HB5676 Summary

• Establishes joint and several liability for failed vehicle release payments: if a towing service releases a vehicle based on a payment that subsequently fails (due to insufficient funds, chargeback, or other reasons) and remains unpaid for 30 calendar days after certified mail notice, both the payor and registered owner are liable for the failed amount plus reasonable failed payment fees and collection costs.

• Applies the failed payment liability provision across multiple Illinois codes governing towing services, including the Illinois Vehicle Code (Sections 4-203, 4-216, and 18a-501) and the Labor and Storage Lien Acts.

• Deletes language from Section 18a-501 stating that a relocator becomes a "holder in due course" upon receipt of a properly signed credit card receipt, removing protections against payment disputes.

• Requires towing services to notify lienholders of record by certified mail within 2 business days of vehicle removal and include information about storage fee rates and inspection opportunities.

• Takes effect immediately upon becoming law.