98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
SB3675

 

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

 

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

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


LRB098 23283 HEP 62348 b

 

 

A BILL FOR

 

SB3675LRB098 23283 HEP 62348 b

1    AN ACT concerning civil law.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Labor and Storage Lien Act is amended by
5changing Section 1 as follows:
 
6    (770 ILCS 45/1)  (from Ch. 82, par. 40)
7    Sec. 1. Every person, firm or corporation who has expended
8labor, skill or materials upon any chattel, or has furnished
9storage for said chattel, at the request of its owner, reputed
10owner, or authorized agent of the owner, or lawful possessor
11thereof, shall have a lien upon such chattel beginning on the
12date of the commencement of such expenditure of labor, skill
13and materials or of such storage for the contract price for all
14such expenditure of labor, skill or materials, or for all such
15storage, or in the absence of such contract price, for the
16reasonable worth of such expenditure of labor, skill and
17materials, or of such storage, for a period of one year from
18and after the completion of such expenditure of labor, skill or
19materials, or of such storage, notwithstanding the fact that
20the possession of such chattel has been surrendered to the
21owner, or lawful possessor thereof. The specific procedures for
22obtaining liens on unclaimed motor vehicles for labor, storage,
23and material under this Act shall be those set forth in Section

 

 

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177 of the Automotive Repair Act and Section 67 of the
2Automotive Collision Repair Act.
3(Source: Laws 1921, p. 508.)
 
4    Section 10. The Labor and Storage Lien (Small Amount) Act
5is amended by changing Section 1 as follows:
 
6    (770 ILCS 50/1)  (from Ch. 82, par. 47a)
7    Sec. 1. Every person expending labor, services, skill or
8material upon or furnishing storage for any chattel at the
9request of or with the consent of its owner, authorized agent
10of the owner, or lawful possessor thereof, in the amount of
11$2,000 or less, shall have a lien upon such chattel beginning
12upon the date of commencement of such expenditure of labor,
13services, skill, or materials or furnishing of storage, for the
14contract price for all such expenditure of labor, services,
15skill, or material, until the possession of such chattel is
16voluntarily relinquished to such owner or authorized agent, or
17to one entitled to the possession thereof. The specific
18procedures for obtaining liens on unclaimed motor vehicles for
19labor, storage, and material under this Act shall be those set
20forth in Section 77 of the Automotive Repair Act and Section 67
21of the Automotive Collision Repair Act.
22    For the purposes of this Act, a person, other than a driver
23or a person otherwise in control of a fire, police, emergency
24or public utility vehicle on official business, consents to

 

 

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1removal by towing of his or her vehicle when he or she without
2authorization parks such vehicle upon private property while
3having notice that unauthorized vehicles will be towed from
4such property by the owner of such property, or agent thereof,
5at the vehicle owner's expense, where such notice is provided
6pursuant to State law, local ordinances or regulation by any
7state or local agency. Such notice must include a sign of at
8least 24 inches in height by 36 inches in width posted in a
9conspicuous place in the affected area at least 4 feet from the
10ground but not more than 8 feet from the ground. Such sign
11shall be either illuminated or painted with reflective paint,
12or both and shall state the amount of towing charges to which
13the person may be subjected. However, the requirement of the
14sign provided for in this section shall not apply to
15residential property which, paying due regard to the
16circumstances and the surrounding area, is clearly reserved or
17intended exclusively for the use or occupation of residents or
18their vehicles.
19    The lien established herein shall also apply to labor,
20services, skills or material upon or furnishing storage for
21towed vehicles performed by any relocator or any other towing
22service pursuant to the order of a law enforcement official or
23agency in accordance with Sections 4-201 through 4-214 of The
24Illinois Vehicle Code. The lien created herein shall be valid
25even though the towing and storage is performed without the
26vehicle owner's consent.

 

 

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1(Source: P.A. 85-1283.)
 
2    Section 15. The Automotive Repair Act is amended by
3changing Section 10 and by adding Section 77 as follows:
 
4    (815 ILCS 306/10)
5    Sec. 10. Definitions. In this Act:
6    "Automotive repair" includes, but is not limited to:
7        (1) All repairs to motor vehicles that are commonly
8    performed in a motor vehicle repair facility by a motor
9    vehicle technician, including the diagnosis, installation,
10    exchange, or repair of mechanical or electrical parts or
11    units for any vehicle, the performance of any electrical or
12    mechanical adjustment to any vehicle, or the performance of
13    any service work required for routine maintenance or repair
14    of any vehicle. The term does not include commercial fleet
15    repair or maintenance transactions involving 2 or more
16    vehicles or ongoing service or maintenance contracts
17    involving vehicles used primarily for business purposes.
18        (2) All repair work in motor vehicle repair facilities
19    that perform one or more specialties within the automotive
20    repair service industry, including, but not limited to,
21    refinishing, brake, electrical, exhaust repair or
22    installation, front-end, radiators, tires, transmission,
23    tune-up, and windshield. However, transactions involving
24    the retail purchase of merchandise when a facility installs

 

 

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1    the merchandise as part of the transaction at the
2    discretion of the customer for a firm price are not
3    included. These transactions shall include but not be
4    limited to tires, batteries, oil, and lube jobs.
5    "Automotive repair facility" or "motor vehicle repair
6facility" means any person, firm, association, or corporation
7that for compensation engages in the business of automotive
8repair or diagnosis, or both, of malfunctions of motor
9vehicles.
10    "Owner" includes the person who holds the legal title to
11the vehicle or the customer who relinquished the vehicle to the
12claimant for repair.
13    A "used" part consists of a used assembly removed from a
14vehicle and installed on a vehicle undergoing repair without
15the benefit of being rebuilt or remanufactured.
16(Source: P.A. 90-426, eff. 1-1-98.)
 
17    (815 ILCS 306/77 new)
18    Sec. 77. Foreclosing mechanic's liens.
19    (a) If a vehicle is not redeemed by the owner within 30
20days after completion of the requested services or 30 days
21after the date agreed upon by the parties, whichever is later,
22the vehicle shall be considered unclaimed and the claimant may
23begin to enforce a mechanic's lien. If no repairs were made,
24the claimant may enforce a mechanic's lien for storage services
2530 days after the claimant provided an estimate to the owner.

 

 

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1    (b) The sale of the vehicle shall occur only after
2providing notice to the lienholder and owner of the time and
3place of the sale. The claimant shall request the title records
4of the vehicle from the Secretary of State. If the Secretary of
5State cannot provide ownership information, the following
6means shall be used to identify the owner:
7        (1) using the vehicle identification number to conduct
8    a search through a commercial, nationwide motor vehicle
9    information service; and
10        (2) inspecting the vehicle for evidence of the name or
11    address of the owner or state of registration.
12    If evidence of the state of registration is found, the
13motor vehicle department of the particular state shall be
14contacted and requested to perform a record search for the name
15and address of any owner or lienholder. In lieu of contacting a
16motor vehicle department, the request for the name and address
17of any owner or lienholder may be made to any private entity
18approved by the Secretary of State for this purpose.
19    (c) The claimant shall send notice by certified mail no
20less than 30 days prior to the sale to the owner of the vehicle
21and any lienholder. The notice sent to a lienholder shall be
22sent return receipt requested. The notice, in addition to being
23mailed to the addresses provided on the record search, shall
24also be sent to any secondary address provided to the claimant
25by the vehicle owner. The notice shall include the name,
26address, and telephone number of the claimant, the hours of

 

 

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1operation, the total amount owed, and the time and place of the
2sale. The sale must be held at the business location of the
3claimant.
4    (d) In addition to the certified notice required under
5subsection (c) of this Section, the claimant shall publish one
6notice of the sale in a newspaper of general circulation in the
7city, county, village, municipality, or township where the
8claimant provided services for the vehicle. The notice shall be
9published no less than 14 days prior to the date and time of
10the sale and shall set forth:
11        (1) the date, time, and location of the sale;
12        (2) the name of the vehicle owner and a description of
13    the vehicle including the vehicle identification number,
14    make, model, and year of manufacture;
15        (3) the amount owed; and
16        (4) a statement that, unless the vehicle is redeemed
17    prior to the date of the sale, it will be sold at sale.
18    (e) The owner or lienholder of the vehicle may redeem the
19vehicle any time during normal business hours prior to the date
20of the sale. If the vehicle is not redeemed prior to the sale,
21the claimant may sell the vehicle at the time and place
22specified in the notice to satisfy the lien amount.
23    (f) After the sale of the vehicle, the entity or individual
24purchasing the vehicle at sale shall apply for a certificate of
25title, salvage certificate, or junking certificate for the
26purchased vehicle as required by law. The entity or individual

 

 

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1shall submit a title application along with the following
2documentation to the Secretary of State:
3        (1) a detailed, itemized estimate or invoice,
4    including labor and parts, as originally prepared by the
5    repairer, rebuilder, or other entity;
6        (2) pictures of the vehicle;
7        (3) a mechanic's lien affirmation, completed by the
8    purchaser and the mechanic;
9        (4) proof of a title record search;
10        (5) proof of certified mail notification to the owner
11    and proof of a signed return receipt from the lienholder;
12    and
13        (6) proof of published notice (not required for a
14    junking certificate).
 
15    Section 20. The Automotive Collision Repair Act is amended
16by changing Section 10 and by adding Section 67 as follows:
 
17    (815 ILCS 308/10)
18    Sec. 10. Definitions. As used in this Act:
19    "Automotive collision and body repair" means all repairs
20that are commonly performed by a body repair technician to
21restore a motor vehicle damaged in an accident or collision to
22a condition similar to the motor vehicle condition prior to the
23damage or deterioration including, but not limited to, the
24diagnosis, installation, exchange, repair, or refinishing of

 

 

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1exterior body panels, trim, lighting, and structural chassis.
2The term does not include commercial fleet repair or
3maintenance transactions involving 2 or more motor vehicles or
4ongoing service or maintenance contracts involving motor
5vehicles used primarily for business purposes.
6    "Automotive collision and body repair facility" means a
7person, firm, association, or corporation that for
8compensation engages in the business of cosmetic repair,
9structural repair, or refinishing of motor vehicles with defect
10related to accident or collision.
11    "New part" means a part or component manufactured or
12supplied by the original motor vehicle manufacturer in an
13unused condition.
14    "Owner" includes the person who holds the legal title to
15the vehicle or the customer who relinquished the vehicle to the
16claimant for repair.
17    "Used part" means an original motor vehicle manufacturer
18part or component removed from a motor vehicle of similar make,
19model, and condition without the benefit of being rebuilt or
20remanufactured.
21    "Rebuilt part" or "reconditioned part" means a used part
22that has been inspected and remanufactured to restore
23functionality and performance.
24    "Aftermarket part" means a new part that is not
25manufactured or supplied by the original motor vehicle
26manufacturer for addition to, or replacement of, exterior body

 

 

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1panel or trim.
2(Source: P.A. 93-565, eff. 1-1-04.)
 
3    (815 ILCS 308/67 new)
4    Sec. 67. Foreclosing mechanic's liens.
5    (a) If a vehicle is not redeemed by the owner within 30
6days after completion of the requested services or 30 days
7after the date agreed upon by the parties, whichever is later,
8the vehicle shall be considered unclaimed and the claimant may
9begin to enforce a mechanic's lien. If no repairs were made,
10the claimant may enforce a mechanic's lien for storage services
1130 days after the claimant provided an estimate to the owner.
12    (b) The sale of the vehicle shall occur only after
13providing notice to the lienholder and owner of the time and
14place of the sale. The claimant shall request the title records
15of the vehicle from the Secretary of State. If the Secretary of
16State cannot provide ownership information, the following
17means shall be used to identify the owner:
18        (1) using the vehicle identification number to conduct
19    a search through a commercial, nationwide motor vehicle
20    information service; and
21        (2) inspecting the vehicle for evidence of the name or
22    address of the owner or state of registration.
23    If evidence of the state of registration is found, the
24motor vehicle department of the particular state shall be
25contacted and requested to perform a record search for the name

 

 

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1and address of any owner or lienholder. In lieu of contacting a
2motor vehicle department, the request for the name and address
3of any owner or lienholder may be made to any private entity
4approved by the Secretary of State for this purpose.
5    (c) The claimant shall send notice by certified mail no
6less than 30 days prior to the sale to the owner of the vehicle
7and any lienholder. The notice sent to a lienholder shall be
8sent return receipt requested. The notice, in addition to being
9mailed to the addresses provided on the record search, shall
10also be sent to any secondary address provided to the claimant
11by the vehicle owner. The notice shall include the name,
12address, and telephone number of the claimant, the hours of
13operation, the total amount owed, and the time and place of the
14sale. The sale must be held at the business location of the
15claimant.
16    (d) In addition to the certified notice required under
17subsection (c) of this Section, the claimant shall publish one
18notice of the sale in a newspaper of general circulation in the
19city, county, village, municipality, or township where the
20claimant provided services for the vehicle. The notice shall be
21published no less than 14 days prior to the date and time of
22the sale and shall set forth:
23        (1) the date, time, and location of the sale;
24        (2) the name of the vehicle owner and a description of
25    the vehicle including the vehicle identification number,
26    make, model, and year of manufacture;

 

 

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1        (3) the amount owed; and
2        (4) a statement that, unless the vehicle is redeemed
3    prior to the date of the sale, it will be sold at sale.
4    (e) The owner or lienholder of the vehicle may redeem the
5vehicle any time during normal business hours prior to the date
6of the sale. If the vehicle is not redeemed prior to the sale,
7the claimant may sell the vehicle at the time and place
8specified in the notice to satisfy the lien amount.
9    (f) After the sale of the vehicle, the entity or individual
10purchasing the vehicle at sale shall apply for a certificate of
11title, salvage certificate, or junking certificate for the
12purchased vehicle as required by law. The entity or individual
13shall submit a title application along with the following
14documentation to the Secretary of State:
15        (1) a detailed, itemized estimate or invoice,
16    including labor and parts, as originally prepared by the
17    repairer, rebuilder, or other entity;
18        (2) pictures of the vehicle;
19        (3) a mechanic's lien affirmation, completed by the
20    purchaser and the mechanic;
21        (4) proof of a title record search;
22        (5) proof of certified mail notification to the owner
23    and proof of a signed return receipt from the lienholder;
24    and
25        (6) proof of published notice (not required for a
26    junking certificate).