Full Text of HB4600 102nd General Assembly
HB4600sam001 102ND GENERAL ASSEMBLY | Sen. Cristina Castro Filed: 3/29/2022
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| 1 | | AMENDMENT TO HOUSE BILL 4600
| 2 | | AMENDMENT NO. ______. Amend House Bill 4600 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. If and only if House Bill 5412 of the 102nd | 5 | | General Assembly becomes law, then the Illinois Wage Payment | 6 | | and Collection Act is amended by changing Section 13.5 as | 7 | | follows: | 8 | | (820 ILCS 115/13.5) | 9 | | Sec. 13.5. Primary contractor responsibility for wage
| 10 | | claims in construction industry. | 11 | | (a) For all contracts entered into on or after July 1,
| 12 | | 2022, a primary contractor making or taking a contract in the
| 13 | | State for the erection, construction, alteration, or repair of
| 14 | | a building, structure, or other private work in the State | 15 | | where the aggregate costs of the project exceed $20,000 ,
| 16 | | shall assume, and is liable for, any debt owed to a
claimant |
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| 1 | | under this Section or to a third party on a wage claimant's | 2 | | behalf incurred pursuant to this Act by a subcontractor at
any | 3 | | tier acting under, by, or for the primary contractor for
the | 4 | | wage claimant's performance of labor included in the
subject | 5 | | of the contract between the primary contractor and the
owner. | 6 | | This Section does not apply to work performed by a
contractor | 7 | | of the federal government, the State, a special district, a | 8 | | city, a county,
or any political subdivision of the State. | 9 | | (b) As used in this Section: | 10 | | "Construction" means building, altering, repairing, | 11 | | improving, or demolishing any structure or building or making | 12 | | improvements of any kind to real property. | 13 | | "Primary contractor" means a contractor that has a direct
| 14 | | contractual relationship with a property owner. "Primary
| 15 | | contractor" may have the same meaning as a "general
| 16 | | contractor", "prime contractor", or "construction manager". A | 17 | | property owner
who acts as a primary contractor related to the | 18 | | erection,
construction, alteration, or repair of his or her | 19 | | primary
residence
shall be exempt from liability under this
| 20 | | Section. | 21 | | "Private work" means any erection, construction,
| 22 | | alteration, or repair of a building, structure, or other work. | 23 | | "Subcontractor" means a contractor that has a contractual
| 24 | | relationship with the primary contractor or with another
| 25 | | subcontractor at any tier, who furnishes any goods or services
| 26 | | in connection with the contract between the primary contractor
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| 1 | | and the property owner, but does not include contractors who
| 2 | | solely provide goods and transport of such goods related to
| 3 | | the contract. | 4 | | (c) The primary contractor's liability under this Section
| 5 | | shall extend only to any unpaid wages or fringe or other | 6 | | benefit payments or contributions, including interest owed, | 7 | | penalties assessed by the Department,
and reasonable | 8 | | attorney's fees, but shall not extend to
liquidated damages. | 9 | | (d) A primary contractor or any other person shall not
| 10 | | evade or commit any act that negates the requirements of this
| 11 | | Section. Except as otherwise provided in a contract between
| 12 | | the primary contractor and the subcontractor, the
| 13 | | subcontractor shall indemnify the primary contractor for any
| 14 | | wages, fringe or other benefit payments or contributions, | 15 | | damages, interest, penalties, or attorney's fees owed
as a | 16 | | result of the subcontractor's failure to pay wages or fringe | 17 | | or other benefit payments or contributions
as provided in this | 18 | | Section, unless
the subcontractor's failure to pay was due to | 19 | | the
primary contractor's failure to pay moneys due to the
| 20 | | subcontractor in accordance with the terms of their
| 21 | | contractual relationship. | 22 | | (e) Nothing in this Section shall supersede or modify the | 23 | | obligations and liability that any primary contractor, | 24 | | subcontractor, or property owner may bear as an employer under | 25 | | this Act or any other applicable law. The obligations and | 26 | | remedies provided in this Section shall be in addition to any |
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| 1 | | obligations and remedies otherwise provided by law. Nothing in | 2 | | this Section shall be construed to impose liability on a | 3 | | primary contractor for anything other than unpaid wages, | 4 | | fringe or other benefit payments or contributions, penalties | 5 | | assessed by the Department, interest owed, and reasonable | 6 | | attorney's fees. | 7 | | (f) Claims brought pursuant to this Section shall be done
| 8 | | so in accordance with Section 11 and 11.5 of this Act. Nothing | 9 | | in this Section shall be construed to provide a third party | 10 | | with the right to file a complaint with the Department | 11 | | alleging violation of this Section. | 12 | | (g) The following shall be exempt from liability under | 13 | | this Section: | 14 | | (1) primary contractors who are parties to a | 15 | | collective bargaining agreement on the project where the | 16 | | work is being performed; and | 17 | | (2) primary contractors making or taking a contract in | 18 | | the State for the alteration or repair of an existing | 19 | | single-family dwelling or to a single residential unit in | 20 | | an existing multi-unit structure. Primary contractors who | 21 | | are parties to a collective bargaining agreement on the | 22 | | project where the work is being performed shall be exempt | 23 | | from this Section. | 24 | | (h) Prior to the commencement of any civil action, a | 25 | | claimant or a representative of a claimant shall provide | 26 | | written notice to the employer and to the primary contractor |
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| 1 | | detailing the nature and basis for the claim. Failure of the | 2 | | employer or the primary contractor to resolve the claim within | 3 | | 10 days after receipt of this notice, or during any agreed upon | 4 | | period extending this deadline, may result in the filing of a | 5 | | civil action to enforce the provisions of this Act.
| 6 | | (Source: 10200HB5412eng.)
| 7 | | Section 99. Effective date. This Act takes effect upon | 8 | | becoming law or on the date House Bill 5412 of the 102nd | 9 | | General Assembly takes effect, whichever is later.".
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