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CBAI Initiatives Pass Both Houses

House Bill 1335 (Sandack/Mulroe) amends the “good funds” disbursement authorization provisions of the Title Insurance Act to allow financial institutions and title companies that know each other and agree to use cashier’s checks, teller’s checks and certified checks as settlement funds in transactions greater than $50,000. While the bill is permissive in nature, the title insurance industry still opposed the legislation, and at the request of Senator Don Harmon (D-Oak Park), the bill was amended in the Senate. The bill as amended makes it clear the parties will address the issue of delivery of the check to the title company in sufficient time for the check to be deposited to the title company’s account, before any disbursement of funds is made by the title company. As part of the compromise, a January 1, 2015 sunset was also included in the bill. Senator Harmon inserted the sunset, and committed to repeal it next year if there is no proof that that this legislative change negatively impacts the title insurance industry. CBAI plans to continue to work with the General Assembly on this issue and to repeal the sunset. CBAI would like to thank HB 1335’s sponsors State Representative Ron Sandack (R-Downers Grove), and State Senator John Mulroe (D- Chicago) for their hard work and dedication to the passing of this legislation. HB 1335 passed both chambers with only three no votes in both chambers.

CBAI was also successful in passing legislation that removes the requirement for banks to disclose ATM fees with a physical sign on the terminal, when the fee is shown electronically on the terminal screen. House Bill 2432 (Lang/Mulroe) was amended with language that was introduced initially onto HB 183. HB 2432 had to be amended because HB 183 was “hijacked” by the Senate Democratic leadership and ultimately became the vehicle for the concealed carry compromise. Last year, Congress removed this physical signage requirement in federal law, and this bill makes state law consistent with that change. HB 2432 passed both chambers and will be sent to the Governor.

For more information, or if you have any questions or comments, please contact Kraig Lounsberry or Megan Peck at 800/736-2224.