Full Text of HB0280 94th General Assembly
HB0280 94TH GENERAL ASSEMBLY
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94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006 HB0280
Introduced 1/18/2005, by Rep. Jim Sacia SYNOPSIS AS INTRODUCED: |
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625 ILCS 5/5-101 |
from Ch. 95 1/2, par. 5-101 |
625 ILCS 5/5-102 |
from Ch. 95 1/2, par. 5-102 |
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Amends the Illinois Vehicle Code with regard to new and used vehicle dealer license fees. Provides that the fee varies according to the number of vehicles sold by the dealer during the previous year. Provides that a dealer's license application shall indicate the number of vehicles sold by the dealer the previous year, supported by documentation prescribed by the Secretary of State. Sets a new schedule of license fees for new and used vehicle dealers, including one fee for the applicant's established place of business and a lower fee for each additional place of business, if any, to which the application pertains. Effective immediately.
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A BILL FOR
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HB0280 |
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LRB094 04095 DRH 34115 b |
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| AN ACT concerning transportation.
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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 | 5 |
| Sections 5-101 and 5-102 as follows:
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| (625 ILCS 5/5-101) (from Ch. 95 1/2, par. 5-101)
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| Sec. 5-101. New vehicle dealers must be licensed.
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| (a) No person shall engage in this State in the business of | 9 |
| selling
or dealing in, on consignment or otherwise, new | 10 |
| vehicles of any make, or
act as an intermediary or agent or | 11 |
| broker for any licensed dealer or
vehicle purchaser other than | 12 |
| as a salesperson, or represent or advertise
that he is so | 13 |
| engaged or intends to so engage in such business unless
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| licensed to do so in writing by the Secretary of State under | 15 |
| the
provisions of this Section.
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| (b) An application for a new vehicle dealer's license shall | 17 |
| be filed
with the Secretary of State, duly verified by oath, on | 18 |
| such form as the
Secretary of State may by rule or regulation | 19 |
| prescribe and shall contain:
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| 1. The name and type of business organization of the | 21 |
| applicant and
his established and additional places of | 22 |
| business, if any, in this State.
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| 2. If the applicant is a corporation, a list of its | 24 |
| officers,
directors, and shareholders having a ten percent | 25 |
| or greater ownership
interest in the corporation, setting | 26 |
| forth the residence address of
each; if the applicant is a | 27 |
| sole proprietorship, a partnership, an
unincorporated | 28 |
| association, a trust, or any similar form of business
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| organization, the name and residence address of the | 30 |
| proprietor or of
each partner, member, officer, director, | 31 |
| trustee, or manager.
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| 3. The make or makes of new vehicles which the |
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LRB094 04095 DRH 34115 b |
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| applicant will offer
for sale at retail in this State.
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| 4. The name of each manufacturer or franchised | 3 |
| distributor, if any,
of new vehicles with whom the | 4 |
| applicant has contracted for the sale of
such new vehicles. | 5 |
| As evidence of this fact, the application shall be
| 6 |
| accompanied by a signed statement from each such | 7 |
| manufacturer or
franchised distributor. If the applicant | 8 |
| is in the business of
offering for sale new conversion | 9 |
| vehicles, trucks or vans, except for
trucks modified to | 10 |
| serve a special purpose which includes but is not
limited | 11 |
| to the following vehicles: street sweepers, fertilizer | 12 |
| spreaders,
emergency vehicles, implements of husbandry or | 13 |
| maintenance type vehicles,
he must furnish evidence of a | 14 |
| sales and service agreement from both the
chassis | 15 |
| manufacturer and second stage manufacturer.
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| 5. A statement that the applicant has been approved for | 17 |
| registration
under the Retailers' Occupation Tax Act by the | 18 |
| Department of Revenue:
Provided that this requirement does | 19 |
| not apply to a dealer who is already
licensed hereunder | 20 |
| with the Secretary of State, and who is merely applying
for | 21 |
| a renewal of his license. As evidence of this fact, the | 22 |
| application
shall be accompanied by a certification from | 23 |
| the Department of Revenue
showing that that Department has | 24 |
| approved the applicant for registration
under the | 25 |
| Retailers' Occupation Tax Act.
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| 6. A statement that the applicant has complied with the | 27 |
| appropriate
liability insurance requirement. A Certificate | 28 |
| of Insurance in a solvent
company authorized to do business | 29 |
| in the State of Illinois shall be included
with each | 30 |
| application covering each location at which he proposes to | 31 |
| act
as a new vehicle dealer. The policy must provide | 32 |
| liability coverage in
the minimum amounts of $100,000 for | 33 |
| bodily injury to, or death of, any person,
$300,000 for | 34 |
| bodily injury to, or death of, two or more persons in any | 35 |
| one
accident, and $50,000 for damage to property. Such | 36 |
| policy shall expire
not sooner than December 31 of the year |
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| for which the license was issued
or renewed. The expiration | 2 |
| of the insurance policy shall not terminate
the liability | 3 |
| under the policy arising during the period for which the
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| policy was filed. Trailer and mobile home dealers are | 5 |
| exempt from this
requirement.
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| If the permitted user has a liability insurance policy | 7 |
| that provides
automobile
liability insurance coverage of | 8 |
| at least $100,000 for bodily injury to or the
death of any
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| person, $300,000 for bodily injury to or the death of any 2 | 10 |
| or more persons in
any one
accident, and $50,000 for damage | 11 |
| to property,
then the permitted user's insurer shall be the | 12 |
| primary
insurer and the
dealer's insurer shall be the | 13 |
| secondary insurer. If the permitted user does not
have a | 14 |
| liability
insurance policy that provides automobile | 15 |
| liability insurance coverage of at
least
$100,000 for | 16 |
| bodily injury to or the death of any person, $300,000 for | 17 |
| bodily
injury to or the death of any 2 or more persons in | 18 |
| any one accident, and
$50,000 for damage to property, or | 19 |
| does not have any insurance at all,
then the dealer's | 20 |
| insurer shall be the primary insurer and the permitted | 21 |
| user's
insurer shall be the secondary
insurer.
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| When a permitted user is "test driving" a new vehicle | 23 |
| dealer's automobile,
the new vehicle dealer's insurance | 24 |
| shall be primary and the permitted user's
insurance shall | 25 |
| be secondary.
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| As used in this paragraph 6, a "permitted user" is a | 27 |
| person who, with the
permission of the new vehicle dealer | 28 |
| or an employee of the new vehicle dealer,
drives a vehicle | 29 |
| owned and held for sale or lease by the new vehicle dealer
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| which the person is considering
to purchase or lease, in | 31 |
| order to evaluate the performance, reliability, or
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| condition of the vehicle.
The term "permitted user" also | 33 |
| includes a person who, with the permission of
the new
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| vehicle dealer, drives a vehicle owned or held for sale or | 35 |
| lease by the new
vehicle dealer
for loaner purposes while | 36 |
| the user's vehicle is being repaired or evaluated.
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| As used in this paragraph 6, "test driving" occurs when | 2 |
| a permitted user
who,
with the permission of the new | 3 |
| vehicle dealer or an employee of the new vehicle
dealer, | 4 |
| drives a vehicle owned and held for sale or lease by a new | 5 |
| vehicle
dealer that the person is considering to purchase | 6 |
| or lease, in order to
evaluate the performance, | 7 |
| reliability, or condition of the
vehicle.
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| As used in this paragraph 6, "loaner purposes" means | 9 |
| when a person who,
with the permission of the new vehicle | 10 |
| dealer, drives a vehicle owned or held
for sale or lease by | 11 |
| the new vehicle dealer while the
user's vehicle is being | 12 |
| repaired or evaluated.
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| 7. (A) An application for a new motor vehicle dealer's | 14 |
| license shall indicate the number of vehicles sold by the | 15 |
| dealer during the previous year, supported by | 16 |
| documentation prescribed by the Secretary, and shall be
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| accompanied by the following license fees:
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| (i) for dealers that sold 3,000 or more vehicles | 19 |
| the previous year: $1,500 for the applicant's | 20 |
| established place of business; $750 for each | 21 |
| additional place of business, if any, to which the | 22 |
| application pertains; | 23 |
| (ii) for dealers that sold 2,000 to 2,999 vehicles | 24 |
| the previous year: $1,250 for the applicant's | 25 |
| established place of business; $625 for each | 26 |
| additional place of business, if any, to which the | 27 |
| application pertains; | 28 |
| (iii) for dealers that sold 1,500 to 1,999 vehicles | 29 |
| the previous year: $1,000 for the applicant's | 30 |
| established place of business; $500 for each | 31 |
| additional place of business, if any, to which the | 32 |
| application pertains; | 33 |
| (iv) for dealers that sold 1,000 to 1,499 vehicles | 34 |
| the previous year: $750 for the applicant's | 35 |
| established place of business; $375 for each | 36 |
| additional place of business, if any, to which the |
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| application pertains; | 2 |
| (v) for dealers that sold 500 to 999 vehicles the | 3 |
| previous year: $500 for the applicant's established | 4 |
| place of business; $250 for each additional place of | 5 |
| business, if any, to which the application pertains. | 6 |
| (vi) for dealers that sold 0 to 499 vehicles the | 7 |
| previous year: $250 for the applicant's established | 8 |
| place of business; $125 for each additional place of | 9 |
| business to which the application pertains; but if the | 10 |
| application is made after June 15 of any year, the | 11 |
| license fee shall be $125 for the applicant's | 12 |
| established place of business and $62.50 for each | 13 |
| additional place of business, if any, to which the | 14 |
| application pertains.
$1,000 for applicant's | 15 |
| established place of business, and
$100 for each
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| additional place of business, if any, to which the | 17 |
| application
pertains; but if the application is made | 18 |
| after June 15 of any year, the license
fee shall be | 19 |
| $500 for applicant's established place of business
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| plus
$50 for each additional place of business, if any, | 21 |
| to which the
application pertains. | 22 |
| License fees shall be returnable only in the event | 23 |
| that
the application is denied by the Secretary of | 24 |
| State.
All moneys received by the Secretary of State as | 25 |
| license fees under paragraph
(7)(A) of subsection (b) | 26 |
| of this Section prior to applications for the 2004
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| licensing year
shall be
deposited into the Motor | 28 |
| Vehicle Review Board Fund and shall
be used to | 29 |
| administer the Motor Vehicle Review Board under the | 30 |
| Motor Vehicle
Franchise Act. Of the money received by | 31 |
| the Secretary of State as license
fees under paragraph | 32 |
| (7)(A) of subsection (b) of this Section for the 2004
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| licensing year and
thereafter, 10% shall
be deposited | 34 |
| into the Motor Vehicle Review Board Fund and shall be | 35 |
| used to
administer the Motor Vehicle Review Board under | 36 |
| the Motor Vehicle Franchise Act
and 90% shall be |
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| deposited into the General Revenue Fund.
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| (B) An application for a new vehicle dealer's | 3 |
| license, other than for
a new motor vehicle dealer's | 4 |
| license, shall be accompanied by the following
license | 5 |
| fees:
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| $1,000 for applicant's established place of | 7 |
| business, and
$50 for each
additional place of | 8 |
| business, if any, to which the application pertains; | 9 |
| but if
the application is made after June 15 of any | 10 |
| year, the license fee shall be
$500
for applicant's | 11 |
| established place of business plus $25 for each
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| additional
place of business, if any, to which the | 13 |
| application pertains. License fees
shall be returnable | 14 |
| only in the event that the application is denied by the
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| Secretary of State. Of the money received by the | 16 |
| Secretary of State as
license fees under this | 17 |
| subsection for the 2004 licensing year and thereafter,
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| 95% shall be deposited into the General Revenue Fund.
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| 8. A statement that the applicant's officers, | 20 |
| directors,
shareholders having a 10% or greater ownership | 21 |
| interest
therein, proprietor, a partner, member, officer, | 22 |
| director, trustee, manager
or other principals in the | 23 |
| business have not committed in the past 3
years any one | 24 |
| violation as determined in any civil, criminal or
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| administrative proceedings of any one of the following | 26 |
| Acts:
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| (A) The Anti Theft Laws of the Illinois Vehicle | 28 |
| Code;
| 29 |
| (B) The Certificate of Title Laws of the Illinois | 30 |
| Vehicle Code;
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| (C) The Offenses against Registration and | 32 |
| Certificates of Title
Laws of the Illinois Vehicle | 33 |
| Code;
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| (D) The Dealers, Transporters, Wreckers and | 35 |
| Rebuilders
Laws of the Illinois Vehicle Code;
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| (E) Section 21-2 of the Criminal Code of 1961, |
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| Criminal Trespass to
Vehicles; or
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| (F) The Retailers' Occupation Tax Act.
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| 9. A statement that the applicant's officers, | 4 |
| directors,
shareholders having a 10% or greater ownership | 5 |
| interest
therein, proprietor, partner, member, officer, | 6 |
| director, trustee, manager
or other principals in the | 7 |
| business have not committed in any calendar year
3 or more | 8 |
| violations, as determined in any civil, criminal or
| 9 |
| administrative proceedings, of any one or more of the | 10 |
| following Acts:
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| (A) The Consumer Finance Act;
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| (B) The Consumer Installment Loan Act;
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| (C) The Retail Installment Sales Act;
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| (D) The Motor Vehicle Retail Installment Sales | 15 |
| Act;
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| (E) The Interest Act;
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| (F) The Illinois Wage Assignment Act;
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| (G) Part 8 of Article XII of the Code of Civil | 19 |
| Procedure; or
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| (H) The Consumer Fraud Act.
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| 10. A bond or certificate of deposit in the amount of | 22 |
| $20,000 for
each location at which the applicant intends to | 23 |
| act as a new vehicle
dealer. The bond shall be for the term | 24 |
| of the license, or its renewal, for
which application is | 25 |
| made, and shall expire not sooner than
December 31 of the | 26 |
| year for which the license was issued or renewed. The bond
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| shall run to the People of the State of Illinois, with | 28 |
| surety by a bonding or
insurance company authorized to do | 29 |
| business in this State. It shall be
conditioned upon the | 30 |
| proper transmittal of all title and registration fees and
| 31 |
| taxes (excluding taxes under the Retailers' Occupation Tax | 32 |
| Act) accepted by the
applicant as a new vehicle dealer.
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| 11. Such other information concerning the business of | 34 |
| the applicant as
the Secretary of State may by rule or | 35 |
| regulation prescribe.
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| 12. A statement that the applicant understands Chapter |
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| One through
Chapter Five of this Code.
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| (c) Any change which renders no longer accurate any | 3 |
| information
contained in any application for a new vehicle | 4 |
| dealer's license shall be
amended within 30 days after the | 5 |
| occurrence of such change on such form
as the Secretary of | 6 |
| State may prescribe by rule or regulation,
accompanied by an | 7 |
| amendatory fee of $2.
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| (d) Anything in this Chapter 5 to the contrary | 9 |
| notwithstanding no
person shall be licensed as a new vehicle | 10 |
| dealer unless:
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| 1. He is authorized by contract in writing between | 12 |
| himself and the
manufacturer or franchised distributor of | 13 |
| such make of vehicle to so
sell the same in this State, and
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| 2. Such person shall maintain an established place of | 15 |
| business as
defined in this Act.
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| (e) The Secretary of State shall, within a reasonable time | 17 |
| after
receipt, examine an application submitted to him under | 18 |
| this Section and
unless he makes a determination that the | 19 |
| application submitted to him
does not conform with the | 20 |
| requirements of this Section or that grounds
exist for a denial | 21 |
| of the application, under Section 5-501 of this
Chapter, grant | 22 |
| the applicant an original new vehicle dealer's license in
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| writing for his established place of business and a | 24 |
| supplemental license
in writing for each additional place of | 25 |
| business in such form as he may
prescribe by rule or regulation | 26 |
| which shall include the following:
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| 1. The name of the person licensed;
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| 2. If a corporation, the name and address of its | 29 |
| officers or if a
sole proprietorship, a partnership, an | 30 |
| unincorporated association or any
similar form of business | 31 |
| organization, the name and address of the
proprietor or of | 32 |
| each partner, member, officer, director, trustee or
| 33 |
| manager;
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| 3. In the case of an original license, the established | 35 |
| place of
business of the licensee;
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| 4. In the case of a supplemental license, the |
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| established place of
business of the licensee and the | 2 |
| additional place of business to which such
supplemental | 3 |
| license pertains;
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| 5. The make or makes of new vehicles which the licensee | 5 |
| is licensed
to sell.
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| (f) The appropriate instrument evidencing the license or a | 7 |
| certified
copy thereof, provided by the Secretary of State, | 8 |
| shall be kept posted
conspicuously in the established place of | 9 |
| business of the licensee and
in each additional place of | 10 |
| business, if any, maintained by such
licensee.
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| (g) Except as provided in subsection (h) hereof, all new | 12 |
| vehicle
dealer's licenses granted under this Section shall | 13 |
| expire by operation
of law on December 31 of the calendar year | 14 |
| for which they are granted
unless sooner revoked or cancelled | 15 |
| under the provisions of Section 5-501
of this Chapter.
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| (h) A new vehicle dealer's license may be renewed upon | 17 |
| application
and payment of the fee required herein, and | 18 |
| submission of proof of
coverage under an approved bond under | 19 |
| the "Retailers' Occupation Tax
Act" or proof that applicant is | 20 |
| not subject to such bonding
requirements, as in the case of an | 21 |
| original license, but in case an
application for the renewal of | 22 |
| an effective license is made during the
month of December, the | 23 |
| effective license shall remain in force until the
application | 24 |
| is granted or denied by the Secretary of State.
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| (i) All persons licensed as a new vehicle dealer are | 26 |
| required to
furnish each purchaser of a motor vehicle:
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| 1. In the case of a new vehicle a manufacturer's | 28 |
| statement of origin
and in the case of a used motor vehicle | 29 |
| a certificate of title, in
either case properly assigned to | 30 |
| the purchaser;
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| 2. A statement verified under oath that all identifying | 32 |
| numbers on
the vehicle agree with those on the certificate | 33 |
| of title or
manufacturer's statement of origin;
| 34 |
| 3. A bill of sale properly executed on behalf of such | 35 |
| person;
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| 4. A copy of the Uniform Invoice-transaction reporting |
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LRB094 04095 DRH 34115 b |
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| return
referred to in Section 5-402 hereof;
| 2 |
| 5. In the case of a rebuilt vehicle, a copy of the | 3 |
| Disclosure of Rebuilt
Vehicle Status; and
| 4 |
| 6. In the case of a vehicle for which the warranty has | 5 |
| been reinstated, a
copy of the warranty.
| 6 |
| (j) Except at the time of sale or repossession of the | 7 |
| vehicle, no person
licensed as a new vehicle dealer may issue | 8 |
| any other person a newly created
key to a vehicle unless the | 9 |
| new vehicle dealer makes a copy of the driver's
license or | 10 |
| State identification card of the person requesting or obtaining | 11 |
| the
newly created key. The new vehicle dealer must retain the | 12 |
| copy for 30 days.
| 13 |
| A new vehicle dealer who violates this subsection (j) is | 14 |
| guilty of a
petty offense. Violation of this subsection (j) is | 15 |
| not cause to suspend,
revoke,
cancel, or deny renewal of the | 16 |
| new vehicle dealer's license.
| 17 |
| This amendatory Act of 1983 shall be applicable to the 1984 | 18 |
| registration
year and thereafter.
| 19 |
| (Source: P.A. 92-391, eff. 8-16-01; 92-835, eff. 6-1-03; 93-32, | 20 |
| eff. 7-1-03.)
| 21 |
| (625 ILCS 5/5-102) (from Ch. 95 1/2, par. 5-102)
| 22 |
| Sec. 5-102. Used vehicle dealers must be licensed.
| 23 |
| (a) No person, other than a licensed new vehicle dealer, | 24 |
| shall engage in
the business of selling or dealing in, on | 25 |
| consignment or otherwise, 5 or
more used vehicles of any make | 26 |
| during the year (except house trailers as
authorized by | 27 |
| paragraph (j) of this Section and rebuilt salvage vehicles
sold | 28 |
| by their rebuilders to persons licensed under this Chapter), or | 29 |
| act as
an intermediary, agent or broker for any licensed dealer | 30 |
| or vehicle
purchaser (other than as a salesperson) or represent | 31 |
| or advertise that he
is so engaged or intends to so engage in | 32 |
| such business unless licensed to
do so by the Secretary of | 33 |
| State under the provisions of this Section.
| 34 |
| (b) An application for a used vehicle dealer's license | 35 |
| shall be
filed with the Secretary of State, duly verified by |
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LRB094 04095 DRH 34115 b |
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| oath, in such form
as the Secretary of State may by rule or | 2 |
| regulation prescribe and shall
contain:
| 3 |
| 1. The name and type of business organization | 4 |
| established and additional
places of business, if any, in | 5 |
| this State.
| 6 |
| 2. If the applicant is a corporation, a list of its | 7 |
| officers,
directors, and shareholders having a ten percent | 8 |
| or greater ownership
interest in the corporation, setting | 9 |
| forth the residence address of
each; if the applicant is a | 10 |
| sole proprietorship, a partnership, an
unincorporated | 11 |
| association, a trust, or any similar form of business
| 12 |
| organization, the names and residence address of the | 13 |
| proprietor or of
each partner, member, officer, director, | 14 |
| trustee or manager.
| 15 |
| 3. A statement that the applicant has been approved for | 16 |
| registration
under the Retailers' Occupation Tax Act by the | 17 |
| Department of Revenue. However,
this requirement does not | 18 |
| apply to a dealer who is already licensed
hereunder with | 19 |
| the Secretary of State, and who is merely applying for a
| 20 |
| renewal of his license. As evidence of this fact, the | 21 |
| application shall be
accompanied by a certification from | 22 |
| the Department of Revenue showing that
the Department has | 23 |
| approved the applicant for registration under the
| 24 |
| Retailers' Occupation Tax Act.
| 25 |
| 4. A statement that the applicant has complied with the | 26 |
| appropriate
liability insurance requirement. A Certificate | 27 |
| of Insurance in a solvent
company authorized to do business | 28 |
| in the State of Illinois shall be included
with each | 29 |
| application covering each location at which he proposes to | 30 |
| act
as a used vehicle dealer. The policy must provide | 31 |
| liability coverage in
the minimum amounts of $100,000 for | 32 |
| bodily injury to, or death of, any person,
$300,000 for | 33 |
| bodily injury to, or death of, two or more persons in any | 34 |
| one
accident, and $50,000 for damage to property. Such | 35 |
| policy shall expire
not sooner than December 31 of the year | 36 |
| for which the license was issued
or renewed. The expiration |
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LRB094 04095 DRH 34115 b |
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| of the insurance policy shall not terminate
the liability | 2 |
| under the policy arising during the period for which the | 3 |
| policy
was filed. Trailer and mobile home dealers are | 4 |
| exempt from this requirement.
| 5 |
| If the permitted user has a liability insurance policy | 6 |
| that provides
automobile
liability insurance coverage of | 7 |
| at least $100,000 for bodily injury to or the
death of any
| 8 |
| person, $300,000 for bodily injury to or the death of any 2 | 9 |
| or more persons in
any one
accident, and $50,000 for damage | 10 |
| to property,
then the permitted user's insurer shall be the | 11 |
| primary
insurer and the
dealer's insurer shall be the | 12 |
| secondary insurer. If the permitted user does not
have a | 13 |
| liability
insurance policy that provides automobile | 14 |
| liability insurance coverage of at
least
$100,000 for | 15 |
| bodily injury to or the death of any person, $300,000 for | 16 |
| bodily
injury to or
the death of any 2 or more persons in | 17 |
| any one accident, and $50,000 for damage
to
property, or | 18 |
| does not have any insurance at all,
then the
dealer's
| 19 |
| insurer shall be the primary insurer and the permitted | 20 |
| user's insurer shall be
the secondary
insurer.
| 21 |
| When a permitted user is "test driving" a used vehicle | 22 |
| dealer's automobile,
the used vehicle dealer's insurance | 23 |
| shall be primary and the permitted user's
insurance shall | 24 |
| be secondary.
| 25 |
| As used in this paragraph 4, a "permitted user" is a | 26 |
| person who, with the
permission of the used vehicle dealer | 27 |
| or an employee of the used vehicle
dealer, drives a vehicle | 28 |
| owned and held for sale or lease by the used vehicle
dealer | 29 |
| which the person is considering to purchase or lease, in | 30 |
| order to
evaluate the performance, reliability, or | 31 |
| condition of the vehicle.
The term "permitted user" also | 32 |
| includes a person who, with the permission of
the used
| 33 |
| vehicle dealer, drives a vehicle owned or held for sale or | 34 |
| lease by the used
vehicle dealer
for loaner purposes while | 35 |
| the user's vehicle is being repaired or evaluated.
| 36 |
| As used in this paragraph 4, "test driving" occurs when |
|
|
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| a permitted user
who,
with the permission of the used | 2 |
| vehicle dealer or an employee of the used
vehicle
dealer, | 3 |
| drives a vehicle owned and held for sale or lease by a used | 4 |
| vehicle
dealer that the person is considering to purchase | 5 |
| or lease, in order to
evaluate the performance, | 6 |
| reliability, or condition of the
vehicle.
| 7 |
| As used in this paragraph 4, "loaner purposes" means | 8 |
| when a person who,
with the permission of the used vehicle | 9 |
| dealer, drives a vehicle owned or held
for sale or lease by | 10 |
| the used vehicle dealer while the
user's vehicle is being | 11 |
| repaired or evaluated.
| 12 |
| 5. An application for a used vehicle dealer's license | 13 |
| shall indicate the number of vehicles sold by the dealer | 14 |
| during the previous year, supported by documentation | 15 |
| prescribed by the Secretary, and shall be
accompanied by | 16 |
| the following license fees:
| 17 |
|
(A) for dealers that sold 2,500 or more vehicles | 18 |
| the previous year: $1,500 for the applicant's | 19 |
| established place of business; $750 for each | 20 |
| additional place of business, if any, to which the | 21 |
| application pertains; | 22 |
| (B) for dealers that sold 1,500 to 2,499 vehicles | 23 |
| the previous year: $1,250 for the applicant's | 24 |
| established place of business; $625 for each | 25 |
| additional place of business, if any, to which the | 26 |
| application pertains; | 27 |
| (C) for dealers that sold 750 to 1,499 vehicles the | 28 |
| previous year: $1,000 for the applicant's established | 29 |
| place of business, $500 for each additional place of | 30 |
| business, if any, to which the application pertains; | 31 |
| (D) for dealers that sold 500 to 749 vehicles the | 32 |
| previous year: $750 for the applicant's established | 33 |
| place of business; $375 for each additional place of | 34 |
| business, if any, to which the application pertains. | 35 |
| (E) for dealers that sold 200 to 499 vehicles the | 36 |
| previous year: $500 for the applicant's established |
|
|
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| place of business; $250 for each additional place of | 2 |
| business, if any, to which the application pertains; | 3 |
| (F) for dealers that sold 0 to 199 vehicles the | 4 |
| previous year: $250 for the applicant's established | 5 |
| place of business; $125 for each additional place of | 6 |
| business, if any, to which the application pertains; | 7 |
| but if the application is made after June 15 of any | 8 |
| year, the license fee shall be $125 for the applicant's | 9 |
| established place of business and $62.50 for each | 10 |
| additional place of business, if any, to which the | 11 |
| application pertains.
| 12 |
| $1,000 for applicant's established place of business, | 13 |
| and
$50 for
each additional place of business, if any, to | 14 |
| which the application
pertains; however, if the | 15 |
| application is made after June 15 of any
year, the license | 16 |
| fee shall be $500 for applicant's established
place of
| 17 |
| business plus $25 for each additional place of business, if | 18 |
| any,
to
which the application pertains.
| 19 |
| License fees shall be returnable only in
the event that | 20 |
| the application is denied by
the Secretary of State. Of the | 21 |
| money received by the Secretary of State as
license fees | 22 |
| under this Section for the 2004 licensing year and | 23 |
| thereafter, 95%
shall be deposited into the General Revenue | 24 |
| Fund.
| 25 |
| 6. A statement that the applicant's officers, | 26 |
| directors, shareholders
having a 10% or greater ownership | 27 |
| interest therein, proprietor, partner,
member, officer, | 28 |
| director, trustee, manager or other principals in the
| 29 |
| business have not committed in the past 3 years any one | 30 |
| violation as
determined in any civil, criminal or | 31 |
| administrative proceedings of any one
of the following | 32 |
| Acts:
| 33 |
| (A) The Anti Theft Laws of the Illinois Vehicle | 34 |
| Code;
| 35 |
| (B) The Certificate of Title Laws of the Illinois | 36 |
| Vehicle Code;
|
|
|
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| (C) The Offenses against Registration and | 2 |
| Certificates of Title
Laws of the Illinois Vehicle | 3 |
| Code;
| 4 |
| (D) The Dealers, Transporters, Wreckers and | 5 |
| Rebuilders Laws of the
Illinois Vehicle Code;
| 6 |
| (E) Section 21-2 of the Illinois Criminal Code of | 7 |
| 1961, Criminal
Trespass to Vehicles; or
| 8 |
| (F) The Retailers' Occupation Tax Act.
| 9 |
| 7. A statement that the applicant's officers, | 10 |
| directors,
shareholders having a 10% or greater ownership | 11 |
| interest therein,
proprietor, partner, member, officer, | 12 |
| director, trustee, manager or
other principals in the | 13 |
| business have not committed in any calendar year
3 or more | 14 |
| violations, as determined in any civil or criminal or
| 15 |
| administrative proceedings, of any one or more of the | 16 |
| following Acts:
| 17 |
| (A) The Consumer Finance Act;
| 18 |
| (B) The Consumer Installment Loan Act;
| 19 |
| (C) The Retail Installment Sales Act;
| 20 |
| (D) The Motor Vehicle Retail Installment Sales | 21 |
| Act;
| 22 |
| (E) The Interest Act;
| 23 |
| (F) The Illinois Wage Assignment Act;
| 24 |
| (G) Part 8 of Article XII of the Code of Civil | 25 |
| Procedure; or
| 26 |
| (H) The Consumer Fraud Act.
| 27 |
| 8. A bond or Certificate of Deposit in the amount of | 28 |
| $20,000 for
each location at which the applicant intends to | 29 |
| act as a used vehicle
dealer. The bond shall be for the | 30 |
| term of the license, or its renewal, for
which application | 31 |
| is made, and shall expire not sooner than December 31 of
| 32 |
| the year for which the license was issued or renewed. The | 33 |
| bond shall run
to the People of the State of Illinois, with | 34 |
| surety by a bonding or
insurance company authorized to do | 35 |
| business in this State. It shall be
conditioned upon the | 36 |
| proper transmittal of all title and registration fees
and |
|
|
|
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| taxes (excluding taxes under the Retailers' Occupation Tax | 2 |
| Act) accepted
by the applicant as a used vehicle dealer.
| 3 |
| 9. Such other information concerning the business of | 4 |
| the applicant as
the Secretary of State may by rule or | 5 |
| regulation prescribe.
| 6 |
| 10. A statement that the applicant understands Chapter | 7 |
| 1 through
Chapter 5 of this Code.
| 8 |
| (c) Any change which renders no longer accurate any | 9 |
| information
contained in any application for a used vehicle | 10 |
| dealer's license shall
be amended within 30 days after the | 11 |
| occurrence of each change on such
form as the Secretary of | 12 |
| State may prescribe by rule or regulation,
accompanied by an | 13 |
| amendatory fee of $2.
| 14 |
| (d) Anything in this Chapter to the contrary | 15 |
| notwithstanding, no
person shall be licensed as a used vehicle | 16 |
| dealer unless such person
maintains an established place of | 17 |
| business as
defined in this Chapter.
| 18 |
| (e) The Secretary of State shall, within a reasonable time | 19 |
| after
receipt, examine an application submitted to him under | 20 |
| this Section.
Unless the Secretary makes a determination that | 21 |
| the application
submitted to him does not conform to this | 22 |
| Section or that grounds exist
for a denial of the application | 23 |
| under Section 5-501 of this Chapter, he
must grant the | 24 |
| applicant an original used vehicle dealer's license in
writing | 25 |
| for his established place of business and a supplemental | 26 |
| license
in writing for each additional place of business in | 27 |
| such form as he may
prescribe by rule or regulation which shall | 28 |
| include the following:
| 29 |
| 1. The name of the person licensed;
| 30 |
| 2. If a corporation, the name and address of its | 31 |
| officers or if a
sole proprietorship, a partnership, an | 32 |
| unincorporated association or any
similar form of business | 33 |
| organization, the name and address of the
proprietor or of | 34 |
| each partner, member, officer, director, trustee or
| 35 |
| manager;
| 36 |
| 3. In case of an original license, the established |
|
|
|
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| place of business
of the licensee;
| 2 |
| 4. In the case of a supplemental license, the | 3 |
| established place of
business of the licensee and the | 4 |
| additional place of business to which such
supplemental | 5 |
| license pertains.
| 6 |
| (f) The appropriate instrument evidencing the license or a | 7 |
| certified
copy thereof, provided by the Secretary of State | 8 |
| shall be kept posted,
conspicuously, in the established place | 9 |
| of business of the licensee and
in each additional place of | 10 |
| business, if any, maintained by such
licensee.
| 11 |
| (g) Except as provided in subsection (h) of this Section, | 12 |
| all used
vehicle dealer's licenses granted under this Section | 13 |
| expire by operation
of law on December 31 of the calendar year | 14 |
| for which they are granted
unless sooner revoked or cancelled | 15 |
| under Section 5-501 of this Chapter.
| 16 |
| (h) A used vehicle dealer's license may be renewed upon | 17 |
| application
and payment of the fee required herein, and | 18 |
| submission of proof of
coverage by an approved bond under the | 19 |
| "Retailers' Occupation Tax Act"
or proof that applicant is not | 20 |
| subject to such bonding requirements, as
in the case of an | 21 |
| original license, but in case an application for the
renewal of | 22 |
| an effective license is made during the month of December,
the | 23 |
| effective license shall remain in force until the application | 24 |
| for
renewal is granted or denied by the Secretary of State.
| 25 |
| (i) All persons licensed as a used vehicle dealer are | 26 |
| required to
furnish each purchaser of a motor vehicle:
| 27 |
| 1. A certificate of title properly assigned to the | 28 |
| purchaser;
| 29 |
| 2. A statement verified under oath that all identifying | 30 |
| numbers on
the vehicle agree with those on the certificate | 31 |
| of title;
| 32 |
| 3. A bill of sale properly executed on behalf of such | 33 |
| person;
| 34 |
| 4. A copy of the Uniform Invoice-transaction reporting | 35 |
| return
referred to in Section 5-402 of this Chapter;
| 36 |
| 5. In the case of a rebuilt vehicle, a copy of the |
|
|
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| Disclosure of Rebuilt
Vehicle Status; and
| 2 |
| 6. In the case of a vehicle for which the warranty has | 3 |
| been reinstated, a
copy of the warranty.
| 4 |
| (j) A real estate broker holding a valid certificate of | 5 |
| registration issued
pursuant to "The Real Estate Brokers and | 6 |
| Salesmen License Act" may engage
in the business of selling or | 7 |
| dealing in house trailers not his own without
being licensed as | 8 |
| a used vehicle dealer under this Section; however such
broker | 9 |
| shall maintain a record of the transaction including the | 10 |
| following:
| 11 |
| (1) the name and address of the buyer and seller,
| 12 |
| (2) the date of sale,
| 13 |
| (3) a description of the mobile home, including the | 14 |
| vehicle identification
number, make, model, and year, and
| 15 |
| (4) the Illinois certificate of title number.
| 16 |
| The foregoing records shall be available for inspection by | 17 |
| any officer
of the Secretary of State's Office at any | 18 |
| reasonable hour.
| 19 |
| (k) Except at the time of sale or repossession of the | 20 |
| vehicle, no
person licensed as a used vehicle dealer may issue | 21 |
| any other person a newly
created key to a vehicle unless the | 22 |
| used vehicle dealer makes a copy of the
driver's license or | 23 |
| State identification card of the person requesting or
obtaining | 24 |
| the newly created key. The used vehicle dealer must retain the
| 25 |
| copy for 30 days.
| 26 |
| A used vehicle dealer who violates this subsection (k) is | 27 |
| guilty of a
petty offense. Violation of this subsection (k) is | 28 |
| not cause to suspend,
revoke, cancel, or deny renewal of the | 29 |
| used vehicle dealer's license.
| 30 |
| (Source: P.A. 92-391, eff. 8-16-01; 92-835, eff. 6-1-03; 93-32, | 31 |
| eff. 7-1-03.)
| 32 |
| Section 99. Effective date. This Act takes effect upon | 33 |
| becoming law.
|
|