Public Act 90-0383 of the 90th General Assembly
Public Act 90-0383
HB0358 Enrolled LRB9000211PTcw
AN ACT to amend the Residential Real Property Disclosure
Act by changing Sections 5, 25, 30, 35, 40, and 55.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Residential Real Property Disclosure Act
is amended by changing Sections 5, 25, 30, 35, 40, and 55 as
follows:
(765 ILCS 77/5)
Sec. 5. Definitions. As used in this Act, unless the
context otherwise requires the following terms have the
meaning given in this Section.
"Residential real property" means real property improved
with not less than one nor more than 4 residential dwelling
units; units in residential cooperatives; or, condominium
units, including the limited common elements allocated to the
exclusive use thereof that form an integral part of the
condominium unit.
"Seller" means every person or entity who is an owner,
beneficiary of a trust, contract purchaser or lessee of a
ground lease, who has an interest (legal or equitable) in
residential real property. However, "seller" shall not
include any person who has both (i) never occupied the
residential real property and (ii) never had the management
responsibility for the residential real property nor
delegated such responsibility for the residential real
property to another person or entity.
"Prospective buyer" means any person or entity
negotiating or offering to become an owner or lessee of
residential real property by means of a transfer for value to
which this Act applies.
(Source: P.A. 88-111.)
(765 ILCS 77/25)
Sec. 25. Liability of seller.
(a) The seller is not liable for any error, inaccuracy,
or omission of any information delivered pursuant to this Act
if (i) the seller had no knowledge of the error, inaccuracy,
or omission, (ii) the error, inaccuracy, or omission was
based on a reasonable belief that a material defect or other
matter not disclosed had been corrected, or (iii) the error,
inaccuracy, or omission was based on information provided by
a public agency or by a licensed engineer, land surveyor,
structural pest control operator, or by a contractor about
matters within the scope of the contractor's occupation and
the seller had no knowledge of the error, inaccuracy, or
omission.
(b) The seller shall disclose material defects of which
the seller has actual knowledge.
(c) The seller is not obligated by this Act to make any
specific investigation or inquiry in an effort to complete
the disclosure statement.
(d) The seller is under no obligation to amend the
disclosure document after its delivery to a prospective buyer
unless the disclosure document contains errors, inaccuracies,
or omissions of which the seller had actual knowledge at the
time the disclosure document was completed and signed by the
seller. However, seller shall remain subject to the
provisions of Section 45 of this Act.
(Source: P.A. 88-111.)
(765 ILCS 77/30)
Sec. 30. Disclosure supplement. If prior to closing,
any seller has actual knowledge of an error, inaccuracy, or
omission in any prior disclosure document after delivery of
that disclosure document to a prospective buyer, that seller
shall supplement the prior disclosure document with a written
supplemental disclosure. If information disclosed in
accordance with this Act is subsequently rendered inaccurate
as a result of any act, occurrence, incident, or agreement
subsequent to the delivery of the required disclosure
document, the inaccuracy resulting therefrom from does not
constitute a violation of this Act.
(Source: P.A. 88-111.)
(765 ILCS 77/35)
Sec. 35. Disclosure report form. The disclosures
required of a seller by this Act, shall be made in the
following form:
RESIDENTIAL REAL PROPERTY DISCLOSURE REPORT
NOTICE: THE PURPOSE OF THIS REPORT IS TO PROVIDE
PROSPECTIVE BUYERS WITH INFORMATION ABOUT MATERIAL DEFECTS IN
THE RESIDENTIAL REAL PROPERTY. THIS REPORT DOES NOT LIMIT
THE PARTIES RIGHT TO CONTRACT FOR THE SALE OF RESIDENTIAL
REAL PROPERTY IN "AS IS" CONDITION. UNDER COMMON LAW SELLERS
WHO DISCLOSE MATERIAL DEFECTS MAY BE UNDER A CONTINUING
OBLIGATION TO ADVISE THE PROSPECTIVE BUYERS ABOUT THE
CONDITION OF THE RESIDENTIAL REAL PROPERTY EVEN AFTER THE
REPORT IS DELIVERED TO THE PROSPECTIVE BUYER. COMPLETION OF
THIS REPORT BY SELLER CREATES LEGAL OBLIGATIONS ON SELLER
THEREFORE SELLER MAY WISH TO CONSULT AN ATTORNEY PRIOR TO
COMPLETION OF THIS REPORT.
Property Address: ...........................................
City, State & Zip Code: .....................................
Seller's Name: ..............................................
This Report is a disclosure of certain conditions of the
residential real property listed above in compliance with the
Residential Real Property Disclosure Act. This information
is provided as of ...(month) ...(day) ...(year), and does not
reflect any changes made or occurring after that date or
information that becomes known to the seller after that date.
The disclosures herein shall not be deemed warranties of any
kind by the seller or any person representing any party in
this transaction.
In this form, "am aware" means to have actual notice or
actual knowledge without any specific investigation or
inquiry. In this form a "material defect" means a condition
that would have a substantial adverse effect on the value of
the residential real property or that would significantly
impair the health or safety of future occupants of the
residential real property unless the seller reasonably
believes that the condition has been corrected.
The seller discloses the following information with the
knowledge that even though the statements herein are not
deemed to be warranties, prospective buyers may choose to
rely on this information in deciding whether or not and on
what terms to purchase the residential real property.
The seller represents that to the best of his or her
actual knowledge, the following statements have been
accurately noted as "yes", (correct), "no" (incorrect) or
"not applicable" to the property being sold. If the seller
indicates that the response to any statement, except number
1, is yes or not applicable, the seller shall provide an
explanation, in the additional information area of this form.
YES NO N/A
1. ..... ..... ..... Seller has occupied the property
within the last 12 months. (No
explanation is needed.)
2. ..... ..... ..... I am aware of flooding or recurring
leakage problems in the crawl space
or basement.
3. ..... ..... ..... I am aware that the property is
located in a flood plain or that I
currently have flood hazard
insurance on the property.
4. ..... ..... ..... I am aware of material defects in
the basement or foundation
(including cracks and bulges).
5. ..... ..... ..... I am aware of leaks or material
defects in the roof, ceilings, or
chimney.
6. ..... ..... ..... I am aware of material defects in
the walls or floors.
7. ..... ..... ..... I am aware of material defects in
the electrical system.
8. ..... ..... ..... I am aware of material defects in
the plumbing system (includes such
things as water heater, sump pump,
water treatment system, sprinkler
system, and swimming pool).
9. ..... ..... ..... I am aware of material defects in
the well or well equipment.
10. ..... ..... ..... I am aware of unsafe conditions in
the drinking water.
11. ..... ..... ..... I am aware of material defects in
the heating, air conditioning, or
ventilating systems.
12. ..... ..... ..... I am aware of material defects in
the fireplace or woodburning stove.
13. ..... ..... ..... I am aware of material defects in
the septic, sanitary sewer, or other
disposal system.
14. ..... ..... ..... I am aware of unsafe concentrations
of radon on the premises.
15. ..... ..... ..... I am aware of unsafe concentrations
of or unsafe conditions relating to
asbestos on the premises.
16. ..... ..... ..... I am aware of unsafe concentrations
of or unsafe conditions relating to
lead paint, lead water pipes, lead
plumbing pipes or lead in the soil
on the premises.
17. ..... ..... ..... I am aware of mine subsidence,
underground pits, settlement,
sliding, upheaval, or other earth
stability defects on the premises.
18. ..... ..... ..... I am aware of current infestations
of termites or other wood boring
insects.
19. ..... ..... ..... I am aware of a structural defect
caused by previous infestations of
termites or other wood boring
insects.
20. ..... ..... ..... I am aware of underground fuel
storage tanks on the property.
21. ..... ..... ..... I am aware of boundary or lot line
disputes.
22. ..... ..... ..... I have received notice of violation
of local, state or federal laws or
regulations relating to this
property, which violation has not
been corrected.
Note: These disclosures are not intended to cover the
common elements of a condominium, but only the actual
residential real property including limited common elements
allocated to the exclusive use thereof that form an integral
part of the condominium unit.
Note: These disclosures are intended to reflect the
current condition of the premises and do not include previous
problems, if any, that the seller reasonably believes have
been corrected.
If any of the above are marked "not applicable" or "yes",
please explain here or use additional pages, if necessary:
.............................................................
.............................................................
.............................................................
Check here if additional pages used: .....
Seller certifies that seller has prepared this statement
and certifies that the information provided is based on the
actual notice or actual knowledge of the seller without any
specific investigation or inquiry on the part of the seller.
The seller hereby authorizes any person representing any
principal in this transaction to provide a copy of this
report, and to disclose any information in the report, to any
person in connection with any actual or anticipated sale of
the property.
Seller: ............................... Date: ...............
Seller: ............................... Date: ...............
PROSPECTIVE BUYER IS AWARE THAT THE PARTIES MAY CHOOSE TO
NEGOTIATE AN AGREEMENT FOR THE SALE OF THE PROPERTY SUBJECT
TO ANY OR ALL MATERIAL DEFECTS DISCLOSED IN THIS REPORT ("AS
IS"). THIS DISCLOSURE IS NOT A SUBSTITUTE FOR ANY
INSPECTIONS OR WARRANTIES THAT THE PROSPECTIVE BUYER OR
SELLER MAY WISH TO OBTAIN OR NEGOTIATE. THE FACT THAT THE
SELLER IS NOT AWARE OF A PARTICULAR CONDITION OR PROBLEM IS
NO GUARANTEE THAT IT DOES NOT EXIST. PROSPECTIVE BUYER IS
AWARE THAT HE MAY REQUEST AN INSPECTION OF THE PREMISES
PERFORMED BY A QUALIFIED PROFESSIONAL.
Prospective Buyer: .................. Date: ...... Time: ....
Prospective Buyer: .................. Date: ...... Time: ....
(Source: P.A. 88-111.)
(765 ILCS 77/40)
Sec. 40. Material defect. If a material defect is
disclosed in the Residential Real Property Disclosure Report,
delivered to a prospective buyer after acceptance by the
prospective buyer of an offer or counter-offer made by a
seller or after the execution of an offer made by a
prospective buyer that is accepted by the seller for the
conveyance of the residential real property, then the
prospective buyer may, within 3 business days after receipt
of that report by the prospective buyer, terminate the
contract or other agreement without any liability or recourse
except for the return to prospective buyer of all earnest
money deposits or down payments paid by prospective buyer in
the transaction. If a material defect is disclosed in a
supplement to this disclosure document, the prospective buyer
shall not have a right to terminate unless the material
defect results from an error, inaccuracy, or omission of
which the seller had actual knowledge at the time the prior
disclosure document was completed and signed by the seller.
The right to terminate the contract, however, shall no longer
exist after the conveyance of the residential real property.
For purposes of this Act the termination shall be deemed to
be made when written notice of termination is personally
delivered to at least one of the sellers identified in the
contract or other agreement or when deposited, certified or
registered mail, with the United States Postal Service,
addressed to one of the sellers at the address indicated in
the contract or agreement, or, if there is not an address
contained therein, then at the address indicated for the
residential real property on the report.
A prospective buyer shall have no right to terminate the
contract or other agreement under this Act if the report is
delivered before the prospective buyer enters into an
agreement for the conveyance, lease, or other transfer of the
residential real property.
(Source: P.A. 88-111.)
(765 ILCS 77/55)
Sec. 55. Violations and damages. If the seller fails or
refuses to provide the disclosure document prior to the
conveyance of the residential real property, the buyer shall
have the right to terminate the contract. No transfer subject
to this Act shall be invalidated solely because of the
failure of any person to comply with any provision of this
Act. However, A person who knowingly violates or fails to
perform any duty prescribed by any provision of this Act or
who discloses any information on the Residential Real
Property Disclosure Report that he knows to be false shall be
liable in the amount of actual damages and court costs, and
the court may award reasonable attorney fees incurred by the
prevailing party.
(Source: P.A. 88-111.)