There is a newer version of the Illinois Compiled Statutes
2010 Illinois Code
CHAPTER 105 SCHOOLS
105 ILCS 425/ Private Business and Vocational Schools Act.
(105 ILCS 425/1) (from Ch. 144, par. 136) Sec. 1. Definitions. As used in this Act, unless the context otherwise requires: A "private business and vocational school" or "school" is an educational institution privately owned and operated by an owner, partnership, or corporation, offering courses of instruction, short courses, or subjects for which tuition is charged, whether such courses of instruction, short courses, or subjects are offered by in‑residence, correspondence, distance education, or other methods, to prepare individuals: (1) to follow a trade or artistic occupation; (2) to pursue a manual, mechanical, technical, industrial, business, commercial, office, personal service (other than nursing), or other non‑professional occupation; or (3) to follow a profession, if the profession is not subject to licensing or registration under any existing statute of the State of Illinois requiring the licensing or registration of persons practicing such profession or if the school is not approved and regulated by the agency with such licensing or registration authority; (4) to improve, enhance, or add to the skills and abilities of the individual relative to occupational responsibilities or career opportunities. "Council" means the Private Business and Vocational Schools State Advisory Council created by this Act. "Superintendent" means the State Superintendent of Education. "Sales representative" means a person employed by a school as defined herein, whether such school is located within or outside Illinois, to act as an agent, sales person, broker or independent contractor to procure directly students or enrollees for such school by solicitation in any form made at any place in this State. "Tuition" means any payment or compensation whether paid by an individual, private organization or an agency of the United States, State of Illinois or any political subdivision thereof. "Accrediting" refers to the public recognition of the level of quality of an educational institution or program that is granted by a legal entity. "Accrediting agency" means a legal entity, or a part of that entity, which conducts accrediting activities and is designated by the Secretary of the U.S. Department of Education pursuant to the provisions of the Higher Education Act of 1965 (P.L. 89‑329) and related regulations. "Adequate Evaluation Service" means the process by which a school provides prompt evaluation of all required tests and materials with appropriate comments and suggestions for correction of errors and apparent weaknesses and the prompt return of such corrected materials to students concerned. "Board" is the State Board of Education. "Business day" is any calendar day except a Saturday, Sunday or legal holiday; provided that whenever a legal holiday is observed on a Monday, that Monday also shall be deemed a legal holiday. "Certificate of approval" is a non‑transferable certificate issued under the authority of the State Board of Education to a private business and vocational school located within or without the State in the name of the school, which authorizes the school to solicit students and to offer and maintain a course of instruction in compliance with the provisions of this Act and such standards, rules and regulations as may be promulgated by the Board. "Change of location" is a change in a school's principal location, as distinguished from a change in the location of a classroom extension. "Change of ownership" is a change in the financial control of a school occurring whenever 50% or more of a school's stock or assets are sold to another party or parties in one or a series of transactions occurring within any 3 year period. "Chief managing employee" is the individual who is the head administrator or supervisor at a school's principal location. "Classroom extension" is a facility used for instructional purposes either wholly or in part by a school at a location different from the school's principal location. "Course of instruction" is a program of study, education, training or instruction consisting of a series of lessons or classes which are coordinated, arranged, or packaged to constitute a subject, curriculum or program of instruction and sold collectively, so long as the course purports to prepare or qualify individuals, or improve or upgrade the skills individuals need (i) for employment, career opportunities or any specific occupation, trade or in job position requiring manual, mechanical, technical, industrial, business, commercial, office, personal service (other than nursing), artistic, or other non‑professional skills or abilities, or (ii) for any profession which is not subject to licensing or registration under any existing statute of this State. "Date of acceptance" is the date an authorized school officer signs the enrollment agreement at the school's principal location. "Date of admission" is the first scheduled date of class attendance. "Distance education" is a teaching and learning situation in which (i) the instructor and the learner are geographically separated and (ii) instruction and materials are delivered or exchanged or delivered and exchanged by mail, electronic devices, or other means. "Educational institution" is any organization, whether located within or outside of this State, which promotes business and vocational education, even though the institution's principal effort may not be exclusively educational in nature. "Eleemosynary institution" is a benevolent and charitable educational institution deriving a majority of its income from philanthropic gifts and charitable contributions which are used to subsidize its educational program. "Enrollment agreement" is any agreement or instrument, however named, which creates or evidences an obligation binding a student to purchase a course of instruction from a school. "Home study school" is a school which provides correspondence lesson materials prepared in a sequential and logical order for study and completion by a student on his or her own, with completed lessons being returned by the student to the school for evaluation by the school, with comments added, and subsequent return to the student, including those schools which offer such instruction by home study in combination with in‑residence instruction. "Illinois student" is any student contracting for instruction within this State at an Illinois or out‑of‑state private business and vocational school. "In‑residence school" is any school offering courses of instruction to its students on the school's premises. "Out‑of‑state school" is any school, including both an in‑residence school and a home study school, which has its place of instruction or its principal location outside the boundaries of this State, or which offers or conducts courses of instruction or subjects on premises of the school located outside the boundaries of this State, or which provides correspondence or home study lesson materials from a location outside the boundaries of this State, or which evaluates completed lesson materials or otherwise conducts its evaluation service from a location outside the boundaries of this State, or which otherwise offers or provides Illinois students with courses of instruction or subjects through activities engaged in or conducted outside the boundaries of this State. "Person" is an individual, corporation or other business entity. "Placement assistance" is a service provided by a school for preparing and referring students to prospective employers as a result of direct contact between school placement officials and employer representatives. "Refund policy" is the course of action followed by a school to reimburse unearned tuition to students not completing a course of instruction. "Religious institution" is an educational institution of a parochial or denominational character offering courses of instruction which are religious or theological in whole or part and have a sectarian objective. "Short course" is a single course of study up to 20 clock hours that (i) is intended to improve or enhance an individual's vocational skills, (ii) includes an assessment of skill development, and (iii) may result in only a certificate of successful completion or attendance. "Specialized business and vocational degree" is an award conferred on a student who has successfully completed 2 or more academic years or the equivalent thereof in a business and vocational school with major emphasis on training for a specific job or the development of occupational skills related to any of the vocational areas identified within the definition of a "school". "Standards" refers to appropriate criteria established by the Board and used by the Superintendent to implement this Act and such reasonable rules and regulations as may be promulgated by the Board. "Student transcript records" are permanent academic (educational) records used for reproducing transcript copies of such information as the student's dates of attendance, courses and subjects of instruction, and grades. "Subject" is an instructional division, taught separately within a course of instruction, which focuses on student mastery of particular knowledge or skills. "Supplementary course of instruction" is a new course of instruction added to the list of such courses previously approved by the Superintendent. (Source: P.A. 90‑649, eff. 7‑24‑98.) |
(105 ILCS 425/1.01) (from Ch. 144, par. 136.01) Sec. 1.01. This Act shall be known and may be cited as the "Private Business and Vocational Schools Act". (Source: P.A. 83‑1484.) |
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(4) Any in‑service course of instruction and subject | ||
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(5) Any educational institution (A) which (i) | ||
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(6) Any institution and the franchisees of such | ||
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(b) An institution exempted under subsection (a) of this Section must file with the Superintendent an annual financial report to demonstrate continued compliance by the institution with the requirements on which the exemption is based. (Source: P.A. 95‑126, eff. 8‑13‑07.) |
(105 ILCS 425/1.2) (from Ch. 144, par. 136.2) Sec. 1.2. It is the purpose of this Act to provide for the protection, education and welfare of the citizens of the State of Illinois; to provide for the education, protection and welfare of the students of its private business and vocational schools; and to facilitate and promote quality education and responsible, ethical business practices in each of the private business and vocational schools enrolling students in this State. (Source: P.A. 83‑1484.) |
(105 ILCS 425/2) (from Ch. 144, par. 137) Sec. 2. Private Business and Vocational Schools State Advisory Council. There is created, under the State Board of Education, a Private Business and Vocational Schools State Advisory Council composed of 12 members. The Superintendent shall oversee the functions of this Council and shall designate a qualified staff person to serve as a member and represent the Superintendent on the Council. The Chairperson for the Council shall be appointed by the Superintendent from recommendations made by the members specified below. The remaining members shall be appointed by the Superintendent as follows: one owner or chief managing employee from a business school; one owner or chief managing employee from a technical school; one owner or chief managing employee from a home study school; one member who is a public high school vocational counselor in the State of Illinois; an attorney from the Office of the Attorney General; two teachers licensed to teach in a business, technical or vocational school; an attorney from the Cook County State's Attorney's Office; and two former students who have graduated from either a business, technical or vocational school as representatives of the general public. All owners and chief managing employees appointed to the Council shall have a minimum of five years experience in their position. The terms of appointment for all members appointed prior to the effective date of this amendatory Act of 1988 shall expire as designated by the Superintendent at the time of appointment: three members on July 1, 1988; three on July 1, 1989; and three on July 1, 1990. The term of the additional member added by this amendatory Act of 1988 shall commence upon the appointment and expire on July 1, 1990. Successors shall serve for terms of three years from July 1 of the year of their appointment or until their successors are approved. Members of the Council shall serve without pay; however, they shall be reimbursed for their necessary expenses by the Board. All appointments to the Council shall be approved by the Board. Any member of the Council who is a resident of the State who moves residence outside the State shall vacate membership on the Council and so notify the Superintendent, who shall appoint a successor to fill the unexpired term. The successor to fill an unexpired term shall be appointed from a list of at least three nominees submitted by the Council. The Superintendent shall convene the Council at least three times a year to review and advise the Board and Superintendent as may be appropriate on the effectiveness and efficiency by which the rules and regulations are: carrying out the intent of this Act; protecting the interests of the students; and enhancing the ability of the schools to provide quality courses of instruction. The Council shall develop bylaws for the conduct of its business to enable it to efficiently fulfill its mission. (Source: P.A. 85‑1382.) |
(105 ILCS 425/3) (from Ch. 144, par. 138) Sec. 3. Promulgation of standards. The Board, after giving 10 days notice of the time of a hearing by advertisement in at least 2 newspapers having a general circulation in this State and after giving an opportunity to interested persons to be heard thereon at such hearing, may promulgate reasonable standards consistent with the provisions of this Act for courses of instruction offered by business or vocational schools approved by the Superintendent and the necessary facilities therefor. The Board may amend or revoke such standards from time to time after giving notice and affording an opportunity to be heard as above provided in this Section. The Superintendent shall determine whether a certificate of approval shall issue in accordance with the requirements of this Act and the standards, rules and regulations established and promulgated thereunder. (Source: P.A. 85‑433.) |
(105 ILCS 425/4) (from Ch. 144, par. 139) Sec. 4. Prohibition against advertising school or soliciting students without Superintendent authorization. Prior to the establishment of a private business or vocational school or the approval of an existing out‑of‑state school and the issuance of a certificate of approval therefor, no person shall advertise such a school or its courses of instruction or solicit prospective students unless the person has applied for and received from the Superintendent authorization to conduct such activity. (Source: P.A. 83‑1484.) |
(105 ILCS 425/5) (from Ch. 144, par. 140) Sec. 5. Necessity for certificate of approval ‑ Person eligible ‑ Nontransferability ‑ Changes ‑ Display ‑ Approved lists. No person, partnership, or corporation shall conduct, or do business as, or otherwise operate or maintain a private business and vocational school in this State without having been issued a certificate of approval by the Superintendent. A person, partnership or corporation is qualified to receive a certificate of approval who makes proper application therefor and complies with this Act and with every standard, rule and regulation pertaining thereto. Such certificates of approval are not transferable. Whenever a change of ownership of a school occurs, an application for a certificate of approval for the school under such changed ownership shall immediately be filed with the Superintendent. Whenever an owner, partnership or corporation operates a school at different locations, an application for a certificate of approval shall be filed for each location. A school must have approval prior to operating at any location, and shall make application to the Superintendent for any change of location and for a classroom extension at a new or changed location. Each application required to be filed in accordance with the provisions of this Section shall be accompanied by the required fee, and all such applications shall be made on forms prepared and furnished by the Superintendent. The certificate of approval shall be prominently displayed at some place on the premises of the school open to the inspection of all interested persons. The Superintendent shall maintain, open to public inspection, a list of schools, their classroom extensions and their courses of instruction approved under this Act and may annually publish such list. (Source: P.A. 83‑1484.) |
(105 ILCS 425/5.1) (from Ch. 144, par. 140.1) Sec. 5.1. Courses of instruction ‑ Necessity for approval ‑ Degree granting authority.) The Superintendent shall approve all courses of instruction and subjects offered by private business and vocational schools prior to instruction being given. If any course of instruction or subject offered by a school falls within the requirements for approval of this Act or the standards, rules and regulations established and promulgated hereunder, all of its offerings whether secondary or post‑secondary, vocational or avocational, must be approved by the Superintendent. Degree granting authority for specialized business and vocational degrees awarded by private business and vocational schools located in Illinois is subject to the provisions of "An Act providing for the regulation of privately‑operated colleges, junior colleges and universities", approved July 17, 1945, as amended. Such authority, however, shall not exempt any school granting such degrees from the provisions of this Act and the standards, rules and regulations established and promulgated hereunder. An out‑of‑state private business and vocational school shall market specialized degree programs in this State only after receiving a certificate of approval from the Superintendent and authority for granting such degrees from the appropriate regulatory agency of the state in which it is located. (Source: P.A. 83‑1484.) |
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2. The specific courses of instruction which will be | ||
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3. The place or places where such instruction will | ||
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4. A written inspection report of approval by the | ||
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5. A specific listing of the equipment available for | ||
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6. The names, addresses and current status of all | ||
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7. The educational and teaching qualifications of | ||
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7.1. The qualifications of administrators. 8. The financial resources available to establish and | ||
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9. A continuous surety company bond, written by a | ||
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10. Annual reports reflecting teacher, equipment and | ||
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11. Copies of enrollment agreements and retail | ||
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12. Methods used to collect tuition and procedures | ||
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13. Copies of all brochures, films, promotional | ||
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14. Evidence of liability insurance, in such form and | ||
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15. Each application for a certificate of approval | ||
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16. If the evaluation of a particular course or | ||
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(Source: P.A. 94‑1060, eff. 7‑31‑06.) |
(105 ILCS 425/7) (from Ch. 144, par. 142) Sec. 7. Application commitments. Each application for a certificate of approval shall also contain the following commitments: 1. To conduct the school in accordance with this Act and the standards, rules and regulations from time to time established and promulgated hereunder; 2. To conduct the school in accordance with the standards of the school's regional or national accrediting agency, if any; 2.5. To meet standards and requirements at least as stringent as those required by Part H of the Federal Higher Education Act of 1965; 3. To maintain student transcript records for at least 50 years after the student has departed from the school; 4. To conduct instruction in each course of instruction on its certificate of approval at least once during the approval year for which the certificate is issued; 5. To permit the Superintendent or his or her designees to inspect the school or classes thereof from time to time with or without notice; and to make available to the Superintendent or his or her designees, at any time when required to do so, information including financial information pertaining to the activities of the school required for the administration of this Act and the standards, rules and regulations established and promulgated hereunder; 6. To utilize only advertising and solicitation which is free from misrepresentation, deception or fraud, or other misleading or unfair trade practices; 7. To not promise or agree to any right or privilege in respect to professional examinations or to the practice of any profession in violation of the laws of this State; 8. To screen applicants for each course of instruction prior to enrollment and maintain such records for 7 years. If the course being offered is in a language other than English, the screening must include that language; and 9. To post in a conspicuous place a statement, as developed by the Superintendent, of students' rights provided under this Act. (Source: P.A. 91‑357, eff. 7‑29‑99.) |
(105 ILCS 425/7.2) (from Ch. 144, par. 142.2) Sec. 7.2. Conduct of work experience programs ‑ Commercial employment of students. A private business and vocational school shall not make use of its students in manufacturing or commercial activities to its advantage or profit. (Source: P.A. 83‑1484.) |
(105 ILCS 425/7.3) (from Ch. 144, par. 142.3) Sec. 7.3. Charter not to be issued to school not approved ‑ Foreign corporation ‑ Approval of school. No corporate charter shall be issued to any school that has not been approved by the Superintendent to operate or maintain a private business and vocational school; nor shall any foreign corporation conduct, or do business as, or otherwise operate or maintain a private business and vocational school in this State until the school has been approved by the Superintendent. (Source: P.A. 83‑1484.) |
(105 ILCS 425/9) (from Ch. 144, par. 144) Sec. 9. Restriction of certificate to courses of instruction indicated in application ‑ Supplementary applications. Any certificate of approval issued shall restrict the school to the teaching of the courses of instruction indicated in the application for the approval year for which the certificate is issued. Prior to the offering of any additional or supplementary courses of instruction the school shall make application on forms prepared and furnished by the Superintendent and secure approval from the Superintendent and pay the fee prescribed therefor. (Source: P.A. 83‑1484.) |
(105 ILCS 425/10) (from Ch. 144, par. 145) Sec. 10. Application fees ‑ Renewal fees. The following nonrefundable fees shall be paid by each applicant and collected by the Superintendent upon filing and receipt of each of the applications specified below: | ||||||||||||||||||||||||||||||||
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An applicant school which has not remedied all deficiencies cited by the Superintendent within 12 months of the date of its original application for a certificate of approval shall pay an additional $500 original application fee for the continued cost of investigation of its application. (Source: P.A. 90‑649, eff. 7‑24‑98.) |
(105 ILCS 425/12) (from Ch. 144, par. 147) Sec. 12. Issuance of pocket cards upon approval of application ‑ Contents.) The Superintendent, upon approval of an application for or renewal of a permit, shall prepare and deliver to each sales representative a pocket card, which shall contain the name and address of the sales representative and of the employing school and shall certify that the person whose name appears thereon is an authorized sales representative of the school. (Source: P.A. 83‑1484.) |
(105 ILCS 425/12.1) (from Ch. 144, par. 147.1) Sec. 12.1. Termination of Employment of sales representative ‑ Delivery of pocket card.) In the event the approval of the employing school shall lapse, be revoked, or the sales representative's employment terminated, the sales representative's pocket card shall be returned immediately by the employing school with notice of discharge or termination of employment to the Superintendent for cancellation. (Source: P.A. 83‑1484.) |
(105 ILCS 425/13) (from Ch. 144, par. 148) Sec. 13. Annual renewal of certificates and permits. Each school and each sales representative that continues as such shall annually make application upon forms prepared and furnished by the Superintendent to renew its certificate of approval or his or her permit, as the case may be, and shall pay the required annual renewal fee. The Superintendent shall have the authority to designate renewal and expiration dates for all certificates of approval and sales representative's permits. Each such application shall be reviewed annually by the Superintendent. (Source: P.A. 85‑1382.) |
(105 ILCS 425/14) (from Ch. 144, par. 149) Sec. 14. Issuance, suspension, probation, revocation, renewal or restoration of certificates upon action and report of the Superintendent. No certificate of approval shall be issued or renewed without the signature of the Superintendent or his or her designee. No certificate of approval shall be revoked, suspended, placed on one year probation or restored except upon the action and report in writing of the Superintendent. The Superintendent shall preserve a written report of his or her findings and recommendations. (Source: P.A. 85‑1382.) |
(105 ILCS 425/14.1) (from Ch. 144, par. 149.1) Sec. 14.1. Annual review. The Superintendent shall annually review and investigate all approved schools and courses of instruction. Consideration shall be given to complaints and information collected by the Federal Trade Commission, Better Business Bureaus, the Illinois Attorney General's Office, any State's Attorney's Office, other State or official approval agencies, local school officials and interested persons. The Superintendent shall investigate all written complaints about a school or its sales representatives received from all affected persons and any and all governmental agencies. Such annual review shall include a comparison between the graduation or completion rate for the school and the graduation or completion rate for the schools within the industry the school represents, such as business, technical or vocational schools, for the reporting period of July 1 through June 30. Any school that fails to maintain a graduation or completion rate greater than 50% of the average graduation or completion rate for schools within that industry shall be placed on probation for one year. If that school's graduation or completion rate fails to exceed 50% of the average graduation rate for schools within that industry for that school's next reporting period, then the Superintendent shall revoke that school's approval to operate in the State of Illinois. In the event a school does not maintain a passage rate of at least 50% of the average passage rate for schools within that industry for any State licensing examination or professional certification examination, then that school shall be placed on probation for one year. If that school's passage rate in its next reporting period does not exceed 50% of the average passage rate of that class of school as a whole, then the Superintendent shall revoke that school's approval to operate in the State of Illinois. The Superintendent shall develop by rule a procedure to ensure the veracity of the information required under this Section. (Source: P.A. 90‑649, eff. 7‑24‑98.) |
(105 ILCS 425/14.2) (from Ch. 144, par. 149.2) Sec. 14.2. Annual report. The Superintendent shall prepare and file with the Board and the General Assembly during the second week of January in each calendar year a written report setting forth: (1) The name and address of each school with respect to which or with respect to a representative of which a written or verified complaint was made or filed under Section 14.1, Section 17 or any other Section of this Act during the immediately preceding calendar year and, if more than one such complaint was made or filed with respect to that school or any of its representatives during that year, the total number of those complaints. (2) With respect to each complaint referred to in paragraph (1), a statement of whether the Superintendent has investigated the complaint and if so, the findings that were made and the action that has been taken by the Superintendent. (3) The name and address of each school with respect to which or with respect to a representative of which the Superintendent refused to issue or renew a certificate or permit under this Act during the immediately preceding calendar year and the reasons for that refusal. (4) The name and address of each school with respect to which or with respect to a representative of which any certificate or permit issued under this Act was placed on probation, suspended, or revoked during the immediately preceding calendar year and the reasons for the probation, suspension, or revocation. (5) The name and location of each school at which the Superintendent or his or her designee made any on site inspection, review, or investigation at any time during the immediately preceding calendar year and the date or dates on which each such on site visit was made at that school. (Source: P.A. 87‑1008.) |
(105 ILCS 425/15) (from Ch. 144, par. 150) Sec. 15. Rules and regulations. In addition to standards provided for in Section 3, the Board shall make and enforce reasonable rules and regulations as shall be necessary for the proper administration and enforcement of this Act. Such standards, rules and regulations are subject to the provisions of "The Illinois Administrative Procedure Act", approved September 22, 1975, as amended. (Source: P.A. 85‑433.) |
(105 ILCS 425/15.1) (from Ch. 144, par. 150.1) Sec. 15.1. Enrollment agreements. Enrollment agreements shall be used by schools approved by the Superintendent. The student shall be given a copy of the enrollment agreement at the time the student signs that agreement and at the time of the agreement's acceptance, if those events occur at different times. The school shall retain a signed copy of the fully executed enrollment agreement as a part of the student's permanent record. Enrollment agreements shall include the following written disclosures: (1) The name and address of the school and the addresses where instruction will be given; (2) The name and description of the course of instruction, including the number of home study lessons and hours of classroom instruction; (3) The total cost of the course of instruction and all other services and facilities furnished or made available to the student by or through the school in connection with the student's matriculation and study and completion of any subject or course of instruction, including all charges made by the school for tuition, room and board, books, materials, supplies, laboratory, shop and studio fees, and other expenses; (4) A clear and conspicuous statement that the agreement is a legally binding instrument when signed by the student and accepted by the school; (5) A clear and conspicuous caption, "BUYER'S RIGHT TO CANCEL" under which it is explained that the student has the right to cancel the initial enrollment agreement until midnight of the fifth business day after the student has been accepted; and if the right to cancel is not given to any prospective student at the time the enrollment agreement is signed, then the student has the right to cancel the agreement at any time and receive a refund of all monies paid to date within 10 days of cancellation; (6) A notice to the students that any cancellation should be in writing and must be delivered to school management; (7) The school's refund policy for unearned tuition, fees, and other charges; (8) The date of the student's signature and the date of the student's acceptance; (9) A clear and conspicuous statement that every assignee of a student enrollment agreement takes it subject to all claims and defenses of the student or his successors in interest arising under the agreement; (10) The name of the school employee or agent responsible for procuring, soliciting or enrolling the student; (11) A statement containing the following information for the most recent 12 month reporting period of July 1 through June 30: (a) The number of students who were admitted in the | ||
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(b) Additions during the year due to: (A) new starts; (B) re‑enrollments; and (C) transfers into the course of instruction | ||
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(c) Total number of students admitted during the | ||
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(d) Of the total course of instruction enrollment, | ||
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(A) transferred out of the course of instruction | ||
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(B) completed or graduated from a course of | ||
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(C) withdrew from the school; (D) are still enrolled; (e) The number of students listed in item (11)(d) who (A) were placed in their field of study; (B) were placed in a related field; (C) placed out of the field; (D) were not available for placement due to | ||
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(E) were not employed; (f) The number of students who took a State | ||
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(g) The number of graduates who obtained employment | ||
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(h) The average starting salary for all school | ||
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(i) The following clear and conspicuous caption: | ||
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An alphabetical list of names, addresses, and dates of admission by course or course of instruction and a sample copy of the enrollment agreement employed to enroll the students listed shall be filed with the Superintendent on an annual basis. The list shall be signed and verified by the school's Chief Managing Employee. The list shall include enrollments from the period of July 1 through June 30 and shall be submitted within 90 days after the end of the period. If the enrollment agreement is negotiated orally in a language other than English, then copies of the above disclosure forms shall be tendered in the language in which the contract was negotiated prior to executing the enrollment agreement. No school shall enter into any enrollment agreement wherein the student waives the right to assert against the school or any assignee any claim or defense he or she may have against the school arising under the agreement. Any provisions in an enrollment agreement wherein the student agrees to such waiver shall be rendered void. (Source: P.A. 90‑649, eff. 7‑24‑98.) |
(105 ILCS 425/15.1a) (from Ch. 144, par. 150.1a) Sec. 15.1a. The Superintendent shall issue rules and regulations providing for the establishment of a fair and equitable refund policy for each private business and vocational school. Such refund policy shall provide that: 1. Schools shall, when a student gives written notice of cancellation, provide a refund in the amount of at least the following: a. When notice of cancellation is given before | ||
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b. When notice of cancellation is given after | ||
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c. When notice of cancellation is given after the | ||
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d. When a student has completed in excess of 5% of | ||
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(1) A school which is accredited by a nationally | ||
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After 5% of the course of instruction, but | ||
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During the first 25% of the course, the school | ||
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During the second 25% of the course the school | ||
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In cases of withdrawal after 50% of the course, | ||
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(2) All other schools regulated under this | ||
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(3) The refund policy for short courses up to 20 | ||
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(4) All schools that offer courses of | ||
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(A) Students who enroll in a distance | ||
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(B) Thereafter, the school shall retain a | ||
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(C) If more than 20% of the lessons in the | ||
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(D) Refunds shall be based on the last | ||
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2. A student, who on personal initiative and without solicitation enrolls, starts, and completes a course of instruction before midnight of the fifth business day after the enrollment agreement is signed, is not subject to the cancellation provisions of this Section. 3. Applicants not accepted by the school shall receive a refund of all tuition and fees paid within 30 calendar days after the determination of non‑acceptance is made. 4. Application‑registration fees shall be chargeable at initial enrollment and shall not exceed $150 or 50% of the cost of tuition, whichever is less. 5. Deposits or down payments shall become part of the tuition. 6. The school shall mail a written acknowledgement of a student's cancellation or written withdrawal to the student within 15 calendar days of the postmark date of notification. Such written acknowledgement is not necessary if a refund has been mailed to the student within the 15 calendar days. 7. (Blank). 8. All student refunds shall be made by the school within 30 calendar days from the date of receipt of the student's cancellation. 9. A student may give notice of cancellation to the school in writing. The unexplained absence of a student from a school for more than 15 school days shall constitute constructive notice of cancellation to the school. For purposes of cancellation the date shall be the last day of attendance. 10. A school may make refunds which exceed those prescribed in this Section. If the school has a refund policy that returns more money to a student than those policies prescribed in this Section, that refund policy must be filed with the Superintendent. 11. A school shall refund all monies paid to it in any of the following circumstances: a. the school did not provide the prospective | ||
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b. the school cancels or discontinues the course of | ||
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c. the school fails to conduct classes on days or | ||
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12. A school must refund any book and materials fees when: (a) the book and materials are returned to the school unmarked; and (b) the student has provided the school with a notice of cancellation. (Source: P.A. 90‑649, eff. 7‑24‑98.) |
(105 ILCS 425/15.2) (from Ch. 144, par. 150.2) Sec. 15.2. Placement assistance. Each school which offers or advertises a placement assistance for any course of instruction must file with the Superintendent it's placement statistics for the most recent 12 month reporting period of July 1 through June 30 preceding the date of the school's application for annual renewal of its certificate of approval for every course of instruction. All schools offering or advertising a placement assistance shall disclose statistics for such 12 month period showing all of the following: (a) The number of students who were admitted in the course of instruction as of July 1 of the reporting period. (b) Additions during the year due to: (1) new starts; (2) re‑enrollments; and (3) transfers into the course of instruction from | ||
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(c) Total number of students admitted during the reporting period in item (a) plus the additions reported under parts (1), (2), and (3) of item (b). (d) Of the total enrollment, the number of students who: (1) transferred out of the course of instruction to | ||
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(2) completed or graduated from a course of | ||
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(3) withdrew from the school; (4) are still enrolled. (e) The number of students listed in (d) who: (1) were placed in their field of study; (2) were placed in a related field; (3) placed out of the field; (4) were not available for placement due to personal | ||
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(5) were not employed. (f) The number of students who took the State licensing examination or professional certification examination (if any) during the reporting period, as well as the number who passed. (g) The number of graduates who obtained employment in the field who did not use the school's placement assistance during the reporting period; such information may be compiled by reasonable efforts of the school to contact graduates by written correspondence. (h) The average starting salary for all school graduates employed during the reporting period; such information may be compiled by reasonable efforts of the school to contact graduates by written correspondence. Before a student signs an enrollment agreement the enrolling representative shall disclose to the student the above statistical information for the particular course of instruction offered for sale in the enrollment agreement. In the absence of placement statistics for a new course of instruction, the enrolling representative shall disclose to the student the placement statistics which represent the aggregate of all courses of instruction. (Source: P.A. 90‑649, eff. 7‑24‑98.) |
(105 ILCS 425/15.3) (from Ch. 144, par. 150.3) Sec. 15.3. A school shall provide the superintendent with a copy of any notice of warning or suspension or revocation received from any accrediting agency within 15 days of receipt of such notice. The school shall at the same time inform the Superintendent in writing on actions being taken to correct deficiencies cited. (Source: P.A. 85‑1382.) |
(105 ILCS 425/16) (from Ch. 144, par. 151) Sec. 16. Grounds for refusal to issue or renew or to suspend, place on probation or revoke certificates or permits. In addition to any other cause herein set forth the Superintendent may refuse to issue or renew, or may suspend, place on probation for one year or revoke any certificate of approval or permit for any one or any combination of the following causes: 1. Violation of any provision of this Act or any standard, rule or regulation established and promulgated hereunder; 2. Furnishing of false, misleading or incomplete information to the Superintendent or failure to furnish information requested by the Superintendent; 3. Finding that a signatory to an application or the owner, operator or director of the school has entered a plea of nolo contendere to, or has been found guilty of any crime involving moral turpitude; 4. Finding that any person who signed an application or the owner, operator or director of the school is addicted to the use of any illegal drug, or has been found to be a person under legal disability, or has been convicted of any subversive activity; 5. Violation of any commitment made in an application for a certificate of approval, including failure to maintain standards which are the same as, or substantially equivalent to those represented in the school's applications and advertising; 6. Presenting to prospective students information relating to the school, or to employment opportunities or opportunities for enrollment in institutions of higher learning after entering into or completing courses offered by the school, which is false, misleading or fraudulent; 7. Failure to provide or maintain premises or equipment in a safe and sanitary condition as required by laws, regulations or ordinances applicable at the location of the school; 8. Refusal by a sales representative to display a permit upon demand of a prospective student, or the Superintendent or his or her representative, or any law enforcement officer; 9. Failure to maintain financial resources adequate for the satisfactory conduct of the courses of instruction offered or to retain a sufficient and qualified instructional and administrative staff; 10. Conduct of instruction in a course of instruction or subject which has not been approved by the Superintendent for the particular school; 11. Refusal to admit applicants on account of race, color, creed, sex, physical or mental handicap unrelated to ability, religion, or national origin; 12. Where the registrant has been convicted of any crime, an essential element of which is dishonesty, or has been convicted in this or another State of any crime which under the laws of any State or the United States is a felony, if the Superintendent determines, after investigation, that such person has not been sufficiently rehabilitated to warrant the public trust; 13. Paying a commission or valuable consideration to any person for acts or services performed in violation of this Act; 14. Attempting to confer a fraudulent degree, diploma, or certificate to a student; 15. Attempting to conduct or employ students in manufacturing or commercial activities in conjunction with the operation of the school to the school's advantage or profit except to the extent that practical experience is essential to the student's training; 16. Misrepresenting to students or prospective students that they are qualified upon completion of any course for admissions to professional examinations under any occupational licensing act; 17. Encouraging students to enroll in advanced courses of instruction when the prerequisite course has not been completed or proficiency has not been established and that fact is known to the school; 18. Discontinuance of approval or accreditation by any governmental agency in this State which shares regulatory responsibilities for the school with the Superintendent; 19. Discontinuance of full approval or accreditation of any out‑of‑state school marketing any course of instruction in Illinois by the appropriate regulatory agency of any state in which such school is located or conducts its business; 20. Failure to correct any deficiency or act of noncompliance under this Act or the standards, rules and regulations established and promulgated hereunder within reasonable time limits set by the Superintendent; 21. Conduct of business or instructional services other than at locations approved by the Superintendent; 22. Failure to make all of the disclosures or making inaccurate disclosures in the enrollment agreement as required by Section 15.1; 23. Failure to make appropriate refunds as required by Section 15.1a; 24. Denial of accreditation, loss or withdrawal of accreditation by any accrediting agency. (Source: P.A. 85‑1382.) |
(105 ILCS 425/17) (from Ch. 144, par. 152) Sec. 17. Investigations by Superintendent upon his own motion or upon verified complaint ‑ Opportunity for correction. The Superintendent may upon his or her own motion and shall upon the verified complaint in writing of any person setting forth facts which if proved would constitute grounds for refusal or revocation under this Act, investigate the actions of any applicant or any person or persons holding or claiming to hold a certificate or permit. Any student or employee of a school approved by this Act who believes he has been aggrieved by a violation of this Act shall have the right to file a written complaint within one year of the alleged violation. The Superintendent shall acknowledge within 20 days receipt of such written complaint. The Superintendent shall issue a written finding as to whether there is good cause to initiate disciplinary proceedings in accordance with the provisions of this Act. The Superintendent shall furnish such findings to the person who filed the complaint and to the chief operating officer of the school cited in the complaint. However, before proceeding to a hearing on the question of whether a certificate of approval shall be refused or revoked for any cause enumerated in Section 16 exclusive of those causes enumerated in paragraphs 3 and 4 of that Section, the Superintendent may issue a letter granting the school in question 30 days to correct the deficiency or deficiencies. The letter shall enumerate the deficiencies and state the action on the part of the school that will remediate the deficiency or deficiencies. During the time designated for remediating deficiencies the Superintendent may order the school to cease and desist from all marketing and student enrollment activities. If the violations are not corrected within the designated period of time, the Superintendent shall proceed to a hearing on the question of whether the school's certificate should be placed on probation, suspended or revoked for one year. (Source: P.A. 85‑1382.) |
(105 ILCS 425/18) (from Ch. 144, par. 153) Sec. 18. Hearing of charges ‑ Notice ‑ Opportunity to present evidence ‑ Continuances.) The Superintendent shall, before refusing to issue or renew, and before revocation of any certificate or permit, at least 10 days prior to the date set for the hearing, notify in writing the applicant for or holder of a certificate or permit, hereinafter called the respondent, that a hearing will be held on the date designated to determine whether the respondent is privileged to hold such certificate or permit, and shall afford the respondent an opportunity to be heard in person or by counsel in reference thereto. Such written notice may be served by delivery of the same personally to the respondent, or by mailing the same by registered mail to the place of business last theretofore specified by the respondent in the last notification to the Superintendent. At the time and place fixed in the notice, the Superintendent or his or her designated hearing officer shall proceed to hear the charges and both the respondent and the complainant shall be accorded ample opportunity to present in person or by counsel such statements, testimony, evidence and argument as may be pertinent to the charges or to any defense thereto. The Superintendent or his or her designated hearing officer may continue such hearing from time to time. If the Superintendent shall not be sitting at the time and place fixed in the notice or at the time and place to which the hearing shall have been continued, the Superintendent or his or her designated hearing officer shall continue such hearing for a period not to exceed 30 days. Failure of the respondent to appear on the date set for hearing or failure to proceed as ordered by the Superintendent or his or her designated hearing officer shall constitute a default and automatic revocation. (Source: P.A. 85‑433.) |
(105 ILCS 425/19) (from Ch. 144, par. 154) Sec. 19. Power to subpoena and administer oaths.) The Superintendent is authorized to subpoena and bring before a hearing officer any person or persons in this State and to take testimony either orally or by deposition or by exhibit, with the same fees and mileage and in the same manner as prescribed by law in judicial proceedings in civil cases in circuit courts of this State. The Superintendent or the designated hearing officer shall administer oaths to witnesses at any hearing which the Superintendent is authorized by law to conduct. (Source: P.A. 83‑338.) |
(105 ILCS 425/20) (from Ch. 144, par. 155) Sec. 20. Power of circuit or superior courts.) Any circuit court, upon the application of the respondent or complainant, or of the Superintendent, may by order duly entered, require the attendance of witnesses and the production of relevant books and papers before any hearing the Superintendent is authorized to conduct, and the court may compel obedience to its order by proceedings for contempt. (Source: P.A. 83‑334.) |
(105 ILCS 425/21) (from Ch. 144, par. 156) Sec. 21. Superintendent to provide stenographer ‑ Record of proceedings ‑ Transcripts ‑ Costs.) The Superintendent shall provide a stenographer to take down the testimony and preserve a record of all proceedings at the hearing of any case involving the refusal to issue or renew, or the revocation of a certificate or permit. The notice of hearing, complaint and all other documents in the nature of pleadings and written motions filed in the proceedings, the transcript of testimony, and the orders of the Superintendent shall be the records of such proceedings. The Superintendent shall furnish a transcript of such record to any person or persons interested in such hearing upon payment therefor of $2.00 per page for each original transcript and $1.00 per page for each carbon copy thereof ordered with the original; provided, that the charge for any part of such transcript ordered and paid for previous to the writing of the original record thereof shall be $1.00 per page. (Source: P.A. 83‑1484.) |
(105 ILCS 425/22) (from Ch. 144, par. 157) Sec. 22. Service of Superintendent's report upon respondent ‑ Motion for rehearing ‑ Time ‑ Surrender of certificate. The Superintendent or his or her designated hearing officer shall prepare written findings including: (a) a summary of the complaint, (b) findings of fact, and (c) reasons or basis for the order. In any case involving the refusal to issue or renew or the revocation of a certificate or permit, a copy of the Superintendent's order shall be served upon the respondent, either personally or by certified mail as provided in this Act for the service of the notice of hearing. Within 20 days after such service, the respondent may present to the Superintendent a motion in writing for a rehearing or a rescission of the order, which written motion shall specify the particular grounds therefor. In the event no such motion for rehearing or rescission be filed, then upon the expiration of the time specified for filing a motion for rehearing, or in the event such motion be filed and denied, then the Superintendent shall order such denial. If such applicant or registrant shall order and pay for a transcript of the record as provided in this Act, the time elapsing thereafter and before such transcript is ready for delivery shall not be counted as part of such 20 days. Upon the revocation of a certificate or permit, the holder shall be required to surrender such certificate or permit to the Superintendent, and upon failure or refusal so to do, the Superintendent shall have the right to seize the same. (Source: P.A. 85‑293.) |
(105 ILCS 425/23) (from Ch. 144, par. 158) Sec. 23. Appeals to circuit court ‑ Provisions of Administrative Review Law to govern ‑ Certification of record.) Any person affected by a final administrative decision of the Superintendent may have such decision reviewed judicially by the circuit court of the county wherein such person resides, or in the case of a corporation, wherein the registered office is located. If the plaintiff in the review proceeding is not a resident of this State, the venue shall be in Sangamon County. The provisions of the Administrative Review Law, and all amendments and modifications thereof, and the rules adopted pursuant thereto, shall apply to and govern all proceedings for the judicial review of final administrative decisions of the Superintendent hereunder. The term "administrative decisions" is defined as in Section 3‑101 of the Code of Civil Procedure. Service of summons issued in such review proceedings may be had upon the Superintendent. The Superintendent shall not be required to certify the record of the proceeding unless the plaintiff in the review proceedings shall first pay to the Superintendent the sum of $2.00 per page of such record. Exhibits shall be certified without cost. (Source: P.A. 83‑1484.) |
(105 ILCS 425/25) (from Ch. 144, par. 160) Sec. 25. Unlawful acts of school employees not ground for revocation of certificate ‑ Exception.) Any unlawful act or violation of any of the provisions of this Act upon the part of any sales representative or employee of a business and vocational school shall not be cause for the revocation of the certificate of approval unless it shall appear to the satisfaction of the Superintendent that any one or more of the controlling officers, members or managing employees had guilty knowledge thereof. (Source: P.A. 83‑1484.) |
(105 ILCS 425/25.1) (from Ch. 144, par. 160.1) Sec. 25.1. Non‑residents ‑ Approval ‑ Consent to commencement of actions against applicant.) A non‑resident of this State other than a corporation not qualified to do business in this State, desiring to obtain a certificate of approval shall become approved by conforming to all of the conditions of this Act. Every non‑resident applicant shall file consent that actions may be commenced against the applicant in the proper court of any county of this State in which a cause of action may arise and in which the plaintiff may reside, by the service of legal process on the Superintendent. The consent shall agree that service of such process on the Superintendent shall be recognized in all courts to be as valid as if personal service had been made upon the applicant in the State of Illinois. The consent shall be irrevocable as to any cause of action arising during the period of approval. In case any process mentioned in this Act is served upon the Superintendent, he or she shall forward a copy of the process by certified mail to the main office of the applicant against which the process is directed. (Source: P.A. 83‑1484.) |
(105 ILCS 425/25.2) (from Ch. 144, par. 160.2) Sec. 25.2. (a) The following acts or omissions by an owner, operator or authorized agent of a private business and vocational school shall constitute violations of this Act and unlawful practices pursuant to the "Consumer Fraud and Deceptive Business Practices Act", as now or hereafter amended: 1. False or misleading statements, misrepresentations or false promises which have the tendency or capacity to influence or induce persons to enroll in the course of instruction offered by such school. 2. Failure or refusal of the school to make the disclosures in the enrollment agreement required by this Act; or the making of false or inaccurate statements in such disclosures. 3. Failure or refusal of the school to refund fees and unearned tuition, in accordance with the refund policy prescribed by this Act, to any student who cancels his enrollment agreement. 4. Failure or refusal of the school to employ course instructors approved by the State Board of Education and to provide the equipment, facilities or services necessary to implement the course of instruction. (b) Whenever the Attorney General or a state's attorney receives a complaint against a private business and vocational school which alleges one or more of the violations enumerated in subsection (a), he may conduct an investigation to determine the validity of such complaint and, if a violation or violations are found, may use any or all of the remedies, penalties or authority granted to him by the "Consumer Fraud and Deceptive Business Practices Act" to correct such violations and enforce the provisions of this Act. Within 10 business days of receipt, the Superintendent shall transmit to the Attorney General and the appropriate state's attorney copies of complaints filed in his office which allege one or more of the violations enumerated in subsection (a). (Source: P.A. 85‑1382.) |
(105 ILCS 425/26) (from Ch. 144, par. 161) Sec. 26. Except for the violations enumerated below, any owner, operator or authorized agent of a school who knowingly violates any provision of this Act shall be guilty of a business offense. Any owner, operator or authorized agent of a private business and vocational school who commits any of the following offenses shall be guilty of a Class A misdemeanor for the first offense and a Class 4 felony for the second or subsequent offense: 1. Knowingly, and for the purpose of influencing or inducing a person to enroll in the course of instruction offered by the school, makes any false or misleading statements, misrepresentations or false promises to such person regarding opportunities upon graduation from the school for (a) employment in a business, industry or trade, (b) admission to an institution of higher learning, or (c) admission to an occupational licensing examination. 2. Knowingly, and with intent to defraud, retains in excess of the school's refund policy prescribed in this Act any unearned tuition or fees paid by a student who has cancelled his enrollment agreement and is entitled to a refund. 3. Knowingly, and with intent to defraud, misrepresents that any student who has cancelled his enrollment agreement is presently enrolled in the school, has completed the course of instruction or has graduated from the school. 4. Knowingly uses or attempts to use students in any commercial or manufacturing activity related to the operation of the school and to the school's advantage and profit; except to the extent that the school provides the student with practical experience supplemental to the course of instruction or except in the case of students who are employed by the school and compensated for such employment. (Source: P.A. 85‑1382.) |
(105 ILCS 425/26.1) (from Ch. 144, par. 161.1) Sec. 26.1. Injunction. Upon application of the Superintendent, the Attorney General or any State's Attorney, the Circuit Court of each county in which a violation of this Act or the Rules and Regulations has occurred, shall have jurisdiction to enjoin any violation thereto. (Source: P.A. 85‑1382.) |
(105 ILCS 425/26.2) (from Ch. 144, par. 161.2) Sec. 26.2. Private right of action. Any person who suffers damages as a result of a violation of this Act committed by any school or its representative may bring an action against such school. The court in its discretion may award actual damages, treble actual damages if fraud is proved, injunctive relief, and any other relief which the court deems proper. (1) Such action may be commenced in the county in which the school is located, has its principal place of business, or in the county where the transaction or any substantial portion thereof occurred. (2) In any action brought by a person under this Section, the court may award, in addition to the relief provided in this Section reasonable attorney's fees and costs to the prevailing party. (3) Either party to an action under this Section may request a trial by jury. (Source: P.A. 85‑1382.) |
(105 ILCS 425/27) (from Ch. 144, par. 162) Sec. 27. Public Policy. It is declared to be the public policy of this State, pursuant to paragraphs (h) and (i) of Section 6 of Article VII of the Illinois Constitution of 1970, that any power or function set forth in this Act to be exercised by the State is an exclusive State power or function. Such power or function shall not be exercised concurrently, either directly or indirectly, by any unit of local government, including home rule units, except as otherwise provided in this Act. (Source: P. A. 78‑1221.) |
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