Bill Text: IL HB3380 | 2015-2016 | 99th General Assembly | Introduced

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Bill Title: Amends the Mechanics Lien Act. Provides that a statutorily required statement, that the law requires that a contractor submit a sworn statement of persons furnishing labor, services, material, fixtures, apparatus or machinery, forms or form work before any payments are required to be made to the contractor, be provided as part of the contract and as a separate printed statement (instead of "either as part of the contract or as a separate printed statement"). Provides that the contract shall have a space for the contractor and owner to indicate, by initialing, that both parties have read the statement.

Sponsorship: Partisan Bill (Democrat 1)

Status: (Introduced - Dead) 2015-03-27 - Rule 19(a) / Re-referred to Rules Committee [HB3380 Detail]

Download: Illinois-2015-HB3380-Introduced.html

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99TH GENERAL ASSEMBLY State of Illinois 2015 and 2016 HB3380 Introduced , by Rep. Jerry F. Costello, II SYNOPSIS AS INTRODUCED:
770 ILCS 60/5 from Ch. 82, par. 5
Amends the Mechanics Lien Act. Provides that a statutorily required statement, that the law requires that a contractor submit a sworn statement of persons furnishing labor, services, material, fixtures, apparatus or machinery, forms or form work before any payments are required to be made to the contractor, be provided as part of the contract and as a separate printed statement (instead of "either as part of the contract or as a separate printed statement"). Provides that the contract shall have a space for the contractor and owner to indicate, by initialing, that both parties have read the statement.
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A BILL FOR
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AN ACT concerning civil law.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Mechanics Lien Act is amended by changing
Section 5 as follows:
(770 ILCS 60/5) (from Ch. 82, par. 5)
Sec. 5. Statement of persons furnishing labor, services,
material, fixtures, apparatus or machinery, forms or form work
notice to owner of waiver; size of type.
(a) It shall be the duty of the contractor to give the
owner, and the duty of the owner to require of the contractor,
before the owner or his agent, architect, or superintendent
shall pay or cause to be paid to the contractor or to his order
any moneys or other consideration due or to become due to the
contractor, or make or cause to be made to the contractor any
advancement of any moneys or any other consideration, a
statement in writing, under oath or verified by affidavit, of
the names and addresses of all parties furnishing labor,
services, material, fixtures, apparatus or machinery, forms or
form work and of the amounts due or to become due to each.
Merchants and dealers in materials only shall not be required
to make statements required in this Section.
(b) The following shall apply to an owner-occupied

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single-family residence:
(i) Each contractor shall provide the owner or his or
her agent, either as part of the contract and or as a
separate printed statement given before the owner or his
agent makes the first payment for labor, materials,
fixtures, apparatus or machinery, the following:
"THE LAW REQUIRES THAT THE CONTRACTOR SHALL SUBMIT A
SWORN STATEMENT OF PERSONS FURNISHING LABOR, SERVICES,
MATERIAL, FIXTURES, APPARATUS OR MACHINERY, FORMS OR FORM
WORK BEFORE ANY PAYMENTS ARE REQUIRED TO BE MADE TO THE
CONTRACTOR."
The contract shall have a space for the contractor and
the owner to indicate, by initialing, that both parties
have read the statement required under this paragraph (i).
If the owners of the property are persons living together,
the aforesaid statement is conclusively presumed given to
each such owners if given to one of them.
(ii) Each subcontractor who has furnished, or is
furnishing, labor, services, material, fixtures, apparatus
or machinery, forms or form work in order to preserve his
lien, shall notify the occupant either personally or by
certified mail, return receipt requested, addressed to the
occupant or his agent at the residence within 60 days from
his first furnishing labor, services, material, fixtures,
apparatus or machinery, forms or form work, of his
agreement to do so.

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The notice shall contain the name and address of the
subcontractor or material man, the date he started to work
or to deliver materials, the type of work done and to be
done or the type of labor, services, material, fixtures,
apparatus or machinery, forms or form work delivered and to
be delivered, and the name of the contractor requesting the
work. The notice shall also contain the following warning:
"NOTICE TO OWNER
The subcontractor providing this notice has performed
work for or delivered material to your home improvement
contractor. These services or materials are being used in
the improvements to your residence and entitle the
subcontractor to file a lien against your residence if the
labor, services, material, fixtures, apparatus or
machinery, forms or form work are not paid for by your home
improvement contractor. A lien waiver will be provided to
your contractor when the subcontractor is paid, and you are
urged to request this waiver from your contractor when
paying for your home improvements."
(iii) The statement and the notices required by
subdivisions (b)(i) and (b)(ii) of this Section shall be in
at least 10 point boldface type. For purposes of this
Section, notice by certified mail is considered served at
the time of its mailing. Any notice given pursuant to
subdivision (b)(ii) of this Section after 60 days by the
subcontractor, however, shall preserve his or her lien, but

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only to the extent that the owner has not been prejudiced
by payments made before receipt of the notice.
(Source: P.A. 94-627, eff. 1-1-06.)