SB1291 EngrossedLRB103 27559 LNS 53934 b

1    AN ACT concerning civil law.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Illinois State Collection Act of 1986 is
5amended by adding Section 10.3 and 10.4 as follows:
6    (30 ILCS 210/10.3 new)
7    Sec. 10.3. Five-year limitation. Except in the case of
8fraud, if a State agency fails to provide a debtor with written
9notice and a demand for payment of any debt, accounts, or
10claims owed to the State agency with 5 years of when the State
11agency's right to collect the debt first accrued, then the
12State agency is barred from attempting to collect such debt,
13accounts, or claims owed to it by the debtor. This Section does
14not apply to taxes, fines, or fees.
15    (30 ILCS 210/10.4 new)
16    Sec. 10.4. Ten-year limitation. When a State agency is
17attempting to collect outstanding health benefits premiums
18from a covered employee who was reinstated to employment
19status after a grievance resolution, the State agency shall
20provide the employee with a written notice and demand for
21payment of the premiums within 10 years of when the State
22agency's right to collect the premiums first accrued.



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1Otherwise, the State agency is barred from attempting to
2collect such premiums.
3    Section 10. The Code of Civil Procedure is amended by
4changing Section 13-205 as follows:
5    (735 ILCS 5/13-205)  (from Ch. 110, par. 13-205)
6    Sec. 13-205. Five year limitation.
7    (a) Except as provided in Section 2-725 of the "Uniform
8Commercial Code", approved July 31, 1961, as amended, and
9Section 11-13 of "The Illinois Public Aid Code", approved
10April 11, 1967, as amended, actions on unwritten contracts,
11expressed or implied, or on awards of arbitration, or to
12recover damages for an injury done to property, real or
13personal, or to recover the possession of personal property or
14damages for the detention or conversion thereof, and all civil
15actions not otherwise provided for, shall be commenced within
165 years next after the cause of action accrued.
17    (b) Except in the case of fraud or where facts material to
18the State agency's right to collect the debt were not known nor
19could reasonably have been known by the State agency's
20official charged with the responsibility to discover and
21collect the debt, an action by a State agency may not be
22conducted more than 5 years after the State agency's right to
23collect the debt first accrued. This subsection does not apply
24to taxes, fines, or fees.



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1(Source: P.A. 82-280.)