Illinois General Assembly - Full Text of HB4268
Illinois General Assembly

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Full Text of HB4268  100th General Assembly


Rep. André Thapedi

Filed: 3/8/2018





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2    AMENDMENT NO. ______. Amend House Bill 4268 by replacing
3everything after the enacting clause with the following:
4    "Section 5. The Home Repair and Remodeling Act is amended
5by changing Section 20 as follows:
6    (815 ILCS 513/20)
7    Sec. 20. Consumer rights brochure.
8    (a) For any contract over $1,000, any person engaging in
9the business of home repair and remodeling shall provide to its
10customers a copy of the "Home Repair: Know Your Consumer
11Rights" pamphlet prior to the execution of any home repair and
12remodeling contract. The consumer shall sign and date an
13acknowledgment form entitled "Consumer Rights Acknowledgment
14Form" that states: "I, the homeowner, have received from the
15contractor a copy of the pamphlet entitled 'Home Repair: Know
16Your Consumer Rights.'" The contractor or his or her



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1representative shall also sign and date the acknowledgment
2form, which includes the name and address of the home repair
3and remodeling business. The acknowledgment form shall be in
4duplicate and incorporated into the pamphlet. The original
5acknowledgment form shall be retained by the contractor and the
6duplicate copy shall be retained within the pamphlet by the
8    (b) For any contract for $1,000 or under, any person
9engaging in the business of home repair and remodeling shall
10provide to its customers a copy of the "Home Repair: Know Your
11Consumer Rights" pamphlet. No written acknowledgment of
12receipt of the pamphlet is required for a contract of $1,000 or
14    (c) The pamphlet must be a separate document, in at least
1512 point type, and in legible ink. The pamphlet shall read as

18    As you plan for your home repair/improvement project, it is
19important to ask the right questions in order to protect your
20investment. The tips in this fact sheet should allow you to
21protect yourself and minimize the possibility that a
22misunderstanding may occur.




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1Please use extreme caution when confronted with the following
2warning signs of a potential scam:
3    (1) Door-to-door salespersons with no local connections
4who offer to do home repair work for substantially less than
5the market price.
6    (2) Solicitations for repair work from a company that lists
7only a telephone number or a post-office box number to contact,
8particularly if it is an out-of-state company.
9    (3) Contractors who fail to provide customers references
10when requested.
11    (4) Persons offering to inspect your home for free. Do not
12admit anyone into your home unless he or she can present
13authentic identification establishing his or her business
14status. When in doubt, do not hesitate to call the worker's
15employer to verify his or her identity.
16    (5) Contractors demanding cash payment for a job or who ask
17you to make a check payable to a person other than the owner or
18company name.
19    (6) Offers from a contractor to drive you to the bank to
20withdraw funds to pay for the work.

22    (1) Get all estimates in writing.
23    (2) Do not be induced into signing a contract by



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1high-pressure sales tactics.
2    (3) Never sign a contract with blank spaces or one you do
3not fully understand. If you are taking out a loan to finance
4the work, do not sign the contract before your lender approves
5the loan.
6    (4) Remember, you have 3 business days from the time you
7sign your contract to cancel any contract if the sale is made
8at your home. The contractor cannot deprive you of this right
9by initiating work, selling your contract to a lender, or any
10other tactic.
11    (5) If the contractor does business under a name other than
12the contractor's real name, the business must either be
13incorporated or registered under the Assumed Business Name Act.
14Check with the Secretary of State to see if the business is
15incorporated or with the county clerk to see if the business
16has registered under the Assumed Business Name Act.
17    (6) Homeowners should check with local and county units of
18government to determine if permits or inspections are required.
19    (7) Determine whether the contractor will guarantee his or
20her work and products.
21    (8) Determine whether the contractor has the proper
23    (9) Do not sign a certificate of completion or make final
24payment until the work is done to your satisfaction.
25    (10) Before you pay your contractor, understand that the
26Mechanics Lien Act requires that you shall request and the



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1contractor shall give you a signed and notarized written
2statement (known as a "Sworn Statement") that lists all the
3persons or companies your contractor hired to work on your
4home, their addresses along with the amounts about to be paid,
5and the total amount owed after the payment to those persons or
7    Suppliers and subcontractors have a right to file a lien
8against your home if they do not get paid for their labor or
9materials. To protect yourself against liens, you should demand
10that your contractor provide you with a Sworn Statement before
11you pay the contractor. You should also obtain lien waivers
12from all contractors and subcontractors if appropriate. You
13should consult with an attorney to learn more about your rights
14and obligations under the Mechanics Lien Act.
15    Disclaimer: The contents of this paragraph are required to
16be placed in the pamphlet for consumer guidance and information
17only. The contents of this paragraph are not substantive
18enforceable provisions of the Home Repair and Remodeling Act
19and are not intended to affect the substantive law of the
20Mechanics Lien Act. Remember, homeowners should know who
21provides supplies and labor for any work performed on your
22home. Suppliers and subcontractors have a right to file a lien
23against your property if the general contractor fails to pay
24them. To protect your property, request lien waivers from the
25general contractor.



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2    (1) Contractor's full name, address, and telephone number.
3Illinois law requires that persons selling home repair and
4improvement services provide their customers with notice of any
5change to their business name or address that comes about prior
6to the agreed dates for beginning or completing the work.
7    (2) A description of the work to be performed.
8    (3) Starting and estimated completion dates.
9    (4) Total cost of work to be performed.
10    (5) Schedule and method of payment, including down payment,
11subsequent payments, and final payment.
12    (6) A provision stating the grounds for termination of the
13contract by either party. However, the homeowner must pay the
14contractor for work completed. If the contractor fails to
15commence or complete work within the contracted time period,
16the homeowner may cancel and may be entitled to a refund of any
17down payment or other payments made towards the work, upon
18written demand by certified mail.
19    (7) A provision stating the grounds for termination of the
20contract if you are notified by your insurer that all or any
21part of the claim or contract is not a covered loss under the
22insurance policy, you may cancel the contract by mailing or
23delivering written notice to (name of contractor) at (address
24of contractor's place of business) at any time prior to the
25earlier of midnight on the fifth business day after you have



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1received such notice from your insurer or the thirtieth
2business day after receipt of a properly executed proof of loss
3by the insurer from the insured. If you cancel, any payments
4made by you under the contract will be returned to you within
510 business days following receipt by the contractor of your
6cancellation notice. If, however, the contractor has provided
7any goods or services related to a catastrophe, acknowledged
8and agreed to by the insured homeowner in writing to be
9necessary to prevent damage to the premises, the contractor is
10entitled to the reasonable value of such goods and services.
11    Homeowners should obtain a copy of the signed contract and
12keep it in a safe place for reference as needed.
13    To file a complaint against a roofing contractor, contact
14the Illinois Department of Financial and Professional
15Regulation at 312-814-6910 or file a complaint directly on its
18    If you think you have been defrauded by a contractor or
19have any questions, please bring it to the attention of your
20State's Attorney or the Illinois Attorney General's Office.
21Attorney General Toll-Free Numbers
22Carbondale         (800) 243-0607
23Springfield        (800) 243-0618
24Chicago            (800) 386-5438".
25(Source: P.A. 97-235, eff. 1-1-12.)".