Full Text of HB0566 94th General Assembly
HB0566eng 94TH GENERAL ASSEMBLY
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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 Tool and Die Lien Act is amended by changing | 5 |
| Sections 1, 2, 3, 5, and 6 and by adding Sections 4.1 and 5.1 as | 6 |
| follows:
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| (770 ILCS 105/1) (from Ch. 82, par. 351)
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| Sec. 1. Lien. | 9 |
| (A) Plastic or metal processors or persons conducting a
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| plastic or metal processing business shall have a lien on the | 11 |
| tools, dies,
molds, jigs, fixtures, forms or patterns in their | 12 |
| possession belonging to a
customer, for the balance due them | 13 |
| from such customer for plastic or metal
processing work, and | 14 |
| for all materials related to such work. The processor
may | 15 |
| retain possession of the tool, die, mold, jig, fixture, form or | 16 |
| pattern
until such balance is paid, subject only to a security | 17 |
| interest
properly perfected pursuant to Article 9 of the | 18 |
| Uniform Commercial
Code.
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| (B) A toolmaker has a lien on all special tools produced by | 20 |
| it and on all proceeds from the assignment, sale, transfer, | 21 |
| exchange, or other disposition of the special tool produced by | 22 |
| it until the toolmaker is paid in full all amounts due the | 23 |
| toolmaker for the production of the special tool. For the | 24 |
| purpose of this subsection:
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| (1) the lien attaches when the special tool is | 26 |
| delivered from the toolmaker to the customer;
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| (2) the amount of the lien is the amount that a | 28 |
| customer or processor owes the toolmaker for the | 29 |
| fabrication, repair, or modification of the special tool; | 30 |
| and
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| (3) the toolmaker retains the lien even if the | 32 |
| toolmaker is not a possession of the special tool for which |
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| the lien is claimed.
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| (Source: P.A. 85-381.)
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| (770 ILCS 105/2) (from Ch. 82, par. 352)
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| Sec. 2. Definitions. For purposes of this Act:
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| (A) The term "processor" means any individual or entity | 6 |
| including, but
not limited to, a tool or die maker, who | 7 |
| contracted with, or uses a tool,
die, mold, jig, fixture, form | 8 |
| or pattern to manufacture, assemble, or
otherwise make a | 9 |
| plastic or metal product or products for a customer.
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| (B) The term "customer" means any individual or entity who | 11 |
| contracted with,
or caused a plastic or metal processor to use | 12 |
| a tool, die, mold, jig,
fixture, form or pattern to | 13 |
| manufacture, assemble, or otherwise make
plastic or metal | 14 |
| components or products.
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| (C) The term "special tool" means a tool, die, mold, jig, | 16 |
| fixture, form ,
or pattern , or part used to manufacture, | 17 |
| assemble, or otherwise make plastic or
metal components or | 18 |
| products.
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| (D) The term "toolmaker" means a person including, but not | 20 |
| limited to, a mold builder, model maker, patternmaker, molder, | 21 |
| die maker, metal former, jig and fixture builder, die sinker, | 22 |
| die caster, mold designer, mold programmer, die designer, die | 23 |
| programmer, and mold or die engineer, that fabricates, cuts, | 24 |
| casts, forms, or designs molds for the plastic industry or dies | 25 |
| for the metal forming industry.
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| (Source: P.A. 85-381.)
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| (770 ILCS 105/3) (from Ch. 82, par. 353)
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| Sec. 3. Notice. Before enforcing a
such lien as provided | 29 |
| for in subsection (A) of Section 1 of this Act , an initial | 30 |
| notice in
writing shall be given to the customer, either | 31 |
| delivered personally or sent
by registered mail to the last | 32 |
| known address of the customer. This notice
shall state that a | 33 |
| lien is claimed in the amount therein set forth or
thereto | 34 |
| attached for processing work contracted or performed for the
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| customer. This notice shall also include a demand for payment. | 2 |
| Before enforcing a lien as provided in subsection (B) of | 3 |
| Section 1 of this Act, an initial notice in writing shall be | 4 |
| given to the customer and processor, either delivered | 5 |
| personally or sent by registered mail to the last known address | 6 |
| of the customer and the processor. The notice shall state that | 7 |
| a lien is claimed in the amount set forth in or attached to the | 8 |
| notice for the fabrication, repair, or modification of the | 9 |
| special tool. The notice shall also include a demand for | 10 |
| payment.
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| (Source: P.A. 85-381.)
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| (770 ILCS 105/4.1 new)
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| Sec. 4.1. Possession of special tool. If the toolmaker has | 14 |
| not been paid the amount claimed in the notice within 90 days | 15 |
| after the initial notice is received by the customer and by the | 16 |
| processor, the toolmaker has a right to possession of the | 17 |
| special tool and may do the following: | 18 |
| (1) enforce the right to possession of the special tool | 19 |
| by judgement, foreclosure, or any available judicial | 20 |
| procedure;
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| (2) commence a civil action in circuit court to enforce | 22 |
| the lien, including by obtaining a judgment for the amount | 23 |
| owed and a judgment permitting the special tool to be sold | 24 |
| at an execution sale;
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| (3) take possession of the special tool, if possession | 26 |
| without judicial process can be done without breach of the | 27 |
| peace; and
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| (4) sell the special tool in a public auction. | 29 |
| A toolmaker that suffers damages under this Act may obtain | 30 |
| appropriate legal and equitable relief, including damages, in a | 31 |
| civil action. The court shall award the toolmaker that is the | 32 |
| prevailing party reasonable attorney's fees, court costs, and | 33 |
| expenses related to enforcement of the lien.
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| (770 ILCS 105/5) (from Ch. 82, par. 355)
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| Sec. 5. Second notice; publication ; sale by processor . | 2 |
| (A) Before a processor may sell
the die, mold or special | 3 |
| tool, the processor shall provide a second written
notification | 4 |
| to the customer, by registered mail, return receipt requested.
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| The second notice shall include the following information:
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| (1) The processor's intention to sell the die, mold, or | 7 |
| special tool;
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| (2) A description of the die, mold, or special tool to be | 9 |
| sold;
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| (3) The time and place of the sale; and
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| (4) An itemized statement for the amount due.
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| (B) In addition to this notification by mail, the processor | 13 |
| shall publish in
a newspaper of general circulation in the | 14 |
| place where the die, mold, or
special tool is being held for | 15 |
| sale by the processor, notice of the
processor's intention to | 16 |
| sell the die, mold, or special tool. The notice
shall include a | 17 |
| description of the die, mold, or special tool and name of the | 18 |
| customer.
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| (Source: P.A. 85-381.)
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| (770 ILCS 105/5.1 new) | 21 |
| Sec. 5.1. Second notice; publication; sale by toolmaker. | 22 |
| (A) Before a toolmaker may sell the special tool, the | 23 |
| toolmaker shall provide a second written notification to the | 24 |
| customer and processor, by registered mail, return receipt | 25 |
| requested. The second notice shall include the following | 26 |
| information: | 27 |
| (1) the toolmaker's intention to sell the special tool;
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| (2) a description of the special tool to be sold;
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| (3) the time and place of the sale; and
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| (4) an itemized statement for the amount due.
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| (B) In addition to this notification by mail, the toolmaker | 32 |
| shall publish in a newspaper of general circulation in the | 33 |
| place where the special tool is being held for sale by the | 34 |
| toolmaker, notice of the toolmaker's intention to sell the | 35 |
| special tool. The notice shall include a description of the |
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| special tool and name of the customer and processor.
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| (770 ILCS 105/6) (from Ch. 82, par. 356)
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| Sec. 6. Inspection. (A) Prior to the sale of any die, mold | 4 |
| or special
tool in accordance with this Act, such item must be | 5 |
| available for
inspection, upon request, by members of the | 6 |
| public during normal business
hours for a period of at least 2 | 7 |
| weeks prior to the sale.
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| (B) If the sale is for a sum greater than the amount of the | 9 |
| lien, the
excess shall be paid to any prior lienholder and any | 10 |
| remainder to the customer and the processor .
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| (C) A sale shall not be made or a possession shall not be | 12 |
| obtained under this Act if it would be in violation
of any | 13 |
| right of a customer or a processor under federal patent , | 14 |
| bankruptcy, or copyright law.
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| (Source: P.A. 85-381.)
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