(205 ILCS 657/75) (Section scheduled to be repealed on January 1, 2026) Sec. 75. Authorized sellers. (a) A licensee may conduct the business regulated
under this Act at one or more locations in this State through authorized
sellers designated by the licensee. (b) A licensee shall not allow a person to act as its authorized seller
until all applicable requirements of this Act have been complied with and the
name and address of the person, on a form prescribed by the Director, along
with all applicable fees have been submitted to the Department by the licensee. (c) A licensee shall enter into a contract with its authorized
seller detailing the nature and scope of the relationship between the licensee
and the authorized seller. The contract between a licensee and an authorized
seller must require the authorized seller to operate in full compliance with
the laws of this State and of the United States.
The licensee shall provide the Director
with the sample written contract. (d) The financial responsibility of a licensee for the actions of its
authorized seller shall not exceed the amount of funds received by the
authorized seller on behalf of its licensee for transmission. (e) An authorized seller has an affirmative duty not to (1) commit fraud or
misrepresentation and (2) submit fraudulent statements to the licensee. A
licensee shall, as soon as practical, report to the Director and to any other
appropriate
official of this State or of the United States when it has probable cause to
believe an authorized seller has violated the affirmative duty set forth in
this subsection. (f) The licensee shall require the authorized seller to hold in trust for
the licensee from the moment of receipt the proceeds of any business transacted
under this Act in an amount equal to the amount of proceeds due the
licensee less the amount due the authorized seller. The funds shall remain
the property of the licensee whether or not commingled by the authorized seller
with its own funds. In the event that the license is revoked by the Director,
all proceeds then held in trust by authorized sellers of that licensee shall be
deemed to have been assigned to the Director. If an
authorized seller fails to remit funds to the licensee in accordance with the
time
specified in its contract with the licensee, the licensee may bring
a civil action against the authorized seller for 3 times the actual damages.
The Director may provide by rule a maximum remittance time for authorized
sellers. (g) A licensee shall, upon discovery, immediately report to the Director,
and an authorized seller, shall upon discovery, immediately report to its
licensee, the
theft or loss of any payment instrument from the licensee or authorized seller
in Illinois, having a value in excess of $100 or an aggregate value of $1,000
in any 3 month period. (h) Upon suspension or revocation of a license, the failure of a licensee to
renew its license, or the denial of the renewal of a license, the licensee
shall
notify its authorized sellers of the Director's action and require them
to immediately cease operation as its authorized sellers. (i) A licensee shall report the
removal of an authorized seller location or the termination of operations of an
authorized seller location
to the Director on a quarterly basis. (j) No authorized seller shall act outside its scope of authority as defined
by this Act and by its contract with the licensee with regard to any
transaction regulated by this Act. (Source: P.A. 88-643, eff. 1-1-95. Repealed by P.A. 103-991, eff. 1-1-26.) |