Illinois Compiled Statutes
745 ILCS 10/9-104 (2026)
(a) Subject to subsection (b) of this Section, if a local public entity does not pay a tort judgment during the fiscal year in which it becomes final and if, in the opinion of its governing body, the payment of the judgment creates an unreasonable financial hardship for the local public entity it shall pay the balance of the judgment, with interest thereon, in installments
✓ current as of May 2026
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(745 ILCS 10/9-104)
(from Ch. 85, par. 9-104)
Sec. 9-104.
(a) Subject to subsection (b) of this Section, if a local
public entity does not pay a tort judgment
during the fiscal year in which it becomes final and if, in the opinion
of its governing body, the payment of the judgment creates an
unreasonable financial hardship for the local public entity it shall pay
the balance of the judgment, with interest
thereon, in installments.
(b) The court which enters judgment shall order that the governing
body pay the judgment, with interest thereon, in not
exceeding 10 annual installments if both of the following conditions are satisfied:
(1) The governing body of the local public entity has adopted an
ordinance or resolution finding that an unreasonable hardship will result
unless the judgment is paid in installments.
(2) The court, after hearing, has found that payment of the judgment
in installments as ordered by the court is necessary to avoid an
unreasonable hardship.
(c) Each installment payment shall be of an equal portion of the
principal of the judgment except that where a judgment
is $500,000 or more the court may, upon a showing by the
plaintiff of an extraordinary need for immediate funds in order to secure
medical necessities immediately after judgment including, but not limited
to, equipment, supplies, medication, residence or other items, order that
unequal payments of the principal of the judgment be made in
proportions to be determined by the court, but in no event shall any
increase in a payment cause such payment to be greater than 50% of the
judgment. The local public entity, in its discretion, may
prepay any one or more installments or any part of an installment.
(d) A local public entity shall have the power to enter into a
settlement agreement subject to a term not to exceed the period of years
negotiated by the parties.
(Source: P.A. 84-1431.)
Notes of Decisions
Cited in 1
case, 2009–2009 · leading case: Hubble v. Bi-state Dev. Illinois-missouri, 915 N.E.2d 64 (Ill. App. Ct. 2009).
Hubble v. Bi-state Dev. Illinois-missouri, 915 N.E.2d 64 (Ill. App. Ct. 2009). “745 ILCS 10/9-104 (West 2006). Section 9-107 empowers local public entities to levy real estate taxes to cover the cost of insuring or otherwise defending themselves against workers' compensation claims and tort claims for which they are liable under the Tort Immunity Act, as…”
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