reglab/statecodes huggingface dataset:
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.110 - Final Determination of Availability

Current through Register Vol. 48, No. 28, July 12, 2024
A final determination whether a proposed name is available as
				  a limited liability company name shall be made only upon payment of the proper
				  fees as listed in Section 5-10 of the Act and the submission of a document
				  required to be filed with the Secretary of State, stamped and filed with the
				  Department of Business Services, Limited Liability Company
				  Division.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.115 - Response as to Basis of Unavailability

Current through Register Vol. 48, No. 28, July 12, 2024
Any final determination or any preliminary determination
				  under this Subpart that indicates a proposed name is unavailable shall specify
				  a reason therefor when a document has been properly submitted or when a request
				  in writing has been made, and has specifically requested that a reason for
				  unavailability be stated. Only one reason for unavailability need be stated
				  and, when appropriate, only one conflicting name need be set forth. Any stated
				  reason for unavailability made with respect to a preliminary determination
				  shall be informational only and shall not be deemed a final determination for
				  any purpose.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.120 - Reconsideration Procedure

Current through Register Vol. 48, No. 28, July 12, 2024
An applicant may request reconsideration of a final
				  determination that a proposed name is unavailable, by making a written request
				  addressed to the Director, Room 328, Howlett Building, Springfield, Illinois
				  62756. The applicant shall attach to this request a copy of the written final
				  determination rejecting the name, and shall include a statement of the reasons
				  upon which the applicant seeks approval of the name. The applicant may include
				  material in support of the request for reconsideration. This reconsideration
				  procedure shall not apply to any request for preliminary determination of
				  availability. Only after the Director's determination of unavailability shall
				  an applicant be entitled to a hearing.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.125 - Effect of Final Determination

Current through Register Vol. 48, No. 28, July 12, 2024
A final determination under this Subpart that a limited
				  liability company name is available is concerned solely with the administrative
				  convenience of the Department of Business Service, Limited Liability Company
				  Division and does not warrant the name selected or guarantee the unqualified
				  use of the name without regard to the rights of other parties. The Secretary of
				  State does not pass upon the legality of a limited company name by merely
				  permitting organization, qualification, reservation or registration under a
				  name. A final determination of limited liability company name unavailability
				  shall not be based on deceptiveness, confusing similarity or other such
				  considerations derived from unfair competition and trademark
				  law.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.130 - Standards - Conflicting Names

Current through Register Vol. 48, No. 28, July 12, 2024
A limited liability company name shall be distinguishable
				  upon the record of the Secretary of State, Department of Business Services,
				  Limited Liability Company Division, from the limited liability company name or
				  any assumed limited liability company name of any domestic or foreign limited
				  liability company or domestic or foreign corporation name or assumed name in
				  existence and on record or from any name reserved or
				  registered.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.135 - Distinguishable - Defined

Current through Register Vol. 48, No. 28, July 12, 2024
A limited liability company name is distinguishable when
				  containing a difference from other names on the record. A difference exists
				  when the limited liability company name distinguishability is recognizable by
				  the Secretary of State or his/her designee.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.140 - Matters Not Considered

Current through Register Vol. 48, No. 28, July 12, 2024
Only the proposed name and the names of active limited
				  liability companies or corporations (limited liability companies or
				  corporations that have not been dissolved or revoked) are considered in
				  determining name availability. Among the matters not considered are:
a) the purpose, location or relative size of
				the business;
b) the intent of the
				applicant;
c) any consent by a
				limited liability company or corporation bearing a similar title;
d) the names of other unincorporated
				entities;
e) the common law or
				statutory law of unfair competition, unfair trade practices, trade marks, trade
				names, service marks, service names, copyrights or any other right to the
				exclusive use of names or symbols;
f) the names of limited liability companies
				or corporations not on record with the Secretary of State;
g) whether the public may be likely to be
				deceived or misled by the resemblance of the proposed name to the name of other
				limited liability companies or corporations;
h) whether an existing limited liability
				company or corporation may possibly be injured by a resemblance of the proposed
				name;
i) any criteria of sound,
				including, but not limited to, phonetics derived from deliberate misspelling or
				otherwise.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.145 - Differences

Current through Register Vol. 48, No. 28, July 12, 2024
Limited liability company names are deemed not to be
				  distinguishable when a comparison of the names reveals no difference except
				  for:
a) one or more of the following:
				limited liability company, LLC, L.L.C., corporation, company, incorporated,
				limited, or an abbreviation thereof, regardless of where in the name such may
				appear;
b) the inclusion or
				omission of punctuation, articles of speech, conjunctions, contractions (or
				symbols thereof), or a letter or letters;
c) an abbreviation versus a spelling out of a
				word, a different tense of a word, or the use of the singular as opposed to the
				plural of a word.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.150 - Surnames

Current through Register Vol. 48, No. 28, July 12, 2024
A surname shall be considered a "word". Where a limited
				  liability company name consists of a surname without a given name or initials,
				  it is treated in the same manner as other words for application of this
				  Subpart. A person may use his or her own name in a limited liability company
				  name, but the limited liability company name must still be distinguishable from
				  other limited liability company names.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.155 - Alphabet Names

Current through Register Vol. 48, No. 28, July 12, 2024
Where a name or portion of a name consists of initials only
				  or letters of the alphabet, the combination of initials or letters of the
				  alphabet will be treated as a "word" in the same manner as other words for
				  application of this Subpart.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.165 - Restricted and Professional Words

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				Words which are subject to restrictions on their use in a limited liability
				company name include, but are not limited to, the following and any variation
				thereof: Insurance, Surety, Underwriters, Bank, Bankers, Banking, or any
				licensed professional services.
b)
				However, "Bank", "Banker", or "Banking" may be used in a limited liability
				company name if, at the time of filing of the articles of organization,
				application for admission by a foreign limited liability company, or an
				amendment to either of these documents to change the limited liability company
				name, the limited liability company shall give the Department a letter signed
				by the Director of Financial and Professional Regulation-Division of Banking or
				a designee granting permission to use these words, pursuant to the standard set
				forth in Section 46 of the Illinois Banking Act [205
				ILCS 5/46 ].
1) The
				limited liability company using any of these aforementioned words must not be
				engaged in the banking business, but may be a bank holding company.
2) The use of these words shall be allowed if
				the limited liability company is not conducting financial business and the
				otherwise prohibited word is a person's proper name, e.g. "Robert
				Banks".
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.170 - Acceptable Characters of Print

Current through Register Vol. 48, No. 28, July 12, 2024
The limited liability company name must consist of letters of
				  the English alphabet, Arabic or Roman numerals, and/or symbols capable of being
				  readily reproduced by the Office of the Secretary of State [805 ILCS
				  5/4.05 ].
a)
				Letters of the English alphabet include upper case or capital letters only; no
				distinction as to type face or font is recognized.
b) Arabic numerals include: 0, 1, 2, 3, 4, 5,
				6, 7, 8, 9
c) Roman numerals
				characters include: I, V, X, L, C, D, M
d) Symbols recognized by the Secretary of
				State include: @ # $ % & * ( ) _ + = : " ; / ? , .
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.175 - Invalidity

Current through Register Vol. 48, No. 28, July 12, 2024
If any provision of this Part shall be held by a court of
				  competent jurisdiction to be invalid, such holding shall not affect validity of
				  the remaining provisions thereof.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.180 - Assumed Names

Current through Register Vol. 48, No. 28, July 12, 2024
a) A limited
				liability company may adopt, change, renew or cancel its assumed name by filing
				an application with the Department and paying the fee as prescribed in Section
				5-10 of the LLCA. The application shall contain the following required
				information: the name of the limited liability company, the file number, and
				the assumed name to be adopted, changed, renewed or cancelled.
b) The application to adopt, change, or
				cancel an assumed name shall be on a separate form from the application to
				renew an assumed name.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.185 - Foreign LLC with Prohibited Name

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				A foreign LLC that has a name prohibited by this Part may be admitted to
				transact business in this State, if the foreign LLC:
1) Elects to adopt an assumed name or names,
				in accordance with Section
				178.180 of this
				Part, that complies with provisions of Section 1-10(a)(1) of the LLCA;
				and
2) Agrees in its application
				for admission to transact business in this State only under such assumed name
				or names; and
3) Maintains the
				foreign assumed name on the records of the Office of the Secretary of State or
				the company becomes subject to revocation of its admission.
Illinois Administrative Code › Title 14 - COMMERCE › Part 178 - LIMITED LIABILITY COMPANY ACT › Subpart B - NAMES › Section 178.190 - Improper Names

Current through Register Vol. 48, No. 28, July 12, 2024
The limited liability company name or assumed limited
				  liability company name shall not contain any word or words that create a
				  connotation that is offensive to good taste and decency. By way of example
				  only, prohibited words and phrases include, but are not limited to, profanity,
				  those that are likely to be considered slurs based on race, ethnicity, sexual
				  orientation or gender, or those that otherwise defame a person or group of
				  persons. The provisions of this Section shall apply regardless of whether the
				  name or assumed name of the limited liability company is stated in English or
				  some other language.
Illinois Administrative Code › Title 14 - COMMERCE › Part 180 - UNIFORM COMMERCIAL CODE › Section 180.12 - Forms

Current through Register Vol. 48, No. 28, July 12, 2024
The forms prescribed by Section 9-521 of the UCC [810
				ILCS 5/9-521 ] shall be accepted by the filing office.
				Forms approved by the UCC Division shall be accepted. Copies of the approved
				forms are available on the Secretary of State's website at
www.cyberdriveillinois.com
.
a) In order to insure the legibility after
				records are scanned into the imaging system of the UCC Division, the
				information on each record submitted shall be typewritten or computer generated
				typeface. The names and addresses of the debtor and the secured party shall be
				in all capital or mixed case letters with a font size of at least 10 point
				Helvetica/Swiss style font.
b) The
				remitter shall submit two copies of each record, along with a self-addressed
				stamped envelope. The UCC Division shall retain one copy for its records and
				return one copy to the remitter as an acknowledgement. If only one copy is
				submitted, it will be stamped "No Acknowledgement Received" and the UCC
				Division will retain that copy for its records. There will be no
				acknowledgement copy returned to the remitter.
c) All UCC records must contain the full
				legal name and address of the debtor and indicate whether the debtor is an
				individual or an organization. As used in this Section, address is deemed to
				include street address, route number or P.O. Box, city, state and zip code. The
				disclosure on the records of the social security number or tax identification
				number of the debtor is non-required information and, due to the sensitive
				nature of the information, it will be redacted from the record.
d) When submitting a UCC-3 Amendment to
				delete more than a single debtor name, a separate UCC-3 Amendment form must,
				pursuant to Section 9-512 of the UCC, be completed for each debtor name to be
				deleted. A separate fee must also be tendered for each UCC-3 Amendment form
				submitted.
e) When submitting a
				UCC-3 Amendment pursuant to Section 9-512 of the UCC, only one UCC-3 Amendment
				type per form will be permitted. A separate fee must also be tendered for each
				UCC-3 Amendment form submitted.
Illinois Administrative Code › Title 14 - COMMERCE › Part 180 - UNIFORM COMMERCIAL CODE › Section 180.13 - Filing Fees/Methods of Payment/Overpayment and Underpayment Policies and Extension of Filing Deadlines

Current through Register Vol. 48, No. 28, July 12, 2024
a)
			 Filing Fees.
1) The fee for filing and
			 indexing a UCC record communicated in a paper-based format or electronically is
			 $20.
2) A fee of $20 shall be paid
			 for an initial financing statement that indicates that it is filed in
			 connection with a public-finance transaction and a fee of $20 shall be paid for
			 an initial financing statement that indicates that it is filed in connection
			 with a manufactured-home transaction.
3) UCC search fee. The fee for a UCC search
			 request communicated on paper or in a paper-based format is $10 per name
			 searched.
4) UCC search - copies.
			 The fee for UCC search copies is $1 per page.
Illinois Administrative Code › Title 14 - COMMERCE › Part 180 - UNIFORM COMMERCIAL CODE › Section 180.14 - Public Record Services

Current through Register Vol. 48, No. 28, July 12, 2024
Public record services are provided on a non-discriminatory
				basis to any member of the public on the terms described in this Part. The
				following are made available for obtaining copies of UCC and Federal Tax Lien
				records and copies of data from the UCC information management system.
a) Individually identified records. Copies of
			 individually identified UCC and Federal Tax Lien filings are available upon
			 request on a submitted UCC-11 information request form.
1) Fees for UCC-11 information request for
			 debtor name searched are $10.
2)
			 Fees for Federal Tax Lien taxpayer name to be searched are $5.
3) Fees for copies of images.
A) Copies of UCC images are $1 per copy page
			 requested.
B) Copies of Federal Tax
			 Lien images are $.50 per page requested.
Illinois Administrative Code › Title 14 - COMMERCE › Part 180 - UNIFORM COMMERCIAL CODE › Section 180.15 - Acceptance and Refusal of Records

Current through Register Vol. 48, No. 28, July 12, 2024
a)
			 Role of Secretary. The duties and responsibilities of the Secretary with
			 respect to the administration of the UCC are ministerial. In accepting for
			 filing or refusing to file a UCC record, the Secretary does none of the
			 following:
1) Determine the legal sufficiency
			 or insufficiency of a record.
2)
			 Determine that a security interest in collateral exists or does not
			 exist.
3) Determine that
			 information in the record is correct or incorrect, in whole or in
			 part.
4) Create a presumption that
			 information in the record is correct or incorrect, in whole or in
			 part.
Illinois Administrative Code › Title 14 - COMMERCE › Part 180 - UNIFORM COMMERCIAL CODE › Section 180.16 - UCC Information Management System

Current through Register Vol. 48, No. 28, July 12, 2024
Policy statement. The UCC Division uses an information
				management system to store, index, and retrieve information relating to
				financing statements. The information management system includes an index of
				the names of debtors named on financing statements that have not lapsed. This
				Section describes the UCC information management system.
a) Primary data elements. The primary data
			 elements used in the UCC information management system are the following:
1) Identification numbers.
A) Each initial financing statement is
			 identified by its file number as described in Section
			 180.10.
			 Identification of the initial financing statement is stamped on written UCC
			 records or otherwise permanently associated with the record maintained for UCC
			 records in the UCC information management system. A record is created in the
			 information management system for each initial financing statement and all
			 information comprising that record is maintained in the system. The record is
			 identified by the same information assigned to the initial financing
			 statement.
B) A UCC record other
			 than an initial financing statement is identified by a unique file number
			 assigned by the filing officer. In the information management system, records
			 of all UCC records other than initial financing statements are linked to the
			 record of their related initial financing statement.
Illinois Administrative Code › Title 14 - COMMERCE › Part 180 - UNIFORM COMMERCIAL CODE › Section 180.17 - Filing and Data Entry Procedures

Current through Register Vol. 48, No. 28, July 12, 2024
a)
			 Errors of the filing office. The filing officer may correct the errors of
			 filing office personnel in the UCC information management system at any time.
			 If the correction occurs after the filing officer has issued a certification
			 date, the filing officer shall file a filing officer correction statement in
			 the UCC information management system identifying the record to which it
			 relates and the date of the correction and explaining the nature of the
			 corrective action taken. The record shall be preserved as long as the record of
			 the initial financing statement is preserved in the UCC information management
			 system.
1) In the case of a data entry error
			 that caused the record in the UCC information management system to be different
			 from the originally submitted document, the record indexed in the management
			 system will be corrected to correspond with the originally submitted
			 record.
2) In the case of an error
			 on the part of the filer that is noticed after a certification date has been
			 issued, the filing office is under no obligation to make the corrections. It is
			 the responsibility of the filer to correct any errors pursuant to Sections
			 9-511, 9-512 and 9-518 of the UCC [810 ILCS 5/9-511, 9 -512 and
			 9-518].
Illinois Administrative Code › Title 14 - COMMERCE › Part 180 - UNIFORM COMMERCIAL CODE › Section 180.18 - Search Requests and Reports

Current through Register Vol. 48, No. 28, July 12, 2024
General requirements. The filing officer maintains for public
				inspection a searchable index for all records of UCC documents. The index shall
				provide for the retrieval of a record by the name of the debtor and by the file
				number of the initial financing statement of each filed UCC record relating to
				the initial financing statement.
a)
			 Search requests. Search requests shall contain the following information:
1) Name searched. A search request should set
			 forth the name of the debtor to be searched and must specify whether the debtor
			 is an individual or an organization. A search request will be processed using
			 the name in the exact form it is submitted. Each search request shall be
			 limited to one debtor name.
2)
			 Requesting party. The name and address of the person to whom the search report
			 is to be sent.
3) Fee. The
			 appropriate fee shall be enclosed, payable by a method described in Section
			 180.13
			 of this Part.
4) Search request
			 with filing. If a filer requests a search at the time a UCC record is filed, a
			 UCC-11 form designating the exact debtor name from the initial financing
			 statement shall be submitted. The requesting party shall be the name and
			 address to whom the search report should be sent, and the search request shall
			 be deemed to request a search that would retrieve all financing statements
			 filed on or prior to the date the UCC record is filed. The filer shall submit
			 the search request on a UCC-11 form.
Illinois Administrative Code › Title 14 - COMMERCE › Part 180 - UNIFORM COMMERCIAL CODE › Section 180.19 - XML Documents

Current through Register Vol. 48, No. 28, July 12, 2024
a) IACA
			 standard adopted. The XML Format as adopted by the International
Association of Commercial Administrators shall be adopted in
				Illinois for
electronic transmission of UCC records. An E-filing account
				must be created before submitting an XML filing. The electronic filing shall
				pass verification to the DTD (Document Type Definition). Failure to pass this
				verification shall result in rejection of the record pursuant to Section 9-516
				of the UCC [810 ILCS
				5/9-516 ].
b) Implementation guide. The filing office
			 shall publish an implementation
guide that prescribes the use of the XML Format. The guide
				shall be available to the public upon request.
c) Direct on-line data entry procedures. Upon
			 application and approval of an E-filing account, the remitter shall receive
			 direct on-line data entry procedures to file UCC records on-line. Persons
			 interested in filing records in this manner shall contact the UCC Division at
			 the address listed in Section
			 180.11
			 of this Part.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.100 - Act

Current through Register Vol. 48, No. 28, July 12, 2024
The "Act" means the Franchise Disclosure Act of 1987 [815
				  ILCS 705 ], hereinafter cited as Section 1 through Section 44 of the
				  Act.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.102 - Marketing Plan or System

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				Marketing Plan or System within the meaning of Section 3(1)(a) of the Act means
				advice given to the purchaser on how to sell the franchisor's product or
				service.
b) Whether such a plan or
				system is prescribed or suggested in substantial part by the franchisor within
				the meaning of Section 3(1)(a) of the Act depends on the extent to which the
				following assistance is provided by the franchisor: site selection, the grant
				of an exclusive territory, assistance on constructing or remodeling or
				decorating business premises, advice on fixtures or equipment or signs, advice
				on dress, training programs, advice on business hours, limitations on products
				or services to be sold, advertising assistance, suggested prices or credit
				practices, customer relations advice, and warranty advice.
c) A marketing plan or system may be
				prescribed or suggested in substantial part regardless of whether the
				franchisee is an independent contractor and not the agent of the franchisor and
				notwithstanding provisions of a franchise or other agreement purporting to
				grant the franchisee complete freedom in operating its business.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.103 - Substantially Associated

Current through Register Vol. 48, No. 28, July 12, 2024
A franchisee's business is substantially associated with the
				  franchisor's trademark, service mark, trade name, logotype, advertising or
				  other commercial symbol designating the franchisor or its affiliate within the
				  meaning of Section 3(1)(b) of the Act, if the franchise or other agreement, the
				  nature of the franchise business or other circumstances permit or require the
				  franchisee to identify its business to its customers primarily under such
				  trademark, service mark, trade name, logotype, advertising or other commercial
				  symbol (hereinafter referred to collectively as "franchisor's mark") or to
				  otherwise use the franchisor's mark in a manner likely to convey to the public
				  that it is an outlet of the franchisor. Mere absence in the franchise agreement
				  of permission to use the franchisor's name or mark will not alone negate
				  "substantial association". A contractual prohibition on use of the franchisor's
				  name or mark must be policed and enforced to insure that the name or mark is
				  not being substantially used without the franchisor's
				  knowledge.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.104 - Franchise Fee

Current through Register Vol. 48, No. 28, July 12, 2024
A "franchise fee" within the meaning of Section 3(14) of the
				  Act may be present regardless of the designation given to or the form of the
				  fee, whether payable in lump sum or installments, definite or indefinite in
				  amount, or partly or wholly contingent on future sales, profits, purchases for
				  the franchise business, or the sale or transfer of the franchisee's business. A
				  transfer fee will not be considered a franchise fee if it represents reasonable
				  expenses incurred in connection with the transfer.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.105 - Absence of Fee Exclusion

Current through Register Vol. 48, No. 28, July 12, 2024
a) Any
				payment(s) in excess of $500 that is required to be paid by a franchisee to the
				franchisor or an affiliate of the franchisor constitutes a franchise fee unless
				specifically excluded by Section 3(14) of the Act.
b) However, rental payments which reflect
				payments for the economic value of property, as opposed to payments wholly or
				partly for the right to enter into a business or to sell, resell or distribute
				goods, services or franchises, shall not be considered indirect franchise
				fees.
c) A payment made to a
				franchisor or affiliate for equipment, materials, real estate services, or
				other items shall not constitute a franchise fee if the purchase of the items
				is not required by the franchisor or franchisee is permitted to purchase the
				items from sources other than the franchisor or its affiliates and the item is
				available from such other sources.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.106 - Bona Fide Wholesale and Retail Price

Current through Register Vol. 48, No. 28, July 12, 2024
a) The Bona Fide Wholesale and Retail Price
				exceptions to franchise fee described in Section 3(14)(c) and (f) of the Act
				apply if the price charged constitutes a fair payment for goods purchased at a
				comparable level of distribution. No part of the price may be for the right to
				enter into the franchise business.
b) Only goods sold to the franchisee for
				resale qualify for the bona fide wholesale price exception. The price charged
				for a trademarked product does not exceed its bona fide wholesale price merely
				because that price exceeds the wholesale price of non-trademarked products of
				comparable quality and specifications. If the trademarked product commands a
				premium price by virtue of the trademark it carries, such premium does not
				constitute the payment of a franchise fee.
c) The bona fide wholesale and retail price
				exceptions apply only to purchases of goods. Services, rental payments, and
				leases of real or personal property are not within the category of "goods"
				regardless of whether the payment for such items constitutes a fair payment.
				Payments for services are presumed to be in part for the right granted to the
				franchisee to engage in the franchise business. Training programs are services
				and not goods regardless of whether offered, distributed or communicated by
				word of mouth, through instructions or lectures, in writing or printed form or
				by record or tape recording. If services are provided, an indirect franchise
				fee will be presumed regardless of whether the agreement sets forth an itemized
				fee for such services.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.107 - Established Market

Current through Register Vol. 48, No. 28, July 12, 2024
Whether a product has an established market within the
				  meaning of Section 3(14) of the Act is determined by the following factors in
				  Illinois or in another area with market characteristics similar to
				  Illinois:
a) The number of wholesale
				and retail outlets of the seller or of competitors in a similar line of
				business;
b) The quantity and price
				of like or similar products presently sold;
c) The ability of the purchaser to resell at
				the suggested retail price of the manufacturer and/or wholesaler or at a
				reasonable markup over purchaser's cost;
d) The number of years this and similar
				products have been sold.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.108 - Indirect Franchise Fee

Current through Register Vol. 48, No. 28, July 12, 2024
An indirect franchise fee within the meaning of Section 3(14)
				  of the Act is present despite the bona fide wholesale or retail price
				  exceptions if the buyer is required to purchase a quantity of goods so
				  unreasonably large that such goods may not be resold within a reasonable time.
				  What constitutes a reasonable time is determined by the price, markup, consumer
				  demand, location of product suppliers and seasonal demand
				  variations.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.110 - Material

Current through Register Vol. 48, No. 28, July 12, 2024
A statement or omission of fact is "material" within the
				  meaning of the Act if there is a substantial likelihood that a reasonable
				  prospective franchisee would consider it significant in making a decision to
				  purchase or not purchase the franchise.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.112 - Administrator

Current through Register Vol. 48, No. 28, July 12, 2024
"Administrator" as used in this Part means the Illinois
				  Attorney General, 500 South Second Street, Springfield, Illinois 62706,
				  (217)782-1090. Conferences may be arranged by appointment. Persons with
				  questions concerning the Act are encouraged to telephone the Franchise
				  Bureau.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.114 - Negotiated Change

Current through Register Vol. 48, No. 28, July 12, 2024
As stated in Section 11 of the Act, an amendment is not
				  required when changes in the franchise agreement are made pursuant to
				  negotiations between the franchisor and franchisee. However, if the same change
				  is consistently made in additional consecutive franchise sales and it is a
				  material change, it is considered to be a permanent change in the franchise
				  agreement and an Amendment reflecting the change must be filed within the
				  applicable time period.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.115 - Tradeshows

Current through Register Vol. 48, No. 28, July 12, 2024
A franchisor shall not attempt to solicit franchise sales at
				  a trade show held in Illinois, from Illinois residents or persons desiring an
				  Illinois franchise site, unless the franchisor is registered with the
				  Administrator or is otherwise exempt from registration. Accepting the name,
				  address and phone number of prospective franchisees for contact after
				  registration does not constitute an offer or offer to sell.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.116 - Franchise Broker

Current through Register Vol. 48, No. 28, July 12, 2024
A person shall be deemed to be a franchise broker engaged in
				  the business of representing a franchisor in offering for sale or selling a
				  franchise within the meaning of Section 3(21) of the Act, unless otherwise
				  exempt, if such person provides a prospective franchisee with information about
				  specific franchises other than the franchisor's name, address and phone number.
				  The expectation or acceptance of a fee contingent upon a franchise sale shall
				  be considered as evidence of franchise broker status unless such fee results
				  from an isolated transaction as defined in Section
				  200.202.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.117 - Cooperative

Current through Register Vol. 48, No. 28, July 12, 2024
"Cooperative" means a for-profit organization owned and
				  operated, or a nonprofit organization operated, by the wholesale or retail
				  members it serves. A cooperative that operates as, or subsequently purchases, a
				  franchise system must register that system under the Franchise Disclosure Act
				  if the system franchisees are not members of the cooperative with control
				  relatively equal to the other cooperative members.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.118 - UFOC Disclosure Requirements

Current through Register Vol. 48, No. 28, July 12, 2024
References in this Part to a Uniform Franchise Offering
				  Circular (UFOC), disclosure statement, offering circular, or prospectus means a
				  document prepared in compliance with the UFOC Guidelines as adopted by the
				  North American Securities Administrators Association (NASAA) and set forth in
				  Section 200.Appendix A, Illustration L.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.119 - Notification

Current through Register Vol. 48, No. 28, July 12, 2024
Notification in Section 10 of the Act means the listed
				  documents required to be filed by the franchisor under Section
				  200.600 and
				  UFOC General Instruction 110.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart A - DEFINITIONS › Section 200.120 - Time Periods Ending on Saturday, Sunday or Holiday

Current through Register Vol. 48, No. 28, July 12, 2024
Whenever the Act establishes a filing deadline, whether based
				  upon calendar "days" or "business days" and the date due falls upon a Saturday,
				  Sunday or Holiday when the Office of the Administrator is closed to the public,
				  the party affected is excused from compliance until the next business day when
				  the office is open to the public.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart B - OPINIONS, EXEMPTIONS › Section 200.200 - Interpretive Opinions and No Action Letters

Current through Register Vol. 48, No. 28, July 12, 2024
a) Except as provided in subsections (b) and
				(c) below, the Attorney General will issue an interpretive opinion upon
				submission of the following:
1) An
				explanatory cover letter;
2) A
				$50.00 fee as required by Section 40(d) of the Act;
3) A copy of the agreement;
4) Promotional materials where
				relevant;
5) Photographs of
				locations where relevant;
6) A list
				of states where the applicant is registered;
7) A list of the names and addresses of all
				company operated and licensed outlets;
8) Copies of all interpretive opinions from
				other administrative franchise agencies relating to the same issue;
9) A certification of all facts.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart B - OPINIONS, EXEMPTIONS › Section 200.201 - Order of Exemption

Current through Register Vol. 48, No. 28, July 12, 2024
a) Pursuant
				to Section 9 of the Act, the Administrator may by Order grant exemptions from
				the registration and disclosure requirements of the Act. The Administrator will
				consider whether to issue such an Order upon submission of the following:
1) A cover letter describing the basis for
				the exemption by reference to this Section and to Section 9 of the Act, a list
				of administrative agencies (other franchise regulatory states and the Federal
				Trade Commission) that have issued or denied exemptions or opinions with copies
				of the exemptions or opinions, and a statement of the number of franchises the
				franchisor intends to sell in Illinois in the ensuing twelve months;
2) A list showing all Illinois franchise
				sales since the most recent UFOC submitted with the exemption
				application;
3) A UFOC (Appendix A,
				Illustration L); and
4) A
				certification page (Appendix A, Illustration G).
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart B - OPINIONS, EXEMPTIONS › Section 200.202 - Exemptions by Rule

Current through Register Vol. 48, No. 28, July 12, 2024
a) The offer and
				sale of a franchise to a bank, savings institution, trust company, interstate
				carrier or insurance company is exempt from Sections 5 and 10 of the
				Act.
b) Isolated Transaction
1) If a referral source provides the name of
				a prospective franchisee to a franchisor and receives a referral or broker fee,
				but the person making the referral has no involvement in presenting the
				advantages of that particular franchise system, handles no franchisee payments
				owed to the franchisor, and has made no referral to that franchisor during the
				preceding 12 months, then such an isolated transaction does not require
				registration as a franchise broker and does not require the franchisor to
				provide disclosures concerning the person making the referral in the
				franchisor's UFOC.
2) If a
				franchisor obtains a prospective franchisee from an unregistered broker, the
				franchisor must verify the representations made to the prospect by the broker
				and that all required disclosure has been provided. No referral fee or
				commission shall be paid to the broker until such broker is properly registered
				with the Administrator or is found to be exempt from registration.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart C - ADVERTISING › Section 200.301 - Statements of Profitability

Current through Register Vol. 48, No. 28, July 12, 2024
No advertising in connection with the offer or sale of
				  franchises shall contain the statement that the purchase of a franchise is a
				  safe investment, is free from risk of loss or failure, or assures earnings or
				  profit. The text of the advertisement may employ words such as "success",
				  "profits", or "profit potential" so long as such terms are reasonably
				  qualified.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart C - ADVERTISING › Section 200.302 - Opinions of Counsel

Current through Register Vol. 48, No. 28, July 12, 2024
No advertising shall contain or refer to any opinion of
				  counsel unless the franchisor has obtained the prior written consent to such
				  use of counsel's name and opinion and unless the name and address of such
				  counsel is included in the advertising.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart C - ADVERTISING › Section 200.303 - Inconsistencies with Disclosure Statement

Current through Register Vol. 48, No. 28, July 12, 2024
It is a fraudulent practice for a franchisor to make any oral
				  or written representation which is materially inconsistent with the information
				  contained in the registered Disclosure Statement.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart C - ADVERTISING › Section 200.304 - Dollar Statements on Sales or Income

Current through Register Vol. 48, No. 28, July 12, 2024
Any advertisement which suggests a range or specific level of
				  sales, income, gross or net profits, or other types of earnings claims must be
				  consistent with the guidelines contained in Item 19 of the UFOC. (See Section
				  200.Appendix A, Illustration L.)
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart C - ADVERTISING › Section 200.306 - Internet Franchise Offers

Current through Register Vol. 48, No. 28, July 12, 2024
Any communication made through the Internet, the World Wide
				  Web, or any other similar proprietary or common carrier electronic delivery
				  system, of an offer to sell a franchise ("Internet Offer") is exempt from the
				  registration provisions of the Illinois Franchise Disclosure Act if the
				  franchisor limits contact with prospective Illinois franchisees to keeping a
				  prospect list and notifying such prospects that, until the franchisor registers
				  the franchise in Illinois, no further discussion about the franchise
				  opportunity can take place.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart D - HEARINGS › Section 200.400 - Preamble

Current through Register Vol. 48, No. 28, July 12, 2024
The regulations contained in this Subpart shall govern
				  administrative hearings under the Act. The purpose of this Subpart is to
				  provide for the orderly determination of rights, duties and privileges of
				  parties under procedures assuring such parties due process of
				  law.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart D - HEARINGS › Section 200.401 - Party

Current through Register Vol. 48, No. 28, July 12, 2024
"Party" means the Administrator and all persons whose rights
				  are to be determined at the hearing. Several persons may be joined as parties
				  when they are alleged to have engaged in the same transaction constituting a
				  violation.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart D - HEARINGS › Section 200.402 - Hearing Officer

Current through Register Vol. 48, No. 28, July 12, 2024
"Hearing Officer" means an independent person designated by
				  the Administrator to preside at the hearing. Such person must meet the
				  following standards and qualifications:
a) be of high integrity and good personal
				repute;
b) be unbiased, impartial
				and without any material conflict of interest;
c) be a member in good standing of the Bar of
				Illinois;
d) be familiar with the
				rules of evidence applied in civil cases in the circuit courts of Illinois and
				with the Act and the Rules promulgated thereunder; and
e) not be a regular employee of the Illinois
				Attorney General.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart D - HEARINGS › Section 200.404 - Hearing Requests

Current through Register Vol. 48, No. 28, July 12, 2024
a) A party
				may request a hearing within 15 days of the date of an order issued under
				Section 23 of the Act.
b) If such a
				request is received by the Administrator, the matter will be set down for
				hearing within 10 days after such receipt, unless the requesting party consents
				to a later date.
c) Unless a
				hearing is so requested, the order will remain in effect until it is modified
				or vacated by the Administrator.
Illinois Administrative Code › Title 14 - COMMERCE › Part 200 - FRANCHISE DISCLOSURE ACT › Subpart D - HEARINGS › Section 200.405 - Notice of Hearing

Current through Register Vol. 48, No. 28, July 12, 2024
a) A notice
				of hearing shall be delivered to all parties to the proceeding by certified or
				registered U.S. Mail with return receipt requested, not less than 5 days prior
				to the initial date of such hearing, or any proper extension thereof.
b) The notice shall include:
1) the names and last known addresses of all
				parties;
2) the time, date and
				place of hearing;
3) the name of
				the Hearing Officer;
4) a short and
				concise statement of facts (as distinguished from conclusions of law or a mere
				recitation of the words of the Act) alleging the act or acts done by each
				respondent; the date and place each such act was done; the Sections of the Act
				or of this Part alleged to have been violated or otherwise involved in the
				proceeding; and the decision or action requested by the
				Administrator;
5) a concise
				statement to each party that:
A) the party
				may be represented by legal counsel; may present evidence; may cross-examine
				witnesses and otherwise participate;
B) failure to so appear shall constitute
				default unless any party has upon due notice moved for and obtained a
				continuance.