Full Text of SB2291 94th General Assembly
SB2291 94TH GENERAL ASSEMBLY
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94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006 SB2291
Introduced 1/12/2006, by Sen. John J. Cullerton SYNOPSIS AS INTRODUCED: |
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735 ILCS 5/12-1001 |
from Ch. 110, par. 12-1001 |
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Amends the Code of Civil Procedure. Provides that moneys held in an account invested in the Illinois College Savings Pool of which the debtor is a participant or donor is personal property that is exempt from judgment, attachment, or distress from rent except for: (i) contributions to the account made with the intent to hinder, delay, or defraud any creditor, (ii) certain contributions to the account made during the 365 day period prior to the date of the debtor filing for bankruptcy in excess of the annual gift tax exclusion; or (iii) certain contributions to the account made during the the 730 to 366 day period prior to the date of the debtor filing for bankruptcy in excess of the annual gift tax exclusion.
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A BILL FOR
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SB2291 |
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LRB094 16334 RSP 51585 b |
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| AN ACT concerning civil procedure.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Code of Civil Procedure is amended by | 5 |
| changing Section 12-1001 as follows:
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| (735 ILCS 5/12-1001)
(from Ch. 110, par. 12-1001)
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| Sec. 12-1001. Personal property exempt. The following | 8 |
| personal property,
owned by the debtor, is exempt from | 9 |
| judgment, attachment, or distress for rent:
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| (a) The necessary wearing apparel, bible, school | 11 |
| books, and family
pictures of the debtor and the debtor's | 12 |
| dependents;
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| (b) The debtor's equity interest, not to exceed $4,000 | 14 |
| in
value, in any
other property;
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| (c) The debtor's interest, not to exceed $2,400
in | 16 |
| value,
in any one motor
vehicle;
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| (d) The debtor's equity interest, not to exceed $1,500 | 18 |
| in
value,
in any
implements, professional books, or tools | 19 |
| of the trade of the debtor;
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| (e) Professionally prescribed health aids for the | 21 |
| debtor or a dependent of
the debtor;
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| (f) All proceeds payable because of the death of the | 23 |
| insured and the
aggregate net cash value of any or all life | 24 |
| insurance and endowment
policies and annuity contracts | 25 |
| payable to a wife or husband of the insured,
or to a child, | 26 |
| parent, or other person dependent upon the insured, whether
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| the power to change the beneficiary is reserved to the | 28 |
| insured or not and
whether the insured or the insured's | 29 |
| estate is a contingent beneficiary or not;
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| (g) The debtor's right to receive:
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| (1) a social security benefit, unemployment | 32 |
| compensation, or public
assistance benefit;
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SB2291 |
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LRB094 16334 RSP 51585 b |
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| (2) a veteran's benefit;
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| (3) a disability, illness, or unemployment | 3 |
| benefit; and
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| (4) alimony, support, or separate maintenance, to | 5 |
| the extent reasonably
necessary for the support of the | 6 |
| debtor and any dependent of the debtor.
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| (h) The debtor's right to receive, or property that is | 8 |
| traceable to:
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| (1) an award under a crime victim's reparation law;
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| (2) a payment on account of the wrongful death of | 11 |
| an individual of whom
the debtor was a dependent, to | 12 |
| the extent reasonably necessary for the support
of the | 13 |
| debtor;
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| (3) a payment under a life insurance contract that | 15 |
| insured the life of
an individual of whom the debtor | 16 |
| was a dependent, to the extent reasonably
necessary for | 17 |
| the support of the debtor or a dependent of the debtor;
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| (4) a payment, not to exceed $15,000 in value, on | 19 |
| account
of personal
bodily injury of the debtor or an | 20 |
| individual of whom the debtor was a
dependent; and
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| (5) any restitution payments made to persons | 22 |
| pursuant to the federal
Civil Liberties Act of 1988 and | 23 |
| the Aleutian and Pribilof Island
Restitution Act, P.L. | 24 |
| 100-383.
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| For purposes of this subsection (h), a debtor's right | 26 |
| to receive an award
or payment shall be exempt for a | 27 |
| maximum of 2 years after the debtor's right
to receive the | 28 |
| award or payment accrues; property traceable to an
award or | 29 |
| payment shall be exempt for a maximum of 5 years after the | 30 |
| award
or payment accrues; and an award or payment and | 31 |
| property traceable
to an award or payment shall be exempt | 32 |
| only to the extent of the amount
of the award or payment, | 33 |
| without interest or appreciation from the date
of the award | 34 |
| or payment.
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| (i) The debtor's right to receive an award under Part | 36 |
| 20 of Article II of
this Code relating to crime victims' |
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LRB094 16334 RSP 51585 b |
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| awards.
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| (j) Moneys held in an account invested in the Illinois | 3 |
| College Savings Pool of which the debtor is a participant | 4 |
| or donor, except the following non-exempt contributions: | 5 |
| (1) any contribution to such account by the debtor | 6 |
| as participant or donor that is made with the actual | 7 |
| intent to hinder, delay, or defraud any creditor of the | 8 |
| debtor; | 9 |
| (2) any contributions to such account by the debtor | 10 |
| as participant during the 365 day period prior to the | 11 |
| date of filing of the debtor's petition for bankruptcy | 12 |
| that, in the aggregate during such period, exceed the | 13 |
| amount of the annual gift tax exclusion under Section | 14 |
| 2503(b) of the Internal Revenue Code of 1986, as | 15 |
| amended, in effect at the time of contribution; or | 16 |
| (3) any contributions to such account by the debtor | 17 |
| as participant during the period commencing 730 days | 18 |
| prior to and ending 366 days prior to the date of | 19 |
| filing of the debtor's petition for bankruptcy that, in | 20 |
| the aggregate during such period, exceed the amount of | 21 |
| the annual gift tax exclusion under Section 2503(b) of | 22 |
| the Internal Revenue Code of 1986, as amended, in | 23 |
| effect at the time of contribution. | 24 |
| For purposes of this subsection (j), "account" | 25 |
| includes all accounts for a particular designated | 26 |
| beneficiary, of which the debtor is a participant or donor.
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| Money due the debtor from the sale of any personal property | 28 |
| that was
exempt from judgment, attachment, or distress for rent | 29 |
| at the
time of the sale is exempt from attachment and | 30 |
| garnishment to the same
extent that the property would be | 31 |
| exempt had the same not been sold by
the debtor.
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| If a debtor owns property exempt under this Section and he | 33 |
| or she purchased
that property with the intent of converting | 34 |
| nonexempt property into exempt
property or in fraud of his or | 35 |
| her creditors, that property shall not be
exempt from judgment, | 36 |
| attachment, or distress for rent. Property acquired
within 6 |
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| months of the filing of the petition for bankruptcy shall be | 2 |
| presumed
to have been acquired in contemplation of bankruptcy.
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| The personal property exemptions set forth in this Section | 4 |
| shall apply
only to individuals and only to personal property | 5 |
| that is used for personal
rather than business purposes. The | 6 |
| personal property exemptions set forth
in this Section shall | 7 |
| not apply to or be allowed
against any money, salary, or wages | 8 |
| due or to become due to the debtor that
are required to be | 9 |
| withheld in a wage
deduction proceeding under Part 8 of this
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| Article XII.
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| (Source: P.A. 94-293, eff. 1-1-06.)
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