SC0010 104TH GENERAL ASSEMBLY

LRB104 17487 SPS 30913 e

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
SENATE JOINT RESOLUTION
CONSTITUTIONAL AMENDMENT
SC0010

Introduced 1/30/2026, by Sen. Rachel Ventura

SYNOPSIS AS INTRODUCED:

ILCON Art. XIII, Sec. 9 new

Proposes to amend the General Provisions Article of the Illinois Constitution. Clarifies that artificial persons exist only by grant of the State and shall have no powers or privileges except those expressly provided by the Illinois Constitution or the laws of the State. Revokes all powers previously granted to any artificial person under the laws of the State. Re-grants powers to artificial persons, to the extent that those powers do not include the power to conduct any election activity or ballot-issue activity. Provides that any election activity or ballot-issue activity conducted by an artificial person is ultra vires and void. Effective upon being declared adopted.

SENATE JOINT RESOLUTION

CONSTITUTIONAL AMENDMENT

RESOLVED, BY THE SENATE OF THE ONE HUNDRED FOURTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, THE HOUSE OF REPRESENTATIVES CONCURRING HEREIN, that there shall be submitted to the electors of the State for adoption or rejection at the general election next occurring at least 6 months after the adoption of this resolution a proposition to amend Article XIII of the Illinois Constitution by adding Section 9 as follows:

ARTICLE XIII

GENERAL PROVISIONS

(ILCON Art. XIII, Sec. 9 new) SECTION 9. ARTIFICIAL PERSONS

(a) As used in this Section:

"Artificial person" means every entity whose existence or limited liability shield is conferred by the laws of this State, including, without limitation:

(1) business corporations;

(2) not-for-profit corporations;

(3) limited liability companies;

(4) unincorporated associations, limited liability partnerships, statutory trusts, professional corporations, cooperatives, and any successor form; and

(5) foreign entities that are authorized to transact business, are otherwise transacting business, or hold property in this State.

For the purpose of paragraph (5), any foreign entity that directly or indirectly undertakes, finances, or directs election activity or ballot-issue activity in this State is conclusively deemed to be transacting business in this State.

"Ballot-issue activity" means paying, contributing, or expending money or anything of value to support or oppose a ballot question or initiative. "Ballot-issue activity" does not include any bona fide news story, commentary, or editorial distributed through the facilities of any broadcasting station, or of any print, online, or digital newspaper, magazine, blog, or other periodical publication, unless the broadcasting, print, online, or digital facilities are owned or controlled by a political party, political committee, or candidate.

"Charter privilege" means any benefit to artificial persons that exists only because this State confers it, such as limited liability, perpetual duration, succession in its corporate name, and tax credits and abatements. "Charter privilege" does not include the privilege to conduct election activity or ballot-issue activity.

"Election activity" means paying, contributing, or expending money or anything of value to support or oppose a candidate, political party, or political committee. "Election activity" does not include any bona fide news story, commentary, or editorial distributed through the facilities of any broadcasting station, or of any print, online, or digital newspaper, magazine, blog, or other periodical publication, unless the broadcasting, print, online, or digital facilities are owned or controlled by a political party, political committee, or candidate.

"Foreign entity" means an artificial person organized or existing under the laws of any jurisdiction other than this State.

"Powers of artificial persons" means powers necessary or convenient to carry out lawful business or charitable purposes, excluding any power to directly or indirectly engage in election activity or ballot-issue activity.

(b) Artificial persons exist only by grant of the State and shall have no powers or privileges except those expressly provided by this Constitution or the laws of this State.

(c) The General Assembly may only create artificial persons in a manner consistent with subsection (b).

It is not the intent of this State that artificial persons have the power to conduct any election activity or ballot-issue activity. This subsection retracts all powers of artificial persons and re-grants only those powers deemed necessary or convenient to carry out an artificial person's lawful business or charitable purposes.

Any powers related to election activity or ballot-issue activity are not deemed necessary or convenient to those purposes.

(d) The creation and continued existence of an artificial person are not rights but conditional grants of legal status by this State and remain subject to complete withdrawal at any time. All powers previously granted to any artificial person under the laws of this State are revoked in their entirety. No artificial person operating under the jurisdiction of this State shall possess any power unless specifically granted by this Constitution. No provision of this Constitution grants or recognizes any power of an artificial person to engage in election activity or ballot-issue activity, except as provided in subsection (f).

Nothing in this subsection shall be construed to invalidate, impair, or modify any existing contract, debt instrument, security, or other legal obligation validly entered into before the effective date of this Article. The provisions of this subsection do not authorize an artificial person to conduct any election activity or ballot-issue activity after the effective date of this Article.

(e) Each artificial person possesses the power to exercise charter privileges, unless its organizational documents limit the exercise of the powers, and no powers beyond those expressly granted. No provision of this Article grants or recognizes any power of an artificial person to engage in election activity or ballot-issue activity, except as provided in subsection (f).

Any language in articles of incorporation, organization, association, or other organizational documents purporting to directly or indirectly confer election-activity authority or ballot-issue-activity authority to artificial persons is void.

(f) Political committees registered under the laws of this State or federal law are entities created for the purpose of engaging in election activity and ballot-issue activity. Political committees may be granted the power to engage in those activities provided that they exist solely for that purpose and claim no charter privilege other than limited liability. This Constitution does not grant any other artificial person the power to engage in election activity or ballot-issue activity.

(g) No charter privilege shall be construed to authorize election activity or ballot-issue activity. An artificial person that exercises an authority to conduct election activity or ballot-issue activity, unless expressly permitted to do so under subsection (f), shall forfeit all charter privileges.

(h) Any election activity or ballot-issue activity conducted by an artificial person is ultra vires and void. Any such conduct results in the forfeiture of charter privileges as provided in subsection (g) and shall also be subject to civil action by a member, shareholder, or the Attorney General for injunctive relief, disgorgement, and confirmation or enforcement of the forfeiture.

SCHEDULE

This Constitutional Amendment takes effect upon being declared adopted in accordance with Section 7 of the Illinois Constitutional Amendment Act.