100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
Introduced 2/15/2018, by Sen. John G. Mulroe
SYNOPSIS AS INTRODUCED:
Amends the Contractor Prompt Payment Act. Prohibits the withholding of
a retainage from progress payments or final payments in excess of 5% of the
payment. Effective immediately.
A BILL FOR
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AN ACT concerning business.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
The Contractor Prompt Payment Act is amended by
adding Section 20 as follows:
(815 ILCS 603/20 new)
Retainage; 5% limit.
A provision in a construction
contract that permits the withholding of retainage from a
progress payment or final payment in an amount that exceeds 5%
of that payment is against public policy and unenforceable.
This Act takes effect upon