SB0486 Enrolled

LRB095 03620 AJO 23642 b






1
    AN ACT concerning civil law.

 
2
    Be it enacted by the People of the State of Illinois,
 
3
represented in the General Assembly:


 
4
    Section 5. The Code of Civil Procedure is amended  by adding 
5
Section 2-807 as follows:
 
6
    (735 ILCS 5/2-807  new)
7
    Sec. 2-807. Residual funds in a common fund created in a 
8
class action.
9
    (a) Definitions. As used in this Section:
10
    "Eligible organization" means a not-for-profit 
11
organization that:
12
        (i) has been in existence for no less than 3 years;
13
        (ii) has been tax exempt for no less than 3 years from

14
    the payment of federal taxes under Section 501(c)(3) of the 
15
    Internal
Revenue Code;
16
        (iii) is in compliance with registration and filing 
17
    requirements
applicable pursuant to the Charitable Trust 
18
    Act and the Solicitation for
Charity Act; and
19
        (iv) has a principal purpose of promoting or providing 
20
    services
that would be eligible for funding under the 
21
    Illinois Equal Justice Act.
22
    "Residual funds" means all unclaimed funds, including 
23
uncashed checks or other unclaimed payments, that remain in a 
 


 






SB0486 Enrolled
- 2 -
LRB095 03620 AJO 23642 b




1
common fund created in a class action after court-approved  
2
payments are made for the following:
3
        (i) class member claims;
4
        (ii) attorney's fees and costs; and
5
        (iii) any reversions to a defendant agreed upon by the 
6
    parties.
7
    (b) Settlement. An order approving a proposed settlement of 
8
a class action that results in the creation of a common fund 
9
for the benefit of the class shall, consistent with the other 
10
Sections of this Part, establish a process for the 
11
administration of the settlement and shall provide for the 
12
distribution of any residual funds to one or more eligible 
13
organizations, except that up to 50% of the residual funds may 
14
be distributed to one or more other nonprofit charitable 
15
organizations or other organizations that serve the public good 
16
if the court finds there is good cause to approve such a 
17
distribution as part of a settlement.
18
    (c) Judgment. A judgment in favor of the plaintiff in a 
19
class action that results in the creation of a common fund for 
20
the benefit of the class shall provide for the distribution of 
21
any residual funds to one or more eligible organizations.
22
    (d) State and its political subdivisions. This Section does 
23
not apply to any class action lawsuit against the State of 
24
Illinois or any of its political subdivisions.
25
    (e) Application. This Section applies to all actions 
26
commenced on or after the effective date of this amendatory Act 
 


 






SB0486 Enrolled
- 3 -
LRB095 03620 AJO 23642 b




1
of the 95th General Assembly and to all actions pending on the 
2
effective date of this amendatory Act of the 95th General 
3
Assembly for which no court order has been entered 
4
preliminarily approving a proposed settlement for a class of 
5
plaintiffs.
 
6
    Section 99. Effective date. This Act takes effect July 1, 
7
2008.