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91_SB1167
LRB9106156KSsb
1 AN ACT to amend the Illinois Vehicle Code by changing
2 Section 3-117.1.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Illinois Vehicle Code is amended by
6 changing Section 3-117.1 as follows:
7 (625 ILCS 5/3-117.1) (from Ch. 95 1/2, par. 3-117.1)
8 Sec. 3-117.1. When junking certificates or salvage
9 certificates must be obtained.
10 (a) Except as provided in Chapter 4 of this Code, a
11 person who possesses a junk vehicle shall within 15 days
12 cause the certificate of title, salvage certificate,
13 certificate of purchase, or a similarly acceptable out of
14 state document of ownership to be surrendered to the
15 Secretary of State along with an application for a junking
16 certificate, except as provided in Section 3-117.2, whereupon
17 the Secretary of State shall issue to the such a person a
18 junking certificate, which shall authorize the holder thereof
19 to possess, transport, or, by an endorsement, transfer
20 ownership in such junked vehicle, and a certificate of title
21 shall not again be issued for such vehicle.
22 A licensee who possesses a junk vehicle and a Certificate
23 of Title, Salvage Certificate, Certificate of Purchase, or a
24 similarly acceptable out-of-state document of ownership for
25 such junk vehicle, may transport the junk vehicle to another
26 licensee prior to applying for or obtaining a junking
27 certificate, by executing a uniform invoice. The licensee
28 transferor shall furnish a copy of the uniform invoice to the
29 licensee transferee at the time of transfer. In any case,
30 the licensee transferor shall apply for a junking certificate
31 in conformance with Section 3-117.1 of this Chapter. The
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1 following information shall be contained on a uniform
2 invoice:
3 (1) The business name, address and dealer license
4 number of the person disposing of the vehicle, junk
5 vehicle or vehicle cowl;
6 (2) The name and address of the person acquiring
7 the vehicle, junk vehicle or vehicle cowl, and if that
8 person is a dealer, the Illinois or out-of-state dealer
9 license number of that dealer;
10 (3) The date of the disposition of the vehicle,
11 junk vehicle or vehicle cowl;
12 (4) The year, make, model, color and description of
13 each vehicle, junk vehicle or vehicle cowl disposed of by
14 such person;
15 (5) The manufacturer's vehicle identification
16 number, Secretary of State identification number or
17 Illinois Department of State Police number, for each
18 vehicle, junk vehicle or vehicle cowl part disposed of by
19 such person;
20 (6) The printed name and legible signature of the
21 person or agent disposing of the vehicle, junk vehicle or
22 vehicle cowl; and
23 (7) The printed name and legible signature of the
24 person accepting delivery of the vehicle, junk vehicle or
25 vehicle cowl.
26 The Secretary of State may certify a junking manifest in
27 a form prescribed by the Secretary of State that reflects
28 those vehicles for which junking certificates have been
29 applied or issued. A junking manifest may be issued to any
30 person and it shall constitute evidence of ownership for the
31 vehicle listed upon it. A junking manifest may be
32 transferred only to a person licensed under Section 5-301 of
33 this Code as a scrap processor. A junking manifest will
34 allow the transportation of those vehicles to a scrap
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1 processor prior to receiving the junk certificate from the
2 Secretary of State.
3 (b) An application for a salvage certificate shall be
4 submitted to the Secretary of State in any of the following
5 situations:
6 (1) When an insurance company makes a payment of
7 damages on a total loss claim for a vehicle, the
8 insurance company shall be deemed to be the owner of such
9 vehicle and the vehicle shall be considered to be salvage
10 except that ownership of a vehicle 9 model years of age
11 or older may, by agreement between the registered owner
12 and the insurance company, be retained by the registered
13 owner of such vehicle. The insurance company shall
14 promptly deliver or mail within 20 days the certificate
15 of title along with proper application and fee to the
16 Secretary of State, and a salvage certificate shall be
17 issued in the name of the insurance company. An insurer
18 making payment of damages on a total loss claim for the
19 theft of a vehicle may exchange the salvage certificate
20 for a certificate of title if the vehicle is recovered
21 without damage. In such a situation, the insurer shall
22 fill out and sign a form prescribed by the Secretary of
23 State which contains an affirmation under penalty of
24 perjury that the vehicle was recovered without damage and
25 the Secretary of State may, by rule or regulation,
26 require photographs to be submitted.
27 (2) When a vehicle the ownership of which has been
28 transferred to any person through a certificate of
29 purchase from acquisition of the vehicle at an auction,
30 other dispositions as set forth in Sections 4-208 and
31 4-209 of this Code, a lien arising under Section 18a-501
32 of this Code, or a public sale under the Abandoned Mobile
33 Home Act shall be deemed salvage or junk at the option of
34 the purchaser. The person acquiring such vehicle in such
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1 manner shall promptly deliver or mail, within 20 days
2 after the acquisition of the vehicle, the certificate of
3 purchase, the proper application and fee, and, if the
4 vehicle is an abandoned mobile home under the Abandoned
5 Mobile Home Act, a certification from a local law
6 enforcement agency that the vehicle was purchased or
7 acquired at a public sale under the Abandoned Mobile Home
8 Act to the Secretary of State and a salvage certificate
9 or junking certificate shall be issued in the name of
10 that person. The salvage certificate or junking
11 certificate issued by the Secretary of State under this
12 Section shall be free of any lien that existed against
13 the vehicle prior to the time the vehicle was acquired by
14 the applicant under this Code.
15 (3) A vehicle which has been repossessed by a
16 lienholder shall be considered to be salvage only when
17 the repossessed vehicle, on the date of repossession by
18 the lienholder, has sustained damage by collision, fire,
19 theft, rust corrosion, or other means so that the cost of
20 repairing such damage, including labor, would be greater
21 than 33 1/3% of its fair market value without such
22 damage. If the lienholder determines that such vehicle
23 is damaged in excess of 33 1/3% of such fair market
24 value, the lienholder shall, before sale, transfer or
25 assignment of the vehicle, make application for a salvage
26 certificate, and shall submit with such application the
27 proper fee and evidence of possession. If the facts
28 required to be shown in subsection (f) of Section 3-114
29 are satisfied, the Secretary of State shall issue a
30 salvage certificate in the name of the lienholder making
31 the application. In any case wherein the vehicle
32 repossessed is not damaged in excess of 33 1/3% of its
33 fair market value, the lienholder shall comply with the
34 requirements of subsections (f), (f-5), and (f-10) of
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1 Section 3-114, except that the affidavit of repossession
2 made by or on behalf of the lienholder shall also contain
3 an affirmation under penalty of perjury that the vehicle
4 on the date of sale is not damaged in excess of 33 1/3%
5 of its fair market value. If the facts required to be
6 shown in subsection (f) of Section 3-114 are satisfied,
7 the Secretary of State shall issue a certificate of title
8 as set forth in Section 3-116 of this Code. The Secretary
9 of State may by rule or regulation require photographs to
10 be submitted.
11 (4) A vehicle which is a part of a fleet of more
12 than 5 commercial vehicles registered in this State or
13 any other state or registered proportionately among
14 several states shall be considered to be salvage when
15 such vehicle has sustained damage by collision, fire,
16 theft, rust, corrosion or similar means so that the cost
17 of repairing such damage, including labor, would be
18 greater than 33 1/3% of the fair market value of the
19 vehicle without such damage. If the owner of a fleet
20 vehicle desires to sell, transfer, or assign his interest
21 in such vehicle to a person within this State other than
22 an insurance company licensed to do business within this
23 State, and the owner determines that such vehicle, at the
24 time of the proposed sale, transfer or assignment is
25 damaged in excess of 33 1/3% of its fair market value,
26 the owner shall, before such sale, transfer or
27 assignment, make application for a salvage certificate.
28 The application shall contain with it evidence of
29 possession of the vehicle. If the fleet vehicle at the
30 time of its sale, transfer, or assignment is not damaged
31 in excess of 33 1/3% of its fair market value, the owner
32 shall so state in a written affirmation on a form
33 prescribed by the Secretary of State by rule or
34 regulation. The Secretary of State may by rule or
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1 regulation require photographs to be submitted. Upon
2 sale, transfer or assignment of the fleet vehicle the
3 owner shall mail the affirmation to the Secretary of
4 State.
5 (5) A vehicle that has been submerged in water to
6 the point that rising water has reached over the door
7 sill and has entered the passenger or trunk compartment
8 is a "flood vehicle". A flood vehicle shall be
9 considered to be salvage only if the vehicle has
10 sustained damage so that the cost of repairing the
11 damage, including labor, would be greater than 33 1/3% of
12 the fair market value of the vehicle without that damage.
13 The salvage certificate issued under this Section shall
14 indicate the word "flood", and the word "flood" shall be
15 conspicuously entered on subsequent titles for the
16 vehicle. A person who possesses or acquires a flood
17 vehicle that is not damaged in excess of 33 1/3% of its
18 fair market value shall make application for title in
19 accordance with Section 3-116 of this Code, designating
20 the vehicle as "flood" in a manner prescribed by the
21 Secretary of State. The certificate of title issued
22 shall indicate the word "flood", and the word "flood"
23 shall be conspicuously entered on subsequent titles for
24 the vehicle.
25 (c) Any person who without authority acquires, sells,
26 exchanges, gives away, transfers or destroys or offers to
27 acquire, sell, exchange, give away, transfer or destroy the
28 certificate of title to any vehicle which is a junk or
29 salvage vehicle shall be guilty of a Class 3 felony.
30 (d) Any person who knowingly fails to surrender to the
31 Secretary of State a certificate of title, salvage
32 certificate, certificate of purchase or a similarly
33 acceptable out-of-state document of ownership as required
34 under the provisions of this Section is guilty of a Class A
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1 misdemeanor for a first offense and a Class 4 felony for a
2 subsequent offense; except that a person licensed under this
3 Code who violates paragraph (5) of subsection (b) of this
4 Section is guilty of a business offense and shall be fined
5 not less than $1,000 nor more than $5,000 for a first offense
6 and is guilty of a Class 4 felony for a second or subsequent
7 violation.
8 (e) Any vehicle which is salvage or junk may not be
9 driven or operated on roads and highways within this State.
10 A violation of this subsection is a Class A misdemeanor. A
11 salvage vehicle displaying valid special plates issued under
12 Section 3-601(b) of this Code, which is being driven to or
13 from an inspection conducted under Section 3-308 of this
14 Code, is exempt from the provisions of this subsection. A
15 salvage vehicle for which a short term permit has been issued
16 under Section 3-307 of this Code is exempt from the
17 provisions of this subsection for the duration of the permit.
18 (Source: P.A. 89-669, eff. 1-1-97; 90-665, eff. 1-1-99.)