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