Full Text of SB1215 94th General Assembly
SB1215 94TH GENERAL ASSEMBLY
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94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006 SB1215
Introduced 2/18/2005, by Sen. John J. Cullerton - Emil Jones, Jr. SYNOPSIS AS INTRODUCED: |
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770 ILCS 60/21 |
from Ch. 82, par. 21 |
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Amends the Mechanics Lien Act. Makes a technical change in a
Section concerning a sub-contractor's lien.
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A BILL FOR
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| AN ACT concerning civil law.
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| Be it enacted by the People of the State of Illinois, | 3 |
| represented in the General Assembly:
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| Section 5. The Mechanics Lien Act is amended by changing | 5 |
| Section 21 as follows:
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| (770 ILCS 60/21) (from Ch. 82, par. 21)
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| Sec. 21. Subject to the
the provisions of Section 5, every | 8 |
| mechanic,
worker or other person who shall furnish any | 9 |
| materials, apparatus,
machinery or fixtures, or furnish or | 10 |
| perform services or labor for the
contractor, or shall furnish | 11 |
| any material to be employed in the process
of construction as a | 12 |
| means for assisting in the erection of the building
or | 13 |
| improvement in what is commonly termed form or form work where
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| concrete, cement or like material is used in whole or in part, | 15 |
| shall be
known under this Act as a sub-contractor, and shall | 16 |
| have a lien for the
value thereof, with interest on such amount | 17 |
| from the date the same is
due, from the same time, on the same | 18 |
| property as provided for the
contractor, and, also, as against | 19 |
| the creditors and assignees, and
personal and legal | 20 |
| representatives of the contractor, on the material,
fixtures, | 21 |
| apparatus or machinery furnished, and on the moneys or other
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| considerations due or to become due from the owner under the | 23 |
| original
contract. If the legal effect of any contract between | 24 |
| the owner and
contractor is that no lien or claim may be filed | 25 |
| or maintained by any
one and the waiver is not prohibited by | 26 |
| this Act, such provision shall be
binding; but the only | 27 |
| admissible evidence
thereof as against a sub-contractor or | 28 |
| material man, shall be proof of
actual notice thereof to him | 29 |
| before any labor or material is furnished
by him; or proof that | 30 |
| a duly written and signed stipulation or agreement
to that | 31 |
| effect has been filed in the office of the recorder of
the | 32 |
| county or counties where the house, building or other |
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| improvement is
situated, prior to the commencement of the work | 2 |
| upon such house,
building or other improvement, or within 10 | 3 |
| days after the execution of
the principal contract or not less | 4 |
| than 10 days prior to the contract
of the sub-contractor or | 5 |
| material man. The recorder shall
record the same at length in | 6 |
| the order of time of its reception in books
provided by him for | 7 |
| that purpose, and the recorder shall index
the same, in the | 8 |
| name of the contractor and in the name of the owner, in
books | 9 |
| kept for that purpose, and also in the tract or abstract book | 10 |
| of
the tract, lot, or parcel of land, upon which the house, | 11 |
| building or
other improvement is located, and the recorder | 12 |
| shall receive therefor a fee,
such as is provided for the | 13 |
| recording of instruments in his office. | 14 |
| It shall be the duty of each subcontractor who has | 15 |
| furnished, or is
furnishing, materials or labor for an existing | 16 |
| owner-occupied single
family residence, in order to preserve | 17 |
| his lien, to notify the occupant
either personally or by | 18 |
| certified mail, return receipt requested,
addressed to the | 19 |
| occupant or his agent of the residence within 60 days
from his | 20 |
| first furnishing materials or labor, that he is supplying
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| materials or labor; provided, however, that any notice given | 22 |
| after 60
days by the subcontractor shall preserve his lien, but | 23 |
| only to the
extent that the owner has not been prejudiced by | 24 |
| payments made prior to
receipt of the notice. The notification | 25 |
| shall include a warning to the
owner that before any payment is | 26 |
| made to the contractor, the owner
should receive a waiver of | 27 |
| lien executed by each subcontractor who has
furnished materials | 28 |
| or labor.
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| The notice shall contain the name and address of the | 30 |
| subcontractor or
material man, the date he started to work or | 31 |
| to deliver materials, the
type of work done and to be done or | 32 |
| the type of materials delivered and
to be delivered, and the | 33 |
| name of the contractor requesting the work.
The notice shall | 34 |
| also contain the following warning:
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| "NOTICE TO OWNER
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| The subcontractor providing this notice has performed work |
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| for or
delivered material to your home improvement contractor. | 2 |
| These services or
materials are being used in the improvements | 3 |
| to your residence and entitle
the subcontractor to file a lien | 4 |
| against your residence if the services or
materials are not | 5 |
| paid for by your home improvement contractor. A lien
waiver | 6 |
| will be provided to your contractor when the subcontractor is | 7 |
| paid,
and you are urged to request this waiver from your | 8 |
| contractor when paying
for your home improvements."
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| Such warning shall be in at least 10 point bold face type. | 10 |
| For
purposes of this Section, notice by certified mail is | 11 |
| considered served
at the time of its mailing.
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| In no case, except as hereinafter provided, shall the owner | 13 |
| be
compelled to pay a greater sum for or on account of the | 14 |
| completion of
such house, building or other improvement than | 15 |
| the price or sum
stipulated in said original contract or | 16 |
| agreement, unless payment be
made to the contractor or to his | 17 |
| order, in violation of the rights and
interests of the persons | 18 |
| intended to be benefited by this act: Provided,
if it shall | 19 |
| appear to the court that the owner and contractor
fraudulently, | 20 |
| and for the purpose of defrauding sub-contractors fixed an
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| unreasonably low price in their original contract for the | 22 |
| erection or
repairing of such house, building or other | 23 |
| improvement, then the court
shall ascertain how much of a | 24 |
| difference exists between a fair price for
labor and material | 25 |
| used in said house, building or other improvement,
and the sum | 26 |
| named in said original contract, and said difference shall
be | 27 |
| considered a part of the contract and be subject to a lien. But | 28 |
| where
the contractor's statement, made as provided in Section | 29 |
| 5, shows the
amount to be paid to the sub-contractor, or party | 30 |
| furnishing material,
or the sub-contractor's statement, made | 31 |
| pursuant to Section 22, shows
the amount to become due for | 32 |
| material; or notice is given to the owner,
as provided in | 33 |
| Sections 24 and 25, and thereafter such sub-contract
shall be | 34 |
| performed, or material to the value of the amount named in such
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| statements or notice, shall be prepared for use and delivery, | 36 |
| or
delivered without written protest on the part of the owner |
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| previous to
such performance or delivery, or preparation for | 2 |
| delivery, then, and in
any of such cases, such sub-contractor | 3 |
| or party furnishing or preparing
material, regardless of the | 4 |
| price named in the original contract, shall
have a lien | 5 |
| therefor to the extent of the amount named in such
statements | 6 |
| or notice. In case of default or abandonment by the
contractor, | 7 |
| the sub-contractor or party furnishing material, shall have
and | 8 |
| may enforce his lien to the same extent and in the same manner | 9 |
| that
the contractor may under conditions that arise as provided | 10 |
| for in
section 4 of this Act, and shall have and may exercise | 11 |
| the same rights
as are therein provided for the contractor.
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| Any provision in a contract, agreement, or understanding,
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| when payment from a contractor to a subcontractor or supplier | 14 |
| is
conditioned upon receipt of the payment from any other party | 15 |
| including a
private or public owner, shall not be a defense by | 16 |
| the
party responsible for payment to a claim brought under | 17 |
| Section 21, 22, 23,
or 28 of this Act against the party. For | 18 |
| the purpose of this Section,
"contractor" also includes | 19 |
| subcontractor or supplier. The provisions of
Public Act 87-1180 | 20 |
| shall be construed as
declarative of existing law and not as a | 21 |
| new enactment.
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| (Source: P.A. 87-361; 87-362; 87-895; 87-1180; 88-45.)
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