SB2905 93RD GENERAL ASSEMBLY

LRB093 19300 LRD 45036 b

93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004
SB2905

Introduced 2/6/2004, by Terry Link

SYNOPSIS AS INTRODUCED:

815 ILCS 308/10
815 ILCS 308/15
815 ILCS 308/20
815 ILCS 308/25
815 ILCS 308/70
815 ILCS 308/75

Amends the Automotive Collision Repair Act. Changes the definition of the term "automotive collision and body repair facility" to include a person, firm, association, or corporation that engages in the business of estimating the cost of cosmetic repair, structural repair, or refinishing of motor vehicles with defect related to accident or collision. Makes changes concerning disclosures a collision repair facility must present to a consumer when the facility is required to present an estimated price quotation to the consumer. Provides that if it is determined that the estimated price of a repair is insufficient because of unforeseen circumstances, the consumer is entitled to full compensation for additional parts or labor subsequent to a complete diagnosis. Makes changes concerning what constitutes unlawful practice under the Act. Makes other changes.

A BILL FOR

AN ACT concerning business transactions.

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

Section 5. The Automotive Collision Repair Act is amended by changing Sections 10, 15, 20, 25, 70, and 75 as follows:

(815 ILCS 308/10)

Sec. 10. Definitions. As used in this Act:

"Automotive collision and body repair" means all repairs that are commonly performed by a body repair technician to restore a motor vehicle damaged in an accident or collision to a condition similar to the motor vehicle condition prior to the damage or deterioration including, but not limited to, the diagnosis, installation, exchange, repair, or refinishing of exterior body panels, trim, lighting, and structural chassis. The term does not include commercial fleet repair or maintenance transactions involving 2 or more motor vehicles or ongoing service or maintenance contracts involving motor vehicles used primarily for business purposes.

"Automotive collision and body repair facility" means a person, firm, association, or corporation that for compensation engages in the business of cosmetic repair, structural repair, or refinishing of motor vehicles with defect related to accident or collision or in estimating the cost of cosmetic repair, structural repair, or refinishing of motor vehicles with defect related to accident or collision.

"New part" means a part or component manufactured or supplied by the original motor vehicle manufacturer in an unused condition.

"Used part" means an original motor vehicle manufacturer part or component removed from a motor vehicle of similar make, model, and condition without the benefit of being rebuilt or remanufactured.

"Rebuilt part" or "reconditioned part" means a used part that has been inspected and remanufactured to restore functionality and performance.

"Aftermarket part" means a new part that is not manufactured or supplied by the original motor vehicle manufacturer for addition to, or replacement of, exterior body panel or trim.

(Source: P.A. 93-565, eff. 1-1-04.)

(815 ILCS 308/15)

Sec. 15. Disclosure to consumers; estimates.

(a) No work for compensation that exceeds $100 shall be commenced without specific authorization from the consumer after the disclosure set forth in this Section.

(b) Every motor vehicle collision repair facility shall either (i) give to each consumer a written estimated price for labor and parts for a specific repair and shall not charge for work done or parts supplied in an amount that exceeds the estimate by more than 10% without oral or written consent from the consumer; or (ii) give to each consumer a written price limit for each specific repair and shall not exceed that limit without oral or written consent of the consumer. The estimate shall include the total costs to repair the motor vehicle.

Estimates shall include all charges to be paid by the consumer to complete the repair, including any charges for estimates, diagnostics, storage, and administrative fees.

(c) Motor vehicle collision repair facilities shall describe in the estimate the major parts needed to effectuate the repair and shall designate the parts as either new parts, used parts, rebuilt or reconditioned parts, or aftermarket parts as set forth in Section 10 of this Act.

(d) Estimates shall indicate that the collision repair facility may use a combination of industry standard flat rate (time) manuals, actual time, or condition of the motor vehicle to determine labor costs. This disclosure mandate may also be fulfilled by means of a sign that provides the same information to the consumer. The sign shall be posted at a location that can be easily viewed by the consumer.

(e) If it is necessary to disassemble or partially disassemble a motor vehicle or motor vehicle component in order to provide the consumer a written estimate for required repairs, the estimate shall show the cost of any disassembly, diagnostics, storage, and administrative fees if the consumer elects not to proceed with the repair of the motor vehicle.

(f) The estimate shall include the date the estimate was prepared or the date the motor vehicle was presented to the collision repair facility for repair and the odometer reading on the motor vehicle at the time the estimate was prepared motor vehicle was left with the collision repair facility.

(Source: P.A. 93-565, eff. 1-1-04.)

(815 ILCS 308/20)

Sec. 20. Notice of consumer's rights; estimate. When an estimate is required to be presented to a consumer, a collision repair facility shall disclose to the prospective consumer an estimated price quotation with the following statement included or attached with the consumer's signature:

"You are entitled to a price estimate for the repairs needed to restore your vehicle to a condition similar to the motor vehicle condition prior to the damage or deterioration." you have authorized. The repair price may be less than the estimate but shall not exceed: (1) any price limited estimate; or (2) any parts or labor estimate by more than 10%. Additional repairs may not be performed without your consent.

You may waive your right to notification, which gives the collision repair facility the right to set the price without your permission. Your signature will indicate your selection.

(a) I request an estimate in writing before you begin repairs.

Signature .......................

(b) Please proceed with repairs but call me for approval before continuing if the price exceeds $..............

Signature ......................

(c) I do not want an estimate and you may set the price of repairs.

Signature ....................

Date.............. Time.....................

This estimated price for authorized repairs will be honored if the motor vehicle is delivered to the facility within the time period agreed to by the consumer and the collision repair facility."

(Source: P.A. 93-565, eff. 1-1-04.)

(815 ILCS 308/25)

Sec. 25. Estimated price insufficient. If it is determined that the estimated price is insufficient because of unforeseen circumstances, the consumer is entitled to full compensation for additional parts or labor subsequent to a complete diagnosis. consumer's consent must be obtained before the work estimated is done or parts estimated are supplied. If the consumer's consent is oral, the motor vehicle collision repair facility shall make a notation on the work order or estimate and on the invoice of the date, time, name of person authorizing the additional repairs, and telephone number called, if any, together with a specification of the additional parts and labor and the total additional cost.

(Source: P.A. 93-565, eff. 1-1-04.)

(815 ILCS 308/70)

Sec. 70. Unlawful practice acts or practices. The Each of the following practice acts or practices is unlawful when committed by a motor vehicle collision repair facility:

A pattern or practice of preparing written estimates that underestimate the final cost of repairs as established by a reasonable basis. For the purpose of this Section, a reasonable basis means (i) that the repair service is consistent with specifications established by law or by the manufacturer of the motor vehicle, component, or part or (ii) that the repair is in accordance with usual and customary practices.

(1) Advertising in a false, deceptive, or misleading manner.

(2) Charging a consumer for parts not delivered or installed or a labor operation or repair procedure that has not actually been performed.

(3) Unauthorized operation of a consumer's motor vehicle for purposes not related to repair or diagnosis.

(4) Failing or refusing at the time of sale to provide a consumer, upon request, a copy at no charge, of any document signed by the consumer.

(5) Retaining duplicative payment from both the consumer and warranty or insurance proceeds, but not limited to, for the same covered component, part, or labor in excess of collision repair facility final repair charges.

(6) Charging a consumer for unnecessary repairs. For purposes of this paragraph, "unnecessary repairs" means those repairs for which there is not reasonable basis for performing the service. A reasonable basis includes: (i) that the repair service is consistent with specifications established by law or the manufacturer of the motor vehicle, component, or part; (ii) that the repair is in accordance with usual and customary practices; (iii) that the repair was performed at the specific request of the consumer after the recommendation is not in accordance with manufacturer or accepted trade practices; or (iv) that the repair is at the consumer's request.

(7) Misrepresenting the terms of a warranty, guarantee, or service agreement.

(8) Altering a motor vehicle to create a condition requiring repair.

(9) Failing to honor a warranty, guarantee, or service agreement to which the collision repair facility is party.

(10) Charging or receiving payment for repairs not authorized by the consumer under Section 15, 20, 25, 30, 35, 40, 45, 50, 55, or 60.

(11) A pattern or practice of preparing written estimates underestimating the final costs of repairs.

(Source: P.A. 93-565, eff. 1-1-04.)

(815 ILCS 308/75)

Sec. 75. Violations. Whenever an automotive collision repair facility is knowingly engaged in or has knowingly engaged in a persistent practice or pattern of conduct at a single location that violates this Act, that, knowingly, persistent practice or pattern of conduct shall be deemed an unlawful act or practice under the Consumer Fraud and Deceptive Business Practices Act. In the case of knowing, persistent practice, or pattern of conduct, all remedies, penalties, and authority available to the Attorney General and the several State's Attorneys under the Consumer Fraud and Deceptive Business Practices Act for the enforcement of that Act shall be available for the enforcement of this Act.

(Source: P.A. 93-565, eff. 1-1-04.)