093_HB2088ham002











                                     LRB093 02522 LCB 13619 a

 1                    AMENDMENT TO HOUSE BILL 2088

 2        AMENDMENT NO.     .  Amend House Bill 2088  by  replacing
 3    everything after the enacting clause with the following:

 4        "Section  5.  The  Code  of Civil Procedure is amended by
 5    changing Sections 2-1402,  12-901,  12-904,  12-906,  12-909,
 6    12-910, 12-911, 12-912, and 12-1001 as follows:

 7        (735 ILCS 5/2-1402) (from Ch. 110, par. 2-1402)
 8        Sec. 2-1402. Supplementary proceedings.
 9        (a)  A  judgment  creditor,  or  his  or her successor in
10    interest when that interest is made to appear of  record,  is
11    entitled  to  prosecute  supplementary  proceedings  for  the
12    purposes of examining the judgment debtor or any other person
13    to  discover  assets  or income of the debtor not exempt from
14    the  enforcement  of  the  judgment,  a  deduction  order  or
15    garnishment, and of compelling the application of  non-exempt
16    assets  or income discovered toward the payment of the amount
17    due under the judgment.  A supplementary proceeding shall  be
18    commenced  by  the service of a citation issued by the clerk.
19    The procedure for conducting supplementary proceedings  shall
20    be  prescribed  by  rules.   It  is not a prerequisite to the
21    commencement of a supplementary proceeding that  a  certified
22    copy  of  the  judgment  has  been  returned wholly or partly
 
                            -2-      LRB093 02522 LCB 13619 a
 1    unsatisfied. All citations issued by the clerk shall have the
 2    following  language,  or   language   substantially   similar
 3    thereto, stated prominently on the front, in capital letters:
 4    "YOUR FAILURE TO APPEAR IN COURT AS HEREIN DIRECTED MAY CAUSE
 5    YOU  TO BE ARRESTED AND BROUGHT BEFORE THE COURT TO ANSWER TO
 6    A CHARGE OF CONTEMPT OF COURT, WHICH  MAY  BE  PUNISHABLE  BY
 7    IMPRISONMENT IN THE COUNTY JAIL." The court shall not grant a
 8    continuance  of the supplementary proceeding except upon good
 9    cause shown.
10        (b)  Any citation served upon a judgment  debtor  or  any
11    other  person  shall  include a certification by the attorney
12    for the judgment creditor or the  judgment  creditor  setting
13    forth  the  amount of the judgment, the date of the judgment,
14    or its revival date, the balance due thereon, the name of the
15    court, and the number of the case, and a copy of the citation
16    notice required by this subsection.  Whenever a  citation  is
17    served upon a person or party other than the judgment debtor,
18    the  officer or person serving the citation shall send to the
19    judgment debtor, within three business days  of  the  service
20    upon the cited party, a copy of the citation and the citation
21    notice,  which may be sent by regular first-class mail to the
22    judgment debtor's last known address.  In no  event  shall  a
23    citation hearing be held sooner than five business days after
24    the  mailing  of  the  citation  and  citation  notice to the
25    judgment debtor, except by agreement  of  the  parties.   The
26    citation   notice  need  not  be  mailed  to  a  corporation,
27    partnership, or association.  The citation notice shall be in
28    substantially the following form:
29                          "CITATION NOTICE
30             (Name and address of Court)
31             Name of Case: (Name of Judgment Creditor),
32                  Judgment Creditor v.
33                  (Name of Judgment Debtor),
34                  Judgment Debtor.
 
                            -3-      LRB093 02522 LCB 13619 a
 1             Address of Judgment Debtor: (Insert last known
 2                  address)
 3             Name and address of Attorney for Judgment
 4                  Creditor or of Judgment Creditor (If no
 5                  attorney is listed): (Insert name and address)
 6             Amount of Judgment: $ (Insert amount)
 7             Name of Person Receiving Citation: (Insert name)
 8             Court Date and Time: (Insert return date and time
 9                  specified in citation)
10        NOTICE: The court  has  issued  a  citation  against  the
11    person  named  above.   The  citation  directs that person to
12    appear in court to be examined for the  purpose  of  allowing
13    the judgment creditor to discover income and assets belonging
14    to the judgment debtor or in which the judgment debtor has an
15    interest.  The citation was issued on the basis of a judgment
16    against the judgment debtor in favor of the judgment creditor
17    in  the  amount  stated  above.   On  or after the court date
18    stated above, the court may compel  the  application  of  any
19    discovered income or assets toward payment on the judgment.
20        The amount of income or assets that may be applied toward
21    the  judgment  is  limited  by federal and Illinois law.  The
22    JUDGMENT DEBTOR HAS THE RIGHT TO ASSERT STATUTORY  EXEMPTIONS
23    AGAINST CERTAIN INCOME OR ASSETS OF THE JUDGMENT DEBTOR WHICH
24    MAY  NOT BE USED TO SATISFY THE JUDGMENT IN THE AMOUNT STATED
25    ABOVE:
26             (1)  Under Illinois or federal law,  the  exemptions
27        of  personal  property  owned  by  the debtor include the
28        debtor's equity interest, not to exceed $4,000 $2,000  in
29        value,  in any personal property as chosen by the debtor;
30        Social  Security  and  SSI  benefits;  public  assistance
31        benefits; unemployment  compensation  benefits;  worker's
32        compensation   benefits;   veteran's   benefits;  circuit
33        breaker property tax relief benefits; the debtor's equity
34        interest, not to exceed $2,400 $1,200 in  value,  in  any
 
                            -4-      LRB093 02522 LCB 13619 a
 1        one  motor vehicle, and the debtor's equity interest, not
 2        to exceed  $1,500  $750  in  value,  in  any  implements,
 3        professional books, or tools of the trade of the debtor.
 4             (2)  Under Illinois law, every person is entitled to
 5        an  estate in homestead, when it is owned and occupied as
 6        a residence, to the extent in value  of  $15,000  $7,500,
 7        which homestead is exempt from judgment.
 8             (3)  Under  Illinois  law,  the amount of wages that
 9        may be applied toward a judgment is limited to the lesser
10        of (i) 15% of gross weekly wages or (ii)  the  amount  by
11        which  disposable earnings for a week exceed the total of
12        45 times the federal minimum hourly wage.
13             (4)  Under federal law, the amount of wages that may
14        be applied toward a judgment is limited to the lesser  of
15        (i)  25%  of  disposable  earnings for a week or (ii) the
16        amount by which disposable earnings for a week exceed  30
17        times the federal minimum hourly wage.
18             (5)  Pension and retirement benefits and refunds may
19        be claimed as exempt under Illinois law.
20        The  judgment  debtor  may have other possible exemptions
21    under the law.
22        THE JUDGMENT DEBTOR HAS THE RIGHT AT THE CITATION HEARING
23    TO DECLARE EXEMPT CERTAIN  INCOME  OR  ASSETS  OR  BOTH.  The
24    judgment  debtor  also has the right to seek a declaration at
25    an earlier date, by notifying the clerk in writing at (insert
26    address of clerk).  When so notified, the Clerk of the  Court
27    will  obtain  a  prompt  hearing date from the court and will
28    provide the necessary forms that  must  be  prepared  by  the
29    judgment  debtor  or the attorney for the judgment debtor and
30    sent to the judgment creditor  and  the  judgment  creditor's
31    attorney  regarding  the  time  and  location of the hearing.
32    This notice may be sent by regular first class mail."
33        (c)  When assets or income of  the  judgment  debtor  not
34    exempt from the satisfaction of a judgment, a deduction order
 
                            -5-      LRB093 02522 LCB 13619 a
 1    or  garnishment are discovered, the court may, by appropriate
 2    order or judgment:
 3             (1)  Compel the judgment debtor to deliver up, to be
 4        applied in satisfaction of the judgment, in whole  or  in
 5        part, money, choses in action, property or effects in his
 6        or  her  possession or control, so discovered, capable of
 7        delivery and to which  his  or  her  title  or  right  of
 8        possession is not substantially disputed.
 9             (2)  Compel  the  judgment  debtor  to  pay  to  the
10        judgment   creditor   or   apply   on  the  judgment,  in
11        installments, a portion of his or her income, however  or
12        whenever  earned  or  acquired,  as  the  court  may deem
13        proper, having due regard for the reasonable requirements
14        of  the  judgment  debtor  and  his  or  her  family,  if
15        dependent upon him  or  her,  as  well  as  any  payments
16        required to be made by prior order of court or under wage
17        assignments   outstanding;  provided  that  the  judgment
18        debtor shall not be compelled to pay income  which  would
19        be  considered  exempt  as wages under the Wage Deduction
20        Statute. The court may modify an  order  for  installment
21        payments,  from  time to time, upon application of either
22        party upon notice to the other.
23             (3)  Compel  any  person  cited,  other   than   the
24        judgment  debtor, to deliver up any assets so discovered,
25        to be applied in satisfaction of the judgment,  in  whole
26        or  in  part,  when  those  assets  are  held  under such
27        circumstances that in an action by the judgment debtor he
28        or she could recover them in specie or obtain a  judgment
29        for  the  proceeds  or value thereof as for conversion or
30        embezzlement.
31             (4)  Enter any order upon or  judgment  against  the
32        person  cited  that  could  be entered in any garnishment
33        proceeding.
34             (5)  Compel  any  person   cited   to   execute   an
 
                            -6-      LRB093 02522 LCB 13619 a
 1        assignment  of  any  chose  in  action or a conveyance of
 2        title to real or personal property, in  the  same  manner
 3        and  to  the  same  extent  as  a  court  could do in any
 4        proceeding by a judgment creditor to enforce payment of a
 5        judgment or in aid of the enforcement of a judgment.
 6             (6)  Authorize the judgment creditor to maintain  an
 7        action against any person or corporation that, it appears
 8        upon  proof satisfactory to the court, is indebted to the
 9        judgment debtor, for the recovery of the debt, forbid the
10        transfer or other disposition of the debt until an action
11        can be commenced and prosecuted to judgment, direct  that
12        the  papers  or proof in the possession or control of the
13        debtor and necessary in the prosecution of the action  be
14        delivered  to  the  creditor  or  impounded in court, and
15        provide for the disposition of any moneys  in  excess  of
16        the  sum required to pay the judgment creditor's judgment
17        and costs allowed by the court.
18        (d)  No  order  or  judgment  shall  be   entered   under
19    subsection (c) in favor of the judgment creditor unless there
20    appears  of  record a certification of mailing showing that a
21    copy of the citation and a copy of the  citation  notice  was
22    mailed to the judgment debtor as required by subsection (b).
23        (e)  All  property  ordered  to  be  delivered  up shall,
24    except as otherwise provided in this Section, be delivered to
25    the sheriff to be collected by the sheriff or sold at  public
26    sale  and the proceeds thereof applied towards the payment of
27    costs and the satisfaction of the judgment.
28        (f)  (1)  The citation may prohibit the party to whom  it
29        is directed from making or allowing any transfer or other
30        disposition  of,  or  interfering  with, any property not
31        exempt from the enforcement of a  judgment  therefrom,  a
32        deduction order or garnishment, belonging to the judgment
33        debtor or to which he or she may be entitled or which may
34        thereafter  be  acquired  by or become due to him or her,
 
                            -7-      LRB093 02522 LCB 13619 a
 1        and from paying over or otherwise disposing of any moneys
 2        not so exempt which are due  or  to  become  due  to  the
 3        judgment  debtor, until the further order of the court or
 4        the  termination  of  the  proceeding,  whichever  occurs
 5        first.  The third party may not be  obliged  to  withhold
 6        the payment of any moneys beyond double the amount of the
 7        balance  due  sought  to  be  enforced  by  the  judgment
 8        creditor.   The  court  may punish any party who violates
 9        the restraining provision of a  citation  as  and  for  a
10        contempt,  or  if  the  party  is a third party may enter
11        judgment against him or her in the amount of  the  unpaid
12        portion  of  the  judgment and costs allowable under this
13        Section, or in the amount of the value  of  the  property
14        transferred, whichever is lesser.
15             (2)  The court may enjoin any person, whether or not
16        a  party  to the supplementary proceeding, from making or
17        allowing  any  transfer  or  other  disposition  of,   or
18        interference  with,  the  property of the judgment debtor
19        not  exempt  from  the  enforcement  of  a  judgment,   a
20        deduction  order  or garnishment, or the property or debt
21        not so exempt concerning which any person is required  to
22        attend  and  be  examined  until further direction in the
23        premises.  The injunction order shall  remain  in  effect
24        until  vacated  by  the  court or until the proceeding is
25        terminated, whichever first occurs.
26        (g)  If it appears that any property,  chose  in  action,
27    credit  or  effect  discovered,  or  any interest therein, is
28    claimed by any person, the court  shall,  as  in  garnishment
29    proceedings,  permit  or  require  the claimant to appear and
30    maintain his or her right.  The rights of  the  person  cited
31    and  the rights of any adverse claimant shall be asserted and
32    determined  pursuant  to  the  law  relating  to  garnishment
33    proceedings.
34        (h)  Costs in  proceedings  authorized  by  this  Section
 
                            -8-      LRB093 02522 LCB 13619 a
 1    shall be allowed, assessed and paid in accordance with rules,
 2    provided  that  if  the  court determines, in its discretion,
 3    that costs incurred by the judgment creditor were  improperly
 4    incurred, those costs shall be paid by the judgment creditor.
 5        (i)  This  Section  is in addition to and does not affect
 6    enforcement  of  judgments   or   proceedings   supplementary
 7    thereto,  by  any  other methods now or hereafter provided by
 8    law.
 9        (j)  This Section does not grant the power to  any  court
10    to  order  installment  or other payments from, or compel the
11    sale, delivery, surrender, assignment or  conveyance  of  any
12    property exempt by statute from the enforcement of a judgment
13    thereon,   a   deduction   order,   garnishment,  attachment,
14    sequestration, process or other levy or seizure.
15        (k)  (Blank).
16        (l)  At any citation hearing at which the judgment debtor
17    appears and seeks a declaration that certain of  his  or  her
18    income  or  assets  are  exempt,  the  court shall proceed to
19    determine whether the  property  which  the  judgment  debtor
20    declares  to  be exempt is exempt from judgment.  At any time
21    before  the  return  date  specified  on  the  citation,  the
22    judgment debtor may request, in writing, a hearing to declare
23    exempt certain income and assets by notifying  the  clerk  of
24    the court before that time, using forms as may be provided by
25    the clerk of the court.  The clerk of the court will obtain a
26    prompt  hearing  date  from  the  court  and will provide the
27    necessary forms that must be prepared by the judgment  debtor
28    or  the  attorney  for  the  judgment  debtor and sent to the
29    judgment  creditor,  or  the  judgment  creditor's  attorney,
30    regarding the time and location of the hearing.  This  notice
31    may be sent by regular first class mail.  At the hearing, the
32    court shall immediately, unless for good cause shown that the
33    hearing  is  to  be  continued,  shall  proceed  to determine
34    whether the property which the judgment debtor declares to be
 
                            -9-      LRB093 02522 LCB 13619 a
 1    exempt is exempt from judgment.  The  restraining  provisions
 2    of  subsection (f) shall not apply to any property determined
 3    by the court to be exempt.
 4        (m)   The judgment or balance due on the judgment becomes
 5    a  lien  when  a  citation  is  served  in  accordance   with
 6    subsection  (a)  of  this  Section.  The lien binds nonexempt
 7    personal property, including money,  choses  in  action,  and
 8    effects of the judgment debtor as follows:
 9             (1)  When  the  citation  is  directed  against  the
10        judgment  debtor, upon all personal property belonging to
11        the judgment debtor in the possession or control  of  the
12        judgment  debtor  or  which may thereafter be acquired or
13        come due to the  judgment  debtor  to  the  time  of  the
14        disposition of the citation.
15             (2)  When  the  citation is directed against a third
16        party,  upon  all  personal  property  belonging  to  the
17        judgment debtor in the possession or control of the third
18        party or which thereafter may be acquired or come due the
19        judgment debtor and comes into the possession or  control
20        of  the third party to the time of the disposition of the
21        citation.
22        The lien established under this Section does  not  affect
23    the  rights  of citation respondents in property prior to the
24    service of the citation upon them and  does  not  affect  the
25    rights  of  bona fide purchasers or lenders without notice of
26    the citation. The lien is effective for the period  specified
27    by Supreme Court Rule.
28        This  subsection  (m), as added by Public Act 88-48, is a
29    declaration of existing law.
30        (n)  If any provision of this Act or its  application  to
31    any person or circumstance is held invalid, the invalidity of
32    that  provision or application does not affect the provisions
33    or applications of the Act that can be given  effect  without
34    the invalid provision or application.
 
                            -10-     LRB093 02522 LCB 13619 a
 1    (Source:  P.A.  88-48;  88-299; 88-667, eff. 9-16-94; 88-670,
 2    eff. 12-2-94; 89-364, eff. 1-1-96.)

 3        (735 ILCS 5/12-901) (from Ch. 110, par. 12-901)
 4        Sec. 12-901.  Amount.  Every individual is entitled to an
 5    estate of homestead to the extent in value of $15,000  $7,500
 6    of his or her interest in a farm or lot of land and buildings
 7    thereon,  a  condominium,  or  personal  property,  owned  or
 8    rightly  possessed  by lease or otherwise and occupied by him
 9    or her as a residence, or in a cooperative that owns property
10    that the individual uses as a residence.  That homestead  and
11    all  right  in  and  title  to  that homestead is exempt from
12    attachment, judgment, levy, or judgment sale for the  payment
13    of  his  or  her debts or other purposes and from the laws of
14    conveyance, descent, and legacy, except as provided  in  this
15    Code  or  in  Section  20-6  of the Probate Act of 1975. This
16    Section is not applicable between joint tenants or tenants in
17    common but it is applicable as  to  any  creditors  of  those
18    persons. If 2 or more individuals own property that is exempt
19    as a homestead, the value of the exemption of each individual
20    may  not  exceed  his  or  her proportionate share of $30,000
21    $15,000 based upon percentage of ownership.
22    (Source: P.A. 88-672, eff. 12-14-94.)

23        (735 ILCS 5/12-904) (from Ch. 110, par. 12-904)
24        Sec. 12-904. Release, waiver or conveyance.  No  release,
25    waiver  or  conveyance  of  the  estate  so exempted shall be
26    valid,  unless  the  same  is  in  writing,  signed  by   the
27    individual  and  his or her spouse, if he or she have one, or
28    possession is abandoned or given pursuant to the  conveyance;
29    or  if  the  exception  is  continued  to a child or children
30    without the order of a court directing a release thereof; but
31    if a conveyance is made by an individual as grantor to his or
32    her spouse, such conveyance shall be effectual  to  pass  the
 
                            -11-     LRB093 02522 LCB 13619 a
 1    title  expressed  therein  to be conveyed thereby, whether or
 2    not the grantor in such conveyance is joined therein  by  his
 3    or  her  spouse.  In  any  case where such release, waiver or
 4    conveyance is taken by way of mortgage or security, the  same
 5    shall  only  be operative as to such specific release, waiver
 6    or conveyance; and when the same includes different pieces of
 7    land, or the homestead  is  of  greater  value  than  $15,000
 8    $7,500,  the other lands shall first be sold before resorting
 9    to the homestead, and in case of the sale of such  homestead,
10    if  any  balance  remains  after  the payment of the debt and
11    costs, such balance shall, to the extent of $15,000 $7,500 be
12    exempt, and be applied upon such homestead exemption  in  the
13    manner provided by law.
14    (Source: P.A. 82-783.)

15        (735 ILCS 5/12-906) (from Ch. 110, par. 12-906)
16        Sec.  12-906.   Proceeds  of  sale.   When a homestead is
17    conveyed by the owner  thereof,  such  conveyance  shall  not
18    subject  the  premises to any lien or incumbrance to which it
19    would not be subject in the possession of such owner; and the
20    proceeds thereof, to the extent  of  the  amount  of  $15,000
21    $7,500,  shall  be exempt from judgment or other process, for
22    one year after the receipt thereof, by the person entitled to
23    the exemption, and if reinvested  in  a  homestead  the  same
24    shall  be  entitled  to  the  same  exemption as the original
25    homestead.
26    (Source: P.A. 82-783.)

27        (735 ILCS 5/12-909) (from Ch. 110, par. 12-909)
28        Sec. 12-909.  Bid for less than exempted amount.  No sale
29    shall be made of the  premises  on  such  judgment  unless  a
30    greater sum than $15,000 $7,500 is bid therefor. If a greater
31    sum is not so bid, the judgment may be set aside or modified,
32    or  the  enforcement of the judgment released, as for lack of
 
                            -12-     LRB093 02522 LCB 13619 a
 1    property.
 2    (Source: P.A. 82-783.)

 3        (735 ILCS 5/12-910) (from Ch. 110, par. 12-910)
 4        Sec. 12-910. Proceedings to enforce judgment.  If in  the
 5    opinion  of  the judgment creditors, or the officer holding a
 6    certified copy of a judgment  for  enforcement  against  such
 7    individuals, the premises claimed by him or her as exempt are
 8    worth  more  than $15,000 $7,500, such officer shall summon 3
 9    individuals, as commissioners, who shall, upon  oath,  to  be
10    administered  to  them by the officer, appraise the premises,
11    and if, in their opinion, the property may be divided without
12    damage to the interest of the parties, they shall set off  so
13    much  of  the  premises,  including the dwelling house, as in
14    their opinion is worth $15,000 $7,500, and the residue of the
15    premises may be advertised and sold  by  such  officer.  Each
16    commissioner shall receive for his or her services the sum of
17    $5  per day for each day necessarily engaged in such service.
18    The officer summoning such commissioners shall  receive  such
19    fees  as  may  be  allowed  for serving summons, but shall be
20    entitled to charge  mileage  for  only  the  actual  distance
21    traveled  from the premises to be appraised, to the residence
22    of the commissioners  summoned.  The  officer  shall  not  be
23    required to summon commissioners until the judgment creditor,
24    or  some one for him or her, shall advance to the officer one
25    day's fees for the commissioners,  and  unless  the  creditor
26    shall  advance such fees the officer shall not be required to
27    enforce the judgment. The costs of  such  appraisement  shall
28    not   be  taxed  against  the  judgment  debtor  unless  such
29    appraisement shows that  the  judgment  debtor  has  property
30    subject to such judgment.
31    (Source: P.A. 83-707.)

32        (735 ILCS 5/12-911) (from Ch. 110, par. 12-911)
 
                            -13-     LRB093 02522 LCB 13619 a
 1        Sec.  12-911.  Notice  to  judgment  debtor.  In case the
 2    value  of  the  premises  is,   in   the   opinion   of   the
 3    commissioners,  more  than  $15,000  $7,500,  and  cannot  be
 4    divided  as  is  provided  for in Section 12-910 of this Act,
 5    they shall make and sign an appraisal of the  value  thereof,
 6    and deliver the same to the officer, who shall deliver a copy
 7    thereof  to the judgment debtor, or to some one of the family
 8    of the age of 13 years or  upwards,  with  a  notice  thereto
 9    attached that unless the judgment debtor pays to such officer
10    the  surplus  over and above $15,000 $7,500 on the amount due
11    on the judgment within 60 days thereafter, such premises will
12    be sold.
13    (Source: P.A. 83-356.)

14        (735 ILCS 5/12-912) (from Ch. 110, par. 12-912)
15        Sec. 12-912. Sale of premises - Distribution of proceeds.
16    In case of such surplus, or the amount due on the judgment is
17    not paid within the 60 days, the officer  may  advertise  and
18    sell  the  premises, and out of the proceeds of such sale pay
19    to such judgment debtor the sum of $15,000 $7,500, and  apply
20    the balance on the judgment.
21    (Source: P.A. 82-783.)

22        (735 ILCS 5/12-1001) (from Ch. 110, par. 12-1001)
23        Sec.  12-1001.   Personal property exempt.  The following
24    personal property,  owned  by  the  debtor,  is  exempt  from
25    judgment, attachment, or distress for rent:
26             (a)  The  necessary  wearing  apparel, bible, school
27        books, and family pictures of the debtor and the debtor's
28        dependents;
29             (b)  The debtor's equity  interest,  not  to  exceed
30        $4,000 $2,000 in value, in any other property;
31             (c)  The  debtor's  interest,  not  to exceed $2,400
32        $1,200 in value, in any one motor vehicle;
 
                            -14-     LRB093 02522 LCB 13619 a
 1             (d)  The debtor's equity  interest,  not  to  exceed
 2        $1,500  $750  in  value,  in any implements, professional
 3        books, or tools of the trade of the debtor;
 4             (e)  Professionally prescribed health aids  for  the
 5        debtor or a dependent of the debtor;
 6             (f)  All  proceeds  payable  because of the death of
 7        the insured and the aggregate net cash value  of  any  or
 8        all  life  insurance  and  endowment policies and annuity
 9        contracts payable to a wife or husband of the insured, or
10        to a child, parent, or other person  dependent  upon  the
11        insured,  whether  the power to change the beneficiary is
12        reserved to the insured or not and whether the insured or
13        the insured's estate is a contingent beneficiary or not;
14             (g)  The debtor's right to receive:
15                  (1)  a social  security  benefit,  unemployment
16             compensation, or public assistance benefit;
17                  (2)  a veteran's benefit;
18                  (3)  a  disability,  illness,  or  unemployment
19             benefit; and
20                  (4)  alimony, support, or separate maintenance,
21             to  the  extent reasonably necessary for the support
22             of the debtor and any dependent of the debtor.
23             (h)  The debtor's right to receive, or property that
24        is traceable to:
25                  (1)  an award under a crime victim's reparation
26             law;
27                  (2)  a payment on account of the wrongful death
28             of an individual of whom the debtor was a dependent,
29             to the extent reasonably necessary for  the  support
30             of the debtor;
31                  (3)  a  payment under a life insurance contract
32             that insured the life of an individual of  whom  the
33             debtor  was  a  dependent,  to the extent reasonably
34             necessary  for  the  support  of  the  debtor  or  a
 
                            -15-     LRB093 02522 LCB 13619 a
 1             dependent of the debtor;
 2                  (4)  a payment, not to exceed $15,000 $7,500 in
 3             value, on account of personal bodily injury  of  the
 4             debtor  or  an  individual  of whom the debtor was a
 5             dependent; and
 6                  (5)  any restitution payments made  to  persons
 7             pursuant  to the federal Civil Liberties Act of 1988
 8             and the Aleutian  and  Pribilof  Island  Restitution
 9             Act, P.L. 100-383.
10             For  purposes  of  this  subsection  (h), a debtor's
11        right to receive an award or payment shall be exempt  for
12        a  maximum of 2 years after the debtor's right to receive
13        the award or payment accrues; property  traceable  to  an
14        award or payment shall be exempt for a maximum of 5 years
15        after  the  award  or  payment  accrues;  and an award or
16        payment and property traceable to  an  award  or  payment
17        shall  be  exempt only to the extent of the amount of the
18        award or payment, without interest or  appreciation  from
19        the date of the award or payment.
20             (i)  The  debtor's  right  to receive an award under
21        Part 20 of Article II of  this  Code  relating  to  crime
22        victims' awards.
23        Money  due  the  debtor  from  the  sale  of any personal
24    property  that  was  exempt  from  judgment,  attachment,  or
25    distress for rent at the time of  the  sale  is  exempt  from
26    attachment  and  garnishment  to  the  same  extent  that the
27    property would be exempt had the same not been  sold  by  the
28    debtor.
29        If  a  debtor owns property exempt under this Section and
30    he  or  she  purchased  that  property  with  the  intent  of
31    converting nonexempt property  into  exempt  property  or  in
32    fraud  of  his  or  her creditors, that property shall not be
33    exempt from  judgment,  attachment,  or  distress  for  rent.
34    Property  acquired  within  6  months  of  the  filing of the
 
                            -16-     LRB093 02522 LCB 13619 a
 1    petition for  bankruptcy  shall  be  presumed  to  have  been
 2    acquired in contemplation of bankruptcy.
 3        The  personal  property  exemptions  set  forth  in  this
 4    Section  shall apply only to individuals and only to personal
 5    property that is  used  for  personal  rather  than  business
 6    purposes.  The personal property exemptions set forth in this
 7    Section shall not apply to or be allowed against  any  money,
 8    salary,  or wages due or to become due to the debtor that are
 9    required to be withheld in a wage deduction proceeding  under
10    Part 8 of this Article XII.
11    (Source: P.A. 88-378; 89-686, eff. 12-31-96.)

12        Section  99.   Effective  date.  This Act takes effect on
13    January 1, 2004.".