Bill Text: IL HB4849 | 2019-2020 | 101st General Assembly | Introduced

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Bill Title: Amends the Tobacco Products Compliance Act. Provides that a manufacturer or distributor of a tobacco product has a private right of action against another manufacturer or distributor of a tobacco product for a tobacco product sold within the State of Illinois if specified conditions and requirements are met. Provides that a manufacturer or distributor (rather than any interested party) may file suit for violations under the Act. Contains provisions regarding recovery for prevailing in an enforcement action. Makes other changes. Effective immediately.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2020-02-18 - Referred to Rules Committee [HB4849 Detail]

Download: Illinois-2019-HB4849-Introduced.html

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101ST GENERAL ASSEMBLY State of Illinois 2019 and 2020 HB4849 Introduced , by Rep. Deanne M. Mazzochi SYNOPSIS AS INTRODUCED:
410 ILCS 76/10
410 ILCS 76/15
Amends the Tobacco Products Compliance Act. Provides that a manufacturer or distributor of a tobacco product has a private right of action against another manufacturer or distributor of a tobacco product for a tobacco product sold within the State of Illinois if specified conditions and requirements are met. Provides that a manufacturer or distributor (rather than any interested party) may file suit for violations under the Act. Contains provisions regarding recovery for prevailing in an enforcement action. Makes other changes. Effective immediately.
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A BILL FOR
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AN ACT concerning health.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Tobacco Products Compliance Act is amended
by changing Sections 10 and 15 as follows:
(410 ILCS 76/10)
Sec. 10. Compliance reports. Any person who manufactures
any tobacco product in the State for distribution or sale in
the United States shall be required to provide annually, by
June 1, 2020 and by June 1 of each year thereafter, a written
certification, including supporting evidence and
documentation, of such person's compliance with Sections 903,
904, 905, and 920 of the federal Family Smoking Prevention and
Tobacco Control Act to the Illinois Department of Public
Health, to the extent such person's manufacture qualifies as
one that requires compliance with such Act. Such qualifying
person will also be required to provide, for each tobacco
product manufactured, sold, or distributed by the person
(including all tobacco products manufactured in the State by
the person and all other tobacco products sold or distributed
by the person) copies of any written evidence and documentation
prepared to comply with 21 U.S.C. 387(g), (i), and (t), that
each such tobacco product, as required by the Tobacco Control

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Act, is one of the following: (i) "grandfathered" (that is,
first introduced into interstate commerce for commercial
distribution in the United States on or before February 15,
2007); (ii) "provisional" (that is, first introduced into
interstate commerce for commercial distribution in the United
States between February 15, 2007 and March 22, 2011, and for
which a substantial equivalence report was submitted to the FDA
by March 22, 2011); or (iii) determined to be "substantially
equivalent" (that is, is the subject of a marketing
authorization order from the FDA after review of a premarket
submission intended to demonstrate substantial equivalence).
(Source: P.A. 101-582, eff. 8-26-19.)
(410 ILCS 76/15)
Sec. 15. Private right of action. A manufacturer or
distributor of a tobacco product has a private right of action
against another manufacturer or distributor of a tobacco
product for a tobacco product sold within the State of
Illinois, as follows:
(1) If the tobacco product fails to comply with Section
2 of the Cigarette Tax Act.
(2) If the tobacco product fails to comply with Section
3 of the Cigarette Tax Act.
(3) If the tobacco product fails to comply with Section
3 of the Cigarette Use Tax Act.
(4) If the tobacco product fails to comply with Section

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3-10 of the Cigarette Use Tax Act.
(5) If the tobacco product fails to comply with any
rule adopted under this Act pertaining to revenue by any
political subdivision of the State, as described in this
Act.
(6) If the tobacco product fails to comply with a local
ordinance pertaining to a tobacco product, if the tobacco
product was actually sold in a jurisdiction subject to such
ordinance.
For paragraphs (1) through (5), the manufacturer or
distributor seeking to initiate the private right of action
must give notice by certified mail, first class postage
prepaid, to the Director of Revenue, or his or her designee, of
a violation of Section 2 or Section 3 of the Cigarette Tax Act,
and the Department of Revenue must decline to take action
within 60 days of such notice.
For paragraph (6), the manufacturer or distributor seeking
to initiate the private right of action must give notice by
certified mail, first class postage prepaid, to the clerk of
the unit of local government, or his or her designee, of a
violation of the local ordinance, and the unit of local
government must decline to take action within 90 days of such
notice.
A manufacturer or distributor To enforce against a
violation of the Act or any rule adopted under this Act by any
local government or political subdivision as described in this

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Act, any interested party may file suit in circuit court in the
county where the alleged violation occurred or where any person
who is a party to the action resides. Actions may be brought by
one or more manufacturers or distributors persons for and on
behalf of themselves and other persons similarly situated. If
the interested party prevails in its enforcement action, it
will be entitled to recover: (A) one-third of the noncompliant
tax revenue, with the remainder to be conveyed to (i) the
Department of Revenue for actions brought under paragraphs (1)
through (5), and (B) the unit of local government for actions
brought under paragraph (6); and (B) damages of 3 times its
attorney's fees and costs, and, in addition, the court or other
adjudicating body, at its discretion, may assess punitive
damages for any wanton or flagrant violation of the law.
(Source: P.A. 101-582, eff. 8-26-19.)
Section 99. Effective date. This Act takes effect upon
becoming law.