Liens

• Library: Guide to Illinois Statutes of Limitations and Repose (2018 Ed.)

LIENS

A. AGRICULTURE (See also Secured Transactions)

1. Stallions and Jacks—Claim for Lien after Service

770 ILCS 100/2: Claim for lien—Filing with recorder.

Within 24 months after a mare or jennet has been served by a stallion or jack, the owner of the stallion or jack must record a claim of lien on the mare, jennet, or offspring.

The claim of lien must include the name and residence of the claimant, the name of the owner of the animals served or born, a description of the animals sufficient for identification, and the amount due.

An action to foreclose the lien must be brought within 30 months from the date of the service.

2. Horseshoer's Liens—Filing Claim

CAVEAT: These Guidelines are not a substitute for the statutory examination that is needed in considering a statute of limitations problem. We recommend such research. — Editors

770 ILCS 30/2, 30/3: Lien upon animal shod—When does not attach—Expiration

Every person or authorized agent who shoes a horse, mule, ox, or other animal has a lien on the animal for the reasonable charge for those services. A claim for lien must be filed within 6 months of the shoeing to preserve the lien. The claim for lien expires and becomes void if an action is not brought to foreclose within 3 days after filing.

B. LIENS FOR LABOR AND STORAGE (See also Secured Transactions)

1. Liens for Labor and Storage—Limitations

770 ILCS 45/1: Lien on chattels for labor— Commencement—Amount

Any person who has expended labor or materials or furnished storage for any chattel at the request of its owner, reputed owner, or agent has a lien on the chattel. The liens begin on the date of commencement of labor or storage for the contract price or reasonable worth. The lien continues for 1 year from the date of completion of the labor or storage. The fact that possession of the chattel has been surrendered to the owner is irrelevant.

2. Liens for Labor and Storage—Notice

770 ILCS 45/2: Expiration of lien—Lien notice

A claimant must record a lien notice within 60 days from the date of delivery of the chattel to the owner or agent or the lien will cease.

C. LIENS FOR LABOR AND STORAGE (UNDER $2,000)

1. Sale Unless Redeemed

770 ILCS 50/2: Public sale unless redeemed within 90 days

Unless the chattel is redeemed within 90 days of completion of the expenditure of labor or services or furnishing of storage, or within 90 days of the date agreed upon for redemption, the lien may be enforced by a commercially reasonable public or private sale.

2. Notice of Sale

770 ILCS 50/3: Sale—Notice

A sale may be held only after two separate 30 day notices. One notice is by publication of the time and place of the sale in a newspaper of general circulation in the area. The other is by certified mail addressed to the person requesting or consenting to the expenditure of labor or services or the furnishing of the storage.

3. Time of Sale

770 ILCS 50/4: Time of sale

If the chattel is not redeemed within 30 days after the publication of the notice of sale, the lienor may sell the articles at a commercially reasonable public or private sale. The owner may reclaim the proceeds in excess of expenses within 6 months from the lienor and thereafter within 3 years from the county treasurer.

D. SECURED TRANSACTIONS (UCC ARTICLE 9)

1. Financing Statements

810 ILCS 5/9-515: Duration and effectiveness of financing statement; effect of lapsed financing statement.

(a) Five-year effectiveness. Except as otherwise provided in subsections (b), (e), (f), and (g), a filed financing statement is effective for a period of five years after the date of filing.

(b) Public-finance or manufactured-home transaction. Except as otherwise provided in subsections (e), (f), and (g), an initial financing statement filed in connection with a public-finance transaction or manufactured-home transaction is effective for a period of 30 years after the date of filing if it indicates that it is filed in connection with a public-finance transaction or manufactured-home transaction.

(c) Lapse and continuation of financing statement. The effectiveness of a filed financing statement lapses on the expiration of the period of its effectiveness unless before the lapse a continuation statement is filed pursuant to subsection (d). Upon lapse, a financing statement ceases to be effective and any security interest or agricultural lien that was perfected by the financing statement becomes, unless the security interest is perfected otherwise. If the security interest or agricultural lien becomes unperfected upon lapse, it is deemed never to have been perfected as against a purchaser of the collateral for value.

(d) When continuation statement may be filed. A continuation statement may be filed only within six months before the expiration of the five-year period specified in subsection (a) or the 30-year period specified in subsection (b), whichever is applicable.

(e) Effect of filing continuation statement. Except as otherwise provided in section 9-510, upon timely filing of a continuation statement, the effectiveness of the initial financing statement continues for a period of five years commencing on the day on which the financing statement would have become ineffective in the absence of the filing. Upon the expiration of the five-year period, the financing statement lapses in the same manner as provided in subsection (c), unless, before the lapse, another continuation statement is filed pursuant to subsection (d). Succeeding continuation statements may be filed in the same manner to continue the effectiveness of the initial financing statement.

(f) Transmitting utility financing statement. If a debtor is a transmitting utility and a filed financing statement so indicates, the financing statement is effective until a termination statement is filed.

(g) Record of mortgage as financing statement. A record of a mortgage that is effective as a financing statement filed as a fixture filing under section 9-502(c) remains effective as a financing statement filed as a fixture filing until the mortgage is released or satisfied of record or its effectiveness otherwise terminates as to the...