815 ILCS 121/1
Short title
Short title. This Act may be cited as the Consumer Legal Funding Act. (Source: P.A. 102-987, eff. 5-27-22.)
Illinois Compiled Statutes 815 ILCS 121 — Consumer Legal Funding Act.
Illinois · statute · 815 ILCS 121 · 46 active provisions
815 ILCS 121/5
Definitions
Definitions. As used in this Act: "Advertise" means publishing or disseminating any written, electronic, or printed communication, or any communication by means of recorded telephone messages or transmitted on radio, television, the Internet, or similar communications media, including film strips, motion pictures, and…
815 ILCS 121/10
Contract requirements; right of rescission
Contract requirements; right of rescission. (a) All consumer legal fundings shall meet the following requirements: (1) the contract shall be completely filled in when presented to the consumer for signature with all blanks marked "not applicable", "n/a", or "none"; (2) the contract shall contain, in bold and boxed type…
815 ILCS 121/15
Consumer legal funding company prohibitions
Consumer legal funding company prohibitions. A consumer legal funding company shall not: (1) pay or offer to pay commissions, referral fees, or other forms of consideration to any attorney, law firm, medical provider, chiropractic physician, or physical therapist or any of their employees or agents for referring a cons…
815 ILCS 121/20
Satisfaction of the contract
Satisfaction of the contract. A consumer legal funding company shall require the resolution amount to be set as a predetermined amount, based upon intervals of time from the date of origination of the funding through the date of resolution of the legal claim, and not be determined as a percentage of the recovery from t…
815 ILCS 121/25
Fees
Fees. (a) The fee charged by a consumer legal funding company to the consumer shall be calculated as not more than 18% of the funded amount, assessed on the outset of every 6 months. (b) In addition, a consumer legal funding company may charge a document preparation fee not to exceed $75, which may be deducted from the…
815 ILCS 121/30
Disclosures
Disclosures. All consumer legal funding contracts shall contain the disclosures specified in this Section, which shall constitute material terms of the contract. Unless otherwise specified, the disclosures shall be typed in at least 12-point bold-type font and be placed clearly and conspicuously within the contract as…
815 ILCS 121/35
Violations
Violations. (a) Nothing in this Act shall be construed to restrict the exercise of powers or the performance of the duties of the Illinois Attorney General that he or she is authorized to exercise or perform by law. (b) Any violation of this Act constitutes a violation of the Consumer Fraud and Deceptive Business Pract…
815 ILCS 121/40
Assignability; liens
Assignability; liens. (a) The contingent right to receive an amount of the potential proceeds of a legal claim is assignable by a consumer. (b) Only liens related to the legal claim, including attorney's liens, Medicare, or other statutory liens, shall take priority over any lien of the consumer legal funding company.…
815 ILCS 121/45
Attorney prohibitions
Attorney prohibitions. An attorney or law firm retained by the consumer in the legal claim shall not have a financial interest in the consumer legal funding company offering consumer legal funding to that consumer. Additionally, any attorney who has referred the consumer to the consumer's retained attorney shall not ha…
815 ILCS 121/50
Effect of communication on privileges
Effect of communication on privileges. No communication between the consumer's attorney in the legal claim and the consumer legal funding company as it pertains to the consumer legal funding shall limit, waive, or abrogate the scope or nature of any statutory or common law privilege, including the work product doctrine…
815 ILCS 121/55
Consumer legal funding license scope
Consumer legal funding license scope. (a) It shall be unlawful for any person or entity to operate as a consumer legal funding company in this State except as authorized by this Act and without first having obtained a license in accordance with this Act. No person or entity may engage in any device, subterfuge, or pret…
815 ILCS 121/60
Licensee name
Licensee name. No person, partnership, association, corporation, limited liability company, or other entity engaged in a business regulated by this Act shall operate the business under a name other than the real names of the entity and individuals conducting the business. The business may in addition operate under an a…
815 ILCS 121/65
License application process; investigation
License application process; investigation. (a) The Secretary may issue a license upon completion of all of the following: (1) the filing of an application for a license with the Secretary or the Nationwide Multistate Licensing System and Registry as required by the Secretary; (2) the filing with the Secretary of a lis…
815 ILCS 121/70
License application form
License application form. (a) An application for a consumer legal funding company license must be made in accordance with Section 65 and, if applicable, in accordance with requirements of the Nationwide Multistate Licensing System and Registry. The application shall be in writing, under oath, and on a form obtained fro…
815 ILCS 121/75
License application; Nationwide Multistate Licensing System and Registry
License application; Nationwide Multistate Licensing System and Registry. (a) Applicants for a license shall apply in a form prescribed by the Secretary. Each form shall contain content as set forth by rule, regulation, instruction, or procedure of the Department and may be changed or updated as necessary by the Depart…
815 ILCS 121/80
Averments of applicant
Averments of applicant. Each application for license shall be accompanied by the following averments stating that the applicant: (1) will file with the Secretary or Nationwide Multistate Licensing System and Registry, as applicable, any report or reports that it is required to file under any of the provisions of this A…
815 ILCS 121/85
Refusal to issue license
Refusal to issue license. The Secretary may refuse to issue or renew a license if: (1) it is determined that the applicant is not in compliance with any provisions of this Act; (2) there is substantial continuity between the applicant and any violator of this Act; or (3) the Secretary cannot make the findings specified…
815 ILCS 121/90
Closing of business; surrender of license
Closing of business; surrender of license. At least 10 days before a licensee ceases operations, closes business, or files for bankruptcy: (1) The licensee shall notify the Department of its action in writing. (2) With the exception of filing for bankruptcy, the licensee shall surrender its license to the Secretary for…
815 ILCS 121/95
License renewal; fees
License renewal; fees. (a) Licenses shall be renewed every year using the common renewal date of the Nationwide Multistate Licensing System and Registry, as required by the Secretary. Properly completed renewal application forms and filing fees may be received by the Secretary 60 days before the license expiration date…
815 ILCS 121/100
Secretary of Financial and Professional Regulation; functions and powers
Secretary of Financial and Professional Regulation; functions and powers. The functions and powers of the Secretary shall include the following: (1) to issue or refuse to issue any license as provided by this Act; (2) to revoke or suspend for cause any license issued under this Act; (3) to keep records of all licenses…
815 ILCS 121/105
Other businesses
Other businesses. (a) Upon application by the licensee and payment of a $500 fee, the Secretary may approve the conduct of other businesses not specifically permitted by this Act in the licensee's place of business, unless the Secretary finds that such conduct will conceal or facilitate evasion or violation of this Act…
815 ILCS 121/110
Financial Institution Fund
Financial Institution Fund. All moneys received by the Secretary under this Act in conjunction with the provisions relating to consumer legal funding companies shall be paid into the Financial Institution Fund and all expenses incurred by the Secretary under this Act in conjunction with the provisions relating to consu…
815 ILCS 121/115
Examination; prohibited activities
Examination; prohibited activities. (a) The business affairs of a licensee under this Act shall be examined for compliance with this Act as often as the Secretary deems necessary and proper. The Department may adopt rules with respect to the frequency and manner of examination. The Secretary shall appoint a suitable pe…
815 ILCS 121/120
Judicial review
Judicial review. All final administrative decisions of the Department under this Act, all amendments and modifications of final administrative decisions, and any rules adopted by the Department pursuant to this Act shall be subject to judicial review pursuant to the provisions of the Administrative Review Law. (Source:…
Page 1 of 2Next →