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90_HB3751
New Act
815 ILCS 505/2Z from Ch. 121 1/2, par. 262Z
Creates the Home Repair and Remodeling Act. Provides that
home repair and remodeling businesses must have insurance and
shall furnish to the customer, in writing, the charge for
making an estimate and a written contract or work order
stating the total cost. Provides that these businesses shall
notify the customer and obtain prior written approval for
charges in excess of the amount specified in the contract.
Provides that all work performed by one of these businesses
shall be recorded on a sworn statement. Provides that if a
business violates certain provisions it cannot collect
payment. Prohibits certain acts. Provides for enforcement by
the Attorney General or State's Attorney, penalties, and
private rights of action. Amends the Consumer Fraud and
Deceptive Business Practices Act to provide that any person
who knowingly violates the Home Repair and Remodeling Act
commits an unlawful practice. Effective January 1, 1999.
LRB9010416OBpk
LRB9010416OBpk
1 AN ACT concerning home repair and remodeling.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 1. Short title. This Act may be cited as the Home
5 Repair and Remodeling Act.
6 Section 5. Policy. It is the public policy of this State
7 that in order to safeguard the life, health, property, and
8 public welfare of its citizens, the business of home repair
9 and remodeling is a matter affecting the public interest.
10 The General Assembly recognizes that improved communications
11 and accurate representations between persons engaged in the
12 business of making home repairs or remodeling and their
13 consumers will increase consumer confidence, reduce the
14 likelihood of disputes, and promote fair and honest practices
15 in that business in the State of Illinois.
16 Section 10. Definitions. In this Act:
17 "Home repair and remodeling" means the fixing, replacing,
18 altering, converting, modernizing, improving, or making of an
19 addition to any real property primarily designed or used as a
20 residence. "Home repair and remodeling" includes the
21 construction, installation, replacement, or improvement of
22 driveways, swimming pools, porches, kitchens, bathrooms,
23 basements, chimneys, chimney liners, garages, fences, fallout
24 shelters, central air conditioning, central heating, boilers,
25 furnaces, hot water heaters, electrical wiring, sewers,
26 plumbing fixtures, storm doors, storm windows, roofs,
27 awnings, and other improvements to structures within the
28 residence or upon the land adjacent to the residence. "Home
29 repair and remodeling" does not include the sale,
30 installation, cleaning, or repair of carpets; the sale of
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1 goods or materials by a merchant who does not directly or
2 through a subsidiary perform any work or labor in connection
3 with the installation or application of the goods and
4 materials; the repair, installation, replacement, or
5 connection of any home appliance including but not limited to
6 disposals, refrigerators, ranges, garage door openers,
7 television antennas, washing machines, telephones, or other
8 appliances when the persons replacing, installing, repairing,
9 or connecting the home appliance are employees or agents of
10 the merchant that sold the home appliance; television repair;
11 or landscaping.
12 "Person" means any individual, partnership, corporation,
13 business, trust, or other legal entity.
14 "Residence" means a single-family home or dwelling or a
15 multiple-family home or dwelling containing 6 or fewer
16 apartments, condominiums, town houses, or dwelling units,
17 used or intended to be used by occupants as dwelling places.
18 This Act does not apply to original construction of
19 single-family or multi-family residences or repairs to
20 dwellings containing more than 6 apartments or family units.
21 Section 15. Insurance required. Any person engaged in the
22 business of home repair and remodeling shall obtain and
23 maintain in full force and effect during the operation of the
24 business public liability and property damage insurance in
25 the amount of $100,000 per person and $300,000 per occurrence
26 of bodily injury, $50,000 per occurrence for property damage,
27 and in the amount of $10,000 per occurrence for improper home
28 repair or remodeling not in conformance with applicable
29 State, county, or municipal building codes.
30 Section 20. Charges for estimates. Prior to initiating a
31 home repair or remodeling work estimate, a person engaged in
32 the business of home repair or remodeling shall furnish to
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1 the customer, in writing, the charge for making the estimate,
2 if any. When an estimate is made, a person engaged in the
3 business of home repair or remodeling shall provide and the
4 customer shall be given a signed copy of the written estimate
5 with the word "estimate" conspicuously placed on the copy,
6 along with and the name and address of the business.
7 Section 25. Written contract; costs enumerated. Prior to
8 initiating home repair or remodeling work, a person engaged
9 in the business of home repair or remodeling shall furnish to
10 the customer for signature a written contract or work order
11 that states the total cost, including parts and materials
12 listed with reasonable particularity. In addition, the
13 contract shall state the business name and address of the
14 person engaged in the business of home repair or remodeling.
15 If the person engaged in the business of home repair or
16 remodeling uses a post office box or mail receiving service
17 or agent to receive home repair or remodeling business
18 correspondence, the contract also shall state the residence
19 address of the person engaged in the business of home repair
20 or remodeling.
21 Section 30. Charges in excess of contract; customer
22 approval required. Any person engaged in the business of
23 making home repairs or remodeling shall notify the customer
24 and obtain prior written approval before performing any work
25 that would result in charges in excess of the amount
26 specified in the original contract. In no event shall a
27 customer be required to pay more than the amount specified in
28 the original contract if the customer did not receive the
29 required notification and give written approval of additional
30 costs not reflected in the original estimate.
31 Section 35. Sworn statement. All work performed by a
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1 person engaged in the business of making home repairs or
2 remodeling shall be recorded on a sworn statement with the
3 name and address of the business on the statement, detailing
4 and describing all services or work performed and all parts
5 and materials supplied and the exact charges for each. One
6 copy of the sworn statement shall be given the customer upon
7 completion of the home repairs or remodeling.
8 Section 40. Waiver of customer rights prohibited. No
9 person engaged in the business of making home repairs or
10 remodeling shall demand a waiver of any customer's rights
11 enumerated in this Act as a precondition to acceptance of
12 repair work. Any waiver of a consumer's rights enumerated in
13 this Act is void as against public policy and wholly
14 unenforceable.
15 Section 45. Estoppel for noncompliance. Any person who
16 engages in the home repair and remodeling business in
17 violation of Section 2B or subsection (a) of Section 2Q of
18 the Consumer Fraud and Deceptive Business Practices Act or
19 Sections 15, 25, 30, or 35 of this Act may not enforce liens,
20 collect payment, or maintain an action for collection or
21 enforcement of home repair and remodeling contract
22 obligations at law or in equity.
23 Section 50. Unlawful acts. It is unlawful for any person
24 engaged in the business of home repairs and remodeling to:
25 (1) Remodel or make repairs or charge for
26 remodeling or repair work before obtaining a signed
27 contract or work order.
28 (2) Fail to disclose prior to preparing an estimate
29 any service charge or minimum charge before making the
30 estimate.
31 (3) Charge for any goods or services that are not
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1 actually delivered or performed in making a home repair
2 or in remodeling, or misinform a customer concerning what
3 is wrong with an item, or substituting parts or materials
4 when the substitution has no relation to the repairing or
5 servicing of an item.
6 (4) Before accepting payment by the customer for
7 any home repairs or remodeling, fail to deliver to the
8 customer the verified statement in writing required by
9 the Mechanics Lien Act, containing a complete listing of
10 the names and addresses of all parties furnishing labor
11 and materials.
12 (5) Tender to consumers affidavits of completion
13 for signature in advance of actual job completion.
14 The acts and conduct described in this Section are
15 unlawful but are not exclusive nor meant to limit other kinds
16 of methods, acts or practices that may be unfair or
17 deceptive.
18 Section 55. Enforcement.
19 (a) The Attorney General or the State's Attorney of any
20 county in this State may bring an action in the name of the
21 people of the State against any person to restrain and
22 prevent any violation of this Act. In the enforcement of this
23 Act, the Attorney General or the State's Attorney may accept
24 an assurance of voluntary compliance from anyone engaged in
25 any conduct, act, or practice deemed in violation of this
26 Act. Failure to perform the terms or any such assurance
27 constitutes prima facie proof of a violation of this Act.
28 (b) All remedies, penalties, and authority granted to
29 the Attorney General or the State's Attorney of any county in
30 this State by the Consumer Fraud and Deceptive Business
31 Practices Act shall be available to him or her for
32 enforcement of this Act, and any violation of this Act shall
33 constitute a violation of the Consumer Fraud and Deceptive
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1 Business Practices Act.
2 Section 60. Penalties. Any person who willfully violates
3 any provision of this Act is guilty of a Class A misdemeanor
4 for a first offense and a Class 4 felony for each succeeding
5 offense.
6 Section 65. Private right of action.
7 (a) Any person who suffers damage as a result of a
8 violation of this Act committed by any other person may bring
9 an action against that person. The court, in its discretion
10 may award actual damages or any other relief that the court
11 deems proper.
12 (b) The action may be commenced in the county in which
13 the person against whom it is brought resides, has his or her
14 principal place of business, or is doing business, or in the
15 county in which the transaction or any substantial portion of
16 the transaction occurred.
17 (c) In any action brought by a person under this
18 Section, the court may grant injunctive relief when
19 appropriate and may award, in addition to the relief provided
20 in this Section, reasonable attorney's fees and costs.
21 Section 100. Application of other law. The provisions of
22 this Act are not exclusive and do not relieve the persons
23 subject to this Act from compliance with all other applicable
24 provisions of the law.
25 Section 105. Severability. The provisions of this Act are
26 severable under Section 1.31 of the Statute on Statutes.
27 Section 700. The Consumer Fraud and Deceptive Business
28 Practices Act is amended by changing 2Z as follows:
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1 (815 ILCS 505/2Z) (from Ch. 121 1/2, par. 262Z)
2 Sec. 2Z. Violations of other Acts. Any person who
3 knowingly violates the Automotive Repair Act, the Dance
4 Studio Act, the Physical Fitness Services Act, the Hearing
5 Instrument Consumer Protection Act, the Illinois Union Label
6 Act, the Job Referral and Job Listing Services Consumer
7 Protection Act, the Travel Promotion Consumer Protection Act,
8 the Credit Services Organizations Act, the Automatic
9 Telephone Dialers Act, the Pay-Per-Call Services Consumer
10 Protection Act, the Telephone Solicitations Act, the Illinois
11 Funeral or Burial Funds Act, the Cemetery Care Act, or the
12 Pre-Need Cemetery Sales Act, or the Home Repair and
13 Remodeling Act commits an unlawful practice within the
14 meaning of this Act.
15 (Source: P.A. 89-72, eff. 12-31-95; 89-615, eff. 8-9-96;
16 90-426, eff. 1-1-98.)
17 Section 999. Effective date. This Act take effect January
18 1, 1999.