Illinois General Assembly - Full Text of Public Act 096-0645

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Public Act 096-0645

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Public Act 0645 96TH GENERAL ASSEMBLY

Public Act 096-0645

SB2111 Enrolled LRB096 07715 RPM 17816 b

    AN ACT concerning insurance.

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

    Section 5. The Title Insurance Act is amended by adding
Section 26 as follows:

    (215 ILCS 155/26 new)
    Sec. 26. Settlement funds.
    (a) A title insurance company, title insurance agent, or
independent escrowee shall not make disbursements in
connection with any escrows, settlements, or closings out of a
fiduciary trust account or accounts unless the funds in the
aggregate amount of $50,000 or greater received from any single
party to the transaction are good funds as defined in
paragraphs (2), (6), or (7) of subsection (c) of this Section;
or are collected funds as defined in subsection (d) of this
Section.
    (b) A title insurance company or title insurance agent
shall not make disbursements in connection with any escrows,
settlements, or closings out of a fiduciary trust account or
accounts unless the funds in the amount of less than $50,000
received from any single party to the transaction are collected
funds or good funds as defined in subsection (c) of this
Section.
    (c) "Good funds" means funds in one of the following forms:
        (1) lawful money of the United States;
        (2) wired funds unconditionally held by and credited to
    the fiduciary trust account of the title insurance company,
    the title insurance agent, or independent escrowee;
        (3) cashier's checks, certified checks, bank money
    orders, official bank checks, or teller's checks drawn on
    or issued by a financial institution chartered under the
    laws of any state or the United States and unconditionally
    held by the title insurance company, title insurance agent,
    or independent escrowee;
        (4) a personal check or checks in an aggregate amount
    not exceeding $5,000 per closing, provided that the title
    insurance company, title insurance agent, or independent
    escrowee has reasonable grounds to believe that sufficient
    funds are available for withdrawal in the account upon
    which the check is drawn at the time of disbursement;
        (5) a check drawn on the trust account of any lawyer or
    real estate broker licensed under the laws of any state,
    provided that the title insurance company, title insurance
    agent, or independent escrowee has reasonable grounds to
    believe that sufficient funds are available for withdrawal
    in the account upon which the check is drawn at the time of
    disbursement;
        (6) a check issued by this State, the United States, or
    a political subdivision of this State or the United States;
    or
        (7) a check drawn on the fiduciary trust account of a
    title insurance company or title insurance agent, provided
    that the title insurance company, title insurance agent, or
    independent escrowee has reasonable grounds to believe
    that sufficient funds are available for withdrawal in the
    account upon which the check is drawn at the time of
    disbursement.
    (d) "Collected funds" means funds deposited, finally
settled, and credited to the title insurance company, title
insurance agent, or independent escrowee's fiduciary trust
account.

    Section 99. Effective date. This Act takes effect January
1, 2010.

Effective Date: 1/1/2010

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