Section 1070.10  Forms of Security

 

a)         For purposes of this Section, the following definitions shall apply:

 

"Bank Draft" − a negotiable instrument that contains an unconditional promise to pay a certain sum of money that is payable on demand or at a definite time to the bearer or to order as provided in Section 3-104 of the Uniform Commercial Code [810 ILCS 5/3-104].

 

"Cashier Check" − a check that is the primary obligation of the issuing bank as indicated in Section 4-211 of the Uniform Commercial Code [810 ILCS 5/4-211].  It is drawn by the bank itself and issued by an authorized officer of the bank.

 

"Certified Check" − a check of a depositor drawn on a bank of which the holder of the check procures certification and the drawer and all prior endorsers are discharged as provided in Section 3-411 of the Uniform Commercial Code [810 ILCS 5/3-411].  The words "accepted or certified" are on the check along with the date and the signature of a bank official.

 

"Department" − Department of Driver Services of the Office of the Secretary of State.

 

b)         The Department shall accept as security to establish proof of financial responsibility following an accident for purposes of the Illinois Safety and Family Financial Responsibility Law [625 ILCS 5/Ch. 7] the following:  certified checks, money orders, bank drafts, cashier checks, surety bonds, and cash.  The amount of security required is determined by the Illinois Department of Transportation.  The person depositing security shall stipulate on a designated form supplied by the Secretary of State on whose behalf the deposit is made.

 

c)         A surety bond shall not be accepted by the Department as a deposit of security as required by Section 7-201 of the Illinois Safety and Family Financial Responsibility Law [625 ILCS 5] unless the following conditions are met:

 

1)         The form is completed.

 

2)         The surety company is authorized to do business in Illinois or a power of attorney is executed in accordance with Section 7-203 of the Illinois Safety and Family Financial Responsibility Law [625 ILCS 5].

 

3)         The bond specifies whom it is to cover.

 

4)         The signatures are notarized.

 

5)         The bond is accompanied by a power of attorney.

 

d)         If a surety bond is accepted by the Department and the surety company later does not pay a judgment upon demand of the Department, the Department shall not accept any further bonds from the surety company until payment is made.

 

e)         If a surety company has failed and ceased operations by order of a court, the Department shall notify the interested party that the party's driver's license and/or registration shall be suspended in 30 days if the party does not deposit the security required by Section 7-201 of the Illinois Safety Responsibility Law.

 

f)         If a person's security requirement has not been terminated pursuant to Section 7-210 of the Illinois Safety and Family Financial Responsibility Law [625 ILCS 5], that person shall be eligible to file an affidavit for termination of surety bond attesting:  

 

1)         that 2 years have elapsed since the suspension occurred; or

 

2)         that the applicable statute of limitations has expired, regardless of the length of time the suspension has been in effect, that no suit or claim for damages and/or personal injuries is filed and pending, and no judgment rendered remains unpaid.

 

g)         All security deposits shall be deposited at the following address: Department of Driver Services, Safety and Financial Responsibility Section, 2701 South Dirksen Parkway, Springfield, IL  62723.  No security shall be considered deposited until it is received by the Department at the above mentioned address in one of the above mentioned forms of security specified in subsection (b) of this Section hereof.

 

(Source:  Amended at 46 Ill. Reg. 4091, effective February 25, 2022)

 

Section 1070.20  Future Proof

 

a)                  For purposes of this Section, the following definitions shall apply:

 

"Certificate of Insurance" − certificate filed with the Secretary of State's Office as proof that the person has purchased financial responsibility insurance as outlined in IVC Section 7-315.

 

"Department" − Department of Driver Services of the Office of the Secretary of State.

 

"Financial Responsibility Insurance" − insurance used to establish proof of financial responsibility as established in IVC Sections 7-315 and 7-316.

 

"Illinois Insurance Guarantee Fund" − section of the Illinois Department of Insurance which deals with disposition of assets following bankruptcy.

 

"Illinois Vehicle Code" or "Vehicle Code" or "IVC" − 625 ILCS 5.

 

"Law" – the Illinois Safety and Family Financial Responsibility Law of the Illinois Vehicle Code [625 ILCS 5/Ch. 7].

 

"Lien" − claim on property of another as security for payment of a just debt.

 

"Motor Vehicle Liability Policy" − "owner's policy" or an "operator's policy" of liability insurance that is certified pursuant to IVC Section 7-315 or 7-316, comports with IVC Section 1-164.5 and  complies with the requirements of IVC Section 7-317(b), (c), (d) and (f).

 

"Proof of Financial Responsibility for the Future" − ability to respond in damages for any liability resulting from the ownership, maintenance, use or operation of a motor vehicle as provided in IVC Section 1-164.5.

 

"Real Estate Bond" − proof filed pursuant to IVC Section 7-320.

 

"Secretary of State" − Secretary of State of Illinois.

 

"Stock" − proportionate share in ownership of corporation held by individual and that is usually represented by a stock certificate.

 

"Surety" − a person who makes himself/herself liable for another's debts or defaults of obligations.

 

b)         When a person purchases insurance to file proof of financial responsibility for the future, the insurance company will file a certificate of insurance with the Department. The certificate filed shall be either the AAMVA (American Association of Motor Vehicle Administrators) Uniform Financial Responsibility form, containing  the insured's name and address, license number, and birthdate; current policy number and effective date of the insurance policy and the name of the insurance company with the signature of its authorized representative, or other certificate of insurance proof conforming to the requirements of IVC Section 7-315 or 7-316, which is endorsed and certifies policy limits as specified in IVC Section 1-164.5.  If an owner's rather than operator's policy, it must include the model year, trade name and identification number of the vehicle.  The owner's policy must also conform with the amounts specified in IVC Section 1-164.5.

 

c)         If a person purchases a certificate of insurance to satisfy his/her requirement to file future proof of financial responsibility and the insurance company fails and is no longer in business, and ceases operations by order of a court, and the Department is notified by the Illinois Insurance Guarantee Fund of the non-operation of the insurance company, the person shall have 30 days after notification by the Department to file a new certificate of insurance or satisfy his/her future proof requirement by cash or one of the other alternate methods provided in IVC Section 7-314.  If a suspension has been entered even though the person has filed future proof of financial responsibility within the 30 day time period, the suspension shall be removed.

 

d)         If a person required to furnish proof of financial responsibility for the future chooses to file a bond pursuant to IVC Section 7-320, and the bond is executed by the person giving the proof and two individual sureties, the following conditions must be met:

 

1)         Each surety must own real estate within the State of Illinois;

 

2)         Each surety must have equity in that real estate in the amount of the bond;

 

3)         The bond must be endorsed by the clerk of the court and approved by a judge as provided in IVC Section 7-320.

 

e)         If any evidence of proof of financial responsibility for the future filed under the Law falls below the amount required as provided in IVC Section 1-164.5, additional evidence shall be required.  Cash and securities are deposited with the Illinois State Treasurer and the Treasurer monitors the securities and informs the Department if its value falls below the amount required.  A certificate of insurance or bonds, real estate bonds that are without liens, stocks and cash shall be accepted as evidence to establish the additional required proof of financial responsibility for the future.  The additional security shall be sent to the Safety and Financial Responsibility Section, Department of Driver Services, 2701 South Dirksen Parkway, Springfield, Illinois  62723.

 

f)         Whenever any evidence of proof of ability to respond in damages required to be filed pursuant to the provisions of IVC Section 7-301 no longer fulfills the purpose for which required, the Department shall require other evidence of ability to respond in damages, including but not limited to an endorsed certificate of insurance meeting the requirements of IVC Section 1-164.5, bonds, unencumbered real estate bonds, stocks or cash.  The person required to post proof shall have 30 days after notification by the Department to post or file additional proof.  If the person fails to post proof within 30 days, the Secretary of State shall suspend the driver's license, registration certificate, license plates and registration sticker pending receipt of such proof.

 

g)         Proof of Financial Responsibility as required in the Law shall be made by filing with the Secretary of State a written or electronic certificate of insurance.  Notices of cancellation or termination of the certified policy of insurance proof as required in IVC Sections 7-315 and 7-318 must be submitted in writing or electronically.  All written or electronic certificates of insurance proof and cancellation or termination as required in the Law must be submitted in a manner satisfactory to the Secretary of State.

 

h)         A notice of cancellation or termination of the certified policy of insurance for nonpayment of premiums shall only be sent to the Secretary of State after the insured has failed to discharge, on or after the due date, any of his or her obligations in connection with the payment of premiums, or installments that are payable directly to the insurer, its agent or a party that has financed the premium. In the event an insurance company violates the provisions of this subsection, that violation shall be reported to the Illinois Department of Financial and Professional Regulation-Division of Insurance.

 

i)          Proof of Financial Responsibility as required in IVC Section 7-315, and notices of cancellation or termination of the certified policy of insurance, as required in IVC Section 7-318, when submitted by paper shall be 8½" X 11" in size.  The Department shall return certificates submitted incorrectly to the insurance company.  Certificates will not be processed until submitted on the correct size of paper.

 

(Source:  Amended at 42 Ill. Reg. 16552, effective August 23, 2018)

 

Section 1070.30  Installment Agreements

 

a)         An installment agreement shall not be accepted by the Department for purposes of IVC Section 7-208(b) unless the following conditions are met:

 

1)         The installment agreement includes the identity of the parties, date of the accident, location of the accident, how often the payments will be made, the total amount of payments, and to whom the payment will be made.

 

2)         The installment agreement is notarized or witnessed by one person.

 

3)         The acceptance portion of the installment agreement is signed by the interested party or his/her authorized representative.

 

b)         A notice of default on an installment agreement shall not be accepted by the Department for purposes of IVC Section 7-208(c) unless the following conditions are met:

 

1)         The installment agreement is on file with the Department.

 

2)         The notice of default is signed by the person who signed the acceptance portion of the installment agreement.

 

c)         A person who defaults on an installment agreement shall have his/her driver's license and registration or non-residents operating privileges suspended until the conditions in IVC Section 7-208 have been met.

 

d)         If a person's security requirement has not been terminated pursuant to IVC Section 7-210, he/she shall be eligible to file an affidavit for termination of suspension 2 years from the date of the original suspension or 2 years from the date of the default, whichever is later.  The affidavit for termination of suspension shall be a notarized affidavit from the suspended person stating to the best of his/her knowledge, he/she has not been or is not being sued.

 

e)         A file on an installment agreement following an accident shall be closed by the Department, if the following conditions are met:

 

1)         The agreed time and payment schedule have elapsed.

 

2)         The Department has not been notified of a default.

 

3)         The Department has sent a letter to all interested parties inquiring about the disposition of the agreement allowing the interested parties 2 weeks to reply.

 

4)         The installment agreement was accepted by the Department at least 4 years ago.

 

(Source:  Amended at 42 Ill. Reg. 16552, effective August 23, 2018)

 

Section 1070.40  Disposition of Security

 

a)         For purposes of this Section, the following definitions shall apply:

 

"Claim" − a demand for something rightfully or allegedly due.

 

"Claimant" − person or persons making claim.

 

"Default" − failure to make a payment when due.

 

"Department" − Department of Driver Services within the Office of the Secretary of State.

 

"Discharged in Bankruptcy" − a legal order for release from a debt or debts.

 

"Installment Agreement" − agreement to pay debt in payments pursuant to Section 7-208 of the Illinois Safety and Family Financial Responsibility Law.

 

"Judgment Creditor" − person who is owed money due to a court judgment in the person's favor.

 

"Proper Notice" − notice provided by, but not limited to any of the following:   Petition in Bankruptcy; Notice of Meeting of Creditors; Schedule A-3 of Schedule of Creditors; Trustee Report of No Assets; Discharge of Bankruptcy; Notice of Automatic Stay; Chapter 13 Wage Earner Plan.

 

"Release" − to give up or surrender a claim.

 

"Security" − deposit made to satisfy any potential judgment or judgments for money damages following an accident as provided in Section 7-201 of the Illinois Safety and Family Financial Responsibility Law.

 

b)         If a person has security deposited with the Department and the Department subsequently receives proper notice that the person has filed a petition for bankruptcy, then the Department shall forward the posted security directly to the bankruptcy court for disbursement during the normal course of the bankruptcy proceedings, and so provide notification to the debtor.

 

c)         If a person has security deposited with the Department and the claim for which the security was deposited has been discharged in bankruptcy without proper notice having been provided the Department, then upon application by the depositor, the security shall be refunded to the depositor if the Department receives documentation representing that the claim for which the security was deposited has been discharged, or the bankruptcy court's order of discharge listing the discharged parties and claim.

 

d)         A person posting a security who wishes to have the security released to a party or parties other than himself/herself shall provide to the Department a notarized letter directing payment to the claimants.  The person who is to receive the deposit shall send to the Department a notarized release for the amount of the deposit before payment will be made.

 

e)         A security deposit shall be released by the Department after the Department receives a court order directing payment as provided in Section 7-214 of the Illinois Safety and Family Financial Responsibility Law [625 ILCS 5/7-214].

 

f)         If a security deposit is refunded because a person enters into an installment agreement and that person later defaults, the Department shall suspend that person's driving privileges and/or registration until the original amount of security is redeposited or the other requirements set forth in Section 7-208(c) of the Illinois Safety and Family Financial Responsibility Law are met.

 

g)         A security deposit shall be refunded if the Department receives a notice of rescind of certification from the Illinois Department of Transportation, or an order of exoneration from the Secretary of State's Department of Administrative Hearings.

 

h)         A security deposit shall also be refunded if the Department receives a certified court order indicating the security deposit should be refunded because the judgment has been satisfied, the case has been dismissed, or the party posting the security is not liable.

 

i)          A security deposit shall be refunded if no legal action has been taken within 2 years after the date of the suspension or upon the expiration of the applicable statute of limitations, whichever occurs first, and the Department receives a notarized affidavit from the person depositing the security stating that to the best of the person's knowledge, the person has not been or is not being sued.  To verify this, the Department shall send the claimant a letter and give the claimant 2 weeks to respond.  If the claimant responds that a lawsuit has not been filed or does not respond, the Department shall close the case and refund the security deposit.  If the interested party responds with a copy of the summons and complaint indicating court action has been initiated within 2 years from the date of the suspension, the security shall not be refunded to the depositor.

 

j)          Upon application by a judgment creditor seeking to obtain a security deposit, the Department shall notify the party who deposited the security or that party's authorized representative of the receipt of the unsatisfied judgment and that the security deposited shall be used toward satisfying the judgment, unless thence notified within 14 days by the party who deposited the security that the judgment has otherwise been satisfied. If no adequate response is obtained from the person who has deposited security, then the Department shall release the deposit to the judgment creditor or the judgment creditor's authorized representative upon receipt of a certified full or partial satisfaction of judgment.

 

k)         If the security deposit so released pursuant to an unsatisfied judgment received by the Department only comprises a partial satisfaction of judgment, the remainder shall be paid by the driver or party posting the deposit or the driver shall be suspended.  The driver's driving privileges and vehicle registration shall not be restored until proof of satisfaction of judgment is submitted to the Department and future proof of financial responsibility is filed for judgments in the amount of $500 or more.

 

l)          A surety bond shall be terminated if no legal action has been taken within 2 years after the date of a suspension, or upon the expiration of the applicable statute of limitations, if the Department receives from a person a letter for termination of a surety bond stating that to the best of that person's knowledge the person has not been or is not being sued.  To verify this the Department shall send the claimant a letter and give the claimant 2 weeks to respond.  If the claimant responds that a lawsuit has not been filed or does not respond, the Department shall terminate the surety bond.  If the interested party responds with a copy of the summons and complaint indicating court action has been initiated within 2 years from the date of the suspension, the surety bond shall not be terminated.

 

m)        If a judgment creditor wishes to obtain a payment from a surety bond to satisfy a judgment, the judgment creditor shall notify the Safety and Financial Responsibility Section of the Department.  The Department shall send a letter to the party who purchased the surety bond and the party's authorized representative informing the party that the surety bond shall be used toward satisfying the judgment if the party does not otherwise satisfy the judgment and notify the Department within 14 days after the procedure used to satisfy the judgment.  A copy of the letter shall also be sent to the judgment creditor, the judgment creditor's authorized representative, and the surety company. The Department shall thereafter make a demand on the surety company for the bond and send a copy of the letter to the judgment creditor and the judgment creditor's authorized representative.  If the surety bond only comprises partial satisfaction of judgment, the remainder shall be paid by the driver or the person who posted the surety bond or the driver's license and/or registration shall be suspended.  The driver's driving privileges and/or vehicle registration shall not be restored until proof of satisfaction of judgment is submitted to the Department and future proof of financial responsibility is filed for judgments in the amount of $500 or more.

 

n)         If, after releasing security to a judgment debtor or claimant, the balance of the security posted with the Secretary is $5 or less, the balance shall be transferred to the General Revenue Fund. The Secretary will compile a list of all security amounts of $5 or less annually in July and will certify that amount to the State Comptroller. As soon as possible after receiving the certification, the State Comptroller shall order transferred, and the State Treasurer shall transfer, the amount certified to the General Revenue Fund. [625 ILCS 5/7-214]

 

(Source:  Amended at 46 Ill. Reg. 4091, effective February 25, 2022)

 

Section 1070.50  Failure to Satisfy Judgment

 

a)                  For purposes of this Section, the following definitions shall apply:

 

            "Department" − Department of Driver Services within the Office of the Secretary of State.

 

            "Foreign Judgment" − means any judgment, decree or order of the court of the United States or of any State or Territory which is entitled to full faith and credit in this state as provided in Section 12-601(a) of the Uniform Enforcement of Foreign Judgments Act.  (Ill. Rev. Stat. 1987, ch. 110, par. 12-601(a).)

 

            "Illinois Insurance Guarantee Fund" − section of the Illinois Department of Insurance which deals with disposition of assets following bankruptcy.

 

            "Judgment Debtor" − person who owes money to someone due to court judgment against him/her.

 

            "Secretary of State" − Secretary of State of Illinois.

 

b)         The Secretary of State shall not suspend the driver's license, registration certificates, registration stickers or license plates of a judgment debtor if the conditions set forth in Section 7-303(d) of the Illinois Safety Responsibility Law of the Illinois Vehicle Code and subsections (c) and (d) of this Section have been met.

 

c)         The Department shall accept notification from the Illinois Insurance Guarantee Fund as proof that the judgment debtor was insured by the defunct insurance company at the time of the accident.

 

d)         The Department shall accept a copy of the new policy or letter from the home office of the judgment debtor's new insurance company as proof to establish that in fact the judgment debtor has secured a new liability policy or bond.

 

e)         The Secretary through the Department shall suspend the driving privileges and any vehicle registration of all drivers who have not satisfied a judgment rendered against them as provided in Sections 7-303 and 7-313 of the Illinois Safety Responsibility Law of the Illinois Vehicle Code.

 

f)         The Secretary of State shall suspend a person's driving privileges for failure to satisfy a foreign judgment as provided in Section 7-303 of the Illinois Safety Responsibility Law of the Illinois Vehicle Code. The state in which the foreign judgment was entered shall forward the following information to the Secretary before a suspension will be entered on a person's driving record:

 

1)         a transcript of the proceeding or an unsatisfied judgment form certified by the court entering the judgment, and

 

2)         a suspension notice showing the person is suspended in the order state, and

 

3)         name, address, and date of birth of defendant.

 

(Source:  Amended at 14 Ill. Reg. 10107, effective June 12, 1990)

 

Section 1070.60  Release from Liability

 

a)                  For purposes of this Section, the following definitions shall apply:

 

            "Covenant Not to Sue" − a common law action by one who had a right of action against another person whereby he/she agrees not to enforce the right of action.

 

            "Department" − Department of Driver Services within the Office of the Secretary of State.

 

            "Release" − legal document which represents the relinquishment or the giving up of a right or claim by a person to the person against whom it might have been demanded or enforced.

 

b)         A person shall be released from the requirement for the deposit of security required by Section 7-201 of the Illinois Safety Responsibility Law [625 ILCS 5/7-201] if there is satisfactory evidence filed with the Department that the person has been released from liability.  Satisfactory evidence shall include the following:

 

1)         A notarized release signed by the interested party or authorized representative.

 

2)         A notarized release signed by the interested party's parent or legal guardian if the interested party is a minor.

 

3)         A notarized release signed by the administrator or executor of the interested party's estate if the interested party is deceased and a certified court order naming the person as administrator or executor of the estate or a notarized affidavit or heirship.

 

4)         A notarized covenant not to sue signed by the interested party or his/her authorized representative.

 

c)         A person shall also be released from the requirements for the deposit of security required by Section 7-201 of the Illinois Safety Responsibility Law if there is satisfactory evidence filed with the Department that there has been a final adjudication of non-liability.  Satisfactory evidence shall include a certified court order stipulating that the person otherwise required to deposit security is not liable as a result of the accident.

 

d)         The Department shall also accept a certified copy of a satisfaction of judgment, a judgment note, or a court order dismissing the case because all matters have been settled to release a person of the requirement for the deposit of security required by Section 7-201 of the Illinois Safety Responsibility Law.  Evidence of settlement shall also be accepted by the Department in the form of a bill for repair marked paid or a cancelled check(s) indicating full payment.

 

(Source:  Amended at 18 Ill. Reg. 10909, effective June 28, 1994)

 

Section 1070.70  Incomplete Unsatisfied Judgment

 

a)                  For purposes of this Section, the following definitions shall apply:

 

            "Department" − Department of Driver Services within the Office of the Secretary of State.

 

            "Judgment Creditor" − person who is owed money due to a court judgment in his/her favor.

 

            "Unsatisfied Judgment" − a court ordered financial obligation to another party which has not been fulfilled.

 

b)         The Department shall not take suspension action on an unsatisfied judgment as requested by the judgment creditor unless the following conditions are met:

 

1)         A form approved by the Department has been completed and submitted to the Department.

 

2)         The form shall be certified by a court of competent jurisdiction.

 

c)         In order to be accepted by the Department and the judgment debtor's driving privileges suspended, the form must contain the case number and the judgment debtor's driver's license number, and/or the judgment debtor's complete name, sex and date of birth.  The form must be dated and signed by the court clerk.  The attorney for the plaintiff must be identified as well as the court including the address of the court and the attorney.  The form must also specify the amount of the judgment, the date the judgment was entered and the date of the accident which resulted in the judgment.

 

d)         If an unsatisfied judgment is not accepted by the Department it shall be sent back to the person/court who forwarded it to the Department.

 

Section 1070.75   Post-Unsatisfied Judgment Action

 

a)         A Post-Unsatisfied Judgment Action form shall be used to notify the Department

of any of the following actions:

 

1)         Entry of a court order authorizing a defendant to pay an unsatisfied judgment in installment payments pursuant to IVC Section 7-312;

 

2)         Entry of a court order finding the defendant in default of a previously ordered installment agreement entered pursuant to IVC Section 7-312;

 

3)         Entry of a court order vacating an unsatisfied judgment;

 

4)         Filing with the court a satisfaction and release of an unsatisfied judgment.

 

b)         Any Post-Unsatisfied Judgment Action form must be completed in its entirety. Incomplete forms will be returned by the Department to the submitter. A copy of the form may be found in Appendix A.

 

c)         Documentation other than a Post-Unsatisfied Judgment Action form will not be accepted to terminate or impose a driver's license suspension for any of the reasons set forth in subsections (a)(1) through (4).

 

(Source:  Added at 42 Ill. Reg. 16552, effective August 23, 2018)

 

Section 1070.80  Driver's License Restriction for Exclusive Operation of Commercial Vehicles

 

a)                  For purposes of this Section, the following definitions shall apply:

 

            "Department" − Department of Driver Services within the Secretary of State's Office.

 

            "Driver Service's Facility Representative" − employees of the Secretary of State.

 

            "Financial Responsibility Filing" − filing with the Secretary of State in accordance with Chapter 7 of the Illinois Safety Responsibility Law of one of the following acceptable forms of security:  a certified policy of insurance, cash/securities deposit, and/or a surety bond/real estate bond.

 

b)         If a person is involved in an accident while operating a commercial vehicle in the course of his/her employment and the employer files bankruptcy after a judgment is rendered against both the person and the employer, the person is relieved from the requirements of Chapter 7 of the Illinois Vehicle Code upon acceptable proof the person was operating such commercial vehicle in connection with his/her regular employment or occupation at the time of the accident (P.A 86-549, Section 1, effective January 1, 1990).

 

(Source:  Amended at 18 Ill. Reg. 10909, effective June 28, 1994)

 

Section 1070.90  Dormant and Dead Judgments

 

a)                  For purposes of this Section, the following definitions shall apply:

 

            "Dead Judgment" − an unpaid judgment which is twenty (20) years old or more [735 ILCS 5/13-218].

 

            "Debtor" − one who owes a debt.

 

            "Department" − Department of Driver Services within the Office of the Secretary of State.

 

            "Dormant Judgment" − an unpaid judgment which is seven (7) years old or more and has not been revived by petition.  [735 ILCS 5/12-108].

 

            "Judgment Creditor" − one who is owed money due to a court judgment in his/her favor and against the debtor.

 

"Revival of Judgment" − to render enforceable an unpaid dormant judgment by filing a petition for revival.

 

b)         A debtor may request that a suspension on his/her driving record be cleared because the judgment forming the basis for the suspension is dormant.  The following documentation shall serve as proof of dormancy:

 

1)         A certified or file stamped copy of a half or docket sheet maintained by the clerk of the court evidencing the fact that seven (7) years have expired from the time the original judgment was rendered and that the judgment has not been revived by petition; or

 

2)         A court order or written verification on official letterhead, by a judge or clerk of the court, that seven (7) years have expired from the time the original judgment was rendered and that the judgment has not been revived by petition; or

 

3)         Written verification on official letterhead, by a judge or clerk of the court, that the required documentation has been destroyed or is not otherwise available and that no records of court show that the judgment has been revived by petition or is in effect.

 

c)         Upon receipt of the required documentation from the debtor, the Safety and Financial Responsibility Section of the Department shall determine if the debtor has filed proof of financial responsibility insurance for three (3) accumulated years in accordance with the Illinois Safety Responsibility Law of the Illinois Vehicle Code [625 ILCS 5/Ch. 7]. If the judgment is under $500.00, proof of financial responsibility insurance is not required.

 

1)         If proof of financial responsibility insurance has been given, the Safety and Financial Responsibility Section shall notify the debtor via letter of the following:

 

A)        Necessary documentation has been received and accepted evidencing the fact that the judgment is dormant and has not been revived by petition;

 

B)        Proof of financial responsibility insurance has been given for three (3) accumulated years; and

 

C)        The suspension will be cleared and made effective a date certain.

 

2)         Carbon copies of the correspondence will be sent to the debtor's attorney.

 

3)         If proof of financial responsibility insurance has not been given and is required (judgment over $500.00), the Safety and Financial Responsibility Section shall notify the debtor via letter of the following:

 

A)        Necessary documentation has been received and accepted evidencing the fact that the judgment is dormant and has not been revived by petition; and

 

B)        Proof of financial responsibility insurance must be given and maintained for three (3) accumulated years. The suspension shall be cleared upon accepting proof of financial responsibility insurance.  The suspension shall be closed when three (3) years of financial responsibility insurance have been accumulated.

 

4)         Carbon copies of the correspondence will be sent to the debtor's attorney and the judgment creditor and his/her attorney, if their addresses are on file.

 

d)         A dormant judgment may be revived by petition anytime prior to the expiration of the twenty (20) year limitation period. The following documents shall be considered adequate proof of revival by the judgment creditor:

 

1)         A certified or file stamped order from the court granting the petition for revival; or

 

2)         A certified or file stamped copy of a half or docket sheet maintained by the clerk of the court evidencing the fact the original judgment has been revived by petition; or

 

3)         Written verification on official letterhead by a judge or clerk of the court, that the original judgment has been revived by petition.

 

e)         Upon receipt of the required documentation of the judgment's revival from the judgment creditor, the Safety and Financial Responsibility Section shall notify the judgment creditor and his/her attorney and the debtor and his/her attorney that:

 

1)         Proof of revival has been received and accepted in accordance with subsection (b) above by the Department; and

 

2)         If the original suspension has already been cleared, a new suspension will be entered and made effective a date certain; or

 

3)         If the original suspension has not been cleared, it will remain in effect.

 

f)         All suspensions entered because of unpaid judgments now dead will be removed and terminated from the driver's license file and the files of the Safety and Financial Responsibility Section.

 

(Source:  Amended at 18 Ill. Reg. 10909, effective June 28, 1994)

 

Section 1070.100  Bankruptcy

 

a)                  For purposes of this Section, the following definitions shall apply:

 

            "Bankruptcy Debtor" − a debtor under any chapter of the federal Bankruptcy Code.

 

            "Chapter 13 Plan" − an order by a United States Bankruptcy Court requiring a monthly payment from the wages of a debtor.

 

            "Creditor" − a person to whom a debt is owed by another.

 

            "Debtor" − one who owes a debt.

 

            "Deletion of Suspension" − the permanent removal of the suspension from the driving record.

 

            "Department" − Department of Driver Services of the Office of the Secretary of State.

 

            "Discharge in Bankruptcy" − an order by a United States Bankruptcy Court relieving an individual from all of his/her debts which are provable in bankruptcy, except those excluded by the Bankruptcy Code.

 

            "Notice of Automatic Stay" − any notice received by the Department that indicates a debtor has filed a Petition in Bankruptcy, which automatically stays any proceedings against him pursuant to Section 362 of the Bankruptcy Reform Act of 1978 (11 U.S.C. Section 362).

 

            "Notice of Meeting of Creditors" − a notice from the United States Bankruptcy Court informing the entities which have a claim against the debtor that the debtor has filed bankruptcy.

 

            "Petition in Bankruptcy" − a petition filed in Bankruptcy Court, or with the Clerk, by a debtor seeking the protection of the Bankruptcy Code.

 

            "Schedule A-3" − Schedule of Liabilities.

 

            "Termination of Suspension" − a suspension which has ended.

 

            "Trustee Report of No Assets" − a report from the trustee of the United States Bankruptcy Court indicating the debtor has no assets.

 

b)         If a debtor's driving privileges have been or will be suspended because of an unsatisfied judgment or accident pursuant to Section 7-201 of the Illinois Safety Responsibility Law of the Illinois Vehicle Code [625 ILCS 5/ Ch. 7, Art. 2], proper notice to the Department shall result in termination or deletion of the suspension from the driving record. Proper notice shall consist of, but not be limited to, one of the following:

 

1)         Petition in Bankruptcy

 

2)         Notice of Meeting of Creditors

 

3)         Schedule A-3 or Schedule of Creditors

 

4)         Trustee Report of No Assets

 

5)         Discharge in Bankruptcy

 

6)         Notice of Automatic Stay

 

7)         Chapter 13 Wage Earner Plan

 

c)         Any evidence documenting an event prior in time to actual discharge shall be used by the Department to confirm a discharge in bankruptcy has occurred.

 

d)         The suspension shall be terminated and the file closed as of the date the Department receives proper notice. If proper notice is received prior to the suspension date, the pending suspension will be deleted from the driving record.

 

e)         The debtor shall notify the Department if the Petition in Bankruptcy has been dismissed or the debt has been discharged in bankruptcy.

 

f)         A suspension because of an unsatisfied judgment or accident pursuant to Section 7-201 et seq. of the Illinois Safety Responsibility Law of the Illinois Vehicle Code which has been rescinded pursuant to this Section shall be reinstated when:

 

1)         the Petition in Bankruptcy has been dismissed; or

 

2)         the United States Bankruptcy Court orders the debt nondischargeable; or

 

3)         a court of competent jurisdiction enters an order finding the debt upon which the action is based nondischargeable pursuant to applicable sections of 11 U.S.C. Section 523(a) and Bankruptcy Rule 4007 as now or hereafter amended (11 U.S.C. Section 523(a) and Bankruptcy Rule 4007).

 

(Source:  Amended at 18 Ill. Reg. 10909, effective June 28, 1994)

 

Section 1070.110  Illinois Safety and Family Financial Responsibility Law

 

a)         For purposes of this Section, the following definitions shall apply:

 

"Administrative Order of Support" − an order for the support of dependent children issued by an administrative body of this or any other state.

 

"Cancellation" − the annulment or termination by formal action of the Secretary of State of a person's Family Financial Responsibility Driving Permit (FFRP) because of some error or defect in the FFRP or because the permittee is in some form of violation of any of the requirements contained in the Illinois Vehicle Code or Illinois Administrative Code.

 

"Certification" − the electronic transmission to the Department from the Illinois Department of Healthcare and Family Services when a person is 90 days or more delinquent in payment of support under an order of support entered by a court or an administrative body of this or any other state.

 

"Department" − the Department of Driver Services within the Office of the Secretary of State.

 

"Department of Healthcare and Family Services" or "HFS" − the Illinois Department of Healthcare and Family Services.

 

"Family Financial Responsibility Driving Permit" or "FFRP" − a document issued to persons who have had their full driving privileges suspended that grants and specifies limited driving privileges as specified in IVC Section 7-702.1.

 

"Illinois Vehicle Code", "Vehicle Code" or "IVC" − 625 ILCS 5.

 

"Invalidation" − to render a license or permit no longer valid for the purpose it was issued, as specified in IVC Section 6-301.3.

 

"Law Enforcement" − a police officer, sheriff, coroner, municipal prosecutor, or state's attorney.

 

"Law Enforcement Sworn Report" − a confirmation of correctness and truth by an affidavit, oath or deposition, or a verification by certification, executed by a law enforcement officer, as specified in IVC Section 11-501.1(d) and Section 1-109 of the Code of Civil Procedure [735 ILCS 5/1-109].

 

"Received by the Department of Administrative Hearings" − a written request for an administrative hearing that is received and date-file stamped at the Department of Administrative Hearings or any formal hearing location .

 

"Recipient Identification Number" or "RIN" – the file number used by the Department of Healthcare and Family Services to identify child support cases.

 

"Stay Order" − the temporary suspension of the regular order of proceeding in a cause, by direction or order of the court.

 

"Visitation Order" – the order of the court involving visitation rights for family members of minor children.

 

b)         Suspension of Driving Privileges

 

1)         The Department shall suspend the driver's license of an obligor, pursuant to IVC Section 7-702(a) or (b), upon receipt of an authenticated report as set forth in IVC Section 7-703.  The authenticated report must be on a form prescribed by the Secretary of State and include the obligor's name, address, driver's license number, date of birth and gender, the date and county in which the order was entered, case number, judge's signature, court seal or file stamp, and date certified.

 

2)         The Department shall enter an order of suspension pursuant to IVC Section 7-702(c) upon receipt of certification by HFS that the obligor is 90 days or more delinquent in payment of support under an order of support issued by a court or an administrative body of this or any other state.  The certification shall include the obligor's name, address, driver's license number and/or social security number and case number. If the certification does not contain the driver's license number or social security number of the obligor, the certification shall include the obligor's name, date of birth, gender and case number.

 

3)         Any submitted authenticated report or Record of Nonpayment of Court-Ordered Child Support that is defective by not containing sufficient information or that has been completed in error shall not be entered onto the obligor's driving record, but shall be returned to the court of jurisdiction and shall indicate why the order of suspension cannot be entered.

 

4)         Any certification from HFS that contains insufficient data or has been completed in error shall not be entered onto the obligor's driving record, but shall be electronically returned to HFS with an indication as to why the order of suspension cannot be entered.

 

5)         The Department shall suspend the driver's license of an individual, pursuant to IVC Section 7-702(d), upon receipt of an authenticated report as set forth in IVC Section 7-703 that indicates the court has adjudicated the individual as engaging in visitation abuse. The authenticated report must be on a form prescribed by the Secretary of State and include the name, address, driver's license number, date of birth and gender, the date and county in which the order was entered, case number, name of the judge entering the order, court seal or file stamp, and date certified.

 

c)         Termination of Suspension

 

1)         Upon receipt of an authenticated document, in a form approved by the Department, that the obligor is in compliance with a court order of support or that the order has been stayed by subsequent order of the court, the Department shall terminate the suspension.  The authenticated document must include the obligor's name, address, driver's license number, date of birth and gender, the date and county in which the order was entered, case number, judge's signature, and court seal or file stamp.

 

2)         Upon receipt of an electronic certification of compliance from HFS when the person has paid the delinquent support in full or has arranged for payment of the delinquent support and current support obligations in a manner satisfactory to HFS.  The certification must include the person's name, address, date of birth, gender and RIN.

 

3)         Upon receipt of an authenticated document, in a form approved by the Department, that the individual is in compliance with the visitation order or that the order has been stayed by subsequent order of the court, the Department shall terminate the suspension.  The authenticated document must include the individual's name, address, driver's license number, date of birth and gender, the date and county in which the order was entered, case number, name of the judge entering the order, and court seal or file stamp.

 

d)         Family Financial Responsibility Permits (FFRP)

 

1)         The Department shall enter an FFRP pursuant to IVC Section 7-702.1(a) or 7-702.1(a-1) if the following conditions are met:

 

A)        The Department receives a certified court order, on a form prescribed by the Secretary of State, from the court of jurisdiction.

 

B)        The court order includes: obligor's name or the name of the individual violating the visitation order, address, driver's license number, date of birth and gender, date the order was issued, case number, driver's employer and address if applicable, medical or treatment provider and address if applicable, whether the permit allows the driver to seek employment, hours the driver is permitted to operate a vehicle, routes to be traveled, case number, judge's signature, county in which the order was issued, permit type (original, duplicate or renewal), permit expiration date (maximum duration is one year), and court seal or file stamp.

 

2)         The Department shall enter an FFRP pursuant to IVC Section 7-702.1(b) if the following conditions are met:

 

A)        The Department receives an order, on a form prescribed by the Secretary of State, from HFS.

 

B)        The HFS order includes: obligor's name, address, driver's license number, date of birth and gender, date the order was issued, obligor's employer and address if applicable, medical or treatment provider and address if applicable, whether the permit allows the obligor to drive to seek employment, hours the obligor is permitted to operate a vehicle, routes to be traveled, RIN, signature of the HFS representative, county in which the order was issued, permit type (original, duplicate or renewal), permit expiration date (maximum duration is one year), and HFS stamp or seal.

 

3)         Any submitted court or HFS order directing the Department to issue an FFRP that contains insufficient data or fails to comply with any provisions of this Part or IVC Article VII shall not be entered to the obligor's driving record, but shall be returned to the court of jurisdiction or HFS, indicating why the FFRP cannot be issued at that time.

 

e)         Invalidation of FFRP

 

1)         Upon receipt of any of the following documents from a circuit clerk, law enforcement agency or the Department of Administrative Hearings within the Office of the Secretary of State, the Department shall invalidate an FFRP:

 

A)        a copy of a charging document for reckless homicide resulting from operation of a motor vehicle in violation of Section 9-3 of the Criminal Code [720 ILCS 5/9-3], driving under the influence of alcohol and/or other drugs in violation of IVC Section 11-501 or a similar provision of a local ordinance, driving outside of restrictions of permit in violation of IVC Section 6-113(e), leaving the scene of a motor vehicle accident involving death or personal injury in violation of IVC Section 11-401, or street racing in violation of IVC Section 11-506.  The law enforcement officer issuing a citation for any of these offenses shall confiscate the FFRP and forward it, along with the citation, to the clerk of the circuit court of the county in which the citation was issued.  The circuit clerk shall forward the FFRP and a facsimile of the officer's citation to the Secretary of State as expeditiously as possible; or

 

B)        a report of any disposition of court supervision or conviction for reckless homicide resulting from operation of a motor vehicle in violation of Section 9-3 of the Criminal Code [720 ILCS 5/9-3], driving under the influence of alcohol and/or other drugs in violation of IVC Section 11-501 or a similar provision of a local ordinance, leaving the scene of a motor vehicle accident involving death or personal injury in violation of IVC Section 11-401, or street racing in violation of IVC Section 11-506; or

 

C)        Law Enforcement Officer's Sworn Report.

 

2)         The Department shall invalidate an FFRP, upon receipt of a court order indicating the driver is no longer entitled to the permit, in the same manner that a driver's license may be invalidated.

 

3)         The Department shall invalidate an FFRP if the driver's license expires during the term of the FFRP and the driver does not renew his or her driver's license in the manner set forth in IVC Section 6-115.

 

4)         The Department shall invalidate an FFRP, upon request of HFS, when the obligor has not met the conditions of the issuance of the permit, set forth by HFS.  Those conditions include, but are not limited to, maintaining and providing to HFS an employment diary as proof that the FFRP is being used to seek employment.  The invalidation request shall be submitted to the Department on a form provided by the Department.

 

f)         Termination of FFRP

 

1)         Upon receipt of authenticated documentation from the court that the driver is in compliance with the court order of support or visitation, or that the order of suspension has been stayed, the Department shall terminate the FFRP.

 

2)         Upon receipt of an electronic certification of compliance from HFS, the Department shall terminate the FFRP.  The certification of compliance must include the obligor's name, address, driver's license number, date of birth, gender and RIN.

 

g)         Administrative Hearings

 

1)         The obligor or individual violating the visitation order may make a written request for an administrative hearing to contest the family financial responsibility suspension of his or her driver's license, pursuant to IVC Section 2-118.

 

2)         If the Department of Administrative Hearings of the Secretary of State receives a written hearing request by the obligor or individual violating the visitation order, in a manner and form approved by the Secretary of State, prior to the effective date of the family financial responsibility suspension, the Department shall stay the suspension in accordance with IVC Section 7-706.

 

h)         Fees.  The Department shall collect a driver's license reinstatement fee as prescribed by IVC Sections 6-118 and 7-707.  A reinstatement fee shall be charged for each suspension entered pursuant to IVC Section 7-702.  No reinstatement fee shall be charged for individuals suspended pursuant to IVC Section 7-702(d).

 

(Source:  Amended at 38 Ill. Reg. 20054, effective October 1, 2014)

 

Section 1070.120  Nonresidents and Former Residents; When Proof Not Required

 

a)         Any nonresident or former Illinois resident who has met all requirements for reinstatement of his/her driving or registration privileges except for filing proof of financial responsibility, resides outside of Illinois, and has applied for a driver's license in another state, shall be released from the requirement of showing proof of financial responsibility in this State if he or she presents to the Secretary of State an affidavit of out-of-state residency.

 

b)         Any nonresident or former Illinois resident whose driver's license was revoked and who has met all requirements for applying for driving privileges except for filing proof of financial responsibility under IVC Chapter 7, resides outside of Illinois, and has applied for a driver's license in another state, shall be released from the requirement of showing proof of financial responsibility in this State if he/she presents to the Secretary of State an affidavit of out-of-state residency.

 

c)         If a nonresident or former Illinois resident released from the requirement of showing proof of financial responsibility in Illinois under subsection (a) or subsection (b) moves or returns to Illinois within 3 years after the date of release, he/she must present to the Secretary of State proof of insurance coverage during the period in which the person resided outside of Illinois. This proof may be a copy of the individual's insurance card, copy of the insurance declaration page or a letter from the insurance company indicating insurance coverage. Any person who fails to present the required proof may not be issued a driver's license until he/she presents proof of financial responsibility that is satisfactory under IVC Chapter 7. The proof of financial responsibility required under this subsection (c) must be shown or maintained for the period of time required under IVC Chapter 7.

 

d)         The affidavit of out-of-state residency must include the following:

 

1)         The name and new address of the former Illinois resident.  The new address must be in a state other than Illinois.

 

2)         The date of birth, the last four digits of the social security number and signature of the individual.

 

3)         A statement affirming that the individual is no longer a resident of the State of Illinois and a request that the requirement to file proof of financial responsibility in Illinois, as outlined in IVC Section 7-316.1, be waived.

 

e)         Any nonresident or former Illinois resident who has submitted satisfactory documentation to the Secretary of State to be released of showing proof of financial responsibility in this State shall have his or her Illinois license cancelled 60 days after acceptance of the affidavit of out-of-state residency, as provided in IVC Section 6-201(a)15. [625 ILCS 5/7-316.1(b-5)]

 

(Source:  Amended at 38 Ill. Reg. 6119, effective February 27, 2014)

Section 1070.Appendix A  Post-Unsatisfied Judgment Action Form

 

(Source:  Added at 42 Ill. Reg. 16552, effective August 23, 2018)