Illinois General Assembly - Full Text of SB3287
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Full Text of SB3287  98th General Assembly




SB3287 EnrolledLRB098 16953 JLS 52031 b

1    AN ACT concerning employment.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Workers' Compensation Act is amended by
5changing Section 5 as follows:
6    (820 ILCS 305/5)  (from Ch. 48, par. 138.5)
7    (Text of Section WITHOUT the changes made by P.A. 89-7,
8which has been held unconstitutional)
9    Sec. 5. (a) No common law or statutory right to recover
10damages from the employer, his insurer, his broker, any service
11organization that is wholly owned retained by the employer, his
12insurer or his broker and that provides to provide safety
13service, advice or recommendations for the employer or the
14agents or employees of any of them for injury or death
15sustained by any employee while engaged in the line of his duty
16as such employee, other than the compensation herein provided,
17is available to any employee who is covered by the provisions
18of this Act, to any one wholly or partially dependent upon him,
19the legal representatives of his estate, or any one otherwise
20entitled to recover damages for such injury.
21    However, in any action now pending or hereafter begun to
22enforce a common law or statutory right to recover damages for
23negligently causing the injury or death of any employee it is



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1not necessary to allege in the complaint that either the
2employee or the employer or both were not governed by the
3provisions of this Act or of any similar Act in force in this
4or any other State.
5    Any illegally employed minor or his legal representatives
6shall, except as hereinafter provided, have the right within 6
7months after the time of injury or death, or within 6 months
8after the appointment of a legal representative, whichever
9shall be later, to file with the Commission a rejection of his
10right to the benefits under this Act, in which case such
11illegally employed minor or his legal representatives shall
12have the right to pursue his or their common law or statutory
13remedies to recover damages for such injury or death.
14    No payment of compensation under this Act shall be made to
15an illegally employed minor, or his legal representatives,
16unless such payment and the waiver of his right to reject the
17benefits of this Act has first been approved by the Commission
18or any member thereof, and if such payment and the waiver of
19his right of rejection has been so approved such payment is a
20bar to a subsequent rejection of the provisions of this Act.
21    (b) Where the injury or death for which compensation is
22payable under this Act was caused under circumstances creating
23a legal liability for damages on the part of some person other
24than his employer to pay damages, then legal proceedings may be
25taken against such other person to recover damages
26notwithstanding such employer's payment of or liability to pay



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1compensation under this Act. In such case, however, if the
2action against such other person is brought by the injured
3employee or his personal representative and judgment is
4obtained and paid, or settlement is made with such other
5person, either with or without suit, then from the amount
6received by such employee or personal representative there
7shall be paid to the employer the amount of compensation paid
8or to be paid by him to such employee or personal
9representative including amounts paid or to be paid pursuant to
10paragraph (a) of Section 8 of this Act.
11    Out of any reimbursement received by the employer pursuant
12to this Section the employer shall pay his pro rata share of
13all costs and reasonably necessary expenses in connection with
14such third-party claim, action or suit and where the services
15of an attorney at law of the employee or dependents have
16resulted in or substantially contributed to the procurement by
17suit, settlement or otherwise of the proceeds out of which the
18employer is reimbursed, then, in the absence of other
19agreement, the employer shall pay such attorney 25% of the
20gross amount of such reimbursement.
21    If the injured employee or his personal representative
22agrees to receive compensation from the employer or accept from
23the employer any payment on account of such compensation, or to
24institute proceedings to recover the same, the employer may
25have or claim a lien upon any award, judgment or fund out of
26which such employee might be compensated from such third party.



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1    In such actions brought by the employee or his personal
2representative, he shall forthwith notify his employer by
3personal service or registered mail, of such fact and of the
4name of the court in which the suit is brought, filing proof
5thereof in the action. The employer may, at any time thereafter
6join in the action upon his motion so that all orders of court
7after hearing and judgment shall be made for his protection. No
8release or settlement of claim for damages by reason of such
9injury or death, and no satisfaction of judgment in such
10proceedings shall be valid without the written consent of both
11employer and employee or his personal representative, except in
12the case of the employers, such consent is not required where
13the employer has been fully indemnified or protected by Court
15    In the event the employee or his personal representative
16fails to institute a proceeding against such third person at
17any time prior to 3 months before such action would be barred,
18the employer may in his own name or in the name of the
19employee, or his personal representative, commence a
20proceeding against such other person for the recovery of
21damages on account of such injury or death to the employee, and
22out of any amount recovered the employer shall pay over to the
23injured employee or his personal representatives all sums
24collected from such other person by judgment or otherwise in
25excess of the amount of such compensation paid or to be paid
26under this Act, including amounts paid or to be paid pursuant



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1to paragraph (a) of Section 8 of this Act, and costs,
2attorney's fees and reasonable expenses as may be incurred by
3such employer in making such collection or in enforcing such
5(Source: P.A. 79-79.)
6    Section 99. Effective date. This Act takes effect upon
7becoming law.