SB1306 EnrolledLRB097 08920 CEL 49052 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Collateral Recovery Act.
 
6    Section 5. Findings; purpose. The General Assembly finds
7that collateral recovery practices affect public health,
8safety, and welfare and declares that the purpose of this Act
9is to regulate individuals and entities engaged in the business
10of collateral recovery for the protection of the public.
 
11    Section 10. Definitions. In this Act:
12    "Assignment" means a written authorization by a legal
13owner, lien holder, lessor, lessee, or licensed repossession
14agency authorized by a legal owner, lien holder, lessor or
15lessee to locate or repossess, involuntarily or voluntarily,
16any collateral, including, but not limited to, collateral
17registered under the Illinois Vehicle Code that is subject to a
18security agreement that contains a repossession clause or is
19the subject of a rental or lease agreement.
20    "Assignment" also means a written authorization by an
21employer to recover any collateral entrusted to an employee or
22former employee if the possessor is wrongfully in the

 

 

SB1306 Enrolled- 2 -LRB097 08920 CEL 49052 b

1possession of the collateral. A photocopy, facsimile copy, or
2electronic copy of an assignment shall have the same force and
3effect as an original written assignment.
4    "Branch office" means each additional office and secured
5storage facility location of a repossession agency (i) located
6in and conducting business within the State of Illinois and
7(ii) operating under the same name as the repossession agency
8where business is actively conducted or is engaged in the
9business authorized by the licensure. Each branch office must
10be individually licensed.
11    "Collateral" means any vehicle, boat, recreational
12vehicle, motor home, motorcycle, or other property that is
13subject to a security, lease, or rental agreement.
14    "Commission" means the Illinois Commerce Commission.
15    "Debtor" means any person or entity obligated under a
16lease, rental, or security agreement.
17    "Financial institution" means a bank, a licensee under the
18Consumer Installment Loan Act, savings bank, savings and loan
19association, or credit union organized and operating under the
20laws of this or any other state or of the United States, and
21any subsidiary or affiliate thereof.
22    "Legal owner" means a person holding (i) a security
23interest in any collateral that is subject to a security
24agreement, (ii) a lien against any collateral, or (iii) an
25interest in any collateral that is subject to a lease or rental
26agreement.

 

 

SB1306 Enrolled- 3 -LRB097 08920 CEL 49052 b

1    "Licensure" means the approval of the required criteria
2that has been submitted for review in accordance with the
3provisions of this Act.
4    "Licensed recovery manager" means a person who possesses a
5valid license in accordance with the provisions of this Act and
6is in control or management of an Illinois repossession agency.
7    "Personal effects" means any property contained within or
8on repossessed collateral, or property that is not permanently
9affixed to the collateral, that is not the property of the
10legal owner.
11    "Recovery permit" means a permit issued by the Commission
12to a repossession agency employee who has met all the
13requirements under this Act.
14    "Recovery ticket" means a serialized record obtained from
15the Commission for any repossessed vehicle or collateral
16evidencing that any person, business, financial institution,
17automotive dealership, or repossession agency who shows a
18recovery ticket has paid the recovery ticket fee to the
19Commission.
20    "Remote storage location" means a secured storage facility
21of a licensed repossession agency designated for the storage of
22collateral that is a secure building or has a perimeter that is
23secured with a fencing construction that makes the area not
24accessible to the public. A remote storage location shall not
25transact business with the public and shall provide evidence of
26applicable insurance to the Commission that specifies the

 

 

SB1306 Enrolled- 4 -LRB097 08920 CEL 49052 b

1licensed repossession agency as the primary policy holder. A
2remote storage location shall be located in a commercially
3zoned area physically located in Illinois.
4    "Repossession agency" means any person or entity
5conducting business within the State of Illinois, that, for any
6type of consideration, engages in the business of, accepts
7employment to furnish, or agrees to provide or provides
8property locating services, property recovery, recovered
9property transportation, recovered property storage, or all
10services relevant to any of the following:
11        (1) The location, disposition, or recovery of property
12    as authorized by the self-help provisions of the Uniform
13    Commercial Code.
14        (2) The location, disposition, or recovery of lost or
15    stolen property.
16        (3) Securing evidence concerning repossession and
17    recovery to be used before any court, board, office, or
18    investigating committee.
19        (4) Inventory of property contained in or on the
20    collateral or recovered property.
21        (5) The possession of collateral.
22        (6) The prevention of the misappropriation or
23    concealment of chattel, vehicles, goods, objects,
24    documents, or papers.
25    "Repossession agency" does not include any of the
26following:

 

 

SB1306 Enrolled- 5 -LRB097 08920 CEL 49052 b

1        (1) An attorney at law who is performing his or her
2    duties as an attorney at law.
3        (2) The legal owner of collateral that is subject to a
4    security agreement.
5        (3) An officer or employee of the United States of
6    America or of this State or a political subdivision of this
7    State while the officer or employee is engaged in the
8    performance of his or her official duties.
9        (4) A qualified license or recovery permit holder when
10    performing services for, or on behalf of, a licensed
11    repossession agency.
12        (5) A collection agency licensed under the Collection
13    Agency Act when its activities are limited to assisting an
14    owner in the recovery of property that is not collateral,
15    as defined in this Act.
16    "Repossession agency employee" means any person or
17self-employed independent contractor who is hired by a
18repossession agency.
19    "Secured storage facility" means an area located on the
20same premises as a repossession agency office or branch office
21that is designated for the storage of collateral and is a
22secure building or has a perimeter that is secured with a
23fencing construction that makes the area not accessible to the
24public. Each repossession agency office or branch office must
25maintain a secured storage facility.
26    "Security agreement" means an obligation, pledge,

 

 

SB1306 Enrolled- 6 -LRB097 08920 CEL 49052 b

1mortgage, chattel mortgage, lease agreement, rental agreement,
2deposit, or lien, given by a debtor as security for payment or
3performance of his or her debt by furnishing the creditor with
4a recourse to be used in case of failure in the principal
5obligation. "Security agreement" includes a bailment where an
6employer-employee relationship exists or existed between the
7bailor and the bailee.
 
8    Section 15. Powers of the Commission.
9    (a) The Commission shall regulate repossession agencies
10and their employees, managers or agents in accordance with this
11Act, and to that end may establish reasonable requirements with
12respect to proper service and practices relating thereto.
13    (b) The Commission shall have the following powers:
14        (1) To require that all employees, agents, or other
15    personnel used in repossession be employees, agents, or
16    personnel of a licensed repossession agency.
17        (2) To adopt reasonable and proper rules covering the
18    exercise of powers conferred upon it by this Act, and
19    reasonable rules governing investigations, hearings, and
20    proceedings under this Act.
21        (3) To adopt appropriate rules setting forth the
22    standards and procedures by which it will administer and
23    enforce this Act.
24        (4) To create special procedures for the receipt and
25    handling of consumer complaints.

 

 

SB1306 Enrolled- 7 -LRB097 08920 CEL 49052 b

1        (5) To employ such persons as are needed to administer
2    and enforce this Act, in such capacities as they are
3    needed, whether as hearing examiners, special examiners,
4    enforcement officers, investigators, or otherwise.
5    (c) The staff of the Commission shall have full power and
6authority in the performance of their official duties to enter
7into or upon any place, building, or premises of any
8repossession agency location or branch office location at any
9reasonable time for the purpose of inspecting such agency
10operating under this Act. The Commission shall not set pricing
11fees for repossessions, personal property storage, skip
12tracing, or other related services provided by repossession
13agencies to their clients.
 
14    Section 20. Rulemaking enforcement.
15    (a) The Commission may adopt any rules and procedures
16necessary to enforce and administer the provisions of this Act.
17    (b) The Commission may, by administrative rule, modify any
18rules or procedures or adjust any Commission fees necessary to
19regulate and enforce the provisions of this Act.
 
20    Section 25. Recovery ticket.
21    (a) A licensed repossession agency must purchase a recovery
22ticket from the Commission for each repossessed vehicle or
23collateral. The recovery ticket must show all of the following
24information:

 

 

SB1306 Enrolled- 8 -LRB097 08920 CEL 49052 b

1        (1) The date and time of the repossession.
2        (2) The Vehicle Identification Number (VIN), the make,
3    the model, and the year of the vehicle or collateral
4    repossessed.
5        (3) The agency name, the financial institution, and the
6    recovery permit number.
7        (4) The name and officer identification number of the
8    local law enforcement officer notified of the
9    repossession.
10    (b) The recovery ticket, or copy of the recovery ticket,
11must be placed with the vehicle or collateral at the time of
12repossession and must accompany the vehicle or collateral until
13it has been liquidated or returned to the lien holder or
14debtor. A copy of the recovery ticket must be kept for the
15agency's permanent file for a period of 2 years following the
16date of repossession. A copy of the recovery ticket must be
17returned to the legal owner or financial institution within 72
18hours following the date of repossession.
19    (c) A fee for the recovery ticket must be collected by the
20Commission at the time of purchase. The cost for each recovery
21ticket is $10 and is nonrefundable. Recovery tickets must only
22be sold in lots of 50 and 100. Only an Illinois licensed
23repossession agency may purchase recovery tickets.
24    If a repossession agency's license is revoked by the
25Commission, then the repossession agency must return any and
26all unused recovery tickets to the Commission immediately upon

 

 

SB1306 Enrolled- 9 -LRB097 08920 CEL 49052 b

1license revocation. No refund from the Commission shall be
2issued for the return of unused recovery tickets.
3    (d) Any agency or employee found to be in possession of a
4repossessed vehicle without having a valid recovery ticket is
5in violation of this Act and therefore jeopardizing the license
6of the employee or the agency that he or she is repossessing
7for.
 
8    Section 30. License or registration required.
9    (a) It shall be unlawful for any person or entity to
10repossess a vehicle or collateral in this State, attempt to
11repossess a vehicle or collateral in this State, or to hold
12himself, herself, or itself out to be a repossession agency
13unless licensed under this Act.
14    (b) It shall be unlawful for any person to repossess a
15vehicle or collateral in this State, attempt to repossess a
16vehicle or collateral in this State, or to hold himself or
17herself out to be a licensed recovery manager unless licensed
18under this Act.
19    (c) It shall be unlawful for any person to repossess a
20vehicle or collateral in this State, attempt to repossess a
21vehicle or collateral in this State, or hold himself or herself
22out to be a repossession agency employee unless he or she holds
23a valid recovery permit issued by the Commission under this
24Act.
25    (d) This Act does not apply to a financial institution or

 

 

SB1306 Enrolled- 10 -LRB097 08920 CEL 49052 b

1the employee of a financial institution when engaged in an
2activity otherwise covered by this Act if the activity is
3conducted by the employee on behalf of that financial
4institution.
5    (e) This Act does not apply to a towing company or towing
6operator when an employee or agent of the creditor financial
7institution is present at the site from which the vehicle is
8towed.
 
9    Section 35. Application for repossession agency licensure.
10    (a) Application for original licensure as a repossession
11agency shall be made to the Commission in writing on forms
12prescribed by the Commission and shall be accompanied by the
13appropriate documentation and the required fee, and the fee is
14nonrefundable.
15    (b) Every application shall state, in addition to any other
16requirements, (i) the name of the applicant, (ii) the name
17under which the applicant shall do business, (iii) the proposed
18location of the agency by number, street, and city, and (iv)
19the proposed location of the agency's remote storage location
20or locations by number, street, and city, (v) the proposed
21location of the Agency's branch office or branch offices by
22number, street, and city, and (vi) the usual business hours
23that the agency shall maintain.
24    (c) No license may be issued (i) in any fictitious name
25that may be confused with or is similar to any federal, state,

 

 

SB1306 Enrolled- 11 -LRB097 08920 CEL 49052 b

1county, or municipal government function or agency, (ii) in any
2name that may tend to describe any business function or
3enterprise not actually engaged in by the applicant, (iii) in
4any name that is the same as or similar to any existing
5licensed company and that would tend to deceive the public,
6(iv) in any name that would tend to be deceptive or misleading,
7or (v) to any repossession agency applicant without that
8agency's location or branch office location maintaining a
9secured storage facility as defined in Section 10 of this Act.
10    (d) If the applicant for repossession agency licensure is
11an individual, then his or her application shall include (i)
12the full residential address of the applicant and (ii) either
13the sworn statement of the applicant declaring that he or she
14is the licensed recovery manager who shall be personally in
15control of the agency for which the licensure is sought, or the
16name and signed sworn statement of the licensed recovery
17manager who shall be in control or management of the agency.
18    (e) If the applicant for repossession agency licensure is a
19partnership, then the application shall include (i) a statement
20of the names and full residential addresses of all partners in
21the business and (ii) a sworn statement signed by each partner
22verifying the name of the person who is a licensed recovery
23manager and shall be in control or management of the business.
24If a licensed recovery manager who is not a partner shall be in
25control or management of the agency, then he or she must also
26sign the sworn statement. The application shall also state

 

 

SB1306 Enrolled- 12 -LRB097 08920 CEL 49052 b

1whether any of the partners has ever used an alias.
2    (f) If the applicant for licensure as a repossession agency
3is a corporation, then the application shall include (i) the
4names and full residential addresses of all corporation
5officers and (ii) a sworn statement signed by a duly authorized
6officer of the corporation verifying the name of the person who
7is a licensed recovery manager and shall be in control or
8management of the agency. If a licensed recovery manager who is
9not an officer shall be in control or management of the agency,
10then he or she must also sign the sworn statement. The
11application shall also state whether any of the officers has
12ever used an alias.
13    (g) If the applicant for licensure as a repossession agency
14is a limited liability company, then the application shall
15include (i) the names and full residential addresses of all
16members and (ii) a sworn statement signed by each member
17verifying the name of the person who is a licensed recovery
18manager and shall be in control or management of the agency. If
19a licensed recovery manager who is not a member shall be in
20control or management of the agency, then he or she must also
21sign the sworn statement. The application shall also state
22whether any of the members has ever used an alias.
23    (h) Each individual, partner of a partnership, officer of a
24corporation, or member of a limited liability company shall
25submit with the application a copy of one form of personal
26identification upon which must appear a photograph taken within

 

 

SB1306 Enrolled- 13 -LRB097 08920 CEL 49052 b

1one year immediately preceding the date of the filing of the
2application.
3    (i) No examination shall be required for licensure as a
4repossession agency by the Commission.
5    (j) The Commission may require any additional information
6that, in the judgment of the Commission, shall enable the
7Commission to determine the qualifications of the applicant for
8licensure.
9    (k) Applicants have 90 days from the date of application to
10complete the application process. If the application has not
11been completed within 90 days, then the application shall be
12denied, the fee shall be forfeited, and the applicant must
13reapply and meet the requirements in effect at the time of
14reapplication.
15    (l) Nothing in this Section precludes a domestic or foreign
16limited liability company being licensed as a repossession
17agency.
18    (m) A repossession agency license may be transferable upon
19prior notice to the Commission and upon completion of all
20requirements relative to the application process for
21repossession agency licensure.
22    (n) Repossessions performed in this State must be performed
23by repossession agencies, their employees, or agents licensed
24by the Commission, with the exception of financial institutions
25or the employees of a financial institution that are exempt
26under subsection (d) of Section 30 of this Act.
 

 

 

SB1306 Enrolled- 14 -LRB097 08920 CEL 49052 b

1    Section 37. Enforcement. It shall be unlawful for any
2repossession agency, employee, or agent of a repossession
3agency to operate in this State without a valid license or
4recovery permit issued by the Commission. It shall be unlawful
5for any person or entity to repossess a vehicle or collateral
6in the State without a recovery ticket issued by the
7Commission. The Commission may, at any time during the term of
8the license, make inquiry into the licensee's management or
9conduct of business to determine compliance with the provisions
10of this Act or the rules adopted pursuant to this Act. State,
11county, and local municipalities shall work in conjunction with
12the Commission in the enforcement of this Act.
 
13    Section 40. Qualifications for recovery manager;
14identification card.
15    (a) An applicant is qualified for licensure as a recovery
16manager if that person meets all of the following requirements:
17        (1) Is 21 years of age or older.
18        (2) Has not been convicted in any jurisdiction of any
19    felony or at least 10 years has passed from the time of
20    discharge from any sentence imposed for a felony.
21        (3) Has completed no less than 2,500 hours of actual
22    compensated collateral recovery work as an employee of a
23    repossession agency, a financial institution, or a vehicle
24    dealer within the 5 years immediately preceding the filing

 

 

SB1306 Enrolled- 15 -LRB097 08920 CEL 49052 b

1    of an application, acceptable proof of which must be
2    submitted to the Commission.
3        (4) Has submitted to the Commission 2 sets of
4    fingerprints, which shall be checked against the
5    fingerprint records on file with the Illinois State Police
6    and the Federal Bureau of Investigation in the manner set
7    forth in Section 60 of this Act.
8        (5) Has successfully completed a certification program
9    approved by the Commission.
10        (6) Has paid the required application fees.
11    (b) Upon the issuance of a recovery manager license, the
12Commission shall issue the license holder a suitable pocket
13identification card that shall include a photograph of the
14license holder. The identification card must contain the name
15of the license holder and any other information required by the
16Commission.
17    (c) A recovery manager license is not transferable.
 
18    Section 45. Repossession agency employee requirements.
19    (a) All employees of a licensed repossession agency whose
20duties include the actual repossession of collateral must apply
21for a recovery permit. The holder of a repossession agency
22license issued under this Act, known in this Section as the
23"employer", may employ in the conduct of the business under the
24following provisions:
25        (1) No person may be issued a recovery permit who meets

 

 

SB1306 Enrolled- 16 -LRB097 08920 CEL 49052 b

1    any of the following criteria:
2            (A) Is younger than 21 years of age.
3            (B) Has been determined by the Commission to be
4        unfit by reason of conviction of an offense in this or
5        another state, other than a minor traffic offense. The
6        Commission shall adopt rules for making those
7        determinations.
8            (C) Has had a license or recovery permit denied,
9        suspended, or revoked under this Act.
10            (D) Has not successfully completed a certification
11        program approved by the Commission.
12        (2) No person may be employed by a repossession agency
13    under this Section until he or she has executed and
14    furnished to the Commission, on forms furnished by the
15    Commission, a verified statement to be known as an
16    "Employee's Statement" setting forth all of the following:
17            (A) The person's full name, age, and residence
18        address.
19            (B) The business or occupation engaged in for the 5
20        years immediately before the date of the execution of
21        the statement, the place where the business or
22        occupation was engaged in, and the names of the
23        employers, if any.
24            (C) That the person has not had a license or
25        recovery permit denied, revoked, or suspended under
26        this Act.

 

 

SB1306 Enrolled- 17 -LRB097 08920 CEL 49052 b

1            (D) Any conviction of a felony, except as provided
2        for in Section 85.
3            (E) Any other information as may be required by any
4        rule of the Commission to show the good character,
5        competency, and integrity of the person executing the
6        statement.
7    (b) Each applicant for a recovery permit shall have his or
8her fingerprints submitted to the Commission by a Live Scan
9fingerprint vendor certified by the Illinois State Police under
10the Private Detective, Private Alarm, Private Security,
11Fingerprint Vendor, and Locksmith Act of 2004 in an electronic
12format that complies with the form and manner for requesting
13and furnishing criminal history record information as
14prescribed by the Illinois State Police. These fingerprints
15shall be checked against the Illinois State Police and Federal
16Bureau of Investigation criminal history record databases now
17and hereafter filed. The Commission shall charge applicants a
18fee for conducting the criminal history records check, which
19shall not exceed the actual cost of the records check. The
20Illinois Commerce Commission Police shall furnish, pursuant to
21positive identification, records of Illinois convictions to
22the Commission. The Commission, in its discretion, may allow an
23applicant who does not have reasonable access to a designated
24vendor to provide his or her fingerprints in an alternative
25manner. The Commission, in its discretion, may also use other
26procedures in performing or obtaining criminal history records

 

 

SB1306 Enrolled- 18 -LRB097 08920 CEL 49052 b

1checks of applicants. Instead of submitting his or her
2fingerprints, an individual may submit proof that is
3satisfactory to the Commission that an equivalent security
4clearance has been conducted.
5    (c) Qualified applicants shall purchase a recovery permit
6from the Commission and in a form that the Commission
7prescribes. The Commission shall notify the submitting person
8within 10 days after receipt of the application of its intent
9to issue or deny the recovery permit. The holder of a recovery
10permit shall carry the recovery permit at all times while
11actually engaged in the performance of the duties of his or her
12employment. No recovery permit shall be effective unless
13accompanied by a license issued by the Commission. Expiration
14and requirements for renewal of recovery permits shall be
15established by rule of the Commission. Possession of a recovery
16permit does not in any way imply that the holder of the
17recovery permit is employed by any agency unless the recovery
18permit is accompanied by the employee identification card
19required by subsection (e) of this Section.
20    (d) Each employer shall maintain a record of each employee
21that is accessible to the duly authorized representatives of
22the Commission. The record shall contain all of the following
23information:
24        (1) A photograph taken within 10 days after the date
25    that the employee begins employment with the employer. The
26    photograph shall be replaced with a current photograph

 

 

SB1306 Enrolled- 19 -LRB097 08920 CEL 49052 b

1    every 3 calendar years.
2        (2) The Employee's Statement specified in paragraph
3    (2) of subsection (a) of this Section.
4        (3) All correspondence or documents relating to the
5    character and integrity of the employee received by the
6    employer from any official source or law enforcement
7    agency.
8        (4) In the case of former employees, the employee
9    identification card of that person issued under subsection
10    (e) of this Section.
11    (e) Every employer shall furnish an employee
12identification card to each of his or her employees. This
13subsection (e) shall not apply to office or clerical personnel.
14This employee identification card shall contain a recent
15photograph of the employee, the employee's name, the name and
16agency license number of the employer, the employee's personal
17description, the signature of the employer, the signature of
18that employee, the date of issuance, and an employee
19identification card number.
20    (f) No employer may issue an employee identification card
21to any person who is not employed by the employer in accordance
22with this Section or falsely state or represent that a person
23is or has been in his or her employ. It is unlawful for an
24applicant for registration to file with the Commission the
25fingerprints of a person other than himself or herself or to
26fail to exercise due diligence in resubmitting replacement

 

 

SB1306 Enrolled- 20 -LRB097 08920 CEL 49052 b

1fingerprints for those employees who have had original
2fingerprint submissions returned as unclassifiable. An agency
3shall inform the Commission within 15 days after contracting or
4employing a licensed repossession agency employee. The
5Commission shall develop a registration process by rule.
6    (g) Every employer shall obtain the identification card of
7every employee who terminates employment with the employer. An
8employer shall immediately report an identification card that
9is lost or stolen to the local police department having
10jurisdiction over the repossession agency location.
11    (h) No agency may employ any person to perform any activity
12under this Act unless the person possesses a valid license or
13recovery permit under this Act.
14    (i) If information is discovered affecting the
15registration of a person whose fingerprints were submitted
16under this Section, then the Commission shall so notify the
17agency that submitted the fingerprints on behalf of that
18person.
19    (j) A person employed under this Section shall have 15
20business days within which to notify the Commission of any
21change in employer, but may continue working under any other
22recovery permits granted as an employee or independent
23contractor.
24    (k) This Section applies only to those employees of
25licensed repossession agencies whose duties include actual
26repossession of collateral.
 

 

 

SB1306 Enrolled- 21 -LRB097 08920 CEL 49052 b

1    Section 50. Fees.
2    (a) The license and permit fees required under this Act are
3as follows:
4        (1) Class "R" license (recovery agency), $825.
5        (2) Class "RR" license (branch office), $425.
6        (3) Class "MR" license (recovery agency manager),
7    $325.
8        (4) Class "E" recovery permit, $75.
9        (5) Class "EE" recovery permit (recovery agent
10    intern), $75.
11    An agency shall submit an application to register any
12remote storage location or locations. The Commission shall
13develop by rule the requirements for registering remote storage
14locations. The fee for each registration shall not exceed $300
15as set by the Commission.
16    (b) The Commission may establish by rule a fee for the
17replacement or revision of a license or recovery permit.
18    (c) The fees set forth in this Section must be paid by
19certified check or money order, or at the discretion of the
20Commission, by agency check at the time of application. An
21applicant for a Class "E", Class "EE", or Class "MR" license or
22permit must pay the license or permit fee at the time the
23application is made. If a license or permit is revoked or
24denied, or if an application is withdrawn, then the license or
25permit fee shall not be refunded.
 

 

 

SB1306 Enrolled- 22 -LRB097 08920 CEL 49052 b

1    Section 55. Social Security Number or Federal Employee
2Identification Number on application. In addition to any other
3information required by the Commission to be contained in the
4application, every application for original, renewal, or
5restored license or permit shall include the applicant's Social
6Security Number, if an individual, or Federal Employer
7Identification Number, if not an individual. The Commission
8shall not disclose an individual's Social Security Number or
9residential address and must keep that Social Security Number
10and residential address confidential unless disclosure is
11required by law.
 
12    Section 60. Criminal background check. The Commission
13shall require that each individual, partner of a partnership,
14officer of a corporation, or owner of a limited liability
15company, as part of the application process, authorize a
16criminal history records check to determine if such applicant
17has ever been charged with a crime and, if so, the disposition
18of those charges. Upon this authorization, each individual,
19partner of a partnership, officer of a corporation, or owner of
20a limited liability company shall submit his or her
21fingerprints to the Commission in the form and manner
22prescribed by the Illinois Commerce Commission Police. These
23fingerprints shall be checked against the fingerprint records
24now and hereafter filed in the Illinois State Police and

 

 

SB1306 Enrolled- 23 -LRB097 08920 CEL 49052 b

1Federal Bureau of Investigation criminal history records
2databases. The Commission shall charge a fee for conducting the
3criminal history records check, which shall be deposited in the
4Transportation Regulatory Fund and shall not exceed the actual
5cost of the records check. The Illinois Commerce Commission
6Police shall provide information concerning any criminal
7charges, and their disposition, now or hereafter filed against
8an applicant upon request of the Commission when the request is
9made in the form and manner required by the Illinois Commerce
10Commission Police.
 
11    Section 65. Licensed recovery manager in control of
12repossession agency.
13    (a) As a condition of licensure, a licensed recovery
14manager must, at all times, be in control or management of the
15repossession agency. Each licensed repossession agency and
16licensed branch office location must have a licensed recovery
17manager.
18    (b) A licensed recovery manager may only be in control of
19one repossession agency or branch office location at one time.
20Upon written request by a representative of an agency within 10
21days after the loss of the licensed recovery manager in control
22due to the death of the license holder or because of an
23unanticipated termination of his or her employment, the
24Commission shall issue a temporary permit allowing the
25continuing operation of a previously licensed repossession

 

 

SB1306 Enrolled- 24 -LRB097 08920 CEL 49052 b

1agency. The temporary permit shall be valid for no more than 90
2days. Upon written request by the representative of the agency,
3an extension of an additional 90 days may be granted by the
4Commission for good cause shown. No more than 2 extensions may
5be granted to any repossession agency. A temporary permit may
6not be issued for loss of the licensed recovery manager in
7control or management if that loss is due to disciplinary
8action taken by the Commission.
9    (c) Whenever a licensed recovery manager in control or
10management of a repossession agency ceases to be in control or
11management, the licensed agency shall file notice with the
12Commission within 30 days after the cessation. If the
13repossession agency fails to give written notice at the end of
14the 30-day period, then the agency's license shall
15automatically be suspended. If the notice is filed, then the
16license shall remain in force for a period of 90 days after the
17filing of the notice. At the end of the 90-day period or an
18additional period, not to exceed one year, as specified by the
19Commission, if written notice is not given that a licensed
20recovery manager is then in control or management of the
21agency, then the agency's license shall automatically be
22suspended. A license suspended under this Section may be
23reinstated upon payment of a reinstatement fee, to be
24determined by the Commission, and submission of a reinstatement
25application.
26    (d) Except as otherwise provided in this Act, no person may

 

 

SB1306 Enrolled- 25 -LRB097 08920 CEL 49052 b

1serve as the licensed recovery manager in control or management
2of a licensed repossession agency if that person has ever had a
3repossession agency's license revoked or if the person was a
4partner, managing employee, owner, or officer of a repossession
5agency the license of which has been revoked for cause.
6    (e) The license of the recovery manager in control or
7management of a licensed repossession agency, together with the
8agency's license, shall be conspicuously displayed at the
9agency location of which the recovery manager is in control or
10management.
11    (f) A license extended under this Section is subject to all
12other provisions of this Act.
 
13    Section 70. License extension in cases of death or
14disassociation.
15    (a) In the case of the death of a person who is licensed
16individually as a repossession agency, a member of the
17deceased's immediate family shall be entitled to continue
18operating the agency under the same license for up to 120 days
19following the date of death, provided that written notice is
20given to the Commission within 30 days following the date of
21death. At the end of the 120-day period, the license shall
22automatically be revoked.
23    (b) In the case of the death or disassociation of a partner
24of a partnership licensed as a repossession agency, the company
25shall notify the Commission, in writing, within 30 days from

 

 

SB1306 Enrolled- 26 -LRB097 08920 CEL 49052 b

1the death or disassociation of the partner. If they fail to
2notify the Commission within the 30-day period, then the
3license shall automatically be revoked at the end of that
4period. If proper notice is given, then the license shall
5remain in force for 90 days following the date of death or
6disassociation of the partner. At the end of the 90-day period,
7the license shall automatically be revoked.
8    (c) A license extended under this Section is subject to all
9other provisions of this Act.
 
10    Section 75. Licenses and recovery permits; renewals;
11restoration; person in military service.
12    (a) An original Class "R" license, Class "RR" license, and
13Class "MR" license shall expire 2 years after the date of
14issuance.
15    (b) An original Class "E" recovery permit and Class "EE"
16recovery permit shall expire one year after the date of
17issuance.
18    (c) A renewal Class "R" license, Class "RR" license and
19Class "MR" license shall expire 2 years after the date of
20renewal.
21    (d) A renewal Class "E" recovery permit and Class "EE"
22recovery permit shall expire one year after the date of
23renewal.
24    (e) The following are guidelines for the classes of
25licensure and registration:

 

 

SB1306 Enrolled- 27 -LRB097 08920 CEL 49052 b

1        (1) Any person, firm, company, partnership, or
2    corporation that engages in business as a recovery agency
3    shall have a Class "R" license. A Class "R" license is
4    valid for only one location.
5        (2) Each branch office of a Class "R" agency shall have
6    a Class "RR" license.
7        (3) Any individual who performs the services of a
8    manager for a Class "R" recovery agency or a Class "RR"
9    branch office must have a Class "MR" license.
10        (4) Any individual who performs recovery services as a
11    repossession agency employee for a Class "R" recovery
12    agency or a Class "RR" branch office must have a Class "E"
13    recovery permit.
14        (5) Any individual who performs repossessions as an
15    intern under the direction and control of a designated,
16    sponsoring Class "E" recovery permit or a designated,
17    sponsoring Class "MR" license shall have a Class "EE"
18    recovery permit.
19        (6) An individual shall have a Class "MR" or Class "E"
20    recovery permit if he or she owns or is an employee of a
21    Class "R" agency or Class "RR" branch office.
22        (7) Class "MR", Class "E", and Class "EE" licenses and
23    recovery permits are not transferable.
24    (f) At least 90 days prior to the expiration of a license
25or recovery permit, the Commission shall mail to the license or
26permit holder a renewal form in the form and manner prescribed

 

 

SB1306 Enrolled- 28 -LRB097 08920 CEL 49052 b

1by the Commission. The license holder or recovery permit holder
2must complete and mail the renewal form to the Commission, pay
3any fines assessed, and pay any renewal fee required by the
4Commission.
5    (g) Any person or entity that has permitted a license or
6recovery permit to expire may have that license or recovery
7permit restored by making an application to the Commission
8within one year after the expiration of a repossession agency's
9license or a qualified manager license or within 30 days after
10the expiration of a recovery permit, filing proof acceptable to
11the Commission of fitness to have the license or recovery
12permit restored, and paying the required restoration fee.
13However, any person whose license or recovery permit expired
14while (i) in federal service on active duty with the Armed
15Forces of the United States or called into service or training
16with the State militia or (ii) in training or education under
17the supervision of the United States preliminary to induction
18into military service may have his or her license or recovery
19permit renewed or restored without paying any lapsed renewal
20fees, if within 2 years after honorable termination of the
21service, training, or education, except under condition other
22than honorable, he or she furnishes the Commission with
23satisfactory evidence to the effect that he or she has been so
24engaged and that the service, training, or education has been
25so terminated.
26    (h) A suspended repossession agency license, recovery

 

 

SB1306 Enrolled- 29 -LRB097 08920 CEL 49052 b

1manager license, or recovery permit is subject to expiration as
2set forth in this Section. Renewal of a certificate or
3registration card does not entitle the license holder or
4recovery permit holder, while the license or recovery permit
5remains suspended and until it is reinstated, to engage in the
6licensed or permitted activity.
7    (i) A revoked repossession agency license, recovery
8manager license, or recovery permit is subject to expiration as
9set forth in this Section; however, it may not be renewed. If a
10revoked license or recovery permit is reinstated after its
11expiration, then the license holder or recovery permit holder,
12as a condition of reinstatement, shall pay a reinstatement fee
13in an amount equal to the renewal fee in effect on the last
14regular renewal date prior to the date on which the license or
15recovery permit is reinstated and any additional delinquency
16fee required by the Commission.
17    (j) Any person or entity that notifies the Commission, in
18writing on forms prescribed by the Commission, may place a
19license or recovery permit on inactive status and shall be
20excused from the payment of renewal fees until the person or
21entity notifies the Commission in writing of the intention to
22resume active practice. Any person or entity requesting that a
23license or recovery permit be changed from inactive to active
24status shall be required to pay the current renewal fee.
25    (k) Any repossession agency license holder, recovery
26manager license holder, or recovery permit holder whose license

 

 

SB1306 Enrolled- 30 -LRB097 08920 CEL 49052 b

1or recovery permit is nonrenewed or on inactive status shall
2not engage in the practice of recovery in this State or use the
3title or advertise that he, she, or it performs the services of
4a licensed repossession agency, licensed recovery manager, or
5repossession agency employee.
6    (l) Any person violating subsection (k) of this Section
7shall be considered to be operating a repossession agency
8without a license, acting as a recovery manager without a
9license, or acting as a repossession agency employee without a
10recovery permit and is subject to the disciplinary provisions
11of this Act.
12    (m) A repossession agency license, recovery manager
13license, or recovery permit that is not renewed within 3 years
14after its expiration may not be renewed, restored, reinstated,
15or reissued thereafter. The holder of the license or recovery
16permit may obtain a new license or recovery permit only upon
17compliance with all of the provisions of this Act concerning
18the issuance of original licenses or recovery permits.
 
19    Section 80. Refusal, revocation, or suspension.
20    (a) The Commission may refuse to issue or renew or may
21revoke any license or recovery permit or may suspend, place on
22probation, fine, or take any disciplinary action that the
23Commission may deem proper, including fines not to exceed
24$2,500 for each violation, with regard to any license holder or
25recovery permit holder for one or any combination of the

 

 

SB1306 Enrolled- 31 -LRB097 08920 CEL 49052 b

1following causes:
2        (1) Knowingly making any misrepresentation for the
3    purpose of obtaining a license or recovery permit.
4        (2) Violations of this Act or its rules.
5        (3) Conviction of any crime under the laws of the
6    United States or any state or territory thereof that is (i)
7    a felony, (ii) a misdemeanor, an essential element of which
8    is dishonesty, or (iii) a crime that is related to the
9    practice of the profession.
10        (4) Aiding or abetting another in violating any
11    provision of this Act or its rules.
12        (5) Engaging in dishonorable, unethical, or
13    unprofessional conduct of a character likely to deceive,
14    defraud, or harm the public as defined by rule.
15        (6) Violation of any court order from any State or
16    public agency engaged in the enforcement of payment of
17    child support arrearages or for noncompliance with certain
18    processes relating to paternity or support proceeding.
19        (7) Solicitation of professional services by using
20    false or misleading advertising.
21        (8) A finding that the license or recovery permit was
22    obtained by fraudulent means.
23        (9) Practicing or attempting to practice under a name
24    other than the full name shown on the license or recovery
25    permit or any other legally authorized name.
26    (b) The Commission may refuse to issue or may suspend the

 

 

SB1306 Enrolled- 32 -LRB097 08920 CEL 49052 b

1license or recovery permit of any person or entity who fails to
2file a return, pay the tax, penalty, or interest shown in a
3filed return, or pay any final assessment of tax, penalty, or
4interest, as required by any tax Act administered by the
5Department of Revenue, until the time the requirements of the
6tax Act are satisfied. The Commission may take into
7consideration any pending tax disputes properly filed with the
8Department of Revenue.
 
9    Section 85. Consideration of past crimes.
10    (a) Notwithstanding the prohibitions set forth in Sections
1140 and 45 of this Act, when considering the denial of a license
12or recovery permit on the grounds of conviction of a crime, the
13Commission, in evaluating the rehabilitation of the applicant
14and the applicant's present eligibility for a license or
15recovery permit, shall consider each of the following criteria:
16        (1) The nature and severity of the act or crime under
17    consideration as grounds for denial.
18        (2) Evidence of any act committed subsequent to the act
19    or crime under consideration as grounds for denial, which
20    also could be considered as grounds for disciplinary action
21    under this Act.
22        (3) The amount of time that has lapsed since the
23    commission of the act or crime referred to in item (1) or
24    (2) of this subsection (a).
25        (4) The extent to which the applicant has complied with

 

 

SB1306 Enrolled- 33 -LRB097 08920 CEL 49052 b

1    any terms of parole, probation, restitution, or any other
2    sanctions lawfully imposed against the applicant.
3        (5) Evidence, if any, of rehabilitation submitted by
4    the applicant.
5    (b) When considering the suspension or revocation of a
6license or recovery permit on the grounds of conviction of a
7crime, the Commission, in evaluating the rehabilitation of the
8applicant and the applicant's present eligibility for a license
9or recovery permit, shall consider each of the following
10criteria:
11        (1) The nature and severity of the act or offense.
12        (2) The license holder's or recovery permit holder's
13    criminal record in its entirety.
14        (3) The amount of time that has lapsed since the
15    commission of the act or offense.
16        (4) Whether the license holder or recovery permit
17    holder has complied with any terms of parole, probation,
18    restitution, or any other sanctions lawfully imposed
19    against him or her.
20        (5) If applicable, evidence of expungement
21    proceedings.
22        (6) Evidence, if any, of rehabilitation submitted by
23    the license holder or recovery permit holder.
 
24    Section 90. Insurance required. No repossession agency,
25branch office, or remote storage location license shall be

 

 

SB1306 Enrolled- 34 -LRB097 08920 CEL 49052 b

1issued unless the applicant first files with the Commission a
2certification of insurance evidencing coverage in the amount
3required under this Section. The coverage shall provide the
4Commission as an additional insured for the purpose of
5receiving all notices of modifications or cancellations of such
6insurance. Coverage shall be written by an insurance company
7that is lawfully engaged to provide insurance coverage in
8Illinois. Coverage shall provide for a combined single limit
9policy in the amount of at least $1,000,000 per occurrence and
10a $3,000,000 aggregate policy, which shall include commercial
11general liability for wrongful repossession, garage keepers,
12on hook, and drive-away and shall be a direct primary policy.
13Coverage shall provide for a dishonesty bond policy in the
14amount of at least $1,000,000. Coverage shall insure for the
15liability of all employees licensed or registered by the
16Commission while acting in the course of their employment. The
17agency shall notify the Commission immediately upon
18cancellation of the insurance policy, whether the cancellation
19was initiated by the insurance company or the insured agency.
20The agency's license shall automatically be suspended on the
21date of cancellation of the policy, unless new evidence of
22insurance is provided to the Commission prior to the effective
23date of cancellation.
 
24    Section 95. Display of license required. At all times, a
25repossession agency's license shall be conspicuously displayed

 

 

SB1306 Enrolled- 35 -LRB097 08920 CEL 49052 b

1at the agency location on record with the Commission.
 
2    Section 100. Local government; home rule.
3    (a) Nothing in this Act shall prevent local authorities in
4any municipality, county, or municipality and county, by
5ordinance and within the exercise of the police power of the
6municipality or county, from requiring repossession agency and
7recovery manager license holders to register their names and
8file a copy of their State identification cards with the
9municipality, county, or municipality and county.
10    (b) A municipality or county, including a home rule unit,
11may not regulate individuals and entities engaged in the
12business of collateral recovery in a manner that is less
13stringent than the standards established under this Act. To the
14extent that any regulation by a municipality or county,
15including a home rule unit, is less stringent than the
16standards established under this Act, it is superseded by this
17Act. This Section is a limitation under subsection (i) of
18Section 6 of Article VII of the Illinois Constitution on the
19concurrent exercise by home rule units of powers and functions
20exercised by the State.
 
21    Section 105. Notification of law enforcement. Prior to a
22repossession, the licensed repossession agency or repossession
23agency employee shall notify the appropriate law enforcement
24agency located in the jurisdiction in which the licensed

 

 

SB1306 Enrolled- 36 -LRB097 08920 CEL 49052 b

1repossession agency or repossession agency employee plans to
2perform the repossession. Within 30 minutes after the
3completion of the repossession, the licensed repossession
4agency or repossession agency employee must notify the
5appropriate law enforcement agency that the repossession has
6occurred within its jurisdiction.
 
7    Section 110. Repossession of vehicles.
8    (a) With regard to collateral subject to a security
9agreement, repossession occurs when the licensed repossession
10agency employee gains entry into the collateral, the collateral
11becomes connected to a tow vehicle, or the licensed
12repossession agency employee has physical control, custody, or
13possession of the collateral.
14    (b) The licensed repossession agency shall confirm with the
15legal owner of a recovered vehicle whether the legal owner
16holds a security interest in the personal effects or other
17property contained in or on the recovered vehicle.
18    (c) If personal effects or other property not covered by a
19security agreement are contained in or on a recovered vehicle
20at the time it is recovered, then the personal effects and
21other property not covered by a security agreement must be
22completely and accurately inventoried, and a record of the
23inventory shall be maintained on file with the licensed
24repossession agency for a period of 2 years following the date
25of repossession. The licensed repossession agency shall hold

 

 

SB1306 Enrolled- 37 -LRB097 08920 CEL 49052 b

1all personal effects and other property not covered by a
2security agreement until the licensed repossession agency
3either returns the personal effects and other property to the
4debtor or disposes of the personal effects and other property
5in accordance with this Section.
6    (d) Within 5 working days following the date of
7repossession, the licensed repossession agency shall give
8written notification to the debtor of the whereabouts of
9personal effects or other property inventoried. At least 45
10days prior to disposing of such personal effects or other
11property, the licensed repossession agency shall, by United
12States Postal Service certified mail, notify the debtor of the
13intent to dispose of the property. Should the debtor, or his or
14her lawful designee, appear to retrieve the personal property
15prior to the date on which the licensed repossession agency is
16allowed to dispose of the property, the licensed repossession
17agency shall surrender the personal property to that individual
18upon payment of any reasonably incurred expenses for inventory
19and storage.
20    (e) If personal property is not claimed within 45 days of
21the notice of intent to dispose, then the licensed repossession
22agency may dispose of the personal property at its discretion,
23except that illegal items or contraband shall be surrendered to
24a law enforcement agency, and the licensed repossession agency
25shall retain a receipt or other proof of surrender as part of
26the inventory and disposal records it maintains. The inventory

 

 

SB1306 Enrolled- 38 -LRB097 08920 CEL 49052 b

1of the personal property and the records regarding any disposal
2of personal property shall be maintained for a period of 2
3years in the permanent records of the licensed repossession
4agency and shall be made available upon request to the
5Commission.
 
6    Section 115. Deposit of fees and fines. All of the fees and
7fines collected under this Act shall be deposited into the
8Transportation Regulatory Fund and, subject to appropriation,
9may be used by the Commission for the administration of this
10Act.
 
11    Section 120. Payments; penalty for insufficient funds. Any
12person or entity who delivers a check or other payment to the
13Commission that is returned to the Commission unpaid by the
14financial institution upon which it is drawn shall pay to the
15Commission, in addition to the amount already owed to the
16Commission, a fine amount as determined by the Commission. The
17fines imposed by this Section are in addition to any other
18discipline provided under this Act prohibiting unlicensed or
19unregistered practice or practice on a nonrenewed license or
20recovery permit. The Commission shall notify the person or
21entity that fees and fines shall be paid to the Commission by
22certified check or money order within 30 calendar days after
23notification. If, after the expiration of 30 days from the date
24of notification, the person or entity has failed to submit the

 

 

SB1306 Enrolled- 39 -LRB097 08920 CEL 49052 b

1necessary remittance, then the Commission shall automatically
2terminate the license or recovery permit or deny the
3application without hearing. If, after termination or denial,
4the person seeks a license or recovery permit, then the person
5or entity shall apply to the Commission for restoration or
6issuance of the license or recovery permit and pay all fees and
7fines due to the Commission. The Commission may establish a fee
8for the processing of an application for restoration of a
9license or recovery permit to pay all expenses of processing
10the application. The Commission may waive the fines due under
11this Section in individual cases where the Commission finds
12that the fines would be unreasonable or unnecessarily
13burdensome.
 
14    Section 125. Filings, formal complaints. All repossession
15activity correspondence relating to complaints and alleged
16violations of this Act shall be submitted to the Commission in
17writing on forms and in a manner prescribed by the Commission.
 
18    Section 130. Roster. The Commission shall maintain a
19roster of names and addresses of all persons who hold valid
20licenses and recovery permits and all persons whose licenses or
21recovery permits have been suspended or revoked within the
22previous year.
 
23    Section 135. Violations; injunctions; cease and desist

 

 

SB1306 Enrolled- 40 -LRB097 08920 CEL 49052 b

1order.
2    (a) If any person or entity violates a provision of this
3Act, then the Commission may, in the name of the People of the
4State of Illinois, through the Attorney General of the State of
5Illinois, petition for an order enjoining the violation or for
6an order enforcing compliance with this Act. Upon the filing of
7a verified petition in court, the court may issue a temporary
8restraining order, without notice or bond, and may
9preliminarily and permanently enjoin the violation. If it is
10established that the person or entity has violated or is
11violating the injunction, the court may punish the offender for
12contempt of court. Proceedings under this Section are in
13addition to, and not in lieu of, all other remedies and
14penalties provided by this Act.
15    (b) If any person or entity practices as a repossession
16agency or a recovery manager or holds himself, herself, or
17itself out as such without having a valid license or recovery
18permit under this Act, then any license holder or recovery
19permit holder, any person injured thereby, or any resident of
20or legal entity within the State may, in addition to the
21Commission, petition for relief as provided in subsection (a)
22of this Section.
23    (c) Whenever, in the opinion of the Commission, any person
24or entity violates any provision of this Act, the Commission
25may issue a rule to show cause why an order to cease and desist
26should not be entered against that person or entity. The rule

 

 

SB1306 Enrolled- 41 -LRB097 08920 CEL 49052 b

1shall clearly set forth the grounds relied upon by the
2Commission and shall provide a period of 7 days from the date
3of the rule to file an answer to the satisfaction of the
4Commission. Failure to answer to the satisfaction of the
5Commission shall cause an order to cease and desist to be
6issued immediately.
 
7    Section 140. Investigation; notice and hearing. The
8Commission may investigate the actions or qualifications of any
9person or entity holding or claiming to hold a license or
10recovery permit. The Commission may take any immediate
11disciplinary action that the Commission may deem proper if a
12person or entity repossesses a vehicle or collateral in the
13State without a valid license or permit. For all other
14disciplinary actions against a license or recovery permit
15holder, the Commission shall (i) notify the accused in writing
16of any charges made and the time and place for a hearing on the
17charges at least 30 days before the date set for the hearing,
18(ii) direct the accused to file a written answer to the charges
19under oath within 30 days after the service on the person or
20entity of such notice, and (iii) inform the accused that
21failure to file an answer shall result in a default judgment
22against the person or entity and the person's or entity's
23license or recovery permit may be suspended, revoked, placed on
24probationary status, or other disciplinary action taken with
25regard to the license or recovery permit as the Commission may

 

 

SB1306 Enrolled- 42 -LRB097 08920 CEL 49052 b

1deem proper.
2    In case the person or entity, after receiving notice, fails
3to file an answer, the person's or entity's license or recovery
4permit may, in the discretion of the Commission, be suspended,
5revoked, placed on probationary status, or the Commission, may
6take whatever disciplinary action it deems proper, including
7the imposition of a fine, without a hearing, if the act or acts
8charged constitute sufficient grounds for such action under
9this Act. This written notice and any notice in the subsequent
10proceedings may be served by personal delivery to the accused,
11or by registered or certified mail to the address last
12specified by the accused in the last notification to the
13Commission.
14    The written answer shall be served by personal delivery,
15certified delivery, or certified or registered mail to the
16Commission. At the time and place fixed in the notice, the
17Commission shall proceed to hear the charges and the parties or
18their counsel shall be accorded ample opportunity to present
19such statements, testimony, evidence, and argument as may be
20pertinent to the charges or to the defense thereto. The
21Commission may continue such hearing from time to time. At the
22discretion of the Commission, the accused person's or entity's
23license or recovery permit may be suspended or revoked, if the
24evidence constitutes sufficient grounds for such action under
25this Act.
 

 

 

SB1306 Enrolled- 43 -LRB097 08920 CEL 49052 b

1    Section 145. Record of proceeding. The Commission, at its
2expense, shall preserve a record of all proceedings at the
3formal hearing of any case. The notice of hearing, complaint
4and all other documents in the nature of pleadings and written
5motions filed in the proceedings, the transcript of testimony,
6and orders of the Commission shall be in the record of the
7proceedings.
 
8    Section 150. Subpoenas; oaths; attendance of witnesses.
9The Commission has the power to subpoena and to bring before it
10any person and to take testimony either orally or by
11deposition, or both, with the same fees and mileage and in the
12same manner as is prescribed in civil cases in the courts of
13this State. The Commission and the designated hearing officer
14have the power to administer oaths to witnesses at any hearing
15that the Commission is authorized to conduct and any other
16oaths authorized in any Act administered by the Commission. Any
17circuit court may, upon application of the Commission or its
18designee or of the applicant, license holder, or recovery
19permit holder against whom proceedings under this Act are
20pending, enter an order requiring the attendance of witnesses
21and their testimony, and the production of documents, papers,
22files, books, and records in connection with any hearing or
23investigation. The court may compel obedience to its order by
24proceedings for contempt.
 

 

 

SB1306 Enrolled- 44 -LRB097 08920 CEL 49052 b

1    Section 155. Recommendations for disciplinary action. At
2the conclusion of the hearing, the Commission shall prepare a
3written report of its findings and recommendations. The report
4shall contain a finding whether or not the accused person or
5entity violated this Act or failed to comply with the
6conditions required in this Act. The finding is not admissible
7in evidence against the person in a criminal prosecution
8brought for the violation of this Act, but the hearing and
9finding are not a bar to a criminal prosecution brought for the
10violation of this Act.
 
11    Section 160. Rehearing. In any hearing involving
12disciplinary action against a license holder or recovery permit
13holder, a copy of the Commission's report shall be served upon
14the respondent by the Commission, either personally or as
15provided in this Act for the service of the notice of hearing.
16Within 20 calendar days after service, the respondent may
17present to the Commission a motion in writing for a rehearing
18that shall specify the particular grounds for rehearing. If no
19motion for rehearing is filed, then upon the expiration of the
20time specified for filing a motion, or if a motion for
21rehearing is denied, then upon denial, the Commission may enter
22an order in accordance with its own recommendations except as
23provided in this Act. If the respondent orders from the
24reporting service, and pays for, a transcript of the record
25within the time for filing a motion for rehearing, then the 20

 

 

SB1306 Enrolled- 45 -LRB097 08920 CEL 49052 b

1calendar day period within which a motion may be filed shall
2commence upon the delivery of the transcript to the respondent.
 
3    Section 165. Appointment of a hearing officer. The
4Commission has the authority to appoint any attorney duly
5licensed to practice law in the State of Illinois to serve as
6the hearing officer in any action for refusal to issue or renew
7a license or recovery permit or to discipline a license holder
8or recovery permit holder. The hearing officer has full
9authority to conduct the hearing. The hearing officer shall
10report his or her findings and recommendations to the
11Commission. The Commission has 60 calendar days from receipt of
12the report to review the report of the hearing officer. If the
13Commission disagrees with the recommendation of the hearing
14officer, then the Commission may issue an order in
15contravention of the recommendation.
 
16    Section 170. Hearing by other examiner. Whenever the
17Commission is not satisfied that substantial justice has been
18done in revoking or suspending a license or recovery permit, or
19refusing to issue or renew a license or recovery permit, the
20Commission may order a rehearing.
 
21    Section 175. Order; certified copy. An order or a
22certified copy thereof, over the seal of the Commission, shall
23be prima facie proof:

 

 

SB1306 Enrolled- 46 -LRB097 08920 CEL 49052 b

1    (a) that the seal is the genuine seal of the Commission;
2and
3    (b) that the Commission is duly appointed and qualified.
 
4    Section 180. Restoration. At any time after the suspension
5or revocation of any license or recovery permit, the Commission
6may restore the license or recovery permit to the accused
7person, unless after an investigation and a hearing the
8Commission determines that restoration is not in the public
9interest.
 
10    Section 185. License and recovery permit surrender. Upon
11the revocation or suspension of any license or recovery permit,
12the license holder or recovery permit holder shall immediately
13surrender the license or recovery permit to the Commission. If
14the license holder or recovery permit holder fails to do so,
15then the Commission has the right to seize the license or
16recovery permit.
 
17    Section 190. Summary suspension. The Commission may
18summarily suspend the license of a repossession agency, the
19license of a recovery manager, or the recovery permit of an
20employee without a hearing, simultaneously with the
21institution of proceedings for a hearing provided for in this
22Act, if the Commission finds that evidence in its possession
23indicates that a repossession agency's, recovery manager's, or

 

 

SB1306 Enrolled- 47 -LRB097 08920 CEL 49052 b

1employee's continuation in the business of collateral recovery
2would constitute an imminent danger to the public. In the event
3that the Commission summarily suspends a license or recovery
4permit without a hearing, a hearing by the Commission must be
5held within 30 calendar days after the suspension has occurred.
 
6    Section 195. Judicial review. All final administrative
7decisions of the Commission are subject to judicial review
8under the Administrative Review Law and its rules. The term
9"administrative decision" is defined as in Section 3-101 of the
10Code of Civil Procedure. Proceedings for judicial review shall
11be commenced in the circuit court of the county in which the
12party applying for review resides; but if the party is not a
13resident of this State, the venue shall be in Sangamon County.
 
14    Section 200. Violations; criminal penalties. Any person
15who is found to have violated any provision of this Act is
16guilty of a Class A misdemeanor for the first offense, and a
17Class 4 felony for a second or subsequent offense.
 
18    Section 205. Illinois Administrative Procedure Act. The
19Illinois Administrative Procedure Act is expressly adopted and
20incorporated in this Act as if all of the provisions of that
21Act were included in this Act. For the purpose of this Act, the
22notice required under Section 10-25 of the Illinois
23Administrative Procedure Act is deemed sufficient when mailed

 

 

SB1306 Enrolled- 48 -LRB097 08920 CEL 49052 b

1to the last known address of a party.
 
2    Section 900. The Regulatory Sunset Act is amended by adding
3Section 4.32 as follows:
 
4    (5 ILCS 80/4.32 new)
5    Sec. 4.32. Act repealed on January 1, 2022. The following
6Act is repealed on January 1, 2022:
7    The Collateral Recovery Act.
 
8    Section 999. Effective date. This Act takes effect on July
91, 2012.