Illinois General Assembly - Full Text of HB4123
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Full Text of HB4123  98th General Assembly


Rep. Martin J. Moylan

Filed: 4/8/2014





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2    AMENDMENT NO. ______. Amend House Bill 4123, AS AMENDED, by
3replacing everything after the enacting clause with the
5    "Section 5. The Mobile Home Landlord and Tenant Rights Act
6is amended by changing Sections 6.5, 12, and 18 and by adding
7Sections 6.6 and 6.7 as follows:
8    (765 ILCS 745/6.5)
9    Sec. 6.5. Disclosure. A park owner must disclose in writing
10the following with every lease or sale and upon renewal of a
11lease of a mobile home or lot in a mobile home park:
12        (1) the rent charged for the mobile home or lot in the
13    past 5 years;
14        (2) the park owner's responsibilities with respect to
15    the mobile home or lot;
16        (3) information regarding any fees imposed in addition



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1    to the base rent;
2        (4) information regarding late payments;
3        (5) information regarding any privilege tax that is
4    applicable;
5        (6) information regarding security deposits, including
6    the right to the return of security deposits and interest
7    as provided in Section 18 of this Act; and
8        (7) information on a 3-year rent increase projection
9    which includes the 2 years of the lease and the year
10    immediately following. The basis for such rent increases
11    may be a fixed amount, a "not to exceed" amount, a formula,
12    an applicable index, or a combination of these
13    methodologies as elected by the park owner. These increases
14    may be in addition to all the non-controllable expenses
15    including, but not limited to, property taxes, government
16    assessments, utilities, and insurance; .
17        (8) the name of the owner of the manufactured home
18    community or mobile home park, and either: (a) the name,
19    address, and telephone number of the property manager or
20    designated agent for the manufactured home community or
21    mobile home park; or (b) the address and telephone number
22    of the owner of the manufactured home community or mobile
23    home park, if the manufactured home community or mobile
24    home park does not have a property manager or designated
25    agent; and
26        (9) information contained in any uncured violation, as



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1    defined in subsection (a) of Section 6.7 of this Act,
2    existing as of the date the written disclosure under this
3    Section is provided.
4    The park owner must update the written disclosure at least
5once per year. The park owner must advise tenants who are
6renewing a lease of any changes in the disclosure from any
7prior disclosure. Within 20 days after the closing of a
8purchase and sale of a manufactured home community or mobile
9home park that results in a change in the owner, the purchaser
10or the representative of the purchaser must provide written
11notice to each homeowner of the new owner and either: (i) the
12name, address, and telephone number of the property manager or
13designated agent for the manufactured home community or mobile
14home park; or (ii) the address and telephone number of the
15owner of the manufactured home community or mobile home park if
16the manufactured home community or mobile home park does not
17have a property manager or designated agent. The written notice
18may be provided by hand delivery to the resident's home, by
19United States mail or a recognized courier service, by posting
20in the office of the custodian of the park or in the clubhouse
21or other area of the park where park residents gather, or by
22posting on a community bulletin board.
23    The changes to this Section by this amendatory Act of the
2498th General Assembly apply to disclosures made on or after
25January 1, 2015.
26(Source: P.A. 95-383, eff. 1-1-08.)



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1    (765 ILCS 745/6.6 new)
2    Sec. 6.6. Notice of bankruptcy or foreclosure proceedings.
3If a bankruptcy case is commenced by or against a park owner by
4the filing of a voluntary or involuntary petition under Title
511 of the United States Code, if a receiver is appointed by a
6court of competent jurisdiction in a case filed by or against a
7park owner, or if a foreclosure proceeding is initiated against
8the park property by a creditor of the park owner, the park
9owner shall provide written notice of the commencement of the
10bankruptcy, receivership, or foreclosure to the tenant within
1130 days of the commencement of the case or proceeding.
12    (765 ILCS 745/6.7 new)
13    Sec. 6.7. Department of Public Health violations.
14    (a) As used in this Section:
15        (1) "Department" means the Illinois Department of
16    Public Health or a local department of public health; and
17        (2) "uncured violation" means:
18            (A) a violation of the Mobile Home Park Act that
19        has been cited by the Department in a written notice to
20        the park owner and has not been rectified within the
21        time period allotted by the Department or, if no time
22        period is allotted, the applicable time period
23        allotted by the applicable law or regulation pursuant
24        to which the violation was issued; or



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1            (B) an ongoing enforcement action by the
2        Department against the park pertaining to any cited
3        violations described in subparagraph (A) of this
4        paragraph.
5    (b) A park owner shall provide written notice of an uncured
6violation by posting the notice in the office of the custodian
7of the park or in the clubhouse or other area of the park where
8park residents gather or on a community bulletin board.
9    (c) If the park owner or managing agent of the park
10reasonably believes that the uncured violation has been cured
11or was issued in error or if the Department confirms in writing
12that the violation has been rectified, the park owner or
13managing agent of the park may remove the notice required by
14subsection (b) of this Section from the areas described in
15subsection (b) of this Section and is not required to include
16the notice with the disclosures made pursuant to Section 6.5 of
17this Act.
18    (d) If an impartial hearing examiner appointed by the
19Director of Public Health determines that a park owner has
20violated the requirements of this Section or failed to make a
21disclosure required by paragraph (9) of Section 6.5 of this
22Act, then the park owner is liable only for the payment of a
23fine in an amount determined by the examiner, not to exceed
24$250 for each violation. The park owner or the representative
25of the park owner shall not be subject to other civil or
26criminal liability to this State, any other instrumentality or



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1government, or any individual.
2    (e) Any notice provided by the Department of Public Health
3or by or on behalf of the park owner under this Section shall
4be mailed via United States certified mail, return receipt
5requested, postage prepaid.
6    (765 ILCS 745/12)  (from Ch. 80, par. 212)
7    Sec. 12. Lease prohibitions. No lease hereafter executed or
8currently existing between a park owner and tenant in a mobile
9home park in this State shall contain any provision:
10    (a) Permitting the park owner to charge a penalty fee for
11late payment of rent without allowing a tenant a minimum of 5
12days beyond the date the rent is due in which to remit such
14    (b) Permitting the park owner to charge an amount in excess
15of one month's rent as a security deposit;
16    (c) Requiring the tenant to pay any fees not specified in
17the lease;
18    (d) Permitting the park owner to transfer, or move, a
19mobile home to a different lot, including a different lot in
20the same mobile home park, during the term of the lease; .
21    (e) Waiving the tenant's right to a trial by jury.
22(Source: P.A. 85-607.)
23    (765 ILCS 745/18)  (from Ch. 80, par. 218)
24    Sec. 18. Security deposit; Interest.



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1    (a) If the lease requires the tenant to provide any deposit
2with the park owner for the term of the lease, or any part
3thereof, said deposit shall be considered a Security Deposit.
4Security Deposits shall be returned in full to the tenant,
5provided that the tenant has paid all rent due in full for the
6term of the lease and has caused no actual damage to the
8    The park owner shall furnish the tenant, within 15 days
9after termination or expiration of the lease, an itemized list
10of the damages incurred upon the premises and the estimated
11cost for the repair of each item. The tenant's failure to
12object to the itemized list within 15 days shall constitute an
13agreement upon the amount of damages specified therein. The
14park owner's failure to furnish such itemized list of damages
15shall constitute an agreement that no damages have been
16incurred upon the premises and the entire security deposit
17shall become immediately due and owing to the tenant.
18    The tenant's failure to furnish the park owner a forwarding
19address shall excuse the park owner from furnishing the list
20required by this Section.
21    (b) A park owner of any park regularly containing 25 or
22more mobile homes shall pay interest to the tenant, on any
23deposit held by the park owner, computed from the date of the
24deposit at a rate equal to the interest paid by the largest
25commercial bank, as measured by total assets, having its main
26banking premises in this State on minimum deposit passbook



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1savings accounts as of December 31 of the preceding year on any
2such deposit held by the park owner for more than 6 months.
3However, in the event that any portion of the amount deposited
4is utilized during the period for which it is deposited in
5order to compensate the owner for non-payment of rent or to
6make a good faith reimbursement to the owner for damage caused
7by the tenant, the principal on which the interest accrues may
8be recomputed to reflect the reduction for the period
9commencing on the first day of the calendar month following the
11    The park owner shall, within 30 days after the end of each
1212-month period, pay to the tenant any interest owed under this
13Section in cash, provided, however, that the amount owed may be
14applied to rent due if the owner and tenant agree thereto.
15    A park owner who willfully fails or refuses to pay the
16interest required by this Act shall, upon a finding by a
17circuit court that he willfully failed or refused to pay, be
18liable for an amount equal to the amount of the security
19deposit, together with court costs and a reasonable attorney's
21    (c) A park owner, as landlord, shall hold in trust all
22security deposits received from a tenant in one or more
23federally insured accounts in a bank, savings and loan
24association, or other financial institution. A security
25deposit and the interest due under subsection (b) of this
26Section is the property of the tenant until the deposit is



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1returned to the tenant or used to compensate, or applied to the
2tenant's obligations to, the park owner, as landlord, in
3accordance with the lease or applicable State and local law.
4The security deposit shall not be commingled with the assets of
5the park owner, and shall not be subject to the claims of any
6creditor of the park owner or any party claiming an interest in
7the deposit through the park owner, including a foreclosing
8mortgagee or trustee in bankruptcy; provided that this
9subsection does not prevent a foreclosing mortgagee, receiver,
10or trustee from taking over control of the applicable bank
11account holding the security deposits, which may include moving
12the security deposits to another bank account meeting the
13requirements of this Section, provided that the mortgagee,
14receiver, or trustee:
15        (1) shall continue to hold the security deposits in
16    trust as provided in, and subject to, the provisions of
17    this Section; and
18        (2) is entitled to use a security deposit to
19    compensate, and apply a security deposit to discharge the
20    obligations of the tenant to, the park owner as permitted
21    by the lease or applicable State and local law.
22(Source: P.A. 88-643, eff. 1-1-95.)".