Bill > SB2221

This bill amends the Probate Act of 1975 to add new restrictions on selling or mortgaging real estate during probate proceedings. Specifically, the bill introduces new language that prevents a court from directing the sale of property if secured creditors cannot be fully satisfied, unless those secured creditors approve accepting partial satisfaction. The bill essentially provides additional protections for creditors by stipulating that if the proceeds from a property sale cannot cover the full amount owed to secured creditors, the sale is not considered necessary for effectively administering the estate. This means that in situations where the property's value is insufficient to pay off all secured debts, the court cannot force a sale without explicit approval from the creditors who would not be fully compensated. The amendment aims to ensure that secured creditors have more control and protection in probate property sales, preventing courts from selling property that would not fully resolve outstanding financial obligations.

Justice

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=2221&GAID=18&DocTypeID=SB&SessionID=114&GA=104