97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB5665

 

Introduced 2/16/2012, by Rep. Constance A. Howard

 

SYNOPSIS AS INTRODUCED:
 
735 ILCS 5/15-1108 new
735 ILCS 5/15-1109 new
735 ILCS 5/15-1110 new

    Amends the Code of Civil Procedure. Provides that a person commits false representation concerning title to real estate, a Class 4 felony, when he or she knowingly, as part of any transaction or legal proceeding under the Mortgage Foreclosure Article of the Code, claims an interest in real estate or executes, notarizes, or records a fraudulent real estate document and that a person commits a pattern of making false representations concerning title to real estate, a Class 3 felony, by committing false representation concerning title to real estate in 2 or more instances with a similar pattern or purpose which are not isolated incidents within the preceding 4 years and in which the aggregate loss or intended loss is more than $250. Provides that the Attorney General has a private right of action for civil penalties arising from such conduct. Provides that a private cause of action for the owner or holder of the beneficial interest in real estate which is the subject of a false representation concerning title may bring a civil action in the circuit court in the county in which the real estate is located to recover damages suffered by the owner or holder of the beneficial interest plus reasonable attorney's fees.


LRB097 15509 AJO 60632 b

CORRECTIONAL BUDGET AND IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5665LRB097 15509 AJO 60632 b

1    AN ACT concerning foreclosure.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Code of Civil Procedure is amended by adding
5Sections 15-1108, 15-1109, and 15-1110 as follows:
 
6    (735 ILCS 5/15-1108 new)
7    Sec. 15-1108. False representation concerning real estate
8title.
9    (a) A person commits false representation concerning title
10to real estate when he or she knowingly as part of any
11transaction or legal proceeding pursuant to this Article XV:
12        (1) claims an interest in, or a lien or encumbrance
13    against, real estate in a document that is recorded in the
14    recorder's office in the county in which the real estate is
15    located and who knows or has reason to know that the
16    document is forged or groundless, contains a material
17    misstatement, or false claim or is otherwise invalid;
18        (2) executes or notarizes a document purporting to
19    create an interest in, or a lien or encumbrance against,
20    real estate, that is recorded in the recorder's office in
21    the county in which the real estate is located and who
22    knows or has reason to know that the document is forged or
23    groundless, contains a material misstatement, or false

 

 

HB5665- 2 -LRB097 15509 AJO 60632 b

1    claim or is otherwise invalid; or
2        (3) causes a document described in paragraph (1) or (2)
3    to be recorded in the recorder's office in the county in
4    which the real estate is located and who knows or has
5    reason to know that the document is forged or groundless,
6    contains a material misstatement, or false claim or is
7    otherwise invalid.
8    (b) False representation concerning title to real estate as
9described by paragraph (1), (2), or (3) of subsection (a) is a
10Class 4 felony.
 
11    (735 ILCS 5/15-1109 new)
12    Sec. 15-1109. Pattern of false representation concerning
13real estate title.
14    (a) A person commits a pattern of making false
15representations concerning title to real estate when he or she
16knowingly, as part of any transaction or legal proceedings
17pursuant to this Article XV, commits one or more violations of
18paragraph (1), (2), or (3) of Section 15-1108 in 2 or more
19transactions:
20        (1) which have the same or similar pattern, purposes,
21    results, accomplices, victims or methods of commission, or
22    are otherwise interrelated by distinguishing
23    characteristics;
24        (2) which are not isolated incidents within the
25    preceding 4 years; and

 

 

HB5665- 3 -LRB097 15509 AJO 60632 b

1        (3) in which the aggregate loss or intended loss is
2    more than $250.
3    (b) A pattern of making false representations concerning
4title to real estate described in subsection (a) is a Class 3
5felony.
 
6    (735 ILCS 5/15-1110 new)
7    Sec. 15-1110. Civil action for false representation
8concerning real estate title.
9    (a) In addition to the criminal penalties imposed for a
10violation of Section 15-1108 or 15-1109, any person who
11violates Section 15-1108 or 15-1109 is subject to a civil
12penalty of not more than $5,000 for each violation. This
13penalty is recoverable in a civil action, brought in the name
14of the State by the Attorney General, in the circuit court in
15the county in which the real estate is located. In such an
16action, the Attorney General may recover reasonable attorney's
17fees and costs.
18    (b) Except as otherwise provided in this subsection, the
19owner or holder of the beneficial interest in real estate which
20is the subject of a false representation concerning title may
21bring a civil action in the circuit court in the county in
22which the real estate is located to recover any damages
23suffered by the owner or holder of the beneficial interest plus
24reasonable attorney's fees and costs. The owner or holder of
25the beneficial interest in the real estate must, before

 

 

HB5665- 4 -LRB097 15509 AJO 60632 b

1bringing a civil action pursuant to this subsection, send a
2written request by first class mail to the person who made the
3false representation requesting that the person record a
4document which corrects the false representation. If the person
5records such a document not later than 20 days after the date
6of the written request, the owner or holder of the beneficial
7interest may not bring a civil action pursuant to this
8subsection.