Reproduced with permission from Daily Labor
Report, 155 DLR A-12 (Aug. 14, 2009). Copyright 2009
by The Bureau of National Affairs, Inc.
(800-372-1033) http://www.bna.com

CHICAGO — Gov. Pat Quinn (D) signed legislation Aug. 11 extending legal protections for temporary labor services companies through language permitting the recovery of attorneys' fees in breach of contract disputes.Quinn provided additional support to the industry on the same day by signing a bill permitting labor services companies to seek state-subsidized health insurance for their employees' dependent children.

The governor signed S.B. 1612, which amends the Illinois Day and Temporary Labor Services Act. The new law (Public Act 96-332) specifies that a day and temporary labor services agency can recover attorneys' fees and court costs in a civil action brought against a client for breach of contract. The measure became effective with Quinn's endorsement.

Jeff Kubas, president of the Staffing Services Association of Illinois, said his organization pushed for the legislation to give labor services firms greater leverage as they assert their legal rights against deadbeat customers. He said the new law may become more important during the current period of economic uncertainty.

“Occasionally members of our association run into situations where customers don't pay their bills,” Kubas told BNA. “If they can't recover attorneys' fees, they have to weigh that as one of the risks associated with going to court. This ensures that a judge will award fees when a judgment is determined.”