(765 ILCS 175/1)
Sec. 1. Short title. This Act may be cited as the Prohibition of Unfair Service Agreements Act.
(Source: P.A. 103-993, eff. 8-9-24.) |
(765 ILCS 175/5)
Sec. 5. Purpose. The General Assembly declares that it is the purpose of this Act: (1) to prohibit the use of service agreements that | ||
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(2) to prohibit the recording of unfair service | ||
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(3) to provide remedies for owners who are | ||
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(Source: P.A. 103-993, eff. 8-9-24.) |
(765 ILCS 175/10)
Sec. 10. Definitions. As used in this Act: "Person" means a natural person, partnership, association, cooperative, corporation, trust, or other legal entity. "Recording" means presenting a document to a county recorder for official placement in the public land records. "Residential real estate" means real property located in this State that is used primarily for personal, family, or household purposes and is improved by one to 4 dwelling units. "Service agreement" means a contract under which a person agrees to provide services in connection with the maintenance of or purchase or sale of residential real estate. "Service provider" means an individual or entity that provides services to a person.
(Source: P.A. 103-993, eff. 8-9-24.) |
(765 ILCS 175/15)
Sec. 15. Characteristics of unfair service agreements. (a) A service agreement is unfair under this Act if any part of the service subject to the agreement is not to be performed within one year after the service agreement is entered into and the service agreement has any of the following characteristics: (1) the service agreement purports to run with the | ||
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(2) the service agreement allows for assignment of | ||
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(3) the service agreement purports to create a lien, | ||
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(b) This Act does not apply to: (1) a home warranty or similar product that covers | ||
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(2) an insurance contract; (3) an option or right of refusal to purchase the | ||
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(4) a declaration created in the formation of a | ||
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(5) a maintenance or repair agreement entered into by | ||
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(6) a mortgage loan or a commitment to make or | ||
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(7) a security agreement under the Uniform Commercial | ||
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(8) water, sewer, electrical, telephone, cable, or | ||
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(c) This Act shall not impair rights and remedies granted under the Mechanics Lien Act.
(Source: P.A. 103-993, eff. 8-9-24.) |
(765 ILCS 175/20)
Sec. 20. Unfair service agreements unenforceable. If a service agreement is unfair under this Act it is unenforceable and shall not create a contractual obligation.
(Source: P.A. 103-993, eff. 8-9-24.) |
(765 ILCS 175/25)
Sec. 25. Deceptive business practice. Entering into an unfair service agreement with a consumer constitutes an unlawful practice under the Consumer Fraud and Deceptive Business Practices Act. All remedies, penalties, and authority granted to the Attorney General by the Consumer Fraud and Deceptive Business Practices Act shall be available to the Attorney General for the enforcement of this Act.
(Source: P.A. 103-993, eff. 8-9-24.) |
(765 ILCS 175/30)
Sec. 30. Recording prohibited. (a) No person shall knowingly record or knowingly cause to be recorded an unfair service agreement or a notice or memorandum of the unfair service agreement. (b) Notwithstanding any law to the contrary, a county recorder may refuse to accept for recordation an unfair service agreement. (c) If an unfair service agreement is recorded, it shall not provide actual or constructive notice against a bona fide purchaser or creditor.
(Source: P.A. 103-993, eff. 8-9-24.) |
(765 ILCS 175/35)
Sec. 35. Remedies. If an unfair service agreement or a notice or memorandum of the unfair service agreement is recorded, any person with an interest in the real property that is the subject of that agreement may apply to a court in the county where the recording exists to record a court order declaring the agreement unenforceable and that person may recover actual damages, costs, and attorney's fees as may be proven against the service provider who recorded the agreement.
(Source: P.A. 103-993, eff. 8-9-24.) |
(765 ILCS 175/99)
Sec. 99. Effective date. This Act takes effect upon becoming law.
(Source: P.A. 103-993, eff. 8-9-24.) |