August 2022Volume 110Number 8Page 10

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LawPulse

2022 Legislative Roundup

The Illinois Bar Journal’s annual summary of new public acts of interest to members of the Illinois State Bar Association.

Each August, the Illinois Bar Journal features a summary of legislation passed by the Illinois General Assembly during the most recent spring session, enacted into law this spring, and that may be of interest to ISBA members. Following each update is a link to the new public act’s full text. For more information visit the General Assembly’s website.

The public acts below are organized by area of law.

Real estate

Special warranty deeds. Public Act 102-927 (Reick, R-Woodstock; Barickman, R-Bloomington) creates a statutory form for special warranty deeds to standardize the most common form of deed used in commercial real estate practice. Effective Jan. 1, 2023.

Residential Real Estate Disclosure Act. Public Act 102-765 (Tarver, D-Chicago; Sims, D-Chicago) is the first major update of the Residential Real Estate Disclosure Act since its enactment in 1994. Changes include allowing for electronic delivery and notice of the disclosure. It also harmonizes this Act with the new Illinois Trust Code and the Transfer on Death Instrument Act and clarifies that a seller does not waive being exempt if a disclosure report is nevertheless delivered. Additional consumer protections for the buyers have also been added. Effective May 13, 2022.

Property Tax Appeal Board appeals. Public Act 102-1000 (Murphy, D-Des Plaines; Croke, D-Chicago) amends the Illinois Property Tax Code affecting the Illinois Property Tax Appeal Board. Currently, there is statutory authority in the Condominium Property Act to allow condominium associations to file a joint appeal as an association on behalf of all owners to the Property Tax Appeal Board. But there is no such mechanism in the Code to allow for homeowner associations to file joint appeals on behalf of all owners. This Act will enable homeowner associations the right to file one appeal on behalf of all owners as condominium associations now can do. Effective Jan. 1, 2023.

Scavenger sales. Public Act 102-1003 (Hunter, D-Chicago; Zalewski, D-Chicago) amends provisions concerning scavenger sales. It repeals provisions added by Public Act 102-528 that required the county clerk to mail notice of the expiration of the redemption period within 30 days from the date of the filing of addresses with the clerk. Instead, it requires the purchaser of the certificate of purchase to prepare the notice of the expiration-of-redemption period and deliver it to the clerk of the circuit court not more than six months and not less than 111 days before the expiration of the redemption period. It also requires the clerk to mail the notices not less than three months before the expiration of the redemption period. Effective May 27, 2022. 

Human Rights Act and real estate transactions. Public Act 102-896 (Ford, D-Chicago; Villivalam, D-Chicago) amends the Illinois Human Rights Act to declare Illinois’ public policy is to prevent discrimination based on source of income in real estate transactions. Defines “source of income” as the lawful manner by which an individual and their dependents are supported. Specified discriminatory actions because of an individual’s source of income will be considered civil rights violations. Effective Jan. 1, 2023.

Condominium Property Act. Public Act 102-976 (Wheeler, R-North Aurora; Cappel, D-Plainfield) changes the law on the information that is provided to a prospective buyer by a unit owner. It requires that the principal officer of the unit owner’s association or other designated officer to provide the information specified in section 22.1 within 10 business days (instead of 30 days) of the request by the prospective purchaser. It changes the fee to be imposed on the unit owner from “a reasonable fee” to “a reasonable fee not to exceed $375” covering the direct out-of-pocket cost of providing and copying the information. An association may charge an additional $100 for rush service completed within 72 hours. Effective Jan. 1, 2023.

Condominium Property Act and Common Interest Community Association Act. Public Act 102-921 (Croke, D-Chicago; Feigenholtz, D-Chicago) adds a reserve study to the list of records that boards must provide to their homeowners upon request. It also extends the repeal date of Condominium and Common Interest Community Ombudsperson Act to Jan. 1, 2024 (instead of July 1, 2022). Effective May 27, 2022.

The Real Estate Valuation Task Force Act. Public Act 102-934 (Robinson, D-Chicago; Hunter, D-Chicago) establishes the Real Estate Valuation Task Force to identify discriminatory housing industry practices and provide recommendations for state action. Effective Jan. 1, 2023.

The Mobile Home Landlord and Tenant Rights Act. Public Act 102-737 (Murphy, D-Des Plaines; Moeller, D-Elgin) requires disclosure from the owner of the park or community that includes the owner’s contact information and that the tenant’s right to trial by jury may not be waived. Provides that if a formula is used in a disclosure of information on a three-year rent-increase projection, the formula must include the total fixed amount determined by the formula, and, if applicable, the “not to exceed” amount. Restricts a park owner from charging or imposing a pet fee upon a resident who owns the home, unless a service related to the pet is offered by the park owner and accepted by the resident. Effective Jan. 1, 2023.

Illinois Human Rights Act. Public Act 102-706 (Villanueva, D-Chicago; Gong-Gershowitz, D-Glenview) is amended to ensure that complainants who file charges of housing discrimination under Article 3 have the right to a jury trial under state law. Effective April 22, 2022.

Family law

IMDMA changes. Public Act 102-823 (Hastings, D-Frankfort; Tarver, D-Chicago) makes two changes to the Illinois Marriage and Dissolution of Marriage Act. First, it reinserts language that was inadvertently dropped in the child-support statute to authorize the court to order any life insurance policy be continued on the life of a parent to ensure child support continues if that parent dies. The current section 505 was enacted in 2017 and superseded the prior version of section 505. The prior version contained a provision relative to “… premiums for life insurance ordered by the court to reasonably secure payment of ordered child support.” This wording in the prior version of section 505 was and is still routinely used in family court cases to ensure that the children’s needs are met if a parent dies who has a support obligation. This adds that language back into the statute.

Second, it prohibits a court from using “contemplation or foreseeability of events” by the parties as a complete defense to a motion to modify child support or maintenance unless the future event is expressly specified in the court’s order, or the agreement of the parties is incorporated into a court order. Effective May 13, 2022.

Domestic violence orders. Public Act 102-831 (Bennett, D-Champaign; Windhorst, R-Harrisburg) cleans up several domestic-violence statutes amended several years ago that have caused unnecessary problems in domestic-violence litigation. Those statutes were amended in a well-intentioned effort to protect victims of domestic violence from additional risk by completely denying any access to their court file until the respondent was served. The statutes amended included the Stalking No Contact Order Act, Civil No Contact Order Act, and the Illinois Domestic Violence Act of 1986.

Public Act 102-831 fixes those unintended consequences by allowing access to the petition and file to be accessible to the court, law enforcement, petitioner, rape-crisis advocate, counsel of record for either party, or the state’s attorney for the county in which the petition is filed. Effective May 13, 2022.

Elder law

Community spouse allowances. Public Act 102-1037 (Greg Harris, D-Chicago; Gillespie, D-Arlington Heights) starts the process of aligning Illinois law with the maximum federal allowance for a community spouse. A “community spouse” is the spouse of an individual who is receiving Medicaid-funded long-term care in an institutional setting.

First, it immediately increases the monthly allowance for the community spouse from $2,739 per month to the maximum amount allowed under federal law (currently $3,435). This is the income allowance for the community spouse for living expenses such as dental work, medical bills, etc.

Second, it begins increasing the Illinois’ Community Spouse Resource Allowance at the rate of 2.5 percent per year for the next 10 years. This is the amount a community spouse can keep of the couple’s own resources without affecting the nursing-home spouse’s Medicaid application. At the end of the 10 years Illinois’ allowance will be pegged to the maximum federal allowance for future increases.

Third, it also allows community spouses to receive any additional increases in the community spouse resource allowance that is permitted under federal law during these 10 years. Effective June 2, 2022.

Guardianship changes. Public Act 102-749 (Villivalam, D-Chicago; Kelly, D-Chicago) requires courts to notify the Office of the Illinois Secretary of State when a person with a disability is appointed a plenary guardian within seven days of the order. Effective Jan. 1, 2023.

Health care power of attorney. Public Act 102-794 (Gong-Gershowitz, D-Glenview; Fine, D-Glenview) allows an agent to present an electronic device displaying an electronic copy of an executed form as proof of the health care agency. Health care providers must also accept the executed form. Effective Jan. 1, 2023.

Guardianship for adults. Public Act 102-770 (Davis, D-East Hazel Crest; Napoleon Harris III, D-Dolton) requires that a guardian appointed in Cook County must complete a training program created under the Guardianship and Advocacy Act. (Guardians in Cook County are currently exempt from this requirement.) Effective Jan. 1, 2023.

Civil and commercial

Contractors and subcontractors. Public Act 102-1076 (Evans, D-Chicago; Castro, D-Elgin) amends the Illinois Wage Payment and Collection Act to make a “primary contractor” engaged in construction of a structure assume and be liable for any debt owed to a claimant incurred under this Act by a subcontractor at any tier acting under, by, or for the primary contractor. This Act applies to any contract entered into on or after July 1, 2022.

It exempts any work performed by a contractor of the federal government, state, or unit of local government. Provides that the primary contractor’s liability under the new provisions extends only to any unpaid wages, fringe or other benefit payments, or contributions, including interest owed, penalties assessed by the Illinois Department of Labor, and reasonable attorney fees but does not extend to liquidated damages. Primary contractors who are parties to a collective bargaining agreement on the work being performed are also exempt from specified provisions. Effective June 10, 2022.

Contractors and subcontractors. Public Act 102-1065 (Evans, D-Chicago; Castro, D-Chicago) amends Public Act 102-1076 as follows: 1) makes it applicable if the private work’s aggregate costs of the project exceed $20,000; 2) deletes liability under this Act for a primary contractor to “a third party on a wage claimant’s behalf incurred pursuant to this Act by a subcontractor”; 3) clarifies that primary contractors who are parties to a collective bargaining agreement on the work being performed are exempt from liability under this section (instead of being exempt from “specified provisions”); 4) exempts primary contractors from liability under this section for the alteration or repair of an existing single-family dwelling or to a single residential unit in an existing multi-unit structure; and 5) creates the Bond Reform in the Construction Industry Task Force. Effective June 10, 2022.

Civil practice. Public Act 102-908 (Cunningham, D-Chicago; Keicher, R-Sycamore) allows a defendant to plead a set-off or counterclaim barred by the statute of limitation or the statute of repose. Current law only allows a set-off or counterclaim that is barred by the statute of limitation. The changes made to this section apply to claims initiated on or after its effective date and to claims intentionally filed to preclude a defendant a reasonable opportunity to file a counterclaim within the original limitation period. Effective May 27, 2022.

Consumer Legal Funding Act. Public Act 102-987 (Collins, D-Chicago; Tarver, D-Chicago) creates the Consumer Legal Funding Act that requires entities providing “consumer legal funding” to be registered and regulated by the Illinois Department of Financial and Professional Regulation. Consumer legal funding means a nonrecourse transaction of less than $100,000 in principal in which a company purchases and a consumer transfers to the company an unvested, contingent, future interest in the potential net proceeds of a settlement or judgment obtained from the consumer’s legal claim. If no proceeds are obtained from the consumer’s legal claim, the consumer is not required to repay the company the consumer legal funding amount or charges. Effective May 27, 2022.

Funding of judicial elections. Public Act 102-909 (Hoffman, D-Belleville; Harmon, D-Oak Park) makes three changes to the funding of judicial elections. 1) It provides that a political committee that is self-funding and is established to support or oppose a candidate for the Illinois Supreme Court, Appellate Court, or circuit court may not accept contributions from any single person other than the judicial candidate or the candidate’s immediate family in a cumulative amount that exceeds $500,000 in any election cycle. 2) It provides that an independent expenditure committee established to support or oppose a candidate for the Supreme Court, Appellate Court, or circuit court may not accept contributions from any single source that exceed $500,000 in any election cycle. 3) It provides that contributions of more than $500 to political committees from committees, associations, or other entities that are not required to disclose their contributors are considered anonymous donations and escheat to the state. The contributions will be allowed if the receiving political committee reports to the State Board of Elections all persons who have contributed more than $500 during the same election cycle. Effective May 27, 2022.

Criminal and traffic

Organized retail theft. Public Act 102-757 (Buckner, D-Chicago; Hilton, D-Oakbrook Terrace) addresses the issue of organized retail theft. Among other things, it creates the offense of organized retail crime. Defines the offense and establishes penalties. Provides that a statewide grand jury may investigate, indict, and prosecute violations of organized retail crime. Effective May 13, 2022.

Traffic law changes. Public Act 102-749 (Villivalam, D-Chicago; Kelly, D-Chicago) adds two violations of the Cannabis Regulation and Tax Act to the list of reasons for a driver’s license to be revoked. Revokes operation of commercial motor vehicles for life from individuals who use a commercial motor vehicle in the commission of a felony involving severe forms of human trafficking. The Act also allows the secretary of state to suspend or revoke a driver’s license for an out-of-state conviction of a simiar statute to the Vehicle Code. Effective Jan. 1, 2023.

Sex crimes and evidence. Public Act 102-994 (Turner, R-Lincoln; Cassidy, D-Chicago) amends the Code of Criminal Procedure to do two things if the alleged victim was under 18 at the time of the offense: 1) authorizes the court to exclude from the proceedings anyone who does not have a direct interest in the case while the victim is testifying; and 2) authorizes the court to do the same if the court is publishing any visual evidence of the minor engaged in a sex act. An exception is made in both cases for the media. Effective May 27, 2022.

Jim Covington is the ISBA director of legislative affairs.
jcovington@isba.org

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