Illinois 2023 2023-2024 Regular Session

Illinois Senate Bill SB3460 Engrossed / Bill

Filed 04/12/2024

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1  AN ACT concerning civil law.
2  Be it enacted by the People of the State of Illinois,
3  represented in the General Assembly:
4  Section 5. The Self-Service Storage Facility Act is
5  amended by changing Sections 2, 4, and 7 as follows:
6  (770 ILCS 95/2) (from Ch. 114, par. 802)
7  Sec. 2. Definitions. As used in this Act, unless the
8  context clearly requires otherwise:
9  (A) "Self-service storage facility" means any real
10  property designed and used for the purpose of renting or
11  leasing individual storage space to occupants who are to have
12  access to such for the purpose of storing and removing
13  personal property. A self-service storage facility is not a
14  warehouse for purposes of Article 7 of the Uniform Commercial
15  Code. If an owner issues any warehouse receipt, bill of
16  lading, or other document of title for the personal property
17  stored, the provisions of this Act do not apply.
18  (B) "Owner" means the owner, operator, lessor, or
19  sublessor of a self-service storage facility, his agent, or
20  any other person authorized by him to manage the facility, or
21  to receive rent from an occupant under a rental agreement.
22  (C) "Occupant" means a person, his sublessee, successor,
23  or assign, entitled to the use of the storage space at a

 

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1  self-service storage facility under a rental agreement, to the
2  exclusion of others.
3  (D) "Rental agreement" means any agreement or lease,
4  written or oral, that establishes or modifies the terms,
5  conditions, rules or any other provisions concerning the use
6  and occupancy of a self-service storage facility. The rental
7  agreement may be delivered and accepted by electronic mail, or
8  by any other electronic record pursuant to the Uniform
9  Electronic Transactions Act. If the occupant does not sign a
10  written rental agreement that the owner has tendered to the
11  occupant, the occupant's continued use of the storage space
12  shall constitute an acceptance of the rental agreement with
13  the same effect as if it had been signed by the occupant.
14  (E) "Personal property" means movable property not affixed
15  to land, and includes, but is not limited to goods,
16  merchandise, motor vehicles, watercraft, and household items.
17  (F) "Last known address" means that mailing address or
18  electronic mail address provided by the occupant in the latest
19  rental agreement, or the mailing address or electronic mail
20  address provided by the occupant in a subsequent written
21  notice of a change of address.
22  (G) "Late fee" means a charge assessed for an occupant's
23  failure to pay rent when due. "Late fee" does not include
24  interest on a debt, reasonable expenses incurred in the
25  collection of unpaid rent, or costs associated with the
26  enforcement of any other remedy provided by statute or

 

 

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1  contract.
2  (H) "Verified mail" means any method of mailing that is
3  offered by the United States Postal Service or private
4  delivery service that provides evidence of mailing.
5  (I) "Electronic mail" means the transmission of
6  information or a communication by the use of a computer or
7  other electronic means sent to a person identified by a unique
8  address and that is received by that person.
9  (J) "Default" means the failure to perform any obligation
10  or duty set forth in the rental agreement or this Act.
11  (Source: P.A. 97-599, eff. 8-26-11; 98-1106, eff. 1-1-15.)
12  (770 ILCS 95/4) (from Ch. 114, par. 804)
13  Sec. 4. Enforcement of lien. An owner's lien as provided
14  for in Section 3 of this Act for a claim which has become due
15  may be satisfied as follows:
16  (A) The occupant shall be notified.
17  (B) The notice shall be delivered:
18  (1) in person; or
19  (2) by verified mail or by electronic mail to the last
20  known address of the occupant.
21  (C) The notice shall include:
22  (1) An itemized statement of the owner's claim showing
23  the sum due at the time of the notice and the date when the
24  sum became due;
25  (2) The name of the facility, address, telephone

 

 

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1  number, date, time, location, and manner of the lien sale,
2  and the occupant's name and unit number;
3  (3) A notice of denial of access to the personal
4  property, if such denial is permitted under the terms of
5  the rental agreement, which provides the name, street
6  address, and telephone number of the owner, or his
7  designated agent, whom the occupant may contact to respond
8  to this notice;
9  (3.5) Except as otherwise provided by a rental
10  agreement and until a lien sale, the exclusive care,
11  custody, and control of all personal property stored in
12  the leased self-service storage space remains vested in
13  the occupant. No bailment or higher level of liability is
14  created if the owner over-locks the occupant's lock,
15  thereby denying the occupant access to the storage space.
16  Rent and other charges related to the lien continue to
17  accrue during the period of time when access is denied
18  because of non-payment;
19  (4) A demand for payment within a specified time not
20  less than 14 days after delivery of the notice;
21  (5) A conspicuous statement that unless the claim is
22  paid within the time stated in the notice, the personal
23  property will be advertised for sale or other disposition,
24  and will be sold or otherwise disposed of at a specified
25  time and place.
26  (D) Any notice made pursuant to this Section shall be

 

 

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1  presumed delivered when it is deposited with the United States
2  Postal Service, and properly addressed with postage prepaid or
3  sent by electronic mail and the owner receives a receipt of
4  delivery to the occupant's last known address, except if the
5  owner does not receive a receipt of delivery for the notice
6  sent by electronic mail, the notice is presumed delivered when
7  it is sent to the occupant by verified mail to the occupant's
8  last known mailing address.
9  (E) After the expiration of the time given in the notice,
10  an advertisement of the sale or other disposition shall be
11  published once a week for two consecutive weeks in a newspaper
12  of general circulation where the self-service storage facility
13  is located. The advertisement shall include:
14  (1) The name of the facility, address, telephone
15  number, date, time, location, and manner of lien sale and
16  the occupant's name and unit number.
17  (2) (Blank).
18  (3) The sale or other disposition shall take place not
19  sooner than 15 days after the first publication. If there
20  is no newspaper of general circulation where the
21  self-service storage facility is located, the
22  advertisement shall be posted at least 10 days before the
23  date of the sale or other disposition in not less than 6
24  conspicuous places in the neighborhood where the
25  self-service storage facility is located.
26  (F) Any sale or other disposition of the personal property

 

 

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1  shall conform to the terms of the notification as provided for
2  in this Section.
3  (G) Any sale or other disposition of the personal property
4  shall be held at the self-service storage facility, or at the
5  nearest suitable place to where the personal property is held
6  or stored. A sale under this Section shall be deemed to be held
7  at the self-service storage facility where the personal
8  property is stored if the sale is held on a publicly accessible
9  online website.
10  (G-5) If the property upon which the lien is claimed is a
11  motor vehicle, trailer, or watercraft and rent or other
12  charges related to the property remain unpaid or unsatisfied
13  for 60 days or the occupant is in default of the rental
14  agreement for 60 days, the owner may have the property towed
15  from the self-service storage facility. If a motor vehicle,
16  trailer, or watercraft is towed, the owner shall not be liable
17  for any damage to the motor vehicle, trailer, or watercraft,
18  once the tower takes possession of the property. After the
19  motor vehicle, trailer, or watercraft is towed, the owner may
20  pursue other collection options against the delinquent
21  occupant for any outstanding debt. If the owner chooses to
22  sell a motor vehicle, aircraft, mobile home, moped,
23  motorcycle, snowmobile, trailer, or watercraft, the owner
24  shall contact the Secretary of State and any other
25  governmental agency as reasonably necessary to determine the
26  name and address of the title holder or lienholder of the item,

 

 

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1  and the owner shall notify every identified title holder or
2  lienholder of the time and place of the proposed sale. The
3  owner is required to notify the holder of a security interest
4  only if the security interest is filed under the name of the
5  person signing the rental agreement or an occupant. An owner
6  who fails to make the lien searches required by this Section is
7  liable only to valid lienholders injured by that failure as
8  provided in Section 3.
9  (H) Before any sale or other disposition of personal
10  property pursuant to this Section, the occupant may pay the
11  amount necessary to satisfy the lien, and the reasonable
12  expenses incurred under this Section, and thereby redeem the
13  personal property. Upon receipt of such payment, the owner
14  shall return the personal property, and thereafter the owner
15  shall have no liability to any person with respect to such
16  personal property.
17  (I) A purchaser in good faith of the personal property
18  sold to satisfy a lien, as provided for in Section 3 of this
19  Act, takes the property free of any rights of persons against
20  whom the lien was valid, despite noncompliance by the owner
21  with the requirements of this Section.
22  (J) In the event of a sale under this Section, the owner
23  may satisfy his lien from the proceeds of the sale, but shall
24  hold the balance, if any, for delivery on demand to the
25  occupant. If the occupant does not claim the balance of the
26  proceeds within one year of the date of sale, it shall become

 

 

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1  the property of the owner without further recourse by the
2  occupant.
3  (K) The lien on any personal property created by this Act
4  shall be terminated as to any such personal property which is
5  sold or otherwise disposed of pursuant to this Act and any such
6  personal property which is removed from the self-service
7  storage facility.
8  (L) If 3 or more bidders who are unrelated to the owner are
9  in attendance at a sale held under this Section, the sale and
10  its proceeds are deemed to be commercially reasonable.
11  (Source: P.A. 102-687, eff. 12-17-21.)
12  (770 ILCS 95/7) (from Ch. 114, par. 807)
13  Sec. 7. Prohibited use.
14  (a) No occupant may use a self-service storage facility
15  for residential purposes.
16  (b) An occupant may not use a self-service storage
17  facility after the owner has delivered written notice in
18  person or by verified mail of the termination or non-renewal
19  of the occupant's rental agreement.
20  (1) Notice shall provide the occupant with not less
21  than 14 days after delivery of the notice to remove all
22  personal property from the self-service storage facility.
23  (2) Prior to the occupant's removal of all personal
24  property, the owner may place reasonable restrictions on
25  the occupant's use of the self-service storage facility,

 

 

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