Public Act 90-0383 of the 90th General Assembly

State of Illinois
Public Acts
90th General Assembly

[ Home ] [ Public Acts ] [ ILCS ] [ Search ] [ Bottom ]


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.)

[ Top ]