Illinois House Approves Limits for Lawsuit Appeal Bonds Appeal bond reform would improve fairness in an already abused Illinois court system

Springfield, IL. The Illinois House of Representatives approved legislation today to limit the amount of money a small business, company or defendant being sued would have to post as a bond while appealing a pending lawsuit. Illinois State Representative Dwight Kay (R-Glen Carbon) co-sponsored the legislation under Senate Bill 1355.

Senate Bill 1355 reforms the appeal bond process by establishing a $250 million limit an individual or company (defendant) would be required to post as a bond while a lawsuit is pending. Often times a company posts cash or property to show in good faith they are able to pay the plaintiff if they
lose a lawsuit after an appeal. Currently 38 states have some form of appeal bond reform on the books.

"It is not uncommon for multi-billion dollar verdicts in Illinois courts," said Rep. Dwight Kay. "The appeal process can be costly, especially if the verdict is in the billions. Establishing a limitation for appeal bonds would bring some fairness and balance back to a court system that has been abused. More work must be done to restore fairness back to our court system and this is one step in the right direction."

The State of Illinois currently has no limitation on appeal bonds. For instance, a multi-billion dollar lawsuit for individuals and employers can force a job creator into bankruptcy, resulting in a loss of jobs and may even leave the plaintiff with a valid claim limited compensation depending on the outcome of the verdict.

Senate Bill 1355 passed with 70 voting yes, 40 voting no - and one voting present. The bill is pending approval in the Senate.

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