Sen. Dan Kotowski

Filed: 5/13/2015

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 142

2    AMENDMENT NO. ______. Amend Senate Bill 142 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Consumer Fraud and Deceptive Business
5Practices Act is amended by changing Section 2B as follows:
 
6    (815 ILCS 505/2B)  (from Ch. 121 1/2, par. 262B)
7    Sec. 2B. Where a sale of merchandise involving $25 or more
8is made or contracted to be made whether under a single
9contract or under multiple contracts, to a consumer by a seller
10who is physically present at the consumer's residence, that
11consumer may avoid the contract or transaction by notifying the
12seller within 3 full business days (or 15 full business days if
13the consumer is age 65 or older) following that day on which
14the contract was signed or the sale was made and by returning
15to the person, in its original condition, any merchandise
16delivered to the consumer under the contract or sale. At the

 

 

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1time the transaction is made or the contract signed, the person
2shall furnish the consumer with a fully completed receipt or
3contract pertaining to the transaction, in substantially the
4same language as that principally used in the oral presentation
5to the consumer, containing a "Notice of Cancellation"
6informing the consumer that he may cancel the transaction at
7any time within 3 days (or 15 days if the consumer is age 65 or
8older) and showing the date of the transaction with the name
9and address of the person, and in immediate proximity to the
10space reserved in the contract for the consumer's signature or
11on the front page of the receipt if a contract is not used, a
12statement which shall be in bold face type, in at least
1310-point type and in substantially the following form:
14    "YOU, THE CONSUMER, MAY CANCEL THIS TRANSACTION AT ANY TIME
15PRIOR TO MIDNIGHT OF THE THIRD BUSINESS DAY (OR FIFTEENTH
16BUSINESS DAY IF YOU ARE AGE 65 OR OLDER) AFTER THE DATE OF THIS
17TRANSACTION. SEE THE ATTACHED NOTICE OF CANCELLATION FORM FOR
18AN EXPLANATION OF THIS RIGHT."
19    Attached to the receipt or contract shall be a completed
20form in duplicate, captioned "NOTICE OF CANCELLATION" which
21shall be easily detachable and which shall contain in 10 point
22bold face type the following information and statements in the
23same language as that used in the contract:
24
NOTICE OF CANCELLATION
25
(enter date of transaction)
26
...........................

 

 

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1
(Date)
2    YOU MAY CANCEL THIS TRANSACTION, WITHOUT ANY PENALTY OR
3OBLIGATION, WITHIN 3 BUSINESS DAYS (OR 15 BUSINESS DAYS IF YOU
4ARE AGE 65 OR OLDER) FROM THE ABOVE DATE.
5    IF YOU CANCEL, ANY PROPERTY TRADED IN, ANY PAYMENTS MADE BY
6YOU, AND ANY NEGOTIABLE INSTRUMENT EXECUTED BY YOU UNDER THE
7CONTRACT OR TRANSACTION WILL BE RETURNED WITHIN 10 BUSINESS
8DAYS FOLLOWING RECEIPT BY THE SELLER OF YOUR CANCELLATION
9NOTICE, AND ANY SECURITY INTEREST ARISING OUT OF THE
10TRANSACTION WILL BE CANCELLED.
11    IF YOU CANCEL, YOU MUST MAKE AVAILABLE TO THE SELLER AT
12YOUR RESIDENCE IN SUBSTANTIALLY AS GOOD A CONDITION AS WHEN
13RECEIVED, ANY GOODS DELIVERED TO YOU UNDER THIS CONTRACT OR
14TRANSACTION, OR YOU MAY IF YOU WISH, COMPLY WITH THE
15INSTRUCTIONS OF THE SELLER REGARDING THE RETURN SHIPMENT OF THE
16GOODS AT THE SELLER'S EXPENSE AND RISK.
17    IF YOU MAKE THE GOODS AVAILABLE TO THE SELLER AND THE
18SELLER DOES NOT PICK THEM UP WITHIN 20 DAYS OF THE DATE OF YOUR
19NOTICE OF CANCELLATION, YOU MAY RETAIN OR DISPOSE OF THE GOODS
20WITHOUT ANY FURTHER OBLIGATION. IF YOU FAIL TO MAKE THE GOODS
21AVAILABLE TO THE SELLER, OR IF YOU AGREE TO RETURN THE GOODS TO
22THE SELLER AND FAIL TO DO SO, THEN YOU REMAIN LIABLE FOR
23PERFORMANCE OF ALL OBLIGATIONS UNDER THE CONTRACT.
24    TO CANCEL THIS TRANSACTION, MAIL OR DELIVER A SIGNED AND
25DATED COPY OF THIS CANCELLATION NOTICE OR ANY OTHER WRITTEN
26NOTICE, OR SEND A TELEGRAM, TO (Name of seller), AT (address of

 

 

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1seller's place of business) NOT LATER THAN MIDNIGHT OF (date).
2    I HEREBY CANCEL THIS TRANSACTION.
3(Date) ............
4
...................
5
(Buyer's signature)
6    Such written "Notice of Cancellation" may be sent by the
7consumer to the person to cancel the contract. The 3 day period
8(or 15 day period of the consumer is age 65 or older) provided
9for in this Section does not commence until the consumer is
10furnished a "Notice of Cancellation", and the address at which
11such notice to the seller can be given. If those conditions are
12met, the seller must return to the consumer the full amount of
13any payment made or consideration given under the contract or
14for the merchandise. It is an unlawful practice within the
15meaning of this Act for any person to
16    (a) Fail, before furnishing copies of the "Notice of
17Cancellation" to the consumer, to complete the copies by
18entering the name of the person, the address of the person's
19place of business, the date of the transaction, and the date,
20not earlier than the third business day (or fifteenth business
21day if the consumer is age 65 or older) following the date of
22the transaction, by which the consumer may give notice of
23cancellation;
24    (b) Include in any contract or receipt under this Section
25any confession of judgment or any waiver of any of the rights
26to which the consumer is entitled under this Section including

 

 

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1specifically his right to cancel the transaction in accordance
2with the provisions of this Section;
3    (c) Fail to inform each consumer orally, at the time he
4signs the contract or purchases or leases the goods or
5services, of his right to cancel;
6    (d) Misrepresent in any manner the consumer's right to
7cancel;
8    (e) Use any undue influence, coercion or any other wilful
9act or representation to interfere with the consumer's exercise
10of his rights under this Section;
11    (f) Fail or refuse to honor any valid notice of
12cancellation by a consumer and within 10 business days after
13the receipt of such notice, to
14        (i) refund all payments made under the contract or
15    sale,
16        (ii) return any goods or property traded in, in
17    substantially as good a condition as when received by the
18    person, or
19        (iii) cancel and return any negotiable instrument
20    executed by the consumer in connection with the contract or
21    transaction and take any action necessary or appropriate to
22    terminate promptly any security interest created in the
23    transaction;
24    (g) Negotiate, transfer, sell, or assign any note or other
25evidence of indebtedness to a finance company or other third
26party prior to midnight of the fifth business day following the

 

 

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1day the contract was signed or the goods or services were
2purchased or leased; or
3    (h) Fail, within 10 business days of receipt of the
4consumer's notice of cancellation, to notify him whether the
5seller intends to repossess or to abandon any shipped or
6delivered goods.
7    For the purposes of this Section, the word "sale" includes
8a sale, lease or rental.
9    This Section does not apply to any transaction
10    (a) made pursuant to prior negotiations in the course of a
11visit by the consumer to a retail business establishment having
12a fixed permanent location where the goods are exhibited, or
13the services are offered, for sale or lease on a continuing
14basis;
15    (b) in which the consumer is accorded the right of
16rescission by the provisions of the Consumer Credit Protection
17Act (15 U.S.C. 1635) or regulations issued pursuant thereto;
18    (c) in which the consumer has initiated the contact and the
19goods or services are needed to meet a bona fide immediate
20personal emergency of the consumer, and the consumer furnishes
21the person with a separate dated and signed personal statement
22in the consumer's handwriting describing the situation
23requiring immediate remedy and expressly acknowledging and
24waiving the right to cancel the sale within 3 business days (or
2515 business days if the consumer is age 65 or older);
26    (d) conducted and consummated entirely by mail or telephone

 

 

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1without any other contact between the consumer and the person
2or its representative prior to delivery of the goods or
3performance of the services;
4    (e) in which the consumer has initiated the contact and
5specifically requested the person to visit his home for the
6purpose of repairing or performing maintenance upon the
7consumer's personal property, on the condition that if, in the
8course of such a visit, the person sells the consumer the right
9to receive additional services or goods other than replacement
10parts necessarily used in performing the maintenance or in
11making the repairs, the sale of those additional goods or
12services does not fall within this exclusion;
13    (f) pertaining to the sale or rental of real property, to
14the sale of insurance or to the sale of securities or
15commodities by a broker-dealer registered with the Securities
16and Exchange Commission; or
17    (g) between a consumer and a loan broker licensed under the
18Residential Mortgage License Act of 1987 when (i) the
19transaction involves obtaining a mortgage loan on real estate
20and (ii) the first contact respecting the transaction is
21initiated by the consumer or by another person at the request
22of the consumer.
23(Source: P.A. 90-764, eff. 1-1-99.)
 
24    Section 99. Effective date. This Act takes effect January
251, 2016.".