(625 ILCS 5/5-101) (from Ch. 95 1/2, par. 5-101)
Sec. 5-101. New vehicle dealers must be licensed.
(a) No person shall engage in this State in the business of selling
or dealing in, on consignment or otherwise, new vehicles of any make, or
act as an intermediary or agent or broker for any licensed dealer or
vehicle purchaser other than as a salesperson, or represent or advertise
that he is so engaged or intends to so engage in such business unless
licensed to do so in writing by the Secretary of State under the
provisions of this Section.
(b) An application for a new vehicle dealer's license shall be filed
with the Secretary of State, duly verified by oath, on such form as the
Secretary of State may by rule or regulation prescribe and shall contain:
1. The name and type of business organization of the |
| applicant and his established and additional places of business, if any, in this State.
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2. If the applicant is a corporation, a list of its
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| officers, directors, and shareholders having a ten percent or greater ownership interest in the corporation, setting forth the residence address of each; if the applicant is a sole proprietorship, a partnership, an unincorporated association, a trust, or any similar form of business organization, the name and residence address of the proprietor or of each partner, member, officer, director, trustee, or manager.
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3. The make or makes of new vehicles which the
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| applicant will offer for sale at retail in this State.
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4. The name of each manufacturer or franchised
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| distributor, if any, of new vehicles with whom the applicant has contracted for the sale of such new vehicles. As evidence of this fact, the application shall be accompanied by a signed statement from each such manufacturer or franchised distributor. If the applicant is in the business of offering for sale new conversion vehicles, trucks or vans, except for trucks modified to serve a special purpose which includes but is not limited to the following vehicles: street sweepers, fertilizer spreaders, emergency vehicles, implements of husbandry or maintenance type vehicles, he must furnish evidence of a sales and service agreement from both the chassis manufacturer and second stage manufacturer.
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5. A statement that the applicant has been approved
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| for registration under the Retailers' Occupation Tax Act by the Department of Revenue: Provided that this requirement does not apply to a dealer who is already licensed hereunder with the Secretary of State, and who is merely applying for a renewal of his license. As evidence of this fact, the application shall be accompanied by a certification from the Department of Revenue showing that that Department has approved the applicant for registration under the Retailers' Occupation Tax Act.
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6. A statement that the applicant has complied with
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| the appropriate liability insurance requirement. A Certificate of Insurance in a solvent company authorized to do business in the State of Illinois shall be included with each application covering each location at which he proposes to act as a new vehicle dealer. The policy must provide liability coverage in the minimum amounts of $100,000 for bodily injury to, or death of, any person, $300,000 for bodily injury to, or death of, two or more persons in any one accident, and $50,000 for damage to property. Such policy shall expire not sooner than December 31 of the year for which the license was issued or renewed. The expiration of the insurance policy shall not terminate the liability under the policy arising during the period for which the policy was filed. Trailer and mobile home dealers are exempt from this requirement.
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If the permitted user has a liability insurance
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| policy that provides automobile liability insurance coverage of at least $100,000 for bodily injury to or the death of any person, $300,000 for bodily injury to or the death of any 2 or more persons in any one accident, and $50,000 for damage to property, then the permitted user's insurer shall be the primary insurer and the dealer's insurer shall be the secondary insurer. If the permitted user does not have a liability insurance policy that provides automobile liability insurance coverage of at least $100,000 for bodily injury to or the death of any person, $300,000 for bodily injury to or the death of any 2 or more persons in any one accident, and $50,000 for damage to property, or does not have any insurance at all, then the dealer's insurer shall be the primary insurer and the permitted user's insurer shall be the secondary insurer.
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When a permitted user is "test driving" a new
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| vehicle dealer's automobile, the new vehicle dealer's insurance shall be primary and the permitted user's insurance shall be secondary.
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As used in this paragraph 6, a "permitted user" is a
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| person who, with the permission of the new vehicle dealer or an employee of the new vehicle dealer, drives a vehicle owned and held for sale or lease by the new vehicle dealer which the person is considering to purchase or lease, in order to evaluate the performance, reliability, or condition of the vehicle. The term "permitted user" also includes a person who, with the permission of the new vehicle dealer, drives a vehicle owned or held for sale or lease by the new vehicle dealer for loaner purposes while the user's vehicle is being repaired or evaluated.
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As used in this paragraph 6, "test driving" occurs
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| when a permitted user who, with the permission of the new vehicle dealer or an employee of the new vehicle dealer, drives a vehicle owned and held for sale or lease by a new vehicle dealer that the person is considering to purchase or lease, in order to evaluate the performance, reliability, or condition of the vehicle.
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As used in this paragraph 6, "loaner purposes" means
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| when a person who, with the permission of the new vehicle dealer, drives a vehicle owned or held for sale or lease by the new vehicle dealer while the user's vehicle is being repaired or evaluated.
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7. (A) An application for a new motor vehicle
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| dealer's license shall be accompanied by the following license fees:
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(i) $1,000 for applicant's established place of
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| business, and $100 for each additional place of business, if any, to which the application pertains; but if the application is made after June 15 of any year, the license fee shall be $500 for applicant's established place of business plus $50 for each additional place of business, if any, to which the application pertains. License fees shall be returnable only in the event that the application is denied by the Secretary of State. All moneys received by the Secretary of State as license fees under this subparagraph (i) prior to applications for the 2004 licensing year shall be deposited into the Motor Vehicle Review Board Fund and shall be used to administer the Motor Vehicle Review Board under the Motor Vehicle Franchise Act. Of the money received by the Secretary of State as license fees under this subparagraph (i) for the 2004 licensing year and thereafter, 10% shall be deposited into the Motor Vehicle Review Board Fund and shall be used to administer the Motor Vehicle Review Board under the Motor Vehicle Franchise Act and 90% shall be deposited into the General Revenue Fund.
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(ii) Except for dealers selling 25 or fewer
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| automobiles or as provided in subsection (h) of Section 5-102.7 of this Code, an Annual Dealer Recovery Fund Fee in the amount of $500 for the applicant's established place of business, and $50 for each additional place of business, if any, to which the application pertains; but if the application is made after June 15 of any year, the fee shall be $250 for the applicant's established place of business plus $25 for each additional place of business, if any, to which the application pertains. For a license renewal application, the fee shall be based on the amount of automobiles sold in the past year according to the following formula:
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(1) $0 for dealers selling 25 or less
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(2) $150 for dealers selling more than 25 but
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| less than 200 automobiles;
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(3) $300 for dealers selling 200 or more
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| automobiles but less than 300 automobiles; and
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(4) $500 for dealers selling 300 or more
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License fees shall be returnable only in the
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| event that the application is denied by the Secretary of State. Moneys received under this subparagraph (ii) shall be deposited into the Dealer Recovery Trust Fund.
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(B) An application for a new vehicle dealer's
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| license, other than for a new motor vehicle dealer's license, shall be accompanied by the following license fees:
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(i) $1,000 for applicant's established place of
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| business, and $50 for each additional place of business, if any, to which the application pertains; but if the application is made after June 15 of any year, the license fee shall be $500 for applicant's established place of business plus $25 for each additional place of business, if any, to which the application pertains. License fees shall be returnable only in the event that the application is denied by the Secretary of State. Of the money received by the Secretary of State as license fees under this subparagraph (i) for the 2004 licensing year and thereafter, 95% shall be deposited into the General Revenue Fund.
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(ii) Except as provided in subsection (h) of
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| Section 5-102.7 of this Code, an Annual Dealer Recovery Fund Fee in the amount of $500 for the applicant's established place of business, and $50 for each additional place of business, if any, to which the application pertains; but if the application is made after June 15 of any year, the fee shall be $250 for the applicant's established place of business plus $25 for each additional place of business, if any, to which the application pertains. License fees shall be returnable only in the event that the application is denied by the Secretary of State. Moneys received under this subparagraph (ii) shall be deposited into the Dealer Recovery Trust Fund.
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8. A statement that the applicant's officers,
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| directors, shareholders having a 10% or greater ownership interest therein, proprietor, a partner, member, officer, director, trustee, manager or other principals in the business have not committed in the past 3 years any one violation as determined in any civil, criminal or administrative proceedings of any one of the following Acts:
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(A) The Anti-Theft Laws of the Illinois Vehicle
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(B) The Certificate of Title Laws of the Illinois
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(C) The Offenses against Registration and
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| Certificates of Title Laws of the Illinois Vehicle Code;
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(D) The Dealers, Transporters, Wreckers and
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| Rebuilders Laws of the Illinois Vehicle Code;
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(E) Section 21-2 of the Criminal Code of 1961 or
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| the Criminal Code of 2012, Criminal Trespass to Vehicles; or
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(F) The Retailers' Occupation Tax Act.
9. A statement that the applicant's officers,
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| directors, shareholders having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager or other principals in the business have not committed in any calendar year 3 or more violations, as determined in any civil, criminal or administrative proceedings, of any one or more of the following Acts:
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(A) The Consumer Finance Act;
(B) The Consumer Installment Loan Act;
(C) The Retail Installment Sales Act;
(D) The Motor Vehicle Retail Installment Sales
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(E) The Interest Act;
(F) The Illinois Wage Assignment Act;
(G) Part 8 of Article XII of the Code of Civil
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(H) The Consumer Fraud Act.
9.5. A statement that, within 10 years of
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| application, each officer, director, shareholder having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager, or other principal in the business of the applicant has not committed, as determined in any civil, criminal, or administrative proceeding, in any calendar year one or more forcible felonies under the Criminal Code of 1961 or the Criminal Code of 2012, or a violation of either or both Article 16 or 17 of the Criminal Code of 1961 or a violation of either or both Article 16 or 17 of the Criminal Code of 2012, Article 29B of the Criminal Code of 1961 or the Criminal Code of 2012, or a similar out-of-state offense. For the purposes of this paragraph, "forcible felony" has the meaning provided in Section 2-8 of the Criminal Code of 2012.
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10. A bond or certificate of deposit in the amount of
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| $50,000 for each location at which the applicant intends to act as a new vehicle dealer. The bond shall be for the term of the license, or its renewal, for which application is made, and shall expire not sooner than December 31 of the year for which the license was issued or renewed. The bond shall run to the People of the State of Illinois, with surety by a bonding or insurance company authorized to do business in this State. It shall be conditioned upon the proper transmittal of all title and registration fees and taxes (excluding taxes under the Retailers' Occupation Tax Act) accepted by the applicant as a new vehicle dealer.
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11. Such other information concerning the business of
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| the applicant as the Secretary of State may by rule or regulation prescribe.
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12. A statement that the applicant understands
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| Chapter 1 through Chapter 5 of this Code.
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13. The full name, address, and contact information
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| of each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
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(c) Any change which renders no longer accurate any information
contained in any application for a new vehicle dealer's license shall be
amended within 30 days after the occurrence of such change on such form
as the Secretary of State may prescribe by rule or regulation,
accompanied by an amendatory fee of $2.
(d) Anything in this Chapter 5 to the contrary notwithstanding no
person shall be licensed as a new vehicle dealer unless:
1. He is authorized by contract in writing between
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| himself and the manufacturer or franchised distributor of such make of vehicle to so sell the same in this State, and
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2. Such person shall maintain an established place of
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| business as defined in this Act.
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(e) The Secretary of State shall, within a reasonable time after
receipt, examine an application submitted to him under this Section and
unless he makes a determination that the application submitted to him
does not conform with the requirements of this Section or that grounds
exist for a denial of the application, under Section 5-501 of this
Chapter, grant the applicant an original new vehicle dealer's license in
writing for his established place of business and a supplemental license
in writing for each additional place of business in such form as he may
prescribe by rule or regulation which shall include the following:
1. The name of the person licensed;
2. If a corporation, the name and address of its
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| officers or if a sole proprietorship, a partnership, an unincorporated association or any similar form of business organization, the name and address of the proprietor or of each partner, member, officer, director, trustee or manager;
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3. In the case of an original license, the
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| established place of business of the licensee;
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4. In the case of a supplemental license, the
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| established place of business of the licensee and the additional place of business to which such supplemental license pertains;
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5. The make or makes of new vehicles which the
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| licensee is licensed to sell;
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6. The full name, address, and contact information of
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| each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
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(f) The appropriate instrument evidencing the license or a certified
copy thereof, provided by the Secretary of State, shall be kept posted
conspicuously in the established place of business of the licensee and
in each additional place of business, if any, maintained by such
licensee.
(g) Except as provided in subsection (h) hereof, all new vehicle
dealer's licenses granted under this Section shall expire by operation
of law on December 31 of the calendar year for which they are granted
unless sooner revoked or cancelled under the provisions of Section 5-501
of this Chapter.
(h) A new vehicle dealer's license may be renewed upon application
and payment of the fee required herein, and submission of proof of
coverage under an approved bond under the Retailers' Occupation Tax
Act or proof that applicant is not subject to such bonding
requirements, as in the case of an original license, but in case an
application for the renewal of an effective license is made during the
month of December, the effective license shall remain in force until the
application is granted or denied by the Secretary of State.
(i) All persons licensed as a new vehicle dealer are required to
furnish each purchaser of a motor vehicle:
1. In the case of a new vehicle a manufacturer's
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| statement of origin and in the case of a used motor vehicle a certificate of title, in either case properly assigned to the purchaser;
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2. A statement verified under oath that all
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| identifying numbers on the vehicle agree with those on the certificate of title or manufacturer's statement of origin;
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3. A bill of sale properly executed on behalf of such
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4. A copy of the Uniform Invoice-transaction
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| reporting return referred to in Section 5-402 hereof;
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5. In the case of a rebuilt vehicle, a copy of the
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| Disclosure of Rebuilt Vehicle Status; and
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6. In the case of a vehicle for which the warranty
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| has been reinstated, a copy of the warranty.
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(j) Except at the time of sale or repossession of the vehicle, no person
licensed as a new vehicle dealer may issue any other person a newly created
key to a vehicle unless the new vehicle dealer makes a color photocopy or electronic scan of the driver's
license or State identification card of the person requesting or obtaining the
newly created key. The new vehicle dealer must retain the photocopy or scan for 30 days.
A new vehicle dealer who violates this subsection (j) is guilty of a
petty offense. Violation of this subsection (j) is not cause to suspend,
revoke,
cancel, or deny renewal of the new vehicle dealer's license.
This amendatory Act of 1983 shall be applicable to the 1984 registration
year and thereafter.
(k) If a licensee under this Section voluntarily surrenders a license to the Illinois Secretary of State Police or a representative of the Secretary of State Vehicle Services Department due to the licensee's inability to adhere to recordkeeping provisions, or the inability to properly issue certificates of title or registrations under this Code, or the Secretary revokes a license under this Section, then the licensee and the licensee's agent, designee, or legal representative, if applicable, may not be named on a new application for a licensee under this Section or under this Chapter, nor is the licensee or the licensee's agent, designee, or legal representative permitted to work for another licensee under this Chapter in a recordkeeping, management, or financial position or as an employee who handles certificate of title and registration documents and applications.
(Source: P.A. 101-505, eff. 1-1-20; 102-154, eff. 1-1-22 .)
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(625 ILCS 5/5-101.1)
Sec. 5-101.1. Motor vehicle financing affiliates; licensing.
(a) In this State no business shall engage in the business of a motor
vehicle financing
affiliate without a license to do so in writing from the Secretary of State.
(b) An application for a motor vehicle financing affiliate's license must be
filed with
the Secretary of State, duly verified by oath, on a form prescribed by the
Secretary of
State and shall contain all of the following:
(1) The name and type of business organization of the |
| applicant and the applicant's established place of business and any additional places of business in this State.
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(2) The name and address of the licensed new or used
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| vehicle dealer to which the applicant will be selling, transferring, or assigning new or used motor vehicles pursuant to a written contract. If more than one dealer is on the application, the applicant shall state in writing the basis of common ownership among the dealers.
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(3) A list of the business organization's officers,
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| directors, members, and shareholders having a 10% or greater ownership interest in the business, providing the residential address for each person listed.
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(4) If selling, transferring, or assigning new motor
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| vehicles, the make or makes of new vehicles that it will sell, assign, or otherwise transfer to the contracting new motor vehicle dealer listed on the application pursuant to paragraph (2).
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(5) The name of each manufacturer or franchised
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| distributor, if any, of new vehicles with whom the applicant has contracted for the sale of new vehicles and a signed statement from each manufacturer or franchised distributor acknowledging the contract.
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(6) A statement that the applicant has been approved
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| for registration under the Retailers' Occupation Tax Act by the Department of Revenue. This requirement does not apply to a motor vehicle financing affiliate that is already licensed with the Secretary of State and is applying for a renewal of its license.
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(7) A statement that the applicant has complied with
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| the appropriate liability insurance requirement and a Certificate of Insurance that shall not expire before December 31 of the year for which the license was issued or renewed with a minimum liability coverage of $100,000 for the bodily injury or death of any person, $300,000 for the bodily injury or death of 2 or more persons in any one accident, and $50,000 for damage to property. The expiration of the insurance policy shall not terminate the liability under the policy arising during the period for which the policy was filed. Trailer and mobile home dealers are exempt from the requirements of this paragraph. A motor vehicle financing affiliate is exempt from the requirements of this paragraph if it is covered by the insurance policy of the new or used dealer listed on the application pursuant to paragraph (2).
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(8) A license fee of $1,000 for the applicant's
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| established place of business and $250 for each additional place of business, if any, to which the application pertains. However, if the application is made after June 15 of any year, the license fee shall be $500 for the applicant's established place of business and $125 for each additional place of business, if any, to which the application pertains. These license fees shall be returnable only in the event that the application is denied by the Secretary of State.
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(9) A statement incorporating the requirements of
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| paragraphs 8 and 9 of subsection (b) of Section 5-101.
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(10) Any other information concerning the business of
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| the applicant as the Secretary of State may prescribe.
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(11) A statement that the applicant understands
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| Chapter 1 through Chapter 5 of this Code.
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(12) The full name, address, and contact information
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| of each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
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(c) Any change which renders no longer accurate any information contained in
any
application for a motor vehicle financing affiliate's license shall be amended
within 30
days after the occurrence of the change on a form prescribed by the Secretary
of State,
accompanied by an amendatory fee of $2.
(d) If a new vehicle dealer is not listed on the application, pursuant to
paragraph (2) of
subsection (b), the motor vehicle financing affiliate shall not receive,
possess, or transfer
any new vehicle. If a new motor vehicle dealer is listed on the application,
pursuant to
paragraph (2) of subsection (b), the new motor vehicle dealer can only receive
those new
cars it is permitted to receive under its franchise agreement. If both a new
and used
motor vehicle dealer are listed on the application, pursuant to paragraph (2)
of subsection
(b), only the new motor vehicle dealer may receive new motor vehicles. If a
used motor
vehicle is listed on the application, pursuant to paragraph (2) of
subsection (b), the used
motor vehicle dealer shall not receive any new motor vehicles.
(e) The applicant and dealer provided pursuant to paragraph (2) of
subsection (b)
must be business organizations registered to conduct business in Illinois.
Three-fourths
of the dealer's board of directors must be members of the motor vehicle
financing
affiliate's board of directors, if applicable.
(f) Unless otherwise provided in this Chapter 5, no business organization
registered to
do business in Illinois shall be licensed as a motor vehicle financing
affiliate unless:
(1) The motor vehicle financing affiliate shall only
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| sell, transfer, or assign motor vehicles to the licensed new or used dealer listed on the application pursuant to paragraph (2) of subsection (b).
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(2) The motor vehicle financing affiliate sells,
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| transfers, or assigns to the new motor vehicle dealer listed on the application, if any, only those new motor vehicles the motor vehicle financing affiliate has received under the contract set forth in paragraph (5) of subsection (b).
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(3) Any new vehicle dealer listed pursuant to
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| paragraph (2) of subsection (b) has a franchise agreement that permits the dealer to receive motor vehicles from the motor vehicle franchise affiliate.
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(4) The new or used motor vehicle dealer listed on
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| the application pursuant to paragraph (2) of subsection (b) has one established place of business or supplemental places of business as referenced in subsection (g).
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(g) The Secretary of State shall, within a reasonable time after receipt,
examine an
application submitted pursuant to this Section and, unless it is determined
that the
application does not conform with the requirements of this Section or that
grounds exist
for a denial of the application under Section 5-501, grant the applicant a
motor vehicle
financing affiliate license in writing for the applicant's established place of
business and
a supplemental license in writing for each additional place of business in a
form prescribed
by the Secretary, which shall include all of the following:
(1) The name of the business licensed;
(2) The name and address of its officers, directors,
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| or members, as applicable;
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(3) In the case of an original license, the
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| established place of business of the licensee;
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(4) If applicable, the make or makes of new vehicles
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| which the licensee is licensed to sell to the new motor vehicle dealer listed on the application pursuant to paragraph (2) of subsection (b); and
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(5) The full name, address, and contact information
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| of each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
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(h) The appropriate instrument evidencing the license or a certified copy,
provided by
the Secretary of State, shall be kept posted conspicuously in the established
place of
business of the licensee.
(i) Except as provided in subsection (h), all motor vehicle financing
affiliate's
licenses granted under this Section shall expired by operation of law on
December 31 of
the calendar year for which they are granted, unless revoked or canceled at an
earlier date
pursuant to Section 5-501.
(j) A motor vehicle financing affiliate's license may be renewed upon
application and
payment of the required fee. However, when an application for renewal of a
motor
vehicle financing affiliate's license is made during the month of December, the
effective
license shall remain in force until the application is granted or denied by the
Secretary of
State.
(k) The contract a motor vehicle financing affiliate has with a manufacturer
or
franchised distributor, as provided in paragraph (5) of subsection (b), shall
only permit
the applicant to sell, transfer, or assign new motor vehicles to the new motor
vehicle
dealer listed on the application pursuant to paragraph (2) of subsection (b).
The contract
shall specifically prohibit the motor vehicle financing affiliate from selling
motor
vehicles at retail. This contract shall not be considered the granting of a
franchise as
defined in Section 2 of the Motor Vehicle Franchise Act.
(l) When purchasing of a motor vehicle by a new or used motor vehicle
dealer, all
persons licensed as a motor vehicle financing affiliate are required to furnish
all of the
following:
(1) For a new vehicle, a manufacturer's statement of
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| origin properly assigned to the purchasing dealer. For a used vehicle, a certificate of title properly assigned to the purchasing dealer.
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(2) A statement verified under oath that all
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| identifying numbers on the vehicle agree with those on the certificate of title or manufacturer's statement of origin.
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(3) A bill of sale properly executed on behalf of the
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(4) A copy of the Uniform Invoice-transaction report
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| pursuant to Section 5-402.
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(5) In the case of a rebuilt vehicle, a copy of the
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| Disclosure of Rebuilt Vehicle Status pursuant to Section 5-104.3.
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(6) In the case of a vehicle for which a warranty has
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| been reinstated, a copy of the warranty.
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(m) The motor vehicle financing affiliate shall use the established and
supplemental
place or places of business the new or used vehicle dealer listed on the
application
pursuant to paragraph (2) of subsection (b) as its established and supplemental
place or
places of business.
(n) The motor vehicle financing affiliate shall keep all books and records
required by
this Code with the books and records of the new or used vehicle dealer listed
on the
application pursuant to paragraph (2) of subsection (b). The motor vehicle
financing
affiliate may use the books and records of the new or used motor vehicle dealer
listed on
the application pursuant to paragraph (2) of subsection (b).
(o) Under no circumstances shall a motor vehicle financing affiliate sell,
transfer, or
assign a new vehicle to any place of business of a new motor vehicle dealer,
unless that
place of business is licensed under this Chapter to sell, assign, or otherwise
transfer the
make of the new motor vehicle transferred.
(p) All moneys received by the Secretary of State as license fees under this
Section
shall be deposited into the Motor Vehicle Review Board Fund and shall be used
to
administer the Motor Vehicle Review Board under the Motor Vehicle Franchise
Act.
(q) Except as otherwise provided in this Section, a motor vehicle financing
affiliate
shall comply with all provisions of this Code.
(r) If a licensee under this Section voluntarily surrenders a license to the Illinois Secretary of State Police or a representative of the Secretary of State Vehicle Services Department due to the licensee's inability to adhere to recordkeeping provisions, or the inability to properly issue certificates of title or registrations under this Code, or the Secretary revokes a license under this Section, then the licensee and the licensee's agent, designee, or legal representative, if applicable, may not be named on a new application for a licensee under this Section or under this Chapter, nor is the licensee or the licensee's agent, designee, or legal representative permitted to work for another licensee under this Chapter in a recordkeeping, management, or financial position or as an employee who handles certificate of title and registration documents and applications.
(Source: P.A. 102-154, eff. 1-1-22 .)
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(625 ILCS 5/5-101.2) Sec. 5-101.2. Manufactured home dealers; licensing. (a) For the purposes of this Section, the following words shall have the meanings ascribed to them as follows: "Community-based manufactured home dealer" means an |
| individual or entity that operates a tract of land or 2 or more contiguous tracts of land which contain sites with the necessary utilities for 5 or more independent manufactured homes for permanent habitation, either free of charge or for revenue purposes, and shall include any building, structure, vehicle, or enclosure used or intended for use as a part of the equipment of the manufactured home park who may, incidental to the operation of the manufactured home community, sell, trade, or buy no more than 2 manufactured homes or park models per calendar year that are located within the manufactured home community pursuant to a franchise agreement or similar agreement with a manufacturer, or used manufactured homes or park models located within the manufactured home community or additional place of business that is owned or managed by the community-based manufactured home dealer.
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"Established place of business" means the place owned
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| or leased and occupied by any person duly licensed or required to be licensed as a manufactured home dealer or a community-based manufactured home dealer for the purpose of engaging in selling, buying, bartering, displaying, exchanging, or dealing in, on consignment or otherwise, manufactured homes or park models and for such other ancillary purposes as may be permitted by the Secretary by rule. An established place of business shall include a single or central office in which the manufactured home dealer's or community-based manufactured home dealer's records shall be separate and distinct from any other business or tenant which may occupy space in the same building, except as provided in this Section, and the office shall not be located in a tent, temporary stand, temporary address, room or rooms in a hotel or rooming house, nor the premises occupied by a single or multiple unit residence, unless the multiple unit residence has a separate and distinct office.
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|
"Manufactured home" means a factory assembled
|
| structure built on a permanent chassis, transportable in one or more sections in the travel mode, incapable of self-propulsion, and bears a label indicating the manufacturer's compliance with the United States Department of Housing and Urban Development standards, as applicable, that is without a permanent foundation and is designed for year round occupancy as a single-family residence when connected to approved water, sewer, and electrical utilities.
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|
"Manufactured home dealer" means an individual or
|
| entity that engages in the business of acquiring or disposing of a manufactured home or park model, either a new manufactured home or park model, pursuant to a franchise agreement with a manufacturer, or used manufactured homes or park models, and who has an established place of business that is not in a residential community-based setting.
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|
"Park model" means a vehicle that is incapable of
|
| self-propulsion that is less than 400 square feet of habitable space that is built to American National Standards Institute (ANSI) standards that prohibits occupancy on a permanent basis and is built on a vehicle chassis.
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|
"Supplemental license" means a license that a
|
| community-based manufactured home dealer receives and displays at locations in which the licensee is authorized to sell, buy, barter, display, exchange, or deal in, on consignment or otherwise, manufactured homes or park models, but is not the established place of business of the licensee.
|
|
(b) No person shall engage in this State in the business of
selling or dealing in, on consignment or otherwise,
manufactured homes or park models of any make, or act as an intermediary, agent, or broker for any manufactured home or park model purchaser, other than as a salesperson or to represent or advertise that he or she is so engaged, or intends to so engage, in the business, unless licensed to do so by the Secretary of State under the provisions of this Section.
(c) An application for a manufactured home dealer's
license or a community-based manufactured home dealer's
license shall be filed with the Secretary of State and duly
verified by oath, on such form as the Secretary of State may by
rule prescribe and shall contain all of the following:
(1) The name and type of business organization of
|
| the applicant, and his or her established and additional places of business, if any, in this State.
|
|
(2) If the applicant is a corporation, a list of
|
| its officers, directors, and shareholders having a 10% or greater ownership interest in the corporation. If the applicant is a sole proprietorship, a partnership, a limited liability company, an unincorporated association, a trust, or any similar form of business organization, the name and residence address of the proprietor, or the name and residence address of each partner, member, officer, director, trustee, or manager.
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|
(3) The make or makes of new manufactured homes or
|
| park models that the applicant will offer for sale at retail in the State.
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|
(4) The name of each manufacturer or franchised
|
| distributor, if any, of new manufactured homes or park models with whom the applicant has contracted for the sale of new manufactured homes or park models. As evidence of this fact, the application shall be accompanied by a signed statement from each manufacturer or franchised distributor.
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|
(5) A statement that the applicant has been
|
| approved for registration under the Retailers' Occupation Tax Act by the Department of Revenue, provided that this requirement does not apply to a manufactured home dealer who is already licensed with the Secretary of State, and who is merely applying for a renewal of his or her license. As evidence of this fact, the application shall be accompanied by a certification from the Department of Revenue showing that the Department has approved the applicant for registration under the Retailers' Occupation Tax Act.
|
|
(6) An application for:
(A) a manufactured home dealer's license, when
|
| the applicant is selling new manufactured homes or park models on behalf of a manufacturer of manufactured homes or park models, or 5 or more used manufactured homes or park models during the calendar year, shall be accompanied by a $1,000 license fee for the applicant's established place of business, and $100 for each additional place of business, if any, to which the application pertains. If the application is made after June 15 in any year, the license fee shall be $500 for the applicant's established place of business, and $50 for each additional place of business, if any, to which the application pertains. License fees shall be returnable only in the event that the application is denied by the Secretary of State; or
|
|
(B) a community-based manufactured home dealer's
|
| license, when the applicant is selling new manufactured homes or park models on behalf of a manufacturer of manufactured homes or park models, or 5 or more used manufactured homes or park models during the calendar year, but within a community setting, shall be accompanied by a license fee of $500 for the applicant's established place of business, and $50 for each additional place of business within a 50-mile radius of the established place of business, if any to which the application pertains. If the application is made after June 15 in any year, the license fee shall be $250 for the applicant's established place of business, and $50 for each additional place of business, if any, to which the application pertains. License fees shall be returnable only in the event that the application is denied by the Secretary of State.
|
|
Of the monies received by the Secretary of State
|
| as license fees under this paragraph (6), 95% shall be deposited into the General Revenue Fund and 5% into the Motor Vehicle License Plate Fund.
|
|
(7) A statement that the applicant's officers,
|
| directors, and shareholders having a 10% or greater ownership interest therein, proprietor, a partner, member, officer, director, trustee, manager, or other principals in the business, have not committed in the past 3 years any one violation, as determined in any civil, criminal, or administrative hearing proceeding, of any one of the following Acts:
|
|
(A) the Anti Theft Laws of the Illinois Vehicle
|
|
(B) the Certificate of Title Laws of the
|
|
(C) the Offenses against Registration and
|
| Certificates of Title Laws of the Illinois Vehicle Code;
|
|
(D) the Dealers, Transporters, Wreckers, and
|
| Rebuilders Laws of the Illinois Vehicle Code;
|
|
(E) Section 21-2 of the Criminal Code of 2012
|
| (criminal trespass to vehicles);
|
|
(F) the Retailers Occupation Tax Act;
(G) the Consumer Finance Act;
(H) the Consumer Installment Loan Act;
(I) the Retail Installment Sales Act;
(J) the Motor Vehicle Retail Installment Sales
|
|
(K) the Interest Act;
(L) the Illinois Wage Assignment Act;
(M) Part 8 of Article XII of the Code of Civil
|
|
(N) the Consumer Fraud Act.
(8) A bond or certificate of deposit in the amount
|
| of $20,000 for each license holder applicant intending to act as a manufactured home dealer or community-based manufactured home dealer under this Section. The bond shall be for the term of the license, for which application is made, and shall expire not sooner than December 31 of the year for which the license was issued. The bond shall run to the People of the State of Illinois, with surety by a bonding or insurance company authorized to do business in this State. It shall be conditioned upon the proper transmittal of all title and registration fees and taxes (excluding taxes under the Retailers' Occupation Tax Act) accepted by the applicant as a manufactured home dealer.
|
|
(9) Dealers in business for over 5 years may
|
| substitute a certificate of insurance in lieu of the bond or certificate of deposit upon renewing their license.
|
|
(10) Any other information concerning the business
|
| of the applicant as the Secretary of State may by rule prescribe.
|
|
(11) A statement that the applicant has read and
|
| understands Chapters 1 through 5 of this Code.
|
|
(12) The full name, address, and contact information
|
| of each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
|
|
(d) Any change which renders no longer accurate any
information contained in any application for a license under this Section shall be amended within 30 days after the occurrence of the change on a form the Secretary of State may prescribe, by rule, accompanied by an amendatory fee of $25.
(e) The Secretary of State shall, within a reasonable time
after receipt, examine an application submitted to him or her
under this Section, and unless he or she makes a determination
that the application submitted to him or her does not conform
with the requirements of this Section or that grounds exist for
a denial of the application under Section 5-501 of this
Chapter, grant the applicant an initial manufactured home
dealer's license or a community-based manufactured home
dealer's license in writing for his or her established place
of business and a supplemental license in writing for each
additional place of business in a form the Secretary may
prescribe by rule, which shall include the following:
(1) the name of the person or entity licensed;
(2) if a corporation, the name and address of its
|
| officers; if a sole proprietorship, a partnership, an unincorporated association, or any similar form of business organization, the name and address of the proprietor, or the name and address of each partner, member, officer, director, trustee or manager; or if a limited liability company, the name and address of the general partner or partners, or managing member or members;
|
|
(3) in the case of an original license, the
|
| established place of business of the licensee;
|
|
(4) in the case of a supplemental license, the
|
| established place of business of the licensee and the distance to each additional place of business to which the supplemental license pertains;
|
|
(5) if applicable, the make or makes of new
|
| manufactured homes or park models to which a manufactured home dealer is licensed to sell; and
|
|
(6) the full name, address, and contact information
|
| of each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
|
|
(e-5) A manufactured home dealer may operate a supplemental lot if the lot is located within 50 miles of the manufactured home dealer's principal place of business. Records pertaining to a supplemental lot may be maintained at the principal place of business.
(f) The appropriate instrument evidencing the license or a
certified copy of the instrument, provided by the Secretary of
State, shall be kept posted conspicuously in the established
place of business of the licensee and in each additional place
of business, if any, maintained by the licensee, unless the
licensee is a community-based manufactured home dealer, then
the license shall be posted in the community-based manufactured
home dealer's central office and it shall include a list of the
other locations that the community-based manufactured home
dealer may oversee.
(g) Except as provided in subsection (i) of this Section,
all licenses granted under this Section shall expire by operation of law on December 31 of the calendar year for which the licenses were granted, unless sooner revoked or cancelled under the provisions of Section 5-501 of this Chapter.
(h) All persons licensed as a manufactured home dealer or a
community-based manufactured home dealer are required to
furnish each purchaser of a manufactured home or park model:
(1) in the case of a new manufactured home or park
|
| model, a manufacturer's statement of origin, and in the case of a previously owned manufactured home or park model, a certificate of title, in either case properly assigned to the purchaser;
|
|
(2) a statement verified under oath that all
|
| identifying numbers on the vehicle match the identifying numbers on the certificate of title or manufacturer's statement of origin;
|
|
(3) a bill of sale properly executed on behalf of
|
|
(4) a copy of the Uniform Invoice-transaction
|
| reporting return form referred to in Section 5-402; and
|
|
(5) for a new manufactured home or park model, a
|
| warranty, and in the case of a manufactured home or park model for which the warranty has been reinstated, a copy of the warranty; if no warranty is provided, a disclosure or statement that the manufactured home or park model is being sold "AS IS".
|
|
(i) This Section shall not apply to a (i) seller who privately owns his or her manufactured home or park model as his or her main residence and is selling the manufactured home or park model to another individual or to a licensee; (ii) a retailer or entity licensed under either Section 5-101 or 5-102 of this Code; or (iii) an individual or entity licensed to sell truck campers, travel trailers, motor homes, or mini motor homes as defined by this Code. Any vehicle not covered by this Section that requires an individual or entity to obtain a license to sell 5 or more vehicles must obtain a license under the relevant provisions of this Code.
(j) This Section shall not apply to any person licensed
under the Real Estate License Act of 2000.
(k) The Secretary of State may adopt any rules necessary to implement this Section.
(Source: P.A. 101-407, eff. 8-16-19; 102-154, eff. 1-1-22 .)
|
(625 ILCS 5/5-102) (from Ch. 95 1/2, par. 5-102)
(Text of Section from P.A. 102-154) Sec. 5-102. Used vehicle dealers must be licensed.
(a) No person, other than a licensed new vehicle dealer, shall engage in
the business of selling or dealing in, on consignment or otherwise, 5 or
more used vehicles of any make during the year (except house trailers as
authorized by paragraph (j) of this Section and rebuilt salvage vehicles
sold by their rebuilders to persons licensed under this Chapter), or act as
an intermediary, agent or broker for any licensed dealer or vehicle
purchaser (other than as a salesperson) or represent or advertise that he
is so engaged or intends to so engage in such business unless licensed to
do so by the Secretary of State under the provisions of this Section.
(b) An application for a used vehicle dealer's license shall be
filed with the Secretary of State, duly verified by oath, in such form
as the Secretary of State may by rule or regulation prescribe and shall
contain:
1. The name and type of business organization |
| established and additional places of business, if any, in this State.
|
|
2. If the applicant is a corporation, a list of its
|
| officers, directors, and shareholders having a ten percent or greater ownership interest in the corporation, setting forth the residence address of each; if the applicant is a sole proprietorship, a partnership, an unincorporated association, a trust, or any similar form of business organization, the names and residence address of the proprietor or of each partner, member, officer, director, trustee or manager.
|
|
3. A statement that the applicant has been approved
|
| for registration under the Retailers' Occupation Tax Act by the Department of Revenue. However, this requirement does not apply to a dealer who is already licensed hereunder with the Secretary of State, and who is merely applying for a renewal of his license. As evidence of this fact, the application shall be accompanied by a certification from the Department of Revenue showing that the Department has approved the applicant for registration under the Retailers' Occupation Tax Act.
|
|
4. A statement that the applicant has complied with
|
| the appropriate liability insurance requirement. A Certificate of Insurance in a solvent company authorized to do business in the State of Illinois shall be included with each application covering each location at which he proposes to act as a used vehicle dealer. The policy must provide liability coverage in the minimum amounts of $100,000 for bodily injury to, or death of, any person, $300,000 for bodily injury to, or death of, two or more persons in any one accident, and $50,000 for damage to property. Such policy shall expire not sooner than December 31 of the year for which the license was issued or renewed. The expiration of the insurance policy shall not terminate the liability under the policy arising during the period for which the policy was filed. Trailer and mobile home dealers are exempt from this requirement.
|
|
If the permitted user has a liability insurance
|
| policy that provides automobile liability insurance coverage of at least $100,000 for bodily injury to or the death of any person, $300,000 for bodily injury to or the death of any 2 or more persons in any one accident, and $50,000 for damage to property, then the permitted user's insurer shall be the primary insurer and the dealer's insurer shall be the secondary insurer. If the permitted user does not have a liability insurance policy that provides automobile liability insurance coverage of at least $100,000 for bodily injury to or the death of any person, $300,000 for bodily injury to or the death of any 2 or more persons in any one accident, and $50,000 for damage to property, or does not have any insurance at all, then the dealer's insurer shall be the primary insurer and the permitted user's insurer shall be the secondary insurer.
|
|
When a permitted user is "test driving" a used
|
| vehicle dealer's automobile, the used vehicle dealer's insurance shall be primary and the permitted user's insurance shall be secondary.
|
|
As used in this paragraph 4, a "permitted user" is a
|
| person who, with the permission of the used vehicle dealer or an employee of the used vehicle dealer, drives a vehicle owned and held for sale or lease by the used vehicle dealer which the person is considering to purchase or lease, in order to evaluate the performance, reliability, or condition of the vehicle. The term "permitted user" also includes a person who, with the permission of the used vehicle dealer, drives a vehicle owned or held for sale or lease by the used vehicle dealer for loaner purposes while the user's vehicle is being repaired or evaluated.
|
|
As used in this paragraph 4, "test driving" occurs
|
| when a permitted user who, with the permission of the used vehicle dealer or an employee of the used vehicle dealer, drives a vehicle owned and held for sale or lease by a used vehicle dealer that the person is considering to purchase or lease, in order to evaluate the performance, reliability, or condition of the vehicle.
|
|
As used in this paragraph 4, "loaner purposes" means
|
| when a person who, with the permission of the used vehicle dealer, drives a vehicle owned or held for sale or lease by the used vehicle dealer while the user's vehicle is being repaired or evaluated.
|
|
5. An application for a used vehicle dealer's license
|
| shall be accompanied by the following license fees:
|
|
(A) $1,000 for applicant's established place of
|
| business, and $50 for each additional place of business, if any, to which the application pertains; however, if the application is made after June 15 of any year, the license fee shall be $500 for applicant's established place of business plus $25 for each additional place of business, if any, to which the application pertains. License fees shall be returnable only in the event that the application is denied by the Secretary of State. Of the money received by the Secretary of State as license fees under this subparagraph (A) for the 2004 licensing year and thereafter, 95% shall be deposited into the General Revenue Fund.
|
|
(B) Except for dealers selling 25 or fewer
|
| automobiles or as provided in subsection (h) of Section 5-102.7 of this Code, an Annual Dealer Recovery Fund Fee in the amount of $500 for the applicant's established place of business, and $50 for each additional place of business, if any, to which the application pertains; but if the application is made after June 15 of any year, the fee shall be $250 for the applicant's established place of business plus $25 for each additional place of business, if any, to which the application pertains. For a license renewal application, the fee shall be based on the amount of automobiles sold in the past year according to the following formula:
|
|
(1) $0 for dealers selling 25 or less
|
|
(2) $150 for dealers selling more than 25 but
|
| less than 200 automobiles;
|
|
(3) $300 for dealers selling 200 or more
|
| automobiles but less than 300 automobiles; and
|
|
(4) $500 for dealers selling 300 or more
|
|
License fees shall be returnable only in the
|
| event that the application is denied by the Secretary of State. Moneys received under this subparagraph (B) shall be deposited into the Dealer Recovery Trust Fund.
|
|
6. A statement that the applicant's officers,
|
| directors, shareholders having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager or other principals in the business have not committed in the past 3 years any one violation as determined in any civil, criminal or administrative proceedings of any one of the following Acts:
|
|
(A) The Anti-Theft Laws of the Illinois Vehicle
|
|
(B) The Certificate of Title Laws of the Illinois
|
|
(C) The Offenses against Registration and
|
| Certificates of Title Laws of the Illinois Vehicle Code;
|
|
(D) The Dealers, Transporters, Wreckers and
|
| Rebuilders Laws of the Illinois Vehicle Code;
|
|
(E) Section 21-2 of the Illinois Criminal Code of
|
| 1961 or the Criminal Code of 2012, Criminal Trespass to Vehicles; or
|
|
(F) The Retailers' Occupation Tax Act.
7. A statement that the applicant's officers,
|
| directors, shareholders having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager or other principals in the business have not committed in any calendar year 3 or more violations, as determined in any civil or criminal or administrative proceedings, of any one or more of the following Acts:
|
|
(A) The Consumer Finance Act;
(B) The Consumer Installment Loan Act;
(C) The Retail Installment Sales Act;
(D) The Motor Vehicle Retail Installment Sales
|
|
(E) The Interest Act;
(F) The Illinois Wage Assignment Act;
(G) Part 8 of Article XII of the Code of Civil
|
|
(H) The Consumer Fraud and Deceptive Business
|
|
7.5. A statement that, within 10 years of
|
| application, each officer, director, shareholder having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager, or other principal in the business of the applicant has not committed, as determined in any civil, criminal, or administrative proceeding, in any calendar year one or more forcible felonies under the Criminal Code of 1961 or the Criminal Code of 2012, or a violation of either or both Article 16 or 17 of the Criminal Code of 1961 or a violation of either or both Article 16 or 17 of the Criminal Code of 2012, Article 29B of the Criminal Code of 1961 or the Criminal Code of 2012, or a similar out-of-state offense. For the purposes of this paragraph, "forcible felony" has the meaning provided in Section 2-8 of the Criminal Code of 2012.
|
|
8. A bond or Certificate of Deposit in the amount of
|
| $50,000 for each location at which the applicant intends to act as a used vehicle dealer. The bond shall be for the term of the license, or its renewal, for which application is made, and shall expire not sooner than December 31 of the year for which the license was issued or renewed. The bond shall run to the People of the State of Illinois, with surety by a bonding or insurance company authorized to do business in this State. It shall be conditioned upon the proper transmittal of all title and registration fees and taxes (excluding taxes under the Retailers' Occupation Tax Act) accepted by the applicant as a used vehicle dealer.
|
|
9. Such other information concerning the business of
|
| the applicant as the Secretary of State may by rule or regulation prescribe.
|
|
10. A statement that the applicant understands
|
| Chapter 1 through Chapter 5 of this Code.
|
|
11. A copy of the certification from the prelicensing
|
|
12. The full name, address, and contact information
|
| of each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
|
|
(c) Any change which renders no longer accurate any information
contained in any application for a used vehicle dealer's license shall
be amended within 30 days after the occurrence of each change on such
form as the Secretary of State may prescribe by rule or regulation,
accompanied by an amendatory fee of $2.
(d) Anything in this Chapter to the contrary notwithstanding, no
person shall be licensed as a used vehicle dealer unless such person
maintains an established place of business as
defined in this Chapter.
(e) The Secretary of State shall, within a reasonable time after
receipt, examine an application submitted to him under this Section.
Unless the Secretary makes a determination that the application
submitted to him does not conform to this Section or that grounds exist
for a denial of the application under Section 5-501 of this Chapter, he
must grant the applicant an original used vehicle dealer's license in
writing for his established place of business and a supplemental license
in writing for each additional place of business in such form as he may
prescribe by rule or regulation which shall include the following:
1. The name of the person licensed;
2. If a corporation, the name and address of its
|
| officers or if a sole proprietorship, a partnership, an unincorporated association or any similar form of business organization, the name and address of the proprietor or of each partner, member, officer, director, trustee or manager;
|
|
3. In case of an original license, the established
|
| place of business of the licensee;
|
|
4. In the case of a supplemental license, the
|
| established place of business of the licensee and the additional place of business to which such supplemental license pertains;
|
|
5. The full name, address, and contact information of
|
| each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
|
|
(f) The appropriate instrument evidencing the license or a certified
copy thereof, provided by the Secretary of State shall be kept posted,
conspicuously, in the established place of business of the licensee and
in each additional place of business, if any, maintained by such
licensee.
(g) Except as provided in subsection (h) of this Section, all used
vehicle dealer's licenses granted under this Section expire by operation
of law on December 31 of the calendar year for which they are granted
unless sooner revoked or cancelled under Section 5-501 of this Chapter.
(h) A used vehicle dealer's license may be renewed upon application
and payment of the fee required herein, and submission of proof of
coverage by an approved bond under the "Retailers' Occupation Tax Act"
or proof that applicant is not subject to such bonding requirements, as
in the case of an original license, but in case an application for the
renewal of an effective license is made during the month of December,
the effective license shall remain in force until the application for
renewal is granted or denied by the Secretary of State.
(i) All persons licensed as a used vehicle dealer are required to
furnish each purchaser of a motor vehicle:
1. A certificate of title properly assigned to the
|
|
2. A statement verified under oath that all
|
| identifying numbers on the vehicle agree with those on the certificate of title;
|
|
3. A bill of sale properly executed on behalf of such
|
|
4. A copy of the Uniform Invoice-transaction
|
| reporting return referred to in Section 5-402 of this Chapter;
|
|
5. In the case of a rebuilt vehicle, a copy of the
|
| Disclosure of Rebuilt Vehicle Status; and
|
|
6. In the case of a vehicle for which the warranty
|
| has been reinstated, a copy of the warranty.
|
|
(j) A real estate broker holding a valid certificate of registration issued
pursuant to "The Real Estate Brokers and Salesmen License Act" may engage
in the business of selling or dealing in house trailers not his own without
being licensed as a used vehicle dealer under this Section; however such
broker shall maintain a record of the transaction including the following:
(1) the name and address of the buyer and seller,
(2) the date of sale,
(3) a description of the mobile home, including the
|
| vehicle identification number, make, model, and year, and
|
|
(4) the Illinois certificate of title number.
The foregoing records shall be available for inspection by any officer
of the Secretary of State's Office at any reasonable hour.
(k) Except at the time of sale or repossession of the vehicle, no
person licensed as a used vehicle dealer may issue any other person a newly
created key to a vehicle unless the used vehicle dealer makes a color photocopy or electronic scan of the
driver's license or State identification card of the person requesting or
obtaining the newly created key. The used vehicle dealer must retain the photocopy or scan
for 30 days.
A used vehicle dealer who violates this subsection (k) is guilty of a
petty offense. Violation of this subsection (k) is not cause to suspend,
revoke, cancel, or deny renewal of the used vehicle dealer's license.
(l) Used vehicle dealers licensed under this Section shall provide the Secretary of State a register for the sale at auction of each salvage or junk certificate vehicle. Each register shall include the following information:
1. The year, make, model, style and color of the
|
|
2. The vehicle's manufacturer's identification number
|
| or, if applicable, the Secretary of State or Illinois Department of State Police identification number;
|
|
3. The date of acquisition of the vehicle;
4. The name and address of the person from whom the
|
|
5. The name and address of the person to whom any
|
| vehicle was disposed, the person's Illinois license number or if the person is an out-of-state salvage vehicle buyer, the license number from the state or jurisdiction where the buyer is licensed; and
|
|
6. The purchase price of the vehicle.
The register shall be submitted to the Secretary of State via written or electronic means within 10 calendar days from the date of the auction.
(m) If a licensee under this Section voluntarily surrenders a license to the Illinois Secretary of State Police or a representative of the Secretary of State Vehicle Services Department due to the licensee's inability to adhere to recordkeeping provisions, or the inability to properly issue certificates of title or registrations under this Code, or the Secretary revokes a license under this Section, then the licensee and the licensee's agent, designee, or legal representative, if applicable, may not be named on a new application for a licensee under this Section or under this Chapter, nor is the licensee or the licensee's agent, designee, or legal representative permitted to work for another licensee under this Chapter in a recordkeeping, management, or financial position or as an employee who handles certificate of title and registration documents and applications.
(Source: P.A. 101-505, eff. 1-1-20; 102-154, eff. 1-1-22.)
(Text of Section from P.A. 102-538)
Sec. 5-102. Used vehicle dealers must be licensed.
(a) No person, other than a licensed new vehicle dealer, shall engage in
the business of selling or dealing in, on consignment or otherwise, 5 or
more used vehicles of any make during the year (except house trailers as
authorized by paragraph (j) of this Section and rebuilt salvage vehicles
sold by their rebuilders to persons licensed under this Chapter), or act as
an intermediary, agent or broker for any licensed dealer or vehicle
purchaser (other than as a salesperson) or represent or advertise that he
is so engaged or intends to so engage in such business unless licensed to
do so by the Secretary of State under the provisions of this Section.
(b) An application for a used vehicle dealer's license shall be
filed with the Secretary of State, duly verified by oath, in such form
as the Secretary of State may by rule or regulation prescribe and shall
contain:
1. The name and type of business organization
|
| established and additional places of business, if any, in this State.
|
|
2. If the applicant is a corporation, a list of its
|
| officers, directors, and shareholders having a ten percent or greater ownership interest in the corporation, setting forth the residence address of each; if the applicant is a sole proprietorship, a partnership, an unincorporated association, a trust, or any similar form of business organization, the names and residence address of the proprietor or of each partner, member, officer, director, trustee or manager.
|
|
3. A statement that the applicant has been approved
|
| for registration under the Retailers' Occupation Tax Act by the Department of Revenue. However, this requirement does not apply to a dealer who is already licensed hereunder with the Secretary of State, and who is merely applying for a renewal of his license. As evidence of this fact, the application shall be accompanied by a certification from the Department of Revenue showing that the Department has approved the applicant for registration under the Retailers' Occupation Tax Act.
|
|
4. A statement that the applicant has complied with
|
| the appropriate liability insurance requirement. A Certificate of Insurance in a solvent company authorized to do business in the State of Illinois shall be included with each application covering each location at which he proposes to act as a used vehicle dealer. The policy must provide liability coverage in the minimum amounts of $100,000 for bodily injury to, or death of, any person, $300,000 for bodily injury to, or death of, two or more persons in any one accident, and $50,000 for damage to property. Such policy shall expire not sooner than December 31 of the year for which the license was issued or renewed. The expiration of the insurance policy shall not terminate the liability under the policy arising during the period for which the policy was filed. Trailer and mobile home dealers are exempt from this requirement.
|
|
If the permitted user has a liability insurance
|
| policy that provides automobile liability insurance coverage of at least $100,000 for bodily injury to or the death of any person, $300,000 for bodily injury to or the death of any 2 or more persons in any one accident, and $50,000 for damage to property, then the permitted user's insurer shall be the primary insurer and the dealer's insurer shall be the secondary insurer. If the permitted user does not have a liability insurance policy that provides automobile liability insurance coverage of at least $100,000 for bodily injury to or the death of any person, $300,000 for bodily injury to or the death of any 2 or more persons in any one accident, and $50,000 for damage to property, or does not have any insurance at all, then the dealer's insurer shall be the primary insurer and the permitted user's insurer shall be the secondary insurer.
|
|
When a permitted user is "test driving" a used
|
| vehicle dealer's automobile, the used vehicle dealer's insurance shall be primary and the permitted user's insurance shall be secondary.
|
|
As used in this paragraph 4, a "permitted user" is a
|
| person who, with the permission of the used vehicle dealer or an employee of the used vehicle dealer, drives a vehicle owned and held for sale or lease by the used vehicle dealer which the person is considering to purchase or lease, in order to evaluate the performance, reliability, or condition of the vehicle. The term "permitted user" also includes a person who, with the permission of the used vehicle dealer, drives a vehicle owned or held for sale or lease by the used vehicle dealer for loaner purposes while the user's vehicle is being repaired or evaluated.
|
|
As used in this paragraph 4, "test driving" occurs
|
| when a permitted user who, with the permission of the used vehicle dealer or an employee of the used vehicle dealer, drives a vehicle owned and held for sale or lease by a used vehicle dealer that the person is considering to purchase or lease, in order to evaluate the performance, reliability, or condition of the vehicle.
|
|
As used in this paragraph 4, "loaner purposes" means
|
| when a person who, with the permission of the used vehicle dealer, drives a vehicle owned or held for sale or lease by the used vehicle dealer while the user's vehicle is being repaired or evaluated.
|
|
5. An application for a used vehicle dealer's license
|
| shall be accompanied by the following license fees:
|
|
(A) $1,000 for applicant's established place of
|
| business, and $50 for each additional place of business, if any, to which the application pertains; however, if the application is made after June 15 of any year, the license fee shall be $500 for applicant's established place of business plus $25 for each additional place of business, if any, to which the application pertains. License fees shall be returnable only in the event that the application is denied by the Secretary of State. Of the money received by the Secretary of State as license fees under this subparagraph (A) for the 2004 licensing year and thereafter, 95% shall be deposited into the General Revenue Fund.
|
|
(B) Except for dealers selling 25 or fewer
|
| automobiles or as provided in subsection (h) of Section 5-102.7 of this Code, an Annual Dealer Recovery Fund Fee in the amount of $500 for the applicant's established place of business, and $50 for each additional place of business, if any, to which the application pertains; but if the application is made after June 15 of any year, the fee shall be $250 for the applicant's established place of business plus $25 for each additional place of business, if any, to which the application pertains. For a license renewal application, the fee shall be based on the amount of automobiles sold in the past year according to the following formula:
|
|
(1) $0 for dealers selling 25 or less
|
|
(2) $150 for dealers selling more than 25 but
|
| less than 200 automobiles;
|
|
(3) $300 for dealers selling 200 or more
|
| automobiles but less than 300 automobiles; and
|
|
(4) $500 for dealers selling 300 or more
|
|
License fees shall be returnable only in the
|
| event that the application is denied by the Secretary of State. Moneys received under this subparagraph (B) shall be deposited into the Dealer Recovery Trust Fund.
|
|
6. A statement that the applicant's officers,
|
| directors, shareholders having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager or other principals in the business have not committed in the past 3 years any one violation as determined in any civil, criminal or administrative proceedings of any one of the following Acts:
|
|
(A) The Anti-Theft Laws of the Illinois Vehicle
|
|
(B) The Certificate of Title Laws of the Illinois
|
|
(C) The Offenses against Registration and
|
| Certificates of Title Laws of the Illinois Vehicle Code;
|
|
(D) The Dealers, Transporters, Wreckers and
|
| Rebuilders Laws of the Illinois Vehicle Code;
|
|
(E) Section 21-2 of the Illinois Criminal Code of
|
| 1961 or the Criminal Code of 2012, Criminal Trespass to Vehicles; or
|
|
(F) The Retailers' Occupation Tax Act.
7. A statement that the applicant's officers,
|
| directors, shareholders having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager or other principals in the business have not committed in any calendar year 3 or more violations, as determined in any civil or criminal or administrative proceedings, of any one or more of the following Acts:
|
|
(A) The Consumer Finance Act;
(B) The Consumer Installment Loan Act;
(C) The Retail Installment Sales Act;
(D) The Motor Vehicle Retail Installment Sales
|
|
(E) The Interest Act;
(F) The Illinois Wage Assignment Act;
(G) Part 8 of Article XII of the Code of Civil
|
|
(H) The Consumer Fraud and Deceptive Business
|
|
7.5. A statement that, within 10 years of
|
| application, each officer, director, shareholder having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager, or other principal in the business of the applicant has not committed, as determined in any civil, criminal, or administrative proceeding, in any calendar year one or more forcible felonies under the Criminal Code of 1961 or the Criminal Code of 2012, or a violation of either or both Article 16 or 17 of the Criminal Code of 1961 or a violation of either or both Article 16 or 17 of the Criminal Code of 2012, Article 29B of the Criminal Code of 1961 or the Criminal Code of 2012, or a similar out-of-state offense. For the purposes of this paragraph, "forcible felony" has the meaning provided in Section 2-8 of the Criminal Code of 2012.
|
|
8. A bond or Certificate of Deposit in the amount of
|
| $50,000 for each location at which the applicant intends to act as a used vehicle dealer. The bond shall be for the term of the license, or its renewal, for which application is made, and shall expire not sooner than December 31 of the year for which the license was issued or renewed. The bond shall run to the People of the State of Illinois, with surety by a bonding or insurance company authorized to do business in this State. It shall be conditioned upon the proper transmittal of all title and registration fees and taxes (excluding taxes under the Retailers' Occupation Tax Act) accepted by the applicant as a used vehicle dealer.
|
|
9. Such other information concerning the business of
|
| the applicant as the Secretary of State may by rule or regulation prescribe.
|
|
10. A statement that the applicant understands
|
| Chapter 1 through Chapter 5 of this Code.
|
|
11. A copy of the certification from the prelicensing
|
|
(c) Any change which renders no longer accurate any information
contained in any application for a used vehicle dealer's license shall
be amended within 30 days after the occurrence of each change on such
form as the Secretary of State may prescribe by rule or regulation,
accompanied by an amendatory fee of $2.
(d) Anything in this Chapter to the contrary notwithstanding, no
person shall be licensed as a used vehicle dealer unless such person
maintains an established place of business as
defined in this Chapter.
(e) The Secretary of State shall, within a reasonable time after
receipt, examine an application submitted to him under this Section.
Unless the Secretary makes a determination that the application
submitted to him does not conform to this Section or that grounds exist
for a denial of the application under Section 5-501 of this Chapter, he
must grant the applicant an original used vehicle dealer's license in
writing for his established place of business and a supplemental license
in writing for each additional place of business in such form as he may
prescribe by rule or regulation which shall include the following:
1. The name of the person licensed;
2. If a corporation, the name and address of its
|
| officers or if a sole proprietorship, a partnership, an unincorporated association or any similar form of business organization, the name and address of the proprietor or of each partner, member, officer, director, trustee or manager;
|
|
3. In case of an original license, the established
|
| place of business of the licensee;
|
|
4. In the case of a supplemental license, the
|
| established place of business of the licensee and the additional place of business to which such supplemental license pertains.
|
|
(f) The appropriate instrument evidencing the license or a certified
copy thereof, provided by the Secretary of State shall be kept posted,
conspicuously, in the established place of business of the licensee and
in each additional place of business, if any, maintained by such
licensee.
(g) Except as provided in subsection (h) of this Section, all used
vehicle dealer's licenses granted under this Section expire by operation
of law on December 31 of the calendar year for which they are granted
unless sooner revoked or cancelled under Section 5-501 of this Chapter.
(h) A used vehicle dealer's license may be renewed upon application
and payment of the fee required herein, and submission of proof of
coverage by an approved bond under the "Retailers' Occupation Tax Act"
or proof that applicant is not subject to such bonding requirements, as
in the case of an original license, but in case an application for the
renewal of an effective license is made during the month of December,
the effective license shall remain in force until the application for
renewal is granted or denied by the Secretary of State.
(i) All persons licensed as a used vehicle dealer are required to
furnish each purchaser of a motor vehicle:
1. A certificate of title properly assigned to the
|
|
2. A statement verified under oath that all
|
| identifying numbers on the vehicle agree with those on the certificate of title;
|
|
3. A bill of sale properly executed on behalf of such
|
|
4. A copy of the Uniform Invoice-transaction
|
| reporting return referred to in Section 5-402 of this Chapter;
|
|
5. In the case of a rebuilt vehicle, a copy of the
|
| Disclosure of Rebuilt Vehicle Status; and
|
|
6. In the case of a vehicle for which the warranty
|
| has been reinstated, a copy of the warranty.
|
|
(j) A real estate broker holding a valid certificate of registration issued
pursuant to "The Real Estate Brokers and Salesmen License Act" may engage
in the business of selling or dealing in house trailers not his own without
being licensed as a used vehicle dealer under this Section; however such
broker shall maintain a record of the transaction including the following:
(1) the name and address of the buyer and seller,
(2) the date of sale,
(3) a description of the mobile home, including the
|
| vehicle identification number, make, model, and year, and
|
|
(4) the Illinois certificate of title number.
The foregoing records shall be available for inspection by any officer
of the Secretary of State's Office at any reasonable hour.
(k) Except at the time of sale or repossession of the vehicle, no
person licensed as a used vehicle dealer may issue any other person a newly
created key to a vehicle unless the used vehicle dealer makes a color photocopy or electronic scan of the
driver's license or State identification card of the person requesting or
obtaining the newly created key. The used vehicle dealer must retain the photocopy or scan
for 30 days.
A used vehicle dealer who violates this subsection (k) is guilty of a
petty offense. Violation of this subsection (k) is not cause to suspend,
revoke, cancel, or deny renewal of the used vehicle dealer's license.
(l) Used vehicle dealers licensed under this Section shall provide the Secretary of State a register for the sale at auction of each salvage or junk certificate vehicle. Each register shall include the following information:
1. The year, make, model, style and color of the
|
|
2. The vehicle's manufacturer's identification number
|
| or, if applicable, the Secretary of State or Illinois State Police identification number;
|
|
3. The date of acquisition of the vehicle;
4. The name and address of the person from whom the
|
|
5. The name and address of the person to whom any
|
| vehicle was disposed, the person's Illinois license number or if the person is an out-of-state salvage vehicle buyer, the license number from the state or jurisdiction where the buyer is licensed; and
|
|
6. The purchase price of the vehicle.
The register shall be submitted to the Secretary of State via written or electronic means within 10 calendar days from the date of the auction.
(Source: P.A. 101-505, eff. 1-1-20; 102-538, eff. 8-20-21.)
|
(625 ILCS 5/5-102.8) Sec. 5-102.8. Licensure of Buy Here, Pay Here used vehicle dealers. (a) As used in this Section, "Buy Here, Pay Here used vehicle dealer" means any entity that engages in the business of selling or leasing of vehicles and finances the sale or purchase price of the vehicle to a customer without the customer using a third-party lender. (b) No person shall engage in
the business of selling or dealing in, on consignment or otherwise, 5 or
more used vehicles of any make during the year (except rebuilt salvage vehicles
sold by their rebuilders to persons licensed under this Chapter), or act as
an intermediary, agent, or broker for any licensed dealer or vehicle
purchaser (other than as a salesperson) or represent or advertise that he or she
is so engaged or intends to so engage in such business of a Buy Here, Pay Here used vehicle dealer unless licensed to
do so by the Secretary of State under the provisions of this Section.
(c) An application for a Buy Here, Pay Here used vehicle dealer's license shall be
filed with the Secretary of State, duly verified by oath, in such form
as the Secretary of State may by rule or regulation prescribe and shall
contain:
(1) The name and type of business organization |
| established and additional places of business, if any, in this State.
|
|
(2) If the applicant is a corporation, a list of its
|
| officers, directors, and shareholders having a 10% or greater ownership interest in the corporation, setting forth the residence address of each; if the applicant is a sole proprietorship, a partnership, an unincorporated association, a trust, or any similar form of business organization, the names and residence address of the proprietor or of each partner, member, officer, director, trustee, or manager.
|
|
(3) A statement that the applicant has been approved
|
| for registration under the Retailers' Occupation Tax Act by the Department of Revenue. However, this requirement does not apply to a dealer who is already licensed hereunder with the Secretary of State, and who is merely applying for a renewal of his or her license. As evidence of this fact, the application shall be accompanied by a certification from the Department of Revenue showing that the Department has approved the applicant for registration under the Retailers' Occupation Tax Act.
|
|
(4) A statement that the applicant has complied with
|
| the appropriate liability insurance requirement. A Certificate of Insurance in a solvent company authorized to do business in the State of Illinois shall be included with each application covering each location at which he or she proposes to act as a Buy Here, Pay Here used vehicle dealer. The policy must provide liability coverage in the minimum amounts of $100,000 for bodily injury to, or death of, any person, $300,000 for bodily injury to, or death of, 2 or more persons in any one accident, and $50,000 for damage to property. Such policy shall expire not sooner than December 31 of the year for which the license was issued or renewed. The expiration of the insurance policy shall not terminate the liability under the policy arising during the period for which the policy was filed.
|
|
If the permitted user has a liability insurance
|
| policy that provides automobile liability insurance coverage of at least $100,000 for bodily injury to or the death of any person, $300,000 for bodily injury to or the death of any 2 or more persons in any one accident, and $50,000 for damage to property, then the permitted user's insurer shall be the primary insurer and the dealer's insurer shall be the secondary insurer. If the permitted user does not have a liability insurance policy that provides automobile liability insurance coverage of at least $100,000 for bodily injury to or the death of any person, $300,000 for bodily injury to or the death of any 2 or more persons in any one accident, and $50,000 for damage to property, or does not have any insurance at all, then the dealer's insurer shall be the primary insurer and the permitted user's insurer shall be the secondary insurer.
|
|
When a permitted user is "test driving" a Buy Here,
|
| Pay Here used vehicle dealer's automobile, the Buy Here, Pay Here used vehicle dealer's insurance shall be primary and the permitted user's insurance shall be secondary.
|
|
As used in this paragraph, "permitted user" means a
|
| person who, with the permission of the Buy Here, Pay Here used vehicle dealer or an employee of the Buy Here, Pay Here used vehicle dealer, drives a vehicle owned and held for sale or lease by the Buy Here, Pay Here used vehicle dealer that the person is considering to purchase or lease, in order to evaluate the performance, reliability, or condition of the vehicle. "Permitted user" includes a person who, with the permission of the Buy Here, Pay Here used vehicle dealer, drives a vehicle owned or held for sale or lease by the Buy Here, Pay Here used vehicle dealer for loaner purposes while the user's vehicle is being repaired or evaluated.
|
|
As used in this paragraph, "test driving" occurs when
|
| a permitted user who, with the permission of the Buy Here, Pay Here used vehicle dealer or an employee of the Buy Here, Pay Here used vehicle dealer, drives a vehicle owned and held for sale or lease by a Buy Here, Pay Here used vehicle dealer that the person is considering to purchase or lease, in order to evaluate the performance, reliability, or condition of the vehicle.
|
|
As used in this paragraph, "loaner purposes" means
|
| when a person who, with the permission of the Buy Here, Pay Here used vehicle dealer, drives a vehicle owned or held for sale or lease by the used vehicle dealer while the user's vehicle is being repaired or evaluated.
|
|
(5) An application for a Buy Here, Pay Here used
|
| vehicle dealer's license shall be accompanied by the following license fees:
|
|
(A) $1,000 for the applicant's established place
|
| of business, and $50 for each additional place of business, if any, to which the application pertains; however, if the application is made after June 15 of any year, the license fee shall be $500 for the applicant's established place of business plus $25 for each additional place of business, if any, to which the application pertains. License fees shall be returnable only if the application is denied by the Secretary of State. Of the money received by the Secretary of State as license fees under this subparagraph, 95% shall be deposited into the General Revenue Fund.
|
|
(B) Except for dealers selling 25 or fewer
|
| automobiles or as provided in subsection (h) of Section 5-102.7 of this Code, an Annual Dealer Recovery Fund Fee in the amount of $500 for the applicant's established place of business, and $50 for each additional place of business, if any, to which the application pertains; but if the application is made after June 15 of any year, the fee shall be $250 for the applicant's established place of business plus $25 for each additional place of business, if any, to which the application pertains. For a license renewal application, the fee shall be based on the amount of automobiles sold in the past year according to the following formula:
|
|
(1) $0 for dealers selling 25 or less
|
|
(2) $150 for dealers selling more than 25 but
|
| less than 200 automobiles;
|
|
(3) $300 for dealers selling 200 or more
|
| automobiles but less than 300 automobiles; and
|
|
(4) $500 for dealers selling 300 or more
|
|
Fees shall be returnable only if the application
|
| is denied by the Secretary of State. Money received under this subparagraph shall be deposited into the Dealer Recovery Trust Fund. A Buy Here, Pay Here used vehicle dealer shall pay into the Dealer Recovery Trust Fund for every vehicle that is financed, sold, or otherwise transferred to an individual or entity other than the Buy Here, Pay Here used vehicle dealer even if the individual or entity to which the Buy Here, Pay Here used vehicle dealer transfers the vehicle is unable to continue to adhere to the terms of the transaction by the Buy Here, Pay Here used vehicle dealer.
|
|
(6) A statement that each officer, director,
|
| shareholder having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager, or other principal in the business of the applicant has not committed in the past 3 years any one violation as determined in any civil, criminal, or administrative proceedings of any one of the following:
|
|
(A) the Anti-Theft Laws of this Code;
(B) the Certificate of Title Laws of this Code;
(C) the Offenses against Registration and
|
| Certificates of Title Laws of this Code;
|
|
(D) the Dealers, Transporters, Wreckers and
|
| Rebuilders Laws of this Code;
|
|
(E) Section 21-2 of the Illinois Criminal Code of
|
| 1961 or the Criminal Code of 2012, Criminal Trespass to Vehicles; or
|
|
(F) the Retailers' Occupation Tax Act.
(7) A statement that each officer, director,
|
| shareholder having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager, or other principal in the business of the applicant has not committed in any calendar year 3 or more violations, as determined in any civil, criminal, or administrative proceedings, of any one or more of the following:
|
|
(A) the Consumer Finance Act;
(B) the Consumer Installment Loan Act;
(C) the Retail Installment Sales Act;
(D) the Motor Vehicle Retail Installment Sales
|
|
(E) the Interest Act;
(F) the Illinois Wage Assignment Act;
(G) Part 8 of Article XII of the Code of Civil
|
|
(H) the Consumer Fraud and Deceptive Business
|
|
(8) A statement that, within 10 years of application,
|
| each officer, director, shareholder having a 10% or greater ownership interest therein, proprietor, partner, member, officer, director, trustee, manager, or other principal in the business of the applicant has not committed, as determined in any civil, criminal, or administrative proceeding, in any calendar year one or more forcible felonies under the Criminal Code of 1961 or the Criminal Code of 2012, or a violation of either or both Article 16 or 17 of the Criminal Code of 1961, or a violation of either or both Article 16 or 17 of the Criminal Code of 2012, Article 29B of the Criminal Code of 1961 or the Criminal Code of 2012, or a similar out-of-state offense. For the purposes of this paragraph, "forcible felony" has the meaning provided in Section 2-8 of the Criminal Code of 2012.
|
|
(9) A bond or Certificate of Deposit in the amount of
|
| $50,000 for each location at which the applicant intends to act as a Buy Here, Pay Here used vehicle dealer. The bond shall be for the term of the license. The bond shall run to the People of the State of Illinois, with surety by a bonding or insurance company authorized to do business in this State. It shall be conditioned upon the proper transmittal of all title and registration fees and taxes (excluding taxes under the Retailers' Occupation Tax Act) accepted by the applicant as a Buy Here, Pay Here used vehicle dealer.
|
|
(10) Such other information concerning the business
|
| of the applicant as the Secretary of State may by rule prescribe.
|
|
(11) A statement that the applicant understands
|
| Chapter 1 through Chapter 5 of this Code.
|
|
(12) A copy of the certification from the
|
| prelicensing education program.
|
|
(13) The full name, address, and contact information
|
| of each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
|
|
(d) Any change that renders no longer accurate any information
contained in any application for a Buy Here, Pay Here used vehicle dealer's license shall
be amended within 30 days after the occurrence of each change on such
form as the Secretary of State may prescribe by rule,
accompanied by an amendatory fee of $2.
(e) Anything in this Chapter to the contrary notwithstanding, no
person shall be licensed as a Buy Here, Pay Here used vehicle dealer unless the person
maintains an established place of business as
defined in this Chapter.
(f) The Secretary of State shall, within a reasonable time after
receipt, examine an application submitted under this Section.
Unless the Secretary makes a determination that the application does not conform to this Section or that grounds exist
for a denial of the application under Section 5-501 of this Chapter, the Secretary
must grant the applicant an original Buy Here, Pay Here used vehicle dealer's license in
writing for his or her established place of business and a supplemental license
in writing for each additional place of business in such form as the Secretary may
prescribe by rule that shall include the following:
(1) The name of the person licensed.
(2) If a corporation, the name and address of its
|
| officers or if a sole proprietorship, a partnership, an unincorporated association, or any similar form of business organization, the name and address of the proprietor or of each partner, member, officer, director, trustee, or manager.
|
|
(3) In the case of an original license, the
|
| established place of business of the licensee.
|
|
(4) In the case of a supplemental license, the
|
| established place of business of the licensee and the additional place of business to which the supplemental license pertains.
|
|
(5) The full name, address, and contact information
|
| of each of the dealer's agents or legal representatives who is an Illinois resident and liable for the performance of the dealership.
|
|
(g) The appropriate instrument evidencing the license or a certified
copy thereof, provided by the Secretary of State shall be kept posted,
conspicuously, in the established place of business of the licensee and
in each additional place of business, if any, maintained by the
licensee.
(h) Except as provided in subsection (i), all Buy Here, Pay Here used
vehicle dealer's licenses granted under this Section expire by operation
of law on December 31 of the calendar year for which they are granted
unless sooner revoked or cancelled under Section 5-501 of this Chapter.
(i) A Buy Here, Pay Here used vehicle dealer's license may be renewed upon application
and payment of the fee required herein, and submission of proof of
coverage by an approved bond under the Retailers' Occupation Tax Act
or proof that the applicant is not subject to such bonding requirements, as
in the case of an original license, but in the case of an application for the
renewal of an effective license made during the month of December,
the effective license shall remain in force until the application for
renewal is granted or denied by the Secretary of State.
(j) Each person licensed as a Buy Here, Pay Here used vehicle dealer is required to
furnish each purchaser of a motor vehicle:
(1) a certificate of title properly assigned to the
|
|
(2) a statement verified under oath that all
|
| identifying numbers on the vehicle agree with those on the certificate of title;
|
|
(3) a bill of sale properly executed on behalf of the
|
|
(4) a copy of the Uniform Invoice-transaction
|
| reporting return referred to in Section 5-402;
|
|
(5) in the case of a rebuilt vehicle, a copy of the
|
| Disclosure of Rebuilt Vehicle Status; and
|
|
(6) in the case of a vehicle for which the warranty
|
| has been reinstated, a copy of the warranty.
|
|
(k) Except at the time of sale or repossession of the vehicle, no
person licensed as a Buy Here, Pay Here used vehicle dealer may issue any other person a newly
created key to a vehicle unless the Buy Here, Pay Here used vehicle dealer makes a color photocopy or electronic scan of the
driver's license or State identification card of the person requesting or
obtaining the newly created key. The Buy Here, Pay Here used vehicle dealer must retain the photocopy or scan
for 30 days.
A Buy Here, Pay Here used vehicle dealer who violates this subsection (k) is guilty of a
petty offense. Violation of this subsection (k) is not cause to suspend,
revoke, cancel, or deny renewal of the used vehicle dealer's license.
(l) A Buy Here, Pay Here used vehicle dealer licensed under this Section shall provide the Secretary of State a register for the sale at auction of each salvage or junk certificate vehicle. Each register shall include the following information:
(1) the year, make, model, style, and color of the
|
|
(2) the vehicle's manufacturer's identification
|
| number or, if applicable, the Secretary of State or Illinois Department of State Police identification number;
|
|
(3) the date of acquisition of the vehicle;
(4) the name and address of the person from whom the
|
|
(5) the name and address of the person to whom any
|
| vehicle was disposed, the person's Illinois license number or, if the person is an out-of-state salvage vehicle buyer, the license number from the state or jurisdiction where the buyer is licensed; and
|
|
(6) the purchase price of the vehicle.
The register shall be submitted to the Secretary of State via written or electronic means within 10 calendar days from the date of the auction.
(m) If a licensee under this Section voluntarily surrenders a license to the Illinois Secretary of State Police or a representative of the Secretary of State Vehicle Services Department due to the licensee's inability to adhere to recordkeeping provisions, or the inability to properly issue certificates of title or registrations under this Code, or the Secretary revokes a license under this Section, then the licensee and the licensee's agent, designee, or legal representative, if applicable, may not be named on a new application for a licensee under this Section or under this Chapter, nor is the licensee or the licensee's agent, designee, or legal representative permitted to work for another licensee under this Chapter in a recordkeeping, management, or financial position or as an employee who handles certificate of title and registration documents and applications.
(Source: P.A. 101-505, eff. 1-1-20; 102-154, eff. 1-1-22 .)
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