Stop-Notice - Illinois

ILLINOIS SUBCONTRACTOR NOTICE OF CLAIM

770 ILCS 60/24 — Private Improvement

This document is a statutory notice of claim. It is not a recorded claim for lien, a contract amendment, a lender injunction, or a demand for a segregated account.

1. USE GATE

☐ The project is a privately owned Illinois improvement.

☐ Claimant furnished labor, materials, fixtures, apparatus, machinery, or services under a contract with a contractor rather than directly with the owner.

☐ Counsel confirmed claimant's tier and that § 24 is the correct notice route.

☐ The owner of record and any known lending agency have been identified.

☐ The notice is being sent no later than 90 days after claimant's completion of the contract, extra work, or final delivery of extra material, as applicable.

Do not use this form for:

• a public improvement or public-construction bond claim;
• a direct contractor's recorded lien claim;
• a federal project;
• a payment demand governed only by contract; or
• an owner-occupied single-family project without also reviewing the separate § 21(c) notice.

2. OWNER-OCCUPIED SINGLE-FAMILY CHECK

For an existing owner-occupied single-family residence, § 21(c) requires a separate notice to the occupant within 60 days after first furnishing to preserve the subcontractor's lien. That notice has required factual content and a statutory warning in at least 10-point boldface type.

☐ Project is not an existing owner-occupied single-family residence.

☐ Project is covered; the separate § 21(c) notice was served on [__/__/____].

☐ The § 21(c) deadline or content is disputed; counsel instruction: [________________________________].

3. NOTICE

Date: [__/__/____]

To — Owner of Record:

Name: [________________________________]

Address: [________________________________]

Copy to — Lending Agency, if known:

Name: [________________________________]

Address: [________________________________]

From — Claimant:

Name: [________________________________]

Entity / trade: [________________________________]

Address: [________________________________]

Telephone / email: [________________________________]

Contractor who engaged Claimant:

Name: [________________________________]

Address: [________________________________]

Statutory Notice of Claim

You are hereby notified that Claimant was employed by [CONTRACTOR NAME] to:

[Describe the contract, work performed or to be performed, materials supplied or to be supplied, and the basis of the claim.]

[____________________________________________________________]

[____________________________________________________________]

The work or materials concern the improvement at:

Street address: [________________________________]

County: [________________________________], Illinois

Substantial property description: [________________________________]

There is due, or is to become due, to Claimant the sum of:

$[________________________________]

Claimant states that this notice is provided under 770 ILCS 60/24. The amount above excludes any sum that counsel has not determined may lawfully be included in the notice.

Signed at [________________________________], Illinois, on [__/__/____].

CLAIMANT

By: [________________________________]

Name: [________________________________]

Title / capacity: [________________________________]

4. OPTIONAL CLAIM DETAIL

Attachments:

☐ Contract / purchase order

☐ Invoices

☐ Delivery tickets

☐ Change orders

☐ Payment ledger

☐ Other: [________________________________]

5. SERVICE RECORD

Section 24 permits registered or certified mail with return receipt requested, a nationally recognized delivery company with tracking service, or personal service. Notice is considered served when placed with the delivery service or in the mail.

Owner

☐ Registered mail

☐ Certified mail, return receipt requested

☐ Nationally recognized delivery company with tracking

☐ Personal service

Date placed with carrier / personally served: [__/__/____]

Tracking or service details: [________________________________]

Known Lending Agency

☐ No lending agency known after documented inquiry.

☐ Registered mail

☐ Certified mail, return receipt requested

☐ Nationally recognized delivery company with tracking

☐ Personal service

Date placed with carrier / personally served: [__/__/____]

Tracking or service details: [________________________________]

Service completed by: [________________________________]

Signature: [________________________________] Date: [__/__/____]

Do not use a penalty-of-perjury declaration unless counsel supplies the required language and confirms its use.

6. STATUTORY EFFECT AND LIMITS

After the owner or owner's agent is notified as the Act provides, § 27 directs the owner to retain from money due or to become due to the contractor an amount sufficient for notified claims. Wage claims are paid first, qualifying tradesmen, materialmen, and subcontractors share pro rata, and any balance goes to the contractor.

This notice does not:

• compel a lending agency to create or segregate a reserve;
• add 15% or any other contingency to the claim;
• itself record or perfect a lien claim;
• create a private cure period, default, indemnity, liability cap, force-majeure rule, or automatic injunction;
• guarantee payment or attorney's fees; or
• substitute for a complaint, recorded lien claim, or court order.

If qualifying money remains unpaid 10 days after notice, § 28 describes available lien and joint-action routes subject to the Act's conditions and time limits. Counsel must decide the next step.

7. DEADLINE AND NEXT-ACTION WORKSHEET

Section 7 uses a four-month rule for protection against creditors, encumbrancers, and purchasers. Section 9 uses a two-year suit or counterclaim period. Do not calculate either deadline from this form without counsel review of completion, extra work, claimant status, and the specific remedy.

8. RECORDED LIEN AND LITIGATION GATE

Before recording or suing, counsel must confirm:

☐ Claimant's status and lienable work

☐ Contract chain and owner authorization

☐ Correct completion / last-furnishing date

☐ § 21(c) compliance where applicable

☐ § 24 recipients, timing, content, and service

☐ Required verified claim contents

☐ Recorder county and property description

☐ Parties and venue for any circuit-court action

☐ Amount available under the owner-contractor fund limitation and other perfected claims

☐ Section 17 fee exposure: an award is discretionary and requires the statute's specific finding

9. BOND SUBSTITUTION

Do not request a private bond delivery in this notice.

Section 38.1 uses a petition filed with the circuit-court clerk. The eligible bond amount is 175% of the lien claim. Use a separate counsel-drafted petition and follow every remaining § 38.1 requirement rather than attempting private bond substitution through this notice.

☐ No bond-substitution issue.

☐ Counsel will prepare a separate § 38.1 petition.

☐ A § 38.1 petition is pending in Case No. [________________________________].

10. COUNSEL REVIEW

Attorney: [________________________________]

Illinois ARDC No.: [________________________________]

Signature: [________________________________] Date: [__/__/____]

Official Sources

• Illinois Mechanics Lien Act: https://www.ilga.gov/Legislation/ILCS/Articles?ActID=2254&ChapterID=63&Print=True
• Section 7: https://www.ilga.gov/documents/legislation/ilcs/documents/077000600K7.htm
• Section 9: https://www.ilga.gov/documents/legislation/ilcs/documents/077000600K9.htm
• Section 17: https://www.ilga.gov/documents/legislation/ilcs/documents/077000600K17.htm
• Section 24: https://www.ilga.gov/documents/legislation/ilcs/documents/077000600K24.htm
• Section 27: https://www.ilga.gov/documents/legislation/ilcs/documents/077000600K27.htm
• Section 28: https://www.ilga.gov/documents/legislation/ilcs/documents/077000600K28.htm
• Section 38.1: https://www.ilga.gov/documents/legislation/ilcs/documents/077000600K38.1.htm