State of Illinois
92nd General Assembly
Legislation

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92_HB4975sam001

 










                                           LRB9215737LDtmam02

 1                    AMENDMENT TO HOUSE BILL 4975

 2        AMENDMENT NO.     .  Amend House Bill 4975  by  replacing
 3    everything after the enacting clause:

 4        "Section  5.   The  Illinois  Vehicle  Code is amended by
 5    changing Section 5-101 and 5-102 as follows:

 6        (625 ILCS 5/5-101) (from Ch. 95 1/2, par. 5-101)
 7        Sec. 5-101.  New vehicle dealers must be licensed.
 8        (a)  No person shall engage in this State in the business
 9    of selling or dealing in, on consignment  or  otherwise,  new
10    vehicles  of  any make, or act as an intermediary or agent or
11    broker for any licensed dealer  or  vehicle  purchaser  other
12    than  as  a salesperson, or represent or advertise that he is
13    so engaged or intends to so engage in  such  business  unless
14    licensed  to do so in writing by the Secretary of State under
15    the provisions of this Section.
16        (b)  An application for a new  vehicle  dealer's  license
17    shall  be filed with the Secretary of State, duly verified by
18    oath, on such form as the Secretary of State may by  rule  or
19    regulation prescribe and shall contain:
20             1.  The  name  and  type of business organization of
21        the applicant and his  established and additional  places
22        of business, if any, in this State.
 
                            -2-            LRB9215737LDtmam02
 1             2.  If the applicant is a corporation, a list of its
 2        officers,   directors,  and  shareholders  having  a  ten
 3        percent or greater ownership interest in the corporation,
 4        setting forth the  residence  address  of  each;  if  the
 5        applicant  is  a  sole  proprietorship, a partnership, an
 6        unincorporated association, a trust, or any similar  form
 7        of  business organization, the name and residence address
 8        of the proprietor or of each  partner,  member,  officer,
 9        director, trustee, or manager.
10             3.  The  make  or  makes  of  new vehicles which the
11        applicant will offer for sale at retail in this State.
12             4.  The name  of  each  manufacturer  or  franchised
13        distributor,  if  any,  of  new  vehicles  with  whom the
14        applicant  has  contracted  for  the  sale  of  such  new
15        vehicles. As evidence of this fact, the application shall
16        be accompanied by  a  signed  statement  from  each  such
17        manufacturer or franchised distributor.  If the applicant
18        is  in  the  business of offering for sale new conversion
19        vehicles, trucks or vans, except for trucks  modified  to
20        serve a special purpose which includes but is not limited
21        to  the  following vehicles:  street sweepers, fertilizer
22        spreaders, emergency vehicles, implements of husbandry or
23        maintenance type vehicles, he must furnish evidence of  a
24        sales   and  service  agreement  from  both  the  chassis
25        manufacturer and second stage manufacturer.
26             5.  A statement that the applicant has been approved
27        for registration under the Retailers' Occupation Tax  Act
28        by   the   Department  of  Revenue:  Provided  that  this
29        requirement does not apply to a  dealer  who  is  already
30        licensed  hereunder  with the Secretary of State, and who
31        is merely applying for  a  renewal  of  his  license.  As
32        evidence   of   this   fact,  the  application  shall  be
33        accompanied by a certification  from  the  Department  of
34        Revenue  showing  that  that  Department has approved the
 
                            -3-            LRB9215737LDtmam02
 1        applicant   for   registration   under   the   Retailers'
 2        Occupation Tax Act.
 3             6.  A statement that the applicant has complied with
 4        the  appropriate  liability  insurance  requirement.    A
 5        Certificate  of Insurance in a solvent company authorized
 6        to do business in the State of Illinois shall be included
 7        with each application covering each location at which  he
 8        proposes to act as a new vehicle dealer.  The policy must
 9        provide  liability  coverage  in  the  minimum amounts of
10        $100,000 for bodily injury to, or death of,  any  person,
11        $300,000  for  bodily injury to, or death of, two or more
12        persons in any one accident, and $50,000  for  damage  to
13        property.   Such  policy  shall  expire  not  sooner than
14        December 31 of the year for which the license was  issued
15        or renewed.  The expiration of the insurance policy shall
16        not  terminate  the  liability  under  the policy arising
17        during  the  period  for  which  the  policy  was  filed.
18        Trailer and mobile home  dealers  are  exempt  from  this
19        requirement.
20             The   liability   insurance   policy   must  provide
21        automobile liability coverage in the minimum  amounts  of
22        $100,000  for  bodily  injury  to or death of any person,
23        $300,000 for bodily injury to  or  death  of  2  or  more
24        persons  in  any  one accident, and $50,000 for damage to
25        property for  any  permitted  user  of  the  new  vehicle
26        dealer's   automobile   if  the  permitted  user  has  no
27        automobile liability insurance of his or her  own  or  if
28        the  permitted user has automobile liability insurance in
29        amounts of less than $100,000 for  bodily  injury  to  or
30        death  of  any  person,  $300,000 for bodily injury to or
31        death of 2 or more  persons  in  any  one  accident,  and
32        $50,000 for damage to property.
33             If  the  permitted  user of the new vehicle dealer's
34        automobile  has  automobile  liability  coverage  in  the
 
                            -4-            LRB9215737LDtmam02
 1        minimum amounts of $100,000 for bodily injury to or death
 2        of any person, $300,000 for bodily injury to or death  of
 3        2  or  more  persons in any one accident, and $50,000 for
 4        damage to property, the permitted user's insurance  shall
 5        be  primary  and the new vehicle dealer's insurance shall
 6        be secondary, unless the permitted user is "test driving"
 7        the new vehicle dealer's automobile.   When  a  permitted
 8        user is "test driving" a new vehicle dealer's automobile,
 9        the  new  vehicle dealer's insurance shall be primary and
10        the permitted user's insurance shall be secondary.
11             As used in this paragraph 6, "test  driving"  occurs
12        when a permitted user who, with the permission of the new
13        vehicle  dealer or an employee of the new vehicle dealer,
14        drives a vehicle owned and held for sale or  lease  by  a
15        new  vehicle  dealer  that  the  person is considering to
16        purchase  or  lease,  for  the   exclusive   purpose   of
17        evaluating  the performance, reliability, or condition of
18        the vehicle.  As used in this paragraph 6,  a  "permitted
19        user"  means a person who is not an officer, director, or
20        employee or a spouse of an officer, director, or employee
21        of the new vehicle dealer and is permitted or  authorized
22        to drive a vehicle owned by the new vehicle dealer.
23             7. (A)  An  application  for  a  new  motor  vehicle
24             dealer's   license   shall  be  accompanied  by  the
25             following license fees:
26                  $100  for  applicant's  established  place   of
27             business,  and  $50  for  each  additional  place of
28             business, if any, to which the application pertains;
29             but if the application is made after June 15 of  any
30             year,  the  license fee shall be $50 for applicant's
31             established place of  business  plus  $25  for  each
32             additional  place  of business, if any, to which the
33             application  pertains.   License   fees   shall   be
34             returnable only in the event that the application is
 
                            -5-            LRB9215737LDtmam02
 1             denied   by  the  Secretary  of  State.  All  moneys
 2             received by the Secretary of State as  license  fees
 3             under this Section shall be deposited into the Motor
 4             Vehicle  Review  Board  Fund  and  shall  be used to
 5             administer the Motor Vehicle Review Board under  the
 6             Motor Vehicle Franchise Act.
 7                  (B)  An  application for a new vehicle dealer's
 8             license, other than for a new motor vehicle dealer's
 9             license,  shall  be  accompanied  by  the  following
10             license fees:
11                  $50  for  applicant's  established   place   of
12             business,  and  $25  for  each  additional  place of
13             business, if any, to which the application pertains;
14             but if the application is made after June 15 of  any
15             year,  the  license fee shall be $25 for applicant's
16             established place of business plus $12.50  for  each
17             additional  place  of business, if any, to which the
18             application  pertains.   License   fees   shall   be
19             returnable only in the event that the application is
20             denied by the Secretary of State.
21             8.  A   statement  that  the  applicant's  officers,
22        directors, shareholders having a 10% or greater ownership
23        interest therein, proprietor, a partner, member, officer,
24        director, trustee, manager or  other  principals  in  the
25        business  have  not committed in the past 3 years any one
26        violation  as  determined  in  any  civil,  criminal   or
27        administrative  proceedings  of  any one of the following
28        Acts:
29                  (A)  The  Anti  Theft  Laws  of  the   Illinois
30             Vehicle Code;
31                  (B)  The  Certificate  of  Title  Laws  of  the
32             Illinois Vehicle Code;
33                  (C)  The   Offenses  against  Registration  and
34             Certificates of Title Laws of the  Illinois  Vehicle
 
                            -6-            LRB9215737LDtmam02
 1             Code;
 2                  (D)  The  Dealers,  Transporters,  Wreckers and
 3             Rebuilders Laws of the Illinois Vehicle Code;
 4                  (E)  Section 21-2 of the Criminal Code of 1961,
 5             Criminal Trespass to Vehicles; or
 6                  (F)  The Retailers' Occupation Tax Act.
 7             9.  A  statement  that  the  applicant's   officers,
 8        directors, shareholders having a 10% or greater ownership
 9        interest  therein,  proprietor, partner, member, officer,
10        director, trustee, manager or  other  principals  in  the
11        business  have  not  committed  in any calendar year 3 or
12        more violations, as determined in any civil, criminal  or
13        administrative  proceedings,  of  any  one or more of the
14        following Acts:
15                  (A)  The Consumer Finance Act;
16                  (B)  The Consumer Installment Loan Act;
17                  (C)  The Retail Installment Sales Act;
18                  (D)  The Motor Vehicle Retail Installment Sales
19             Act;
20                  (E)  The Interest Act;
21                  (F)  The Illinois Wage Assignment Act;
22                  (G)  Part 8 of Article XII of the Code of Civil
23             Procedure; or
24                  (H)  The Consumer Fraud Act.
25             10.  A bond or certificate of deposit in the  amount
26        of  $20,000  for  each  location  at  which the applicant
27        intends to act as a new vehicle dealer.  The  bond  shall
28        be for the term of the license, or its renewal, for which
29        application  is  made,  and  shall expire not sooner than
30        December 31 of the year for which the license was  issued
31        or  renewed.   The  bond  shall  run to the People of the
32        State of Illinois, with surety by a bonding or  insurance
33        company  authorized  to  do  business  in this State.  It
34        shall be conditioned upon the proper transmittal  of  all
 
                            -7-            LRB9215737LDtmam02
 1        title  and  registration  fees and taxes (excluding taxes
 2        under the Retailers' Occupation Tax Act) accepted by  the
 3        applicant as a new vehicle dealer.
 4             11.  Such  other information concerning the business
 5        of the applicant as the Secretary of State may by rule or
 6        regulation prescribe.
 7             12.  A  statement  that  the  applicant  understands
 8        Chapter One through Chapter Five of this Code.
 9        (c)  Any change which  renders  no  longer  accurate  any
10    information  contained  in  any application for a new vehicle
11    dealer's license shall be amended within 30  days  after  the
12    occurrence  of  such  change on such form as the Secretary of
13    State may prescribe by rule or regulation, accompanied by  an
14    amendatory fee of $2.
15        (d)  Anything   in   this   Chapter  5  to  the  contrary
16    notwithstanding no person shall be licensed as a new  vehicle
17    dealer unless:
18             1.  He  is authorized by contract in writing between
19        himself and the manufacturer or franchised distributor of
20        such make of vehicle to so sell the same in  this  State,
21        and
22             2.  Such  person shall maintain an established place
23        of business as defined in this Act.
24        (e)  The Secretary of State shall,  within  a  reasonable
25    time  after  receipt, examine an application submitted to him
26    under this Section and unless he  makes a determination  that
27    the  application  submitted  to him does not conform with the
28    requirements of this Section or  that  grounds  exist  for  a
29    denial  of  the  application,  under  Section  5-501  of this
30    Chapter, grant the applicant an original new vehicle dealer's
31    license in writing for his  established place of business and
32    a supplemental license in writing for each  additional  place
33    of  business  in  such  form  as  he may prescribe by rule or
34    regulation which shall include the following:
 
                            -8-            LRB9215737LDtmam02
 1             1.  The name of the person licensed;
 2             2.  If a corporation, the name and  address  of  its
 3        officers  or  if a sole proprietorship, a partnership, an
 4        unincorporated  association  or  any  similar   form   of
 5        business  organization,  the  name  and  address  of  the
 6        proprietor or of each partner, member, officer, director,
 7        trustee or manager;
 8             3.  In   the   case  of  an  original  license,  the
 9        established place of business of the licensee;
10             4.  In the  case  of  a  supplemental  license,  the
11        established  place  of  business  of the licensee and the
12        additional place of business to which  such  supplemental
13        license pertains;
14             5.  The  make  or  makes  of  new vehicles which the
15        licensee is licensed to sell.
16        (f)  The appropriate instrument evidencing the license or
17    a certified copy thereof, provided by the Secretary of State,
18    shall be kept posted conspicuously in the  established  place
19    of  business  of the licensee and in each additional place of
20    business, if any, maintained by such licensee.
21        (g)  Except as provided in subsection (h) hereof, all new
22    vehicle dealer's licenses granted under  this  Section  shall
23    expire  by  operation  of  law on December 31 of the calendar
24    year for which they are  granted  unless  sooner  revoked  or
25    cancelled  under  the  provisions  of  Section  5-501 of this
26    Chapter.
27        (h)  A new vehicle dealer's license may be  renewed  upon
28    application  and  payment  of  the  fee  required herein, and
29    submission of proof of coverage under an approved bond  under
30    the  "Retailers'  Occupation Tax Act" or proof that applicant
31    is not subject to such bonding requirements, as in  the  case
32    of  an  original  license, but in case an application for the
33    renewal of an effective license is made during the  month  of
34    December,  the  effective license shall remain in force until
 
                            -9-            LRB9215737LDtmam02
 1    the application is granted or  denied  by  the  Secretary  of
 2    State.
 3        (i)  All  persons  licensed  as  a new vehicle dealer are
 4    required to furnish each purchaser of a motor vehicle:
 5             1.  In the case of a new  vehicle  a  manufacturer's
 6        statement  of  origin  and  in  the  case of a used motor
 7        vehicle a certificate of title, in either  case  properly
 8        assigned to the purchaser;
 9             2.  A   statement   verified  under  oath  that  all
10        identifying numbers on the vehicle agree  with  those  on
11        the  certificate  of title or manufacturer's statement of
12        origin;
13             3.  A bill of sale properly executed  on  behalf  of
14        such person;
15             4.  A   copy   of  the  Uniform  Invoice-transaction
16        reporting return referred to in Section 5-402 hereof;
17             5.  In the case of a rebuilt vehicle, a copy of  the
18        Disclosure of Rebuilt Vehicle Status; and
19             6.  In  the case of a vehicle for which the warranty
20        has been reinstated, a copy of the warranty.
21        (j)  Except at the time of sale or  repossession  of  the
22    vehicle, no person licensed as a new vehicle dealer may issue
23    any  other person a newly created key to a vehicle unless the
24    new vehicle dealer makes a copy of the  driver's  license  or
25    State   identification  card  of  the  person  requesting  or
26    obtaining the newly created key. The new vehicle dealer  must
27    retain the copy for 30 days.
28        A  new vehicle dealer who violates this subsection (j) is
29    guilty of a petty offense. Violation of this  subsection  (j)
30    is  not  cause to suspend, revoke, cancel, or deny renewal of
31    the new vehicle dealer's license.
32        This amendatory Act of 1983 shall be  applicable  to  the
33    1984 registration year and thereafter.
34    (Source: P.A. 92-391, eff. 8-16-01.)
 
                            -10-           LRB9215737LDtmam02
 1        (625 ILCS 5/5-102) (from Ch. 95 1/2, par. 5-102)
 2        Sec. 5-102.  Used vehicle dealers must be licensed.
 3        (a)  No person, other than a licensed new vehicle dealer,
 4    shall  engage  in  the  business of selling or dealing in, on
 5    consignment or otherwise, 5 or more used vehicles of any make
 6    during the year  (except  house  trailers  as  authorized  by
 7    paragraph  (j)  of  this Section and rebuilt salvage vehicles
 8    sold by their  rebuilders  to  persons  licensed  under  this
 9    Chapter),  or act as an intermediary, agent or broker for any
10    licensed  dealer  or  vehicle  purchaser  (other  than  as  a
11    salesperson) or represent or advertise that he is so  engaged
12    or  intends  to so engage in such business unless licensed to
13    do so by the Secretary of State under the provisions of  this
14    Section.
15        (b)  An  application  for a used vehicle dealer's license
16    shall be filed with the Secretary of State, duly verified  by
17    oath,  in  such form as the Secretary of State may by rule or
18    regulation prescribe and shall contain:
19             1.  The  name  and  type  of  business  organization
20        established and additional places of business, if any, in
21        this State.
22             2.  If the applicant is a corporation, a list of its
23        officers,  directors,  and  shareholders  having  a   ten
24        percent or greater ownership interest in the corporation,
25        setting  forth  the  residence  address  of  each; if the
26        applicant is a sole  proprietorship,  a  partnership,  an
27        unincorporated  association, a trust, or any similar form
28        of business organization, the names and residence address
29        of the proprietor or of each  partner,  member,  officer,
30        director, trustee or manager.
31             3.  A statement that the applicant has been approved
32        for  registration under the Retailers' Occupation Tax Act
33        by the Department of Revenue. However,  this  requirement
34        does  not  apply  to  a  dealer  who  is already licensed
 
                            -11-           LRB9215737LDtmam02
 1        hereunder with the Secretary of State, and who is  merely
 2        applying  for  a  renewal  of his license. As evidence of
 3        this fact, the application  shall  be  accompanied  by  a
 4        certification from the Department of Revenue showing that
 5        the   Department   has   approved   the   applicant   for
 6        registration under the Retailers' Occupation Tax Act.
 7             4.  A statement that the applicant has complied with
 8        the   appropriate  liability  insurance  requirement.   A
 9        Certificate of Insurance in a solvent company  authorized
10        to do business in the State of Illinois shall be included
11        with  each application covering each location at which he
12        proposes to act as a used  vehicle  dealer.   The  policy
13        must provide liability coverage in the minimum amounts of
14        $100,000  for  bodily injury to, or death of, any person,
15        $300,000 for bodily injury to, or death of, two  or  more
16        persons  in  any  one accident, and $50,000 for damage to
17        property.  Such  policy  shall  expire  not  sooner  than
18        December  31 of the year for which the license was issued
19        or renewed.  The expiration of the insurance policy shall
20        not terminate the  liability  under  the  policy  arising
21        during  the  period  for  which  the  policy  was  filed.
22        Trailer  and  mobile  home  dealers  are exempt from this
23        requirement.
24             The  liability   insurance   policy   must   provide
25        automobile  liability  coverage in the minimum amounts of
26        $100,000 for bodily injury to or  death  of  any  person,
27        $300,000  for  bodily  injury  to  or  death of 2 or more
28        persons in any one accident, and $50,000  for  damage  to
29        property  for  any  permitted  user  of  the used vehicle
30        dealer's  automobile  if  the  permitted  user   has   no
31        automobile  liability  insurance  of his or her own or if
32        the permitted user has automobile liability insurance  in
33        amounts  of  less  than  $100,000 for bodily injury to or
34        death of any person, $300,000 for  bodily  injury  to  or
 
                            -12-           LRB9215737LDtmam02
 1        death  of  2  or  more  persons  in any one accident, and
 2        $50,000 for damage to property.
 3             If the permitted user of the used  vehicle  dealer's
 4        automobile  has  automobile  liability  coverage  in  the
 5        minimum amounts of $100,000 for bodily injury to or death
 6        of  any person, $300,000 for bodily injury to or death of
 7        2 or more persons in any one accident,  and  $50,000  for
 8        damage  to property, the permitted user's insurance shall
 9        be primary and the used vehicle dealer's insurance  shall
10        be secondary, unless the permitted user is "test driving"
11        the  used  vehicle dealer's automobile.  When a permitted
12        user  is  "test  driving"   a   used   vehicle   dealer's
13        automobile,  the used vehicle dealer's insurance shall be
14        primary and  the  permitted  user's  insurance  shall  be
15        secondary.
16             As  used  in this paragraph 4, "test driving" occurs
17        when a permitted user who, with  the  permission  of  the
18        used  vehicle  dealer  or an employee of the used vehicle
19        dealer, drives a vehicle owned and held for sale or lease
20        by a used vehicle dealer that the person  is  considering
21        to  purchase  or  lease,  for  the  exclusive  purpose of
22        evaluating the performance, reliability, or condition  of
23        the  vehicle.   As used in this paragraph 4, a "permitted
24        user" means a person who is not an officer, director,  or
25        employee or a spouse of an officer, director, or employee
26        of the used vehicle dealer and is permitted or authorized
27        to drive a vehicle owned by the used vehicle dealer.
28             5.  An  application  for  a  used  vehicle  dealer's
29        license  shall  be  accompanied  by the following license
30        fees:
31             $50 for applicant's established place  of  business,
32        and $25 for each additional place of business, if any, to
33        which   the   application   pertains;   however,  if  the
34        application is made  after  June  15  of  any  year,  the
 
                            -13-           LRB9215737LDtmam02
 1        license  fee  shall  be  $25  for applicant's established
 2        place of business plus $12.50 for each  additional  place
 3        of  business,  if any, to which the application pertains.
 4        License fees shall be returnable only in the  event  that
 5        the application is denied by the Secretary of State.
 6             6.  A   statement  that  the  applicant's  officers,
 7        directors, shareholders having a 10% or greater ownership
 8        interest therein, proprietor, partner,  member,  officer,
 9        director,  trustee,  manager  or  other principals in the
10        business have not committed in the past 3 years  any  one
11        violation   as  determined  in  any  civil,  criminal  or
12        administrative proceedings of any one  of  the  following
13        Acts:
14                  (A)  The   Anti  Theft  Laws  of  the  Illinois
15             Vehicle Code;
16                  (B)  The  Certificate  of  Title  Laws  of  the
17             Illinois Vehicle Code;
18                  (C)  The  Offenses  against  Registration   and
19             Certificates  of  Title Laws of the Illinois Vehicle
20             Code;
21                  (D)  The Dealers,  Transporters,  Wreckers  and
22             Rebuilders Laws of the Illinois Vehicle Code;
23                  (E)  Section 21-2 of the Illinois Criminal Code
24             of 1961, Criminal Trespass to Vehicles; or
25                  (F)  The Retailers' Occupation Tax Act.
26             7.  A   statement  that  the  applicant's  officers,
27        directors, shareholders having a 10% or greater ownership
28        interest therein, proprietor, partner,  member,  officer,
29        director,  trustee,  manager  or  other principals in the
30        business have not committed in any  calendar  year  3  or
31        more  violations,  as determined in any civil or criminal
32        or administrative proceedings, of any one or more of  the
33        following Acts:
34                  (A)  The Consumer Finance Act;
 
                            -14-           LRB9215737LDtmam02
 1                  (B)  The Consumer Installment Loan Act;
 2                  (C)  The Retail Installment Sales Act;
 3                  (D)  The Motor Vehicle Retail Installment Sales
 4             Act;
 5                  (E)  The Interest Act;
 6                  (F)  The Illinois Wage Assignment Act;
 7                  (G)  Part 8 of Article XII of the Code of Civil
 8             Procedure; or
 9                  (H)  The Consumer Fraud Act.
10             8.  A  bond  or Certificate of Deposit in the amount
11        of $20,000 for  each  location  at  which  the  applicant
12        intends  to act as a used vehicle dealer.  The bond shall
13        be for the term of the license, or its renewal, for which
14        application is made, and shall  expire  not  sooner  than
15        December  31 of the year for which the license was issued
16        or renewed.  The bond shall run  to  the  People  of  the
17        State  of Illinois, with surety by a bonding or insurance
18        company authorized to do  business  in  this  State.   It
19        shall  be  conditioned upon the proper transmittal of all
20        title and registration fees and  taxes  (excluding  taxes
21        under  the Retailers' Occupation Tax Act) accepted by the
22        applicant as a used vehicle dealer.
23             9.  Such other information concerning  the  business
24        of the applicant as the Secretary of State may by rule or
25        regulation prescribe.
26             10.  A  statement  that  the  applicant  understands
27        Chapter 1 through Chapter 5 of this Code.
28        (c)  Any  change  which  renders  no  longer accurate any
29    information contained in any application for a  used  vehicle
30    dealer's  license  shall  be amended within 30 days after the
31    occurrence of each change on such form as  the  Secretary  of
32    State  may prescribe by rule or regulation, accompanied by an
33    amendatory fee of $2.
34        (d)  Anything   in   this   Chapter   to   the   contrary
 
                            -15-           LRB9215737LDtmam02
 1    notwithstanding, no  person  shall  be  licensed  as  a  used
 2    vehicle  dealer  unless  such person maintains an established
 3    place of business as defined in this Chapter.
 4        (e)  The Secretary of State shall,  within  a  reasonable
 5    time  after  receipt, examine an application submitted to him
 6    under  this   Section.   Unless   the   Secretary   makes   a
 7    determination that the application submitted to him  does not
 8    conform to this Section or that grounds exist for a denial of
 9    the application under Section 5-501 of this Chapter, he  must
10    grant the applicant an original used vehicle dealer's license
11    in  writing  for  his  established  place  of  business and a
12    supplemental license in writing for each additional place  of
13    business  in  such  form  as  he  may  prescribe  by  rule or
14    regulation which shall include the following:
15             1.  The name of the person licensed;
16             2.  If a corporation, the name and  address  of  its
17        officers  or  if a sole proprietorship, a partnership, an
18        unincorporated  association  or  any  similar   form   of
19        business  organization,  the  name  and  address  of  the
20        proprietor or of each partner, member, officer, director,
21        trustee or manager;
22             3.  In  case of an original license, the established
23        place of business of the licensee;
24             4.  In the  case  of  a  supplemental  license,  the
25        established  place  of  business  of the licensee and the
26        additional place of business to which  such  supplemental
27        license pertains.
28        (f)  The appropriate instrument evidencing the license or
29    a  certified copy thereof, provided by the Secretary of State
30    shall be kept posted, conspicuously, in the established place
31    of business of the licensee and in each additional  place  of
32    business, if any, maintained by such licensee.
33        (g)  Except   as  provided  in  subsection  (h)  of  this
34    Section, all used vehicle  dealer's  licenses  granted  under
 
                            -16-           LRB9215737LDtmam02
 1    this Section expire by operation of law on December 31 of the
 2    calendar  year  for  which  they  are  granted  unless sooner
 3    revoked or cancelled under Section 5-501 of this Chapter.
 4        (h)  A used vehicle dealer's license may be renewed  upon
 5    application  and  payment  of  the  fee  required herein, and
 6    submission of proof of coverage by an approved bond under the
 7    "Retailers' Occupation Tax Act" or proof  that  applicant  is
 8    not  subject  to such bonding requirements, as in the case of
 9    an original license, but  in  case  an  application  for  the
10    renewal  of  an effective license is made during the month of
11    December, the effective license shall remain in  force  until
12    the  application  for  renewal  is  granted  or denied by the
13    Secretary of State.
14        (i)  All persons licensed as a used  vehicle  dealer  are
15    required to furnish each purchaser of a motor vehicle:
16             1.  A  certificate of title properly assigned to the
17        purchaser;
18             2.  A  statement  verified  under  oath   that   all
19        identifying  numbers  on  the vehicle agree with those on
20        the certificate of title;
21             3.  A bill of sale properly executed  on  behalf  of
22        such person;
23             4.  A   copy   of  the  Uniform  Invoice-transaction
24        reporting return referred to in  Section  5-402  of  this
25        Chapter;
26             5.  In  the case of a rebuilt vehicle, a copy of the
27        Disclosure of Rebuilt Vehicle Status; and
28             6.  In the case of a vehicle for which the  warranty
29        has been reinstated, a copy of the warranty.
30        (j)  A  real estate broker holding a valid certificate of
31    registration issued pursuant to "The Real Estate Brokers  and
32    Salesmen  License  Act" may engage in the business of selling
33    or dealing in  house  trailers  not  his  own  without  being
34    licensed as a used vehicle dealer under this Section; however
 
                            -17-           LRB9215737LDtmam02
 1    such  broker  shall  maintain  a  record  of  the transaction
 2    including the following:
 3             (1)  the name and address of the buyer and seller,
 4             (2)  the date of sale,
 5             (3)  a description of the mobile home, including the
 6        vehicle identification number, make, model, and year, and
 7             (4)  the Illinois certificate of title number.
 8        The foregoing records shall be available  for  inspection
 9    by  any  officer  of  the  Secretary of State's Office at any
10    reasonable hour.
11        (k)  Except at the time of sale or  repossession  of  the
12    vehicle,  no  person  licensed  as  a used vehicle dealer may
13    issue any other person a  newly  created  key  to  a  vehicle
14    unless  the  used vehicle dealer makes a copy of the driver's
15    license or State identification card of the person requesting
16    or obtaining the newly created key. The used  vehicle  dealer
17    must retain the copy for 30 days.
18        A used vehicle dealer who violates this subsection (k) is
19    guilty  of  a petty offense. Violation of this subsection (k)
20    is not cause to suspend, revoke, cancel, or deny  renewal  of
21    the used vehicle dealer's license.
22    (Source: P.A. 92-391, eff. 8-16-01.)".

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