Commercial Banking, Collections, and Bankruptcy

(Evans, D-Chicago; Castro, D-Chicago) amends Public Act 102-1067 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 is 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. (5) Creates the Bond Reform in the Construction Industry Task Force. This Act takes effect June 10, 2022. 

(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 to 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. House Bill 5412 applies to any contract entered into on or after July 1, 2022. 

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

(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 January 1, 2023. 

(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 on May 27, 2020.

(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 is supported and their dependents are supported. Makes it a civil rights violation for specified discriminatory actions because of an individual’s source of income. Effective January 1, 2023.

(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 accept the executed form as well. Effective Jan. 1, 2023. 

(Tarver, D-Chicago; Sims, D-Chicago) is the first major update of the Residential Real Estate Disclosure Act since its enactment in 1994. Among its many changes include allowing for electronic delivery and notice of the disclosure and harmonizes this Act with the newer Illinois Trust Code and the Transfer on Death Instrument Act. It also clarifies that a seller does not waive being exempt if a disclosure report is nevertheless delivered. It also includes additional consumer protections for the buyer. Effective May 13, 2022.