Sen. John G. Mulroe

Filed: 3/2/2017

 

 


 

 


 
10000SB1946sam001LRB100 08845 AXK 22866 a

1
AMENDMENT TO SENATE BILL 1946

2    AMENDMENT NO. ______. Amend Senate Bill 1946 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Illinois Vehicle Code is amended by
5changing Sections 3-117.1 and 5-104.3 and by adding Section
63-117.3 as follows:
 
7    (625 ILCS 5/3-117.1)  (from Ch. 95 1/2, par. 3-117.1)
8    (Text of Section before amendment by P.A. 99-932)
9    Sec. 3-117.1. When junking certificates or salvage
10certificates must be obtained.
11    (a) Except as provided in Chapter 4 and Section 3-117.3 of
12this Code, a person who possesses a junk vehicle shall within
1315 days cause the certificate of title, salvage certificate,
14certificate of purchase, or a similarly acceptable out of state
15document of ownership to be surrendered to the Secretary of
16State along with an application for a junking certificate,

 

 

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1except as provided in Section 3-117.2, whereupon the Secretary
2of State shall issue to such a person a junking certificate,
3which shall authorize the holder thereof to possess, transport,
4or, by an endorsement, transfer ownership in such junked
5vehicle, and a certificate of title shall not again be issued
6for such vehicle.
7    A licensee who possesses a junk vehicle and a Certificate
8of Title, Salvage Certificate, Certificate of Purchase, or a
9similarly acceptable out-of-state document of ownership for
10such junk vehicle, may transport the junk vehicle to another
11licensee prior to applying for or obtaining a junking
12certificate, by executing a uniform invoice. The licensee
13transferor shall furnish a copy of the uniform invoice to the
14licensee transferee at the time of transfer. In any case, the
15licensee transferor shall apply for a junking certificate in
16conformance with Section 3-117.1 of this Chapter. The following
17information shall be contained on a uniform invoice:
18        (1) The business name, address and dealer license
19    number of the person disposing of the vehicle, junk vehicle
20    or vehicle cowl;
21        (2) The name and address of the person acquiring the
22    vehicle, junk vehicle or vehicle cowl, and if that person
23    is a dealer, the Illinois or out-of-state dealer license
24    number of that dealer;
25        (3) The date of the disposition of the vehicle, junk
26    vehicle or vehicle cowl;

 

 

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1        (4) The year, make, model, color and description of
2    each vehicle, junk vehicle or vehicle cowl disposed of by
3    such person;
4        (5) The manufacturer's vehicle identification number,
5    Secretary of State identification number or Illinois
6    Department of State Police number, for each vehicle, junk
7    vehicle or vehicle cowl part disposed of by such person;
8        (6) The printed name and legible signature of the
9    person or agent disposing of the vehicle, junk vehicle or
10    vehicle cowl; and
11        (7) The printed name and legible signature of the
12    person accepting delivery of the vehicle, junk vehicle or
13    vehicle cowl.
14    The Secretary of State may certify a junking manifest in a
15form prescribed by the Secretary of State that reflects those
16vehicles for which junking certificates have been applied or
17issued. A junking manifest may be issued to any person and it
18shall constitute evidence of ownership for the vehicle listed
19upon it. A junking manifest may be transferred only to a person
20licensed under Section 5-301 of this Code as a scrap processor.
21A junking manifest will allow the transportation of those
22vehicles to a scrap processor prior to receiving the junk
23certificate from the Secretary of State.
24    (b) An application for a salvage certificate shall be
25submitted to the Secretary of State in any of the following
26situations:

 

 

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1        (1) When an insurance company makes a payment of
2    damages on a total loss claim for a vehicle, the insurance
3    company shall be deemed to be the owner of such vehicle and
4    the vehicle shall be considered to be salvage except that
5    ownership of (i) a vehicle that has incurred only hail
6    damage that does not affect the operational safety of the
7    vehicle or (ii) any vehicle 9 model years of age or older
8    may, by agreement between the registered owner and the
9    insurance company, be retained by the registered owner of
10    such vehicle. The insurance company shall promptly deliver
11    or mail within 20 days the certificate of title along with
12    proper application and fee to the Secretary of State, and a
13    salvage certificate shall be issued in the name of the
14    insurance company. Notwithstanding the foregoing, an
15    insurer making payment of damages on a total loss claim for
16    the theft of a vehicle shall not be required to apply for a
17    salvage certificate unless the vehicle is recovered and has
18    incurred damage that initially would have caused the
19    vehicle to be declared a total loss by the insurer.
20        (1.1) When a vehicle of a self-insured company is to be
21    sold in the State of Illinois and has sustained damaged by
22    collision, fire, theft, rust corrosion, or other means so
23    that the self-insured company determines the vehicle to be
24    a total loss, or if the cost of repairing the damage,
25    including labor, would be greater than 50% of its fair
26    market value without that damage, the vehicle shall be

 

 

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1    considered salvage. The self-insured company shall
2    promptly deliver the certificate of title along with proper
3    application and fee to the Secretary of State, and a
4    salvage certificate shall be issued in the name of the
5    self-insured company. A self-insured company making
6    payment of damages on a total loss claim for the theft of a
7    vehicle may exchange the salvage certificate for a
8    certificate of title if the vehicle is recovered without
9    damage. In such a situation, the self-insured shall fill
10    out and sign a form prescribed by the Secretary of State
11    which contains an affirmation under penalty of perjury that
12    the vehicle was recovered without damage and the Secretary
13    of State may, by rule, require photographs to be submitted.
14        (2) When a vehicle the ownership of which has been
15    transferred to any person through a certificate of purchase
16    from acquisition of the vehicle at an auction, other
17    dispositions as set forth in Sections 4-208 and 4-209 of
18    this Code, a lien arising under Section 18a-501 of this
19    Code, or a public sale under the Abandoned Mobile Home Act
20    shall be deemed salvage or junk at the option of the
21    purchaser. The person acquiring such vehicle in such manner
22    shall promptly deliver or mail, within 20 days after the
23    acquisition of the vehicle, the certificate of purchase,
24    the proper application and fee, and, if the vehicle is an
25    abandoned mobile home under the Abandoned Mobile Home Act,
26    a certification from a local law enforcement agency that

 

 

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1    the vehicle was purchased or acquired at a public sale
2    under the Abandoned Mobile Home Act to the Secretary of
3    State and a salvage certificate or junking certificate
4    shall be issued in the name of that person. The salvage
5    certificate or junking certificate issued by the Secretary
6    of State under this Section shall be free of any lien that
7    existed against the vehicle prior to the time the vehicle
8    was acquired by the applicant under this Code.
9        (3) A vehicle which has been repossessed by a
10    lienholder shall be considered to be salvage only when the
11    repossessed vehicle, on the date of repossession by the
12    lienholder, has sustained damage by collision, fire,
13    theft, rust corrosion, or other means so that the cost of
14    repairing such damage, including labor, would be greater
15    than 33 1/3% of its fair market value without such damage.
16    If the lienholder determines that such vehicle is damaged
17    in excess of 33 1/3% of such fair market value, the
18    lienholder shall, before sale, transfer or assignment of
19    the vehicle, make application for a salvage certificate,
20    and shall submit with such application the proper fee and
21    evidence of possession. If the facts required to be shown
22    in subsection (f) of Section 3-114 are satisfied, the
23    Secretary of State shall issue a salvage certificate in the
24    name of the lienholder making the application. In any case
25    wherein the vehicle repossessed is not damaged in excess of
26    33 1/3% of its fair market value, the lienholder shall

 

 

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1    comply with the requirements of subsections (f), (f-5), and
2    (f-10) of Section 3-114, except that the affidavit of
3    repossession made by or on behalf of the lienholder shall
4    also contain an affirmation under penalty of perjury that
5    the vehicle on the date of sale is not damaged in excess of
6    33 1/3% of its fair market value. If the facts required to
7    be shown in subsection (f) of Section 3-114 are satisfied,
8    the Secretary of State shall issue a certificate of title
9    as set forth in Section 3-116 of this Code. The Secretary
10    of State may by rule or regulation require photographs to
11    be submitted.
12        (4) A vehicle which is a part of a fleet of more than 5
13    commercial vehicles registered in this State or any other
14    state or registered proportionately among several states
15    shall be considered to be salvage when such vehicle has
16    sustained damage by collision, fire, theft, rust,
17    corrosion or similar means so that the cost of repairing
18    such damage, including labor, would be greater than 33 1/3%
19    of the fair market value of the vehicle without such
20    damage. If the owner of a fleet vehicle desires to sell,
21    transfer, or assign his interest in such vehicle to a
22    person within this State other than an insurance company
23    licensed to do business within this State, and the owner
24    determines that such vehicle, at the time of the proposed
25    sale, transfer or assignment is damaged in excess of 33
26    1/3% of its fair market value, the owner shall, before such

 

 

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1    sale, transfer or assignment, make application for a
2    salvage certificate. The application shall contain with it
3    evidence of possession of the vehicle. If the fleet vehicle
4    at the time of its sale, transfer, or assignment is not
5    damaged in excess of 33 1/3% of its fair market value, the
6    owner shall so state in a written affirmation on a form
7    prescribed by the Secretary of State by rule or regulation.
8    The Secretary of State may by rule or regulation require
9    photographs to be submitted. Upon sale, transfer or
10    assignment of the fleet vehicle the owner shall mail the
11    affirmation to the Secretary of State.
12        (5) A vehicle that has been submerged in water to the
13    point that rising water has reached over the door sill and
14    has entered the passenger or trunk compartment is a "flood
15    vehicle". A flood vehicle shall be considered to be salvage
16    only if the vehicle has sustained damage so that the cost
17    of repairing the damage, including labor, would be greater
18    than 33 1/3% of the fair market value of the vehicle
19    without that damage. The salvage certificate issued under
20    this Section shall indicate the word "flood", and the word
21    "flood" shall be conspicuously entered on subsequent
22    titles for the vehicle. A person who possesses or acquires
23    a flood vehicle that is not damaged in excess of 33 1/3% of
24    its fair market value shall make application for title in
25    accordance with Section 3-116 of this Code, designating the
26    vehicle as "flood" in a manner prescribed by the Secretary

 

 

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1    of State. The certificate of title issued shall indicate
2    the word "flood", and the word "flood" shall be
3    conspicuously entered on subsequent titles for the
4    vehicle.
5        (6) When any licensed rebuilder, repairer, new or used
6    vehicle dealer, or remittance agent has submitted an
7    application for title to a vehicle (other than an
8    application for title to a rebuilt vehicle) that he or she
9    knows or reasonably should have known to have sustained
10    damages in excess of 33 1/3% of the vehicle's fair market
11    value without that damage; provided, however, that any
12    application for a salvage certificate for a vehicle
13    recovered from theft and acquired from an insurance company
14    shall be made as required by paragraph (1) of this
15    subsection (b).
16    (c) Any person who without authority acquires, sells,
17exchanges, gives away, transfers or destroys or offers to
18acquire, sell, exchange, give away, transfer or destroy the
19certificate of title to any vehicle which is a junk or salvage
20vehicle shall be guilty of a Class 3 felony.
21    (d) Any person who knowingly fails to surrender to the
22Secretary of State a certificate of title, salvage certificate,
23certificate of purchase or a similarly acceptable out-of-state
24document of ownership as required under the provisions of this
25Section is guilty of a Class A misdemeanor for a first offense
26and a Class 4 felony for a subsequent offense; except that a

 

 

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1person licensed under this Code who violates paragraph (5) of
2subsection (b) of this Section is guilty of a business offense
3and shall be fined not less than $1,000 nor more than $5,000
4for a first offense and is guilty of a Class 4 felony for a
5second or subsequent violation.
6    (e) Any vehicle which is salvage or junk may not be driven
7or operated on roads and highways within this State. A
8violation of this subsection is a Class A misdemeanor. A
9salvage vehicle displaying valid special plates issued under
10Section 3-601(b) of this Code, which is being driven to or from
11an inspection conducted under Section 3-308 of this Code, is
12exempt from the provisions of this subsection. A salvage
13vehicle for which a short term permit has been issued under
14Section 3-307 of this Code is exempt from the provisions of
15this subsection for the duration of the permit.
16(Source: P.A. 97-832, eff. 7-20-12.)
 
17    (Text of Section after amendment by P.A. 99-932)
18    Sec. 3-117.1. When junking certificates or salvage
19certificates must be obtained.
20    (a) Except as provided in Chapter 4 and Section 3-117.3 of
21this Code, a person who possesses a junk vehicle shall within
2215 days cause the certificate of title, salvage certificate,
23certificate of purchase, or a similarly acceptable out of state
24document of ownership to be surrendered to the Secretary of
25State along with an application for a junking certificate,

 

 

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1except as provided in Section 3-117.2, whereupon the Secretary
2of State shall issue to such a person a junking certificate,
3which shall authorize the holder thereof to possess, transport,
4or, by an endorsement, transfer ownership in such junked
5vehicle, and a certificate of title shall not again be issued
6for such vehicle.
7    A licensee who possesses a junk vehicle and a Certificate
8of Title, Salvage Certificate, Certificate of Purchase, or a
9similarly acceptable out-of-state document of ownership for
10such junk vehicle, may transport the junk vehicle to another
11licensee prior to applying for or obtaining a junking
12certificate, by executing a uniform invoice. The licensee
13transferor shall furnish a copy of the uniform invoice to the
14licensee transferee at the time of transfer. In any case, the
15licensee transferor shall apply for a junking certificate in
16conformance with Section 3-117.1 of this Chapter. The following
17information shall be contained on a uniform invoice:
18        (1) The business name, address and dealer license
19    number of the person disposing of the vehicle, junk vehicle
20    or vehicle cowl;
21        (2) The name and address of the person acquiring the
22    vehicle, junk vehicle or vehicle cowl, and if that person
23    is a dealer, the Illinois or out-of-state dealer license
24    number of that dealer;
25        (3) The date of the disposition of the vehicle, junk
26    vehicle or vehicle cowl;

 

 

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1        (4) The year, make, model, color and description of
2    each vehicle, junk vehicle or vehicle cowl disposed of by
3    such person;
4        (5) The manufacturer's vehicle identification number,
5    Secretary of State identification number or Illinois
6    Department of State Police number, for each vehicle, junk
7    vehicle or vehicle cowl part disposed of by such person;
8        (6) The printed name and legible signature of the
9    person or agent disposing of the vehicle, junk vehicle or
10    vehicle cowl; and
11        (7) The printed name and legible signature of the
12    person accepting delivery of the vehicle, junk vehicle or
13    vehicle cowl.
14    The Secretary of State may certify a junking manifest in a
15form prescribed by the Secretary of State that reflects those
16vehicles for which junking certificates have been applied or
17issued. A junking manifest may be issued to any person and it
18shall constitute evidence of ownership for the vehicle listed
19upon it. A junking manifest may be transferred only to a person
20licensed under Section 5-301 of this Code as a scrap processor.
21A junking manifest will allow the transportation of those
22vehicles to a scrap processor prior to receiving the junk
23certificate from the Secretary of State.
24    (b) An application for a salvage certificate shall be
25submitted to the Secretary of State in any of the following
26situations:

 

 

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1        (1) When an insurance company makes a payment of
2    damages on a total loss claim for a vehicle, the insurance
3    company shall be deemed to be the owner of such vehicle and
4    the vehicle shall be considered to be salvage except that
5    ownership of (i) a vehicle that has incurred only hail
6    damage that does not affect the operational safety of the
7    vehicle or (ii) any vehicle 9 model years of age or older
8    may, by agreement between the registered owner and the
9    insurance company, be retained by the registered owner of
10    such vehicle. The insurance company shall promptly deliver
11    or mail within 20 days the certificate of title along with
12    proper application and fee to the Secretary of State, and a
13    salvage certificate shall be issued in the name of the
14    insurance company. Notwithstanding the foregoing, an
15    insurer making payment of damages on a total loss claim for
16    the theft of a vehicle shall not be required to apply for a
17    salvage certificate unless the vehicle is recovered and has
18    incurred damage that initially would have caused the
19    vehicle to be declared a total loss by the insurer.
20        (1.1) When a vehicle of a self-insured company is to be
21    sold in the State of Illinois and has sustained damaged by
22    collision, fire, theft, rust corrosion, or other means so
23    that the self-insured company determines the vehicle to be
24    a total loss, or if the cost of repairing the damage,
25    including labor, would be greater than 70% of its fair
26    market value without that damage, the vehicle shall be

 

 

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1    considered salvage. The self-insured company shall
2    promptly deliver the certificate of title along with proper
3    application and fee to the Secretary of State, and a
4    salvage certificate shall be issued in the name of the
5    self-insured company. A self-insured company making
6    payment of damages on a total loss claim for the theft of a
7    vehicle may exchange the salvage certificate for a
8    certificate of title if the vehicle is recovered without
9    damage. In such a situation, the self-insured shall fill
10    out and sign a form prescribed by the Secretary of State
11    which contains an affirmation under penalty of perjury that
12    the vehicle was recovered without damage and the Secretary
13    of State may, by rule, require photographs to be submitted.
14        (2) When a vehicle the ownership of which has been
15    transferred to any person through a certificate of purchase
16    from acquisition of the vehicle at an auction, other
17    dispositions as set forth in Sections 4-208 and 4-209 of
18    this Code, a lien arising under Section 18a-501 of this
19    Code, or a public sale under the Abandoned Mobile Home Act
20    shall be deemed salvage or junk at the option of the
21    purchaser. The person acquiring such vehicle in such manner
22    shall promptly deliver or mail, within 20 days after the
23    acquisition of the vehicle, the certificate of purchase,
24    the proper application and fee, and, if the vehicle is an
25    abandoned mobile home under the Abandoned Mobile Home Act,
26    a certification from a local law enforcement agency that

 

 

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1    the vehicle was purchased or acquired at a public sale
2    under the Abandoned Mobile Home Act to the Secretary of
3    State and a salvage certificate or junking certificate
4    shall be issued in the name of that person. The salvage
5    certificate or junking certificate issued by the Secretary
6    of State under this Section shall be free of any lien that
7    existed against the vehicle prior to the time the vehicle
8    was acquired by the applicant under this Code.
9        (3) A vehicle which has been repossessed by a
10    lienholder shall be considered to be salvage only when the
11    repossessed vehicle, on the date of repossession by the
12    lienholder, has sustained damage by collision, fire,
13    theft, rust corrosion, or other means so that the cost of
14    repairing such damage, including labor, would be greater
15    than 33 1/3% of its fair market value without such damage.
16    If the lienholder determines that such vehicle is damaged
17    in excess of 33 1/3% of such fair market value, the
18    lienholder shall, before sale, transfer or assignment of
19    the vehicle, make application for a salvage certificate,
20    and shall submit with such application the proper fee and
21    evidence of possession. If the facts required to be shown
22    in subsection (f) of Section 3-114 are satisfied, the
23    Secretary of State shall issue a salvage certificate in the
24    name of the lienholder making the application. In any case
25    wherein the vehicle repossessed is not damaged in excess of
26    33 1/3% of its fair market value, the lienholder shall

 

 

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1    comply with the requirements of subsections (f), (f-5), and
2    (f-10) of Section 3-114, except that the affidavit of
3    repossession made by or on behalf of the lienholder shall
4    also contain an affirmation under penalty of perjury that
5    the vehicle on the date of sale is not damaged in excess of
6    33 1/3% of its fair market value. If the facts required to
7    be shown in subsection (f) of Section 3-114 are satisfied,
8    the Secretary of State shall issue a certificate of title
9    as set forth in Section 3-116 of this Code. The Secretary
10    of State may by rule or regulation require photographs to
11    be submitted.
12        (4) A vehicle which is a part of a fleet of more than 5
13    commercial vehicles registered in this State or any other
14    state or registered proportionately among several states
15    shall be considered to be salvage when such vehicle has
16    sustained damage by collision, fire, theft, rust,
17    corrosion or similar means so that the cost of repairing
18    such damage, including labor, would be greater than 33 1/3%
19    of the fair market value of the vehicle without such
20    damage. If the owner of a fleet vehicle desires to sell,
21    transfer, or assign his interest in such vehicle to a
22    person within this State other than an insurance company
23    licensed to do business within this State, and the owner
24    determines that such vehicle, at the time of the proposed
25    sale, transfer or assignment is damaged in excess of 33
26    1/3% of its fair market value, the owner shall, before such

 

 

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1    sale, transfer or assignment, make application for a
2    salvage certificate. The application shall contain with it
3    evidence of possession of the vehicle. If the fleet vehicle
4    at the time of its sale, transfer, or assignment is not
5    damaged in excess of 33 1/3% of its fair market value, the
6    owner shall so state in a written affirmation on a form
7    prescribed by the Secretary of State by rule or regulation.
8    The Secretary of State may by rule or regulation require
9    photographs to be submitted. Upon sale, transfer or
10    assignment of the fleet vehicle the owner shall mail the
11    affirmation to the Secretary of State.
12        (5) A vehicle that has been submerged in water to the
13    point that rising water has reached over the door sill and
14    has entered the passenger or trunk compartment is a "flood
15    vehicle". A flood vehicle shall be considered to be salvage
16    only if the vehicle has sustained damage so that the cost
17    of repairing the damage, including labor, would be greater
18    than 33 1/3% of the fair market value of the vehicle
19    without that damage. The salvage certificate issued under
20    this Section shall indicate the word "flood", and the word
21    "flood" shall be conspicuously entered on subsequent
22    titles for the vehicle. A person who possesses or acquires
23    a flood vehicle that is not damaged in excess of 33 1/3% of
24    its fair market value shall make application for title in
25    accordance with Section 3-116 of this Code, designating the
26    vehicle as "flood" in a manner prescribed by the Secretary

 

 

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1    of State. The certificate of title issued shall indicate
2    the word "flood", and the word "flood" shall be
3    conspicuously entered on subsequent titles for the
4    vehicle.
5        (6) When any licensed rebuilder, repairer, new or used
6    vehicle dealer, or remittance agent has submitted an
7    application for title to a vehicle (other than an
8    application for title to a rebuilt vehicle) that he or she
9    knows or reasonably should have known to have sustained
10    damages in excess of 33 1/3% of the vehicle's fair market
11    value without that damage; provided, however, that any
12    application for a salvage certificate for a vehicle
13    recovered from theft and acquired from an insurance company
14    shall be made as required by paragraph (1) of this
15    subsection (b).
16    (c) Any person who without authority acquires, sells,
17exchanges, gives away, transfers or destroys or offers to
18acquire, sell, exchange, give away, transfer or destroy the
19certificate of title to any vehicle which is a junk or salvage
20vehicle shall be guilty of a Class 3 felony.
21    (d) Any person who knowingly fails to surrender to the
22Secretary of State a certificate of title, salvage certificate,
23certificate of purchase or a similarly acceptable out-of-state
24document of ownership as required under the provisions of this
25Section is guilty of a Class A misdemeanor for a first offense
26and a Class 4 felony for a subsequent offense; except that a

 

 

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1person licensed under this Code who violates paragraph (5) of
2subsection (b) of this Section is guilty of a business offense
3and shall be fined not less than $1,000 nor more than $5,000
4for a first offense and is guilty of a Class 4 felony for a
5second or subsequent violation.
6    (e) Any vehicle which is salvage or junk may not be driven
7or operated on roads and highways within this State. A
8violation of this subsection is a Class A misdemeanor. A
9salvage vehicle displaying valid special plates issued under
10Section 3-601(b) of this Code, which is being driven to or from
11an inspection conducted under Section 3-308 of this Code, is
12exempt from the provisions of this subsection. A salvage
13vehicle for which a short term permit has been issued under
14Section 3-307 of this Code is exempt from the provisions of
15this subsection for the duration of the permit.
16(Source: P.A. 99-932, eff. 6-1-17.)
 
17    (625 ILCS 5/3-117.3 new)
18    Sec. 3-117.3. Junking or salvage certificates; insurance
19company; salvage dealer.
20    (a) For purposes of this Section, "salvage dealer" means a
21licensed dealer who primarily sells salvage vehicles on behalf
22of insurance companies and obtains a "salvage dealer"
23designation through the used dealer application process under
24Section 5-102 of this Code.
25    (b) Notwithstanding any other provision of law to the

 

 

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1contrary, an insurance company or salvage dealer may, after
2completing a record search for any owner of a vehicle or a
3lienholder of record, obtain free of any lien a junking
4certificate or salvage certificate in the insurance company's
5name by submitting an application for a junking certificate or
6salvage certificate to the Secretary of State. The application
7shall include, but is not limited to, proof of full payment, in
8whole or in part, to the vehicle owner or, if applicable, any
9lienholder of record and proof of notice to the vehicle owner
10and any lienholder via certified mail or other proof of service
11that a transfer of title shall occur no earlier than 30 days
12after the date the notice is sent. Upon approval of the
13application, the Secretary shall issue to the insurance company
14a junking certificate or salvage certificate free of any lien
15in the insurance company's name.
16    An insurance company or salvage dealer shall not sell a
17salvage vehicle with a title obtained under this subsection (b)
18to anyone not authorized to buy salvage vehicles under this
19Code.
20    This subsection (b) shall apply only to a motor vehicle
21titled in this State that has been through an insurance claims
22process and the owner of the vehicle or lienholder, if
23applicable, has received compensation in exchange for
24relinquishing the ownership rights of the vehicle to an
25insurance company licensed under the Illinois Insurance Code
26and the insurance company is unable to obtain an endorsed

 

 

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1certificate of title within 30 days of payment to the owner or
2lienholder.
3    (c) Notwithstanding any other provision of law to the
4contrary, a salvage dealer may, after completing a record
5search for any owner of a vehicle or a lienholder of record,
6obtain free of any lien a junking certificate or salvage
7certificate in his or her name by submitting an application for
8a junking certificate or a salvage certificate to the Secretary
9of State which shall include, but is not limited to, proof of
10notice via certified mail or other proof of service to the
11vehicle owner or any lienholder that a transfer of title shall
12occur no earlier than 30 days after the date the notice is
13sent. The notice shall inform the vehicle owner or lienholder
14that upon payment of any applicable charges, the vehicle may be
15removed from the salvage dealer's facility. Upon approval of
16the application, the Secretary shall issue to the salvage
17dealer a junking certificate or salvage certificate free of any
18lien in the salvage dealer's name.
19    A salvage dealer shall not sell a salvage vehicle with a
20title obtained under this subsection (c) to anyone not
21authorized to buy salvage vehicles under this Code.
22    This subsection (c) shall apply only to a motor vehicle
23titled in this State and in possession of a salvage dealer by
24request of an insurance company licensed under the Illinois
25Insurance Code to take possession of the motor vehicle subject
26to an insurance claim and the insurance company denies coverage

 

 

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1of the vehicle or does not take ownership of the vehicle within
245 days of possession by the salvage dealer.
3    (d) A vehicle owner or lienholder may send notice of
4dispute of the transfer of title under this Section within 30
5days after the required notice is sent by the insurance company
6or salvage dealer. If a dispute between a vehicle owner or
7lienholder and an insurance company or salvage dealer cannot be
8resolved within 45 days after the required notice to the
9vehicle owner or lienholder is sent, the vehicle owner or
10lienholder, within 90 days after sending notice of dispute,
11shall petition a court of competent jurisdiction for an order
12to determine ownership of the vehicle and shall notify the
13Secretary of State of the filing of the petition. If a vehicle
14owner or lienholder does not file a petition within the 90-day
15period, the title to the vehicle shall be issued to the
16insurance company or salvage dealer under this Section.
17    (e) Any person who without authority acquires, sells,
18exchanges, gives away, transfers, or destroys or offers to
19acquire, sell, exchange, give away, transfer, or destroy the
20certificate of title to any vehicle which is a junk or salvage
21vehicle shall be guilty of a Class 3 felony.
22    (f) Any person who knowingly fails to surrender to the
23Secretary of State a certificate of title, salvage certificate,
24or certificate of purchase is guilty of a Class A misdemeanor
25for a first offense and a Class 4 felony for a second and
26subsequent offense.

 

 

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1    (g) Any vehicle which is salvage or junk may not be driven
2or operated on roads and highways within this State. A
3violation of this subsection (g) is a Class A misdemeanor. A
4salvage vehicle displaying valid special plates issued under
5subsection (b) of Section 3-601 of this Code, which is being
6driven to or from an inspection conducted under Section 3-308
7of this Code, is exempt from the provisions of this subsection
8(g). A salvage vehicle for which a short term permit has been
9issued under Section 3-307 of this Code is exempt from the
10provisions of this subsection (g) for the duration of the
11permit.
12    (h) The Secretary of State may adopt any rules necessary to
13implement this Section.
 
14    (625 ILCS 5/5-104.3)
15    Sec. 5-104.3. Disclosure of rebuilt vehicle.
16    (a) No person shall knowingly, with intent to defraud or
17deceive another, sell a vehicle for which a rebuilt title has
18been issued unless that vehicle is accompanied by a Disclosure
19of Rebuilt Vehicle Status form, properly signed and delivered
20to the buyer.
21    (a-5) No dealer or rebuilder licensed under Sections 5-101,
225-102, or 5-301 of this Code shall sell a vehicle for which a
23rebuilt title has been issued from another jurisdiction without
24first obtaining an Illinois certificate of title with a
25"REBUILT" notation under Section 3-118.1 of this Code.

 

 

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1    (b) The Secretary of State may by rule or regulation
2prescribe the format and information contained in the
3Disclosure of Rebuilt Vehicle Status form.
4    (c) A violation of subsections subsection (a) or (a-5) of
5this Section is a Class A misdemeanor. A second or subsequent
6violation of subsections subsection (a) or (a-5) of this
7Section is a Class 4 felony.
8(Source: P.A. 91-891, eff. 7-6-00.)
 
9    Section 95. No acceleration or delay. Where this Act makes
10changes in a statute that is represented in this Act by text
11that is not yet or no longer in effect (for example, a Section
12represented by multiple versions), the use of that text does
13not accelerate or delay the taking effect of (i) the changes
14made by this Act or (ii) provisions derived from any other
15Public Act.
 
16    Section 99. Effective date. This Act takes effect 90 days
17after becoming law.".