SB0228eng 93rd General Assembly


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 1        AN ACT concerning automotive motor vehicle repair.

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

 4        Section  1.  Short  title.  This  Act may be cited as the
 5    Automotive Collision Repair Act.

 6        Section 5.  Purpose. With the  increased  complexity  and
 7    technology  involved in the repair of collision-damaged motor
 8    vehicles, there is a  need  for  improved  communication  and
 9    accounting  between  collision  repair  businesses  and motor
10    vehicle  owners.   This  Act  enables  purchasers  of   these
11    services   to  make  informed  decisions  based  on  standard
12    practices by Illinois automotive collision repair businesses.

13        Section 10. Definitions. As used in this Act:
14        "Automotive collision and body repair" means all  repairs
15    that  are  commonly  performed by a body repair technician to
16    restore  a  damaged  or  deteriorated  motor  vehicle  to   a
17    condition similar to the motor vehicle condition prior to the
18    damage  or  deterioration  including, but not limited to, the
19    diagnosis, installation, exchange, repair, or refinishing  of
20    exterior body panels, trim, lighting, and structural chassis.
21    The   term  does  not  include  commercial  fleet  repair  or
22    maintenance transactions involving 2 or more  motor  vehicles
23    or  ongoing  service or maintenance contracts involving motor
24    vehicles used primarily for business purposes.
25        "Automotive collision and body repair facility"  means  a
26    person,   firm,   association,   or   corporation   that  for
27    compensation engages in  the  business  of  cosmetic  repair,
28    structural  repair,  or  refinishing  of  motor vehicles with
29    defect related to accident or deterioration.
30        "New part" means a  part  or  component  manufactured  or
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 1    supplied  by  the  original  motor vehicle manufacturer in an
 2    unused condition.
 3        "Used part" means an original motor vehicle  manufacturer
 4    part  or  component  removed  from a motor vehicle of similar
 5    make, model, and  condition  without  the  benefit  of  being
 6    rebuilt or remanufactured.
 7        "Rebuilt  part" or "reconditioned part" means a used part
 8    that  has  been  inspected  and  remanufactured  to   restore
 9    functionality and performance.
10        "Aftermarket   part"   means  a  new  part  that  is  not
11    manufactured  or  supplied  by  the  original  motor  vehicle
12    manufacturer for addition to,  or  replacement  of,  exterior
13    body panel or trim.

14        Section 15.  Disclosure to consumers; estimates.
15        (a)  No  work for compensation that exceeds $100 shall be
16    commenced without specific authorization  from  the  consumer
17    after the disclosure set forth in this Section.
18        (b)  Every  motor vehicle collision repair facility shall
19    either (i) give to each consumer a  written  estimated  price
20    for  labor  and  parts  for  a  specific repair and shall not
21    charge for work done or parts  supplied  in  an  amount  that
22    exceeds the estimate by more than 10% without oral or written
23    consent  from  the  consumer; or (ii) give to each consumer a
24    written price limit for each specific repair  and  shall  not
25    exceed  that  limit  without  oral  or written consent of the
26    consumer. The estimate  shall  include  the  total  costs  to
27    repair the motor vehicle.
28        Estimates  shall  include  all  charges to be paid by the
29    consumer to complete the repair, including  any  charges  for
30    estimates, diagnostics, storage, and administrative fees.
31        (c)    Motor  vehicle  collision  repair facilities shall
32    describe in the estimate the major parts needed to effectuate
33    the repair and shall designate the parts as either new parts,
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 1    used parts, rebuilt or reconditioned  parts,  or  aftermarket
 2    parts as set forth in Section 10 of this Act.
 3        (d)  Estimates  shall  indicate that the collision repair
 4    facility may use a combination of industry standard flat rate
 5    (time) manuals,  actual  time,  or  condition  of  the  motor
 6    vehicle to determine labor costs. This disclosure mandate may
 7    also  be  fulfilled by means of a sign that provides the same
 8    information to the consumer. The sign shall be  posted  at  a
 9    location that can be easily viewed by the consumer.
10        (e)  If  it  is  necessary  to  disassemble  or partially
11    disassemble a motor vehicle or  motor  vehicle  component  in
12    order to provide the consumer a written estimate for required
13    repairs,  the estimate shall show the cost of any disassembly
14    if the consumer elects not to proceed with the repair of  the
15    motor vehicle.
16        (f)  The estimate shall include the date the estimate was
17    prepared  or  the date the motor vehicle was presented to the
18    collision repair facility for repair and the odometer reading
19    on the motor vehicle at the time the motor vehicle  was  left
20    with the collision repair facility.

21        Section  20.  Notice of consumer's rights; estimate. When
22    an estimate is required to be  presented  to  a  consumer,  a
23    collision  repair  facility shall disclose to the prospective
24    consumer an estimated  price  quotation  with  the  following
25    statement included or attached with the consumer's signature:
26        "You are entitled to a price estimate for the repairs you
27    have  authorized.  The  repair  price  may  be  less than the
28    estimate  but  shall  not  exceed:  (1)  any  price   limited
29    estimate;  or  (2)  any  parts or labor estimate by more than
30    10%. Additional repairs may not  be  performed  without  your
31    consent.
32        You may waive your right to notification, which gives the
33    collision  repair facility the right to set the price without
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 1    your permission. Your signature will indicate your selection.
 2        (a)  I have received a written estimate and  the  repairs
 3    may proceed.
 4        Signature .......................
 5        (b)  Please proceed with repairs but call me for approval
 6    before continuing if the price exceeds $..............
 7        Signature ......................
 8        (c)  Please  proceed with repairs and I waive my right to
 9    notification if the stated price is exceeded.
10        Signature ....................
11        Date..............  Time.....................
12        This estimated  price  for  authorized  repairs  will  be
13    honored  if  the  motor  vehicle is delivered to the facility
14    within the time period agreed to  by  the  consumer  and  the
15    collision repair facility."

16        Section  25.  Estimated  price  insufficient.  If  it  is
17    determined  that  the estimated price is insufficient because
18    of unforeseen circumstances, the consumer's consent  must  be
19    obtained before the work estimated is done or parts estimated
20    are  supplied.  If  the consumer's consent is oral, the motor
21    vehicle collision repair facility shall make  a  notation  on
22    the  work  order  or estimate and on the invoice of the date,
23    time, name of person authorizing the additional repairs,  and
24    telephone   number   called,   if   any,   together   with  a
25    specification of the additional parts and labor and the total
26    additional cost.

27        Section 30.  Consumers authorizations of repairs or other
28    actions. After receiving  the  estimate,  the  owner  or  the
29    owner's  agent  may (i) authorize the repairs at the estimate
30    of cost and time in writing, or (ii) request  the  return  of
31    the  motor  vehicle in a disassembled state.  If the consumer
32    elects the return of the motor vehicle in a  disassembled  or
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 1    partially  repaired  state, the consumer may also request the
 2    return of all parts that were removed during  disassembly  or
 3    repair  with  the  exception  of  parts  that were damaged or
 4    deteriorated to the extent that retention  by  the  collision
 5    repair  facility  was  not  feasible.  The  collision  repair
 6    facility   shall   make   the  motor  vehicle  available  for
 7    possession within 3 working days after the time  of  request.
 8    The  collision  repair  facility may receive payment for only
 9    those items on the schedule of charges to which the  facility
10    is entitled.

11        Section   35.  Inability  to  deliver  motor  vehicle  to
12    facility during business hours. When the consumer  is  unable
13    to deliver the motor vehicle to the collision repair facility
14    during  business  hours,  and  the consumer has requested the
15    collision repair facility to take  possession  of  the  motor
16    vehicle  for  the purpose of repairing or estimating the cost
17    of repairing the motor vehicle, the collision repair facility
18    may not undertake the diagnosing or repairing of  any  damage
19    or  defects  to the motor vehicle for compensation unless the
20    collision repair  facility  has  complied  with  all  of  the
21    following conditions:
22             (1)  The  collision  repair  facility has prepared a
23        written estimate or a firm price quotation of  the  price
24        for  labor  and  parts  necessary  to  repair  the  motor
25        vehicle.
26             (2)  By  telephone  or  otherwise,  the consumer has
27        been given all of the material information on the written
28        estimate or firm price quotation, and  the  consumer  has
29        approved the written estimate or firm price quotation.
30             (3)  The  consumer  has  given  his  or  her oral or
31        written authorization to the collision repair facility to
32        make the repairs pursuant to the written estimate or firm
33        price quotation.
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 1        If the consumer's authorization is  oral,  the  collision
 2    repair  facility  shall make, on both the written invoice and
 3    the estimate or firm price quotation, a notation of the  name
 4    of  the  person  authorizing the repairs, the date, the time,
 5    and the telephone number called, if any. Any charge for parts
 6    or  labor  in  excess  of  the  original  estimate  must   be
 7    separately   authorized   by  the  consumer  as  provided  in
 8    subsection (b) of Section 15 and in Section 25.

 9        Section 40.  Disclosures to consumers; invoices.
10        (a)  On  completion  of  repairs,  the  collision  repair
11    facility shall provide the consumer with an  accurate  record
12    in  the form of a final estimate or invoice. An estimate that
13    is stamped "invoice" may be deemed the same  as  an  itemized
14    invoice.  The  final  estimate  or  invoice  shall accurately
15    record in writing all of the items set forth in this Section.
16        (b)  The  invoice  shall  show   the   collision   repair
17    facility's  business  name  and  address,  the  date  of  the
18    invoice,  the odometer reading at the time the final estimate
19    or invoice was prepared, the name of the consumer,  and   the
20    description of the motor vehicle including the  motor vehicle
21    identification  number  (VIN). In addition, the invoice shall
22    describe  all  repair  work  done  by  the  collision  repair
23    facility, including all warranty work, and  shall  separately
24    identify (i) each major part supplied in a manner so that the
25    consumer can identify the part as one described in Section 10
26    of this Act, and (ii) the total price charged for all charges
27    including,  but  not limited to, parts, labor, and sales tax.
28    The invoice or final estimate shall  itemize  any  additional
29    charges  and  include those charges in the total presented to
30    the consumer.
31        (c)  A legible copy of  the  invoice  or  final  estimate
32    shall  be  given  to the consumer and a legible copy shall be
33    retained by the collision repair facility for a period  of  2
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 1    years  from  the  date  of  repair as a part of the collision
 2    repair  facility's  records,  which  may   be   retained   in
 3    electronic  format.  Records  may  be  stored  at  a separate
 4    location.

 5        Section    45.  Consumer     disclosures;     guarantees;
 6    warranties.
 7        (a)  If  a  collision repair facility provides a warranty
 8    on repair  parts  and  labor,  the  facility  shall  put  the
 9    warranty  in writing and give a legible copy to the consumer.
10    The  consumer's  copy  of  the  warranty  must  contain   the
11    following:
12             (1)  The   nature   and   extent  of  the  warranty,
13        including a description of parts and service included  in
14        or excluded from the warranty.
15             (2)  The   duration   of   the   warranty   and  the
16        requirements to be performed by the warrantee before  the
17        warrantor will fulfill the warranty.
18             (3)  All  conditions and limitations of the warranty
19        and the manner in which the warrantor  will  fulfill  the
20        warranty, such as by repair, replacement, or refund.
21             (4)  Any options of the warrantor or warrantee.
22             (5)  The warrantor's identity and address.
23        (b)  When repair or diagnostic work is performed pursuant
24    to  a  warranty,  a  collision  repair facility shall give an
25    estimate of the time to complete repairs.

26        Section 50.  Consumer disclosures; required signs.  Every
27    motor vehicle repair facility shall post in a prominent place
28    on  the  business premises one or more signs, readily visible
29    to customers, in the following form:

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13        The first line of each sign shall be in letters not  less
14    than  1.5  inches in height, and the remaining lines shall be
15    in letters not less than 0.5 inch in height.

16        Section  55.  Recordkeeping.   Every   collision   repair
17    facility  shall  maintain  copies of estimates for contracted
18    work and all invoices. The copies may  be  maintained  in  an
19    electronic  format,  shall  be kept for 2 years, and shall be
20    available for inspection by the Attorney General.

21        Section 60.  Removal of motor vehicle from facility. Upon
22    reasonable notice and during the collision repair  facility's
23    business  hours, a consumer may remove a motor vehicle from a
24    collision repair facility upon paying for the following:
25             (1)  Labor actually performed.
26             (2)  Parts actually installed.
27             (3)  Parts ordered specifically for  the  consumer's
28        car  if  the order is not cancelable or the parts are not
29        returnable for cash or credit.
30             (4)  Storage and administrative charges  imposed  in
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 1        accordance  with  the  schedule of charges if posted on a
 2        sign within the shop or otherwise disclosed to  consumers
 3        prior to repairs.

 4        Section  65.  Lien  barred.  A  collision repair facility
 5    that fails to comply with Section 15, 20, 25, 30, 35, 40, 45,
 6    50, 55, or 60  is  barred  from  asserting  a  possessory  or
 7    chattel  lien  for  the  amount  of the unauthorized parts or
 8    labor upon the motor vehicle or component.

 9        Section 70.  Unlawful acts  or  practices.  Each  of  the
10    following  acts  or practices is unlawful when committed by a
11    motor vehicle collision repair facility:
12             (1)  Advertising   in   a   false,   deceptive,   or
13        misleading manner.
14             (2)  Charging a consumer for parts not delivered  or
15        installed  or  a labor operation or repair procedure that
16        has not actually been performed.
17             (3)  Unauthorized operation of  a  consumer's  motor
18        vehicle for purposes not related to repair or diagnosis.
19             (4)  Failing  or  refusing  at  the  time of sale to
20        provide a consumer, upon request, a copy at no charge, of
21        any document signed by the consumer.
22             (5)  Retaining duplicative  payment  from  both  the
23        consumer  and  warranty  or  insurance  proceeds, but not
24        limited to, for the  same  covered  component,  part,  or
25        labor in excess of collision repair facility final repair
26        charges.
27             (6)  Charging  a  consumer  for unnecessary repairs.
28        For purposes of  this  paragraph,  "unnecessary  repairs"
29        means  those  repairs  for  which there is not reasonable
30        basis for performing  the  service.  A  reasonable  basis
31        includes:  (i) that the repair service is consistent with
32        specifications established by law or the manufacturer  of
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 1        the  motor  vehicle,  component,  or  part; (ii) that the
 2        repair  is  in  accordance  with  usual   and   customary
 3        practices;  (iii)  that  the  repair was performed at the
 4        specific request of the consumer after the recommendation
 5        is not in accordance with manufacturer or accepted  trade
 6        practices;  or  (iv) that the repair is at the consumer's
 7        request.
 8             (7)  Misrepresenting  the  terms  of   a   warranty,
 9        guarantee, or service agreement.
10             (8)  Altering  a motor vehicle to create a condition
11        requiring repair.
12             (9)  Failing to  honor  a  warranty,  guarantee,  or
13        service  agreement to which the collision repair facility
14        is party.
15             (10)  Charging or receiving payment for repairs  not
16        authorized  by the consumer under Section 15, 20, 25, 30,
17        35, 40, 45, 50, 55, or 60.
18             (11)  A pattern or  practice  of  preparing  written
19        estimates underestimating the final costs of repairs.

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

32        Section 80.  Exemptions.  This  Act  does  not  apply  to
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 1    facilities covered by the Automotive Repair Act.

 2        Section  800.  The  Automotive  Repair  Act is amended by
 3    adding Section 83 as follows:

 4        (815 ILCS 306/83 new)
 5        Sec.  83.  Exemptions.   This  Act  does  not  apply   to
 6    automotive collision and body repair facilities as defined in
 7    the Automotive Collision Repair Act.