[ Home ] [ ILCS ] [ Search ] [ Bottom ]
[ Other General Assemblies ]
Public Act 92-0798
HB5803 Enrolled LRB9215552OBsb
AN ACT relating to auctions.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Auction License Act is amended by
changing Section 10-1 and adding Section 10-27 as follows:
(225 ILCS 407/10-1)
(Section scheduled to be repealed on January 1, 2010)
Sec. 10-1. Necessity of license; exemptions.
(a) It is unlawful for any person, corporation, limited
liability company, partnership, or other entity to conduct an
auction, provide an auction service, hold himself or herself
out as an auctioneer, or advertise his or her services as an
auctioneer in the State of Illinois without a license issued
by OBRE under this Act, except at:
(1) an auction conducted solely by or for a
not-for-profit organization for charitable purposes;
(2) an auction conducted by the owner of the
property, real or personal;
(3) an auction for the sale or lease of real
property conducted by a licensee under the Real Estate
License Act, or its successor Acts, in accordance with
the terms of that Act; and
(4) an auction conducted by a business registered
as a market agency under the federal Packers and
Stockyards Act (7 U.S.C. 181 et seq.) or under the
Livestock Auction Market Law;.
(5) an auction conducted by an agent, officer, or
employee of a federal agency in the conduct of his or her
official duties; and
(6) an auction conducted by an agent, officer, or
employee of the State government or any political
subdivision thereof performing his or her official
duties.
(b) Nothing in this Act shall be construed to apply to a
new or used vehicle dealer or a vehicle auctioneer licensed
by the Secretary of State of Illinois, or to any employee of
the licensee, who is a resident of the State of Illinois,
while the employee is acting in the regular scope of his or
her employment for the licensee while conducting an auction
that is not open to the public, provided that only new or
used vehicle dealers, rebuilders, automotive parts recyclers,
scrap processors, or out-of-state salvage vehicle buyers
licensed by the Secretary of State or licensed by another
jurisdiction may buy property at the auction, or to sales by
or through the licensee.
(c) Nothing in this Act shall be construed to prohibit a
person under the age of 18 from selling property under $250
in value while under the direct supervision of a licensed
auctioneer.
(d) Nothing in this Act, except Section 10-27, shall be
construed to apply to a person while providing an Internet
auction listing service as defined in Section 10-27.
(Source: P.A. 91-603, eff. 1-1-00.)
(225 ILCS 407/10-27 new)
Sec. 10-27. Registration of Internet Auction Listing
Service.
(a) For the purposes of this Section:
(1) "Internet Auction Listing Service" means a
website on the Internet, or other interactive computer
service that is designed to allow or advertised as a
means of allowing users to offer personal property or
services for sale or lease to a prospective buyer or
lessee through an on-line bid submission process using
that website or interactive computer service and that
does not examine, set the price, or prepare the
description of the personal property or service to be
offered, or in any way utilize the services of a natural
person as an auctioneer.
(2) "Interactive computer service" means any
information service, system, or access software provider
that provides or enables computer access by multiple
users to a computer server, including specifically a
service or system that provides access to the Internet.
(b) It is unlawful for any person, corporation, limited
liability company, partnership, or other entity to provide an
Internet auction listing service in the State of Illinois for
compensation without being registered with the Office of
Banks and Real Estate (OBRE) when:
(1) the person, corporation, limited liability
company, partnership, or other entity providing the
Internet auction listing service is located in the State
of Illinois;
(2) the prospective seller or seller, prospective
lessor or lessor, or prospective purchaser or purchaser
is located in the State of Illinois and is required to
agree to terms with the person, corporation, limited
liability company, partnership, or other entity providing
the Internet auction listing service, no matter where
that person, corporation, limited liability company,
partnership, or other entity is located; or
(3) the personal property or services offered for
sale or lease are located or will be provided in the
State of Illinois.
(c) Any person, corporation, limited liability company,
partnership, or other entity that provides an Internet
auction listing service in the State of Illinois for
compensation under any of the circumstances listed in
subsection (b) shall register with OBRE on forms provided by
OBRE accompanied by the required fee as provided by rule.
Such registration shall include information as required by
OBRE and established by rule as OBRE deems necessary to
enable users of the Internet auction listing service in
Illinois to identify the entity providing the service and to
seek redress or further information from such entity. The fee
shall be sufficient to cover the reasonable costs of OBRE in
administering and enforcing the provisions of this Section.
The registrant shall be required to certify:
(1) that the registrant does not act as the agent
of users who sell items on its website, and acts only as
a venue for user transactions;
(2) that the registrant requires sellers and
bidders to register with the website and provide their
name, address, telephone number and e-mail address;
(3) that the registrant retains such information
for a period of at least 2 years;
(4) that the registrant retains transactional
information consisting of at least seller identification,
high bidder identification, and item sold for at least 2
years from the close of a transaction, and has a
mechanism to identify all transactions involving a
particular seller or buyer;
(5) that the registrant has a mechanism to receive
complaints or inquiries from users;
(6) that the registrant adopts and reasonably
implements a policy of suspending, in appropriate
circumstances, the accounts of users who, based on the
registrant's investigation, are proven to have engaged in
a pattern of activity that appears to be deliberately
designed to defraud consumers on the registrant's
website; and
(7) that the registrant will comply with OBRE and
law enforcement requests for stored data in its
possession, subject to the requirements of applicable
law.
(d) OBRE may refuse to accept a registration which is
incomplete or not accompanied by the required fee. OBRE may
impose a civil penalty not to exceed $10,000 upon any
Internet auction listing service that intentionally fails to
register as required by this Section, and may impose such
penalty or revoke, suspend, or place on probation or
administrative supervision the registration of any Internet
auction listing service that:
(1) intentionally makes a false or fraudulent
material representation or material misstatement or
misrepresentation to OBRE in connection with its
registration, including in the certification required
under subsection (c);
(2) is convicted of any crime, an essential element
of which is dishonesty, fraud, larceny, embezzlement, or
obtaining money, property, or credit by false pretenses
or by means of a confidence game; or is convicted in this
or another state of a crime that is a felony under the
laws of this State; or is convicted of a felony in a
federal court;
(3) is adjudged to be a person under legal
disability or subject to involuntary admission or to meet
the standard for judicial admission as provided in the
Mental Health and Developmental Disabilities Code;
(4) has been subject to discipline by another
state, the District of Columbia, a territory of the
United States, a foreign nation, a governmental agency,
or any other entity authorized to impose discipline if at
least one of the grounds for that discipline is the same
as or equivalent to one of the grounds for discipline set
forth in this Section or for failing to report to OBRE,
within 30 days, any adverse final action taken against
the registrant by any other licensing or registering
jurisdiction, government agency, law enforcement agency,
or court, or liability for conduct that would constitute
grounds for action as set forth in this Section;
(5) fails to make available to OBRE personnel
during normal business hours all records and related
documents maintained in connection with the activities
subject to registration under this Section;
(6) makes or files false records or reports in
connection with activities subject to registration,
including but not limited to false records or reports
filed with State agencies;
(7) fails to provide information within 30 days in
response to a written request made by the OBRE to a
person designated in the registration for receipt of such
requests; or
(8) fails to perform any act or procedure described
in subsection (c) of this Section.
(e) Registrations issued pursuant to this Section shall
expire on September 30 of odd-numbered years. A registrant
shall submit a renewal application to OBRE on forms provided
by OBRE along with the required fee as established by rule.
(f) Operating an Internet auction listing service under
any of the circumstances listed in subsection (b) without
being currently registered under this Section is declared to
be adverse to the public welfare, to constitute a public
nuisance, and to cause irreparable harm to the public
welfare. The Commissioner of OBRE, the Attorney General of
the State of Illinois, the State's Attorney of any county in
the State, or any other person may maintain an action and
apply for injunctive relief in any circuit court to enjoin
the person or entity from engaging in such practice.
(g) The provisions of Sections 20-25, 20-30, 20-35,
20-40, 20-45, 20-50, 20-55, 20-60 and 20-75 of this Act shall
apply to any actions of OBRE exercising its authority under
subsection (d) as if a person required to register under this
Section were a person holding or claiming to hold a license
under this Act.
(h) OBRE shall have the authority to adopt such rules as
may be necessary to implement or interpret the provisions of
this Section.
Section 99. Effective date. This Act takes effect upon
becoming law.
Passed in the General Assembly May 23, 2002.
Approved August 15, 2002.
Effective August 15, 2002.
[ Top ]