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Public Act 098-0548


 

Public Act 0548 98TH GENERAL ASSEMBLY

  
  
  

 


 
Public Act 098-0548
 
SB1912 EnrolledLRB098 08938 HEP 40600 b

    AN ACT concerning civil law.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Code of Civil Procedure is amended by adding
Part 23 to Article II as follows:
 
    (735 ILCS 5/Art. II Pt. 23 heading new)
Part 23. Settlement

 
    (735 ILCS 5/2-2301 new)
    Sec. 2-2301. Settlement of claims; payment.
    (a) In a personal injury, property damage, wrongful death,
or tort action involving a claim for money damages, a release
must be tendered to the plaintiff by the settling defendant
within 14 days of written confirmation of the settlement.
Written confirmation includes all communication by written
means.
    (b) In a personal injury, property damage, wrongful death,
or tort action involving a claim for money damages in which the
law requires court approval of a settlement, the plaintiff
shall tender to the defendant a copy of the court order
approving the settlement.
    (c) In a personal injury, property damage, wrongful death,
or tort action involving a claim for money damages in which
there is a known third-party right of recovery or subrogation
interest (including attorney's liens, healthcare provider
liens, or rights of recovery claimed by Medicare, the Centers
for Medicare and Medicaid Services, the Illinois Department of
Healthcare and Family Services, or private health insurance
companies), the plaintiff may protect the third-party's right
of recovery or subrogation interest, where applicable, by
tendering to the defendant:
        (1) A signed release of the attorney's lien.
        (2) Either:
            (i) a signed release of a healthcare provider lien;
        or
            (ii) a letter from the plaintiff's attorney
        agreeing to hold the full amount of the claimed lien in
        the plaintiff's attorney's client fund account pending
        final resolution of the lien amount; or
            (iii) an offer that the defendant hold the full
        amount of the claimed right to recovery pending final
        resolution of the amount of the right of recovery; or
            (iv) documentation of any other method of
        resolution of the liens as agreed by the parties.
        (3) Either:
            (i) documentation of the agreement between the
        plaintiff and Medicare, the Centers for Medicare and
        Medicaid Services, the Illinois Department of
        Healthcare and Family Services, or the private health
        insurance company as to the amount of the settlement
        that will be accepted in satisfaction of right of
        recovery; or
            (ii) a letter from the plaintiff's attorney
        agreeing to hold the full amount of the claimed right
        to recovery in the plaintiff's attorney's client fund
        account pending final resolution of the amount of the
        right to recovery; or
            (iii) an offer that the defendant hold the full
        amount of the claimed right to recovery pending final
        resolution of the amount of the right of recovery; or
            (iv) documentation of any other method of
        resolution of the liens as agreed by the parties.
    (d) A settling defendant shall pay all sums due to the
plaintiff within 30 days of tender by the plaintiff of the
executed release and all applicable documents in compliance
with subsections (a), (b), and (c) of this Section.
    (e) If, after a hearing, the court having jurisdiction over
the parties finds that timely payment has not been made by a
defendant pursuant to subsection (d) of this Section, judgment
shall be entered against that defendant for the amount set
forth in the executed release, plus costs incurred in obtaining
the judgment and interest at the rate specified under Section
2-1303 of this Code, calculated from the date of the tender by
the plaintiff under subsection (d) of this Section.
    (f) As used in this Section, "tender" means personal
delivery or delivery by a means providing a return receipt.
    (g) This Section applies to all personal injury, property
damage, wrongful death, and tort actions involving a claim for
money damages, except as otherwise agreed by the parties. This
Section does not apply to:
        (1) the State of Illinois;
        (2) any State agency, board, or Commission, as defined
    in Section 1-7 of the Illinois State Auditing Act;
        (3) any State officer or employee sued in his or her
    official capacity;
        (4) any person or entity that is being represented by
    the Attorney General and provided indemnification by the
    State pursuant to the State Employee Indemnification Act;
        (5) any municipality or unit of local government as
    defined under Article VII of the Illinois Constitution; and
        (6) class action lawsuits.
 
    Section 99. Effective date. This Act takes effect January
1, 2014.

Effective Date: 1/1/2014