Full Text of HB1560 100th General Assembly
HB1560enr 100TH GENERAL ASSEMBLY |
| | HB1560 Enrolled | | LRB100 03434 JLS 13439 b |
|
| 1 | | AN ACT concerning business.
| 2 | | Be it enacted by the People of the State of Illinois, | 3 | | represented in the General Assembly:
| 4 | | Section 5. The Consumer Fraud and Deceptive Business | 5 | | Practices Act is amended by changing Section 2L as follows:
| 6 | | (815 ILCS 505/2L) (from Ch. 121 1/2, par. 262L)
| 7 | | (Text of Section before amendment by P.A. 99-768 )
| 8 | | Sec. 2L.
Any retail sale of a motor vehicle made after | 9 | | January 1,
1968 to a consumer by a new motor vehicle dealer or | 10 | | used motor vehicle
dealer within the meaning of Chapter 5 of | 11 | | the Illinois Vehicle Code is
made subject to this Section.
| 12 | | (a) The dealer is liable to the purchasing consumer for the
| 13 | | following share of the cost of the repair of Power Train | 14 | | components for
a period of 30 days from date of delivery, | 15 | | unless the repairs have
become necessary by abuse, negligence, | 16 | | or collision. The burden of
establishing that a claim for | 17 | | repairs is not within this Section shall
be on the selling | 18 | | dealer. The dealer's share of such repair costs is:
| 19 | | (1) in the case of a motor vehicle which is not more than 2 | 20 | | years
old, 50%;
| 21 | | (2) in the case of a motor vehicle which is 2 or more, but | 22 | | less than
3 years old, 25%;
| 23 | | (3) in the case of a motor vehicle which is 3 or more, but |
| | | HB1560 Enrolled | - 2 - | LRB100 03434 JLS 13439 b |
|
| 1 | | less than
4 years old, 10%; and
| 2 | | (4) in the case of a motor vehicle which is 4 or more years | 3 | | old,
none.
| 4 | | (b) Notwithstanding the foregoing, such a dealer and a | 5 | | purchasing
consumer may negotiate a sale and purchase that is | 6 | | not subject to this
Section if there is stamped on any purchase | 7 | | order, contract, agreement,
or other instrument to be signed by | 8 | | the consumer as a part of that
transaction, in at least | 9 | | 10-point bold type immediately above the
signature line, the | 10 | | following:
| 11 | | "THIS VEHICLE IS SOLD AS IS WITH NO WARRANTY
| 12 | | AS TO MECHANICAL CONDITION"
| 13 | | (c) As used in this Section, "Power Train components" means | 14 | | the
engine block, head, all internal engine parts, oil pan and | 15 | | gaskets,
water pump, intake manifold, transmission, and all | 16 | | internal transmission
parts, torque converter, drive shaft, | 17 | | universal joints, rear axle and
all rear axle internal parts, | 18 | | and rear wheel bearings.
| 19 | | (d) The repair liability means that the dealer will make | 20 | | necessary
Power Train component repairs in his shop, or in the | 21 | | shop of his service
affiliate, on the basis of his regular list | 22 | | price charge for parts and
labor, where the flat rate list | 23 | | price does not exceed 50% of the selling
price of the vehicle | 24 | | at the time repairs are requested.
| 25 | | (e) The age of the vehicle shall be measured according to | 26 | | the
manufacturer's model year designation as shown on the |
| | | HB1560 Enrolled | - 3 - | LRB100 03434 JLS 13439 b |
|
| 1 | | Certificate of
Title or Registration Certificate. Vehicles | 2 | | shall be designated as
current year models, one year old, 2 | 3 | | year old, and so forth according to
the time that has elapsed | 4 | | since January 1 of the appropriate model year
so designated.
| 5 | | (f) This Section does not preclude the issuance of a | 6 | | warranty or
guarantee by a motor vehicle dealer or motor car | 7 | | manufacturer that meets
or exceeds the basic provisions of | 8 | | paragraph (a).
| 9 | | (g) After the effective date of this amendatory Act of | 10 | | 1989,
executives' and officials' cars when so advertised shall | 11 | | have been used
exclusively by executives of the parent motor | 12 | | car manufacturer's personnel
or by an executive of an | 13 | | authorized dealer in the same make of car. These
cars, so | 14 | | advertised, shall not have been sold to a member of the public
| 15 | | prior to the appearance of the advertisement.
| 16 | | Any person who violates this Section commits an unlawful | 17 | | practice
within the meaning of this Act.
| 18 | | (Source: P.A. 86-351; 87-1140.)
| 19 | | (Text of Section after amendment by P.A. 99-768 )
| 20 | | Sec. 2L. Used motor vehicles; modification or disclaimer of | 21 | | implied warranty of merchantability limited. | 22 | | (a) Any retail sale of a used motor vehicle made after the | 23 | | effective date of this amendatory Act of the 99th General | 24 | | Assembly to a consumer by a licensed vehicle dealer within the | 25 | | meaning of Chapter 5 of the Illinois Vehicle Code or by an |
| | | HB1560 Enrolled | - 4 - | LRB100 03434 JLS 13439 b |
|
| 1 | | auction company at an auction that is open to the general | 2 | | public is
made subject to this Section.
| 3 | | (b) This Section does not apply to any of the following: | 4 | | (1) a vehicle vehicles with more than 150,000 miles at | 5 | | the time of sale ; . In addition, this Section does not apply | 6 | | to | 7 | | (2) a vehicle vehicles with a title titles that has | 8 | | have been branded "rebuilt" or "flood" ; . | 9 | | (3) a vehicle with a gross vehicle weight rating of | 10 | | 8,000 pounds or more; or | 11 | | (4) a vehicle that is an antique vehicle, as defined in | 12 | | the Illinois Vehicle Code, or that is a collector motor | 13 | | vehicle. | 14 | | (b-5) This Section does not apply to the sale of any | 15 | | vehicle for which the dealer offers an express warranty that | 16 | | provides coverage that is equal to or greater than the limited | 17 | | implied warranty of merchantability required under this | 18 | | Section 2L. | 19 | | (c) Except as otherwise provided in this Section 2L, any | 20 | | Any sale of a used motor vehicle as described in subsection (a) | 21 | | may not exclude, modify, or disclaim the implied warranty of | 22 | | merchantability created under this Section 2L prescribed in | 23 | | Section 2-314 of the Uniform Commercial Code or limit the | 24 | | remedies for a breach of the warranty hereunder before midnight | 25 | | of the 15th calendar day after delivery of a used motor vehicle | 26 | | or until a used motor vehicle is driven 500 miles after |
| | | HB1560 Enrolled | - 5 - | LRB100 03434 JLS 13439 b |
|
| 1 | | delivery, whichever is earlier. In calculating time under this | 2 | | Section, a day on which the warranty is breached and all | 3 | | subsequent days in which the used motor vehicle fails to | 4 | | conform with the implied warranty of merchantability are | 5 | | excluded. In calculating distance under this Section, the miles | 6 | | driven to obtain or in connection with the repair, servicing, | 7 | | or testing of a used motor vehicle that fails to conform with | 8 | | the implied warranty of merchantability are excluded. An | 9 | | attempt to exclude, modify, or disclaim the implied warranty of | 10 | | merchantability or to limit the remedies for a breach of the | 11 | | warranty in violation of this Section renders a purchase | 12 | | agreement voidable at the option of the purchaser. | 13 | | (d) An implied warranty of merchantability is met if a used | 14 | | motor vehicle functions for the purpose of ordinary | 15 | | transportation on the public highway and substantially free of | 16 | | a defect in a power train component. As used in this Section, | 17 | | "power train component" means the engine block, head, all | 18 | | internal engine parts, oil pan and gaskets, water pump, intake | 19 | | manifold, transmission, and all internal transmission parts, | 20 | | torque converter, drive shaft,
universal joints, rear axle and | 21 | | all rear axle internal parts, and rear wheel bearings. | 22 | | (e) The implied warranty of merchantability expires at | 23 | | midnight of the 15th calendar day after delivery of a used | 24 | | motor vehicle or when a used motor vehicle is driven 500 miles | 25 | | after delivery, whichever is earlier. In calculating time, a | 26 | | day on which the implied warranty of merchantability is |
| | | HB1560 Enrolled | - 6 - | LRB100 03434 JLS 13439 b |
|
| 1 | | breached is excluded and all subsequent days in which the used | 2 | | motor vehicle fails to conform with the warranty are also | 3 | | excluded. In calculating distance, the miles driven to or by | 4 | | the seller to obtain or in connection with the repair, | 5 | | servicing, or testing of a used motor vehicle that fails to | 6 | | conform with the implied warranty of merchantability are | 7 | | excluded. An implied warranty of merchantability does not | 8 | | extend to damage that occurs after the sale of the used motor | 9 | | vehicle that results from: | 10 | | (1) off-road use; | 11 | | (2) racing; | 12 | | (3) towing; | 13 | | (4) abuse; | 14 | | (5) misuse; | 15 | | (6) neglect; | 16 | | (7) failure to perform regular maintenance; and | 17 | | (8) failure to maintain adequate oil, coolant, and | 18 | | other required fluids or lubricants. | 19 | | (f) If the implied warranty of merchantability described in | 20 | | this Section is breached, the consumer shall give reasonable | 21 | | notice to the seller no later than 2 business days after the | 22 | | end of the statutory warranty period. Before the consumer | 23 | | exercises another remedy pursuant to Article 2 of the Uniform | 24 | | Commercial Code, the seller shall have a reasonable opportunity | 25 | | to repair the used motor vehicle. The consumer shall pay | 26 | | one-half of the cost of the first 2 repairs necessary to bring |
| | | HB1560 Enrolled | - 7 - | LRB100 03434 JLS 13439 b |
|
| 1 | | the used motor vehicle into compliance with the warranty. The | 2 | | payments by the consumer are limited to a maximum payment of | 3 | | $100 for each repair; however, the consumer shall only be | 4 | | responsible for a maximum payment of $100 if the consumer | 5 | | brings in the vehicle for a second repair for the same defect. | 6 | | Reasonable notice as defined in this Section shall include, but | 7 | | not be limited to: | 8 | | (1) text, provided the seller has provided the consumer | 9 | | with a cell phone number; | 10 | | (2) phone call or message to the seller's business | 11 | | phone number provided on the seller's bill of sale for the | 12 | | purchase of the motor vehicle; | 13 | | (3) in writing to the seller's address provided on the | 14 | | seller's bill of sale for the purchase of the motor | 15 | | vehicle; | 16 | | (4) in person at the seller's address provided on the | 17 | | seller's bill of sale for the purchase of the motor | 18 | | vehicle. | 19 | | (g) The maximum liability of a seller for repairs pursuant | 20 | | to this Section is limited to the purchase price paid for the | 21 | | used motor vehicle, to be refunded to the consumer or lender, | 22 | | as applicable, in exchange for return of the vehicle. | 23 | | (h) An agreement for the sale of a used motor vehicle | 24 | | subject to this Section is voidable at the option of the | 25 | | consumer, unless it contains on its face or in a separate
| 26 | | document the following conspicuous statement printed in |
| | | HB1560 Enrolled | - 8 - | LRB100 03434 JLS 13439 b |
|
| 1 | | boldface 10-point or larger type set off from the body of the | 2 | | agreement: | 3 | | "Illinois law requires that this vehicle will be free of a | 4 | | defect in a power train component for 15 days or 500 miles | 5 | | after delivery, whichever is earlier, except with regard to | 6 | | particular defects disclosed on the first page of this | 7 | | agreement. "Power train component" means the engine block, | 8 | | head, all internal engine parts, oil pan and gaskets, water | 9 | | pump, intake manifold, transmission, and all internal | 10 | | transmission parts, torque converter, drive shaft, universal | 11 | | joints, rear axle and all rear axle internal parts, and rear | 12 | | wheel bearings. You (the consumer) will have to pay up to $100 | 13 | | for each of the first 2 repairs if the warranty is violated.". | 14 | | (i) The inclusion in the agreement of the statement | 15 | | prescribed in subsection (h) of this Section does not create an | 16 | | express warranty. | 17 | | (j) A consumer of a used motor vehicle may waive the | 18 | | implied warranty of merchantability only for a particular | 19 | | defect in the vehicle including, but not limited to, a rebuilt | 20 | | or flood-branded title and only if all of the following | 21 | | conditions are satisfied: | 22 | | (1) the seller subject to this Section fully and | 23 | | accurately discloses to the consumer that because of | 24 | | circumstances unusual to the business, the used motor | 25 | | vehicle has a particular defect; | 26 | | (2) the consumer agrees to buy the used motor vehicle |
| | | HB1560 Enrolled | - 9 - | LRB100 03434 JLS 13439 b |
|
| 1 | | after disclosure of the defect; and | 2 | | (3) before the sale, the consumer indicates agreement | 3 | | to the waiver by signing and dating the following | 4 | | conspicuous statement that is printed on the first page of | 5 | | the sales agreement or on a separate document in boldface | 6 | | 10-point or larger type and that is written in the language | 7 | | in which the presentation was made: | 8 | | "Attention consumer: sign here only if the seller has | 9 | | told you that this vehicle has the following problem or | 10 | | problems and you agree to buy the vehicle on those terms: | 11 | | 1. ...................................................... | 12 | | 2. .................................................. | 13 | | 3. ...................................................". | 14 | | (k) It shall be an affirmative defense to any claim under | 15 | | this Section that: | 16 | | (1) an alleged nonconformity does not substantially | 17 | | impair the use and market value of the motor vehicle; | 18 | | (2) a nonconformity is the result of abuse, neglect, or | 19 | | unauthorized modifications or alterations of the motor | 20 | | vehicle; | 21 | | (3) a claim by a consumer was not filed in good faith; | 22 | | or | 23 | | (4) any other affirmative defense allowed by law. | 24 | | (l) Other than the 15-day, 500-mile implied warranty of | 25 | | merchantability identified herein, a seller subject to this | 26 | | Section is not required to provide any further express or |
| | | HB1560 Enrolled | - 10 - | LRB100 03434 JLS 13439 b |
|
| 1 | | implied warranties to a purchasing consumer unless: | 2 | | (1) the seller is required by federal or State law to | 3 | | provide a further express or implied warranty; or | 4 | | (2) the seller fails to fully inform and disclose to | 5 | | the consumer that the vehicle is being sold without any | 6 | | further express or implied warranties, other than the 15 | 7 | | day, 500 mile implied warranty of merchantability | 8 | | identified in this Section. | 9 | | (m) This Section does not apply to the sale of antique | 10 | | vehicles, as defined in the Illinois Vehicle Code, or to | 11 | | collector motor vehicles.
| 12 | | Any person who violates this Section commits an unlawful | 13 | | practice
within the meaning of this Act.
| 14 | | (Source: P.A. 99-768, eff. 7-1-17.)
| 15 | | Section 95. No acceleration or delay. Where this Act makes | 16 | | changes in a statute that is represented in this Act by text | 17 | | that is not yet or no longer in effect (for example, a Section | 18 | | represented by multiple versions), the use of that text does | 19 | | not accelerate or delay the taking effect of (i) the changes | 20 | | made by this Act or (ii) provisions derived from any other | 21 | | Public Act.
| 22 | | Section 99. Effective date. This Act takes effect July 1, | 23 | | 2017.
|
|