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Public Act 100-0358


 

Public Act 0358 100TH GENERAL ASSEMBLY



 


 
Public Act 100-0358
 
HB1685 EnrolledLRB100 03379 HEP 13384 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 Insurance Claims Fraud Prevention Act is
amended by changing Section 25 as follows:
 
    (740 ILCS 92/25)
    Sec. 25. Costs and proceeds of action.
    (a) If the State's Attorney or Attorney General proceeds
with an action brought by a person under Section 15, that
person is entitled to receive an amount that the court
determines is reasonable based upon the extent to which the
person contributed to the prosecution of the action. Subject to
subsection (d), the amount awarded to the person who brought
the action shall not be less than 30% of the proceeds of the
action or settlement of the claim, and shall be paid from the
proceeds.
    (b) If the State's Attorney or Attorney General does not
proceed with an action brought by a person under Section 15,
that person shall receive an amount that the court decides is
reasonable for collecting the civil penalty and damages.
Subject to subsection (d), the amount shall not be less than
40% of the proceeds of the action or settlement, and shall be
paid from the proceeds.
    (c) If the person bringing the action as a result of a
violation of this Act has paid money to the defendant or to an
attorney acting on behalf of the defendant in the underlying
claim, then he or she shall be entitled to up to double the
amount paid to the defendant or the attorney if that amount is
greater than 50% of the proceeds.
    (d) Where the action is one that the court finds to be
based primarily on disclosures of specific information, other
than information provided by the person bringing the action
under Section 15, relating to allegations or transactions in a
criminal, civil, or administrative hearing, in a legislative or
administrative report, hearing, audit, or investigation, or
from the news media, the court may award those sums that it
considers appropriate, but in no case more than 10% of the
proceeds, taking into account the significance of the
information and the role of the person bringing the action in
advancing the case to litigation.
    (e) Any payment to a person under subsection (a), (b), (c),
or (d) shall be made from the proceeds. The person shall also
receive an amount for reasonable expenses that the court finds
to have been necessarily incurred, plus reasonable attorney's
fees and costs. All of those expenses, fees, and costs shall be
awarded against the defendant.
    (f) If a local State's Attorney has proceeded with an
action under this Act, the Treasurer of the County where the
action was brought shall receive an amount for reasonable
expenses that the court finds to have been necessarily incurred
by the State's Attorney, including reasonable attorney's fees
and costs, plus 50% of the funds not awarded to a private
party. Those amounts shall be used to investigate and prosecute
insurance fraud, augmenting existing budgets rather than
replacing them. All remaining funds shall go to the State and
be deposited in the General Revenue Fund and, when
appropriated, shall be allocated to appropriate State agencies
for enhanced insurance fraud investigation, prosecution, and
prevention efforts.
    (g) If the Attorney General has proceeded with an action
under this Act, all funds not awarded to a private party, shall
go to the State and be deposited in the General Revenue Fund
and, when appropriated, shall be allocated to appropriate State
agencies for enhanced insurance fraud investigation,
prosecution, and prevention efforts.
    (h) If neither a local State's Attorney or the Attorney
General has proceeded with an action under this Act, 50% of the
funds not awarded to a private party shall be deposited with
the Treasurer of the County where the action was brought and
shall be disbursed to the State's Attorney of the County where
the action was brought. Those funds shall be used by the
State's Attorney solely to investigate, prosecute, and prevent
crime insurance fraud, augmenting existing budgets rather than
replacing them. All remaining funds shall go to the State and
be deposited in the General Revenue Fund and, when
appropriated, shall be allocated to appropriate State agencies
for enhanced crime insurance fraud investigation, prosecution,
and prevention efforts.
    (i) Whether or not the State's Attorney or Attorney General
proceeds with the action, if the court finds that the action
was brought by a person who planned and initiated the violation
of this Act, that person shall be dismissed from the civil
action and shall not receive any share of the proceeds of the
action. The dismissal shall not prejudice the right of the
State's Attorney or Attorney General to continue the action on
behalf of the State.
    (j) If the State's Attorney or Attorney General does not
proceed with the action, and the person bringing the action
conducts the action, the court may award to the defendant its
reasonable attorney's fees and expenses if the defendant
prevails in the action and the court finds that the claim of
the person bringing the action was clearly frivolous, clearly
vexatious, or brought primarily for purposes of harassment.
(Source: P.A. 92-233, eff. 1-1-02.)

Effective Date: 1/1/2018