Construction Law

The immediate issue of funding for court reporters, childcare assistance, and the Department of Corrections is being negotiated by Governor Rauner and the four legislative leaders. As was reported in the Pantagraph, “A child care program for low-income parents needs $300 million to make it through the end of the year. The Illinois Department of Corrections says it will begin running out of money to pay guards in mid-April. And, funds to pay court reporters are running dry, potentially resulting in a stoppage of court activity.” This week I was told that legislators have noticed that they are not hearing as much from constituents on the shortage for court reporting funding as the other two problems. I was told that they were unaware of the impact that this would have on county detention of defendants awaiting trial and possible Speedy Trial problems. If you have an opportunity, you may wish to bring this up with your state senator and representative. Their telephone numbers may be found on the General Assembly website at www.ilga.gov/ Thank you.

(Greg Harris, D-Chicago) Amends the Counties Code. Provides that in a county that has a property fraud alert system, a county recorder may create a registration form to register a property owner on the county's property fraud alert system that a real estate professional may file with the recorder on behalf of a property owner. Provides that real estate professionals must register with the county recorder prior to filing the registration forms on behalf of property owners. Limits liability for those assisting a property owner with registering for the property fraud alert system. Limits home rule powers. Scheduled for hearing this Thursday in House Townships Committee.

(Kay, R-Glen Carbon) Authorizes the Illinois Supreme Court to adopt rules to promote the prompt, efficient, and cost-effective resolution of civil actions in which the amount in controversy is more than $10,000 but does not exceed $100,000. If a circuit court grants or denies, in whole or in part, a motion to dismiss because of the absence of a basis in law or fact for the action, then the court may award costs and reasonable and necessary attorney’s fees to the prevailing party in amounts that the court determines are equitable and just. Authorizes reasonable deposition fees to be recovered as costs. Scheduled for hearing this Wednesday in House Judiciary Committee (Civil).

(Breen, R-Lombard) makes the following changes to the Act: (1) Amends the public policy provision of the Act to make as one of its intentions the ability to identify and provide a speedy resolution of meritless and retaliatory and provide damages in the form of attorney’s fees and costs to prevailing movants. (2) Provides that a claim is meritless if it lacks an essential element of the claim or fails against a reasonably foreseeable affirmative defense to that claim. (3) Provides that a plaintiff's claim is presumed to be retaliatory if the alleged basis for the claim is an act in furtherance of the constitutional rights to petition, speech, association, and participation in government. (4) Provides that a motion under the Act may be made as a motion to dismiss or as a motion for summary judgment or joined with other motions. (5) Provides that “attorney’s fees and costs” include reasonable trial and appellate attorney’s fees and costs incurred in connection with a motion under the Act, including, but not limited to, fees and costs for discovery that relates to such a motion. Scheduled for hearing next Wednesday in House Judiciary Committee.

(Kotowski, D-Park Ridge) provides that “parties of record” does not include a private citizen who was not acting in an official capacity or whose participation in the agency proceedings was limited to his or her attendance or testimony at a public hearing. Scheduled for hearing next Tuesday in Senate Judiciary Committee.

(Mulroe, D-Chicago) applies if an insurer has a duty to defend an insured under a policy of insurance and a significant and actual conflict of interest arises that imposes a duty on the insurer to provide independent counsel to the insured. It requires the insurer to provide independent counsel to the insured unless the insured waives the right to independent counsel in writing. Defines the phrase “significant and actual conflict of interest” to exclude these circumstances: (1) claims or facts in a civil action for which the insurer denies coverage; (2) the mere issuance of a reservation of rights letter by the insurer; (3) a claim of damages in excess of the policy limits; (4) a claim of punitive damages; or (5) any other conflict that is not significant and actual. Scheduled for hearing next Tuesday in Senate Judiciary Committee.

(Lang, D-Skokie) provides that the requirement that a lessor pay accumulated interest within 30 days after the end of each 12-month rental period applies to interest that has accumulated to an amount of $5 or more. Requires that the lessor pay all interest that has accumulated and remains unpaid, regardless of the amount, upon termination of the tenancy. Assigned to House Judiciary Committee (Civil).

(Biss, D-Skokie) amends the Code of Civil Procedure on judgments and supplementary proceedings to do several things. (1) Repeals the 9% interest on judgments and replaces it with a maximum rate equal to the weekly average one-year constant maturity treasury yield for the preceding calendar year. It doesn’t amend the 6% interest rate for units of local governments. (2) Reduces what can be deducted from a debtor’s wages from 15% to 10% of gross weekly wages or the amount by which the disposable earnings for a week exceed the total of 50 (now, 45) times the federal minimum wage or the Illinois minimum hourly wage or the local minimum hourly wage law to which the debtor's employer is subject, whichever is greater. (3) Makes exempt from execution moneys held in education expense accounts and similar education savings accounts, such as ABLE accounts and 529 funds. (4) Makes exempt from execution an amount not to exceed $6,000, held by the debtor in the form of cash, a bank account, accrued interest, dividends, the loan or redemption value of a life insurance policy, or other account. A financial institution may not freeze the debtor’s access to turn over to the judgment creditor the amount in the debtor’s account that is $6,000 less, but shall inform the court and the judgment creditor of the exempt amount. The judgment creditor may, upon notice to the financial institution and the debtor, petition the court for a hearing to establish that the funds in the account are not exempt. (5) Increases the exempted amounts in Section 12-1001 annually per the Consumer Price Index if there is a 10% increase in the CPI for the preceding year. Just introduced.