225 ILCS 640

225 ILCS 640
in effect

225 ILCS 640/1 Definitions

(225 ILCS 640/1) (from Ch. 121 1/2, par. 208) Sec. 1. Definitions. When used in this Act: "Person" means any person, firm, partnership, or corporation. "Department" means the Department of Agriculture of the State of Illinois. "Director" means the Director of the Illinois Department of Agriculture, or his duly appointed representative. "Livestock" means cattle, swine, sheep, equidae, and goats. "Livestock auction market" means any sale or exchange of livestock held by any person at an established place of business or premises where the livestock is assembled for sale or exchange and is sold or exchanged at auction at regular or irregular intervals, but more frequently than 3 times during the preceding 12 months. "Consignor" means any person consigning, shipping, or delivering livestock to a livestock auction market for sale, resale, or exchange. "Operator of a livestock auction market" means any person holding, conducting, or carrying on a livestock auction market. "Marketing center" means an approved livestock facility (stockyard or livestock market under State and federal veterinary supervision) where livestock is assembled and that has been approved by the United States Department of Agriculture. "Consignment" means a document issued by the owner or shipper of livestock, designating the name of the owner and/or shipper; place of origin; stockyards, State or Federal approved slaughtering establishment, or marketing center of destination; date of shipment; and number and description of livestock, certified to by the owner or shipper, kept in possession of the carrier and delivered to a stockyards, State or Federal approved slaughtering establishment, or marketing center of destination upon acceptance. This consignment shall be held by the stockyards, State or Federal approved slaughtering establishment, or marketing center for a period of not less than 6 months for inspection by the legally authorized officials of the United States Department of Agriculture and the Illinois Department of Agriculture and other officials having police powers. (Source: P.A. 91-457, eff. 1-1-00.)

225 ILCS 640/1.1

(225 ILCS 640/1.1) (from Ch. 121 1/2, par. 208.1) Sec. 1.1. This Act shall be known and may be cited as the Livestock Auction Market Law. (Source: Laws 1967, p. 728.)

225 ILCS 640/2

(225 ILCS 640/2) (from Ch. 121 1/2, par. 209) Sec. 2. No person shall hold, operate, conduct, or carry on a livestock auction market in this State without first securing a license therefor from the Department. The application for such license shall be on forms prescribed and furnished by the Department and shall set forth: (a) The name of the operator of the livestock auction market; (b) The location of the establishment or premises where the livestock auction market is to be conducted; (c) The type or kinds of livestock to be handled, sold, or exchanged; (d) A description of the facilities to be used in conducting such livestock auction market; (e) The name of the accredited veterinarian who will supervise such market; and (f) Such other information as the Department reasonably may require. Such application shall be accompanied by a bond and the required fee as hereinafter provided. (Source: P.A. 78-752.)

225 ILCS 640/3

(225 ILCS 640/3) (from Ch. 121 1/2, par. 210) Sec. 3. Each applicant for a license to operate and conduct a livestock auction market shall file a bond with the Department. The amount of the required bond shall be an average of the total dollar value of livestock sold at auction throughout the year. The total dollar value of livestock sold during the year shall be divided by the number of sales held during the year. The amount of bond must be the next multiple of $5,000 above the average of the total dollar value of livestock sold. When the computed amount of bond exceeds $50,000, the amount of bond shall be $50,000, plus 10 percent of the excess over $50,000, raised to the next $5,000 multiple. In no case shall the amount of bond be less than $10,000. Such bond shall be conditioned for the prompt remittance to consignors of the proceeds from any sale or exchange of livestock. Such bond shall be in a form and with sureties satisfactory to the Department, shall provide that it may not be cancelled without 30 days notice in writing to the Department, and shall name the Director as trustee. Such bond shall be for the use and benefit of any consignor suffering loss or damage by breach of the condition thereof and any such consignor may bring action for recovery thereon. In lieu of filing such bond, the operator of a livestock auction market may deliver to the Department the receipt of a duly authorized bank, savings and loan association or trust company in this State showing the deposit with the bank, savings and loan association or trust company of cash or of securities endorsed in blank by the owner thereof and of a market value equal at least to the required principal amount of such bond, the cash or securities to be deposited in escrow under agreement conditioned as in the case of the bond. An action for recovery against any such deposit may be brought in the same manner as in the case of an action for recovery on a bond filed hereunder. Any such receipt shall further be accompanied by evidence that there are no unsatisfied judgments against the operator of such livestock auction market of record in the county where the operator resides. When a licensee under this Act has a bond on file with the United States Department of Agriculture, Packers and Stockyards Administration, or any successor agency, and such bond is in an amount and conditioned upon such terms as meet the conditions of this Act, a duplicate original of such bond shall be furnished to the Department, and such bond shall replace the State bond as if it were the State bond. The Director shall be named as trustee in such bond, and such bond may not be cancelled without 30 days notice in writing to the Department. Any operator of a livestock auction market required to maintain a surety bond under this Act may elect to maintain, in whole or partial substitution for such surety bond, one or more irrevocable letters of credit on which a trustee is authorized to draw funds subject to a trust agreement. The amount of letters of credit, surety bond, trust fund agreement, or combination thereof, must be the total amount of the surety bond otherwise required under this Act. Letters of credit and trust agreements shall be on forms prescribed by the Department. Any letter of credit must be issued for a period of not less than one year. The Director shall be trustee on any such trust agreements. An action for recovery against this trust agreement may be brought in the same manner as in the case of an action for recovery on a bond filed hereunder. This letter of credit and trust agreement may be terminated by any party to the agreement by providing the Illinois Department of Agriculture with written notice of such termination at least 30 days prior to the effective date of termination. In any case when an operator of a livestock auction market has elected to maintain one or more irrevocable letters of credit and related trust agreements, in order to fulfill the bonding requirements of the Packers and Stockyards Administration, United States Department of Agriculture, or any successor agency, such letters of credit and trust agreements shall satisfy the provisions of this Act, and such letters of credit and trust agreements shall replace the State letters of credit and trust agreement as if they were the State letters of credit and trust agreements. Whenever the Director has reason to believe that any bond, or bond substitute, filed or maintained under this Act is inadequate to secure the performance of the obligations of the operator of the livestock auction market covered by such bond, he shall notify the operator of the livestock auction market to adjust such bond to meet the requirements of this Section or, if such bond is inadequate to meet such requirements as may be determined by the Director to be reasonable based upon such seasonal or irregular operation. (Source: P.A. 86-231; 87-160.)

225 ILCS 640/4

(225 ILCS 640/4) (from Ch. 121 1/2, par. 211) Sec. 4. The fee for a license to operate a livestock auction market shall be $200 for the term of one calendar year or for such part thereof as remains at the time of the issuance thereof. Upon receipt of an application for a license hereunder accompanied by the required bond and license fee, the Department shall examine the same and if it finds such application to be in proper form and that the applicant has otherwise complied with this Act, the Department shall grant the license as applied for, subject to the provisions of this Act. (Source: P.A. 81-748.)

225 ILCS 640/4.5

(225 ILCS 640/4.5) (from Ch. 121 1/2, par. 211.5) Sec. 4.5. Every licensed auction market shall establish and maintain a separate bank account designated as "Custodial Account for Shippers' Proceeds", or of some similar identifying designation, to disclose that the depository is acting as a fiduciary and that the funds in the account are trust funds. (Source: P.A. 86-231.)

225 ILCS 640/5

(225 ILCS 640/5) (from Ch. 121 1/2, par. 212) Sec. 5. Licenses shall be in such form as the Department may prescribe, shall be under the seal of the Department and shall set forth: (a) The name and address of the operator of the livestock auction market; (b) The location of the establishment or premises licensed; (c) The kinds of livestock to be sold, exchanged, or handled; (d) The period of the license; and (e) Such other information as the Department may determine. A separate license shall be required for each establishment or premises where a livestock auction market is operated or conducted. The original, or a certified copy of the license hereunder, shall be conspicuously displayed by the licensee in the sale ring or some other like prominent place in the establishment or premises licensed. Licenses shall expire on December 31 of each year and shall be renewed during the month of December of each year upon like application and procedure as in the case of the original license. (Source: P.A. 81-748.)

225 ILCS 640/6

(225 ILCS 640/6) (from Ch. 121 1/2, par. 213) Sec. 6. Grounds for refusal to issue or renew license and for license suspension and revocation. The Department may refuse to issue or to renew a license or may suspend or revoke a license on any one or more of the following grounds: (a) Violating any provision of this Act or any rule, order, or regulation issued hereunder; (b) Knowingly receiving on consignment or selling or exchanging stolen or mortgaged livestock without authority from the owner or mortgagee; (c) Being guilty of fraud or deception in any material particular in securing the license; (d) Failing to keep records as required hereunder; (e) Failing to practice measures of sanitation as required hereunder or violating the rules and regulations, if any, for the yarding, housing, holding, and feeding of livestock; (f) In the case of livestock weighed on the licensee's scales and sold by weight, knowingly quoting incorrect weights or failing to have his scales regularly inspected and tested; (g) Failing to pay for livestock after sale; (h) Issuing checks for payment of livestock when funds are insufficient; or (i) Being insolvent as determined by a department audit. (Source: P.A. 89-154, eff. 1-1-96.)

225 ILCS 640/6.1 Suspension

(225 ILCS 640/6.1) (from Ch. 121 1/2, par. 213a) Sec. 6.1. Suspension. The Director may suspend a license under Section 6 and require the licensee to cease doing business. The Director shall issue a written order of suspension setting forth the reasons for the suspension and for requiring the licensee to cease operation as a livestock auction market until a hearing has been held. Such written order shall be served personally on the licensee, or by certified mail sent to the licensee's business address as shown in the latest notification to the Department. (Source: P.A. 89-154, eff. 1-1-96.)

225 ILCS 640/6.2

(225 ILCS 640/6.2) (from Ch. 121 1/2, par. 213b) Sec. 6.2. The Department may refuse to issue or may suspend the license of any person upon the complaint in writing from the Checkoff Division of the Illinois Beef Association Board of Governors indicating that the person has failed to properly remit or deduct funds as required by Section 9 of the Beef Market Development Act. (Source: P.A. 99-389, eff. 8-18-15.)

225 ILCS 640/7

(225 ILCS 640/7) (from Ch. 121 1/2, par. 214) Sec. 7. Each operator of a livestock auction market shall keep the following records for each lot of livestock consigned to or sold through such livestock auction market: (a) The name and address of the consignor; (b) A description of the livestock, which includes the kind, approximate age, the sex, and any marks, brands or other distinguishing or identifying marks; (c) The method by which the livestock was delivered to the livestock auction market and, in the case of livestock delivered by motor vehicle, the name of the operator, the model, manufacturer, and the State license number of such motor vehicle; (d) The name and address of the purchaser of such livestock; (e) The price for which the livestock was sold or exchanged and the commission or other fees charged by the livestock auction market; (e-5) For equidae only, the date of the test for equine infectious anemia; (f) There shall be forwarded to the Department within 72 hours after date of each consignment sold for slaughter a certification of slaughter, or certification of shipment, on forms prescribed by the Department, or a purchaser's invoice. The purchaser's invoice shall contain information relative to resale of slaughter consignments as prescribed by the Department as well as the name and address of purchaser, number, description, and weight of animals and destination of each consignment; and (g) Any health certificates accompanying shipments. Such records shall be kept by the operator of a livestock auction market at the establishment or premises where the sale is held and conducted or such other convenient place as may be approved by the Department. Such records shall be open for inspection by authorized Department personnel of this State at all reasonable times and shall be retained and preserved for a period of at least 2 years. (Source: P.A. 91-457, eff. 1-1-00.)

225 ILCS 640/7a

(225 ILCS 640/7a) (from Ch. 121 1/2, par. 214a) Sec. 7a. The weight of all livestock sold at auction according to weight by a livestock auction market or marketing center shall be determined by weighing at the time such livestock is sold or ownership is transferred. (Source: Laws 1967, p. 728.)

225 ILCS 640/8

(225 ILCS 640/8) (from Ch. 121 1/2, par. 215) Sec. 8. Each livestock auction market shall, except on days when all livestock is consigned direct for immediate slaughter and except for sales restricted to equidae, be under the direct supervision of an accredited veterinarian approved by the Department and each licensed livestock auction market designated as a marketing center shall, except on days when all livestock is consigned direct for immediate slaughter and except for sales restricted to equidae, be under the direct supervision of an accredited veterinarian approved by the Department. Except as otherwise provided in this Act and by regulations, no livestock known to be infected with or known to have been exposed to any contagious, infectious, or communicable animal disease or infestation shall be consigned to or sold through any livestock auction market. The veterinarian shall examine or inspect all livestock that is offered for sale and shall prohibit the sale of any animals which in his opinion are diseased or which are likely to be carriers of disease, and shall quarantine such animals when necessary. The veterinarian shall also issue or cause to be issued all necessary quarantines for livestock sold through such markets. The name and address of the purchaser of any livestock sold under or subject to quarantine, together with the description and number of head of the livestock shall be reported to and filed with the Department within 48 hours from date of sale. The veterinarian shall supervise the cleaning and disinfecting of the yards and pens following each sale or at such other times as may be necessary. Except as otherwise provided in this Act, no female cattle or bulls more than 6 months of age shall be sold through a livestock auction market, except for slaughter, unless such cattle (a) are in compliance with the provisions of "An Act in relation to the eradication of bovine brucellosis among domestic cattle", approved July 12, 1939, as amended or (b) are female cattle of the beef breeds over 6 and under 18 months of age released on permit subject to the livestock quarantine regulations of the Department for feeding or grazing purposes only consigned direct from the farm to the livestock auction market or shipped direct to the livestock auction market from other states, livestock auction markets, or marketing centers within the State in accordance with Illinois statutory requirements to be sold through the livestock auction market without test for brucellosis or tuberculosis. Bulls over 18 months of age, springer heifers and cows, or heifers and cows with calves, are classed as breeding cattle and as such shall comply with the requirements governing breeding cattle. Calves under 3 months of age of all breeds, not with their dams, may enter the State of Illinois without test for tuberculosis if they are consigned to a licensed livestock auction market to be sold for immediate slaughter. Under the provisions of this Act, the Department of Agriculture is authorized to make rules and regulations permitting or requiring the sale through livestock auction markets, for immediate slaughter only, of any cattle which upon being tested for brucellosis react to an official test for brucellosis. Livestock auction markets handling livestock during inclement weather shall be equipped with facilities for housing the livestock during such inclement weather. If livestock is held on the premises for more than 10 hours, facilities for feeding and watering the livestock shall be provided. The yards, pens, and premises where livestock is held or handled shall be regularly cleaned and disinfected for the purpose of preventing infectious, contagious, and communicable animal diseases. In case any livestock auction market shall sell livestock by weight, the scales upon which such livestock is weighed shall be regularly inspected and tested. (Source: P.A. 97-25, eff. 6-28-11.)

225 ILCS 640/8a

(225 ILCS 640/8a) (from Ch. 121 1/2, par. 215a) Sec. 8a. All marketing centers designated by the Department and the United States Department of Agriculture shall be operated according to Department rules and regulations concerning market centers and all other livestock auction market rules and regulations not inconsistent with the rules and regulations governing marketing centers. (Source: P.A. 91-457, eff. 1-1-00.)

225 ILCS 640/8b

(225 ILCS 640/8b) (from Ch. 121 1/2, par. 215b) Sec. 8b. All scales used by a livestock auction market or marketing center to weigh livestock shall be so located as to be easily accessible for testing and inspection by the Department. (Source: Laws 1967, p. 728.)

225 ILCS 640/8c

(225 ILCS 640/8c) (from Ch. 121 1/2, par. 215c) Sec. 8c. Each marketing center shall submit weekly reports to the Department of all livestock received from interstate shipments. This report shall give the name and address of the consignor, description and number of head of livestock, and the destination of the animals received. (Source: Laws 1963, p. 2046.)

225 ILCS 640/8d Other Acts

(225 ILCS 640/8d) (from Ch. 121 1/2, par. 215d) Sec. 8d. Other Acts. All persons licensed under this Act must also comply with all the provisions of the "Illinois Bovine Brucellosis Eradication Act" and the rules adopted pursuant to that law, the "Illinois Bovidae and Cervidae Tuberculosis Eradication Act" and the rules adopted pursuant to that law, the "Illinois Diseased Animals Act" and the rules adopted pursuant to that law, "An Act providing for the licensing of feeder swine dealers, regulating such business, and providing penalties for violations hereof" and the rules adopted pursuant to that law, the "Illinois Livestock Dealer Licensing Act" and the rules adopted pursuant to that law, the "Slaughter Livestock Buyers Act" and the rules adopted pursuant to that law, the "Illinois Swine Brucellosis Eradication Act" and the rules adopted pursuant to that law, the "Illinois Swine Disease Control and Eradication Act" and the rules adopted pursuant to that law, the Illinois Equine Infectious Anemia Control Act and the rules adopted under that Act, and the "Illinois Pseudorabies Control Act" and the rules adopted pursuant to that law. (Source: P.A. 89-154, eff. 1-1-96; 90-192, eff. 7-24-97.)

225 ILCS 640/9

(225 ILCS 640/9) (from Ch. 121 1/2, par. 216) Sec. 9. The operator of a livestock auction market shall post in a conspicuous place a schedule of the fees or commission rates charged for livestock sold or handled through such market and a schedule of the fees or charges, if any, for the inspection of livestock consigned to or sold through such market. (Source: P.A. 78-752.)

225 ILCS 640/10a

(225 ILCS 640/10a) (from Ch. 121 1/2, par. 217a) Sec. 10a. Nothing in this Act shall be construed as preventing the movement of livestock into stockyards registered under the Packers and Stockyards Act, a State-Federal approved slaughtering establishment or a marketing center. The United States Department of Agriculture or the Illinois Department of Agriculture has the authority, however, to prohibit the entry, movement, or sale of diseased animals. (Source: P.A. 91-457, eff. 1-1-00.)

225 ILCS 640/11

(225 ILCS 640/11) (from Ch. 121 1/2, par. 218) Sec. 11. The Department may make reasonable rules and regulations for carrying out the provisions of this Act. For the purpose of carrying out the provisions of this Act and making inspections hereunder, the Department, or any duly authorized representative thereof, has the right to enter the establishment or premises where any livestock auction market is held and to inspect the records thereof at all reasonable times. (Source: P.A. 81-748.)

225 ILCS 640/11.5

(225 ILCS 640/11.5) (from Ch. 121 1/2, par. 218.5) Sec. 11.5. Administrative hearings and penalties. Any person violating or aiding in or abetting the violation of any provisions of this Act, or any provision of any rule of the Department issued under this Act, may be ordered, following an administrative hearing, to pay the following administrative penalties: (1) $300 for a first violation; (2) $600 for a second violation within 3 years of the first violation; and (3) $1,000 for a third and subsequent violation within 3 years of the first violation. (Source: P.A. 89-154, eff. 1-1-96.)

225 ILCS 640/12 (Repealed)

(225 ILCS 640/12) (from Ch. 121 1/2, par. 219) Sec. 12. (Repealed). (Source: P.A. 78-752. Repealed by P.A. 89-154, eff. 7-19-95.)

225 ILCS 640/15

(225 ILCS 640/15) Sec. 15. Investigation and hearing. The Department may, upon its own motion, and shall, upon the complaint in writing of any person setting forth facts which if proved would constitute grounds under Section 6, investigate the actions of any applicant, registrant, or person claiming to be registered under this Act. At least 10 days before the date set for hearing, the Department shall, before refusing to issue or renew and before suspension or revocation of a registration, notify in writing the applicant for or holder of a registration, called in this Section the respondent, that on the date designated a hearing will be held to determine whether the respondent is privileged to be registered. The written notice shall be served personally on the respondent or by registered or certified mail sent to the respondent's business address as shown in his or her latest notification to the Department. The Department, over the signature of the Director, is authorized to subpoena and bring before the Department any person or persons in this State and to take testimony either orally or by deposition or by exhibit, with the same fees and mileage and in the same manner as prescribed by law in judicial proceedings in civil cases in circuit courts of this State. The Director may issue subpoenas duces tecum to command the production of any or all records relating to the person. (Source: P.A. 89-154, eff. 1-1-96.)

225 ILCS 640/20

(225 ILCS 640/20) Sec. 20. Hearing rules. The Illinois Administrative Procedure Act and the Illinois Department of Agriculture rules adopted under that Act apply to hearings under this Act. (Source: P.A. 89-154, eff. 1-1-96.)

225 ILCS 640/25

(225 ILCS 640/25) Sec. 25. Judicial review. All final administrative decisions of the Department are subject to judicial review under Article III of the Code of Civil Procedure and its rules. The term "administrative decision" is defined as in Section 3-101 of the Code of Civil Procedure. Proceedings for judicial review shall be commenced in the circuit court of any county permitted by Section 3-104 of the Code of Civil Procedure. (Source: P.A. 89-154, eff. 1-1-96.)
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://www.ilga.gov/legislation/ilcs/ilcs.aspFetched: 10/17/2026

Starting a business in Illinois? Illinois LLC guide: costs and requirements