Illinois-2013-SB3675-Introduced

98TH GENERAL ASSEMBLY State of Illinois 2013 and 2014 SB3675

Introduced 11/19/2014, by Sen. Michael Noland

SYNOPSIS AS INTRODUCED:

`770 ILCS 45/1`	`from Ch. 82, par. 40`
`770 ILCS 50/1`	`from Ch. 82, par. 47a`
`815 ILCS 306/10`
`815 ILCS 306/77 new`
`815 ILCS 308/10`
`815 ILCS 308/67 new`

Amends the Labor and Storage Lien Act, the Labor and Storage Lien (Small Amount) Act, the Automobile Repair Act, and the Automotive Collision Repair Act. Provides that a person or entity providing labor, services, material, or storage for any vehicle with the consent of the vehicle owner or authorized agent of the vehicle owner shall be entitled to have a lien upon the vehicle for the contracted price of the services provided. Provides methods for establishing consent. Prescribes the method and requirements for foreclosing a mechanic's lien, including notice requirements to the owner. Establishes requirements for the purchaser of a vehicle at a foreclosure sale to obtain title.

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A BILL FOR

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1 AN ACT concerning civil law.

2 Be it enacted by the People of the State of Illinois,

3 represented in the General Assembly:

4 Section 5. The Labor and Storage Lien Act is amended by

5 changing Section 1 as follows:

6 (770 ILCS 45/1) (from Ch. 82, par. 40)

7 Sec. 1. Every person, firm or corporation who has expended

8 labor, skill or materials upon any chattel, or has furnished

9 storage for said chattel, at the request of its owner, reputed

10 owner, or authorized agent of the owner, or lawful possessor

11 thereof, shall have a lien upon such chattel beginning on the

12 date of the commencement of such expenditure of labor, skill

13 and materials or of such storage for the contract price for all

14 such expenditure of labor, skill or materials, or for all such

15 storage, or in the absence of such contract price, for the

16 reasonable worth of such expenditure of labor, skill and

17 materials, or of such storage, for a period of one year from

18 and after the completion of such expenditure of labor, skill or

19 materials, or of such storage, notwithstanding the fact that

20 the possession of such chattel has been surrendered to the

21 owner, or lawful possessor thereof. The specific procedures for

22 obtaining liens on unclaimed motor vehicles for labor, storage,

23 and material under this Act shall be those set forth in Section

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1 77 of the Automotive Repair Act and Section 67 of the

2 Automotive Collision Repair Act.

3 (Source: Laws 1921, p. 508.)

4 Section 10. The Labor and Storage Lien (Small Amount) Act

5 is amended by changing Section 1 as follows:

6 (770 ILCS 50/1) (from Ch. 82, par. 47a)

7 Sec. 1. Every person expending labor, services, skill or

8 material upon or furnishing storage for any chattel at the

9 request of or with the consent of its owner, authorized agent

10 of the owner, or lawful possessor thereof, in the amount of

11 $2,000 or less, shall have a lien upon such chattel beginning

12 upon the date of commencement of such expenditure of labor,

13 services, skill, or materials or furnishing of storage, for the

14 contract price for all such expenditure of labor, services,

15 skill, or material, until the possession of such chattel is

16 voluntarily relinquished to such owner or authorized agent, or

17 to one entitled to the possession thereof. The specific

18 procedures for obtaining liens on unclaimed motor vehicles for

19 labor, storage, and material under this Act shall be those set

20 forth in Section 77 of the Automotive Repair Act and Section 67

21 of the Automotive Collision Repair Act.

22 For the purposes of this Act, a person, other than a driver

23 or a person otherwise in control of a fire, police, emergency

24 or public utility vehicle on official business, consents to

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1 removal by towing of his or her vehicle when he or she without

2 authorization parks such vehicle upon private property while

3 having notice that unauthorized vehicles will be towed from

4 such property by the owner of such property, or agent thereof,

5 at the vehicle owner's expense, where such notice is provided

6 pursuant to State law, local ordinances or regulation by any

7 state or local agency. Such notice must include a sign of at

8 least 24 inches in height by 36 inches in width posted in a

9 conspicuous place in the affected area at least 4 feet from the

10 ground but not more than 8 feet from the ground. Such sign

11 shall be either illuminated or painted with reflective paint,

12 or both and shall state the amount of towing charges to which

13 the person may be subjected. However, the requirement of the

14 sign provided for in this section shall not apply to

15 residential property which, paying due regard to the

16 circumstances and the surrounding area, is clearly reserved or

17 intended exclusively for the use or occupation of residents or

18 their vehicles.

19 The lien established herein shall also apply to labor,

20 services, skills or material upon or furnishing storage for

21 towed vehicles performed by any relocator or any other towing

22 service pursuant to the order of a law enforcement official or

23 agency in accordance with Sections 4-201 through 4-214 of The

24 Illinois Vehicle Code. The lien created herein shall be valid

25 even though the towing and storage is performed without the

26 vehicle owner's consent.

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1 (Source: P.A. 85-1283.)

2 Section 15. The Automotive Repair Act is amended by

3 changing Section 10 and by adding Section 77 as follows:

4 (815 ILCS 306/10)

5 Sec. 10. Definitions. In this Act:

6 "Automotive repair" includes, but is not limited to:

7 (1) All repairs to motor vehicles that are commonly

8 performed in a motor vehicle repair facility by a motor

9 vehicle technician, including the diagnosis, installation,

10 exchange, or repair of mechanical or electrical parts or

11 units for any vehicle, the performance of any electrical or

12 mechanical adjustment to any vehicle, or the performance of

13 any service work required for routine maintenance or repair

14 of any vehicle. The term does not include commercial fleet

15 repair or maintenance transactions involving 2 or more

16 vehicles or ongoing service or maintenance contracts

17 involving vehicles used primarily for business purposes.

18 (2) All repair work in motor vehicle repair facilities

19 that perform one or more specialties within the automotive

20 repair service industry, including, but not limited to,

21 refinishing, brake, electrical, exhaust repair or

22 installation, front-end, radiators, tires, transmission,

23 tune-up, and windshield. However, transactions involving

24 the retail purchase of merchandise when a facility installs

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1 the merchandise as part of the transaction at the

2 discretion of the customer for a firm price are not

3 included. These transactions shall include but not be

4 limited to tires, batteries, oil, and lube jobs.

5 "Automotive repair facility" or "motor vehicle repair

6 facility" means any person, firm, association, or corporation

7 that for compensation engages in the business of automotive

8 repair or diagnosis, or both, of malfunctions of motor

9 vehicles.

10 "Owner" includes the person who holds the legal title to

11 the vehicle or the customer who relinquished the vehicle to the

12 claimant for repair.

13 A "used" part consists of a used assembly removed from a

14 vehicle and installed on a vehicle undergoing repair without

15 the benefit of being rebuilt or remanufactured.

16 (Source: P.A. 90-426, eff. 1-1-98.)

17 (815 ILCS 306/77 new)

18 Sec. 77. Foreclosing mechanic's liens.

19 (a) If a vehicle is not redeemed by the owner within 30

20 days after completion of the requested services or 30 days

21 after the date agreed upon by the parties, whichever is later,

22 the vehicle shall be considered unclaimed and the claimant may

23 begin to enforce a mechanic's lien. If no repairs were made,

24 the claimant may enforce a mechanic's lien for storage services

25 30 days after the claimant provided an estimate to the owner.

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1 (b) The sale of the vehicle shall occur only after

2 providing notice to the lienholder and owner of the time and

3 place of the sale. The claimant shall request the title records

4 of the vehicle from the Secretary of State. If the Secretary of

5 State cannot provide ownership information, the following

6 means shall be used to identify the owner:

7 (1) using the vehicle identification number to conduct

8 a search through a commercial, nationwide motor vehicle

9 information service; and

10 (2) inspecting the vehicle for evidence of the name or

11 address of the owner or state of registration.

12 If evidence of the state of registration is found, the

13 motor vehicle department of the particular state shall be

14 contacted and requested to perform a record search for the name

15 and address of any owner or lienholder. In lieu of contacting a

16 motor vehicle department, the request for the name and address

17 of any owner or lienholder may be made to any private entity

18 approved by the Secretary of State for this purpose.

19 (c) The claimant shall send notice by certified mail no

20 less than 30 days prior to the sale to the owner of the vehicle

21 and any lienholder. The notice sent to a lienholder shall be

22 sent return receipt requested. The notice, in addition to being

23 mailed to the addresses provided on the record search, shall

24 also be sent to any secondary address provided to the claimant

25 by the vehicle owner. The notice shall include the name,

26 address, and telephone number of the claimant, the hours of

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1 operation, the total amount owed, and the time and place of the

2 sale. The sale must be held at the business location of the

3 claimant.

4 (d) In addition to the certified notice required under

5 subsection (c) of this Section, the claimant shall publish one

6 notice of the sale in a newspaper of general circulation in the

7 city, county, village, municipality, or township where the

8 claimant provided services for the vehicle. The notice shall be

9 published no less than 14 days prior to the date and time of

10 the sale and shall set forth:

11 (1) the date, time, and location of the sale;

12 (2) the name of the vehicle owner and a description of

13 the vehicle including the vehicle identification number,

14 make, model, and year of manufacture;

15 (3) the amount owed; and

16 (4) a statement that, unless the vehicle is redeemed

17 prior to the date of the sale, it will be sold at sale.

18 (e) The owner or lienholder of the vehicle may redeem the

19 vehicle any time during normal business hours prior to the date

20 of the sale. If the vehicle is not redeemed prior to the sale,

21 the claimant may sell the vehicle at the time and place

22 specified in the notice to satisfy the lien amount.

23 (f) After the sale of the vehicle, the entity or individual

24 purchasing the vehicle at sale shall apply for a certificate of

25 title, salvage certificate, or junking certificate for the

26 purchased vehicle as required by law. The entity or individual

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1 shall submit a title application along with the following

2 documentation to the Secretary of State:

3 (1) a detailed, itemized estimate or invoice,

4 including labor and parts, as originally prepared by the

5 repairer, rebuilder, or other entity;

6 (2) pictures of the vehicle;

7 (3) a mechanic's lien affirmation, completed by the

8 purchaser and the mechanic;

9 (4) proof of a title record search;

10 (5) proof of certified mail notification to the owner

11 and proof of a signed return receipt from the lienholder;

12 and

13 (6) proof of published notice (not required for a

14 junking certificate).

15 Section 20. The Automotive Collision Repair Act is amended

16 by changing Section 10 and by adding Section 67 as follows:

17 (815 ILCS 308/10)

18 Sec. 10. Definitions. As used in this Act:

19 "Automotive collision and body repair" means all repairs

20 that are commonly performed by a body repair technician to

21 restore a motor vehicle damaged in an accident or collision to

22 a condition similar to the motor vehicle condition prior to the

23 damage or deterioration including, but not limited to, the

24 diagnosis, installation, exchange, repair, or refinishing of

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1 exterior body panels, trim, lighting, and structural chassis.

2 The term does not include commercial fleet repair or

3 maintenance transactions involving 2 or more motor vehicles or

4 ongoing service or maintenance contracts involving motor

5 vehicles used primarily for business purposes.

6 "Automotive collision and body repair facility" means a

7 person, firm, association, or corporation that for

8 compensation engages in the business of cosmetic repair,

9 structural repair, or refinishing of motor vehicles with defect

10 related to accident or collision.

11 "New part" means a part or component manufactured or

12 supplied by the original motor vehicle manufacturer in an

13 unused condition.

14 "Owner" includes the person who holds the legal title to

15 the vehicle or the customer who relinquished the vehicle to the

16 claimant for repair.

17 "Used part" means an original motor vehicle manufacturer

18 part or component removed from a motor vehicle of similar make,

19 model, and condition without the benefit of being rebuilt or

20 remanufactured.

21 "Rebuilt part" or "reconditioned part" means a used part

22 that has been inspected and remanufactured to restore

23 functionality and performance.

24 "Aftermarket part" means a new part that is not

25 manufactured or supplied by the original motor vehicle

26 manufacturer for addition to, or replacement of, exterior body

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1 panel or trim.

2 (Source: P.A. 93-565, eff. 1-1-04.)

3 (815 ILCS 308/67 new)

4 Sec. 67. Foreclosing mechanic's liens.

5 (a) If a vehicle is not redeemed by the owner within 30

6 days after completion of the requested services or 30 days

7 after the date agreed upon by the parties, whichever is later,

8 the vehicle shall be considered unclaimed and the claimant may

9 begin to enforce a mechanic's lien. If no repairs were made,

10 the claimant may enforce a mechanic's lien for storage services

11 30 days after the claimant provided an estimate to the owner.

12 (b) The sale of the vehicle shall occur only after

13 providing notice to the lienholder and owner of the time and

14 place of the sale. The claimant shall request the title records

15 of the vehicle from the Secretary of State. If the Secretary of

16 State cannot provide ownership information, the following

17 means shall be used to identify the owner:

18 (1) using the vehicle identification number to conduct

19 a search through a commercial, nationwide motor vehicle

20 information service; and

21 (2) inspecting the vehicle for evidence of the name or

22 address of the owner or state of registration.

23 If evidence of the state of registration is found, the

24 motor vehicle department of the particular state shall be

25 contacted and requested to perform a record search for the name

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1 and address of any owner or lienholder. In lieu of contacting a

2 motor vehicle department, the request for the name and address

3 of any owner or lienholder may be made to any private entity

4 approved by the Secretary of State for this purpose.

5 (c) The claimant shall send notice by certified mail no

6 less than 30 days prior to the sale to the owner of the vehicle

7 and any lienholder. The notice sent to a lienholder shall be

8 sent return receipt requested. The notice, in addition to being

9 mailed to the addresses provided on the record search, shall

10 also be sent to any secondary address provided to the claimant

11 by the vehicle owner. The notice shall include the name,

12 address, and telephone number of the claimant, the hours of

13 operation, the total amount owed, and the time and place of the

14 sale. The sale must be held at the business location of the

15 claimant.

16 (d) In addition to the certified notice required under

17 subsection (c) of this Section, the claimant shall publish one

18 notice of the sale in a newspaper of general circulation in the

19 city, county, village, municipality, or township where the

20 claimant provided services for the vehicle. The notice shall be

21 published no less than 14 days prior to the date and time of

22 the sale and shall set forth:

23 (1) the date, time, and location of the sale;

24 (2) the name of the vehicle owner and a description of

25 the vehicle including the vehicle identification number,

26 make, model, and year of manufacture;

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1 (3) the amount owed; and

2 (4) a statement that, unless the vehicle is redeemed

3 prior to the date of the sale, it will be sold at sale.

4 (e) The owner or lienholder of the vehicle may redeem the

5 vehicle any time during normal business hours prior to the date

6 of the sale. If the vehicle is not redeemed prior to the sale,

7 the claimant may sell the vehicle at the time and place

8 specified in the notice to satisfy the lien amount.

9 (f) After the sale of the vehicle, the entity or individual

10 purchasing the vehicle at sale shall apply for a certificate of

11 title, salvage certificate, or junking certificate for the

12 purchased vehicle as required by law. The entity or individual

13 shall submit a title application along with the following

14 documentation to the Secretary of State:

15 (1) a detailed, itemized estimate or invoice,

16 including labor and parts, as originally prepared by the

17 repairer, rebuilder, or other entity;

18 (2) pictures of the vehicle;

19 (3) a mechanic's lien affirmation, completed by the

20 purchaser and the mechanic;

21 (4) proof of a title record search;

22 (5) proof of certified mail notification to the owner

23 and proof of a signed return receipt from the lienholder;

24 and

25 (6) proof of published notice (not required for a

26 junking certificate).