97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB1226

 

Introduced 02/08/11, by Rep. Michael J. Zalewski

 

SYNOPSIS AS INTRODUCED:
 
30 ILCS 550/2  from Ch. 29, par. 16

    Amends the Public Construction Bond Act. Provides that a subcontractor with a claim for labor and material furnished to a political subdivision of the State shall have no right of action unless it has filed notice with the Clerk or Secretary of the political subdivision and with the contractor. In a sentence setting forth the required contents of the claim, provides that a description of the contract, the work done by the subcontractor, and the total amount due and unpaid shall be included. Provides that no action shall be brought later than one year after the date of the furnishing of the last item of work or materials by the subcontractor.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT concerning finance.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Public Construction Bond Act is amended by
5changing Section 2 as follows:
 
6    (30 ILCS 550/2)  (from Ch. 29, par. 16)
7    Sec. 2. Every person furnishing material or performing
8labor, either as an individual or as a sub-contractor,
9hereinafter referred to as Claimant, for any contractor, with
10the State, or a political subdivision thereof where bond or
11letter of credit shall be executed as provided in this Act,
12shall have the right to sue on such bond or letter of credit in
13the name of the State, or the political subdivision thereof
14entering into such contract, as the case may be, for his use
15and benefit, and in such suit the plaintiff shall file a copy
16of such bond or letter of credit, certified by the party or
17parties in whose charge such bond or letter of credit shall be,
18which copy shall, unless execution thereof be denied under
19oath, be prima facie evidence of the execution and delivery of
20the original; provided, however, that this Act shall not be
21taken to in any way make the State, or the political
22subdivision thereof entering into such contract, as the case
23may be, liable to such sub-contractor, materialman or laborer

 

 

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1to any greater extent than it was liable under the law as it
2stood before the adoption of this Act.
3    Provided, however, that any Claimant person having a claim
4for labor, and material furnished to the State as aforesaid
5shall have no such right of action unless it he shall have
6filed a verified notice of said claim with the officer, board,
7bureau or department awarding the contract, within 180 days
8after the date of the last item of work or the furnishing of
9the last item of materials, and shall have furnished a copy of
10such verified notice to the contractor within 10 days of the
11filing of the notice with the agency awarding the contract.
12    When any Claimant has a claim for labor and material
13furnished to a political subdivision, the Claimant shall have
14no right of action unless it shall have filed a verified notice
15of that claim with the Clerk or Secretary of the political
16subdivision within 180 days after the date of the last item of
17work or furnishing of the last item of materials, and shall
18have filed a copy of that verified notice upon the contractor
19in a like manner as provided herein within 10 days after the
20filing of the notice with the Clerk or Secretary.
21    The Claimant may file said verified notice by using
22personal service or by depositing the verified notice in the
23United States Mail, postage prepaid, certified or restricted
24delivery return receipt requested limited to addressee only.
25    The claim shall be verified and shall contain (1) the name
26and address of the claimant; the business address of the

 

 

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1Claimant claimant within this State and if the Claimant
2claimant shall be a foreign corporation having no place of
3business within the State, the notice shall state the principal
4place of business of said corporation and in the case of a
5partnership, the notice shall state the names and residences of
6each of the partners; (2) the name of the contractor for the
7government; (3) the name of the person, firm or corporation by
8whom the Claimant claimant was employed or to whom he or it
9furnished materials; (4) the amount of the claim; (5) a brief
10description of the public improvement; (5) a description of the
11Claimant's contract as it pertains to the public improvement,
12describing the work done by the Claimant and stating the total
13amount due and unpaid as of the date of verified notice
14sufficient for identification.
15    No defect in the notice herein provided for shall deprive
16the Claimant claimant of his right of action under this article
17unless it shall affirmatively appear that such defect has
18prejudiced the rights of an interested party asserting the
19same.
20    Provided, further, that no action shall be brought later
21than one year until the expiration of 120 days after the date
22of the last item of work or the furnishing of the last item of
23work or materials by the Claimant , except in cases where the
24final settlement between the officer, board, bureau or
25department of municipal corporation and the contractor shall
26have been made prior to the expiration of the 120 day period,

 

 

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1in which case action may be taken immediately following such
2final settlement; nor shall any action of any kind be brought
3later than 6 months after the acceptance by the State or
4political subdivision thereof of the building project or work.
5Such action shall be brought only in the circuit court of this
6State in the judicial circuit in which the contract is to be
7performed.
8    The remedy provided in this Section is in addition to and
9independent of any other rights and remedies provided at law or
10in equity. A waiver of rights under the Mechanics Lien Act
11shall not constitute a waiver of rights under this Section
12unless specifically stated in the waiver.
13(Source: P.A. 93-562, eff. 8-20-03.)