State of Illinois
90th General Assembly
Legislation

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[ House Amendment 001 ]

90_SB1039sam001

                                             LRB9002918DJcdam
 1                    AMENDMENT TO SENATE BILL 1039
 2        AMENDMENT NO.     .  Amend Senate Bill 1039 by  replacing
 3    everything after the enacting clause with the following:
 4        "Section  1.   Short title.  This Act may be cited as the
 5    Automotive Repair Act.
 6        Section 5.  Legislative finding.  The  automotive  repair
 7    industry  supports  good  communication between motor vehicle
 8    repair facilities and their customers. The  General  Assembly
 9    recognizes   that   improved   communications   and  accurate
10    representations  between  automotive  repair  facilities  and
11    their customers will increase consumer confidence, reduce the
12    likelihood  of  disputes  arising,  and  promote   fair   and
13    nondeceptive  practices,  thereby  enhancing  the  safety and
14    reliability of  motor  vehicles  serviced  by  motor  vehicle
15    repair facilities in the State of Illinois.
16        Section 10.  Definitions.  In this Act:
17        "Automotive repair" includes, but is not limited to:
18             (1)  All repairs to motor vehicles that are commonly
19        performed  in  a motor vehicle repair facility by a motor
20        vehicle    technician,    including    the     diagnosis,
21        installation,   exchange,  or  repair  of  mechanical  or
                            -2-              LRB9002918DJcdam
 1        electrical  parts  or  units   for   any   vehicle,   the
 2        performance of any electrical or mechanical adjustment to
 3        any  vehicle,  or  the  performance  of  any service work
 4        required  for  routine  maintenance  or  repair  of   any
 5        vehicle.   The  term  does  not  include commercial fleet
 6        repair or maintenance transactions involving  2  or  more
 7        vehicles  or  ongoing  service  or  maintenance contracts
 8        involving vehicles used primarily for business purposes.
 9             (2)  All  repair  work  in  motor   vehicle   repair
10        facilities  that  perform  one or more specialties within
11        the automotive repair service  industry,  including,  but
12        not  limited  to, refinishing, brake, electrical, exhaust
13        repair  or  installation,  front-end,  radiators,  tires,
14        transmission,   tune-up,   and   windshield.     However,
15        transactions involving the retail purchase of merchandise
16        when  a  facility installs the merchandise as part of the
17        transaction at the discretion of the customer for a  firm
18        price are not included.  These transactions shall include
19        but  not  be  limited  to tires, batteries, oil, and lube
20        jobs.
21        "Automotive repair facility"  or  "motor  vehicle  repair
22    facility" means any person, firm, association, or corporation
23    that  for  compensation engages in the business of automotive
24    repair or  diagnosis,  or  both,  of  malfunctions  of  motor
25    vehicles.
26        A  "used" part consists of a used assembly removed from a
27    vehicle and installed on a vehicle undergoing repair  without
28    the benefit of being rebuilt or remanufactured.
29        Section 15. Disclosures to consumers; estimates.
30        (a)  Disclosures required.  No work for compensation that
31    exceeds    $100   shall   be   commenced   without   specific
32    authorization from the consumer  after  the  disclosures  set
33    forth in this Section.
                            -3-              LRB9002918DJcdam
 1        (b)  Estimated   costs.    Every   motor  vehicle  repair
 2    facility shall either (i) give to  each  consumer  a  written
 3    estimated price for labor and parts for a specific repair and
 4    shall not charge for work done or parts supplied in an amount
 5    that  exceeds  the  estimate by more than 10% without oral or
 6    written consent of the consumer or (ii) give to each consumer
 7    a written price limit for each specific repair and shall  not
 8    exceed  that  limit  without  oral  or written consent of the
 9    consumer.  Either option shall include  an  estimate  of  the
10    time  necessary  to  complete the repair, if in excess of one
11    working day. The estimate shall include the  total  costs  to
12    repair the vehicle.
13        Estimates  shall  include  all  charges to be paid by the
14    consumer to complete the repair, including  any  charges  for
15    estimates and diagnostics.
16        (c)  Description   of   parts.    Motor   vehicle  repair
17    facilities shall describe in the  estimate  the  major  parts
18    needed  to effectuate the repair and whether parts are new or
19    used.
20        (d)  Calculation  of  labor   costs.    Estimates   shall
21    indicate  that  the  motor  vehicle repair facility may use a
22    combination of industry standard flat  rate  (time)  manuals,
23    actual  time,  or condition of the vehicle to determine labor
24    costs.  This disclosure mandate  may  also  be  fulfilled  by
25    means  of  a  sign  that provides the same information to the
26    consumer.  Such a sign shall be posted at a location that can
27    be easily viewed by the consumer.
28        (e)  Required  or  suggested  repairs.   Estimates  shall
29    indicate  whether  the  estimated  repairs  are  required  or
30    suggested and the reason or reasons for  the  requirement  or
31    suggestion.
32        (f)  Disassembly   and  reassembly  charges.   If  it  is
33    necessary to disassemble, or partially disassemble, a vehicle
34    or vehicle component in order to provide the consumer with  a
                            -4-              LRB9002918DJcdam
 1    written  estimate  for  required  repair  or maintenance, the
 2    estimate  shall  show  the  cost  of   any   disassembly   or
 3    reassembly,  or  both,  if the consumer elects not to proceed
 4    with the repair or maintenance of the vehicle.
 5        (g)  Date.  The  estimate  shall  include  the  date  the
 6    estimate  was  prepared or the date the vehicle was presented
 7    to the motor vehicle repair facility for repair or servicing,
 8    or both, the odometer reading on the vehicle at the  time  it
 9    was  left  with  the  motor  vehicle  repair  facility, and a
10    promised date of delivery.
11        Section  20.   Notice  of  consumer's  rights;  estimate.
12    Every motor vehicle repair facility shall disclose  to  every
13    prospective  consumer  an  estimated  price  quotation or the
14    option  to  waive  the  price  quotation  by  completing  the
15    following statement with the consumer's signature:
16        "You are entitled to a price estimate for the repairs you
17    have authorized. The  repair  price  may  be  less  than  the
18    estimate  but shall not exceed (1) any price limited estimate
19    or (2) any  parts  and  labor  estimate  by  more  than  10%.
20    Additional repairs may not be performed without your consent.
21    You  may  waive  your right to a written estimate and require
22    that you be notified if the price exceeds an amount you  have
23    specified.
24        You  may waive your right to an estimate, which gives the
25    motor vehicle repair facility the  right  to  set  the  price
26    without  your  permission.  Your signature will indicate your
27    selection.
28        (a)  I request an estimate in writing  before  you  begin
29    repairs.
30    Signature .................................
31        (b)  Please proceed with repairs but call me for approval
32    before continuing if the price exceeds $ .............
33    Signature ..........................................
                            -5-              LRB9002918DJcdam
 1        (c)  I  do not want an estimate and you may set the price
 2    of repairs.
 3    Signature ...................................
 4    Date ..........  Time..........
 5        This estimated  price  for  authorized  repairs  will  be
 6    honored  if  the  motor  vehicle is delivered to the facility
 7    within the time period agreed to  by  the  consumer  and  the
 8    motor vehicle repair facility."
 9        However,  transactions  involving  the retail purchase of
10    merchandise when a facility installs the merchandise as  part
11    of  the  transaction  at the discretion of the customer for a
12    firm  price  are  not  included.   These  transactions  shall
13    include but not be limited to tires, batteries, oil, and lube
14    jobs.
15        Section 25.  Estimated  price  insufficient.   If  it  is
16    determined  that  the estimated price is insufficient because
17    of unforeseen circumstances, the consumer's consent  must  be
18    obtained before the work estimated is done or parts estimated
19    are  supplied.   If the consumer's consent is oral, the motor
20    vehicle repair facility shall make a  notation  on  the  work
21    order  or estimate and on the invoice of the date, time, name
22    of person authorizing the additional repairs,  and  telephone
23    number  called,  if any, together with a specification of the
24    additional parts and labor and the total additional cost.
25        Section 30.  Consumer's authorization of repairs or other
26    action.  After receiving  the  estimate,  the  owner  or  the
27    owner's  agent  may (i) authorize the repairs at the estimate
28    of cost and time in writing, (ii) request the return  of  the
29    motor  vehicle in a disassembled state, or (iii) request that
30    the vehicle be assembled in reasonably the same condition  as
31    when  released to the motor vehicle repair facility, in which
32    case the motor vehicle repair facility shall make  the  motor
                            -6-              LRB9002918DJcdam
 1    vehicle  available for possession within 3 working days after
 2    the time of request, unless parts are not  available,  making
 3    additional time necessary.  The motor vehicle repair facility
 4    may  receive  payment for only those items on the schedule of
 5    charges to which the facility is entitled.
 6        Section  35.   Inability  to  deliver  motor  vehicle  to
 7    facility during business hours. When the consumer  is  unable
 8    to  deliver  the  motor  vehicle  to the motor vehicle repair
 9    facility during business hours and the consumer has requested
10    the motor vehicle repair facility to take possession  of  the
11    motor  vehicle for the purpose of repairing or estimating the
12    cost of repairing the motor vehicle, the motor vehicle repair
13    facility may not undertake the diagnosing or repairing of any
14    malfunction of the motor vehicle for compensation unless  the
15    motor  vehicle  repair  facility has complied with all of the
16    following conditions:
17             (1)  The motor vehicle repair facility has  prepared
18        a  written  estimate  of  the  price  for labor and parts
19        necessary to repair the motor vehicle.
20             (2)  By telephone or  otherwise,  the  consumer  has
21        been given all of the material information on the written
22        estimate,  and  the  consumer  has  approved  the written
23        estimate.
24             (3)  The consumer has  given  his  or  her  oral  or
25        written   authorization   to  the  motor  vehicle  repair
26        facility to make the  repairs  pursuant  to  the  written
27        estimate.
28        If  the  consumer's  authorization  is  oral,  the  motor
29    vehicle  repair  facility  shall  make,  on  both the written
30    estimate and the invoice, a  notation  of  the  name  of  the
31    person  authorizing  the repairs, the date, the time, and the
32    telephone number called, if any.  Any  charge  for  parts  or
33    labor  in  excess of the original estimate must be separately
                            -7-              LRB9002918DJcdam
 1    authorized by the consumer as provided in subsection  (b)  of
 2    Section 15 and in Section 25.
 3        Section  40.   Motor  vehicle  repair  facility unable to
 4    complete repair in time. If the motor vehicle repair facility
 5    is unable to complete the repairs in the time estimated,  the
 6    facility  shall notify the owner or the owner's agent of this
 7    fact.  After receiving that notification  the  owner  or  the
 8    owner's  agent  may  request  return  of the motor vehicle in
 9    either an assembled or disassembled state, in which case  the
10    motor  vehicle  repair  facility shall make the motor vehicle
11    available for possession within 3 working days from the  date
12    of the request. The motor vehicle repair facility may receive
13    payment for the work actually done and for those items on the
14    schedule of charges to which the facility is entitled.
15        Section  45.   Consumer's waiver of estimate.  A consumer
16    may waive the right to receive  a  written  estimate  if  the
17    waiver  is  voluntary  and made without coercion by the motor
18    vehicle repair facility.  A motor vehicle repair facility  or
19    anyone  in  its employ shall not make use of the waiver in an
20    attempt to evade this Act.  Nothing in this Section shall  be
21    construed  as  requiring  a  motor vehicle repair facility to
22    give a written estimated price if the  motor  vehicle  repair
23    facility does not agree to perform the requested repair.
24        Section 50.  Disclosures to consumers; invoices.
25        (a)  Disclosures  required.   Whether  or  not  a written
26    estimate is required, parts and labor  provided  by  a  motor
27    vehicle  repair  facility  shall  be  clearly  and accurately
28    recorded in writing on an invoice and shall  include  all  of
29    the items set forth in this Section.
30        (b)  Itemization   of  cost  of  repair  performed.   The
31    invoice  shall  show  the  motor  vehicle  repair  facility's
                            -8-              LRB9002918DJcdam
 1    business name and address,  the  date  of  the  invoice,  the
 2    odometer  reading  at  the time the invoice was prepared, the
 3    name of the consumer, the description of the vehicle, and the
 4    terms and time limit of any guarantee  for  the  repair  work
 5    performed.   In  addition,  the  invoice  shall  describe all
 6    repair  work  done  by  a  motor  vehicle  repair   facility,
 7    including  all  warranty  work, and shall separately identify
 8    (i) each major part supplied in a manner so that the consumer
 9    can understand what was purchased and (ii)  the  total  price
10    charged for all parts and labor.
11        Service  work and parts shall be listed separately on the
12    invoice, which  shall  also  state  separately  the  subtotal
13    prices  for  service  work and for parts, not including sales
14    tax, and shall  state  separately  the  sales  tax,  if  any,
15    applicable to each.
16        The  invoice  shall  itemize  any  additional charges and
17    include those charges in the total presented to the consumer.
18        (c)  Description of parts installed.  The  invoice  shall
19    include a description of the major parts installed.
20        (d)  Copies  of  invoices.  A legible copy of the invoice
21    shall be given to the consumer and a legible  copy  shall  be
22    retained by the motor vehicle repair facility for a period of
23    2  years  from  the  date  of  repair  as a part of the motor
24    vehicle repair facility's records.  Records may be stored  at
25    a separate location.
26        Section    55.     Consumer    disclosures;   guarantees;
27    warranties.
28        (a)  If  a  motor  vehicle  repair  facility  provides  a
29    warranty on repair parts and labor, the  facility  shall  put
30    the  warranty  in  writing  and  give  a  legible copy to the
31    consumer.  The consumer's copy of the warranty  must  contain
32    the following:
33             (1)  The   nature   and   extent  of  the  warranty,
                            -9-              LRB9002918DJcdam
 1        including a description of parts or service  included  in
 2        or excluded from the warranty.
 3             (2)  The   duration   of   the   warranty   and  the
 4        requirements to be performed by the warrantee before  the
 5        warrantor will fulfill the warranty.
 6             (3)  All  conditions and limitations of the warranty
 7        and the manner in which the warrantor  will  fulfill  the
 8        warranty, such as by repair, replacement, or refund.
 9             (4)  Any options of the warrantor or warrantee.
10             (5)  The warrantor's identity and address.
11        (b)  When repair or diagnostic work is performed pursuant
12    to  a warranty, a motor vehicle repair facility shall give an
13    estimate of the time to complete the repairs.
14        Section 60.  Consumer disclosures; required signs.  Every
15    motor vehicle repair facility shall post in a prominent place
16    on the business premises one or more signs,  readily  visible
17    to customers, in the following form:
18        YOUR CUSTOMER RIGHTS.  YOU ARE ENTITLED BY LAW TO:
19        1.  A  WRITTEN  ESTIMATE  FOR REPAIRS THAT WILL COST MORE
20    THAN $100 UNLESS WAIVED OR ABSENT FACE-TO-FACE  CONTACT  (SEE
21    ITEM 3 BELOW).
22        2.  AUTHORIZE  ORALLY  OR  IN  WRITING  ANY  REPAIRS THAT
23    EXCEED THE ESTIMATED TOTAL PRE-SALES-TAX COST  BY  MORE  THAN
24    10% OR THAT EXCEED THE LIMITED PRICE ESTIMATE.
25        3.  AUTHORIZE  ANY  REPAIRS  ORALLY OR IN WRITING IF YOUR
26    VEHICLE IS  LEFT  WITH  THE  MOTOR  VEHICLE  REPAIR  FACILITY
27    WITHOUT  FACE-TO-FACE  CONTACT  BETWEEN  YOU  AND  THE  MOTOR
28    VEHICLE REPAIR FACILITY PERSONNEL.
29        IF  YOU  HAVE  AUTHORIZED A REPAIR IN ACCORDANCE WITH THE
30    ABOVE INFORMATION, YOU ARE REQUIRED TO PAY FOR THE  COSTS  OF
31    THE REPAIR PRIOR TO TAKING THE VEHICLE FROM THE PREMISES.
32        The  first line of each sign shall be in letters not less
33    than 1.5 inches in height, and the remaining lines  shall  be
                            -10-             LRB9002918DJcdam
 1    in  letters  not  less  than  0.5  inch  in height.  However,
 2    transactions involving the  retail  purchase  of  merchandise
 3    when  a  facility  installs  the  merchandise  as part of the
 4    transaction at the discretion of  the  customer  for  a  firm
 5    price are not included.  These transactions shall include but
 6    not be limited to tires, batteries, oil, and lube jobs.
 7        Section  65.   Recordkeeping.  Every motor vehicle repair
 8    facility shall maintain copies of signed  estimates  and  all
 9    work orders, invoices, parts purchase orders, appraisals, and
10    schedules  of  charges prepared by that repair facility.  The
11    copies shall be kept for 2 years and shall be  available  for
12    inspection by the Attorney General.
13        Section  70.   Removal  of  vehicle  from  facility. Upon
14    reasonable  notice  and  during  the  motor  vehicle   repair
15    facility's  business  hours,  a consumer may remove a vehicle
16    from a motor vehicle repair  facility  upon  paying  for  the
17    following:
18             (1)  Labor actually performed.
19             (2)  Parts actually installed.
20             (3)  Parts  ordered  specifically for the consumer's
21        car if the order is not cancelable or the parts  are  not
22        returnable for cash or credit.
23             (4)  Storage  charges imposed in accordance with the
24        schedule of charges if disclosed to  consumers  prior  to
25        repairs.
26        Section   75.   Lien  barred.   A  motor  vehicle  repair
27    facility that fails to comply with Section 15,  20,  25,  30,
28    35,  40,  45,  50,  55,  or  60  is  barred  from asserting a
29    possessory or chattel lien for the amount of the unauthorized
30    parts or labor upon the motor vehicle or component.
                            -11-             LRB9002918DJcdam
 1        Section 80.  Unlawful acts or  practices.   Each  of  the
 2    following  acts  or practices is unlawful when committed by a
 3    motor vehicle repair facility:
 4             (1)  Advertising   in   a   false,   deceptive,   or
 5        misleading manner.
 6             (2)  Charging a consumer for parts not delivered  or
 7        installed  or  a labor operation or repair procedure that
 8        has not actually been performed.
 9             (3)  Unauthorized operation of a consumer's  vehicle
10        for purposes not related to repair or diagnosis.
11             (4)  Failing or refusing to provide a consumer, upon
12        request,  a copy, at no charge, of any document signed by
13        the consumer.
14             (5)  Retaining duplicative  payment  from  both  the
15        consumer  and  the  warranty or extended service contract
16        provider for the same covered component, part, or labor.
17             (6)  Charging a consumer  for  unnecessary  repairs.
18        For  purposes  of  this  paragraph, "unnecessary repairs"
19        means those repairs for  which  there  is  no  reasonable
20        basis  for  performing  the  service.  A reasonable basis
21        includes: (i) that the repair service is consistent  with
22        specifications  established by law or the manufacturer of
23        the motor vehicle, component,  or  part;  (ii)  that  the
24        repair   is   in  accordance  with  usual  and  customary
25        practices; (iii) that the repair  was  performed  at  the
26        specific  request  of  the  consumer after the technician
27        disclosed to the consumer the  reasons  for  recommending
28        the  repair  when the recommendation is not in accordance
29        with  manufacturer  specifications  or   accepted   trade
30        practices;  or  (iv) that the repair is at the consumer's
31        request.
32             (7)  Misrepresenting  the  terms  of   a   warranty,
33        guarantee, or service agreement.
34             (8)  Altering  a motor vehicle to create a condition
                            -12-             LRB9002918DJcdam
 1        requiring repair.
 2             (9)  Failing to  honor  a  warranty,  guarantee,  or
 3        service  agreement  to  which  the  motor  vehicle repair
 4        facility is a party.
 5             (10)  Charging or receiving payment for repairs  not
 6        authorized  by the consumer under Section 15, 20, 25, 30,
 7        35, 40, 45, 50, 55, or 60.
 8        Section 85.  Violations.
 9        (a)  A violation of any of the provisions of this Act  is
10    an  unlawful  practice under the Consumer Fraud and Deceptive
11    Business  Practices  Act.   Under  the  Consumer  Fraud   and
12    Deceptive   Business  Practices  Act  whenever  the  Attorney
13    General or the State's Attorney has reason  to  believe  that
14    any person is using, has used, or is about to use any method,
15    act  or practice declared by the Consumer Fraud and Deceptive
16    Business  Practices  Act  to  be  unlawful,  and   that   the
17    proceedings  would  be  in the public interest, he or she may
18    bring an action in the  name  of  the  People  of  the  State
19    against  that  person to restrain by preliminary or permanent
20    injunction the use of the  method,  act,  or  practice.   All
21    remedies,  penalties,  and  authority granted to the Attorney
22    General and the State's Attorney by the  Consumer  Fraud  and
23    Deceptive  Business  Practices Act shall be available for the
24    enforcement of this Act.
25        (b)  Any consumer injured by a violation of this Act  may
26    bring  an  action  for the recovery of damages plus costs and
27    reasonable attorney's fees.".

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