Real Estate Law

(Yarbrough, D-Maywood; Althoff, R-Crystal Lake) allows recorders in counties of less than 500,000 inhabitants to electronically store recorded documents. They can do so now only if authorized by the county board. Effective July 6, 2012.

(Haine, D-Alton; Cross, R-Oswego) makes a number of changes to this Act including the following. (1) Prohibits an action to incorporate a common interest community as a municipality until two-thirds of the members sign an incorporation document. (2) Requires elections to the board must be held at least once every 24 months, eliminates voting by proxy, and prohibits a term of office as a board member or officer for more than four years. (3) If the total common expenses exceed the budget, the board must disclose this variance to all members and identify subsequent assessments that will be made to offset this in future budgets. (4) Assessments for additions and alterations to common areas or to association-owned property not in the annual budget must be separately assessed and are subject to approval of a simple majority (instead of two-thirds) of the total members at a meeting called for that purpose. Passed both chambers; effective immediately if the Governor signs it.

(Maloney, D-Chicago; Thapedi, D-Chicago) amends the Community Association Manager Licensing and Disciplinary Act. It requires all community associations pay to the Department of Financial and Professional Regulation an annual fee of $50 plus an additional $1 per unit not to exceed an annual fee of $1,000 if they (1) have 10 or more units, (2) retain an individual to provide services as a community association manager for compensation, (3) are not master associations, or (4) are registered in the State as a not-for-profit corporation. Passed both chambers; effective immediately if the Governor signs it.

(Yarbrough, D-Maywood; Althoff, R-Crystal Lake) allows recorders in counties of less than 500,000 inhabitants to electronically store recorded documents. They can do so now only if authorized by the county board. Passed both chambers.

(Barickman, R-Pontiac; LaHood, R-Dunlap) amends the Security Deposit Return Act to allow a lessor of five or more units to send an itemized statement of damage and repair costs to the lessee by electronic mail to a verified electronic mail address provided by the lessee. Passed both chambers.

(Nekritz, D-Des Plaines; Garrett, D-Lake Forest) authorizes easements for high-speed Internet to the existing easement for cable television. Passed both chambers.

(Zalewski, D-Chicago; Harmon, D-Oak Park) amends the Secured Transactions Article of the Uniform Commercial Code. It provides that a person may not cause to be filed a false record the person knows or reasonably should know is (1) not authorized or permitted under specified provisions; (2) not related to a valid existing or potential commercial or financial transaction, an existing agricultural or other lien, or a judgment of a court of competent jurisdiction; and (3) filed with the intent to harass or defraud the person identified as debtor in the record or any other person. Creates criminal and civil penalties and administrative relief from the Secretary of State. Exempts records filed by a regulated financial institution or its representative. Passed both chambers.

(Harmon, D-Oak Park; Zalewski, D-Chicago) conforms Article 9 of the Uniform Commercial Code to the 2010 amendments as proposed by the Uniform Law Commission. Passed both chambers. (See the June Illinois Bar Journal article by Michelle Nijm that discusses this bill in more detail.)

(McAsey, D-Lockport; Collins, D-Chicago) creates the Radon Resistant Construction Act. It requires all new residential construction include passive radon resistant construction. “New residential construction” is any original construction of a single-family home or a dwelling containing two or fewer apartments, condominiums, or townhouse. “Passive radon resistant construction” includes an installed pipe that relies solely on the convective flow of air upward for soil-gas depressurization and may consist of multiple pipes routed through conditioned space from below the foundation to above the roof. Passed both chambers.