Bill Text: IL SB3502 | 2011-2012 | 97th General Assembly | Introduced

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Bill Title: Amends the Illinois Vehicle Code. Provides that a person required to keep a separate certificate of title, salvage certificate, junking certificate, certificate of purchase, uniform invoice, out-of-state bill of sale, or other acceptable documentary evidence of his or her right to the possession of every vehicle or essential part who operates 2 or more established places of businesses within a 20 minute radius of each other may hold all original acceptable documentary evidence of the person's right to possess each vehicle or essential part at one of the established places of business. Provides that the person shall keep copies of the ownership documents at the location where the vehicle or essential part is held for resale.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2013-01-08 - Session Sine Die [SB3502 Detail]

Download: Illinois-2011-SB3502-Introduced.html

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97TH GENERAL ASSEMBLY State of Illinois 2011 and 2012 SB3502 Introduced 2/8/2012, by Sen. Wm. Sam McCann SYNOPSIS AS INTRODUCED:
625 ILCS 5/5-401.2 from Ch. 95 1/2, par. 5-401.2
Amends the Illinois Vehicle Code. Provides that a person required to keep a separate certificate of title, salvage certificate, junking certificate, certificate of purchase, uniform invoice, out-of-state bill of sale, or other acceptable documentary evidence of his or her right to the possession of every vehicle or essential part who operates 2 or more established places of businesses within a 20 minute radius of each other may hold all original acceptable documentary evidence of the person's right to possess each vehicle or essential part at one of the established places of business. Provides that the person shall keep copies of the ownership documents at the location where the vehicle or essential part is held for resale.
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A BILL FOR
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AN ACT concerning transportation.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Vehicle Code is amended by changing
Section 5-401.2 as follows:
(625 ILCS 5/5-401.2) (from Ch. 95 1/2, par. 5-401.2)
Sec. 5-401.2. Licensees required to keep records and make
inspections.
(a) Every person licensed or required to be licensed under
Section 5-101, 5-101.1, 5-102, 5-301 or 5-302 of this Code,
shall, with the exception of scrap processors, maintain for 3
years, in a form as the Secretary of State may by rule or
regulation prescribe, at his established place of business,
additional place of business, or principal place of business if
licensed under Section 5-302, the following records relating to
the acquisition or disposition of vehicles and their essential
parts possessed in this State, brought into this State from
another state, territory or country, or sold or transferred to
another person in this State or in another state, territory, or
country.
(1) The following records pertaining to new or used
vehicles shall be kept:
(A) the year, make, model, style and color of the

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vehicle;
(B) the vehicle's manufacturer's identification
number or, if applicable, the Secretary of State or
Illinois Department of State Police identification
number;
(C) the date of acquisition of the vehicle;
(D) the name and address of the person from whom
the vehicle was acquired and, if that person is a
dealer, the Illinois or out-of-state dealer license
number of such person;
(E) the signature of the person making the
inspection of a used vehicle as required under
subsection (d) of this Section, if applicable;
(F) the purchase price of the vehicle, if
applicable;
(G) the date of the disposition of the vehicle;
(H) the name and address of the person to whom any
vehicle was disposed, and if that person is a dealer,
the Illinois or out-of-State dealer's license number
of that dealer;
(I) the uniform invoice number reflecting the
disposition of the vehicle, if applicable; and
(J) The sale price of the vehicle, if applicable.
(2) (A) The following records pertaining to used
essential parts other than quarter panels and
transmissions of vehicles of the first division shall be

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kept:
(i) the year, make, model, color and type of such
part;
(ii) the vehicle's manufacturer's identification
number, derivative number, or, if applicable, the
Secretary of State or Illinois Department of State
Police identification number of such part;
(iii) the date of the acquisition of each part;
(iv) the name and address of the person from whom
the part was acquired and, if that person is a dealer,
the Illinois or out-of-state dealer license number of
such person; if the essential part being acquired is
from a person other than a dealer, the licensee shall
verify and record that person's identity by recording
the identification numbers from at least two sources of
identification, one of which shall be a drivers license
or State identification card;
(v) the uniform invoice number or out-of-state
bill of sale number reflecting the acquisition of such
part;
(vi) the stock number assigned to the essential
part by the licensee, if applicable;
(vii) the date of the disposition of such part;
(viii) the name and address of the person to whom
such part was disposed of and, if that person is a
dealer, the Illinois or out-of-state dealer license

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number of that person;
(ix) the uniform invoice number reflecting the
disposition of such part.
(B) Inspections of all essential parts shall be
conducted in accordance with Section 5-402.1.
(C) A separate entry containing all of the information
required to be recorded in subparagraph (A) of paragraph
(2) of subsection (a) of this Section shall be made for
each separate essential part. Separate entries shall be
made regardless of whether the part was a large purchase
acquisition. In addition, a separate entry shall be made
for each part acquired for immediate sale or transfer, or
for placement into the overall inventory or stock to be
disposed of at a later time, or for use on a vehicle to be
materially altered by the licensee, or acquired for any
other purpose or reason. Failure to make a separate entry
for each essential part acquired or disposed of, or a
failure to record any of the specific information required
to be recorded concerning the acquisition or disposition of
each essential part as set forth in subparagraph (A) of
paragraph (2) of subsection (a) shall constitute a failure
to keep records.
(D) The vehicle's manufacturer's identification number
or Secretary of State or Illinois Department of State
Police identification number for the essential part shall
be ascertained and recorded even if such part is acquired

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from a person or dealer located in a State, territory, or
country which does not require that such information be
recorded. If the vehicle's manufacturer's identification
number or Secretary of State or Illinois Department of
State Police identification number for an essential part
cannot be obtained, that part shall not be acquired by the
licensee or any of his agents or employees. If such part or
parts were physically acquired by the licensee or any of
his agents or employees while the licensee or agent or
employee was outside this State, that licensee or agent or
employee was outside the State, that licensee, agent or
employee shall not bring such essential part into this
State or cause it to be brought into this State. The
acquisition or disposition of an essential part by a
licensee without the recording of the vehicle
identification number or Secretary of State identification
number for such part or the transportation into the State
by the licensee or his agent or employee of such part or
parts shall constitute a failure to keep records.
(E) The records of essential parts required to be kept
by this Section shall apply to all hulks, chassis, frames
or cowls, regardless of the age of those essential parts.
The records required to be kept by this Section for
essential parts other than hulks, chassis, frames or cowls,
shall apply only to those essential parts which are 6 model
years of age or newer. In determining the model year of

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such an essential part it may be presumed that the
identification number of the vehicle from which the
essential part came or the identification number affixed to
the essential part itself acquired by the licensee denotes
the model year of that essential part. This presumption,
however, shall not apply if the gross appearance of the
essential part does not correspond to the year, make or
model of either the identification number of the vehicle
from which the essential part is alleged to have come or
the identification number which is affixed to the essential
part itself. To determine whether an essential part is 6
years of age or newer within this paragraph, the model year
of the essential part shall be subtracted from the calendar
year in which the essential part is acquired or disposed of
by the licensee. If the remainder is 6 or less, the record
of the acquisition or disposition of that essential part
shall be kept as required by this Section.
(F) The requirements of paragraph (2) of subsection (a)
of this Section shall not apply to the disposition of an
essential part other than a cowl which has been damaged or
altered to a state in which it can no longer be returned to
a usable condition and which is being sold or transferred
to a scrap processor or for delivery to a scrap processor.
(3) the following records for vehicles on which junking
certificates are obtained shall be kept:
(A) the year, make, model, style and color of the

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vehicle;
(B) the vehicle's manufacturer's identification number
or, if applicable, the Secretary of State or Illinois
Department of State Police identification number;
(C) the date the vehicle was acquired;
(D) the name and address of the person from whom the
vehicle was acquired and, if that person is a dealer, the
Illinois or out-of-state dealer license number of that
person;
(E) the certificate of title number or salvage
certificate number for the vehicle, if applicable;
(F) the junking certificate number obtained by the
licensee; this entry shall be recorded at the close of
business of the fifth business day after receiving the
junking certificate;
(G) the name and address of the person to whom the
junking certificate has been assigned, if applicable, and
if that person is a dealer, the Illinois or out-of-state
dealer license number of that dealer;
(H) if the vehicle or any part of the vehicle is
dismantled for its parts to be disposed of in any way, or
if such parts are to be used by the licensee to materially
alter a vehicle, those essential parts shall be recorded
and the entries required by paragraph (2) of subsection (a)
shall be made.
(4) The following records for rebuilt vehicles shall be

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kept:
(A) the year, make, model, style and color of the
vehicle;
(B) the vehicle's manufacturer's identification number
of the vehicle or, if applicable, the Secretary of State or
Illinois Department of State Police identification number;
(C) the date the vehicle was acquired;
(D) the name and address of the person from whom the
vehicle was acquired, and if that person is a dealer, the
Illinois or out-of-state dealer license number of that
person;
(E) the salvage certificate number for the vehicle;
(F) the newly issued certificate of title number for
the vehicle;
(G) the date of disposition of the vehicle;
(H) the name and address of the person to whom the
vehicle was disposed, and if a dealer, the Illinois or
out-of-state dealer license number of that dealer;
(I) The sale price of the vehicle.
(a-1) A person licensed or required to be licensed under
Section 5-101 or Section 5-102 of this Code who issues
temporary registration permits as permitted by this Code and by
rule must electronically file the registration with the
Secretary and must maintain records of the registration in the
manner prescribed by the Secretary.
(b) A failure to make separate entries for each vehicle

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acquired, disposed of, or assigned, or a failure to record any
of the specific information required to be recorded concerning
the acquisition or disposition of each vehicle as set forth in
paragraphs (1), (3) and (4) of subsection (a) shall constitute
a failure to keep records.
(c) All entries relating to the acquisition of a vehicle or
essential part required by subsection (a) of this Section shall
be recorded no later than the close of business on the seventh
calendar day following such acquisition. All entries relating
to the disposition of a vehicle or an essential part shall be
made at the time of such disposition. If the vehicle or
essential part was disposed of on the same day as its
acquisition or the day thereafter, the entries relating to the
acquisition of the vehicle or essential part shall be made at
the time of the disposition of the vehicle or essential part.
Failure to make the entries required in or at the times
prescribed by this subsection following the acquisition or
disposition of such vehicle or essential part shall constitute
a failure to keep records.
(d) Every person licensed or required to be licensed shall,
before accepting delivery of a used vehicle, inspect the
vehicle to determine whether the manufacturer's public vehicle
identification number has been defaced, destroyed, falsified,
removed, altered, or tampered with in any way. If the person
making the inspection determines that the manufacturer's
public vehicle identification number has been altered,

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removed, defaced, destroyed, falsified or tampered with he
shall not acquire that vehicle but instead shall promptly
notify law enforcement authorities of his finding.
(e) The information required to be kept in subsection (a)
of this Section shall be kept in a manner prescribed by rule or
regulation of the Secretary of State.
(f) Every person licensed or required to be licensed shall
have in his possession a separate certificate of title, salvage
certificate, junking certificate, certificate of purchase,
uniform invoice, out-of-state bill of sale or other acceptable
documentary evidence of his right to the possession of every
vehicle or essential part. A person licensed or required to be
licensed who operates 2 or more established places of
businesses within a 20 minute radius of each other may hold all
original acceptable documentary evidence of the person's right
to possess each vehicle or essential part at one of the
established places of business. The person shall keep copies of
the ownership documents at the location where the vehicle or
essential part is held for resale.
(g) Every person licensed or required to be licensed as a
transporter under Section 5-201 shall maintain for 3 years, in
such form as the Secretary of State may by rule or regulation
prescribe, at his principal place of business a record of every
vehicle transported by him, including numbers of or other marks
of identification thereof, the names and addresses of persons
from whom and to whom the vehicle was delivered and the dates

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of delivery.
(h) No later than 15 days prior to going out of business,
selling the business, or transferring the ownership of the
business, the licensee shall notify the Secretary of State that
he is going out of business or that he is transferring the
ownership of the business. Failure to notify under this
paragraph shall constitute a failure to keep records.
(i) (Blank).
(j) A person who knowingly fails to comply with the
provisions of this Section or knowingly fails to obey, observe,
or comply with any order of the Secretary or any law
enforcement agency issued in accordance with this Section is
guilty of a Class B misdemeanor for the first violation and a
Class A misdemeanor for the second and subsequent violations.
Each violation constitutes a separate and distinct offense and
a separate count may be brought in the same indictment or
information for each vehicle or each essential part of a
vehicle for which a record was not kept as required by this
Section.
(k) Any person convicted of failing to keep the records
required by this Section with intent to conceal the identity or
origin of a vehicle or its essential parts or with intent to
defraud the public in the transfer or sale of vehicles or their
essential parts is guilty of a Class 2 felony. Each violation
constitutes a separate and distinct offense and a separate
count may be brought in the same indictment or information for

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each vehicle or essential part of a vehicle for which a record
was not kept as required by this Section.
(l) A person may not be criminally charged with or
convicted of both a knowing failure to comply with this Section
and a knowing failure to comply with any order, if both
offenses involve the same record keeping violation.
(m) The Secretary shall adopt rules necessary for
implementation of this Section, which may include the
imposition of administrative fines.
(Source: P.A. 91-415, eff. 1-1-00; 92-773, eff. 8-6-02.)