101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB4849

 

Introduced 2/18/2020, by Rep. Deanne M. Mazzochi

 

SYNOPSIS AS INTRODUCED:
 
410 ILCS 76/10
410 ILCS 76/15

    Amends the Tobacco Products Compliance Act. Provides that a manufacturer or distributor of a tobacco product has a private right of action against another manufacturer or distributor of a tobacco product for a tobacco product sold within the State of Illinois if specified conditions and requirements are met. Provides that a manufacturer or distributor (rather than any interested party) may file suit for violations under the Act. Contains provisions regarding recovery for prevailing in an enforcement action. Makes other changes. Effective immediately.


LRB101 18890 CPF 68349 b

 

 

A BILL FOR

 

HB4849LRB101 18890 CPF 68349 b

1    AN ACT concerning health.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Tobacco Products Compliance Act is amended
5by changing Sections 10 and 15 as follows:
 
6    (410 ILCS 76/10)
7    Sec. 10. Compliance reports. Any person who manufactures
8any tobacco product in the State for distribution or sale in
9the United States shall be required to provide annually, by
10June 1, 2020 and by June 1 of each year thereafter, a written
11certification, including supporting evidence and
12documentation, of such person's compliance with Sections 903,
13904, 905, and 920 of the federal Family Smoking Prevention and
14Tobacco Control Act to the Illinois Department of Public
15Health, to the extent such person's manufacture qualifies as
16one that requires compliance with such Act. Such qualifying
17person will also be required to provide, for each tobacco
18product manufactured, sold, or distributed by the person
19(including all tobacco products manufactured in the State by
20the person and all other tobacco products sold or distributed
21by the person) copies of any written evidence and documentation
22prepared to comply with 21 U.S.C. 387(g), (i), and (t), that
23each such tobacco product, as required by the Tobacco Control

 

 

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1Act, is one of the following: (i) "grandfathered" (that is,
2first introduced into interstate commerce for commercial
3distribution in the United States on or before February 15,
42007); (ii) "provisional" (that is, first introduced into
5interstate commerce for commercial distribution in the United
6States between February 15, 2007 and March 22, 2011, and for
7which a substantial equivalence report was submitted to the FDA
8by March 22, 2011); or (iii) determined to be "substantially
9equivalent" (that is, is the subject of a marketing
10authorization order from the FDA after review of a premarket
11submission intended to demonstrate substantial equivalence).
12(Source: P.A. 101-582, eff. 8-26-19.)
 
13    (410 ILCS 76/15)
14    Sec. 15. Private right of action. A manufacturer or
15distributor of a tobacco product has a private right of action
16against another manufacturer or distributor of a tobacco
17product for a tobacco product sold within the State of
18Illinois, as follows:
19        (1) If the tobacco product fails to comply with Section
20    2 of the Cigarette Tax Act.
21        (2) If the tobacco product fails to comply with Section
22    3 of the Cigarette Tax Act.
23        (3) If the tobacco product fails to comply with Section
24    3 of the Cigarette Use Tax Act.
25        (4) If the tobacco product fails to comply with Section

 

 

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1    3-10 of the Cigarette Use Tax Act.
2        (5) If the tobacco product fails to comply with any
3    rule adopted under this Act pertaining to revenue by any
4    political subdivision of the State, as described in this
5    Act.
6        (6) If the tobacco product fails to comply with a local
7    ordinance pertaining to a tobacco product, if the tobacco
8    product was actually sold in a jurisdiction subject to such
9    ordinance.
10    For paragraphs (1) through (5), the manufacturer or
11distributor seeking to initiate the private right of action
12must give notice by certified mail, first class postage
13prepaid, to the Director of Revenue, or his or her designee, of
14a violation of Section 2 or Section 3 of the Cigarette Tax Act,
15and the Department of Revenue must decline to take action
16within 60 days of such notice.
17    For paragraph (6), the manufacturer or distributor seeking
18to initiate the private right of action must give notice by
19certified mail, first class postage prepaid, to the clerk of
20the unit of local government, or his or her designee, of a
21violation of the local ordinance, and the unit of local
22government must decline to take action within 90 days of such
23notice.
24    A manufacturer or distributor To enforce against a
25violation of the Act or any rule adopted under this Act by any
26local government or political subdivision as described in this

 

 

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1Act, any interested party may file suit in circuit court in the
2county where the alleged violation occurred or where any person
3who is a party to the action resides. Actions may be brought by
4one or more manufacturers or distributors persons for and on
5behalf of themselves and other persons similarly situated. If
6the interested party prevails in its enforcement action, it
7will be entitled to recover: (A) one-third of the noncompliant
8tax revenue, with the remainder to be conveyed to (i) the
9Department of Revenue for actions brought under paragraphs (1)
10through (5), and (B) the unit of local government for actions
11brought under paragraph (6); and (B) damages of 3 times its
12attorney's fees and costs, and, in addition, the court or other
13adjudicating body, at its discretion, may assess punitive
14damages for any wanton or flagrant violation of the law.
15(Source: P.A. 101-582, eff. 8-26-19.)
 
16    Section 99. Effective date. This Act takes effect upon
17becoming law.