State of Illinois
92nd General Assembly
Legislation

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92_HB1041sam001

 










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 1                    AMENDMENT TO HOUSE BILL 1041

 2        AMENDMENT NO.     .  Amend House Bill 1041 as follows:

 3    on page 1, by replacing lines 5 and 6 with the following:
 4    "changing  Sections  2-118.1,  5-103,  6-117,  6-118,  6-204,
 5    6-206, 6-208, and 7-604 as follows:"; and

 6    on page 3, below line 10, by inserting the following:

 7        "(625 ILCS 5/5-103) (from Ch. 95 1/2, par. 5-103)
 8        Sec. 5-103. (a)  Every  new  vehicle  manufacturer  shall
 9    specify  the  delivery  and  preparation  obligations  of its
10    vehicle dealers prior to delivery of new vehicles  to  retail
11    buyers. A copy of the delivery and preparation obligations of
12    its  dealers  shall  be  filed with the Secretary of State by
13    every vehicle manufacturer and shall constitute  the  vehicle
14    dealer's only responsibility for product liability as between
15    the  dealer and the manufacturer. A manufacturer's product or
16    warranty  liability  to  the  dealer  shall  extend  to   any
17    mechanical, body or parts defect constituting a breach of any
18    express   or   implied  warranty  of  the  manufacturer.  The
19    manufacturer  shall  reasonably  compensate  any   authorized
20    dealer  who  rectifies a defect which constitutes a breach of
21    any express or implied warranty of the manufacturer  and  for
22    preparation  and  delivery  obligations.  Every  dealer shall
 
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 1    perform the preparation and get ready services  specified  by
 2    the manufacturer to be performed prior to the delivery of the
 3    new vehicle to the buyer.
 4        (b)  The owner of the vehicle may cause the vehicle to be
 5    inspected  according  to  this  Section and have the original
 6    manufacturer's warranty reinstated if the vehicle is a  theft
 7    recovery  that  has  been  salvaged  and is recovered without
 8    structural  damage  or  missing  essential  parts,  excluding
 9    wheels, damage to the steering column,  and  radios  provided
10    the owner:
11             (1)  Submits  the vehicle to a franchised dealer for
12        a complete inspection, including fluids, frame, essential
13        parts, and other items  deemed  by  the  manufacturer  as
14        essential  for  verification  of  the  condition  of  the
15        vehicle at the time of recovery.
16             (2)  Submits a copy of the police recovery report to
17        the inspecting dealer.
18             (3)  Paid   the   inspection   fee  charged  by  the
19        franchised dealer.
20        The   manufacturer   shall   reinstate    the    original
21    manufacturer's  warranty  if  a  vehicle  is  certified  by a
22    franchised dealer as having complied with the  provisions  of
23    this   Section.   The  manufacturer  shall,  in  addition  to
24    reinstating the warranty, provide the owner  with  a  written
25    statement   indicating   that   the  original  manufacturer's
26    warranty has been reinstated.
27        (c)  Any licensed vehicle dealer that offers, provides or
28    sells in-house and or  self-insured  extended  warranties  or
29    service   contracts,   other   than   those  of  the  vehicle
30    manufacturer, shall retain adequate reserves or insurance for
31    the protection of the purchasing consumer.  The Secretary  of
32    State   shall   provide   by  rule  and  regulation  for  the
33    implementation of this requirement.
34        Nothing in this Section shall affect a cause of action  a
 
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 1    buyer may have against a dealer or manufacturer under present
 2    applicable statutory or case law.
 3    (Source: P.A. 89-189, eff. 1-1-96.)"; and

 4    on page 25, below line 29, by inserting the following:

 5        "(625 ILCS 5/7-604) (from Ch. 95 1/2, par. 7-604)
 6        Sec. 7-604.  Verification of liability insurance policy.
 7        (a)  The  Secretary of State may select random samples of
 8    registrations of motor vehicles subject to Section  7-601  of
 9    this  Code,  or  owners thereof, for the purpose of verifying
10    whether or not the motor vehicles are insured.
11        In addition to  such  general  random  samples  of  motor
12    vehicle   registrations,   the   Secretary   may  select  for
13    verification other random samples, including, but not limited
14    to registrations of motor vehicles owned by persons:
15             (1)  whose motor vehicle  registrations  during  the
16        preceding 4 years have been suspended pursuant to Section
17        7-606 or 7-607 of this Code;
18             (2)  who  during  the  preceding  4  years have been
19        convicted of violating Section 3-707, 3-708 or  3-710  of
20        this   Code  while  operating  vehicles  owned  by  other
21        persons;
22             (3)  whose driving privileges  have  been  suspended
23        during the preceding 4 years;
24             (4)  who  during  the  preceding  4  years  acquired
25        ownership  of  motor  vehicles while the registrations of
26        such vehicles under the previous  owners  were  suspended
27        pursuant to Section 7-606 or 7-607 of this Code; or
28             (5)  who  during the preceding 4 years have received
29        a disposition of  supervision  under  subsection  (c)  of
30        Section  5-6-1  of  the Unified Code of Corrections for a
31        violation of Section 3-707, 3-708, or 3-710 of this Code.
32        (b)  Upon receiving certification from the Department  of
33    Transportation under Section 7-201.2 of this Code of the name
 
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 1    of  an  owner or operator of any motor vehicle involved in an
 2    accident, the Secretary may verify whether or not at the time
 3    of the accident such motor vehicle was covered by a liability
 4    insurance policy in accordance with  Section  7-601  of  this
 5    Code.
 6        (c)  In  preparation  for selection of random samples and
 7    their verification, the  Secretary  may  send  to  owners  of
 8    randomly  selected  motor  vehicles,  or to randomly selected
 9    motor vehicle owners, requests for  information  about  their
10    motor vehicles and liability insurance coverage.  The request
11    shall  require  the  owner  to state whether or not the motor
12    vehicle was insured on the verification date  stated  in  the
13    Secretary's  request  and the request may require, but is not
14    limited to, a  statement  by  the  owner  of  the  names  and
15    addresses  of  insurers, policy numbers, and expiration dates
16    of insurance coverage.
17        (d)  Within 30 days after the Secretary mails a  request,
18    the  owner  to  whom  it  is sent shall furnish the requested
19    information  to  the  Secretary  above  the  owner's   signed
20    affirmation that such information is true and correct.  Proof
21    of   insurance   in  effect  on  the  verification  date,  as
22    prescribed  by  the  Secretary,  may  be  considered  by  the
23    Secretary to be a satisfactory response to  the  request  for
24    information.
25        Any  owner  whose  response  indicates  that  his  or her
26    vehicle was not covered by a liability  insurance  policy  in
27    accordance with Section 7-601 of this Code shall be deemed to
28    have registered or maintained registration of a motor vehicle
29    in  violation of that Section. Any owner who fails to respond
30    to such a request shall  be  deemed  to  have  registered  or
31    maintained  registration  of  a motor vehicle in violation of
32    Section 7-601 of this Code.
33        (e)  If the owner responds to the request for information
34    by asserting that  his  or  her  vehicle  was  covered  by  a
 
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 1    liability insurance policy on the verification date stated in
 2    the   Secretary's   request,  the  Secretary  may  conduct  a
 3    verification  of  the  response   by   furnishing   necessary
 4    information  to  the  insurer  named  in  the  response.  The
 5    insurer shall within 45 30 days inform the Secretary  whether
 6    or  not on the verification date stated the motor vehicle was
 7    insured by the insurer in accordance with  Section  7-601  of
 8    this Code. The Secretary may by rule and regulation prescribe
 9    the procedures for verification.
10        (f)  No  random  sample selected under this Section shall
11    be categorized on the basis of race,  color,  religion,  sex,
12    national  origin,  ancestry, age, marital status, physical or
13    mental disability, economic status or geography.
14    (Source: P.A. 88-315; 88-685, eff. 1-24-95.)".

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