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Illinois General Assembly· SB 328Governor Approved

CIVIL LAW-TECH, the official text

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SB0328 Enrolled                     LRB104 06446 JRC 16482 b

1   AN ACT concerning civil law.

2   Be it enacted by the People of the State of Illinois,

3 represented in the General Assembly:

4   Section 5. The Code of Civil Procedure is amended by

5 changing Section 2-209 as follows:

6   (735 ILCS 5/2-209) (from Ch. 110, par. 2-209)

7   Sec. 2-209. Act submitting to jurisdiction - Process.

8   (a) Any person, whether or not a citizen or resident of

9 this State, who in person or through an agent does any of the

10 acts hereinafter enumerated, thereby submits such person, and,

11 if an individual, his or her personal representative, to the

12 jurisdiction of the courts of this State as to any cause of

13 action arising from the doing of any of such acts:

14  (1) The transaction of any business within this State;

15  (2) The commission of a tortious act within this

16  State;

17  (3) The ownership, use, or possession of any real

18  estate situated in this State;

19  (4) Contracting to insure any person, property or risk

20  located within this State at the time of contracting;

21  (5) With respect to actions of dissolution of

22  marriage, declaration of invalidity of marriage and legal

23  separation, the maintenance in this State of a matrimonial
    SB0328 Enrolled        -2-  LRB104 06446 JRC 16482 b

1   domicile at the time this cause of action arose or the

2   commission in this State of any act giving rise to the

3   cause of action;

4   (6) With respect to actions brought under the Illinois

5   Parentage Act of 1984, as now or hereafter amended, or

6   under the Illinois Parentage Act of 2015 on and after the

7   effective date of that Act, the performance of an act of

8   sexual intercourse within this State during the possible

9   period of conception;

10  (7) The making or performance of any contract or

11  promise substantially connected with this State;

12  (8) The performance of sexual intercourse within this

13  State which is claimed to have resulted in the conception

14  of a child who resides in this State;

15  (9) The failure to support a child, spouse or former

16  spouse who has continued to reside in this State since the

17  person either formerly resided with them in this State or

18  directed them to reside in this State;

19  (10) The acquisition of ownership, possession or

20  control of any asset or thing of value present within this

21  State when ownership, possession or control was acquired;

22  (11) The breach of any fiduciary duty within this

23  State;

24  (12) The performance of duties as a director or

25  officer of a corporation organized under the laws of this

26  State or having its principal place of business within
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1   this State;

2       (13) The ownership of an interest in any trust

3   administered within this State; or

4       (14) The exercise of powers granted under the

5   authority of this State as a fiduciary.

6   (b) A court may exercise general jurisdiction in any

7 action arising within or without this State against any person

8 who:

9       (1) Is a natural person present within this State when

10  served;

11      (2) Is a natural person domiciled or resident within

12  this State when the cause of action arose, the action was

13  commenced, or process was served;

14      (3) Is a corporation organized under the laws of this

15  State or having its principal place of business in this

16  State; or

17      (4) Is a natural person or corporation doing business

18  within this State; or

19      (5) Is a foreign business corporation that has

20  consented to general jurisdiction in this State in

21  accordance with subsection (b) of Section 13.20 or

22  subsection (c-5) of Section 13.70 of the Business

23  Corporation Act of 1983, but only if (i) the action

24  alleges injury or illness resulting from exposure to a

25  substance defined as toxic under the Uniform Hazardous

26  Substances Act of Illinois, whether the cause of action
    SB0328 Enrolled  -4-              LRB104 06446 JRC 16482 b

1   arises within or without this State, and (ii) jurisdiction

2   is proper as to one or more named co-defendants under

3   subsection (a) of this Section.

4   (b-5) Foreign defamation judgment. The courts of this

5 State shall have personal jurisdiction over any person who

6 obtains a judgment in a defamation proceeding outside the

7 United States against any person who is a resident of Illinois

8 or, if not a natural person, has its principal place of

9 business in Illinois, for the purposes of rendering

10 declaratory relief with respect to that resident's liability

11 for the judgment, or for the purpose of determining whether

12 said judgment should be deemed non-recognizable pursuant to

13 this Code, to the fullest extent permitted by the United

14 States Constitution, provided:

15  (1) the publication at issue was published in

16  Illinois, and

17  (2) that resident (i) has assets in Illinois which

18  might be used to satisfy the foreign defamation judgment,

19  or (ii) may have to take actions in Illinois to comply with

20  the foreign defamation judgment.

21  The provisions of this subsection (b-5) shall apply to

22 persons who obtained judgments in defamation proceedings

23 outside the United States prior to, on, or after the effective

24 date of this amendatory Act of the 95th General Assembly.

25  (c) A court may also exercise jurisdiction on any other

26 basis now or hereafter permitted by the Illinois Constitution
   SB0328 Enrolled  -5-                 LRB104 06446 JRC 16482 b

1 and the Constitution of the United States.

2  (d) Service of process upon any person who is subject to

3 the jurisdiction of the courts of this State, as provided in

4 this Section, may be made by personally serving the summons

5 upon the defendant outside this State, as provided in this

6 Act, with the same force and effect as though summons had been

7 personally served within this State.

8  (e) Service of process upon any person who resides or

9 whose business address is outside the United States and who is

10 subject to the jurisdiction of the courts of this State, as

11 provided in this Section, in any action based upon product

12 liability may be made by serving a copy of the summons with a

13 copy of the complaint attached upon the Secretary of State.

14 The summons shall be accompanied by a $5 fee payable to the

15 Secretary of State. The plaintiff shall forthwith mail a copy

16 of the summons, upon which the date of service upon the

17 Secretary is clearly shown, together with a copy of the

18 complaint to the defendant at his or her last known place of

19 residence or business address. Plaintiff shall file with the

20 circuit clerk an affidavit of the plaintiff or his or her

21 attorney stating the last known place of residence or the last

22 known business address of the defendant and a certificate of

23 mailing a copy of the summons and complaint to the defendant at

24 such address as required by this subsection (e). The

25 certificate of mailing shall be prima facie evidence that the

26 plaintiff or his or her attorney mailed a copy of the summons
    SB0328 Enrolled  -6-               LRB104 06446 JRC 16482 b

1 and complaint to the defendant as required. Service of the

2 summons shall be deemed to have been made upon the defendant on

3 the date it is served upon the Secretary and shall have the

4 same force and effect as though summons had been personally

5 served upon the defendant within this State.

6   (f) Only causes of action arising from acts enumerated

7 herein may be asserted against a defendant in an action in

8 which jurisdiction over him or her is based upon subsection

9 (a).

10  (g) Nothing herein contained limits or affects the right

11 to serve any process in any other manner now or hereafter

12 provided by law.

13 (Source: P.A. 99-85, eff. 1-1-16.)

14  Section 10. The Business Corporation Act of 1983 is

15 amended by changing Sections 13.20 and 13.70 as follows:

16  (805 ILCS 5/13.20) (from Ch. 32, par. 13.20)

17  Sec. 13.20. Effect of authority.

18  (a) Upon the filing of the application for authority by

19 the Secretary of State, the corporation shall have the right

20 to transact business in this State for those purposes set

21 forth in its application, subject, however, to the right of

22 this State to revoke such right to transact business in this

23 State as provided in this Act.

24  (b) A corporation that obtains or continues to maintain
    SB0328 Enrolled  -7-                 LRB104 06446 JRC 16482 b

1 the right to transact business in this State consents to the

2 exercise of general jurisdiction by the courts of this State

3 in accordance with paragraph (5) of subsection (b) of Section

4 2-209 of the Code of Civil Procedure.

5   A corporation consents to general jurisdiction in

6 accordance with paragraph (5) of subsection (b) of Section

7 2-209 of the Code of Civil Procedure upon registering to do

8 business in this State at any time following the effective

9 date of this amendatory Act of the 104th General Assembly.

10  A corporation that has previously registered to do

11 business in this State consents to general jurisdiction in

12 accordance with paragraph (5) of subsection (b) of Section

13 2-209 of the Code of Civil Procedure upon the next date after

14 the effective date of this amendatory Act of the 104th General

15 Assembly on which the filing of its annual report in

16 accordance of Section 14.05 is due, regardless of whether or

17 not it then files its annual report.

18  Consent to such general jurisdiction terminates upon, and

19 only upon, formal withdrawal from this State.

20 (Source: P.A. 92-33, eff. 7-1-01.)

21  (805 ILCS 5/13.70) (from Ch. 32, par. 13.70)

22  Sec. 13.70. Transacting business without authority.

23  (a) No foreign corporation transacting business in this

24 State without authority to do so is permitted to maintain a

25 civil action in any court of this State, until the corporation
    SB0328 Enrolled          -8-    LRB104 06446 JRC 16482 b

1 obtains that authority. Nor shall a civil action be maintained

2 in any court of this State by any successor or assignee of the

3 corporation on any right, claim or demand arising out of the

4 transaction of business by the corporation in this State,

5 until authority to transact business in this State is obtained

6 by the corporation or by a corporation that has acquired all or

7 substantially all of its assets.

8   (b) The failure of a foreign corporation to obtain

9 authority to transact business in this State does not impair

10 the validity of any contract or act of the corporation, and

11 does not prevent the corporation from defending any action in

12 any court of this State.

13  (c) A foreign corporation that transacts business in this

14 State without authority is liable to this State, for the years

15 or parts thereof during which it transacted business in this

16 State without authority, in an amount equal to all fees,

17 franchise taxes, penalties and other charges that would have

18 been imposed by this Act upon the corporation had it duly

19 applied for and received authority to transact business in

20 this State as required by this Act, but failed to pay the

21 franchise taxes that would have been computed thereon, and

22 thereafter filed all reports required by this Act; and, if a

23 corporation fails to file an application for authority within

24 60 days after it commences business in this State, in addition

25 thereto it is liable for a penalty of either 10% of the filing

26 fee, license fee and franchise taxes or $200 plus $5.00 for
    SB0328 Enrolled    -9-                 LRB104 06446 JRC 16482 b

1 each month or fraction thereof in which it has continued to

2 transact business in this State without authority therefor,

3 whichever penalty is greater. The Attorney General shall bring

4 proceedings to recover all amounts due this State under this

5 Section.

6   (c-5) A foreign corporation that transacts business in

7 this State without authority is deemed to have consented to

8 general jurisdiction in accordance with subsection (b) of

9 Section 13.20 to the same extent as if it were registered to do

10 business in this State. Consent to such general jurisdiction

11 commences upon committing an act constituting the transaction

12 of business in this State without authority at any time after

13 the effective date of this amendatory Act of the 104th General

14 Assembly and remains effective for 180 days following the

15 committing of each and every such act.

16  (d) The Attorney General shall bring an action to restrain

17 a foreign corporation from transacting business in this State,

18 if the authority of the foreign corporation to transact

19 business has been revoked under subsection (m) of Section

20 13.50 of this Act.

21 (Source: P.A. 95-515, eff. 8-28-07.)

22  Section 99. Effective date. This Act takes effect upon

23 becoming law.
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