HB1575 EngrossedLRB104 08187 RTM 18237 b HB1575 Engrossed LRB104 08187 RTM 18237 b HB1575 Engrossed LRB104 08187 RTM 18237 b 1 AN ACT concerning local government. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Counties Code is amended by changing 5 Section 3-5048 as follows: 6 (55 ILCS 5/3-5048) 7 Sec. 3-5048. Unlawful restrictive covenant modifications. 8 (a) As used in this Section: 9 "Declaration" has the meaning given to that term in 10 Section 1-5 of the Common Interest Community Association Act 11 or Section 2 of the Condominium Property Act, as applicable. 12 "Unlawful restrictive covenant" means any recorded 13 covenant or restriction that is void under Section 3-105 of 14 the Illinois Human Rights Act which purports to forbid or 15 restrict the conveyance, encumbrance, occupancy, or lease 16 thereof on the basis of race, color, religion, or national 17 origin. 18 "Recorder" means the recorder of the county where the 19 property subject to the unlawful restrictive covenant is 20 located. 21 (b) A person or entity may execute and file a restrictive 22 covenant modification to an unlawful restrictive covenant in 23 accordance with this Section if the person or entity: HB1575 Engrossed LRB104 08187 RTM 18237 b HB1575 Engrossed- 2 -LRB104 08187 RTM 18237 b HB1575 Engrossed - 2 - LRB104 08187 RTM 18237 b HB1575 Engrossed - 2 - LRB104 08187 RTM 18237 b 1 (1) holds an ownership interest in property that is 2 subject to the unlawful restrictive covenant; or 3 (2) is a common interest community association, a 4 condominium association, a unit owners' association, a 5 residential housing cooperative, or a master association 6 of a parcel of property subject to an unlawful restrictive 7 covenant under the following conditions: 8 (A) When a parcel of property subject to an 9 unlawful restrictive covenant is in a common interest 10 community association, condominium association, unit 11 owners' association, residential housing cooperative, 12 or master association, only the board, acting through 13 a majority vote, may execute and file a restrictive 14 covenant modification under this Section. Removal of 15 an unlawful restrictive covenant will not require 16 approval of the owners or members of such association 17 or cooperative, notwithstanding any provision of the 18 governing documents to the contrary. As used in 19 subparagraphs (A) through (D), "board" means the board 20 of managers or directors or the managing trustees of 21 any such association or cooperative. 22 (B) If the board receives a written request by an 23 owner or member of the association or cooperative that 24 the board exercise its authority to execute and file a 25 restrictive covenant modification under this Section, 26 the board shall, within 90 days, investigate any claim HB1575 Engrossed - 2 - LRB104 08187 RTM 18237 b HB1575 Engrossed- 3 -LRB104 08187 RTM 18237 b HB1575 Engrossed - 3 - LRB104 08187 RTM 18237 b HB1575 Engrossed - 3 - LRB104 08187 RTM 18237 b 1 of an unlawful restrictive covenant and, if determined 2 to be an unlawful restrictive covenant, shall execute 3 and file a restrictive covenant modification as 4 provided under this Section. 5 (C) If a board fails or refuses to execute and file 6 a restrictive covenant modification after it receives 7 a written request by an owner or member as provided in 8 subparagraph (B), the owner or member who made the 9 written request may bring an action to compel the 10 board to file a restrictive covenant modification. Any 11 owner or member who prevails in such an action to 12 compel shall be entitled to recover reasonable 13 attorneys' fees and costs from the association or 14 cooperative. 15 (D) The board shall give written notice to all 16 owners or members of the association of the 17 restrictive covenant modification along with a copy of 18 such restrictive covenant modification within 21 days 19 after receiving a recorded copy of the documents. 20 (c) A restrictive covenant modification shall include: 21 (1) a complete copy of the original instrument 22 containing the unlawful restrictive covenant with the 23 language of the unlawful restrictive covenant stricken; 24 and 25 (2) a petition to modify an unlawful restrictive 26 covenant, as provided in subsection (d). HB1575 Engrossed - 3 - LRB104 08187 RTM 18237 b HB1575 Engrossed- 4 -LRB104 08187 RTM 18237 b HB1575 Engrossed - 4 - LRB104 08187 RTM 18237 b HB1575 Engrossed - 4 - LRB104 08187 RTM 18237 b 1 (d) A petition to modify an unlawful restrictive covenant 2 shall: 3 (1) be signed by the record owner of the property or, 4 in the case of an entity under paragraph (2) of subsection 5 (b), be accompanied by a certification that a majority of 6 the governing body of the entity has agreed to the 7 restrictive covenant modification; 8 (2) reference the property index number or unique 9 parcel identification code of the property for which the 10 original instrument containing the unlawful restrictive 11 covenant is recorded; and 12 (3) include any other information that the recorder or 13 State's Attorney considers necessary in carrying out the 14 requirements of this Section. 15 (e) On receipt of a restrictive covenant modification, the 16 recorder shall submit the restrictive covenant modification 17 together with a copy of the original instrument referenced in 18 the restrictive covenant modification to the State's Attorney. 19 (f) Within 30 days of receipt from the recorder, the 20 State's Attorney shall: 21 (1) review the restrictive covenant modification and 22 the copy of the original instrument to determine: (i) 23 whether the original instrument contains an unlawful 24 restrictive covenant; and (ii) whether the restrictive 25 covenant modification correctly strikes through only the 26 language of the unlawful restrictive covenant; and HB1575 Engrossed - 4 - LRB104 08187 RTM 18237 b HB1575 Engrossed- 5 -LRB104 08187 RTM 18237 b HB1575 Engrossed - 5 - LRB104 08187 RTM 18237 b HB1575 Engrossed - 5 - LRB104 08187 RTM 18237 b 1 (2) return the restrictive covenant modification and 2 copy of the original instrument to the recorder together 3 with the State's Attorney's written determination. 4 (g) The recorder may not record a restrictive covenant 5 modification filed under subsection (b) unless the State's 6 Attorney determines that the modification is appropriate in 7 accordance with subsection (f). If the State's Attorney's 8 written determination finds that the instrument contains an 9 unlawful restrictive covenant, the recorder shall record the 10 restrictive covenant modification with the language stricken 11 as directed by the State's Attorney. 12 (h) A recorded restrictive covenant modification shall be 13 indexed in the same manner as the original instrument. 14 (i) Subject to all lawful covenants, conditions, and 15 restrictions that were recorded after the recording of the 16 original instrument, the restrictions contained in a duly 17 recorded restrictive covenant modification are the only 18 restrictions based on the original instrument that apply to 19 the property. 20 (j) The effective date of the terms and conditions 21 contained in a duly recorded restrictive covenant modification 22 shall be the same as the effective date of the original 23 instrument. 24 (k) If a person or entity causes to be filed or recorded a 25 restrictive covenant modification that contains modifications 26 not authorized under this Section: HB1575 Engrossed - 5 - LRB104 08187 RTM 18237 b HB1575 Engrossed- 6 -LRB104 08187 RTM 18237 b HB1575 Engrossed - 6 - LRB104 08187 RTM 18237 b HB1575 Engrossed - 6 - LRB104 08187 RTM 18237 b 1 (1) the recorder may not incur any liability for 2 recording the restrictive covenant modification; 3 (2) the county may not incur any liability as a result 4 of a determination rendered by the State's Attorney under 5 subsection (f); and 6 (3) any costs, fees, or liability that results from 7 the unauthorized filing or recording shall be the sole 8 responsibility of the person or entity that executed the 9 restrictive covenant modification. 10 (l) The recorder may not impose a fee for filing a 11 restrictive covenant modification to an unlawful restrictive 12 covenant under pursuant to this Section in an amount not to 13 exceed $10. The recorder may not charge a fee for any copies of 14 records necessary for filing a restrictive covenant 15 modification to an unlawful restrictive covenant under this 16 Section. 17 (Source: P.A. 102-110, eff. 1-1-22.) HB1575 Engrossed - 6 - LRB104 08187 RTM 18237 b