HB5258 - Consumer Contract Plain Language Act

• Requires all consumer contracts entered after the effective date to be written in simple, clear, understandable, and easily readable manner.

• Establishes specific formatting and content requirements including minimum 8-point font, appropriate section divisions, simple active verbs, high-contrast ink, table of contents for contracts over 2,000 words, and conditions in at least 10-point bold type.

• Prohibits contracts from containing confusing cross-references, overly long sentences, double negatives, obsolete language, or unilateral modification provisions that disadvantage consumers without explicit consent.

• Requires covered entities to provide clear descriptions of all terms, total costs, fees, charges, and waivers of rights in both English and the language in which the transaction was conducted.

• Provides enforcement through the Illinois Attorney General with statutory damages of the lesser of $1,000 or total contract amount, plus actual losses, court costs, and attorney's fees for knowing violations; includes safe harbor for good faith compliance efforts.