96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010
HB0447


 
Introduced 2/4/2009, by Rep. Paul D. Froehlich
 
SYNOPSIS AS INTRODUCED:
 		








  



625 ILCS 5/4-205
  from Ch. 95 1/2, par. 4-205



770 ILCS 45/6.5 new






770 ILCS 50/2.5 new






770 ILCS 90/4 new










    Amends the Illinois Vehicle Code, Labor and Storage Lien Act, Labor and Storage Lien (Small Amount) Act, and Sale of Unclaimed Property Act to provide a process of providing notice to motor vehicle owners and lienholders prior to auction sale or impoundment. Provides that a towing service or person seeking to foreclose on a lien must contact the Secretary of State and request that the Secretary search the vehicle registration records of the State of Illinois for information relating to the owner of the vehicle and lienholders of record. Provides that in event the Secretary of State does not find any record of the motor vehicle, the towing service or person seeking to foreclose on a lien must search a national vehicle record information service and search the vehicle for any evidence relating to an owner or lienholder. Provides that any owner or lienholder identified by the procedures in this Act must be given notice of the motor vehicle impoundment or auction sale. Provides that the failure to perform the procedures in this Act will render any subsequent sale voidable by a court of competent jurisdiction. Reorganizes a provision of the Illinois Vehicle Code relating to record searches by deleting and adding the same language in different locations. Effective immediately.
















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FISCAL NOTE ACT MAY APPLY
















 


 


A BILL FOR









 











HB0447

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    AN ACT concerning civil law.

 
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    Be it enacted by the People of the State of Illinois,
 
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represented in the General Assembly:


 
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    Section 5. The Illinois Vehicle Code is amended  by changing 
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Section 4-205 as follows:
 



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    (625 ILCS 5/4-205)  (from Ch. 95 1/2, par. 4-205)


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    Sec. 4-205. Record searches. 

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    (a) When a law enforcement agency authorizing the 
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impounding of a vehicle
does not know the identity of the 
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registered owner, lienholder or other legally
entitled person, 
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that law enforcement agency will cause the vehicle
registration 
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records of the State of Illinois to be searched by the

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Secretary of State for the purpose of obtaining the required 
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ownership
information.

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    (b) The law enforcement agency authorizing the impounding 
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of a vehicle
will cause the stolen motor vehicle files of the 
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State Police to be
searched by a directed communication to the 
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State Police for stolen or
wanted information on the vehicle. 
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When the State Police files are
searched with negative results, 
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the information contained in the
National Crime Information 
21
Center (NCIC) files will be searched by the
State Police. The 
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information determined from these record searches will
be 
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returned to the requesting law enforcement agency for that 
 


 






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agency's
use in sending a notification by certified mail to the 
2
registered owner,
lienholder and other legally entitled 
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persons advising where the vehicle
is held, requesting a 
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disposition be made and setting forth public sale
information.  
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Notification shall be sent no later than 10 business days after

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the date the law enforcement agency impounds or authorizes the 
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impounding of a
vehicle, provided that if the law enforcement 
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agency is unable to determine the
identity of the registered 
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owner, lienholder or other person legally entitled
to ownership 
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of the impounded vehicle within a 10 business day period after

11
impoundment, then notification shall be sent no later than 2 
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days after the
date the identity of the registered owner, 
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lienholder or other person legally
entitled to ownership of the 
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impounded vehicle is determined. Exceptions to a
notification 
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by certified mail to the registered owner, lienholder and other

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legally entitled persons are set forth in Section 4-209 of this 
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Code.

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    (c) When ownership information is needed for a
towing 
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service to give notification as required under this Code, the 
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towing
service may cause the vehicle registration records of 
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the State of Illinois to
be searched by the Secretary of State, 
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and in such case, the towing service also shall give notice to 
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all lienholders of record within the time period required for  
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such other notices.

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    The written request of a towing service, in the form and

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containing the information prescribed by the Secretary of State 
 


 






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by rule, may be
transmitted to the Secretary of State in 
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person, by U.S.
mail or other delivery service, by facsimile 
3
transmission, or by other
means the Secretary of State deems 
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acceptable.

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    The Secretary of State shall provide the required 
6
information, or
a statement that the information was not found 
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in the vehicle registration
records of the State, by U.S. mail 
8
or other delivery service, facsimile
transmission, as 
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requested by the towing service, or by other means acceptable

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to the Secretary of State.

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        (1) The written request of a towing service, in the 
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    form and
containing the information prescribed by the 
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    Secretary of State by rule, may be
transmitted to the 
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    Secretary of State in person, by U.S.
mail or other 
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    delivery service, by facsimile transmission, or by other

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    means the Secretary of State deems acceptable. 
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        (2) The Secretary of State shall provide the required 
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    information, or
a statement that the information was not 
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    found in the vehicle registration
records of the State, by 
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    U.S. mail or other delivery service, facsimile

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    transmission, as requested by the towing service, or by 
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    other means acceptable
to the Secretary of State. 
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        (3) In the event the Secretary of State does not find 
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    information in the vehicle registration records of the 
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    State, the towing service shall attempt to identify the 
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    owner of the vehicle by the following means: 
 


 






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            (i)  using the vehicle identification number to 
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        conduct a search through a commercial, nation-wide 
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        motor vehicle information service; and
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            (ii)  inspecting the vehicle for any evidence of the 
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        name or address of the owner or the state of 
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        registration.  If evidence of the address of the owner 
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        is found, notice shall be sent to that address.  If 
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        evidence of the state of registration is found, the 
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        motor vehicle department of that state shall be 
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        contacted and requested to perform a record search for 
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        the name and address of any owner or lienholder. 
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    (c-5) The failure to perform the searches required by 
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subsection (c) shall render any subsequent sale voidable by a 
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court of competent jurisdiction. 
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    (d) The Secretary of State may prescribe standards and 
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procedures for
submission of requests for record searches and 
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replies via computer link.

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    (e) Fees for services provided under this Section shall be 
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in amounts
prescribed by the Secretary of State under Section 
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3-821.1 of this Code.
Payment may be made by the towing service 
21
using cash, any commonly accepted
credit card, or any other 
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means of payment deemed acceptable by the Secretary
of State.

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(Source: P.A. 95-838, eff. 8-15-08.)

 
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    Section 10. The Labor and Storage Lien Act is amended  by 
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adding Section 6.5 as follows:
 
 


 






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    (770 ILCS 45/6.5  new)
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    Sec. 6.5. Motor vehicle record searches.
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    (a) Prior to selling a motor vehicle pursuant to this Act, 
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the person seeking to foreclose the lien shall contact the 
5
Secretary of State and request that the Secretary search the 
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vehicle registration records of the State of Illinois for 
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information relating to the owner of the vehicle and 
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lienholders of record.
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        (1) The request shall be in writing in the form and 
10
    containing the information prescribed by the Secretary of 
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    State by rule, and may be transmitted to the Secretary of 
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    State in person, by U.S. mail or other delivery service, by 
13
    facsimile transmission, or by other means the Secretary of 
14
    State deems acceptable.
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        (2) The Secretary of State shall provide the required 
16
    information, or a statement that the information was not 
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    found in the vehicle registration records of the State, by 
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    U.S. mail or other delivery service, facsimile 
19
    transmission, as requested by the person seeking to 
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    foreclose the lien, or by other means acceptable to the 
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    Secretary of State.
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        (3) In the event the Secretary of State did not find 
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    information in the vehicle registration records of the 
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    State, the person seeking to foreclose the lien shall 
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    attempt to identify the owner or lienholder of the vehicle 
 


 






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    by the following means:
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            (i)  using the vehicle identification number to 
3
        conduct a search through a commercial, nation-wide 
4
        motor vehicle information service; and
5
            (ii)  inspecting the vehicle for any evidence of the 
6
        name or address of the owner or the state of 
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        registration.  If evidence of the address of the owner 
8
        is found, notice shall be sent to that address.  If 
9
        evidence of the state of registration is found, the 
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        motor vehicle department of that state shall be 
11
        contacted and requested to perform a record search for 
12
        the name and address of any owner or lienholder.
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    (b) Any owner or lienholder identified by the procedures 
14
set forth in this Section shall be given notice as required by 
15
this Act.
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    (c) The failure to perform the searches required by this 
17
Section shall render any subsequent sale voidable by a court of 
18
competent jurisdiction. 
 
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    Section 15. The Labor and Storage Lien (Small Amount) Act 
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is amended  by adding Section 2.5 as follows:
 
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    (770 ILCS 50/2.5 new)

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    Sec. 2.5. Motor vehicle record searches.
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    (a) Prior to selling a motor vehicle pursuant to this Act, 
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the person seeking to foreclose the lien shall contact the 
 


 






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Secretary of State and request that the Secretary search the 
2
vehicle registration records of the State of Illinois for 
3
information relating to the owner of the vehicle and 
4
lienholders of record.
5
        (1) The request shall be in writing in the form and 
6
    containing the information prescribed by the Secretary of 
7
    State by rule, and may be transmitted to the Secretary of 
8
    State in person, by U.S. mail or other delivery service, by 
9
    facsimile transmission, or by other means the Secretary of 
10
    State deems acceptable.
11
        (2) The Secretary of State shall provide the required 
12
    information, or a statement that the information was not 
13
    found in the vehicle registration records of the State, by 
14
    U.S. mail or other delivery service, facsimile 
15
    transmission, as requested by the person seeking to 
16
    foreclose the lien, or by other means acceptable to the 
17
    Secretary of State.
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        (3) In the event the Secretary of State did not find 
19
    information in the vehicle registration records of the 
20
    State, the person seeking to foreclose the lien shall 
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    attempt to identify the owner or lienholder of the vehicle 
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    by the following means:
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            (i)  using the vehicle identification number to 
24
        conduct a search through a commercial, nation-wide 
25
        motor vehicle information service; and
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            (ii)  inspecting the vehicle for any evidence of the 
 


 






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        name or address of the owner or the state of 
2
        registration.  If evidence of the address of the owner 
3
        is found, notice shall be sent to that address.  If 
4
        evidence of the state of registration is found, the 
5
        motor vehicle department of that state shall be 
6
        contacted and requested to perform a record search for 
7
        the name and address of any owner or lienholder.
8
    (b) Any owner or lienholder identified by the procedures 
9
set forth in this Section shall be given notice as required by 
10
this Act.
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    (c) The failure to perform the searches required by this 
12
Section shall render any subsequent sale voidable by a court of 
13
competent jurisdiction. 
 
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    Section 20. The Sale of Unclaimed Property Act is amended  
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by adding Section 4 as follows:
 
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    (770 ILCS 90/4  new)
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    Sec. 4. Motor vehicle record searches.
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    (a) Prior to selling a motor vehicle pursuant to this Act, 
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the person seeking to foreclose the lien shall contact the 
20
Secretary of State and request that the Secretary search the 
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vehicle registration records of the State of Illinois for 
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information relating to the owner of the vehicle and 
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lienholders of record.
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        (1) The request shall be in writing in the form and 
 


 






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    containing the information prescribed by the Secretary of 
2
    State by rule, and may be transmitted to the Secretary of 
3
    State in person, by U.S. mail or other delivery service, by 
4
    facsimile transmission, or by other means the Secretary of 
5
    State deems acceptable.
6
        (2) The Secretary of State shall provide the required 
7
    information, or a statement that the information was not 
8
    found in the vehicle registration records of the State, by 
9
    U.S. mail or other delivery service, facsimile 
10
    transmission, as requested by the person seeking to 
11
    foreclose the lien, or by other means acceptable to the 
12
    Secretary of State.
13
        (3) In the event the Secretary of State did not find 
14
    information in the vehicle registration records of the 
15
    State, the person seeking to foreclose the lien shall 
16
    attempt to identify the owner or lienholder of the vehicle 
17
    by the following means:
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            (i)  using the vehicle identification number to 
19
        conduct a search through a commercial, nation-wide 
20
        motor vehicle information service; and
21
            (ii)  inspecting the vehicle for any evidence of the 
22
        name or address of the owner or the state of 
23
        registration.  If evidence of the address of the owner 
24
        is found, notice shall be sent to that address.  If 
25
        evidence of the state of registration is found, the 
26
        motor vehicle department of that state shall be 
 


 






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        contacted and requested to perform a record search for 
2
        the name and address of any owner or lienholder.
3
    (b) Any owner or lienholder identified by the procedures 
4
set forth in this Section shall be given notice as required by 
5
this Act.
6
    (c) The failure to perform the searches required by this 
7
Section shall render any subsequent sale voidable by a court of 
8
competent jurisdiction. 
 

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    Section 99. Effective date. This Act takes effect upon 
10
becoming law.