a)
Definitions. For purposes of this Section, the following words shall have the
following meanings:
"Consignment Agreement" is an agreement between the owner of a
vehicle, known as the consignor, and a licensed vehicle dealer, known as the
consignee, wherein the owner delivers physical possession of the vehicle to the
dealer for the specific purpose of having the dealer sell the vehicle for the
owner and also with the intent that if the vehicle is not sold by the dealer,
it is to be returned to the owner.
"Letter of consignment" is the written document evidencing the
consignment agreement between the vehicle owner and the dealer, which
authorizes the dealer to have possession of the vehicle.
"Odometer reading" is the actual reading of the odometer of the
vehicle at the time of the signing of the consignment agreement. This odometer
reading shall not relieve the parties of complying with the federal odometer
statement requirements found in 15 U.S.C. 1981 et seq., 1982, nor the separate
and distinct Illinois odometer statements requirements found in Section 3-112.1
of the Illinois Vehicle Code (Ill. Rev. Stat. 1983, ch. 951/2, par.
3-112.1).
"Ownership document" is a certificate of title, a salvage
certificate, a junking certificate, or a similar document issued by the State
of Illinos or another state, which evidences ownership according to the laws of
the state of issuance.
b)
Documents required. In any transaction whereby a dealer agrees to enter into a
consignment agreement involving a vehicle which is required to be titled and
licensed in this state, the dealer must secure and have in his possession the
following documents:
1) a letter of
consignment;
2) the proper
ownership document as defined in paragraph (a) above; if that document is in
the possession of a lienholder, then a photostatic copy of that
document;
3) a power of attorney
authorizing the dealer to assign the ownership document and also to apply for a
duplicate ownership document should the original be lost, stolen, or
mutilated.
c) Letter of
consignment - contents. The letter of consignment shall contain the following
information:
1) the year, make, model, color
and odometer reading of the vehicle;
2) the vehicle identification
number;
3) the type, number and
state of issuance of the ownership document;
4) The names and addresses of all
lienholders;
5) the name and
address of the person in possession of the ownership document;
6) the date the vehicle was received by the
dealer;
7) the owner's full name,
address, phone number, and driver's license number. If the owner is a natural
person and does not have a driver's license, then date of birth must be
given;
8) the dealer's name,
address and Illinois dealer's license number;
9) A heading that contains the word
"CONSIGNMENT" all in capital letters at least one-eighth (1/8) of an inch in
height;
10) the specific terms of
the consignment as agreed to by the parties;
11) any other information the parties deem
necessary;
12) The signature of the
owner and the dealer or his authorized agent affirming that the information
contained in the letter of consignment is true and is true and correct and that
the ownership documents agree with a physical inspection of the
vehicle.
d) Any
transaction to which this Section applies must also be reflected in the records
required to be kept by the dealer in accordance with Section 5-401 of the
Illinois Vehicle Code (Ill. Rev. Stat. 1983, ch. 951/2, par. 5-401).
e) Noncompliance with this Section shall be
deemed a violation of Section 5-401(b) of the Illinois Vehicle Code (Ill. Rev.
Stat. 1983, ch. 951/2, par. 5-401(b)).
