House Sponsors: LEITCH. Senate Sponsors: HAWKINSON Short description: CONSTRUCTION TRUST FUND ACT Synopsis of Bill as introduced: Creates the Construction Trust Fund Act. Provides that moneys paid under a contract by an owner to a contractor or by an owner or contractor to a subcontractor for work done or materials furnished for or about a building shall be held in trust for the purpose of paying those who did the work or furnished the materials. The moneys need not be held in separate accounts; commingling does not violate this Act. Provides that any trustee who knowingly retains or uses the moneys held in trust for any purpose other than to pay those subcontractors for whom the moneys are held shall be personally liable to any person damaged by the action. Effective immediately. HOUSE AMENDMENT NO. 1. Deletes reference to: New Act Adds reference to: 770 ILCS 60/21.02 new Deletes everything. Amends the Mechanics Lien Act. Provides that an owner, contractor, subcontractor, or supplier of any tier who requests or requires a waiver of mechanics lien by any person who fur- nishes labor, services, or materials for the improvement of a lot or a tract of land in exchange for payment or the promise or payment, shall hold the unpaid sums in trust subject to the waiver of mechanics lien, as trustee for the person who furnished the labor, services, or materials, which moneys need not be held in a separate account. Provides that a violation of these provisions will subject the violator to liability for all damages sustained. Effective immediately. Last action on Bill: PUBLIC ACT.............................. 90-0208 Last action date: 97-07-25 Location: House Amendments to Bill: AMENDMENTS ADOPTED: HOUSE - 1 SENATE - 0 END OF INQUIRY Full Text Bill Status