Commercial Banking, Collections, and Bankruptcy

(Thapedi, D-Chicago; Raoul, D-Chicago) amends § 2-301 of the Code of Civil Procedure by changing the exception to the statute’s general rule. The general rule is that a party must object to the court’s jurisdiction (without waiving an objection to the court’s jurisdiction) over the party’s person by filing a motion to dismiss the entire proceeding or by filing a motion to quash service of process, but the party must do this before they file any other pleading.

House Bill 188’s exception to this general rule of waiver allows a motion for extension of time to answer or otherwise plead or a motion filed under § 2-1301, § 2-1401, and § 2-1401.1

But it requires any motion objecting to the court’s jurisdiction over the party’s person under § 2-301 must be filed within 60 days of the court’s order disposing of the initial motion filed under these three sections. A party may combine these motions without waiving their objection to jurisdiction.

House Bill 188 has passed the House and on third reading in the Senate. 

(Koehler, D-Peoria) repeals the Dwelling Structure Contract Act and the Dwelling Unit Installment Contract Act. Creates the Installment Sales Contract Act. Adds provisions governing: definitions; terms and conditions of installment sales contracts; applicability of other Acts; sales of condemned dwelling structures; repairs; account statements; transfer of payments; insurance proceeds; unlawful acts; waivers; and penalties. Makes corresponding changes in the Condominium Property Act. Amends the Code of Civil Procedure. Provides that a real estate installment contract for residential real estate is subject to the foreclosure provisions of the Code if the purchase price is to be paid in installments over a period in excess of one year (instead of five years) and the amount unpaid under the terms of the contract at the time of the filing of the foreclosure complaint, including principal and due and unpaid interest, at the rate prior to default, is less than 90% (instead of 80%) of the original purchase price of the real estate as stated in the contract. Effective January 1, 2018. It is on third reading in the Senate. 

 (Tom Cullerton, D-Villa Park) creates a “resident’s representative” under this Act that allows a resident to choose someone to support the resident in decision-making; access medical, social, or other personal information of the resident; manage financial matters; or receive notifications.

It will also include the following: 

(2) A person authorized by State or federal law, including, but not limited to, agents under power of attorney, representative payees, and other fiduciaries, to act on behalf of the resident in order to support the resident in decision-making; access medical, social, or other personal information of the resident; manage financial matters; or receive notifications.

(3) A legal representative, as used in Section 712 of the federal Older Americans Act (42 U.S.C. 3058g); or

(4) The court-appointed guardian or conservator of a resident.

Nothing in this definition is intended to expand the scope of authority of any resident’s representative beyond that authority specifically authorized by the resident, State or federal law, or a court of competent jurisdiction.

(Fine, D-Glenview) deletes language providing that specified records may be inspected “only for a proper purpose.” Also deletes language that in an action to compel examination of specified records, the burden of proof is upon the member to establish that the member's request is based on a proper purpose. Scheduled for hearing this Thursday in House Judiciary Committee. 

(Hurley, D-Chicago) removes a repeal date of June 1, 2018 in a Section concerning a county recorder's ability to establish procedures for investigating filings that would cause the recorder to reasonably believe that the filing may be fraudulent, unlawfully altered, or intended to unlawfully cloud or transfer the title of any real property. On second reading in the House.