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Understanding Illinois’ New Settlement Statute

Illinois recently enacted a new settlement statute, with the goal of alleviating some of the hassles of the personal injury practice. 

We’ve all had cases that have settled but still sat on the shelf for weeks or months due to insurance company delays or lien issues. My partner taught me very early on that a plaintiff’s lawyer’s work isn’t nearly done when the case is settled. 

735 ILCS 5/2-2301 to the rescue*

*to the rescue like someone who calls 911, not someone who actually helps beyond that. It’s a nice statute, but it’s not wearing a cape and flying in to save anyone.

So what does the new statute do?

          1. Defendants must tender a release within 14 days of written confirmation of the settlement.

  • Practice point – after a settlement is agreed to orally, confirm it right away in writing or email. That gets the clock ticking.

          2. A settling defendant must pay all sums due within 30 days after the tender of the executed release.

  • Note that “tender” of the release means personal delivery or delivery with return receipt. In other words, drop it off or send it certified mail.

          3. The plaintiff may protect liens/subrogation interests by agreeing to hold the amount of the claimed liens/subrogation interests in his trust account until the lien/subrogation interest is resolved.

  • Why is this important? In theory, it means that if the plaintiff’s attorney sends the defendant a letter (along with the letter confirming settlement if you’re really on the ball) agreeing to protect those third party interests, there should be no need for anyone else’s name to appear on the check. Likewise, a plaintiff’s attorney can get the ball rolling with the settlement check while continuing to negotiate any liens or subrogation interests.

The scuttlebutt at the moment is that some insurance carriers are refusing to abide by the new statute – especially where Medicare is involved. The statute provides for costs and interest if the defendant does not pay in time. Not sure if that provides enough bite to keep the insurance companies from doing what they normally do, but at least it’s another arrow in the quiver. 

(Howard Zimmerle is a trial lawyer concentrating in personal injury, car accidents, medical malpractice and workers compensation. He practices in Davenport, Rock Island, Moline, Bettendorf, and most of Iowa and Illinois. He can be reached at 309-794-1660 or hzimmerle [at] mjwlaw.com)

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So William Shatner is doing ads for a “local” law firm – what does that mean?

A certain firm (I won’t link to them) has been flooding the Iowa airwaves with TV ads featuring William Shatner. We all love Shatner, right? He’s Captain Kirk! He’s Denny Crane! He was on that episode of the Twilight Zone where the Gremlin attacks the plane!

So if this firm could get William Shatner’s support, they must be pretty good, right?

Well, here is William Shatner shilling for some other law firms:

Some firm in Bakersfield California

This one in Virginia

This one in Detroit

You get the idea. There’s a company that cranks these ads out for law firms all over the country. Sometimes they claim to be “local” and say the name of your community when they are in, say, Wisconsin. 

That’s not to say that firms who use these ads are bad lawyers. Or good lawyers. I’m sure some are good, some are bad – all have a good advertising budget.

Just know what’s going on. Do your research when picking a lawyer. 

(Howard Zimmerle is an attorney with Warner & Zimmerle. We have offices in Rock Island Illinois and Davenport Iowa. We don’t claim to have other offices. William Shatner has never said our name, to the best of our knowledge. You can reach us at 309-794-1660 or hzimmerle [at] mjwlaw.com). 

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Warner & Zimmerle Teams Up to Feed Illinois

This is a slightly different blog post today. It’s not legal news or trial tips. It’s a call to action.

Warner & Zimmerle has teamed up with the Illinois State Bar Association to fight hunger in our state through a fundraiser called Lawyers Feeding Illinois. 

An estimated 1.9 million (!!) people are going hungry in the state of Illinois. A $1 donation will provide 5 meals.

The statewide goal is 1 million meals – and we’re trying to do our part.

Click here to donate – even $1 helps!

(Warner & Zimmerle is a law firm in Rock Island, Illinois, helping injured people in Iowa and Illinois. They can be reached at 309-794-1660).

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