the county collector and 21 county clerk or county assessor, as appropriate shall void 22 the current and all prior unpaid taxes on the records in 23 their respective offices by entering the following statement 24 upon their records for the mobile home: "Acquired by ... 25 (name of county or municipality acquiring the mobile home 26 under Section 35). Taxes due and unpaid on this mobile home 27 ... (give vehicle identification number, if any, and location 28 of the mobile home) ... are waived and null and void under 29 Section 45 of the Mobile Home Local Services Tax Enforcement 30 Act. The tax bills of this mobile home are hereby voided and 31 liens for the taxes are extinguished." 32 Section 50. Liability of owner; rights of tax purchaser. HB1975 Enrolled -8- LRB9201948SMdv 1 Nothing in Sections 40 and 45 shall relieve any owner liable 2 for delinquent mobile home taxes under the Mobile Home Local 3 Services Tax Act from the payment of any delinquent taxes or 4 liens which have become null and void under those Sections. 5 Sections 45 and 50 shall not adversely affect the rights 6 or interests of the holder of any bona fide certificate of 7 purchase of the mobile home for delinquent taxes. However, 8 upon acquisition of a mobile home by a governmental unit as 9 set forth in Section 40, the rights and interests of the 10 holder of any bona fide certificate of purchase of the mobile 11 home for delinquent taxes shall be limited to a sale in error 12 and a refund as provided under Section 255. 13 Section 55. Published notice of annual application for 14 judgment and sale; delinquent taxes. At any time after all 15 taxes have become delinquent in any year, the Collector shall 16 publish an advertisement, giving notice of the intended 17 application for judgment and sale of the delinquent mobile 18 homes. Except as provided below, the advertisement shall be 19 in a newspaper published in the township or road district in 20 which the mobile homes are located. If there is no newspaper 21 published in the township or road district, then the notice 22 shall be published in some newspaper in the same county as 23 the township or road district, to be selected by the county 24 collector. When the mobile home is in an incorporated town 25 which has superseded a civil township, the advertisement 26 shall be in a newspaper published in the incorporated town or 27 if there is no such newspaper, then in a newspaper published 28 in the county. 29 Section 60. Times of publication of notice. The 30 advertisement shall be published once at least 10 days before 31 the day on which judgment is to be applied for, and shall 32 contain a list of the delinquent mobile homes upon which the HB1975 Enrolled -9- LRB9201948SMdv 1 taxes or any part thereof remain due and unpaid, the names of 2 owners, and the street, common address, and mobile home park 3 where the mobile home is sited, if known, the vehicle 4 identification number, the model year of the home, the square 5 footage of the home, the total amount due, and the year or 6 years for which they are due. In counties of less than 7 3,000,000 inhabitants, advertisement shall include notice of 8 the registration requirement for persons bidding at the sale. 9 The collector shall give notice that he or she will apply 10 to the circuit court on a specified day for judgment against 11 the mobile homes for the taxes, and costs, and for an order 12 to sell the mobile homes for the satisfaction of the amount 13 due. 14 The collector shall also give notice of a date within the 15 next 5 business days after the date of application on which 16 all the mobile homes for the sale of which an order is made 17 will be exposed to public sale at a location within the 18 county designated by the county collector, for the amount of 19 taxes and cost due. The advertisement published according to 20 the provisions of this Section shall be deemed to be 21 sufficient notice of the intended application for judgment 22 and of the sale of mobile homes under the order of the court. 23 Section 65. Costs of publishing delinquent list. A county 24 shall pay for the printer for advertising delinquent lists 25 for mobile homes, $0.40 per column line, to be taxed and 26 collected as costs. 27 The printer shall receive for printing the preamble, the 28 descriptive headings, the affidavit, and any other matter 29 accompanying the delinquent list, the sum of $0.40 per line, 30 to be paid by the county. 31 No costs except printer's fee shall be charged on any 32 mobile homes forfeited to the State. HB1975 Enrolled -10- LRB9201948SMdv 1 Section 70. Sale of mobile homes previously ordered 2 sold. A mobile home ordered sold by unexecuted judgments and 3 orders of sale, previously entered, shall be included in the 4 advertisement for sale only under the previous orders, and 5 shall be sold in the order in which they appear in the 6 delinquent list contained in the advertisement. At any time 7 between annual sales the county collector also may advertise 8 for sale any mobile homes subject to sale under orders 9 previously entered and not executed for any reason. The 10 advertisement and sale shall be regulated by the provisions 11 regulating the annual advertisement and sale of delinquent 12 mobile homes, as far as applicable. 13 Section 75. Use of figures and letters in advertisement 14 and other lists. In all advertisements for the sale of mobile 15 homes for taxes, and in entries required to be made by the 16 clerk of the court or other officer, letters, figures, or 17 characters may be used to denote the year or the years for 18 which the taxes were due and the amount of taxes, interest, 19 and costs. The county collector may subsequently advertise 20 and obtain judgment on mobile homes that have been omitted, 21 or that have been erroneously advertised or described in the 22 first advertisement. 23 Division 3. Notice and publication provisions 24 Section 80. Mailed notice of application for judgment 25 and sale. Not less than 15 days before the date of 26 application for judgment and sale of delinquent mobile homes, 27 the county collector shall mail, by registered or certified 28 mail, a notice of the forthcoming application for judgment 29 and sale to the person shown by the current collector's 30 warrant book to be the party in whose name the taxes were 31 last computed. The notice shall include the intended dates HB1975 Enrolled -11- LRB9201948SMdv 1 of application for judgment and sale and commencement of the 2 sale, and a description of the mobile homes. The county 3 collector must present proof of the mailing to the court 4 along with the application for judgement. 5 In counties with less than 3,000,000 inhabitants, a copy 6 of this notice shall also be mailed by the county collector 7 by registered or certified mail to any lienholder of record 8 who annually requests a copy of the notice. The failure of 9 the county collector to mail a notice or its non-delivery to 10 the lienholder shall not affect the validity of the judgment. 11 The collector shall collect $10 from the proceeds of each 12 sale to cover the costs of registered or certified mailing 13 and the costs of advertisement and publication. If a taxpayer 14 pays the taxes on the mobile home after the notice of the 15 forthcoming application for judgment and sale is mailed but 16 before the sale is made, then the collector shall collect $10 17 from the taxpayer to cover the costs of registered or 18 certified mailing and the costs of advertisement and 19 publication. 20 Section 85. Printer's error in advertisement. In all 21 cases where there is a printer's error in the advertised list 22 which prevents judgment from being obtained against any 23 mobile home, or against all of the delinquent list, at the 24 time stated in the advertisement, the printer shall lose the 25 compensation allowed by this Act for those mobile homes 26 containing errors, or for the entire list, as the case may 27 be. 28 Section 90. Scavenger sale. At the same time the county 29 collector annually publishes the collector's annual sale 30 advertisement under Sections 55 and 60, the collector, if the 31 county board so orders by resolution, must publish an 32 advertisement giving notice of the intended application for HB1975 Enrolled -12- LRB9201948SMdv 1 judgment and sale of all mobile homes upon which all or a 2 part of the taxes for each of 2 or more years, including the 3 current tax year, are delinquent as of the date of the 4 advertisement. In no event may there be more than 2 5 consecutive years without a sale under this Section. The term 6 delinquent also includes forfeitures. The county collector 7 shall include in the advertisement and in the application for 8 judgment and sale under this Section and Section 200 the 9 total amount of all taxes upon those mobile homes which are 10 delinquent as of the date of the advertisement. In lieu of a 11 single annual advertisement and application for judgment and 12 sale under this Section and Section 200, the county collector 13 may, from time to time, beginning on the date of the 14 publication of the annual sale advertisement and before 15 August 1 of the next year, publish separate advertisements 16 and make separate applications on eligible mobile homes 17 described in one or more volumes of the delinquent list. The 18 separate advertisements and applications shall, in the 19 aggregate, include all the mobile homes which otherwise would 20 have been included in the single annual advertisement and 21 application for judgment and sale under this Section. The 22 advertisement and application for judgment and sale shall be 23 in the manner prescribed by this Act relating to the annual 24 advertisement and application for judgment and sale of 25 delinquent mobile homes. 26 Division 3.5. Judgments and Sales 27 Section 95. Time of applying for judgment. Except as 28 otherwise provided in this Section, all applications for 29 judgment and order of sale for taxes on delinquent mobile 30 homes shall be made during the month of October. 31 Within 30 days after the day specified for the 32 application for judgment the court shall hear and determine HB1975 Enrolled -13- LRB9201948SMdv 1 the matter. If judgment is rendered, the sale shall begin on 2 the date within 5 business days specified in the notice as 3 provided in Section 60. If the collector is prevented from 4 advertising and obtaining judgment during the month of 5 October, the collector may obtain judgment at any time 6 thereafter; but if the failure arises by the county 7 collector's not complying with any of the requirements of 8 this Act, he or she shall be held on his or her official bond 9 for the full amount of all taxes charged against him or her. 10 Any failure on the part of the county collector shall not be 11 allowed as a valid objection to the collection of any tax, or 12 to entry of a judgment against any delinquent mobile homes 13 included in the application of the county collector. 14 Section 100. Annual tax judgment, sale, redemption, and 15 forfeiture record. The collector shall transcribe into a 16 record prepared for that purpose, and known as the annual tax 17 judgment, sale, redemption, and forfeiture record, the list 18 of delinquent mobile homes. The record shall contain all the 19 information necessary to be recorded, at least 5 days before 20 the day on which application for judgment is to be made. 21 The record shall set forth the name of the owner and the 22 street, common address, and mobile home park where the mobile 23 home is sited, if known; a description of the mobile home, 24 including the vehicle identification number, model year, and 25 square footage; the year or years for which the tax is due; 26 the valuation on which the tax is extended; the amount of the 27 consolidated and other taxes; the costs; and the total amount 28 of charges against the mobile home. 29 The record shall also be ruled in columns to show the 30 amount paid before entry of judgment; the amount of judgment 31 and a column for remarks; the amount paid before sale and 32 after entry of judgment; the amount of the sale; amount of 33 interest or penalty; amount of cost; amount forfeited to the HB1975 Enrolled -14- LRB9201948SMdv 1 State; date of sale; name of purchaser; amount of sale and 2 penalty; taxes of succeeding years; interest and when paid, 3 interest and cost; total amount of redemption; date of 4 redemption; when certificate of title executed; by whom 5 redeemed; and a column for remarks or receipt of redemption 6 money. 7 The record shall be kept in the office of the county 8 clerk. 9 Section 105. Payment of delinquent tax before sale. Any 10 person owning or claiming mobile homes upon which application 11 for judgment is applied for may, in person or by agent, pay 12 the taxes, and costs due to the county collector at any time 13 before sale. 14 Section 110. Report of payments and corrections. On the 15 day on which application for judgment on a delinquent mobile 16 home is applied for, the collector, assisted by the county 17 clerk, shall post all payments, compare and correct the list, 18 and shall make and subscribe an affidavit, which shall be 19 substantially in the following form: 20 State of Illinois) 21 ) ss. 22 County of .......) 23 I ...., collector of the county of ...., do solemnly 24 swear (or affirm, as the case may be), that the foregoing is 25 a true and correct list of the delinquent mobile homes within 26 the county of ...., upon which I have been unable to collect 27 the taxes (and interest and printer's fees, if any), charged 28 thereon, as required by law, for the year or years therein 29 set forth; and that the taxes, now remain due and unpaid, to 30 the best of my knowledge and belief. 31 Dated .......... 32 The affidavit shall be entered at the end of the list, HB1975 Enrolled -15- LRB9201948SMdv 1 and signed by the collector. 2 Section 115. Proceedings by court. Defenses to the 3 entry of judgment against mobile homes included in the 4 delinquent list shall be entertained by the court only when 5 the defense includes a writing specifying the particular 6 grounds for the objection. 7 If any party objecting is entitled to a refund of all or 8 any part of a tax paid, the court shall enter judgment 9 accordingly, and also shall enter judgment for the taxes, 10 interest, and penalties as appear to be due. The judgment 11 shall be considered as a several judgment against each mobile 12 home, for each kind of tax included therein. The court shall 13 direct the clerk to prepare and enter an order for the sale 14 of the mobile home against which judgment is entered. 15 Section 120. Form of court order. A judgment and order 16 of sale shall be substantially in the following form: 17 Whereas, due notice has been given of the intended 18 application for a judgment against mobile homes, and no 19 sufficient defense having been made or cause shown why 20 judgment should not be entered against the mobile homes, for 21 taxes, interest, penalties, and costs due and unpaid thereon 22 for the year or years herein set forth, therefore the court 23 hereby enters judgment against the above stated mobile homes, 24 in favor of the People of the State of Illinois, for the 25 amount of taxes, interest, penalties and costs due thereon. 26 It is ordered by the court that the mobile homes be sold as 27 the law directs. 28 The order shall be signed by the judge. In all judicial 29 proceedings of any kind, for the collection of taxes, all 30 amendments may be made which, by law, could be made in any 31 personal action pending in that court. HB1975 Enrolled -16- LRB9201948SMdv 1 Section 125. Cure of error or informality in computation 2 of tax or collection of the taxes. No computation of the tax 3 on a mobile home or charge for any of the taxes shall be 4 considered illegal on account of any irregularity in the 5 computation, or on account of the computation not having been 6 made within the time required by law, or on account of the 7 mobile home having been charged without name, or in any other 8 name than that of the rightful owner. No error or informality 9 in the proceedings of any of the officers connected with the 10 computation or collection of the taxes, not affecting the 11 substantial justice of the tax itself, shall vitiate or in 12 any manner affect the tax or the computation thereof. Any 13 irregularity or informality in the computation of the tax, or 14 in any of the proceedings connected with the computation of 15 the taxes, or any omission or defective act of any other 16 officer or officers connected with the computation of the 17 taxes, may be, in the discretion of the court, corrected, 18 supplied and made to conform to law by the court, or by the 19 person (in the presence of the court) from whose neglect or 20 default it was occasioned. 21 Division 4. Annual tax sale procedure 22 Section 130. Entry of judgment for sale. If judgment is 23 rendered against any mobile home for any tax, the county 24 collector shall, after publishing a notice for sale in 25 compliance with the requirements of Sections 55 or 60, 26 proceed to offer the mobile home for sale pursuant to the 27 judgment. However, in the case of an appeal from the 28 judgment, if the party, when filing notice of appeal deposits 29 with the county collector the amount of the judgment and 30 costs, the collector shall not sell the mobile home until the 31 appeal is disposed of. HB1975 Enrolled -17- LRB9201948SMdv 1 Section 135. Examination of record; certificate of 2 correctness. On the day advertised for sale, the county 3 clerk, assisted by the collector, shall examine the list upon 4 which judgment has been entered and ascertain that all 5 payments have been properly noted thereon. The county clerk 6 shall make a certificate to be entered on the record, 7 following the order of court that the record is correct, and 8 that judgment was entered upon the mobile home therein 9 mentioned for the taxes, interest, and costs due thereon. 10 The certificate shall be attested by the circuit court clerk 11 under seal of the court and shall be the process on which the 12 mobile home or any interest therein shall be sold for taxes, 13 interest, and costs due thereon, and may be substantially in 14 the following form: 15 State of Illinois County of ..... 16 I, ...., clerk of the circuit court, in and for the 17 county of ...., do hereby certify that the foregoing is a 18 true and correct record of the delinquent mobile home in the 19 county, against which judgment and order of sale was duly 20 entered in the circuit court for the county, on (insert 21 date), for the amount of the taxes, interest, and costs due 22 severally thereon as therein set forth, and that the judgment 23 and order of court in relation thereto fully appears on the 24 record. 25 Dated (insert date). 26 Section 140. County clerk assistance at sale. The county 27 clerk, in person or by deputy, shall attend all sales for 28 taxes, made by the collector, and shall assist at the sales. 29 Section 145. Tax sale procedures. The collector, in 30 person or by deputy, shall attend, on the day and in the 31 place specified in the notice for the sale of mobile homes 32 for taxes, and shall, between 9:00 a.m. and 4:00 p.m., or HB1975 Enrolled -18- LRB9201948SMdv 1 later at the collector's discretion, proceed to offer for 2 sale, separately and in consecutive order, all mobile homes 3 in the list on which the taxes, interest, or costs have not 4 been paid. The collector's office shall be kept open during 5 all hours in which the sale is in progress. The sale shall be 6 continued from day to day, until all mobile homes in the 7 delinquent list have been offered for sale. 8 Section 150. Penalty bids. The person at the sale 9 offering to pay the amount due on each mobile home for the 10 least penalty percentage shall be the purchaser of that 11 mobile home. No bid shall be accepted for a penalty exceeding 12 18% of the amount of the tax on a mobile home. 13 Section 155. Registration. In counties with less than 14 3,000,000 inhabitants, unless the county board provides 15 otherwise, no person shall be eligible to bid who did not 16 register with the county collector at least 10 business days 17 prior to the first day of sale authorized under Section 60. 18 Section 160. Forfeited mobile home. Every mobile home 19 offered at public sale, and not sold for want of bidders, 20 shall be forfeited to the State of Illinois. However, when 21 the court, county clerk, and county treasurer certify that 22 the taxes on a forfeited mobile home equal or exceed the 23 actual value of the mobile home, the county collector shall, 24 on the receipt of such certificate, offer the mobile home for 25 sale to the highest bidder, after first giving 10 days' 26 notice, in the manner described in Sections 55 and 60, of the 27 time and place of sale, together with a description of the 28 mobile home to be offered. A certificate of purchase shall be 29 issued to the purchaser at the sale as in other cases 30 provided in this Act. The county collector shall receive 31 credit in the settlement with the taxing bodies for which the HB1975 Enrolled -19- LRB9201948SMdv 1 tax was levied for the amount not realized by the sale. The 2 amount received from the sale shall be paid by the collector, 3 pro rata, to the taxing bodies entitled to it. 4 Section 165. Record of sales and redemptions. When any 5 mobile home is sold, the county clerk shall enter on the Tax 6 Judgment, Sale, Redemption and Forfeiture Record, in the 7 blank columns provided for that purpose, the name of the 8 purchaser and the final bid. When any mobile home is redeemed 9 from sale, the county clerk shall enter the name of the 10 person redeeming, the redemption date, and the amount of 11 redemption, in the proper column. 12 Section 170. Record of forfeitures. All mobile homes 13 forfeited to the State at the sale shall be noted on the Tax 14 Judgment, Sale, Redemption and Forfeiture Record. 15 Section 175. Payment for mobile homes purchased at tax 16 sale; reoffering for sale. Except as otherwise provided 17 below, the person purchasing any mobile home shall be liable 18 to the county for the amount due and shall forthwith pay to 19 the county collector the amount charged on the mobile home. 20 Upon failure to do so, the amount due shall be recoverable in 21 a civil action brought in the name of the People of the State 22 of Illinois in any court of competent jurisdiction. The 23 person so purchasing shall be relieved of liability only by 24 payment of the amount due together with interest and costs 25 thereon, or if the mobile home is reoffered at the sale, 26 purchased, and paid for. Reoffering of the mobile home for 27 sale shall be at the discretion of the collector. The sale 28 shall not be closed until payment is made or the mobile home 29 again offered for sale. The purchaser then shall be entitled 30 to a certificate of purchase. If a purchaser fails to 31 complete his or her purchase as provided in this Section, the HB1975 Enrolled -20- LRB9201948SMdv 1 purchase shall become void, and be of no effect, but the 2 collector shall not refund the amount paid in cash at the 3 time of the sale, except in cases of sale in error. That 4 amount shall be treated as a payment and distributed to the 5 taxing bodies as other collections are distributed. The lien 6 for taxes for the amount paid shall remain on the mobile 7 home, in favor of the purchaser, his or her heirs or assigns, 8 until paid with 5% interest per year on that amount from the 9 date the purchaser paid it. The amount and fact of such 10 ineffective purchase shall be entered in the tax judgment, 11 sale, redemption and forfeiture record opposite the mobile 12 home upon which the lien remains. No redemption shall be made 13 without payment of this amount for the benefit of the 14 purchaser, and no future sale of the mobile home shall be 15 made except subject to the lien of such purchaser. 16 Section 180. Automation fee. The county collector may 17 assess to the purchaser of a mobile home for delinquent taxes 18 an automation fee of not more than $10 per mobile home. In 19 counties with less than 3,000,000 inhabitants: 20 (a) The fee shall be paid at the time of the purchase if 21 the record keeping system used for processing the delinquent 22 mobile home tax sales is automated or has been approved for 23 automation by the county board. The fee shall be collected in 24 the same manner as other fees or costs. 25 (b) Fees collected under this Section shall be retained 26 by the county treasurer in a fund designated as the Tax Sale 27 Automation Fund. The fund shall be audited by the county 28 auditor. The county board shall make expenditures from the 29 fund to pay any costs related to the automation of mobile 30 home tax collections and delinquent mobile home tax sales, 31 including the cost of hardware, software, research and 32 development, and personnel. HB1975 Enrolled -21- LRB9201948SMdv 1 Section 185. Certificate of purchase. The county clerk 2 shall make out and deliver to the purchaser of any mobile 3 home sold under Section 145, a certificate of purchase 4 countersigned by the collector, describing the mobile home 5 sold, including the vehicle identification number, the model 6 year, and the square footage, the date of sale, the amount of 7 taxes, interest, and cost for which it was sold, and that 8 payment of the sale price has been made. If any person 9 becomes the purchaser of more than one mobile home owned by 10 one party or person, the purchaser may have the whole or one 11 or more of them included in one certificate, but separate 12 certificates shall be issued in all other cases. A 13 certificate of purchase shall be assignable by endorsement. 14 An assignment shall vest in the assignee or his or her legal 15 representatives, all the right and title of the original 16 purchaser. 17 If the tax certificate is lost or destroyed, the county 18 clerk shall issue a duplicate certificate upon written 19 request and a sworn affidavit by the tax sale purchaser, or 20 his or her assignee, that the tax certificate is lost or 21 destroyed. The county clerk shall cause a notation to be made 22 in the tax sale and judgment book that a duplicate 23 certificate has been issued, and redemption payments shall be 24 made only to the holder of the duplicate certificate. 25 Section 190. Index of tax sale records. The county clerk 26 may make an index of tax-sale records. The index shall be 27 kept in the county clerk's office as a public record, open to 28 inspection during office hours. 29 Section 195. County clerk's books and records; prima 30 facie evidence. The books and records of the county clerk, or 31 copies thereof, certified by the clerk, shall be prima facie 32 evidence to prove the sale of any mobile home for taxes, the HB1975 Enrolled -22- LRB9201948SMdv 1 redemption of the mobile home, or payment of taxes thereon. 2 Division 5. Scavenger sales; procedures 3 Section 200. Collector's scavenger sale. Upon the 4 county collector's application under Section 90, to be known 5 as the Scavenger Sale Application, the Court shall enter 6 judgment for the taxes, interest, penalties, and costs as are 7 included in the advertisement and appear to be due thereon 8 after allowing an opportunity to object and a hearing upon 9 the objections as provided in Section 115, and order those 10 mobile homes sold by the county collector at public sale to 11 the highest bidder for cash, notwithstanding the bid may be 12 less than the full amount of taxes, interest, penalties, and 13 costs for which judgment has been entered. 14 (a) Conducting the sale; bidding. All mobile homes 15 shall be offered for sale in consecutive order as they appear 16 in the delinquent list. The minimum bid for any mobile home 17 shall be $250 or one-half of the tax if the total liability 18 is less than $500. The successful bidder shall immediately 19 pay the amount of minimum bid to the County Collector in 20 cash, by certified or cashier's check, by money order, or, if 21 the successful bidder is a governmental unit, by a check 22 issued by that governmental unit. If the bid exceeds the 23 minimum bid, the successful bidder shall pay the balance of 24 the bid to the county collector in cash, by certified or 25 cashier's check, by money order, or, if the successful bidder 26 is a governmental unit, by a check issued by that 27 governmental unit by the close of the next business day. If 28 the minimum bid is not paid at the time of sale or if the 29 balance is not paid by the close of the next business day, 30 then the sale is void and the minimum bid, if paid, is 31 forfeited to the county general fund. In that event, the 32 mobile home shall be reoffered for sale within 30 days of the HB1975 Enrolled -23- LRB9201948SMdv 1 last offering of mobile homes in regular order. The 2 collector shall make available to the public a list of all 3 mobile homes to be included in any reoffering due to the 4 voiding of the original sale. The collector is not required 5 to serve or publish any other notice of the reoffering of 6 those mobile homes. In the event that any of the mobile homes 7 are not sold upon reoffering, or are sold for less than the 8 amount of the original voided sale, the original bidder who 9 failed to pay the bid amount shall remain liable for the 10 unpaid balance of the bid in an action under Section 175. 11 Liability shall not be reduced where the bidder upon 12 reoffering also fails to pay the bid amount, and in that 13 event both bidders shall remain liable for the unpaid balance 14 of their respective bids. A sale of mobile homes under this 15 Section shall not be final until confirmed by the court. 16 (b) Confirmation of sales. The county collector shall 17 file his or her report of sale in the court within 30 days 18 after the date of sale of each mobile home. No notice of the 19 county collector's application to confirm the sales shall be 20 required except as prescribed by rule of the court. Upon 21 confirmation, except in cases where the sale becomes void 22 under Section 430, or in cases where the order of 23 confirmation is vacated by the court, a sale under this 24 Section shall extinguish the in rem lien of the taxes, for 25 which judgment has been entered and a redemption shall not 26 revive the lien. Confirmation of the sale shall in no event 27 affect the owner's personal liability to pay the taxes, 28 interest, and penalties as provided in this Act or prevent 29 institution of a proceeding under Section 355 to collect any 30 amount that may remain due after the sale. 31 (c) Issuance of tax sale certificates. Upon confirmation 32 of the sale, the county clerk and the county collector shall 33 issue to the purchaser a certificate of purchase in the form 34 prescribed by Section 185 as near as may be. A certificate HB1975 Enrolled -24- LRB9201948SMdv 1 of purchase shall not be issued to any person who is 2 ineligible to bid at the sale or to receive a certificate of 3 purchase under Section 205. 4 (d) Scavenger Tax Judgment, Sale and Redemption Record; 5 sale of parcels not sold. The county collector shall prepare 6 a Scavenger Tax Judgment, Sale and Redemption Record. The 7 county clerk shall write or stamp on the scavenger tax 8 judgment, sale, forfeiture and redemption record opposite the 9 description of any mobile home offered for sale and not sold, 10 or not confirmed for any reason, the words "offered but not 11 sold". The mobile homes that are offered for sale under this 12 Section and not sold or not confirmed shall be offered for 13 sale annually thereafter in the manner provided in this 14 Section until sold. At any time between annual sales the 15 county collector may advertise for sale any mobile homes 16 subject to sale under judgments for sale previously entered 17 under this Section and not executed for any reason. The 18 advertisement and sale shall be regulated by the provisions 19 of this Act as far as applicable. 20 (e) Proceeding to tax certificate of title. The owner of 21 the certificate of purchase shall give notice as required by 22 Sections 365 through 390, and may extend the period of 23 redemption as provided by Section 330. At any time within 5 24 months prior to expiration of the period of redemption from a 25 sale under this Act, the owner of a certificate of purchase 26 may file a petition and may obtain a tax certificate of title 27 under Sections 390 through 410. All proceedings for the 28 issuance of a tax certificate of title and all tax 29 certificates of title for mobile homes sold under this 30 Section shall be subject to Sections 390 through 410. This 31 Section shall be liberally construed so that the certificates 32 of title provided for in this Section convey merchantable 33 title. 34 (f) Redemptions from scavenger sales. Redemptions may be HB1975 Enrolled -25- LRB9201948SMdv 1 made from sales under this Section in the same manner and 2 upon the same terms and conditions as redemptions from sales 3 made under the county collector's annual application for 4 judgment and order of sale, except that in lieu of penalty 5 the person redeeming shall pay interest on that part of the 6 amount for which the mobile home was sold equal to or less 7 than the full amount of delinquent taxes, penalties, 8 interest, and costs, included in the judgment and order of 9 sale as follows: 10 (1) If redeemed within the first 2 months from the 11 date of the sale, 3% per month upon the amount of taxes, 12 penalties, interest, and costs due for each of the first 13 2 months, or fraction thereof. 14 (2) If redeemed at any time between 2 and 6 months 15 from the date of the sale, 12% of the amount of taxes, 16 penalties, interest, and costs due. 17 (3) If redeemed at any time between 6 and 12 months 18 from the date of the sale, 24% of the amount of taxes, 19 penalties, interest, and costs due. 20 (4) If redeemed at any time between 12 and 18 21 months from the date of the sale, 36% of the amount of 22 taxes, penalties, interest, and costs due. 23 (5) If redeemed at any time between 18 and 24 24 months from the date of the sale, 48% of the amount of 25 taxes, penalties, interest, and costs due. 26 (6) If redeemed after 24 months from the date of 27 sale, the 48% provided for the 24 months together with 28 interest at 6% per annum thereafter on the amount of 29 taxes, penalties, interest, and costs due. 30 The person redeeming shall not be required to pay any 31 interest on any part of the amount for which the mobile home 32 was sold that exceeds the full amount of delinquent taxes, 33 penalties, interest, and costs included in the judgment and 34 order of sale. HB1975 Enrolled -26- LRB9201948SMdv 1 Notwithstanding any other provision of this Section, the 2 amount required to be paid for redemption shall also include 3 an amount equal to all delinquent taxes on the mobile home 4 which taxes were delinquent at the time of sale. The 5 delinquent taxes shall be apportioned by the county collector 6 among the taxing districts in which the mobile home is 7 situated in accordance with law. In the event that all moneys 8 received from any sale held under this Section exceed an 9 amount equal to all delinquent taxes on the mobile home sold, 10 which taxes were delinquent at the time of sale, together 11 with all publication and other costs associated with the 12 sale, then, upon redemption, the county collector and the 13 county clerk shall apply the excess amount to the cost of 14 redemption. 15 (g) Bidding by county or other taxing districts. Any 16 taxing district may bid at a scavenger sale. The county 17 board of the county in which mobile homes offered for sale 18 under this Section are located may bid as trustee for all 19 taxing districts having an interest in the taxes for the 20 nonpayment of which the mobile homes are offered. The county 21 shall apply on the bid the unpaid taxes due upon the mobile 22 home and no cash need be paid. The county or other taxing 23 district acquiring a tax sale certificate shall take all 24 steps necessary to acquire certificate of title to the mobile 25 home and may manage and operate the mobile home so acquired. 26 When a county, or other taxing district within the 27 county, is a petitioner for a tax certificate of title, no 28 filing fee shall be required on the petition. The county as a 29 tax creditor and as trustee for other tax creditors, or other 30 taxing district within the county shall not be required to 31 allege and prove that all taxes that become due and payable 32 after the sale to the county have been paid. The county shall 33 not be required to pay the subsequently accruing taxes at any 34 time. Upon the written request of the county board or its HB1975 Enrolled -27- LRB9201948SMdv 1 designee, the county collector shall not offer the mobile 2 home for sale at any tax sale subsequent to the sale of the 3 mobile home to the county under this Section. The lien of 4 taxes that become due and payable after a sale to a county 5 shall merge in the certificate title of the county, or other 6 taxing district, on the issuance of a certificate of title. 7 The County may sell the mobile homes so acquired, or the 8 certificate of purchase thereto, and the proceeds of the sale 9 shall be distributed to the taxing districts in proportion to 10 their respective interests therein. The presiding officer of 11 the county board, with the advice and consent of the county 12 board, may appoint some officer or person to attend scavenger 13 sales and bid on its behalf. 14 (h) Miscellaneous provisions. In the event that a mobile 15 home sold at any such sale is not redeemed within the time 16 permitted by law and a tax certificate of title is issued, 17 all moneys that may be received from the sale of mobile homes 18 in excess of the delinquent taxes, together with all 19 publication and other costs associated with the sale, shall, 20 upon petition of any interested party to the court that 21 issued the tax certificate of title, be distributed by the 22 county collector pursuant to order of the court among the 23 persons having legal or equitable interests in the mobile 24 home according to the fair value of their interests in the 25 mobile home. Appeals may be taken from the orders and 26 judgments entered under this Section as in other civil cases. 27 The remedy herein provided is in addition to other remedies 28 for the collection of delinquent taxes. 29 Section 205. Scavenger sale; persons ineligible to bid 30 or purchase. 31 (a) No person, except a unit of local government, shall 32 be eligible to bid or receive a certificate of purchase at 33 any sale under Section 200 unless that person has completed HB1975 Enrolled -28- LRB9201948SMdv 1 and delivered to the county clerk a true, accurate, and 2 complete application for certificate of purchase which shall 3 affirm that: 4 (1) the person has not bid upon or applied to 5 purchase any mobile home at the sale for a person who is 6 the party or agent of the party who owns the mobile home 7 or is responsible for the payment of the delinquent 8 taxes; 9 (2) the person is not, nor is he or she the agent 10 for, the owner or party responsible for payment of the 11 taxes on any mobile home which is located in the same 12 county in which the sale is held and which is tax 13 delinquent or forfeited for all or any part of each of 2 14 or more years; and 15 (3) the person, although otherwise eligible to bid, 16 has not either directly or through an agent twice during 17 the same sale failed to complete a purchase by the 18 immediate payment of the minimum bid or the payment of 19 the balance of a bid within the time provided by Section 20 200. 21 Section 210. Scavenger sale registration. No person, 22 except a unit of local government, shall be eligible to bid 23 or to receive a certificate of purchase who did not register 24 with the county collector at least 5 business days in advance 25 of the first day of the sale under Section 200. The collector 26 may charge, for each registration, a fee of not more than $50 27 in counties with less than 3,000,000 inhabitants. 28 Registration shall be made upon such forms and according to 29 such regulations as the county collector deems necessary in 30 order to effect complete and accurate disclosure of the 31 identity of all persons beneficially interested, directly or 32 indirectly, in each sale under Section 200. The information 33 to be disclosed shall include, but not be limited to, the HB1975 Enrolled -29- LRB9201948SMdv 1 name, address, and telephone number of the purchaser to whom 2 the clerk and collector will be requested to issue a 3 certificate of purchase; if the purchaser is a corporation, 4 the place of incorporation and the names and addresses of its 5 shareholders unless the corporation is publicly held; if the 6 purchaser is a partnership, the names and addresses of all 7 general and limited partners; if the purchaser is doing 8 business under an assumed business name, the county where 9 such name is registered and the names, addresses, and 10 telephone numbers of all persons having an ownership interest 11 in the business; and the identity and location of any other 12 tax delinquent mobile home owned by the bidder and purchaser. 13 Every application for certificate of purchase and form 14 for registration authorized and required by this Section and 15 Section 215 shall be executed under penalty of perjury as 16 though under oath or affirmation, but no acknowledgement is 17 required. 18 Section 215. Scavenger sale; application for certificate 19 of purchase. The application for certificate of purchase 20 shall be executed by the purchaser and by any individual 21 bidder acting in the purchaser's behalf. The application 22 shall be initially executed and delivered to the county clerk 23 at the time of registration for the sale as provided in this 24 Section. Before receiving any certificate of purchase, each 25 purchaser and individual bidder acting in the purchaser's 26 behalf shall sign and deliver to the county clerk a schedule 27 or schedules of the mobile homes for which that purchaser has 28 successfully bid and is applying to purchase, which schedule 29 or schedules shall be attached to and incorporated within the 30 application. The schedule or schedules shall be accompanied 31 by a fee, for each mobile home listed, of $10 in counties 32 with less than 3,000,000 inhabitants. The application and 33 schedule or schedules shall be in substantially the following HB1975 Enrolled -30- LRB9201948SMdv 1 form: 2 APPLICATION FOR CERTIFICATE OF PURCHASE 3 Date of Application: ............... 4 Name of Purchaser: ................. 5 Address: ........................... 6 Name of Bidder: .................... 7 Address: ........................... 8 I (we) hereby apply to the County Clerk and County 9 Treasurer of ..... County for issuance of a certificate of 10 purchase for each of the mobile homes on the attached 11 schedule(s), and state as follows: 12 1. I (we) made (or authorized) the successful bid on 13 each mobile home listed on the attached schedule or schedules 14 at the sale of delinquent mobile homes under Section 200 of 15 the Mobile Home Local Services Tax Enforcement Act conducted 16 by the County Treasurer of ..... County, Illinois, on the 17 dates indicated for each mobile home on the schedule(s). 18 2. At least 5 business days before the first day of this 19 sale, I (we) submitted a truthful, accurate and complete 20 registration to the Treasurer of ..... County on the form(s) 21 and according to the regulations prescribed by the 22 Treasurer's office. 23 3. Neither I (we) nor any person or firm identified in 24 the registration submitted to the Treasurer of ..... County 25 was an owner or agent of an owner, lienholder or agent of a 26 lienholder (other than the mobile home park owner or his or 27 her agent), holder of beneficial interest or agent of a 28 holder of a beneficial interest in or of any mobile home 29 identified on the schedule(s) attached to this application on 30 January 1st of any years for which taxes were delinquent at 31 the time of my (our) bid(s) described in the schedule(s). 32 4. Neither I (we) nor any person or firm identified in 33 the registration submitted to the Treasurer of ..... County 34 was an owner or agent of an owner, lienholder or agent of a HB1975 Enrolled -31- LRB9201948SMdv 1 lienholder (other than the mobile home park owner or his or 2 her agent), holder of a beneficial interest or agent of a 3 holder of a beneficial interest in or of the mobile home 4 identified on the schedule(s) attached to this application at 5 the time of the bid(s) described in the schedule. 6 5. Neither I (we) nor any person or firm identified in 7 the registration submitted to the Treasurer of ..... County 8 was an owner or agent for an owner, or party or agent for a 9 party responsible for the payment of delinquent taxes, on any 10 mobile home in the county that was tax delinquent or 11 forfeited for all or any part of each of 2 or more years when 12 the registration was submitted. 13 6. Neither I (we) nor any person acting in my (our) 14 behalf has twice failed to complete a purchase at the sale 15 during which the mobile homes on the attached schedule(s) 16 were offered by failing to immediately pay a minimum bid or 17 by failing to pay the balance of a bid for any mobile home 18 within one business day thereafter. 19 I (we) hereby affirm that I (we) have read this 20 application and that the statements made in it are personally 21 known by me (us) to be true, accurate and complete, under 22 penalty of perjury as provided by law. 23 I (we) further understand that this application shall be 24 void unless the schedule(s) of mobile homes referred to in 25 the application is (are) completed and delivered to the 26 County Clerk. 27 ........................ Dated: .............. 28 (Signature of Purchaser) 29 ........................ Dated: .............. 30 (Signature of Bidder) 31 SCHEDULE OF PROPERTIES 32 Mobile home vehicle identification number 33 (or other identification) Date of Bid 34 (insert number or other identification) (insert date) HB1975 Enrolled -32- LRB9201948SMdv 1 I (we) hereby affirm that I (we) successfully bid upon 2 the above mobile homes at the sale conducted by the County 3 Treasurer of ..... County on the indicated dates, and I (we) 4 request that the County Clerk of ..... County attach this 5 schedule to my (our) application for certificate of purchase 6 dated ...... 7 Signed under penalty of perjury as provided by law: 8 ........................ Dated: .............. 9 (Signature of Purchaser) 10 ........................ Dated: .............. 11 (Signature of Bidder) 12 Section 220. Scavenger sale; ineligible bid; liability. 13 (a) Any person who is ineligible under Section 205 to 14 bid or to receive a certificate of purchase from a sale under 15 Section 200, who nevertheless registers to bid or bids or 16 receives or acquires ownership of a certificate of purchase 17 from a sale, and any person who registers to bid or bids at a 18 sale on behalf of an ineligible person, shall be personally 19 liable, jointly and severally, in a sum equal to the full 20 amount of delinquent or forfeited taxes, interest, penalties, 21 and costs for which the judgment for sale under Section 200 22 was entered. 23 (b) The State's Attorney of the county in which the sale 24 under Section 200 was conducted may bring an action in the 25 name of the People of the State of Illinois against the 26 person and, upon a finding of liability under this Section, 27 the court shall enter judgment against the person in a sum 28 equal to the full amount of delinquent or forfeited taxes, 29 interest, penalties, and costs for which judgment for sale 30 under Section 200 was entered, together with the costs of the 31 action and reasonable attorney's fees. The proceeds of any 32 judgment under this Section shall be paid into the county 33 general fund. HB1975 Enrolled -33- LRB9201948SMdv 1 Section 225. Tax scavenger sale fraud; definitions. For 2 purposes of Section 230: 3 (1) "Ownership interest" means any title or other 4 interest in a mobile home, the holder of which is 5 considered to be the owner of the mobile home for 6 purposes of taxation under Section 3 of the Mobile Home 7 Local Services Tax Act. Mobile home park owners are not 8 deemed to have an ownership interest as defined in this 9 Section. 10 (2) "Nonownership interest" means any interest in a 11 mobile home other than a contingent interest and other 12 than an ownership interest as defined in this Section, 13 including without limitation an easement or lien. 14 (3) "Mobile home" has the same meaning as defined 15 in Section 1 of the Mobile Home Local Services Tax Act. 16 Section 230. Offense of scavenger sale fraud. A person 17 commits the offense of tax sale fraud who knowingly: 18 (a) enters a bid or authorizes or procures the 19 entry of a bid on any mobile home offered for sale under 20 Section 200, when the person in whose behalf the bid is 21 made or authorized or procured has an ownership interest 22 or nonownership interest in the mobile home, or where 23 that person had such an interest on January 1 of any year 24 for which delinquent taxes were included within the 25 judgment for sale under Section 200; 26 (b) acquires, or attempts to acquire, ownership of 27 any certificate of purchase for a mobile home sold under 28 Section 200, when the person in whose behalf such 29 certificate of purchase is or would be acquired has an 30 ownership interest or nonownership interest in the mobile 31 home, or where that person had that interest on January 1 32 of any year for which delinquent taxes were included 33 within the judgment for sale under Section 200; HB1975 Enrolled -34- LRB9201948SMdv 1 (c) conveys or assigns any certificate of purchase 2 for a mobile home sold under Section 200 to any person 3 who has an ownership interest or nonownership interest in 4 the mobile home, or who had that interest on January 1 of 5 any year for which delinquent taxes were included within 6 the judgment for sale under Section 200; 7 (d) makes a false statement in any application for 8 certificate of purchase or registration form submitted 9 under Sections 210 and 215; or 10 (e) forfeits 2 or more bids at any one sale under 11 Section 200 by failing to pay the minimum cash bid timely 12 or by failing to pay the balance of the bid timely as 13 required by Section 200. 14 Tax sale fraud is a Class A misdemeanor. A subsequent 15 conviction for tax sale fraud as defined in subsections (a) 16 through (d) of this Section is a Class 4 felony. 17 Division 6. Indemnity fund; sales in error 18 Section 235. Creation of indemnity fund. 19 (a) Each person purchasing any mobile home at a sale 20 under this Act shall pay to the county collector, prior to 21 the issuance of any certificate of purchase, a fee of $20 for 22 each item purchased. A like sum shall be paid for each year 23 that all or a portion of subsequent taxes are paid by the tax 24 purchaser and posted to the tax judgment, sale, redemption 25 and forfeiture record where the underlying certificate of 26 purchase is recorded. 27 (b) The amount paid prior to issuance of the certificate 28 of purchase pursuant to subsection (a) shall be included in 29 the purchase price of the mobile home in the certificate of 30 purchase and all amounts paid under this Section shall be 31 included in the amount required to redeem under Section 300. 32 Except as otherwise provided in subsection (b) of Section HB1975 Enrolled -35- LRB9201948SMdv 1 240, all money received under subsection (a) shall be paid by 2 the collector to the county treasurer of the county in which 3 the mobile home is situated, for the purpose of an indemnity 4 fund. The county treasurer, as trustee of that fund, shall 5 invest all of that fund, principal and income, in his or her 6 hands from time to time, if not immediately required for 7 payments of indemnities under subsection (a) of Section 245, 8 in investments permitted by the Illinois State Board of 9 Investment under Article 22A of the Illinois Pension Act. 10 The county collector shall report annually to the circuit 11 court on the condition and income of the fund. The indemnity 12 fund shall be held to satisfy judgments obtained against the 13 county treasurer, as trustee of the fund. No payment shall be 14 made from the fund, except upon a judgment of the court which 15 ordered the issuance of a tax certificate of title. 16 Section 240. Amount to be retained in indemnity fund. 17 (a) The county board in each county shall determine the 18 amount of the fund to be maintained in that county, which 19 amount shall not be less than $50,000 and shall not be 20 greater than $1,000,000 in counties with less than 3,000,000 21 inhabitants. Any moneys accumulated by the county treasurer 22 in excess of the amount so established, as trustee of the 23 fund, shall be paid by him or her annually to the general 24 fund of the county. 25 (b) In counties in which a Tort Liability Fund is 26 established, all sums of money received under subsection (a) 27 of Section 235 may be deposited in the general fund of the 28 county for general county governmental purposes, if the 29 county board provides by ordinance that the indemnity 30 required by this Section shall be provided by the Tort 31 Liability Fund. 32 Section 245. Payments from Indemnity Fund. HB1975 Enrolled -36- LRB9201948SMdv 1 (a) Any owner of a mobile home sold under any provision 2 of this Act who sustains loss or damage by reason of the 3 issuance of a tax certificate of title under Section 360 or 4 400 and who is barred or is in any way precluded from 5 bringing an action for the recovery of the mobile home shall 6 have the right to indemnity for the loss or damage sustained, 7 limited as follows: 8 (1) An owner who resided in a mobile home on the 9 last day of the period of redemption and who is equitably 10 entitled to compensation for the loss or damage sustained 11 has the right to indemnity. An equitable indemnity award 12 shall be limited to the fair cash value of the mobile 13 home as of the date the tax certificate of title was 14 issued less any liens on the mobile home, and the award 15 will not exceed $99,000. The court shall liberally 16 construe this equitable entitlement standard to provide 17 compensation wherever, in the discretion of the court, 18 the equities warrant the action. 19 An owner of a mobile home who requests an award in 20 excess of $99,000 must prove that the loss of his or her 21 mobile home was not attributable to his or her own fault 22 or negligence before an award in excess of $99,000 will 23 be granted. 24 (2) An owner who sustains the loss or damage of any 25 mobile home occasioned by reason of the issuance of a tax 26 certificate of title, without fault or negligence of his 27 or her own, has the right to indemnity limited to the 28 fair cash value of the mobile home less any liens on the 29 mobile home. In determining the existence of fault or 30 negligence, the court shall consider whether the owner 31 exercised ordinary reasonable diligence under all of the 32 relevant circumstances. 33 (3) In determining the fair cash value of a mobile 34 home less any liens on the mobile home, the fair cash HB1975 Enrolled -37- LRB9201948SMdv 1 value shall be reduced by the principal amount of all 2 taxes paid by the tax purchaser or his or her assignee 3 before the issuance of the tax certificate of title. 4 (4) If an award made under paragraph (1) or (2) is 5 subject to a reduction by the amount of an outstanding 6 lien on the mobile home, other than the principal amount 7 of all taxes paid by the tax purchaser or his or her 8 assignee before the issuance of the tax certificate of 9 title and the petitioner would be personally liable to 10 the lienholder for all or part of that reduction amount, 11 the court shall order an additional indemnity award to be 12 paid directly to the lienholder sufficient to discharge 13 the petitioner's personal liability. The court, in its 14 discretion, may order the joinder of the lienholder as an 15 additional party to the indemnity action. 16 (b) Indemnity fund; subrogation. 17 (1) Any person claiming indemnity hereunder shall 18 petition the court which ordered the tax certificate of 19 title to issue, shall name the county treasurer, as 20 trustee of the indemnity fund, as defendant to the 21 petition, and shall ask that judgment be entered against 22 the county treasurer, as trustee, in the amount of the 23 indemnity sought. The provisions of the Civil Practice 24 Law shall apply to proceedings under the petition, except 25 that neither the petitioner nor county treasurer shall be 26 entitled to trial by jury on the issues presented in the 27 petition. The court shall liberally construe this Section 28 to provide compensation wherever in the discretion of the 29 Court the equities warrant such action. 30 (2) The county treasurer, as trustee of the 31 indemnity fund, shall be subrogated to all parties in 32 whose favor judgment may be rendered against him or her, 33 and by third party complaint may bring in as a defendant 34 any person, other than the tax certificate of title HB1975 Enrolled -38- LRB9201948SMdv 1 grantee and its successors in title, not a party to the 2 action who is or may be liable to him or her, as 3 subrogee, for all or part of the petitioner's claim 4 against him or her. 5 (c) Any contract involving the proceeds of a judgment 6 for indemnity under this Section, between the tax certificate 7 of title grantee or its successors in title and the indemnity 8 petitioner or his or her successors, shall be in writing. In 9 any action brought under this Section, the Collector shall be 10 entitled to discovery regarding, but not limited to, the 11 following: 12 (1) the identity of all persons beneficially 13 interested in the contract, directly or indirectly, 14 including at least the following information: the names 15 and addresses of any natural persons; the place of 16 incorporation of any corporation and the names and 17 addresses of its shareholders unless it is publicly held; 18 the names and addresses of all general and limited 19 partners of any partnership; the names and addresses of 20 all persons having an ownership interest in any entity 21 doing business under an assumed name, and the county in 22 which the assumed business name is registered; and the 23 nature and extent of the interest in the contract of each 24 person identified; 25 (2) the time period during which the contract was 26 negotiated and agreed upon, from the date of the first 27 direct or indirect contact between any of the contracting 28 parties to the date of its execution; 29 (3) the name and address of each natural person who 30 took part in negotiating the contract, and the identity 31 and relationship of the party that the person represented 32 in the negotiations; and 33 (4) the existence of an agreement for payment of 34 attorney's fees by or on behalf of each party. HB1975 Enrolled -39- LRB9201948SMdv 1 Any information disclosed during discovery may be subject 2 to protective order as deemed appropriate by the court. The 3 terms of the contract shall not be used as evidence of value. 4 Section 250. Indemnity fund fraud. 5 (a) A person commits the offense of indemnity fund fraud 6 when that person knowingly: 7 (1) offers or agrees to become a party to, or to 8 acquire an interest in, a contract involving the proceeds 9 of a judgment for indemnity under Section 245 before the 10 end of the period of redemption from the tax sale to 11 which the judgment relates; 12 (2) fraudulently induces a party to forego bringing 13 an action for the recovery of the mobile home; 14 (3) makes a deceptive misrepresentation during the 15 course of negotiating an agreement under subsection (c) 16 of Section 245; or 17 (4) conspires to violate any of the provisions of 18 this subsection. 19 (b) Commission of any one act described in subsection 20 (a) is a Class A misdemeanor. Commission of more than one act 21 described in subsection (a) during a single course of conduct 22 is a Class 4 felony. A second or subsequent conviction for 23 violation of any portion of this Section is a Class 4 felony. 24 (c) The State's Attorney of the county in which a 25 judgment for indemnity under Section 245 is entered may bring 26 a civil action in the name of the People of the State of 27 Illinois against a person who violates paragraph (1), (2), or 28 (3) of subsection (a). Upon a finding of liability in the 29 action the court shall enter judgment in favor of the People 30 in a sum equal to 3 times the amount of the judgment for 31 indemnity, together with costs of the action and reasonable 32 attorney's fees. The proceeds of any judgment under this 33 subsection shall be paid into the general fund of the county. HB1975 Enrolled -40- LRB9201948SMdv 1 Section 255. Sales in error. 2 (a) When, upon application of the county collector, the 3 owner of the certificate of purchase, or a municipality that 4 owns or has owned the mobile home ordered sold, it appears to 5 the satisfaction of the court that ordered the mobile home 6 sold that any of the following subsections are applicable, 7 the court shall declare the sale to be a sale in error: 8 (1) the mobile home was not subject to taxation, 9 (1.5) the mobile home has been moved to a different 10 location, 11 (2) the taxes had been paid prior to the sale of 12 the mobile home, 13 (3) there is a double computation of the tax, 14 (4) the description is void for uncertainty, 15 (5) the assessor, chief county assessment officer, 16 board of review, board of appeals, or other county 17 official has made an error (other than an error of 18 judgment as to the value of any mobile home), 19 (5.5) the owner of the mobile home had tendered 20 timely and full payment to the county collector that the 21 owner reasonably believed was due and owing on the mobile 22 home, and the county collector did not apply the payment 23 to the mobile home; provided that this provision applies 24 only to mobile home owners, not their agents or 25 third-party payors, or 26 (6) prior to the tax sale a voluntary or 27 involuntary petition has been filed by or against the 28 legal or beneficial owner of the mobile home requesting 29 relief under the provisions of 11 U.S.C. Chapter 7, 11, 30 12, or 13. 31 (b) When, upon application of the owner of the 32 certificate of purchase only, it appears to the satisfaction 33 of the court that ordered the mobile home sold that any of 34 the following subsections are applicable, the court shall HB1975 Enrolled -41- LRB9201948SMdv 1 declare the sale to be a sale in error: 2 (1) A voluntary or involuntary petition under the 3 provisions of 11 U.S.C. Chapter 7, 11, 12, or 13 has been 4 filed subsequent to the tax sale and prior to the 5 issuance of the tax certificate of title. 6 (2) The mobile home sold has been substantially 7 destroyed or rendered uninhabitable or otherwise unfit 8 for occupancy subsequent to the tax sale and prior to the 9 issuance of the tax certificate of title. 10 If a sale is declared to be a sale in error, the county 11 clerk shall make entry in the tax judgment, sale, redemption 12 and forfeiture record, that the mobile home was erroneously 13 sold, and the county collector shall, on demand of the owner 14 of the certificate of purchase, refund the amount paid, pay 15 any interest and costs as may be ordered under Sections 260 16 through 280, and cancel the certificate so far as it relates 17 to the mobile home. The county collector shall deduct from 18 the accounts of the appropriate taxing bodies their pro rata 19 amounts paid. 20 Section 260. Interest on refund. 21 (a) In those cases which arise solely under grounds set 22 forth in Section 255 or 395, and in no other cases, the court 23 which orders a sale in error shall also award interest on the 24 refund of the amount paid for the certificate of purchase, 25 together with all costs paid by the owner of the certificate 26 of purchase or his or her assignor which were posted to the 27 tax judgment, sale, redemption and forfeiture record, except 28 as otherwise provided in this Section. Except as otherwise 29 provided in this Section, interest shall be awarded and paid 30 at the rate of 1% per month from the date of sale to the date 31 of payment to the tax purchaser, or in an amount equivalent 32 to the penalty interest which would be recovered on a 33 redemption at the time of payment pursuant to the order for HB1975 Enrolled -42- LRB9201948SMdv 1 sale in error, whichever is less. 2 (b) Interest on the refund to the owner of the 3 certificate of purchase shall not be paid (i) in any case in 4 which the mobile home sold has been substantially destroyed 5 or rendered uninhabitable or otherwise unfit for occupancy, 6 (ii) when the sale in error is made pursuant to Section 395, 7 or (iii) in any other case where the court determines that 8 the tax purchaser had actual knowledge prior to the sale of 9 the grounds on which the sale is declared to be erroneous. 10 (c) When the county collector files a petition for sale 11 in error under Section 255 and mails a notice thereof by 12 certified or registered mail to the tax purchaser, any 13 interest otherwise payable under this Section shall cease to 14 accrue as of the date the petition is filed, unless the tax 15 purchaser agrees to an order for sale in error upon the 16 presentation of the petition to the court. Notices under 17 this subsection may be mailed to the original owner of the 18 certificate of purchase, or to the latest assignee, if known. 19 When the owner of the certificate of purchase contests the 20 collector's petition solely to determine whether the grounds 21 for sale in error are such as to support a claim for 22 interest, the court may direct that the principal amount of 23 the refund be paid to the owner of the certificate of 24 purchase forthwith. If the court thereafter determines that a 25 claim for interest lies under this Section, it shall award 26 such interest from the date of sale to the date the principal 27 amount was paid. 28 Section 265. Refund of other taxes paid by holder of 29 certificate of purchase. The court which orders a sale in 30 error shall order the refund of all other taxes paid by the 31 owner of the certificate of purchase or his or her assignor 32 which were validly posted to the tax judgment, sale 33 redemption and forfeiture record subsequent to the tax sale, HB1975 Enrolled -43- LRB9201948SMdv 1 together with interest on the other taxes under the same 2 terms as interest is otherwise payable under Section 260. The 3 interest under this Section shall be calculated at the rate 4 of 1% per month from the date the other taxes were paid and 5 not from the date of sale. The collector shall take credit 6 in settlement of his or her accounts for the refund of the 7 other taxes as in other cases of sale in error under Section 8 255. 9 Section 270. Orders for payment of interest. The county 10 treasurer may determine in his or her discretion whether 11 payment of interest and costs shall be made as provided in 12 Section 275, 280, or 285. If the treasurer determines not to 13 make payment as provided in those Sections, the treasurer 14 shall pay any interest or costs awarded under this Section 15 pro rata from those accounts where the principal refund of 16 the tax sale purchase price under Section 275 is taken. 17 Section 275. Fund for payment of interest. In counties 18 of under 3,000,000 inhabitants, the county board may impose a 19 fee of up to $10, which shall be paid to the county 20 collector, upon each person purchasing any mobile home at a 21 sale held under this Act, prior to the issuance of any 22 certificate of purchase. That amount shall be included in the 23 price paid for the certificate of purchase and the amount 24 required to redeem under Section 300. 25 All sums of money received under this Section shall be 26 paid by the collector to the county treasurer of the county 27 in which the mobile home is situated for deposit into a 28 special fund. It shall be the duty of the county treasurer, 29 as trustee of the fund, to invest the principal and income of 30 the fund from time to time, if not immediately required for 31 payments under this Section, in investments as are authorized 32 by Sections 3-10009 and 3-11002 of the Counties Code. The HB1975 Enrolled -44- LRB9201948SMdv 1 fund shall be held to satisfy orders for payment of interest 2 and costs obtained against the county treasurer as trustee of 3 the fund. No payment shall be made from the fund except by 4 order of the court declaring a sale in error under Section 5 255. Any moneys accumulated in the fund by the county 6 treasurer in excess of $500,000 shall be paid each year prior 7 to the commencement of the annual tax sale, first to satisfy 8 any existing unpaid judgments entered pursuant to Section 9 235, and any funds remaining thereafter shall be paid to the 10 general fund of the county. 11 Section 280. Claims for interest and costs. Any person 12 claiming interest or costs under Sections 260 through 275 13 shall include the claim in his or her petition for sale in 14 error under Section 255. Any claim for interest or costs 15 which is not included in the petition is waived, except 16 interest or costs may be awarded to the extent permitted by 17 this Section upon a sale in error petition filed by the 18 county collector, without requiring a separate filing by the 19 claimant. Any order for interest or costs upon the petition 20 for sale in error shall be deemed to be entered against the 21 county treasurer as trustee of the fund created by Section 22 275. The fund shall be the sole source for payment and 23 satisfaction of orders for interest or costs, except as 24 otherwise provided in this Section. If the court determines 25 that the fund has been depleted and will not be restored in 26 time to pay an award with reasonable promptness, the court 27 may authorize the collector to pay the interest portion of 28 the award pro rata from those accounts where the principal 29 refund of the tax sale purchase price under Section 255 is 30 taken. 31 Section 285. Recovery of amount of tax paid by purchaser 32 at erroneous sale. In addition to all other remedies, when HB1975 Enrolled -45- LRB9201948SMdv 1 the purchaser or assignee of a certificate of purchase that 2 has been declared an erroneous sale, has paid any tax upon 3 the mobile home sold, which was not paid by the owner of the 4 mobile home and was not refunded to the tax purchaser or 5 assignee by the county, the purchaser or assignee may recover 6 from the owner the amount he or she paid, with 10% interest, 7 as money paid for the owner's use. 8 Division 7. Redemption procedures and notice requirements 9 Section 290. Right of redemption. 10 (a) Mobile homes sold under this Act may be redeemed 11 only by those persons having a right of redemption as defined 12 in this Section and only in accordance with this Act. 13 A right to redeem a mobile home from any sale under this 14 Act shall exist in any owner or person interested in that 15 mobile home whether or not the interest in the mobile home 16 sold is recorded or filed. Any redemption shall be presumed 17 to have been made by or on behalf of the owners and persons 18 interested in the mobile home and shall inure to the benefit 19 of the persons having the certificate of title to the mobile 20 home redeemed, subject to the right of the person making the 21 redemption to be reimbursed by the persons benefited. 22 (b) Any person who desires to redeem and does not desire 23 to contest the validity of a petition for tax certificate of 24 title may redeem pursuant to this Section and related 25 Sections of this Act without submitting a written protest 26 under Section 21-380. 27 Section 295. Period of redemption. Mobile homes sold 28 under this Act may be redeemed on or before the expiration of 29 2 years and 6 months from the date of sale. If, however, the 30 court that ordered the mobile home sold, upon the verified 31 petition of the holder of the certificate of purchase brought HB1975 Enrolled -46- LRB9201948SMdv 1 within 4 months from the date of sale, finds and declares 2 that the mobile home is abandoned, then the court may order 3 that the mobile home may be redeemed at any time on or before 4 the expiration of 1 year from the date of sale. Notice of the 5 hearing on a petition to declare the mobile home abandoned 6 shall be given to the owner or owners of the mobile home and 7 to the person in whose name the taxes were last assessed, by 8 certified or registered mail sent to their last known 9 addresses at least 5 days before the date of the hearing. 10 If the period of redemption has been extended by the 11 certificate holder as provided in Section 330, the mobile 12 home may be redeemed on or before the extended redemption 13 date. 14 Section 300. Amount of redemption. Any person desiring 15 to redeem shall deposit an amount specified in this Section 16 with the county clerk of the county in which the mobile home 17 is situated, in legal money of the United States, or by 18 cashier's check, certified check, post office money order or 19 money order, issued by a financial institution insured by an 20 agency or instrumentality of the United States, payable to 21 the county clerk of the proper county. The deposit shall be 22 deemed timely only if actually received in person at the 23 county clerk's office prior to the close of business as 24 defined in Section 3-2007 of the Counties Code on or before 25 the expiration of the period of redemption or by United 26 States mail with a post office cancellation mark dated not 27 less than one day prior to the expiration of the period of 28 redemption. The deposit shall be in an amount equal to the 29 total of the following: 30 (a) the certificate amount, which shall include all 31 tax principal, interest, and penalties paid by the tax 32 purchaser together with costs and fees of sale and fees 33 paid under Sections 235 and 260 through 280; HB1975 Enrolled -47- LRB9201948SMdv 1 (b) the accrued penalty, computed through the date 2 of redemption as a percentage of the certificate amount, 3 as follows: 4 (1) if the redemption occurs on or before the 5 expiration of 6 months from the date of sale, the 6 certificate amount times the penalty bid at sale; 7 (2) if the redemption occurs after 6 months 8 from the date of sale, and on or before the 9 expiration of 12 months from the date of sale, the 10 certificate amount times 2 times the penalty bid at 11 sale; 12 (3) if the redemption occurs after 12 months 13 from the date of sale and on or before the 14 expiration of 18 months from the date of sale, the 15 certificate amount times 3 times the penalty bid at 16 sale; 17 (4) if the redemption occurs after 18 months 18 from the date of sale and on or before the 19 expiration of 24 months from the date of sale, the 20 certificate amount times 4 times the penalty bid at 21 sale; 22 (5) if the redemption occurs after 24 months 23 from the date of sale and on or before the 24 expiration of 30 months from the date of sale, the 25 certificate amount times 5 times the penalty bid at 26 sale; 27 (6) if the redemption occurs after 30 months 28 from the date of sale and on or before the 29 expiration of 36 months from the date of sale, the 30 certificate amount times 6 times the penalty bid at 31 sale. 32 (c) The total of all taxes, accrued interest on 33 those taxes, and costs charged in connection with the 34 payment of those taxes, which have been paid by the tax HB1975 Enrolled -48- LRB9201948SMdv 1 certificate holder on or after the date those taxes 2 became delinquent together with 12% penalty on each 3 amount so paid for each year or portion thereof 4 intervening between the date of that payment and the date 5 of redemption. In counties with less than 3,000,000 6 inhabitants, however, a tax certificate holder may not 7 pay the subsequent tax for any year, nor shall any tender 8 of such a payment be accepted, until the subsequent tax 9 has become delinquent or until after the holder of the 10 certificate of purchase has filed a petition for a tax 11 certificate of title under Section 390. The person 12 redeeming shall also pay the amount of interest charged 13 on the subsequent tax and paid as a penalty by the tax 14 certificate holder. 15 (d) Any amount paid to redeem a forfeiture 16 occurring subsequent to the tax sale together with 12% 17 penalty thereon for each year or portion thereof 18 intervening between the date of the forfeiture redemption 19 and the date of redemption from the sale. 20 (e) Any amount paid by the certificate holder for 21 redemption of a subsequently occurring tax sale. 22 (f) All fees paid to the county clerk under Section 23 22-5. 24 (g) All fees paid to the circuit clerk and the 25 sheriff or coroner in connection with the filing of the 26 petition for tax certificate of title and service of 27 notices under Sections 375 through 390 and 400 in 28 addition to (1) a fee of $35 if a petition for tax 29 certificate of title has been filed, which fee shall be 30 posted to the tax judgement, sale, redemption, and 31 forfeiture record, to be paid to the purchaser or his or 32 her assignee; (2) a fee of $4 if a notice under Section 33 365 has been filed, which fee shall be posted to the tax 34 judgment, sale, redemption, and forfeiture record, to be HB1975 Enrolled -49- LRB9201948SMdv 1 paid to the purchaser or his or her assignee; and (3) all 2 costs paid to record a lis pendens notice in connection 3 with filing a petition under this Act. The fees in (1) 4 and (2) of this paragraph (g) shall be exempt from the 5 posting requirements of Section 305. 6 (h) All fees paid for publication of notice of the 7 tax sale in accordance with Section 380. 8 (i) All sums paid to any city, village or 9 incorporated town for reimbursement under Section 395. 10 (j) All costs and expenses of receivership under 11 Section 350, to the extent that these costs and expenses 12 exceed any income from the mobile home in question, if 13 the costs and expenditures have been approved by the 14 court appointing the receiver and a certified copy of the 15 order or approval is filed and posted by the certificate 16 holder with the county clerk. Only actual costs expended 17 may be posted on the tax judgment, sale, redemption and 18 forfeiture record. 19 Section 305. Posting requirements. Except as otherwise 20 provided in Section 300, the county clerk shall not be 21 required to include amounts described in paragraphs (c) 22 through (j) of Section 300 in the payment for redemption or 23 the amount received for redemption, nor shall payment 24 thereof be a charge on the mobile home sold for taxes, unless 25 the tax certificate holder has filed and posted with the 26 county clerk prior to redemption and in any event not less 27 than 30 days prior to the expiration of the period of 28 redemption or extended period of redemption an official, 29 original or duplicate receipt for payment of those fees, 30 costs, and expenses permitted under paragraphs (c) through 31 (j) of Section 300. 32 Section 310. Deficiency judgment. If the sold mobile HB1975 Enrolled -50- LRB9201948SMdv 1 home is not redeemed, a deficiency judgment shall not be 2 taken on account of the receivership proceedings against the 3 owner or owners of the mobile home. In the event that income 4 to the receiver exceeds expenditures, net income is to be 5 deposited with the clerk of the court ordering the tax sale 6 and shall be distributed as determined by the court ordering 7 the appointment of the receiver. 8 Section 315. Redemption of a forfeited mobile home. 9 Except as otherwise provided in Section 320, any mobile home 10 forfeited to the State may be redeemed or sold in the 11 following manner: 12 When a mobile home has been forfeited for delinquent 13 taxes, the person desiring to redeem shall apply to the 14 county clerk who shall order the county collector to receive 15 from the person the amount of the forfeited taxes, statutory 16 costs, interest prior to forfeiture, printer's fees due 17 thereon and, in addition, forfeiture interest at a rate of 18 12% per year or fraction thereof. Upon presentation of the 19 county clerk's order to the county collector, the collector 20 shall receive the amount due on account of forfeited taxes 21 and give the person duplicate receipts, setting forth a 22 description of the mobile home and amount received. One of 23 the receipts shall be countersigned by the county clerk and, 24 when so countersigned, shall be evidence of the redemption of 25 the mobile home. The receipt shall not be valid until it is 26 countersigned by the county clerk. The other receipt shall be 27 filed by the county clerk in his or her office, and the clerk 28 shall make a proper entry of the redemption of the mobile 29 home on the appropriate books in his or her office and charge 30 the amount of the redemption to the county collector. 31 Section 320. Partial redemption of forfeited mobile 32 homes. In counties with less than 3,000,000 inhabitants, when HB1975 Enrolled -51- LRB9201948SMdv 1 forfeited taxes on a mobile home remain unpaid for one or 2 more years, it is permissible to pay to the county or 3 township collector, one or more full years of back or 4 forfeited taxes, interest prior to forfeiture, statutory 5 costs, printers' fees, and forfeiture interest or penalties, 6 attaching thereto beginning with the earliest year for which 7 the taxes are unpaid. In no case shall payment on account of 8 a designated years' taxes be accepted unless the sums due for 9 prior years have first been paid or are tendered at the same 10 time. 11 Any person seeking to make payments under this Section 12 shall notify the county clerk of his or her intention in 13 person or by agent or in writing. If notice is given while 14 the collector has possession of the collector's books, the 15 county clerk shall prepare an addendum to be presented to the 16 collector and attached, by the collector, to the collector's 17 books on which the description of the mobile home involved 18 appears, which addendum shall become a part of the 19 collector's books. If notice is given after the tax sale, 20 but before receipt by the county collector of the current 21 collector's books, the county clerk shall prepare an addendum 22 and attach it to the Tax Judgment, Sale, Redemption, and 23 Forfeiture record, on which the mobile home involved appears, 24 which addendum shall become a part of that record. 25 The addendum shall show separately, for the year or years 26 to be paid, (a) the amount of back or forfeited taxes, (b) 27 interest prior to forfeiture, (c) statutory costs and 28 printers' fees, and (d) forfeiture interest or penalties 29 attaching thereto. The county clerk shall, at the same time, 30 order the county or town collector to receive from the person 31 the amount due on account of the taxes, for the year or years 32 determined as provided above, of the back or forfeited taxes, 33 interest prior to forfeiture, statutory costs, printers' 34 fees, and forfeiture interest or penalties to date attaching HB1975 Enrolled -52- LRB9201948SMdv 1 to the back or forfeited taxes. 2 Upon presentation of the order from the county clerk, and 3 receipt of the addendum if the books are in the collector's 4 possession, the collector shall receive the sum tendered on 5 account of the taxes for the year or years designated, and 6 make out duplicate receipts therefor. The receipts shall set 7 forth a description of the mobile home, the year or years 8 paid, and the total amount received. One copy of the receipt 9 shall be given the person making payment and, when 10 countersigned by the county clerk, shall be evidence of the 11 payment therein set forth. The second copy shall be filed by 12 the county clerk in his or her office. 13 If the collector's books are in the collector's 14 possession, he or she shall enter the payment on the current 15 collector's books or addendum, and he or she shall also enter 16 any unpaid balance on the Tax Judgment, Sale, Redemption and 17 Forfeiture record at the proper time. 18 After the tax sale and before receipt by the county 19 collector of the current collector's books, the county clerk 20 shall make a proper entry on the Tax Judgment, Sale, 21 Redemption and Forfeiture record, and shall charge the county 22 collector with the sum received. The county clerk shall also 23 enter any unpaid balance on the county collector's books at 24 the proper time. 25 The county collector shall distribute all sums received 26 as required by law. 27 Section 325. Redemption under protest. Any person 28 redeeming under this Section at a time subsequent to the 29 filing of a petition under Section 390 or 360, who desires to 30 preserve his or her right to defend against the petition for 31 a tax certificate of title, shall accompany the deposit for 32 redemption with a writing substantially in the following 33 form: HB1975 Enrolled -53- LRB9201948SMdv 1 Redemption Under Protest 2 Tax Deed Case No. ........................................... 3 Vol. No. .................................................... 4 Mobile Home Vehicle Identification No. 5 (or other unique description)............................ 6 Original Amount of Tax $..................................... 7 Amount Deposited for Redemption $............................ 8 Name of Petitioner........................................... 9 Tax Year Included in Judgment................................ 10 Date of Sale................................................. 11 Expiration Date of the Period of Redemption.................. 12 To the county clerk of ........ County: 13 This redemption is made under protest for the following 14 reasons: (here set forth and specify the grounds relied upon 15 for the objection) 16 Name of party redeeming...................................... 17 Address...................................................... 18 Any grounds for the objection not specified at the time 19 of the redemption under protest shall not be considered by 20 the court. The specified grounds for the objections shall be 21 limited to those defenses as would provide sufficient basis 22 to deny entry of an order for issuance of a tax certificate 23 of title. Nothing in this Section shall be construed to 24 authorize or revive any objection to the tax sale or 25 underlying taxes which was estopped by entry of the order for 26 sale as set forth in Section 420. 27 The person protesting shall present to the county clerk 3 28 copies of the written protest signed by himself or herself. 29 The clerk shall write or stamp the date of receipt upon the 30 copies and sign them. He or she shall retain one of the 31 copies, another he or she shall deliver to the person making 32 the redemption, who shall file the copy with the clerk of the 33 court in which the tax certificate of title petition is 34 pending, and the third he or she shall forward to the HB1975 Enrolled -54- LRB9201948SMdv 1 petitioner named therein. 2 The county clerk shall enter the redemption as provided 3 in Section 165 and shall note the redemption under protest. 4 The redemption money so deposited shall not be distributed to 5 the holder of the certificate of purchase but shall be 6 retained by the county clerk pending disposition of the 7 petition filed under Section 390. 8 Redemption under protest constitutes the appearance of 9 the person protesting in the proceedings under Sections 390 10 through 412 and that person shall present a defense to the 11 petition for tax certificate of title at the time which the 12 court directs. Failure to appear and defend shall constitute 13 a waiver of the protest and the court shall order the 14 redemption money distributed to the holder of the certificate 15 of purchase upon surrender of that certificate and shall 16 dismiss the proceedings. 17 When the party redeeming appears and presents a defense, 18 the court shall hear and determine the matter. If the 19 defense is not sustained, the court shall order the protest 20 stricken and direct the county clerk to distribute the 21 redemption money upon surrender of the certificate of 22 purchase and shall order the party redeeming to pay the 23 petitioner reasonable expenses, actually incurred, including 24 the cost of withheld redemption money, together with a 25 reasonable attorney's fee. Upon a finding sustaining the 26 protest in whole or in part, the court may declare the sale 27 to be a sale in error under Section 255 or Section 405, and 28 shall direct the county clerk to return all or part of the 29 redemption money or deposit to the party redeeming. 30 Section 330. Extension of period of redemption. The 31 purchaser or his or her assignee of a mobile home sold for 32 nonpayment of taxes may extend the period of redemption at 33 any time before the expiration of the original period of HB1975 Enrolled -55- LRB9201948SMdv 1 redemption, or thereafter prior to the expiration of any 2 extended period of redemption, for a period which will expire 3 not later than 3 years from the date of sale, by filing with 4 the county clerk of the county in which the mobile home is 5 located a written notice to that effect describing the mobile 6 home, stating the date of the sale and specifying the 7 extended period of redemption. If prior to the expiration of 8 the period of redemption or extended period of redemption a 9 petition for tax certificate of title has been filed under 10 Section 390, upon application of the petitioner, the court 11 shall allow the purchaser or his or her assignee to extend 12 the period of redemption after expiration of the original 13 period or any extended period of redemption, provided that 14 any extension allowed will expire not later than 3 years from 15 the date of sale. If the period of redemption is extended, 16 the purchaser or his or her assignee must give the notices 17 provided for in Section 370 at the specified times prior to 18 the expiration of the extended period of redemption by 19 causing a sheriff (or if he or she is disqualified, a 20 coroner) of the county in which the mobile home, or any part 21 thereof, is located to serve the notices as provided in 22 Sections 375 and 380. The notices may also be served as 23 provided in Sections 375 and 380 by a special process server. 24 Section 335. Effect of receipt of redemption money, 25 forfeiture, withdrawal, or return of certificate. The receipt 26 of the redemption money on any mobile home by any purchaser 27 or assignee, on account of any forfeiture or withdrawal, or 28 the return of the certificate of purchase, withdrawal or 29 forfeiture for cancellation, shall operate as a release of 30 the claim to the mobile home under, or by virtue of, the 31 purchase, withdrawal, or forfeiture. 32 Section 340. County clerk to pay successor redemption HB1975 Enrolled -56- LRB9201948SMdv 1 money collected. At the expiration of his or her term of 2 office, the county clerk shall pay over to the successor in 3 office all moneys in his or her hands received for redemption 4 from sale for taxes on a mobile home. 5 Section 345. Notice of order setting aside redemption. 6 The order shall provide that any person who was entitled to 7 redeem may pay to the county clerk within 30 days after the 8 entry of the order the amount necessary to redeem the mobile 9 home from the sale as of the last day of the period of 10 redemption. The county clerk shall make an entry in the 11 annual tax judgment, sale, redemption, and forfeiture record 12 reflecting the entry of the order and shall immediately upon 13 request provide an estimate of the amount required to effect 14 a redemption as of the last date of the period of redemption. 15 If the amount is paid within 30 days after entry of the 16 order, then the court shall enter an order declaring the 17 taxes to be paid as if the mobile home had been redeemed 18 within the time required by law and dismissing the petition 19 for tax certificate of title. A tax certificate of title 20 shall not be issued within the 30-day period. Upon surrender 21 of the certificate of purchase, the county clerk shall 22 distribute the funds deposited as if a timely redemption had 23 been made. 24 Division 8. Other procedures 25 Section 350. Waste; appointment of receiver. After any 26 sale of mobile homes under this Act and until a tax 27 certificate of title has been issued or until redemption has 28 been made, no waste shall be committed on any of the mobile 29 homes involved. The court which ordered the mobile home to be 30 sold may, upon verified petition of the holder of the 31 certificate of purchase, take such action as the court deems HB1975 Enrolled -57- LRB9201948SMdv 1 necessary and desirable to prevent the commission of waste. 2 If the mobile home sold is abandoned or if any mobile 3 home park owner, municipality or other local governmental 4 body has legal action pending because the mobile home 5 violates local building, housing, or fire ordinances, or 6 mobile home park rules and regulations, or because the taxes 7 on the mobile home are delinquent for 2 or more years, the 8 court which ordered the mobile home to be sold may, upon 9 verified petition of the holder of the certificate of 10 purchase, enter an order for appointment of a receiver. 11 Notice of the hearing for appointment of the receiver shall 12 be given to the owner or owners of the mobile home and to the 13 person in whose name the taxes were last assessed, by 14 certified or registered mail sent to their last known 15 addresses, at least 5 days prior to the date of the hearing. 16 The receiver may take only that action, subject to court 17 approval, as is necessary for the preservation of the mobile 18 home or is necessary to correct conditions at the mobile home 19 that fail to conform to minimum standards of health and 20 safety, as set forth in local ordinances or mobile home park 21 rules and regulations. If a receiver is appointed, all costs 22 and expenses advanced by the receiver shall be repaid as 23 provided for in Section 300 before any redemption is 24 considered complete. The receiver shall be discharged upon 25 redemption from the tax sale or upon entry of an order 26 directing issuance of a tax certificate of title. Nothing 27 herein contained is intended to prevent a court from 28 appointing the holder of the certificate of purchase as 29 receiver. The holder of the certificate of purchase shall be 30 made a party to any action or proceeding to demolish or 31 destroy a mobile home where the mobile home has been sold for 32 failure to pay taxes and the period of redemption has not 33 expired. HB1975 Enrolled -58- LRB9201948SMdv 1 Section 355. Action for collection of taxes. The county 2 board may, at any time after final judgment and order of sale 3 against a delinquent mobile home under Section 120, institute 4 a civil action in the name of the People of the State of 5 Illinois in the circuit court for the whole amount due for 6 taxes on the delinquent or forfeited mobile home. Any county, 7 city, village, incorporated town, school district or other 8 municipal corporation to which any tax is due, may, at any 9 time after final judgment under Section 120, institute a 10 civil action in its own name, in the circuit court, for the 11 amount of the tax due to it on the delinquent or forfeited 12 mobile home, and prosecute the same to final judgment. On the 13 sale of any mobile home following judgment in the civil 14 action, the county, city, village, incorporated town, school 15 district or other municipal corporation, interested in the 16 collection of the tax, may become purchaser at the sale. If 17 the mobile home so sold is not redeemed the purchaser may 18 acquire, hold, sell or dispose of the title thereto, the same 19 as individuals may do under the laws of this State. In any 20 action for delinquent or forfeited taxes, the fact that the 21 mobile home was assessed to a person shall be prima facie 22 evidence that the person was the owner thereof, and was 23 liable for the taxes for the year or years for which the 24 assessment was made. That fact may be proved by the 25 introduction in evidence of the proper assessment book or 26 roll, or other competent proof. Any judgment rendered for 27 delinquent or forfeited taxes under this Section shall 28 include the costs of the action and reasonable attorney's 29 fees. 30 Section 360. Tax foreclosure proceedings. In tax 31 foreclosure proceedings, the purchaser or assignee shall file 32 a petition for a certificate of title in the proceeding in 33 which the foreclosure order was entered. Notice of the HB1975 Enrolled -59- LRB9201948SMdv 1 filing of the petition and of the hearing on the petition 2 shall be given in conformity with rule or practice of court 3 in regard to motions as in other civil actions. 4 Division 9. Tax certificates of title and procedures 5 Section 365. Notice of sale and redemption rights. In 6 order to be entitled to a tax certificate of title, within 4 7 months and 15 days after any sale held under this Act, the 8 purchaser or his or her assignee shall deliver to the county 9 clerk a notice to be given to the party in whose name the 10 taxes are last assessed as shown by the most recent tax 11 collector's warrant books, in at least 10 point type in the 12 following form completely filled in: 13 TAKE NOTICE 14 County of ............................................... 15 Date Premises Sold ...................................... 16 Certificate No. ......................................... 17 Sold for Taxes of (year) ................................ 18 Warrant No. ............... Inst. No. ................. 19 THIS PROPERTY HAS BEEN SOLD FOR 20 DELINQUENT TAXES 21 Property located at ......................................... 22 Mobile Home Vehicle Identification No. (or other unique 23 description) ................................................ 24 ............................................................. 25 ............................................................. 26 This notice is to advise you that the above mobile home 27 has been sold for delinquent taxes and that the period of 28 redemption from the sale will expire on ..................... 29 This notice is also to advise you that a petition will be 30 filed for a tax certificate of title which will transfer 31 certificate of title and the right to possession of this 32 mobile home if redemption is not made on or before .......... HB1975 Enrolled -60- LRB9201948SMdv 1 At the date of this notice the total amount which you 2 must pay in order to redeem the above mobile home is ........ 3 YOU ARE URGED TO REDEEM IMMEDIATELY TO 4 PREVENT LOSS OF PROPERTY 5 Redemption can be made at any time on or before .... by 6 applying to the County Clerk of .... County, Illinois at the 7 County Court House in ...., Illinois. 8 The above amount is subject to increase at 6 month 9 intervals from the date of sale. Check with the county clerk 10 as to the exact amount you owe before redeeming. Payment 11 must be made by certified check, cashier's check, money 12 order, or in cash. 13 For further information contact the County Clerk. 14 ............................... 15 Purchaser or Assignee 16 Dated (insert date). 17 Within 10 days after receipt of said notice, the county 18 clerk shall mail to the addresses supplied by the purchaser 19 or assignee, by registered or certified mail, copies of said 20 notice to the party in whose name the taxes are last assessed 21 as shown by the most recent tax collector's warrant books. 22 The purchaser or assignee shall pay to the clerk postage plus 23 the sum of $10. The clerk shall write or stamp the date of 24 receiving the notices upon the copies of the notices, and 25 retain one copy. 26 Section 370. Notice of expiration of period of 27 redemption. A purchaser or assignee shall not be entitled to 28 a tax certificate of title to the mobile home sold unless, 29 not less than 3 months nor more than 5 months prior to the 30 expiration of the period of redemption, he or she gives 31 notice of the sale and the date of expiration of the period 32 of redemption to the owners, occupants, and parties 33 interested in the mobile home as provided below. HB1975 Enrolled -61- LRB9201948SMdv 1 The Notice to be given to the parties shall be in at 2 least 10 point type in the following form completely filled 3 in: 4 TAX DEED NO. .................... FILED .................... 5 TAKE NOTICE 6 County of ............................................... 7 Date Premises Sold ...................................... 8 Certificate No. ........................................ 9 Sold for Taxes of (year) ................................ 10 Warrant No. ................ Inst. No. ................. 11 THIS PROPERTY HAS BEEN SOLD FOR 12 DELINQUENT TAXES 13 Property located at ......................................... 14 Mobile Home Vehicle Identification No. (or other unique 15 description) ................................................ 16 ............................................................. 17 ............................................................. 18 This notice is to advise you that the above mobile home 19 has been sold for delinquent taxes and that the period of 20 redemption from the sale will expire on ..................... 21 ............................................................. 22 The amount to redeem is subject to increase at 6 month 23 intervals from the date of sale and may be further increased 24 if the purchaser at the tax sale or his or her assignee pays 25 any subsequently accruing taxes to redeem the mobile home 26 from subsequent forfeitures or tax sales. Check with the 27 county clerk as to the exact amount you owe before redeeming. 28 This notice is also to advise you that a petition has 29 been filed for a tax certificate of title which will transfer 30 certificate of title and the right to possession of this 31 mobile home if redemption is not made on or before .......... 32 This matter is set for hearing in the Circuit Court of 33 this county in ...., Illinois on ..... 34 You may be present at this hearing but your right to HB1975 Enrolled -62- LRB9201948SMdv 1 redeem will already have expired at that time. 2 YOU ARE URGED TO REDEEM IMMEDIATELY 3 TO PREVENT LOSS OF PROPERTY 4 Redemption can be made at any time on or before .... by 5 applying to the County Clerk of .... County, Illinois at the 6 County Court House in ...., Illinois. 7 For further information contact the County Clerk. 8 .......................... 9 Purchaser or Assignee. 10 Section 375. Service of notice. The purchaser or his or 11 her assignee shall give the notice required by Section 370 by 12 causing it to be published in a newspaper as set forth in 13 Section 380. In addition, the notice shall be served by a 14 process server or sheriff (or if he or she is disqualified, 15 by a coroner) of the county in which the mobile home is 16 located upon owners who reside in the mobile home sold by 17 leaving a copy of the notice with those owners personally. 18 The same form of notice shall also be served upon all 19 other owners and parties interested in the mobile home, if 20 upon diligent inquiry they can be found in the county, and 21 upon the occupants of the mobile home in the following 22 manner: 23 (a) as to individuals, by (1) leaving a copy of the 24 notice with the person personally or (2) by leaving a 25 copy at his or her usual place of residence with a person 26 of the family, of the age of 13 years or more, and 27 informing that person of its contents. The person making 28 the service shall cause a copy of the notice to be sent 29 by registered or certified mail, return receipt 30 requested, to that party at his or her usual place of 31 residence; 32 (b) as to public and private corporations, 33 municipal, governmental and quasi-municipal corporations, HB1975 Enrolled -63- LRB9201948SMdv 1 partnerships, receivers and trustees of corporations, by 2 leaving a copy of the notice with the person designated 3 by the Civil Practice Law. 4 When a party interested in the mobile home is a trustee, 5 notice served upon the trustee shall be deemed to have been 6 served upon any beneficiary or note holder thereunder unless 7 the holder of the note is disclosed of record. 8 When a judgment is a lien upon the mobile home sold, the 9 holder of the lien shall be served with notice if the name of 10 the judgment debtor as shown in the transcript, certified 11 copy or memorandum of judgment filed of record is identical, 12 as to given name and surname, with the name of the party 13 interested as it appears of record. 14 If any owner or party interested, upon diligent inquiry 15 and effort, cannot be found or served with notice in the 16 county as provided in this Section, and the person in actual 17 occupancy and possession is tenant to, or in possession under 18 the owners or the parties interested in the mobile home, then 19 service of notice upon the tenant, occupant or person in 20 possession shall be deemed service upon the owners or parties 21 interested. 22 If any owner or party interested, upon diligent inquiry 23 and effort cannot be found or served with notice in the 24 county, then the person making the service shall cause a copy 25 of the notice to be sent by registered or certified mail, 26 return receipt requested, to that party at his or her 27 residence, if ascertainable. 28 Section 380. Proof of service of notice; publication of 29 notice. The sheriff or coroner serving notice under Section 30 375 shall endorse his or her return thereon and file it with 31 the clerk of the circuit court and it shall be a part of the 32 court record. A special process server appointed under 33 Section 375 shall make his or her return by affidavit and HB1975 Enrolled -64- LRB9201948SMdv 1 shall file it with the clerk of the circuit court, where it 2 shall be a part of the court record. If a sheriff, special 3 process server, or coroner to whom any notice is delivered 4 for service, neglects or refuses to make the return, the 5 purchaser or his or her assignee may petition the court to 6 enter a rule requiring the sheriff, special process server, 7 or coroner to make return of the notice on a day to be fixed 8 by the court, or to show cause on that day why he or she 9 should not be attached for contempt of the court. The 10 purchaser or assignee shall cause a written notice of the 11 rule to be served upon the sheriff, special process server, 12 or coroner. If good and sufficient cause to excuse the 13 sheriff, special process server, or coroner is not shown, the 14 court shall adjudge him or her guilty of contempt, and shall 15 proceed to punish him as in other cases of contempt. 16 If the mobile home is located in a municipality in a 17 county with less than 3,000,000 inhabitants, the purchaser or 18 his or her assignee shall also publish a notice as to the 19 owner or party interested, in some newspaper published in the 20 municipality. If the mobile home is not in a municipality in 21 a county with less than 3,000,000 inhabitants, or if no 22 newspaper is published therein, the notice shall be published 23 in some newspaper in the county. If no newspaper is 24 published in the county, then the notice shall be published 25 in the newspaper that is published nearest the county seat of 26 the county in which the mobile home is located. If the owners 27 and parties interested in the mobile home upon diligent 28 inquiry are unknown to the purchaser or his or her assignee, 29 the publication as to such owner or party interested, may be 30 made to unknown owners or parties interested. Any notice by 31 publication given under this Section shall be given 3 times 32 at any time after filing a petition for tax certificate of 33 title, but not less than 3 months nor more than 5 months 34 prior to the expiration of the period of redemption. The HB1975 Enrolled -65- LRB9201948SMdv 1 publication shall contain (a) notice of the filing of the 2 petition for tax certificate of title, (b) the date on which 3 the petitioner intends to make application for an order on 4 the petition that a tax certificate of title issue, (c) a 5 description of the mobile home, (d) the date upon which the 6 mobile home was sold, (e) the taxes for which it was sold and 7 (f) the date on which the period of redemption will expire. 8 The publication shall not include more than one mobile home 9 listed and sold in one description, except as provided in 10 Section 35, and except that when more than one mobile home is 11 owned by one person, all of the mobile homes owned by that 12 person may be included in one notice. 13 Section 385. Mailed notice. In addition to the notice 14 required to be served not less than 3 months nor more than 5 15 months prior to the expiration of the period of redemption, 16 the purchaser or his or her assignee shall prepare and 17 deliver to the clerk of the circuit court of the county in 18 which the mobile home is located, the notice provided for in 19 this Section, together with the statutory costs for mailing 20 the notice by certified mail, return receipt requested. The 21 form of notice to be mailed by the clerk shall be identical 22 in form to that provided by Section 370 for service upon 23 owners residing in the mobile home sold, except that it shall 24 bear the signature of the clerk and shall designate the 25 parties to whom it is to be mailed. The clerk may furnish 26 the form. The clerk shall promptly mail the notices 27 delivered to him or her by certified mail, return receipt 28 requested. The certificate of the clerk that he or she has 29 mailed the notices, together with the return receipts, shall 30 be filed in and made a part of the court record. The notices 31 shall be mailed to the owners of the mobile home at their 32 last known addresses, and to those persons who are entitled 33 to service of notice as occupants. HB1975 Enrolled -66- LRB9201948SMdv 1 Section 390. Petition for certificate of title. At any 2 time within 5 months but not less than 3 months prior to the 3 expiration of the redemption period for a mobile home sold 4 pursuant to judgment and order of sale under Sections 55 5 through 65 or 200, the purchaser or his or her assignee may 6 file a petition in the circuit court in the same proceeding 7 in which the judgment and order of sale were entered, asking 8 that the court direct the county clerk to issue a tax 9 certificate of title if the mobile home is not redeemed from 10 the sale. The petition shall be accompanied by the statutory 11 filing fee. 12 Notice of filing the petition and the date on which the 13 petitioner intends to apply for an order on the petition that 14 a certificate of title be issued if the mobile home is not 15 redeemed shall be given to occupants, owners, and persons 16 interested in the mobile home as part of the notice provided 17 in Sections 370 through 385, except that only one publication 18 is required. The county clerk shall be notified of the filing 19 of the petition and any person owning or interested in the 20 mobile home may, if he or she desires, appear in the 21 proceeding. 22 Section 395. Reimbursement of municipality before 23 issuance of tax certificate of title. An order for the 24 issuance of a tax certificate of title under this Act shall 25 not be entered affecting the title to or interest in any 26 mobile home in which a city, village, or incorporated town 27 has an interest under the police and welfare power by 28 advancements made from public funds, until the purchaser or 29 assignee makes reimbursement to the city, village, or 30 incorporated town of the money so advanced or the city, 31 village, or town waives its lien on the mobile home for the 32 money so advanced. However, in lieu of reimbursement or 33 waiver, the purchaser or his or her assignee may make HB1975 Enrolled -67- LRB9201948SMdv 1 application for and the court shall order that the tax 2 purchase be set aside as a sale in error. A filing or 3 appearance fee shall not be required of a city, village, or 4 incorporated town seeking to enforce its claim under this 5 Section in a tax certificate of title proceeding. 6 Section 400. Issuance of certificate of title; 7 possession. 8 (a) If the redemption period expires and the mobile home 9 has not been redeemed and all taxes which became due and 10 payable subsequent to the sale have been paid and all 11 forfeitures and sales which occur subsequent to the sale have 12 been redeemed and the notices required by law have been given 13 and all advancements of public funds under the police power 14 made by a city, village, or town under Section 395 have been 15 paid and the petitioner has complied with all the provisions 16 of law entitling him or her to a certificate of title, the 17 court shall so find and shall enter an order directing the 18 Secretary of State on the production of the certificate of 19 purchase and a certified copy of the order, to issue to the 20 purchaser or his or her assignee a tax certificate of title. 21 The court shall insist on strict compliance with Sections 370 22 through 385. Prior to the entry of an order directing the 23 issuance of a tax certificate of title, the petitioner shall 24 furnish the court with a report of proceedings of the 25 evidence received on the application for tax certificate of 26 title and the report of proceedings shall be filed and made a 27 part of the court record. 28 (b) If taxes for years prior to the year sold remain 29 delinquent at the time of the tax certificate of title 30 hearing, those delinquent taxes may be merged into the tax 31 certificate of title if the court determines that all other 32 requirements for receiving an order directing the issuance of 33 the tax certificate of title are fulfilled and makes a HB1975 Enrolled -68- LRB9201948SMdv 1 further determination under either paragraph (1) or (2). 2 (1) Incomplete estimate. 3 (A) The mobile home in question was purchased 4 at an annual sale; and 5 (B) the statement and estimate of forfeited 6 taxes furnished by the county clerk pursuant to 7 Section 175 failed to include all delinquent taxes 8 as of the date of that estimate's issuance. 9 (2) Vacating order. 10 (A) The petitioner furnishes the court with a 11 certified copy of an order vacating a prior sale for 12 the subject mobile home; 13 (B) the order vacating the sale was entered 14 after the date of purchase for the subject taxes; 15 (C) the sale in error was granted pursuant to 16 paragraphs (1), (2), or (4) of subsection (b) of 17 Section 255 or Section 395; and 18 (D) the tax purchaser who received the sale in 19 error has no affiliation, direct or indirect, with 20 the petitioner in the present proceeding and that 21 petitioner has signed an affidavit attesting to the 22 lack of affiliation. 23 If delinquent taxes are merged into the tax certificate of 24 title pursuant to this subsection, a declaration to that 25 effect shall be included in the order directing issuance of 26 the tax certificate of title. Nothing contained in this 27 Section shall relieve any owner liable for delinquent mobile 28 home taxes under the Mobile Home Local Services Tax Act from 29 the payment of the taxes that have been merged into the title 30 upon issuance of the tax certificate of title. 31 (c) Upon application the court shall enter an order to 32 place the tax certificate of title grantee in possession of 33 the mobile home and may enter orders and grant relief as may 34 be necessary or desirable to maintain the grantee in HB1975 Enrolled -69- LRB9201948SMdv 1 possession. 2 Section 402. Mobile homes located in manufactured home 3 community; requirements. The person who has a certificate of 4 purchase and obtains a court order directing the issuance of 5 a tax certificate of title under Section 400 for a mobile 6 home located on a lot in a manufactured home community is 7 liable for lot rent (at the prevailing rate) beginning on the 8 date of the entry of the court order and shall either (i) 9 qualify for tenancy in the manufactured home community in 10 accordance with the community's normal tenant qualification 11 and screening procedures or (ii) remove the mobile home from 12 the lot no later than 30 days after the date of the entry of 13 the court order. 14 Section 405. Tax certificate of title incontestable 15 unless order appealed or relief petitioned. Tax certificates 16 of title issued under Section 395 are incontestable except by 17 appeal from the order of the court directing the county clerk 18 to issue the tax certificate of title. However, relief from 19 such order may be had under Section 2-1401 of the Code of 20 Civil Procedure in the same manner and to the same extent as 21 may be had under that Section with respect to final orders 22 and judgments in other proceedings. The grounds for relief 23 under Section 2-1401 shall be limited to: 24 (1) proof that the taxes were paid prior to sale; 25 (2) proof that the mobile home was exempt from taxation; 26 (3) proof by clear and convincing evidence that the tax 27 certificate of title had been procured by fraud or deception 28 by the tax purchaser or his or her assignee; or 29 (4) proof by a person or party holding a recorded 30 ownership or other recorded interest in the mobile home that 31 he or she was not named as a party in the publication notice 32 as set forth in Section 380, and that the tax purchaser or HB1975 Enrolled -70- LRB9201948SMdv 1 his or her assignee did not make a diligent inquiry and 2 effort to serve that person or party with the notices 3 required by Sections 370 through 390. 4 The court hearing a petition filed under this Section or 5 Section 2-1401 of the Code of Civil Procedure may 6 concurrently hear a petition filed under Section 235 and may 7 grant relief under either Section. 8 Section 410. Denial of certificate of title. If the court 9 refuses to enter an order directing the Secretary of State to 10 execute and deliver the tax certificate of title, because of 11 the failure of the purchaser to fulfill any of the above 12 provisions, and if the purchaser, or his or her assignee has 13 made a bona fide attempt to comply with the statutory 14 requirements for the issuance of the tax certificate of 15 title, it shall order the return of the purchase price, and 16 subsequent taxes and posted costs forthwith, as in case of 17 sales in error, except that no interest shall be paid. 18 Section 412. Tax certificate of titles to convey 19 merchantable title. This Section shall be liberally 20 construed so that tax certificate of titles shall convey 21 merchantable title. 22 Section 415. Form of certificate of title. A tax 23 certificate of title executed by the Secretary of State vests 24 in the grantee the certificate of title of the mobile home 25 therein described without further acknowledgment or evidence 26 of the conveyance. The conveyance shall be substantially in 27 the following form: 28 At a public sale of mobile homes for the nonpayment of 29 taxes, held in the .... County, on (insert date), the 30 following described mobile home was sold: (here place 31 description of mobile home conveyed). The mobile home not HB1975 Enrolled -71- LRB9201948SMdv 1 having been redeemed from the sale, and it appearing that the 2 holder of the certificate of purchase of the mobile home has 3 complied with the laws of the State of Illinois necessary to 4 entitle (insert him, her or them) to a certificate of title 5 of the mobile home: I ...., (Secretary of State official) 6 ...., in consideration of the mobile home and by virtue of 7 the statutes of the State of Illinois in such cases provided, 8 issue a certificate of title to .... for the mobile home 9 described above. 10 Dated (insert date). 11 Signature of .................... 12 (Secretary of State) 13 Section 420. Certificate of title; prima facie evidence 14 of regularity of sale. 15 (a) As to the mobile home conveyed therein, tax 16 certificates of title executed by the Secretary of State are 17 prima facie evidence of the following facts in all 18 controversies and suits in relation to the rights of the tax 19 certificate of title grantee and his or her heirs or assigns: 20 (1) the mobile home conveyed was subject to 21 taxation at the time the tax was charged and was listed 22 and charged in the time and manner required by law; 23 (2) the taxes were not paid at any time before the 24 sale; 25 (3) the mobile home was advertised for sale in the 26 manner and for the length of time required by law; 27 (4) the mobile home was sold for taxes as stated in 28 the certificate of title; 29 (5) the sale was conducted in the manner required 30 by law; 31 (6) the mobile home conveyed was not redeemed from 32 the sale within the time permitted by law; 33 (7) the grantee in the certificate of title was the HB1975 Enrolled -72- LRB9201948SMdv 1 purchaser or assignee of the purchaser. 2 (b) Any order for the sale of a mobile home for 3 delinquent taxes, except as otherwise provided in this 4 Section, shall estop all parties from raising any objections 5 to the order or to a tax certificate of title based thereon, 6 which existed at or before the rendition of the order, and 7 which could have been presented as a defense to the 8 application for the order. The order itself is conclusive 9 evidence of its regularity and validity in all collateral 10 proceedings, except in cases where the tax was paid prior to 11 the sale or the mobile home was exempt from taxes. 12 Section 425. Order of court setting aside tax 13 certificate of title; payments to holder of certificate of 14 title. 15 (a) Any order of court vacating an order directing the 16 Secretary of State to issue a tax certificate of title based 17 upon a finding that the mobile home was not subject to 18 taxation, or that the taxes had been paid prior to the sale 19 of the mobile home, or that the tax sale was otherwise void, 20 shall declare the tax sale to be a sale in error pursuant to 21 Section 255 of this Act. The order shall direct the county 22 collector to refund to the tax certificate of title grantee 23 or his or her successors and assigns (or, if a tax 24 certificate of title has not yet issued, the holder of the 25 certificate of purchase) the following amounts: 26 (1) all taxes purchased, paid, or redeemed by the 27 tax purchaser or his or her assignee, or by the tax 28 certificate of title grantee or his or her successors and 29 assigns, whether before or after entry of the order for 30 tax certificate of title, with interest at the rate of 1% 31 per month from the date each amount was paid until the 32 date of payment pursuant to this Section; 33 (2) all costs paid and posted to the judgment HB1975 Enrolled -73- LRB9201948SMdv 1 record and not included in paragraph (1) of this 2 subsection (a); and 3 (3) court reporter fees for the hearing on the 4 application for tax certificate of title and transcript 5 thereof, cost of certification of tax certificate of 6 title order, cost of issuance of tax certificate of 7 title, and cost of transferring certificate of title to 8 the tax purchaser. 9 (b) Except in those cases described in subsection (a) of 10 this Section, and unless the court on motion of the tax 11 certificate of title petitioner extends the redemption period 12 to a date not later than 3 years from the date of sale, any 13 order of court finding that an order directing the Secretary 14 of State to issue a tax certificate of title should be 15 vacated shall direct the party who successfully contested the 16 entry of the order to pay to the tax certificate of title 17 grantee or his or her successors and assigns (or, if a tax 18 certificate of title has not yet issued, the holder of the 19 certificate) within 90 days after the date of the finding: 20 (1) the amount necessary to redeem the mobile home 21 from the sale as of the last day of the period of 22 redemption, except that, if the sale is a scavenger sale 23 pursuant to Section 200 of this Act, the redemption 24 amount shall not include an amount equal to all 25 delinquent taxes on such mobile home which taxes were 26 delinquent at the time of sale; and 27 (2) amounts in satisfaction of municipal liens paid 28 by the tax purchaser or his or her assignee, and the 29 amounts specified in paragraphs (1) and (3) of subsection 30 (a) of this Section, to the extent the amounts are not 31 included in paragraph (1) of this subsection (b). 32 If the payment is not made within the 90-day period, the 33 petition to vacate the order directing the Secretary of State 34 to issue a tax certificate of title shall be denied with HB1975 Enrolled -74- LRB9201948SMdv 1 prejudice, and the order directing the Secretary of State to 2 issue a tax certificate of title shall remain in full force 3 and effect. No final order vacating any order directing the 4 Secretary of State to issue a tax certificate of title shall 5 be entered pursuant to this subsection (b) until the payment 6 has been made. 7 Section 430. Failure to timely transfer certificate of 8 title; tax certificate of title is void. Unless the holder 9 of the certificate purchased at any tax sale under this Act 10 transfers the certificate of title within one year from and 11 after the time for redemption expires, the certificate of 12 purchase or order for tax certificate of title, and the sale 13 on which it is based, shall, after the expiration of the one 14 year period, be absolutely void with no right to 15 reimbursement. If the holder of the certificate of purchase 16 is prevented from obtaining a certificate of title by 17 injunction or order of any court, or by the refusal or 18 inability of any court to act upon the application for a tax 19 certificate of title, or by the refusal of the Secretary of 20 State to execute the same certificate of title, the time he 21 or she is so prevented shall be excluded from computation of 22 the one year period. Certificates of purchase and orders for 23 tax certificates of title executed by the court shall recite 24 the qualifications required in this Section. 25 Division 900. Amendatory provisions 26 Section 905. The Mobile Home Local Services Tax Act is 27 amended by changing Sections 6, 8, 9, and 10.1 as follows: 28 (35 ILCS 515/6) (from Ch. 120, par. 1206) 29 Sec. 6. Computation, certification, and distribution of 30 tax. Except as otherwise provided in this Section, within 60 HB1975 Enrolled -75- LRB9201948SMdv 1 days of receipt of each registration form, the county clerk 2 or, in counties in which a county assessor is elected 3 pursuant to Section 3-45 of the Property Tax Code, the county 4 assessor shall compute the tax due, as provided in Section 3, 5 and certify the tax to the county treasurer who shall mail 6 the tax bill to the owner of such mobile home at the time he 7 receives the certification or on the annual billing date, 8 whichever occurs later. If the registration form is 9 accompanied by a receipt for privilege taxes paid in Illinois 10 for the current tax year, no further privilege tax shall be 11 imposed for the remainder of the current tax year. If the 12 mobile home is initially harbored after the annual liability 13 date, as provided in Section 3 of this Act, the county clerk 14 or county assessor shall reduce such tax 1/12 for each month 15 that has passed since such annual liability date. A mobile 16 home harbored after the first day of such month shall be 17 considered to have been harbored for the entire month for the 18 purposes of this Section. Thereafter, for taxable years 19 prior to taxable year 2003, except for the year 1976, the 20 county clerk or county assessor shall compute such tax as of 21 the first day of June of each year and certify the tax to the 22 county treasurer. For taxable year 2003 and thereafter, the 23 county clerk or county assessor shall compute the tax as of 24 the first day of March of each year and certify the tax to 25 the county treasurer. Such tax shall be due and payable to 26 the county treasurer within 60 days after the treasurer mails 27 the tax bill to the address of record. The first tax bill 28 mailed for taxable year 2003 shall include the following 29 notice: "The manner in which delinquent taxes on mobile homes 30 are collected has been changed by the enactment of the Mobile 31 Home Local Services Tax Enforcement Act. Failure to pay this 32 tax can result in a penalty of $25 per month." The county 33 treasurer shall distribute such taxes to the local taxing 34 districts within the boundaries of which such mobile homes HB1975 Enrolled -76- LRB9201948SMdv 1 are located, in the same proportion as the property taxes 2 collectible for each such taxing district in the prior year. 3 In order to effect the change of the annual billing date 4 and the date of liability, provided for by this amendatory 5 Act of 1975, the county clerk shall compute such tax as of 6 July 1, 1976, for the 1/2 year period from July 1, 1976, 7 through December 31, 1976, at 1/2 the amount of the annual 8 tax. The tax for such period shall be certified, billed, 9 collected and distributed in the same manner as is provided 10 in this Section as taxes for a full year, and shall be 11 subject to a proportionate reduction if the mobile home is 12 initially harbored after July 1, 1976 and before January 1, 13 1977. 14 (Source: P.A. 88-670, eff. 12-2-94.) 15 (35 ILCS 515/8) (from Ch. 120, par. 1208) 16 Sec. 8. Failure to pay tax; lien. If any local services 17 tax imposed by this Act is not paid when due, the county 18 treasurer of the county in which the mobile home is located 19 shall have a lien on the mobile home for the amount of the 20 tax, addition to the tax, penalty and interest due. The 21 treasurer shall notify the taxpayer in writing of the 22 existence of the lien. Such lien shall terminate (i) unless 23 the county treasurer files with the county recorder of the 24 county in which the mobile home is located a notice of lien,25 within one year of such tax due date or (ii) if the county 26 treasurer applies for judgment and order of sale for 27 delinquent taxes on mobile homes pursuant to the provisions 28 of the Mobile Home Local Services Tax Enforcement Act and the 29 taxes are sold. From the time of the filing, the amount set 30 forth in the certificate also constitutes a lien upon all 31 property of the taxpayer then owned by him or thereafter 32 acquired by him in the period before the expiration of the 33 lien. Such liens have the same force, effect and priority as HB1975 Enrolled -77- LRB9201948SMdv 1 a judgment lien and continue for 10 years from the date of 2 the recording unless sooner released or otherwise discharged. 3 The county treasurer may, at any time, release all or any 4 portion of the property subject to any lien provided for in 5 this Act or subordinate the lien to other liens if he 6 determines that the taxes are sufficiently secured by a lien 7 or other property of the taxpayer or that the release or 8 subordination of the lien will not endanger or jeopardize the 9 collection of the taxes. 10 If the owner of a mobile home upon which the tax has not 11 been paid does not make payment within 6 months after a lien 12 has been filed, civil action may be instituted by the 13 collector for the amount of the tax, plus interest, penalties 14 and costs. If sale of the property is ordered, the court may 15 direct the sale to be made in cash or on such terms as it may 16 deem in the best interests of all parties. The court may 17 direct that such sale be held by the sheriff or in open 18 court. 19 (Source: P.A. 83-871.) 20 (35 ILCS 515/9) (from Ch. 120, par. 1209) 21 Sec. 9. Additional charge for delinquent taxes; penalty 22 for fraud. For taxable years prior to 2003, if any local 23 services tax, or part thereof, imposed by this Act is not 24 paid on or before the due date for such tax, interest on such 25 amount at the rate of 1 1/2% per month shall be paid for the 26 period from such due date to the date of payment of such 27 amount. For taxable year 2003 and thereafter, if any local 28 services tax, or part thereof, imposed by this Act is not 29 paid on or before the due date for such tax, the taxpayer 30 shall be required to pay a penalty of $25 per month, or any 31 portion thereof, not to exceed $100. If such failure to pay 32 such tax is the result of fraud, there shall be added to the 33 tax as a penalty an amount equal to 50% of the deficiency. HB1975 Enrolled -78- LRB9201948SMdv 1 (Source: P.A. 83-546.) 2 (35 ILCS 515/10.1) (from Ch. 120, par. 1210.1) 3 Sec. 10.1. Notice to assessor of ownership change. An 4 operator of a mobile home park licensed under the provisions 5 of the Mobile Home Park Act and any land owner on which an 6 inhabited mobile home is located"An Act to provide for,7license and regulate mobile homes and mobile home parks and8to repeal an Act named herein", approved September 8, 1971,9as amended,shall notify the township assessor, if any, or 10 the Supervisor of Assessments or county assessor if there is 11 no township assessor, or the county assessor in those 12 counties in which a county assessor is elected pursuant to 13 Section 3-45 of the Property Tax Code, when a change in 14 ownership occurs in a mobile home located in such a park or 15 on such land. Such notification shall include the same 16 information for the new owner as that contained in the 17 registration form required of mobile home park operators and 18 mobile home owners by Section 4 of this Act. 19 (Source: P.A. 88-670, eff. 12-2-94.) 20 Section 910. The Illinois Vehicle Code is amended by 21 changing Section 3-114 as follows: 22 (625 ILCS 5/3-114) (from Ch. 95 1/2, par. 3-114) 23 (Text of Section before amendment by P.A. 91-893) 24 Sec. 3-114. Transfer by operation of law. 25 (a) If the interest of an owner in a vehicle passes to 26 another other than by voluntary transfer, the transferee 27 shall, except as provided in paragraph (b), promptly mail or 28 deliver within 20 days to the Secretary of State the last 29 certificate of title, if available, proof of the transfer, 30 and his application for a new certificate in the form the 31 Secretary of State prescribes. It shall be unlawful for any HB1975 Enrolled -79- LRB9201948SMdv 1 person having possession of a certificate of title for a 2 motor vehicle, semi-trailer, or house car by reason of his 3 having a lien or encumbrance on such vehicle, to fail or 4 refuse to deliver such certificate to the owner, upon the 5 satisfaction or discharge of the lien or encumbrance, 6 indicated upon such certificate of title. 7 (b) If the interest of an owner in a vehicle passes to 8 another under the provisions of the Small Estates provisions 9 of the Probate Act of 1975 the transferee shall promptly mail 10 or deliver to the Secretary of State, within 120 days, the 11 last certificate of title, if available, the documentation 12 required under the provisions of the Probate Act of 1975, and 13 an application for certificate of title. The Small Estate 14 Affidavit form shall be furnished by the Secretary of State. 15 The transfer may be to the transferee or to the nominee of 16 the transferee. 17 (c) If the interest of an owner in a vehicle passes to 18 another under other provisions of the Probate Act of 1975, as 19 amended, and the transfer is made by a representative or 20 guardian, such transferee shall promptly mail or deliver to 21 the Secretary of State, the last certificate of title, if 22 available, and a certified copy of the letters of office or 23 guardianship, and an application for certificate of title. 24 Such application shall be made before the estate is closed. 25 The transfer may be to the transferee or to the nominee of 26 the transferee. 27 (d) If the interest of an owner in joint tenancy passes 28 to the other joint tenant with survivorship rights as 29 provided by law, the transferee shall promptly mail or 30 deliver to the Secretary of State, the last certificate of 31 title, if available, proof of death of the one joint tenant 32 and survivorship of the surviving joint tenant, and an 33 application for certificate of title. Such application shall 34 be made within 120 days after the death of the joint tenant. HB1975 Enrolled -80- LRB9201948SMdv 1 The transfer may be to the transferee or to the nominee of 2 the transferee. 3 (e) The Secretary of State shall transfer a decedent's 4 vehicle title to any legatee, representative or heir of the 5 decedent who submits to the Secretary a death certificate and 6 an affidavit by an attorney at law on the letterhead 7 stationery of the attorney at law stating the facts of the 8 transfer. 9 (f) Repossession with assignment of title. In all cases 10 wherein a lienholder has repossessed a vehicle by other than 11 judicial process and holds it for resale under a security 12 agreement, and the owner of record has executed an assignment 13 of the existing certificate of title after default, the 14 lienholder may proceed to sell or otherwise dispose of the 15 vehicle as authorized under the Uniform Commercial Code. 16 Upon selling the vehicle to another person, the lienholder 17 need not send the certificate of title to the Secretary of 18 State, but shall promptly and within 20 days mail or deliver 19 to the purchaser as transferee the existing certificate of 20 title for the repossessed vehicle, reflecting the release of 21 the lienholder's security interest in the vehicle. The 22 application for a certificate of title made by the purchaser 23 shall comply with subsection (a) of Section 3-104 and be 24 accompanied by the existing certificate of title for the 25 repossessed vehicle. The lienholder shall execute the 26 assignment and warranty of title showing the name and address 27 of the purchaser in the spaces provided therefor on the 28 certificate of title or as the Secretary of State prescribes. 29 The lienholder shall complete the assignment of title in the 30 certificate of title to reflect the transfer of the vehicle 31 to the lienholder and also a reassignment to reflect the 32 transfer from the lienholder to the purchaser. For this 33 purpose, the lienholder is specifically authorized to 34 complete and execute the space reserved in the certificate of HB1975 Enrolled -81- LRB9201948SMdv 1 title for a dealer reassignment, notwithstanding that the 2 lienholder is not a licensed dealer. Nothing herein shall be 3 construed to mean that the lienholder is taking title to the 4 repossessed vehicle for purposes of liability for retailer 5 occupation, vehicle use, or other tax with respect to the 6 proceeds from the repossession sale. Delivery of the 7 existing certificate of title to the purchaser shall be 8 deemed disclosure to the purchaser of the owner of the 9 vehicle. 10 (f-5) Repossession without assignment of title. In all 11 cases wherein a lienholder has repossessed a vehicle by other 12 than judicial process and holds it for resale under a 13 security agreement, and the owner of record has not executed 14 an assignment of the existing certificate of title, the 15 lienholder shall comply with the following provisions: 16 (1) Prior to sale, the lienholder shall deliver or 17 mail to the owner at the owner's last known address and 18 to any other lienholder of record, a notice of redemption 19 setting forth the following information: (i) the name of 20 the owner of record and in bold type at or near the top 21 of the notice a statement that the owner's vehicle was 22 repossessed on a specified date for failure to make 23 payments on the loan (or other reason), (ii) a 24 description of the vehicle subject to the lien sufficient 25 to identify it, (iii) the right of the owner to redeem 26 the vehicle, (iv) the lienholder's intent to sell or 27 otherwise dispose of the vehicle after the expiration of 28 21 days from the date of mailing or delivery of the 29 notice, and (v) the name, address, and telephone number 30 of the lienholder from whom information may be obtained 31 concerning the amount due to redeem the vehicle and from 32 whom the vehicle may be redeemed under Section 9-506 of 33 the Uniform Commercial Code. At the lienholder's option, 34 the information required to be set forth in this notice HB1975 Enrolled -82- LRB9201948SMdv 1 of redemption may be made a part of or accompany the 2 notification of sale or other disposition required under 3 subsection (3) of Section 9-504 of the Uniform Commercial 4 Code, but none of the information required by this notice 5 shall be construed to impose any requirement under 6 Article 9 of the Uniform Commercial Code. 7 (2) With respect to the repossession of a vehicle 8 used primarily for personal, family, or household 9 purposes, the lienholder shall also deliver or mail to 10 the owner at the owner's last known address an affidavit 11 of defense. The affidavit of defense shall accompany the 12 notice of redemption required in subdivision (f-5)(1) of 13 this Section. The affidavit of defense shall (i) identify 14 the lienholder, owner, and the vehicle; (ii) provide 15 space for the owner to state the defense claimed by the 16 owner; and (iii) include an acknowledgment by the owner 17 that the owner may be liable to the lienholder for fees, 18 charges, and costs incurred by the lienholder in 19 establishing the insufficiency or invalidity of the 20 owner's defense. To stop the transfer of title, the 21 affidavit of defense must be received by the lienholder 22 no later than 21 days after the date of mailing or 23 delivery of the notice required in subdivision (f-5)(1) 24 of this Section. If the lienholder receives the affidavit 25 from the owner in a timely manner, the lienholder must 26 apply to a court of competent jurisdiction to determine 27 if the lienholder is entitled to possession of the 28 vehicle. 29 (3) Upon selling the vehicle to another person, the 30 lienholder need not send the certificate of title to the 31 Secretary of State, but shall promptly and within 20 days 32 mail or deliver to the purchaser as transferee (i) the 33 existing certificate of title for the repossessed 34 vehicle, reflecting the release of the lienholder's HB1975 Enrolled -83- LRB9201948SMdv 1 security interest in the vehicle; and (ii) an affidavit 2 of repossession made by or on behalf of the lienholder 3 which provides the following information: that the 4 vehicle was repossessed, a description of the vehicle 5 sufficient to identify it, whether the vehicle has been 6 damaged in excess of 33 1/3% of its fair market value as 7 required under subdivision (b)(3) of Section 3-117.1, 8 that the owner and any other lienholder of record were 9 given the notice required in subdivision (f-5)(1) of this 10 Section, that the owner of record was given the affidavit 11 of defense required in subdivision (f-5)(2) of this 12 Section, that the interest of the owner was lawfully 13 terminated or sold pursuant to the terms of the security 14 agreement, and the purchaser's name and address. If the 15 vehicle is damaged in excess of 33 1/3% of its fair 16 market value, the lienholder shall make application for a 17 salvage certificate under Section 3-117.1 and transfer 18 the vehicle to a person eligible to receive assignments 19 of salvage certificates identified in Section 3-118. 20 (4) The application for a certificate of title made 21 by the purchaser shall comply with subsection (a) of 22 Section 3-104 and be accompanied by the affidavit of 23 repossession furnished by the lienholder and the existing 24 certificate of title for the repossessed vehicle. The 25 lienholder shall execute the assignment and warranty of 26 title showing the name and address of the purchaser in 27 the spaces provided therefor on the certificate of title 28 or as the Secretary of State prescribes. The lienholder 29 shall complete the assignment of title in the certificate 30 of title to reflect the transfer of the vehicle to the 31 lienholder and also a reassignment to reflect the 32 transfer from the lienholder to the purchaser. For this 33 purpose, the lienholder is specifically authorized to 34 execute the assignment on behalf of the owner as seller HB1975 Enrolled -84- LRB9201948SMdv 1 if the owner has not done so and to complete and execute 2 the space reserved in the certificate of title for a 3 dealer reassignment, notwithstanding that the lienholder 4 is not a licensed dealer. Nothing herein shall be 5 construed to mean that the lienholder is taking title to 6 the repossessed vehicle for purposes of liability for 7 retailer occupation, vehicle use, or other tax with 8 respect to the proceeds from the repossession sale. 9 Delivery of the existing certificate of title to the 10 purchaser shall be deemed disclosure to the purchaser of 11 the owner of the vehicle. In the event the lienholder 12 does not hold the certificate of title for the 13 repossessed vehicle, the lienholder shall make 14 application for and may obtain a new certificate of title 15 in the name of the lienholder upon furnishing information 16 satisfactory to the Secretary of State. Upon receiving 17 the new certificate of title, the lienholder may proceed 18 with the sale described in subdivision (f-5)(3), except 19 that upon selling the vehicle the lienholder shall 20 promptly and within 20 days mail or deliver to the 21 purchaser the new certificate of title reflecting the 22 assignment and transfer of title to the purchaser. 23 (5) Neither the lienholder nor the owner shall file 24 with the Office of the Secretary of State the notice of 25 redemption or affidavit of defense described in 26 subdivisions (f-5)(1) and (f-5)(2) of this Section. The 27 Office of the Secretary of State shall not determine the 28 merits of an owner's affidavit of defense, nor consider 29 any allegations or assertions regarding the validity or 30 invalidity of a lienholder's claim to the vehicle or an 31 owner's asserted defenses to the repossession action. 32 (f-7) Notice of reinstatement in certain cases. 33 (1) If, at the time of repossession by a lienholder 34 that is seeking to transfer title pursuant to subsection HB1975 Enrolled -85- LRB9201948SMdv 1 (f-5), the owner has paid an amount equal to 30% or more 2 of the deferred payment price or total of payments due, 3 the owner may, within 21 days of the date of 4 repossession, reinstate the contract or loan agreement 5 and recover the vehicle from the lienholder by tendering 6 in a lump sum (i) the total of all unpaid amounts, 7 including any unpaid delinquency or deferral charges due 8 at the date of reinstatement, without acceleration; and 9 (ii) performance necessary to cure any default other than 10 nonpayment of the amounts due; and (iii) all reasonable 11 costs and fees incurred by the lienholder in retaking, 12 holding, and preparing the vehicle for disposition and in 13 arranging for the sale of the vehicle. Reasonable costs 14 and fees incurred by the lienholder include without 15 limitation repossession and storage expenses and, if 16 authorized by the contract or loan agreement, reasonable 17 attorneys' fees and collection agency charges. 18 (2) Tender of payment and performance pursuant to 19 this limited right of reinstatement restores to the owner 20 his rights under the contract or loan agreement as though 21 no default had occurred. The owner has the right to 22 reinstate the contract or loan agreement and recover the 23 vehicle from the lienholder only once under this 24 subsection. The lienholder may, in the lienholder's sole 25 discretion, extend the period during which the owner may 26 reinstate the contract or loan agreement and recover the 27 vehicle beyond the 21 days allowed under this subsection, 28 and the extension shall not subject the lienholder to 29 liability to the owner under the laws of this State. 30 (3) The lienholder shall deliver or mail written 31 notice to the owner at the owner's last known address, 32 within 3 business days of the date of repossession, of 33 the owner's right to reinstate the contract or loan 34 agreement and recover the vehicle pursuant to the limited HB1975 Enrolled -86- LRB9201948SMdv 1 right of reinstatement described in this subsection. At 2 the lienholder's option, the information required to be 3 set forth in this notice of reinstatement may be made 4 part of or accompany the notice of redemption required in 5 subdivision (f-5)(1) of this Section and the notification 6 of sale or other disposition required under subsection 7 (3) of Section 9-504 of the Uniform Commercial Code, but 8 none of the information required by this notice of 9 reinstatement shall be construed to impose any 10 requirement under Article 9 of the Uniform Commercial 11 Code. 12 (4) The reinstatement period, if applicable, and 13 the redemption period described in subdivision (f-5)(1) 14 of this Section, shall run concurrently if the 15 information required to be set forth in the notice of 16 reinstatement is part of or accompanies the notice of 17 redemption. In any event, the 21 day redemption period 18 described in subdivision (f-5)(1) of this Section shall 19 commence on the date of mailing or delivery to the owner 20 of the information required to be set forth in the notice 21 of redemption, and the 21 day reinstatement period 22 described in this subdivision, if applicable, shall 23 commence on the date of mailing or delivery to the owner 24 of the information required to be set forth in the notice 25 of reinstatement. 26 (5) The Office of the Secretary of State shall not 27 determine the merits of an owner's claim of right to 28 reinstatement, nor consider any allegations or assertions 29 regarding the validity or invalidity of a lienholder's 30 claim to the vehicle or an owner's asserted right to 31 reinstatement. Where a lienholder is subject to 32 licensing and regulatory supervision by the State of 33 Illinois, the lienholder shall be subject to all of the 34 powers and authority of the lienholder's primary State HB1975 Enrolled -87- LRB9201948SMdv 1 regulator to enforce compliance with the procedures set 2 forth in this subsection (f-7). 3 (f-10) Repossession by judicial process. In all cases 4 wherein a lienholder has repossessed a vehicle by judicial 5 process and holds it for resale under a security agreement, 6 order for replevin, or other court order establishing the 7 lienholder's right to possession of the vehicle, the 8 lienholder may proceed to sell or otherwise dispose of the 9 vehicle as authorized under the Uniform Commercial Code or 10 the court order. Upon selling the vehicle to another person, 11 the lienholder need not send the certificate of title to the 12 Secretary of State, but shall promptly and within 20 days 13 mail or deliver to the purchaser as transferee (i) the 14 existing certificate of title for the repossessed vehicle 15 reflecting the release of the lienholder's security interest 16 in the vehicle; (ii) a certified copy of the court order; and 17 (iii) a bill of sale identifying the new owner's name and 18 address and the year, make, model, and vehicle identification 19 number of the vehicle. The application for a certificate of 20 title made by the purchaser shall comply with subsection (a) 21 of Section 3-104 and be accompanied by the certified copy of 22 the court order furnished by the lienholder and the existing 23 certificate of title for the repossessed vehicle. The 24 lienholder shall execute the assignment and warranty of title 25 showing the name and address of the purchaser in the spaces 26 provided therefor on the certificate of title or as the 27 Secretary of State prescribes. The lienholder shall complete 28 the assignment of title in the certificate of title to 29 reflect the transfer of the vehicle to the lienholder and 30 also a reassignment to reflect the transfer from the 31 lienholder to the purchaser. For this purpose, the 32 lienholder is specifically authorized to execute the 33 assignment on behalf of the owner as seller if the owner has 34 not done so and to complete and execute the space reserved in HB1975 Enrolled -88- LRB9201948SMdv 1 the certificate of title for a dealer reassignment, 2 notwithstanding that the lienholder is not a licensed dealer. 3 Nothing herein shall be construed to mean that the lienholder 4 is taking title to the repossessed vehicle for purposes of 5 liability for retailer occupation, vehicle use, or other tax 6 with respect to the proceeds from the repossession sale. 7 Delivery of the existing certificate of title to the 8 purchaser shall be deemed disclosure to the purchaser of the 9 owner of the vehicle. In the event the lienholder does not 10 hold the certificate of title for the repossessed vehicle, 11 the lienholder shall make application for and may obtain a 12 new certificate of title in the name of the lienholder upon 13 furnishing information satisfactory to the Secretary of 14 State. Upon receiving the new certificate of title, the 15 lienholder may proceed with the sale described in this 16 subsection, except that upon selling the vehicle the 17 lienholder shall promptly and within 20 days mail or deliver 18 to the purchaser the new certificate of title reflecting the 19 assignment and transfer of title to the purchaser. 20 (f-15) The Secretary of State shall not issue a 21 certificate of title to a purchaser under subsection (f), 22 (f-5), or (f-10) of this Section, unless the person from whom 23 the vehicle has been repossessed by the lienholder is shown 24 to be the last registered owner of the motor vehicle. The 25 Secretary of State may provide by rule for the standards to 26 be followed by a lienholder in assigning and transferring 27 certificates of title with respect to repossessed vehicles. 28 (f-20) If applying for a salvage certificate or a 29 junking certificate, the lienholder shall within 20 days make 30 an application to the Secretary of State for a salvage 31 certificate or a junking certificate, as set forth in this 32 Code. The Secretary of State shall not issue a salvage 33 certificate or a junking certificate to such lienholder 34 unless the person from whom such vehicle has been repossessed HB1975 Enrolled -89- LRB9201948SMdv 1 is shown to be the last registered owner of such motor 2 vehicle and such lienholder establishes to the satisfaction 3 of the Secretary of State that he is entitled to such salvage 4 certificate or junking certificate. The Secretary of State 5 may provide by rule for the standards to be followed by a 6 lienholder in order to obtain a salvage certificate or 7 junking certificate for a repossessed vehicle. 8 (g) A person holding a certificate of title whose 9 interest in the vehicle has been extinguished or transferred 10 other than by voluntary transfer shall mail or deliver the 11 certificate, within 20 days upon request of the Secretary of 12 State. The delivery of the certificate pursuant to the 13 request of the Secretary of State does not affect the rights 14 of the person surrendering the certificate, and the action of 15 the Secretary of State in issuing a new certificate of title 16 as provided herein is not conclusive upon the rights of an 17 owner or lienholder named in the old certificate. 18 (h) The Secretary of State may decline to process any 19 application for a transfer of an interest in a vehicle 20 hereunder if any fees or taxes due under this Act from the 21 transferor or the transferee have not been paid upon 22 reasonable notice and demand. 23 (i) The Secretary of State shall not be held civilly or 24 criminally liable to any person because any purported 25 transferor may not have had the power or authority to make a 26 transfer of any interest in any vehicle or because a 27 certificate of title issued in error is subsequently used to 28 commit a fraudulent act. 29 (Source: P.A. 90-212, eff. 1-1-98; 90-665, eff. 1-1-99.) 30 (Text of Section after amendment by P.A. 91-893) 31 Sec. 3-114. Transfer by operation of law. 32 (a) If the interest of an owner in a vehicle passes to 33 another other than by voluntary transfer, the transferee 34 shall, except as provided in paragraph (b), promptly mail or HB1975 Enrolled -90- LRB9201948SMdv 1 deliver within 20 days to the Secretary of State the last 2 certificate of title, if available, proof of the transfer, 3 and his application for a new certificate in the form the 4 Secretary of State prescribes. It shall be unlawful for any 5 person having possession of a certificate of title for a 6 motor vehicle, semi-trailer, or house car by reason of his 7 having a lien or encumbrance on such vehicle, to fail or 8 refuse to deliver such certificate to the owner, upon the 9 satisfaction or discharge of the lien or encumbrance, 10 indicated upon such certificate of title. 11 (b) If the interest of an owner in a vehicle passes to 12 another under the provisions of the Small Estates provisions 13 of the Probate Act of 1975 the transferee shall promptly mail 14 or deliver to the Secretary of State, within 120 days, the 15 last certificate of title, if available, the documentation 16 required under the provisions of the Probate Act of 1975, and 17 an application for certificate of title. The Small Estate 18 Affidavit form shall be furnished by the Secretary of State. 19 The transfer may be to the transferee or to the nominee of 20 the transferee. 21 (c) If the interest of an owner in a vehicle passes to 22 another under other provisions of the Probate Act of 1975, as 23 amended, and the transfer is made by a representative or 24 guardian, such transferee shall promptly mail or deliver to 25 the Secretary of State, the last certificate of title, if 26 available, and a certified copy of the letters of office or 27 guardianship, and an application for certificate of title. 28 Such application shall be made before the estate is closed. 29 The transfer may be to the transferee or to the nominee of 30 the transferee. 31 (d) If the interest of an owner in joint tenancy passes 32 to the other joint tenant with survivorship rights as 33 provided by law, the transferee shall promptly mail or 34 deliver to the Secretary of State, the last certificate of HB1975 Enrolled -91- LRB9201948SMdv 1 title, if available, proof of death of the one joint tenant 2 and survivorship of the surviving joint tenant, and an 3 application for certificate of title. Such application shall 4 be made within 120 days after the death of the joint tenant. 5 The transfer may be to the transferee or to the nominee of 6 the transferee. 7 (e) The Secretary of State shall transfer a decedent's 8 vehicle title to any legatee, representative or heir of the 9 decedent who submits to the Secretary a death certificate and 10 an affidavit by an attorney at law on the letterhead 11 stationery of the attorney at law stating the facts of the 12 transfer. 13 (f) Repossession with assignment of title. In all cases 14 wherein a lienholder has repossessed a vehicle by other than 15 judicial process and holds it for resale under a security 16 agreement, and the owner of record has executed an assignment 17 of the existing certificate of title after default, the 18 lienholder may proceed to sell or otherwise dispose of the 19 vehicle as authorized under the Uniform Commercial Code. 20 Upon selling the vehicle to another person, the lienholder 21 need not send the certificate of title to the Secretary of 22 State, but shall promptly and within 20 days mail or deliver 23 to the purchaser as transferee the existing certificate of 24 title for the repossessed vehicle, reflecting the release of 25 the lienholder's security interest in the vehicle. The 26 application for a certificate of title made by the purchaser 27 shall comply with subsection (a) of Section 3-104 and be 28 accompanied by the existing certificate of title for the 29 repossessed vehicle. The lienholder shall execute the 30 assignment and warranty of title showing the name and address 31 of the purchaser in the spaces provided therefor on the 32 certificate of title or as the Secretary of State prescribes. 33 The lienholder shall complete the assignment of title in the 34 certificate of title to reflect the transfer of the vehicle HB1975 Enrolled -92- LRB9201948SMdv 1 to the lienholder and also a reassignment to reflect the 2 transfer from the lienholder to the purchaser. For this 3 purpose, the lienholder is specifically authorized to 4 complete and execute the space reserved in the certificate of 5 title for a dealer reassignment, notwithstanding that the 6 lienholder is not a licensed dealer. Nothing herein shall be 7 construed to mean that the lienholder is taking title to the 8 repossessed vehicle for purposes of liability for retailer 9 occupation, vehicle use, or other tax with respect to the 10 proceeds from the repossession sale. Delivery of the 11 existing certificate of title to the purchaser shall be 12 deemed disclosure to the purchaser of the owner of the 13 vehicle. 14 (f-5) Repossession without assignment of title. In all 15 cases wherein a lienholder has repossessed a vehicle by other 16 than judicial process and holds it for resale under a 17 security agreement, and the owner of record has not executed 18 an assignment of the existing certificate of title, the 19 lienholder shall comply with the following provisions: 20 (1) Prior to sale, the lienholder shall deliver or 21 mail to the owner at the owner's last known address and 22 to any other lienholder of record, a notice of redemption 23 setting forth the following information: (i) the name of 24 the owner of record and in bold type at or near the top 25 of the notice a statement that the owner's vehicle was 26 repossessed on a specified date for failure to make 27 payments on the loan (or other reason), (ii) a 28 description of the vehicle subject to the lien sufficient 29 to identify it, (iii) the right of the owner to redeem 30 the vehicle, (iv) the lienholder's intent to sell or 31 otherwise dispose of the vehicle after the expiration of 32 21 days from the date of mailing or delivery of the 33 notice, and (v) the name, address, and telephone number 34 of the lienholder from whom information may be obtained HB1975 Enrolled -93- LRB9201948SMdv 1 concerning the amount due to redeem the vehicle and from 2 whom the vehicle may be redeemed under Section 9-623 of 3 the Uniform Commercial Code. At the lienholder's option, 4 the information required to be set forth in this notice 5 of redemption may be made a part of or accompany the 6 notification of sale or other disposition required under 7 Section 9-611 of the Uniform Commercial Code, but none of 8 the information required by this notice shall be 9 construed to impose any requirement under Article 9 of 10 the Uniform Commercial Code. 11 (2) With respect to the repossession of a vehicle 12 used primarily for personal, family, or household 13 purposes, the lienholder shall also deliver or mail to 14 the owner at the owner's last known address an affidavit 15 of defense. The affidavit of defense shall accompany the 16 notice of redemption required in subdivision (f-5)(1) of 17 this Section. The affidavit of defense shall (i) identify 18 the lienholder, owner, and the vehicle; (ii) provide 19 space for the owner to state the defense claimed by the 20 owner; and (iii) include an acknowledgment by the owner 21 that the owner may be liable to the lienholder for fees, 22 charges, and costs incurred by the lienholder in 23 establishing the insufficiency or invalidity of the 24 owner's defense. To stop the transfer of title, the 25 affidavit of defense must be received by the lienholder 26 no later than 21 days after the date of mailing or 27 delivery of the notice required in subdivision (f-5)(1) 28 of this Section. If the lienholder receives the affidavit 29 from the owner in a timely manner, the lienholder must 30 apply to a court of competent jurisdiction to determine 31 if the lienholder is entitled to possession of the 32 vehicle. 33 (3) Upon selling the vehicle to another person, the 34 lienholder need not send the certificate of title to the HB1975 Enrolled -94- LRB9201948SMdv 1 Secretary of State, but shall promptly and within 20 days 2 mail or deliver to the purchaser as transferee (i) the 3 existing certificate of title for the repossessed 4 vehicle, reflecting the release of the lienholder's 5 security interest in the vehicle; and (ii) an affidavit 6 of repossession made by or on behalf of the lienholder 7 which provides the following information: that the 8 vehicle was repossessed, a description of the vehicle 9 sufficient to identify it, whether the vehicle has been 10 damaged in excess of 33 1/3% of its fair market value as 11 required under subdivision (b)(3) of Section 3-117.1, 12 that the owner and any other lienholder of record were 13 given the notice required in subdivision (f-5)(1) of this 14 Section, that the owner of record was given the affidavit 15 of defense required in subdivision (f-5)(2) of this 16 Section, that the interest of the owner was lawfully 17 terminated or sold pursuant to the terms of the security 18 agreement, and the purchaser's name and address. If the 19 vehicle is damaged in excess of 33 1/3% of its fair 20 market value, the lienholder shall make application for a 21 salvage certificate under Section 3-117.1 and transfer 22 the vehicle to a person eligible to receive assignments 23 of salvage certificates identified in Section 3-118. 24 (4) The application for a certificate of title made 25 by the purchaser shall comply with subsection (a) of 26 Section 3-104 and be accompanied by the affidavit of 27 repossession furnished by the lienholder and the existing 28 certificate of title for the repossessed vehicle. The 29 lienholder shall execute the assignment and warranty of 30 title showing the name and address of the purchaser in 31 the spaces provided therefor on the certificate of title 32 or as the Secretary of State prescribes. The lienholder 33 shall complete the assignment of title in the certificate 34 of title to reflect the transfer of the vehicle to the HB1975 Enrolled -95- LRB9201948SMdv 1 lienholder and also a reassignment to reflect the 2 transfer from the lienholder to the purchaser. For this 3 purpose, the lienholder is specifically authorized to 4 execute the assignment on behalf of the owner as seller 5 if the owner has not done so and to complete and execute 6 the space reserved in the certificate of title for a 7 dealer reassignment, notwithstanding that the lienholder 8 is not a licensed dealer. Nothing herein shall be 9 construed to mean that the lienholder is taking title to 10 the repossessed vehicle for purposes of liability for 11 retailer occupation, vehicle use, or other tax with 12 respect to the proceeds from the repossession sale. 13 Delivery of the existing certificate of title to the 14 purchaser shall be deemed disclosure to the purchaser of 15 the owner of the vehicle. In the event the lienholder 16 does not hold the certificate of title for the 17 repossessed vehicle, the lienholder shall make 18 application for and may obtain a new certificate of title 19 in the name of the lienholder upon furnishing information 20 satisfactory to the Secretary of State. Upon receiving 21 the new certificate of title, the lienholder may proceed 22 with the sale described in subdivision (f-5)(3), except 23 that upon selling the vehicle the lienholder shall 24 promptly and within 20 days mail or deliver to the 25 purchaser the new certificate of title reflecting the 26 assignment and transfer of title to the purchaser. 27 (5) Neither the lienholder nor the owner shall file 28 with the Office of the Secretary of State the notice of 29 redemption or affidavit of defense described in 30 subdivisions (f-5)(1) and (f-5)(2) of this Section. The 31 Office of the Secretary of State shall not determine the 32 merits of an owner's affidavit of defense, nor consider 33 any allegations or assertions regarding the validity or 34 invalidity of a lienholder's claim to the vehicle or an HB1975 Enrolled -96- LRB9201948SMdv 1 owner's asserted defenses to the repossession action. 2 (f-7) Notice of reinstatement in certain cases. 3 (1) If, at the time of repossession by a lienholder 4 that is seeking to transfer title pursuant to subsection 5 (f-5), the owner has paid an amount equal to 30% or more 6 of the deferred payment price or total of payments due, 7 the owner may, within 21 days of the date of 8 repossession, reinstate the contract or loan agreement 9 and recover the vehicle from the lienholder by tendering 10 in a lump sum (i) the total of all unpaid amounts, 11 including any unpaid delinquency or deferral charges due 12 at the date of reinstatement, without acceleration; and 13 (ii) performance necessary to cure any default other than 14 nonpayment of the amounts due; and (iii) all reasonable 15 costs and fees incurred by the lienholder in retaking, 16 holding, and preparing the vehicle for disposition and in 17 arranging for the sale of the vehicle. Reasonable costs 18 and fees incurred by the lienholder include without 19 limitation repossession and storage expenses and, if 20 authorized by the contract or loan agreement, reasonable 21 attorneys' fees and collection agency charges. 22 (2) Tender of payment and performance pursuant to 23 this limited right of reinstatement restores to the owner 24 his rights under the contract or loan agreement as though 25 no default had occurred. The owner has the right to 26 reinstate the contract or loan agreement and recover the 27 vehicle from the lienholder only once under this 28 subsection. The lienholder may, in the lienholder's sole 29 discretion, extend the period during which the owner may 30 reinstate the contract or loan agreement and recover the 31 vehicle beyond the 21 days allowed under this subsection, 32 and the extension shall not subject the lienholder to 33 liability to the owner under the laws of this State. 34 (3) The lienholder shall deliver or mail written HB1975 Enrolled -97- LRB9201948SMdv 1 notice to the owner at the owner's last known address, 2 within 3 business days of the date of repossession, of 3 the owner's right to reinstate the contract or loan 4 agreement and recover the vehicle pursuant to the limited 5 right of reinstatement described in this subsection. At 6 the lienholder's option, the information required to be 7 set forth in this notice of reinstatement may be made 8 part of or accompany the notice of redemption required in 9 subdivision (f-5)(1) of this Section and the notification 10 of sale or other disposition required under Section 9-611 11 of the Uniform Commercial Code, but none of the 12 information required by this notice of reinstatement 13 shall be construed to impose any requirement under 14 Article 9 of the Uniform Commercial Code. 15 (4) The reinstatement period, if applicable, and 16 the redemption period described in subdivision (f-5)(1) 17 of this Section, shall run concurrently if the 18 information required to be set forth in the notice of 19 reinstatement is part of or accompanies the notice of 20 redemption. In any event, the 21 day redemption period 21 described in subdivision (f-5)(1) of this Section shall 22 commence on the date of mailing or delivery to the owner 23 of the information required to be set forth in the notice 24 of redemption, and the 21 day reinstatement period 25 described in this subdivision, if applicable, shall 26 commence on the date of mailing or delivery to the owner 27 of the information required to be set forth in the notice 28 of reinstatement. 29 (5) The Office of the Secretary of State shall not 30 determine the merits of an owner's claim of right to 31 reinstatement, nor consider any allegations or assertions 32 regarding the validity or invalidity of a lienholder's 33 claim to the vehicle or an owner's asserted right to 34 reinstatement. Where a lienholder is subject to HB1975 Enrolled -98- LRB9201948SMdv 1 licensing and regulatory supervision by the State of 2 Illinois, the lienholder shall be subject to all of the 3 powers and authority of the lienholder's primary State 4 regulator to enforce compliance with the procedures set 5 forth in this subsection (f-7). 6 (f-10) Repossession by judicial process. In all cases 7 wherein a lienholder has repossessed a vehicle by judicial 8 process and holds it for resale under a security agreement, 9 order for replevin, or other court order establishing the 10 lienholder's right to possession of the vehicle, the 11 lienholder may proceed to sell or otherwise dispose of the 12 vehicle as authorized under the Uniform Commercial Code or 13 the court order. Upon selling the vehicle to another person, 14 the lienholder need not send the certificate of title to the 15 Secretary of State, but shall promptly and within 20 days 16 mail or deliver to the purchaser as transferee (i) the 17 existing certificate of title for the repossessed vehicle 18 reflecting the release of the lienholder's security interest 19 in the vehicle; (ii) a certified copy of the court order; and 20 (iii) a bill of sale identifying the new owner's name and 21 address and the year, make, model, and vehicle identification 22 number of the vehicle. The application for a certificate of 23 title made by the purchaser shall comply with subsection (a) 24 of Section 3-104 and be accompanied by the certified copy of 25 the court order furnished by the lienholder and the existing 26 certificate of title for the repossessed vehicle. The 27 lienholder shall execute the assignment and warranty of title 28 showing the name and address of the purchaser in the spaces 29 provided therefor on the certificate of title or as the 30 Secretary of State prescribes. The lienholder shall complete 31 the assignment of title in the certificate of title to 32 reflect the transfer of the vehicle to the lienholder and 33 also a reassignment to reflect the transfer from the 34 lienholder to the purchaser. For this purpose, the HB1975 Enrolled -99- LRB9201948SMdv 1 lienholder is specifically authorized to execute the 2 assignment on behalf of the owner as seller if the owner has 3 not done so and to complete and execute the space reserved in 4 the certificate of title for a dealer reassignment, 5 notwithstanding that the lienholder is not a licensed dealer. 6 Nothing herein shall be construed to mean that the lienholder 7 is taking title to the repossessed vehicle for purposes of 8 liability for retailer occupation, vehicle use, or other tax 9 with respect to the proceeds from the repossession sale. 10 Delivery of the existing certificate of title to the 11 purchaser shall be deemed disclosure to the purchaser of the 12 owner of the vehicle. In the event the lienholder does not 13 hold the certificate of title for the repossessed vehicle, 14 the lienholder shall make application for and may obtain a 15 new certificate of title in the name of the lienholder upon 16 furnishing information satisfactory to the Secretary of 17 State. Upon receiving the new certificate of title, the 18 lienholder may proceed with the sale described in this 19 subsection, except that upon selling the vehicle the 20 lienholder shall promptly and within 20 days mail or deliver 21 to the purchaser the new certificate of title reflecting the 22 assignment and transfer of title to the purchaser. 23 (f-15) The Secretary of State shall not issue a 24 certificate of title to a purchaser under subsection (f), 25 (f-5), or (f-10) of this Section, unless the person from whom 26 the vehicle has been repossessed by the lienholder is shown 27 to be the last registered owner of the motor vehicle. The 28 Secretary of State may provide by rule for the standards to 29 be followed by a lienholder in assigning and transferring 30 certificates of title with respect to repossessed vehicles. 31 (f-20) If applying for a salvage certificate or a 32 junking certificate, the lienholder shall within 20 days make 33 an application to the Secretary of State for a salvage 34 certificate or a junking certificate, as set forth in this HB1975 Enrolled -100- LRB9201948SMdv 1 Code. The Secretary of State shall not issue a salvage 2 certificate or a junking certificate to such lienholder 3 unless the person from whom such vehicle has been repossessed 4 is shown to be the last registered owner of such motor 5 vehicle and such lienholder establishes to the satisfaction 6 of the Secretary of State that he is entitled to such salvage 7 certificate or junking certificate. The Secretary of State 8 may provide by rule for the standards to be followed by a 9 lienholder in order to obtain a salvage certificate or 10 junking certificate for a repossessed vehicle. 11 (f-25) If the interest of an owner in a mobile home, as 12 defined in the Mobile Home Local Services Tax Act, passes to 13 another under the provisions of the Mobile Home Local 14 Services Tax Enforcement Act, the transferee shall promptly 15 mail or deliver to the Secretary of State (i) the last 16 certificate of title, if available, (ii) a certified copy of 17 the court order ordering the transfer of title, and (iii) an 18 application for certificate of title. 19 (g) A person holding a certificate of title whose 20 interest in the vehicle has been extinguished or transferred 21 other than by voluntary transfer shall mail or deliver the 22 certificate, within 20 days upon request of the Secretary of 23 State. The delivery of the certificate pursuant to the 24 request of the Secretary of State does not affect the rights 25 of the person surrendering the certificate, and the action of 26 the Secretary of State in issuing a new certificate of title 27 as provided herein is not conclusive upon the rights of an 28 owner or lienholder named in the old certificate. 29 (h) The Secretary of State may decline to process any 30 application for a transfer of an interest in a vehicle 31 hereunder if any fees or taxes due under this Act from the 32 transferor or the transferee have not been paid upon 33 reasonable notice and demand. 34 (i) The Secretary of State shall not be held civilly or HB1975 Enrolled -101- LRB9201948SMdv 1 criminally liable to any person because any purported 2 transferor may not have had the power or authority to make a 3 transfer of any interest in any vehicle or because a 4 certificate of title issued in error is subsequently used to 5 commit a fraudulent act. 6 (Source: P.A. 90-212, eff. 1-1-98; 90-665, eff. 1-1-99; 7 91-893, eff. 7-1-01.) 8 Section 995. No acceleration or delay. Where this Act 9 makes changes in a statute that is represented in this Act by 10 text that is not yet or no longer in effect (for example, a 11 Section represented by multiple versions), the use of that 12 text does not accelerate or delay the taking effect of (i) 13 the changes made by this Act or (ii) provisions derived from 14 any other Public Act. 15 Division 999. Effective date 16 Section 999. Effective date. This Act takes effect on 17 January 1, 2003.