SB1162 Engrossed

LRB095 08538 LCT 28719 b






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    AN ACT concerning motor vehicles.

 
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    Be it enacted by the People of the State of Illinois,
 
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represented in the General Assembly:


 
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    Section 5. The Consumer Fraud and Deceptive Business 
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Practices Act is amended  by adding Section 2ZZ as follows:
 
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    (815 ILCS 505/2ZZ  new)
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    Sec. 2ZZ. Payoff of liens on motor vehicles traded in to 
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dealer.
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    (a) When a motor vehicle dealer, as defined by Sections 
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5-101 or 5-102 of the             Illinois Vehicle Code, enters into a 
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retail transaction where a consumer trades in or sells a


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vehicle that is subject to a lien, the dealer shall:
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        (1) within 21 calendar days of the date of sale remit 
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    payment to the lien

holder to pay off the lien on the 
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    traded-in or sold motor vehicle, unless the                     underlying 
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    contract has been rescinded before expiration of 21 
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    calendar days; and
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        (2) fully comply with Section 2C of this Act.
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    (b) A motor vehicle dealer who violates this Section 
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commits an unlawful practice          within the meaning of this Act.
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    (c) For the purposes of this Section, the term "date of 
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sale" shall be the date the             parties entered into the 
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transaction as evidenced by the date written in the contract   
 


 






SB1162 Engrossed
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LRB095 08538 LCT 28719 b




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executed by the parties, or the date the motor vehicle 
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dealership took possession of the          traded-in or sold vehicle. In 
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the event the date of the contract differs from the date the        
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motor vehicle dealership took possession of the traded-in 
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vehicle, the "date of sale" shall

be the date the motor vehicle 
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dealership took possession of the traded-in vehicle.