(625 ILCS 5/3‑100.1)
Sec. 3‑100.1.
Use of electronic records.
(a) To the extent authorized by the Secretary of State and in accordance
with standards and procedures prescribed by the Secretary of State:
(1) Certificates, certifications, affidavits, |
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applications, assignments, statements, notices, documents, and other records required under this Chapter may be created, distributed, and received in electronic form.
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(2) Signatures required under this Chapter may be
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made as electronic signatures or may be waived.
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(3) Delivery of records required under this Chapter
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may be made by any means, including electronic delivery.
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(4) Fees and taxes required to be paid under this
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Chapter may be made by electronic means; provided that any forms, records, electronic records, and methods of electronic payment relating to the filing and payment of taxes shall be prescribed by the Department of Revenue.
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(b) Electronic records accepted by the Secretary of State have the
same force and effect as records created on paper by writing, typing,
printing, or similar means. The procedures established by the
Secretary of State concerning the acceptance of electronic filings
and electronic records shall ensure that the electronic filings and
electronic records are received and stored accurately and that they
are readily available to satisfy any statutory requirements that call
for a written record.
(c) Electronic signatures accepted by the Secretary of State shall have the
same force and effect as manual signatures.
(d) Electronic delivery of records accepted by the Secretary of State shall
have the same force and effect as physical delivery of records.
(e) Electronic records and electronic signatures accepted by the Secretary
of State shall be admissible in all administrative, quasi‑judicial,
and judicial proceedings. In any such proceeding, nothing in the
application of the rules of evidence shall apply so as to deny the
admissibility of an electronic record or electronic signature into
evidence on the sole ground that it is an electronic record or
electronic signature, or on the grounds that it is not in its
original form or is not an original. Information in the form of an
electronic record shall be given due evidentiary weight by the trier
of fact.
(Source: P.A. 91‑772, eff. 1‑1‑01.)
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(625 ILCS 5/3‑104) (from Ch. 95 1/2, par. 3‑104)
Sec. 3‑104.
Application for certificate of title.
(a) The application for a certificate of title for a vehicle in this
State must be made by the owner to the Secretary of State on the form
prescribed and must contain:
1. The name, Illinois residence and mail address of |
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2. A description of the vehicle including, so far as
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the following data exists: Its make, year‑model, identifying number, type of body, whether new or used, as to house trailers as defined in Section 1‑128 of this Code, the square footage of the house trailer based upon the outside dimensions of the house trailer excluding the length of the tongue and hitch, and, as to vehicles of the second division, whether for‑hire, not‑for‑hire, or both for‑hire and not‑for‑hire;
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3. The date of purchase by applicant and, if
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applicable, the name and address of the person from whom the vehicle was acquired and the names and addresses of any lienholders in the order of their priority and signatures of owners;
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4. The current odometer reading at the time of
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transfer and that the stated odometer reading is one of the following: actual mileage, not the actual mileage or mileage is in excess of its mechanical limits; and
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5. Any further information the Secretary of State
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reasonably requires to identify the vehicle and to enable him to determine whether the owner is entitled to a certificate of title and the existence or nonexistence of security interests in the vehicle.
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(b) If the application refers to a vehicle purchased from a dealer,
it must also be signed by the dealer as well as the owner, and the dealer must
promptly mail or deliver the application and required documents to the
Secretary of State.
(c) If the application refers to a vehicle last previously
registered in another State or country, the application must contain or
be accompanied by:
1. Any certified document of ownership so recognized
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and issued by the other State or country and acceptable to the Secretary of State, and
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2. Any other information and documents the Secretary
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of State reasonably requires to establish the ownership of the vehicle and the existence or nonexistence of security interests in it.
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(d) If the application refers to a new vehicle it must be
accompanied by the Manufacturer's Statement of Origin, or other documents
as required and acceptable by the Secretary of State, with such
assignments as may be necessary to show title in the applicant.
(e) If an application refers to a vehicle rebuilt from a vehicle
previously salvaged, that application shall comply with the provisions
set forth in Sections 3‑302 through 3‑304 of this Code.
(f) An application for a certificate of title for any vehicle,
whether purchased in Illinois or outside Illinois, and even if
previously registered in another State, must be accompanied by either an
exemption determination from the Department of Revenue showing that no
tax imposed pursuant to the Use Tax Act or the vehicle use tax imposed by
Section 3‑1001 of the Illinois Vehicle Code is owed by anyone with respect to
that vehicle, or a receipt from the Department of Revenue showing that any tax
so imposed has been paid. An application for a certificate of title for any
vehicle purchased outside Illinois, even if previously registered in another
state, must be accompanied by either an exemption determination from the
Department of Revenue showing that no tax imposed pursuant to the Municipal Use
Tax Act or the County Use Tax Act is owed by anyone with respect to that
vehicle, or a receipt from the Department of Revenue showing that any tax so
imposed has been paid. In the absence of such a receipt for payment or
determination of exemption from the Department, no certificate of title shall
be issued to the applicant.
If the proof of payment of the tax or of nonliability therefor is,
after the issuance of the certificate of title and display certificate
of title, found to be invalid, the Secretary of State shall revoke the
certificate and require that the certificate of title and, when
applicable, the display certificate of title be returned to him.
(g) If the application refers to a vehicle not manufactured in
accordance with federal safety and emission standards, the application must
be accompanied by all documents required by federal governmental
agencies to meet their standards before a vehicle is allowed to be issued
title and registration.
(h) If the application refers to a vehicle sold at public sale by a
sheriff, it must be accompanied by the required fee and a bill of sale
issued and signed by a sheriff. The bill of sale must identify the new
owner's name and address, the year model, make and vehicle identification
number of the vehicle, court order document number authorizing such sale,
if applicable, and the name and address of any lienholders in order of
priority, if applicable.
(i) If the application refers to a vehicle for which a court of law
determined the ownership, it must be accompanied with a certified copy of
such court order and the required fee. The court order must indicate the
new owner's name and address, the complete description of the vehicle, if
known, the name and address of the lienholder, if any, and must be signed
and dated by the judge issuing such order.
(j) If the application refers to a vehicle sold at public auction pursuant
to the Labor and Storage Lien (Small Amount) Act, it must be
accompanied by an affidavit or affirmation furnished by the Secretary of
State along with the
documents described in the affidavit or affirmation and the required fee.
(Source: P.A. 90‑212, eff. 1‑1‑98; 90‑422, eff. 8‑15‑97; 90‑655, eff.
7‑30‑98.)
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(625 ILCS 5/3‑107) (from Ch. 95 1/2, par. 3‑107)
Sec. 3‑107.
Contents and effect.
(a) Each certificate of title issued by the Secretary of State shall
contain:
1. the date issued;
2. the name and address of the owner;
3. the names and addresses of any lienholders, in |
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the order of priority as shown on the application or, if the application is based on a certificate of title, as shown on the certificate;
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4. the title number assigned to the vehicle;
5. a description of the vehicle including, so far
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as the following data exists: its make, year‑model, identifying number, type of body, whether new or used, as to house trailers as defined in Section 1‑128 of this Code, the square footage of the vehicle based upon the outside dimensions of the house trailer excluding the length of the tongue and hitch, and, if a new vehicle, the date of the first sale of the vehicle for use;
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6. an odometer certification as provided for in this
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7. any other data the Secretary of State prescribes.
(b) The certificate of title shall contain forms for assignment and
warranty of title by the owner, and for assignment and warranty of title
by a dealer, and may contain forms for applications for a certificate of
title by a transferee, the naming of a lienholder and the assignment or
release of the security interest of a lienholder.
(c) A certificate of title issued by the Secretary of State is prima
facie evidence of the facts appearing on it.
(d) A certificate of title for a vehicle is not subject to
garnishment, attachment, execution or other judicial process, but this
subsection does not prevent a lawful levy upon the vehicle.
(e) Any certificate of title issued by the Secretary of State is
subject to a lien in favor of the State of Illinois for any fees or
taxes required to be paid under this Act and as have not been paid, as
provided for in this Code.
(Source: P.A. 86‑541; 86‑1028; 87‑206.)
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(625 ILCS 5/3‑112.1) (from Ch. 95 1/2, par. 3‑112.1)
Sec. 3‑112.1.
Odometer.
(a) All titles issued by the Secretary of State
beginning January, 1990, shall provide for an odometer
certification substantially as follows:
"I certify to the best of my knowledge that the odometer reading is and
reflects the actual mileage of the vehicle unless one of the following
statements is checked.
...................
( ) 1. The mileage stated is in excess of its mechanical limits.
( ) 2. The odometer reading is not the actual mileage.
Warning ‑ Odometer Discrepancy."
(b) When executing any transfer of title which contains the odometer
certification as described in paragraph (a) above, each transferor of a motor
vehicle must supply on the title form the following information:
(1) The odometer reading at the time of transfer and |
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an indication if the mileage is in excess of its mechanical limits or if it is not the actual mileage;
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(2) The date of transfer;
(3) The transferor's printed name and signature; and
(4) The transferee's printed name and address.
(c) The transferee must sign on the title form indicating that he or
she is aware of the odometer certification made by the transferor.
(d) The transferor will not be required to disclose the
current odometer reading and the transferee will not have to acknowledge
such disclosure under the following circumstances:
(1) A vehicle having a Gross Vehicle Weight Rating
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of more than 16,000 pounds;
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(2) A vehicle that is not self‑propelled;
(3) A vehicle that is 10 years old or older;
(4) A vehicle sold directly by the manufacturer to
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any agency of the United States; and
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(5) A vehicle manufactured without an odometer.
(e) When the transferor signs the title transfer such transferor
acknowledges that he or she is aware that Federal regulations and State law
require him or her to state the odometer mileage upon transfer of ownership.
An inaccurate or untruthful statement with intent to defraud subjects the
transferor to liability for damages to the transferee pursuant to the federal
Motor Vehicle Information and Cost Act of 1972, P.L. 92‑513 as amended by P.L.
94‑364. No transferor shall be liable for damages as provided under this
Section who transfers title to a motor vehicle which has an odometer reading
that has been altered or tampered with by a previous owner, unless that
transferor knew or had reason to know of such alteration or tampering and sold
such vehicle with an intent to defraud. A cause of action is hereby created by
which any person who, with intent to defraud, violates any requirement imposed
under this Section shall be liable in an amount equal to the sum of:
(1) three times the amount of actual damages
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sustained or $1,500, whichever is the greater; and
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(2) in the case of any successful action to enforce
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the foregoing liability, the costs of the action together with reasonable attorney fees as determined by the court.
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Any recovery based on a cause of action under this Section shall be offset
by any recovery made pursuant to the federal Motor Vehicle Information and
Cost Savings Act of 1972.
(f) The provisions of this Section shall not apply to any motorcycle,
motor driven cycle, moped or antique vehicle.
(g) The Secretary of State may adopt rules and regulations providing
for a transition period for all non‑conforming titles.
(Source: P.A. 91‑357, eff. 7‑29‑99; 92‑651, eff. 7‑11‑02.)
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(625 ILCS 5/3‑114) (from Ch. 95 1/2, par. 3‑114)
Sec. 3‑114. Transfer by operation of law.
(a) If the interest of an owner in a vehicle passes to another other
than by voluntary transfer, the transferee shall, except as provided in
paragraph (b), promptly mail or deliver within 20 days to the
Secretary of State the last certificate of title, if available, proof of
the transfer, and his application for a new certificate in the form the
Secretary of State prescribes. It shall be unlawful for any person
having possession of a certificate of title for a motor vehicle,
semi‑trailer, or house car by reason of his having a lien or encumbrance
on such vehicle, to fail or refuse to deliver such certificate to the
owner, upon the satisfaction or discharge of the lien or encumbrance,
indicated upon such certificate of title.
(b) If the interest of an owner in a vehicle passes to another under
the provisions of the Small Estates provisions of the Probate Act of 1975 the
transferee shall promptly mail or deliver to the Secretary of State, within 120
days, the last certificate of title, if available, the documentation required
under the provisions of the Probate Act of 1975, and an application for
certificate of title. The Small Estate Affidavit form shall be furnished by the
Secretary of State. The transfer may be to the transferee or to the nominee of
the transferee.
(c) If the interest of an owner in a vehicle passes to another under
other provisions of the Probate Act of 1975, as amended, and the transfer is
made by a representative or guardian, such transferee shall promptly mail or
deliver to the Secretary of State, the last certificate of title, if available,
and a certified copy of the letters of office or guardianship, and an
application for certificate of title. Such application shall be made before the
estate is closed. The transfer may be to the transferee or to the nominee of
the transferee.
(d) If the interest of an owner in joint tenancy passes to the other
joint tenant with survivorship rights as provided by law, the transferee
shall promptly mail or deliver to the Secretary of State, the last
certificate of title, if available, proof of death of the one joint
tenant and survivorship of the surviving joint tenant, and an
application for certificate of title. Such application shall be made
within 120 days after the death of the joint tenant. The transfer may
be to the transferee or to the nominee of the transferee.
(e) The Secretary of State shall transfer a decedent's vehicle title to
any legatee, representative or heir of the decedent who submits to the
Secretary a death certificate and an affidavit by an attorney at law on the
letterhead stationery of the attorney at law stating the facts of the
transfer.
(f) Repossession with assignment of title. In all cases wherein a
lienholder has repossessed a vehicle by other
than judicial process and holds it for resale under a security agreement, and
the owner of record has executed an assignment of the existing certificate of
title after default, the lienholder may proceed to sell or otherwise dispose of
the vehicle
as authorized under the Uniform Commercial Code. Upon selling the vehicle to
another person, the lienholder need not send the certificate of title to the
Secretary of State, but shall promptly and within 20 days mail or deliver to
the purchaser
as transferee the existing certificate of title for the repossessed vehicle,
reflecting the release of the lienholder's security interest in the vehicle.
The application for a certificate of title made by the
purchaser shall comply with subsection (a) of Section 3‑104 and be accompanied
by the existing certificate of title for the repossessed vehicle.
The lienholder shall execute the assignment and warranty of title showing the
name and address of the purchaser in the spaces provided therefor on the
certificate of title or as the Secretary of State prescribes. The lienholder
shall complete the assignment of title in the certificate of title to reflect
the transfer of the vehicle to the lienholder and also a reassignment to
reflect the transfer from the lienholder to the purchaser. For this purpose,
the lienholder is specifically authorized
to complete and execute
the space reserved in the certificate of title for a dealer reassignment,
notwithstanding that the lienholder is not a licensed dealer. Nothing herein
shall be construed to mean that the lienholder is taking title to the
repossessed vehicle for purposes of liability for retailer occupation, vehicle
use, or other tax with respect to the proceeds from the repossession sale.
Delivery of the existing certificate of title to the purchaser shall be deemed
disclosure to the purchaser of the owner of the vehicle.
(f‑5) Repossession without assignment of title. Subject to subsection (f‑30), in all cases wherein a
lienholder has repossessed a vehicle
by other than judicial process and holds it for resale under a security
agreement,
and the owner of record has not executed an assignment of the existing
certificate of title,
the lienholder shall comply with the following provisions:
(1) Prior to sale, the lienholder shall deliver or
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mail to the owner at the owner's last known address and to any other lienholder of record, a notice of redemption setting forth the following information: (i) the name of the owner of record and in bold type at or near the top of the notice a statement that the owner's vehicle was repossessed on a specified date for failure to make payments on the loan (or other reason), (ii) a description of the vehicle subject to the lien sufficient to identify it, (iii) the right of the owner to redeem the vehicle, (iv) the lienholder's intent to sell or otherwise dispose of the vehicle after the expiration of 21 days from the date of mailing or delivery of the notice, and (v) the name, address, and telephone number of the lienholder from whom information may be obtained concerning the amount due to redeem the vehicle and from whom the vehicle may be redeemed under Section 9‑623 of the Uniform Commercial Code. At the lienholder's option, the information required to be set forth in this notice of redemption may be made a part of or accompany the notification of sale or other disposition required under Section 9‑611 of the Uniform Commercial Code, but none of the information required by this notice shall be construed to impose any requirement under Article 9 of the Uniform Commercial Code.
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(2) With respect to the repossession of a vehicle
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used primarily for personal, family, or household purposes, the lienholder shall also deliver or mail to the owner at the owner's last known address an affidavit of defense. The affidavit of defense shall accompany the notice of redemption required in subdivision (f‑5)(1) of this Section. The affidavit of defense shall (i) identify the lienholder, owner, and the vehicle; (ii) provide space for the owner to state the defense claimed by the owner; and (iii) include an acknowledgment by the owner that the owner may be liable to the lienholder for fees, charges, and costs incurred by the lienholder in establishing the insufficiency or invalidity of the owner's defense. To stop the transfer of title, the affidavit of defense must be received by the lienholder no later than 21 days after the date of mailing or delivery of the notice required in subdivision (f‑5)(1) of this Section. If the lienholder receives the affidavit from the owner in a timely manner, the lienholder must apply to a court of competent jurisdiction to determine if the lienholder is entitled to possession of the vehicle.
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(3) Upon selling the vehicle to another person, the
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lienholder need not send the certificate of title to the Secretary of State, but shall promptly and within 20 days mail or deliver to the purchaser as transferee (i) the existing certificate of title for the repossessed vehicle, reflecting the release of the lienholder's security interest in the vehicle; and (ii) an affidavit of repossession made by or on behalf of the lienholder which provides the following information: that the vehicle was repossessed, a description of the vehicle sufficient to identify it, whether the vehicle has been damaged in excess of 33 1/3% of its fair market value as required under subdivision (b)(3) of Section 3‑117.1, that the owner and any other lienholder of record were given the notice required in subdivision (f‑5)(1) of this Section, that the owner of record was given the affidavit of defense required in subdivision (f‑5)(2) of this Section, that the interest of the owner was lawfully terminated or sold pursuant to the terms of the security agreement, and the purchaser's name and address. If the vehicle is damaged in excess of 33 1/3% of its fair market value, the lienholder shall make application for a salvage certificate under Section 3‑117.1 and transfer the vehicle to a person eligible to receive assignments of salvage certificates identified in Section 3‑118.
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(4) The application for a certificate of title made
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by the purchaser shall comply with subsection (a) of Section 3‑104 and be accompanied by the affidavit of repossession furnished by the lienholder and the existing certificate of title for the repossessed vehicle. The lienholder shall execute the assignment and warranty of title showing the name and address of the purchaser in the spaces provided therefor on the certificate of title or as the Secretary of State prescribes. The lienholder shall complete the assignment of title in the certificate of title to reflect the transfer of the vehicle to the lienholder and also a reassignment to reflect the transfer from the lienholder to the purchaser. For this purpose, the lienholder is specifically authorized to execute the assignment on behalf of the owner as seller if the owner has not done so and to complete and execute the space reserved in the certificate of title for a dealer reassignment, notwithstanding that the lienholder is not a licensed dealer. Nothing herein shall be construed to mean that the lienholder is taking title to the repossessed vehicle for purposes of liability for retailer occupation, vehicle use, or other tax with respect to the proceeds from the repossession sale. Delivery of the existing certificate of title to the purchaser shall be deemed disclosure to the purchaser of the owner of the vehicle. In the event the lienholder does not hold the certificate of title for the repossessed vehicle, the lienholder shall make application for and may obtain a new certificate of title in the name of the lienholder upon furnishing information satisfactory to the Secretary of State. Upon receiving the new certificate of title, the lienholder may proceed with the sale described in subdivision (f‑5)(3), except that upon selling the vehicle the lienholder shall promptly and within 20 days mail or deliver to the purchaser the new certificate of title reflecting the assignment and transfer of title to the purchaser.
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(5) Neither the lienholder nor the owner shall file
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with the Office of the Secretary of State the notice of redemption or affidavit of defense described in subdivisions (f‑5)(1) and (f‑5)(2) of this Section. The Office of the Secretary of State shall not determine the merits of an owner's affidavit of defense, nor consider any allegations or assertions regarding the validity or invalidity of a lienholder's claim to the vehicle or an owner's asserted defenses to the repossession action.
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(f‑7) Notice of reinstatement in certain cases.
(1) Subject to subsection (f‑30), if, at the time of
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repossession by a lienholder that is seeking to transfer title pursuant to subsection (f‑5), the owner has paid an amount equal to 30% or more of the deferred payment price or total of payments due, the owner may, within 21 days of the date of repossession, reinstate the contract or loan agreement and recover the vehicle from the lienholder by tendering in a lump sum (i) the total of all unpaid amounts, including any unpaid delinquency or deferral charges due at the date of reinstatement, without acceleration; and (ii) performance necessary to cure any default other than nonpayment of the amounts due; and (iii) all reasonable costs and fees incurred by the lienholder in retaking, holding, and preparing the vehicle for disposition and in arranging for the sale of the vehicle. Reasonable costs and fees incurred by the lienholder include without limitation repossession and storage expenses and, if authorized by the contract or loan agreement, reasonable attorneys' fees and collection agency charges.
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(2) Tender of payment and performance pursuant to
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this limited right of reinstatement restores to the owner his rights under the contract or loan agreement as though no default had occurred. The owner has the right to reinstate the contract or loan agreement and recover the vehicle from the lienholder only once under this subsection. The lienholder may, in the lienholder's sole discretion, extend the period during which the owner may reinstate the contract or loan agreement and recover the vehicle beyond the 21 days allowed under this subsection, and the extension shall not subject the lienholder to liability to the owner under the laws of this State.
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(3) The lienholder shall deliver or mail written
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notice to the owner at the owner's last known address, within 3 business days of the date of repossession, of the owner's right to reinstate the contract or loan agreement and recover the vehicle pursuant to the limited right of reinstatement described in this subsection. At the lienholder's option, the information required to be set forth in this notice of reinstatement may be made part of or accompany the notice of redemption required in subdivision (f‑5)(1) of this Section and the notification of sale or other disposition required under Section 9‑611 of the Uniform Commercial Code, but none of the information required by this notice of reinstatement shall be construed to impose any requirement under Article 9 of the Uniform Commercial Code.
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(4) The reinstatement period, if applicable, and the
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redemption period described in subdivision (f‑5)(1) of this Section, shall run concurrently if the information required to be set forth in the notice of reinstatement is part of or accompanies the notice of redemption. In any event, the 21 day redemption period described in subdivision (f‑5)(1) of this Section shall commence on the date of mailing or delivery to the owner of the information required to be set forth in the notice of redemption, and the 21 day reinstatement period described in this subdivision, if applicable, shall commence on the date of mailing or delivery to the owner of the information required to be set forth in the notice of reinstatement.
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(5) The Office of the Secretary of State shall not
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determine the merits of an owner's claim of right to reinstatement, nor consider any allegations or assertions regarding the validity or invalidity of a lienholder's claim to the vehicle or an owner's asserted right to reinstatement. Where a lienholder is subject to licensing and regulatory supervision by the State of Illinois, the lienholder shall be subject to all of the powers and authority of the lienholder's primary State regulator to enforce compliance with the procedures set forth in this subsection (f‑7).
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(f‑10) Repossession by judicial process. In all cases wherein a lienholder
has repossessed a vehicle by
judicial
process and holds it for resale under a security agreement, order for replevin,
or other court order establishing the lienholder's right to possession of the
vehicle, the lienholder may proceed to sell or otherwise dispose of the vehicle
as authorized under the Uniform Commercial Code or the court order. Upon
selling the vehicle to another person, the lienholder need not send the
certificate of title to the Secretary of State, but shall promptly and within
20 days mail or
deliver to the purchaser as transferee (i) the existing certificate of title
for the repossessed vehicle reflecting the release of the lienholder's security
interest in the vehicle; (ii) a certified copy of the court order; and (iii) a
bill of sale identifying the new owner's name and address and the year, make,
model, and vehicle identification number of the vehicle.
The application for a certificate of title made by the purchaser shall comply
with subsection (a) of Section 3‑104 and be accompanied by the certified copy
of the court order furnished by the
lienholder and the existing certificate of title for the repossessed vehicle.
The lienholder shall execute the assignment and warranty of title showing the
name and address of the purchaser in the spaces provided therefor on the
certificate of title or as the Secretary of State prescribes. The lienholder
shall complete the assignment of title in the certificate of title to reflect
the transfer of the vehicle to the lienholder and also a reassignment to
reflect the transfer from the lienholder to the purchaser. For this purpose,
the lienholder is specifically authorized to execute the assignment on behalf
of the owner as seller if the owner has not done so and to complete and execute
the space reserved in the certificate of title for a dealer reassignment,
notwithstanding that the lienholder is not a licensed dealer. Nothing herein
shall be construed to mean that the lienholder is taking title to the
repossessed vehicle for purposes of liability for retailer occupation, vehicle
use, or other tax with respect to the proceeds from the repossession sale.
Delivery of the existing certificate of title to the purchaser shall be deemed
disclosure to the purchaser of the owner of the vehicle.
In the event the
lienholder does not hold the certificate of title for the repossessed vehicle,
the lienholder shall
make application for and may obtain a new certificate of title in the name of
the lienholder upon furnishing information satisfactory to the Secretary of
State. Upon receiving the new certificate of title, the lienholder may proceed
with the sale described in this subsection, except that upon selling the
vehicle the lienholder shall promptly and within 20 days mail or deliver to the
purchaser the new certificate of title reflecting the assignment and transfer
of title to the purchaser.
(f‑15) The Secretary of State shall not issue a certificate of title to a
purchaser under subsection (f), (f‑5), or (f‑10) of this Section, unless the
person from whom the vehicle has been repossessed by the lienholder is shown to
be the last registered owner of the motor vehicle. The Secretary of State may
provide by rule for the standards to be followed by a lienholder in assigning
and transferring certificates of title with respect to repossessed vehicles.
(f‑20) If applying for a salvage certificate or a junking certificate, the lienholder
shall within 20 days make an application to the Secretary of State for a salvage certificate or a junking certificate, as
set forth in this Code. The Secretary of State shall
not issue a salvage
certificate or a junking
certificate to such lienholder unless the person from whom such vehicle has
been repossessed is shown to be the last registered owner of such motor
vehicle and such lienholder establishes to the satisfaction of
the Secretary of State that he is entitled to such
salvage certificate or junking certificate. The Secretary
of State may provide by rule for the standards to be followed by
a lienholder in order to obtain a
salvage certificate or junking certificate for a
repossessed vehicle.
(f‑25) If the interest of an owner in a mobile home, as defined in the
Mobile Home Local Services Tax Act, passes to another under the provisions of
the
Mobile Home Local Services Tax Enforcement Act, the transferee shall promptly
mail or deliver to the Secretary of State (i) the last certificate of title, if
available, (ii) a certified copy of the court order ordering the transfer of
title, and (iii) an application for certificate of title.
(f‑30) Bankruptcy. If the repossessed vehicle is the subject of a bankruptcy proceeding or discharge:
(1) the lienholder may proceed to sell or otherwise
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dispose of the vehicle as authorized by the Bankruptcy Code and the Uniform Commercial Code;
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(2) the notice of redemption, affidavit of defense,
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and notice of reinstatement otherwise required to be sent by the lienholder to the owner of record or other lienholder of record under this Section are not required to be delivered or mailed;
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(3) the requirement to delay disposition of the
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vehicle for 21 days, (i) from the mailing or delivery of the notice of redemption under subdivision (f‑5)(1) of this Section, (ii) from the mailing or delivery of the affidavit of defense under subdivision (f‑5)(2) of this Section, or (iii) from the date of repossession when the owner is entitled to a notice of reinstatement under subsection (f‑7) of this Section, does not apply;
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(4) the affidavit of repossession that is required
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under subdivision (f‑5)(3) shall contain a notation of "bankruptcy" where the affidavit requires the date of the mailing or delivery of the notice of redemption. The notation of "bankruptcy" means the lienholder makes no sworn representations regarding the mailing or delivery of the notice of redemption or affidavit of defense or lienholder's compliance with the requirements that otherwise apply to the notices listed in this subsection (f‑30), and makes no sworn representation that the lienholder assumes liability or costs for any litigation that may arise from the issuance of a certificate of title based on the excluded representations;
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(5) the right of redemption, the right to assert a
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defense to the transfer of title, and reinstatement rights under this Section do not apply; and
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(6) references to judicial process and court orders
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in subsection (f‑10) of this Section do not include bankruptcy proceedings or orders.
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(g) A person holding a certificate of title whose interest in the
vehicle has been extinguished or transferred other than by voluntary
transfer shall mail or deliver the certificate, within 20 days
upon request of the Secretary of State. The delivery of the certificate
pursuant to the request of the Secretary of State does not affect the
rights of the person surrendering the certificate, and the action of the
Secretary of State in issuing a new certificate of title as provided
herein is not conclusive upon the rights of an owner or lienholder named
in the old certificate.
(h) The Secretary of State may decline to process any application
for a transfer of an interest in a vehicle hereunder if any fees or
taxes due under this Act from the transferor or the transferee have not
been paid upon reasonable notice and demand.
(i) The Secretary of State shall not be held civilly or criminally
liable to any person because any purported transferor may not have had
the power or authority to make a transfer of any interest in any vehicle
or because a certificate of title issued in error is subsequently used to
commit a fraudulent act.
(Source: P.A. 94‑411, eff. 1‑1‑06.)
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(625 ILCS 5/3‑117.1) (from Ch. 95 1/2, par. 3‑117.1)
Sec. 3‑117.1.
When junking certificates or salvage certificates must
be obtained.
(a) Except as provided in Chapter 4 of this Code, a person who possesses a
junk vehicle shall within 15 days cause the certificate of title, salvage
certificate, certificate of purchase, or a similarly acceptable out of state
document of ownership to be surrendered to the Secretary of State along with an
application for a junking certificate, except as provided in Section 3‑117.2,
whereupon the Secretary of State shall issue to such a person a junking
certificate, which shall authorize the holder thereof to possess, transport,
or, by an endorsement, transfer ownership in such junked vehicle, and a
certificate of title shall not again be issued for such vehicle.
A licensee who possesses a junk vehicle and a Certificate of Title,
Salvage Certificate, Certificate of Purchase, or a similarly acceptable
out‑of‑state document of ownership for such junk vehicle, may transport the
junk vehicle to another licensee prior to applying for or obtaining a
junking certificate, by executing a uniform invoice. The licensee
transferor shall furnish a copy of the uniform invoice to the licensee
transferee at the time of transfer. In any case, the licensee transferor
shall apply for a junking certificate in conformance with Section 3‑117.1
of this Chapter. The following information shall be contained on a uniform
invoice:
(1) The business name, address and dealer license |
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number of the person disposing of the vehicle, junk vehicle or vehicle cowl;
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(2) The name and address of the person acquiring the
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vehicle, junk vehicle or vehicle cowl, and if that person is a dealer, the Illinois or out‑of‑state dealer license number of that dealer;
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(3) The date of the disposition of the vehicle, junk
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(4) The year, make, model, color and description of
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each vehicle, junk vehicle or vehicle cowl disposed of by such person;
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(5) The manufacturer's vehicle identification
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number, Secretary of State identification number or Illinois Department of State Police number, for each vehicle, junk vehicle or vehicle cowl part disposed of by such person;
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(6) The printed name and legible signature of the
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person or agent disposing of the vehicle, junk vehicle or vehicle cowl; and
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(7) The printed name and legible signature of the
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person accepting delivery of the vehicle, junk vehicle or vehicle cowl.
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The Secretary of State may certify a junking manifest in a form prescribed by
the Secretary of State that reflects those vehicles for which junking
certificates have been applied or issued. A junking manifest
may be issued to any person and it shall constitute evidence of ownership
for the vehicle listed upon it. A junking manifest may be transferred only
to a person licensed under Section 5‑301 of this Code as a scrap processor.
A junking manifest will allow the transportation of those
vehicles to a scrap processor prior to receiving the junk certificate from
the Secretary of State.
(b) An application for a salvage certificate shall be submitted to the
Secretary of State in any of the following situations:
(1) When an insurance company makes a payment of
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damages on a total loss claim for a vehicle, the insurance company shall be deemed to be the owner of such vehicle and the vehicle shall be considered to be salvage except that ownership of (i) a vehicle that has incurred only hail damage that does not affect the operational safety of the vehicle or (ii) any vehicle 9 model years of age or older may, by agreement between the registered owner and the insurance company, be retained by the registered owner of such vehicle. The insurance company shall promptly deliver or mail within 20 days the certificate of title along with proper application and fee to the Secretary of State, and a salvage certificate shall be issued in the name of the insurance company. An insurer making payment of damages on a total loss claim for the theft of a vehicle may exchange the salvage certificate for a certificate of title if the vehicle is recovered without damage. In such a situation, the insurer shall fill out and sign a form prescribed by the Secretary of State which contains an affirmation under penalty of perjury that the vehicle was recovered without damage and the Secretary of State may, by rule or regulation, require photographs to be submitted.
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(2) When a vehicle the ownership of which has been
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transferred to any person through a certificate of purchase from acquisition of the vehicle at an auction, other dispositions as set forth in Sections 4‑208 and 4‑209 of this Code, a lien arising under Section 18a‑501 of this Code, or a public sale under the Abandoned Mobile Home Act shall be deemed salvage or junk at the option of the purchaser. The person acquiring such vehicle in such manner shall promptly deliver or mail, within 20 days after the acquisition of the vehicle, the certificate of purchase, the proper application and fee, and, if the vehicle is an abandoned mobile home under the Abandoned Mobile Home Act, a certification from a local law enforcement agency that the vehicle was purchased or acquired at a public sale under the Abandoned Mobile Home Act to the Secretary of State and a salvage certificate or junking certificate shall be issued in the name of that person. The salvage certificate or junking certificate issued by the Secretary of State under this Section shall be free of any lien that existed against the vehicle prior to the time the vehicle was acquired by the applicant under this Code.
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(3) A vehicle which has been repossessed by a
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lienholder shall be considered to be salvage only when the repossessed vehicle, on the date of repossession by the lienholder, has sustained damage by collision, fire, theft, rust corrosion, or other means so that the cost of repairing such damage, including labor, would be greater than 33 1/3% of its fair market value without such damage. If the lienholder determines that such vehicle is damaged in excess of 33 1/3% of such fair market value, the lienholder shall, before sale, transfer or assignment of the vehicle, make application for a salvage certificate, and shall submit with such application the proper fee and evidence of possession. If the facts required to be shown in subsection (f) of Section 3‑114 are satisfied, the Secretary of State shall issue a salvage certificate in the name of the lienholder making the application. In any case wherein the vehicle repossessed is not damaged in excess of 33 1/3% of its fair market value, the lienholder shall comply with the requirements of subsections (f), (f‑5), and (f‑10) of Section 3‑114, except that the affidavit of repossession made by or on behalf of the lienholder shall also contain an affirmation under penalty of perjury that the vehicle on the date of sale is not damaged in excess of 33 1/3% of its fair market value. If the facts required to be shown in subsection (f) of Section 3‑114 are satisfied, the Secretary of State shall issue a certificate of title as set forth in Section 3‑116 of this Code. The Secretary of State may by rule or regulation require photographs to be submitted.
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(4) A vehicle which is a part of a fleet of more
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than 5 commercial vehicles registered in this State or any other state or registered proportionately among several states shall be considered to be salvage when such vehicle has sustained damage by collision, fire, theft, rust, corrosion or similar means so that the cost of repairing such damage, including labor, would be greater than 33 1/3% of the fair market value of the vehicle without such damage. If the owner of a fleet vehicle desires to sell, transfer, or assign his interest in such vehicle to a person within this State other than an insurance company licensed to do business within this State, and the owner determines that such vehicle, at the time of the proposed sale, transfer or assignment is damaged in excess of 33 1/3% of its fair market value, the owner shall, before such sale, transfer or assignment, make application for a salvage certificate. The application shall contain with it evidence of possession of the vehicle. If the fleet vehicle at the time of its sale, transfer, or assignment is not damaged in excess of 33 1/3% of its fair market value, the owner shall so state in a written affirmation on a form prescribed by the Secretary of State by rule or regulation. The Secretary of State may by rule or regulation require photographs to be submitted. Upon sale, transfer or assignment of the fleet vehicle the owner shall mail the affirmation to the Secretary of State.
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(5) A vehicle that has been submerged in water to
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the point that rising water has reached over the door sill and has entered the passenger or trunk compartment is a "flood vehicle". A flood vehicle shall be considered to be salvage only if the vehicle has sustained damage so that the cost of repairing the damage, including labor, would be greater than 33 1/3% of the fair market value of the vehicle without that damage. The salvage certificate issued under this Section shall indicate the word "flood", and the word "flood" shall be conspicuously entered on subsequent titles for the vehicle. A person who possesses or acquires a flood vehicle that is not damaged in excess of 33 1/3% of its fair market value shall make application for title in accordance with Section 3‑116 of this Code, designating the vehicle as "flood" in a manner prescribed by the Secretary of State. The certificate of title issued shall indicate the word "flood", and the word "flood" shall be conspicuously entered on subsequent titles for the vehicle.
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(c) Any person who without authority acquires, sells, exchanges, gives
away, transfers or destroys or offers to acquire, sell, exchange, give
away, transfer or destroy the certificate of title to any vehicle which is
a junk or salvage vehicle shall be guilty of a Class 3 felony.
(d) Any person who knowingly fails to surrender to the Secretary of State a
certificate of title, salvage certificate, certificate of purchase or a
similarly acceptable out‑of‑state document of ownership as required under
the provisions of this Section is guilty of a Class A misdemeanor for a
first offense and a Class 4 felony for a subsequent offense; except that a
person licensed under this Code who violates paragraph (5) of subsection (b)
of this Section is
guilty of a business offense and shall be fined not less than $1,000 nor more
than $5,000 for a first offense and is guilty of a Class 4 felony
for a second or subsequent violation.
(e) Any vehicle which is salvage or junk may not be driven or operated
on roads and highways within this State. A violation of this subsection is
a Class A misdemeanor. A salvage vehicle displaying valid special plates
issued under Section 3‑601(b) of this Code, which is being driven to or
from an inspection conducted under Section 3‑308 of this Code, is exempt
from the provisions of this subsection. A salvage vehicle for which a
short term permit has been issued under Section 3‑307 of this Code is
exempt from the provisions of this subsection for the duration of the permit.
(Source: P.A. 92‑751, eff. 8‑2‑02.)
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