State of Illinois
90th General Assembly
Legislation

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[ House Amendment 001 ]

90_HB0087

      235 ILCS 5/6-1            from Ch. 43, par. 119
      235 ILCS 5/6-21           from Ch. 43, par. 135
      235 ILCS 5/7-1            from Ch. 43, par. 145
          Amends the Liquor  Control  Act.  Increases  the  maximum
      amounts  recoverable  in  a  dram  shop action to $50,000 for
      damages and $60,000 for loss of support.  Provides  that  the
      Liquor  Control  Commission  shall  not  renew  a  retailer's
      license without proof of insurance.
                                                     LRB9000737LDdv
                                               LRB9000737LDdv
 1        AN  ACT  to  amend  the  Liquor  Control  Act by changing
 2    Sections 6-1, 6-21, and 7-1.
 3        Be it enacted by the People of  the  State  of  Illinois,
 4    represented in the General Assembly:
 5        Section  5.  The Liquor Control Act of 1934 is amended by
 6    changing Sections 6-1, 6-21, and 7-1 as follows:
 7        (235 ILCS 5/6-1) (from Ch. 43, par. 119)
 8        Sec. 6-1.  Privilege granted by  license;  nature  as  to
 9    property;  transfer  ability;  tax  delinquencies.  A license
10    shall be purely a personal privilege, good for not to  exceed
11    one   year  after  issuance,  except  a  non-beverage  user's
12    license, unless sooner revoked as in this Act  provided,  and
13    shall  not  constitute  property,  nor shall it be subject to
14    attachment,  garnishment  or  execution,  nor  shall  it   be
15    alienable  or  transferable, voluntarily or involuntarily, or
16    subject to being encumbered  or  hypothecated.  Such  license
17    shall  not  descend  by  the  laws  of  testate  or intestate
18    devolution,  but  it  shall  cease  upon  the  death  of  the
19    licensee, provided that executors or  administrators  of  the
20    estate  of  any  deceased  licensee,  and  the trustee of any
21    insolvent or bankrupt licensee, when such estate consists  in
22    part  of  alcoholic  liquor, may continue the business of the
23    sale or manufacture of alcoholic liquor under  order  of  the
24    appropriate  court,  and  may  exercise the privileges of the
25    deceased or insolvent or bankrupt licensee after the death of
26    such decedent, or such insolvency  or  bankruptcy  until  the
27    expiration  of  such  license  but not longer than six months
28    after the death, bankruptcy or insolvency of  such  licensee.
29    Except in the case of a non-beverage user's license, a refund
30    shall  be  made  of that portion of the license fees paid for
31    any period in which the  licensee  shall  be  prevented  from
                            -2-                LRB9000737LDdv
 1    operating   under   such   license  in  accordance  with  the
 2    provisions of this paragraph.
 3        Any licensee may renew  his  license  at  the  expiration
 4    thereof,  provided  he is then qualified to receive a license
 5    and the premises for which such renewal license is sought are
 6    suitable for such purpose;  and  provided  further  that  the
 7    renewal  privilege herein provided for shall not be construed
 8    as a vested right which shall in any case  prevent  the  city
 9    council  or village president and board of trustees or county
10    board, as the case may be,  from  decreasing  the  number  of
11    licenses  to be issued within its jurisdiction. No retailer's
12    license shall be renewed if the  Department  of  Revenue  has
13    reported  to the Illinois Liquor Control Commission that such
14    retailer is delinquent in filing any required tax returns  or
15    paying  any  amounts  owed to the State of Illinois until the
16    applicant is  issued  a  certificate  by  the  Department  of
17    Revenue  stating  that all delinquent returns or amounts owed
18    have been  paid  by  guaranteed  remittance  or  the  payment
19    agreement  to  pay  all amounts owed has been accepted by the
20    Department. The State Commission shall not renew a retailer's
21    license unless the applicant for  renewal  submits  proof  of
22    dram  shop  insurance coverage in amounts to be determined by
23    the State Commission by rule. No retailer's license issued by
24    a local liquor control commissioner shall be  renewed  unless
25    the applicant provides documentation that any tax owed to (i)
26    the  municipality  in  which the applicant is located (in the
27    case of a license issued by the mayor  or  president  of  the
28    board  of  trustees  of  a city, village or incorporated town
29    acting as local liquor  control  commissioner)  or  (ii)  the
30    county  in  which  the applicant is located (in the case of a
31    license issued by the president or chairman of a county board
32    acting as local liquor control commissioner) by the applicant
33    has been satisfied by payment in  the  form  of  a  cashier's
34    check, certified check, money order, or cash.
                            -3-                LRB9000737LDdv
 1        A negotiable instrument received as payment for a license
 2    fee,   transfer   fee,   late   fee,   offer  in  compromise,
 3    pre-disciplinary conference settlement, or  fine  imposed  by
 4    order  that  is  dishonored  on  presentation  shall  not  be
 5    considered  payment  and  shall  be  cause  for  disciplinary
 6    action.
 7    (Source: P.A. 89-250, eff. 1-1-96.)
 8        (235 ILCS 5/6-21) (from Ch. 43, par. 135)
 9        Sec.  6-21.   (a) Every person who is injured within this
10    State, in person or property, by any intoxicated person has a
11    right of action in his or her own name, severally or jointly,
12    against any person, licensed under the laws of this State  or
13    of  any other state to sell alcoholic liquor, who, by selling
14    or giving alcoholic liquor, within or without the territorial
15    limits of this State, causes the intoxication of such person.
16    Any person at least 21 years of age who pays for a  hotel  or
17    motel  room  or facility knowing that the room or facility is
18    to be used by any person  under  21  years  of  age  for  the
19    unlawful   consumption   of   alcoholic   liquors   and  such
20    consumption causes the intoxication of the  person  under  21
21    years of age, shall be liable to any person who is injured in
22    person  or  property by the intoxicated person under 21 years
23    of age. Any person owning, renting, leasing or permitting the
24    occupation of any building or premises  with  knowledge  that
25    alcoholic  liquors  are  to  be  sold  therein, or who having
26    leased the same for other purposes,  shall  knowingly  permit
27    therein  the  sale  of any alcoholic liquors that have caused
28    the intoxication of any person, shall be liable, severally or
29    jointly, with the  person  selling  or  giving  the  liquors.
30    However,  if  such  building or premises belong to a minor or
31    other person under guardianship the guardian of  such  person
32    shall be held liable instead of the ward. A married woman has
33    the  same right to bring the action and to control it and the
                            -4-                LRB9000737LDdv
 1    amount recovered as an unmarried woman. All damages recovered
 2    by a minor under this Act shall be paid either to the  minor,
 3    or to his or her parent, guardian or next friend as the court
 4    shall  direct.  The unlawful sale or gift of alcoholic liquor
 5    works a forfeiture of all rights  of  the  lessee  or  tenant
 6    under  any  lease or contract of rent upon the premises where
 7    the unlawful sale  or  gift  takes  place.  All  actions  for
 8    damages  under  this  Act may be by any appropriate action in
 9    the circuit court. An action shall lie for injuries to  means
10    of  support caused by an intoxicated person or in consequence
11    of the intoxication of any person  resulting  as  hereinabove
12    set  out.  The  action,  if  the person from whom support was
13    furnished is living, shall be brought by any  person  injured
14    in means of support in his or her name for his or her benefit
15    and  the  benefit  of  all  other persons injured in means of
16    support. However, any person claiming to be injured in  means
17    of  support  and not included in any action brought hereunder
18    may join by motion made within the times herein provided  for
19    bringing  such  action  or the personal representative of the
20    deceased person from whom such support was furnished  may  so
21    join.  In  every  such  action  the  jury shall determine the
22    amount of damages to be recovered without regard to and  with
23    no  special  instructions as to the dollar limits on recovery
24    imposed by this Section. The amount recovered in  every  such
25    action  is for the exclusive benefit of the person injured in
26    loss of support and shall be distributed to such  persons  in
27    the   proportions  determined  by  the  verdict  rendered  or
28    judgment entered in the action. If the  right  of  action  is
29    settled  by  agreement  with the personal representative of a
30    deceased person from whom support was  furnished,  the  court
31    having  jurisdiction  of  the  estate  of the deceased person
32    shall distribute the amount of the settlement to  the  person
33    injured  in  loss of support in the proportion, as determined
34    by the court, that the percentage of dependency of each  such
                            -5-                LRB9000737LDdv
 1    person  upon  the  deceased  person  bears  to the sum of the
 2    percentages of  dependency  of  all  such  persons  upon  the
 3    deceased  person.  For all causes of action involving persons
 4    injured,  killed,  or  incurring   property   damage   before
 5    September  12,  1985,  in  no  event  shall  the  judgment or
 6    recovery under this Act for injury to the person  or  to  the
 7    property of any person as hereinabove set out exceed $15,000,
 8    and  recovery  under  this  Act  for loss of means of support
 9    resulting  from  the  death  or  injury  of  any  person,  as
10    hereinabove set out, shall not exceed $20,000. For all causes
11    of action involving persons  injured,  killed,  or  incurring
12    property  damage  after September 12, 1985 but before January
13    1, 1998, in no event  shall  the  judgment  or  recovery  for
14    injury to the person or property of any person exceed $30,000
15    for  each  person  incurring damages, and recovery under this
16    Act for loss of means of support resulting from the death  or
17    injury of any person shall not exceed $40,000. For all causes
18    of  action  involving  persons  injured, killed, or incurring
19    property damage after January 1, 1998, in no event shall  the
20    judgment  or recovery for injury to the person or property of
21    any person exceed $50,000 for each person incurring  damages,
22    and  recovery  under  this  Act  for loss of means of support
23    resulting from the death or injury of any  person  shall  not
24    exceed  $60,000. Nothing in this Section bars any person from
25    making separate claims which, in the  aggregate,  exceed  any
26    one  limit  where  such  person  incurs more than one type of
27    compensable  damage,  including  personal  injury,   property
28    damage,  and  loss to means of support.  However, all persons
29    claiming loss to means of support  shall  be  limited  to  an
30    aggregate  recovery  not  to exceed the single limitation set
31    forth herein for the death or injury of each person from whom
32    support is claimed.
33        Nothing in this Act shall be construed to confer a  cause
34    of  action  for  injuries  to  the  person or property of the
                            -6-                LRB9000737LDdv
 1    intoxicated person himself, nor shall anything in this Act be
 2    construed to confer a cause of action for loss  of  means  of
 3    support  on  the  intoxicated person himself or on any person
 4    claiming to be  supported  by  such  intoxicated  person.  In
 5    conformance   with   the   rule   of  statutory  construction
 6    enunciated  in  the  general  Illinois  saving  provision  in
 7    Section 4 of "An Act to revise the law  in  relation  to  the
 8    construction  of  the  statutes",  approved March 5, 1874, as
 9    amended, no amendment of this Section purporting  to  abolish
10    or having the effect of abolishing a cause of action shall be
11    applied  to  invalidate a cause of action accruing before its
12    effective date, irrespective of  whether  the  amendment  was
13    passed  before or after the effective date of this amendatory
14    Act of 1986.
15        Each action hereunder shall be  barred  unless  commenced
16    within one year next after the cause of action accrued.
17        However,  a  licensed  distributor  or  brewer whose only
18    connection with the furnishing of alcoholic liquor  which  is
19    alleged  to  have  caused  intoxication was the furnishing or
20    maintaining of any apparatus for the dispensing or cooling of
21    beer is not liable under this Section, and if  such  licensee
22    is  named as a defendant, a proper motion to dismiss shall be
23    granted.
24        (b)  Any person licensed under any state or local law  to
25    sell  alcoholic  liquor, whether or not a citizen or resident
26    of this State, who in person or through an agent  causes  the
27    intoxication, by the sale or gift of alcoholic liquor, of any
28    person who, while intoxicated, causes injury to any person or
29    property  in  the  State  of  Illinois  thereby  submits such
30    licensed person, and, if an individual, his or  her  personal
31    representative,  to  the  jurisdiction  of the courts of this
32    State for a cause of  action  arising  under  subsection  (a)
33    above.
34        Service  of process upon any person who is subject to the
                            -7-                LRB9000737LDdv
 1    jurisdiction of the courts of this State, as provided in this
 2    subsection, may be made by  personally  serving  the  summons
 3    upon  the  defendant  outside  this State, as provided in the
 4    Code of Civil Procedure, as now or  hereafter  amended,  with
 5    the  same  force  and  effect  as  though  summons  had  been
 6    personally served within this State.
 7        Only  causes of action arising under subsection (a) above
 8    may be asserted against a defendant in  an  action  in  which
 9    jurisdiction over him or her is based upon this subsection.
10        Nothing  herein  contained limits or affects the right to
11    serve any process  in  any  other  manner  now  or  hereafter
12    provided by law.
13    (Source: P.A. 84-1308; 84-1380; 84-1381; 84-1438.)
14        (235 ILCS 5/7-1) (from Ch. 43, par. 145)
15        Sec.  7-1.   An  applicant  for  a license from the State
16    Commission  shall  submit  to   the   State   Commission   an
17    application in writing under oath stating:
18             (1)  The applicant's name and mailing address;
19             (2)  The   name   and  address  of  the  applicant's
20        business;
21             (3)  If applicable, the date of the  filing  of  the
22        "assumed name" of the business with the County Clerk;
23             (4)  In  case  of  a  copartnership, the date of the
24        formation of the partnership; in the case of an  Illinois
25        corporation,  the  date  of  its incorporation; or in the
26        case of a foreign corporation, the  State  where  it  was
27        incorporated and the date of its becoming qualified under
28        the  "Business  Corporation  Act  of  1983"  to  transact
29        business in the State of Illinois;
30             (5)  The  number,  the date of issuance and the date
31        of expiration of the  applicant's  current  local  retail
32        liquor license;
33             (6)  The  name  of the city, village, or county that
                            -8-                LRB9000737LDdv
 1        issued the local retail liquor license;
 2             (7)  The name and address of  the  landlord  if  the
 3        premises are leased;
 4             (8)  The date of the applicant's first request for a
 5        State  liquor  license and whether it was granted, denied
 6        or withdrawn;
 7             (9)  The address of the  applicant  when  the  first
 8        application for a State liquor license was made;
 9             (10)  The  applicant's  current State liquor license
10        number;
11             (11)  The date the applicant began liquor  sales  at
12        his place of business;
13             (12)  The address of the applicant's warehouse if he
14        warehouses liquor;
15             (13)  The   applicant's  Retailer's  Occupation  Tax
16        (ROT) Registration Number;
17             (14)  The applicant's document locater number on his
18        Federal Special Tax Stamp;
19             (15)  Whether the applicant  is  delinquent  in  the
20        payment  of  the Retailer's Occupational Tax (Sales Tax),
21        and if so, the reasons therefor;
22             (16)  Whether the applicant is delinquent under  the
23        cash beer law, and if so, the reasons therefor;
24             (17)  In  the  case  of  a  retailer,  whether he is
25        delinquent under the 30 day credit law, and  if  so,  the
26        reasons therefor;
27             (18)  In  the  case  of a distributor, whether he is
28        delinquent under the 15 day credit law, and  if  so,  the
29        reasons therefor;
30             (19)  Whether  the applicant has made an application
31        for a liquor license which has been denied,  and  if  so,
32        the reasons therefor;
33             (20)  Whether   the   applicant  has  ever  had  any
34        previous liquor license suspended or revoked, and if  so,
                            -9-                LRB9000737LDdv
 1        the reasons therefor;
 2             (21)  Whether  the applicant has ever been convicted
 3        of  a  gambling  offense  or  felony,  and  if  so,   the
 4        particulars thereof;
 5             (22)  Whether  the  applicant  possesses  a  current
 6        Federal Wagering Stamp, and if so, the reasons therefor;
 7             (23)  Whether  the  applicant,  or any other person,
 8        directly in his place of business is a  public  official,
 9        and if so, the particulars thereof;
10             (24)  The  applicant's  name,  sex,  date  of birth,
11        social  security  number,  position  and  percentage   of
12        ownership  in  the  business;  and the name, sex, date of
13        birth, social security number, position and percentage of
14        ownership in the business of every sole  owner,  partner,
15        corporate  officer,  director, manager and any person who
16        owns 5% or more of the shares of the  applicant  business
17        entity  or  parent corporations of the applicant business
18        entity; .
19             (25)  That he has not received or borrowed money  or
20        anything  else  of value, and that he will not receive or
21        borrow money  or  anything  else  of  value  (other  than
22        merchandising  credit  in the ordinary course of business
23        for a period not to exceed 90 days  as  herein  expressly
24        permitted   under   Section   6-5  hereof),  directly  or
25        indirectly, from any manufacturer, importing  distributor
26        or  distributor  or  from  any representative of any such
27        manufacturer, importing distributor or  distributor,  nor
28        be  a  party  in  any way, directly or indirectly, to any
29        violation by a  manufacturer,  distributor  or  importing
30        distributor of Section 6-6 of this Act.
31        The State Commission shall not issue a retailer's license
32    unless  the  applicant  submits  proof of dram shop insurance
33    coverage in amounts to be determined by the State  Commission
34    by rule.
                            -10-               LRB9000737LDdv
 1        In  addition to any other requirement of this Section, an
 2    applicant for a special event retailer's license  shall  also
 3    submit  proof of adequate dram shop insurance for the special
 4    event prior to being issued a license.
 5        In  addition   to   the   foregoing   information,   such
 6    application  shall contain such other and further information
 7    as the State Commission and the local commission may, by rule
 8    or regulation not inconsistent with law, prescribe.
 9        If the applicant reports a felony conviction as  required
10    under  paragraph (21) of this Section, such conviction may be
11    considered by the Commission  in  determining  qualifications
12    for licensing, but shall not operate as a bar to licensing.
13        If  said  application is made in behalf of a partnership,
14    firm, association, club or corporation, then the  same  shall
15    be signed  by at least two members of such partnership or the
16    president and secretary of such corporation or two authorized
17    agents of said partnership or corporation.
18        Application  for  a  non-resident  dealer's  license or a
19    special event retailer's license shall be on forms prescribed
20    by the State Commission, and which may  exclude  any  of  the
21    above  requirements  which  the  State Commission rules to be
22    inapplicable.
23    (Source: P.A. 86-404; 86-1028.)

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