Illinois General Assembly - Bill Status for HB4628
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 Bill Status of HB4628  96th General Assembly


Short Description:  MVFA-CONSOLIDATED DEALERSHIPS

House Sponsors
Rep. William B. Black - Jay C. Hoffman - John A. Fritchey - JoAnn D. Osmond - Dave Winters, Chapin Rose, Dan Reitz, Mike Bost, Roger L. Eddy and Patrick J. Verschoore

Senate Sponsors
(Sen. James F. Clayborne, Jr. - John J. Millner)

Last Action
DateChamber Action
  11/25/2009HousePublic Act . . . . . . . . . 96-0824

Statutes Amended In Order of Appearance
815 ILCS 710/4from Ch. 121 1/2, par. 754


Synopsis As Introduced
Amends the Motor Vehicle Franchise Act. Provides that for a period of 4 years from the date a motor vehicle manufacturer acquires, succeeds to, or assumes any part of the business of a bankrupted manufacturer it is unlawful for the succeeding manufacturer to enter into a same line make franchise with any person or to relocate any existing same line make franchise, for a line make of the bankrupted manufacturer that would be located or relocated within the relevant market area of a former franchisee without first offering the former franchisee the additional or relocated franchise, unless (i) as a result of a former franchisee's cancellation, termination, noncontinuance, or nonrenewal of the franchise, the bankrupted manufacturer had consolidated the line make with another of its line makes with a franchisee who operates a facility located within that relevant market area; (ii) the successor manufacturer paid the former franchisee the fair market value of the former franchisee's franchise; or (iii) the successor manufacturer proves that the former franchisee is unfit to own or manage the dealership. Prohibits a manufacturer, a distributor, a wholesaler, a distributor branch or division, a factory branch or division, or a wholesale branch or division, or officer, agent or other representative thereof from directly or indirectly conditioning the awarding of a franchise to a prospective new motor vehicle dealer, the addition of a line make or franchise to an existing dealer, the renewal of a franchise of an existing dealer, the approval of the relocation of an existing dealer's facility, or the approval of the sale or transfer of the ownership of a franchise on the willingness of a dealer, proposed new dealer, or owner of an interest in the dealership facility to enter into a site control agreement or exclusive use agreement. Defines terms. Effective immediately.

House Committee Amendment No. 1
Eliminates language defining the term "relevant market area" to mean an area within a 10 mile, 15 mile, or 20 mile radius around the site of the previous franchisee's dealership facility. Provides that the term "successor manufacturer" means any motor vehicle manufacturer that, on or after January 1, 2009, (rather than on or after the effective date of this amendatory Act of the 96th General Assembly) acquires, succeeds to, or assumes any part of the business of another manufacturer, referred to as the "predecessor manufacturer". Permits a successor manufacturer to enter into a same line make franchise with any person or to relocate any existing same line make franchise for a line make of the predecessor manufacturer without first offering the former franchisee the additional or relocated franchise if the successor manufacturer proves that it would have good cause to terminate the franchise agreement of the former franchisee (rather than if the successor manufacturer proves the former franchisee is unfit to own or manage a dealership).

Senate Committee Amendment No. 1
Makes changes to the definitions of "site control agreement" and "exclusive use agreement". Provides that if a manufacturer exercises any right of first refusal to purchase or lease or option to purchase or lease with regard to a transfer, sale, or lease of the dealership premises to a person who is not an immediate family member of the dealer, then specified conditions must be met. Makes changes in the circumstances under which it is unlawful for a successor manufacturer to enter into a same line make franchise with any person or to permit the relocation of any existing same line make franchise, for a line make of the predecessor manufacturer that would be located or relocated within the relevant market area of a former franchisee who owned or leased a dealership facility in that relevant market area without meeting specified requirements. Provides that if a successor manufacturer attempts to enter into a same line make franchise with any person or to permit the relocation of any existing line make franchise under specified provisions at a location that is within the relevant market area of 2 or more former franchisees, then the successor manufacturer may not offer it to any person other than one of those former franchisees unless the successor manufacturer can prove that one of certain exceptions applies to each of those former franchisees. Makes other changes.

Actions 
DateChamber Action
  9/29/2009HouseFiled with the Clerk by Rep. William B. Black
  9/30/2009HouseFirst Reading
  9/30/2009HouseReferred to Rules Committee
  10/8/2009HouseAssigned to Judiciary I - Civil Law Committee
  10/9/2009HouseAdded Chief Co-Sponsor Rep. Jay C. Hoffman
  10/9/2009HouseAdded Chief Co-Sponsor Rep. John A. Fritchey
  10/14/2009HouseFinal Action Deadline Extended-9(b) November 30, 2009
  10/14/2009HouseHouse Committee Amendment No. 1 Filed with Clerk by Judiciary I - Civil Law Committee
  10/14/2009HouseHouse Committee Amendment No. 1 Adopted in Judiciary I - Civil Law Committee; by Voice Vote
  10/14/2009HouseDo Pass as Amended / Short Debate Judiciary I - Civil Law Committee; 016-000-000
  10/14/2009HousePlaced on Calendar 2nd Reading - Short Debate
  10/14/2009HouseAdded Co-Sponsor Rep. Chapin Rose
  10/14/2009HouseAdded Chief Co-Sponsor Rep. JoAnn D. Osmond
  10/14/2009HouseAdded Chief Co-Sponsor Rep. Dave Winters
  10/14/2009HouseSecond Reading - Short Debate
  10/14/2009HouseHeld on Calendar Order of Second Reading - Short Debate
  10/15/2009HousePlaced on Calendar Order of 3rd Reading - Short Debate
  10/15/2009HouseThird Reading - Short Debate - Passed 115-000-000
  10/15/2009HouseAdded Co-Sponsor Rep. Dan Reitz
  10/15/2009HouseAdded Co-Sponsor Rep. Mike Bost
  10/15/2009HouseAdded Co-Sponsor Rep. Roger L. Eddy
  10/16/2009SenateArrive in Senate
  10/16/2009SenatePlaced on Calendar Order of First Reading
  10/16/2009SenateChief Senate Sponsor Sen. James F. Clayborne, Jr.
  10/16/2009SenateAdded as Alternate Chief Co-Sponsor Sen. John J. Millner
  10/16/2009SenateFirst Reading
  10/16/2009SenateReferred to Assignments
  10/22/2009SenateAssigned to Transportation
  10/27/2009SenateSenate Committee Amendment No. 1 Filed with Secretary by Sen. James F. Clayborne, Jr.
  10/27/2009SenateSenate Committee Amendment No. 1 Referred to Assignments
  10/28/2009SenateSenate Committee Amendment No. 1 Assignments Refers to Transportation
  10/28/2009SenateSenate Committee Amendment No. 1 Adopted
  10/28/2009SenateDo Pass as Amended Transportation; 009-000-000
  10/28/2009SenatePlaced on Calendar Order of 2nd Reading October 28, 2009
  10/28/2009SenateSecond Reading
  10/28/2009SenatePlaced on Calendar Order of 3rd Reading October 29, 2009
  10/29/2009SenateRule 2-10 Third Reading Deadline Established As December 31, 2009
  10/29/2009SenateThird Reading - Passed; 056-001-001
  10/29/2009HouseArrived in House
  10/29/2009HousePlaced on Calendar Order of Concurrence Senate Amendment(s) 1
  10/29/2009HouseSenate Committee Amendment No. 1 Motion Filed Concur Rep. William B. Black
  10/29/2009HouseSenate Committee Amendment No. 1 Motion to Concur Referred to Rules Committee
  10/30/2009HouseSenate Committee Amendment No. 1 Motion to Concur Rules Referred to Judiciary I - Civil Law Committee
  10/30/2009HouseSenate Committee Amendment No. 1 Motion to Concur Recommends Be Adopted Judiciary I - Civil Law Committee; 016-000-000
  10/30/2009HouseAdded Co-Sponsor Rep. Patrick J. Verschoore
  10/30/2009HouseSenate Committee Amendment No. 1 House Concurs 113-000-000
  10/30/2009HousePassed Both Houses
  11/4/2009HouseSent to the Governor
  11/25/2009HouseGovernor Approved
  11/25/2009HouseEffective Date November 25, 2009
  11/25/2009HousePublic Act . . . . . . . . . 96-0824

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