Illinois Compiled Statutes

820 ILCS 305/21 (2026)

No payment, claim, award or decision under this Act shall be assignable or subject to any lien, attachment or garnishment, or be held liable in any way for any lien, debt, penalty or damages, except the beneficiary or beneficiaries of a deceased employee who was a member or annuitant under Article 14 of the "Illinois Pension Code" may assign any benefits payable under this Act to the State Employees' Retirement System

✓ current as of May 2026
Find cases: SyfertCases citing this section IL-ILGAilga.gov JustiaChapter on Justia CornellLII Search CasesGoogle Scholar
(820 ILCS 305/21) (from Ch. 48, par. 138.21)
    Sec. 21. No payment, claim, award or decision under this Act shall be assignable or subject to any lien, attachment or garnishment, or be held liable in any way for any lien, debt, penalty or damages, except the beneficiary or beneficiaries of a deceased employee who was a member or annuitant under Article 14 of the "Illinois Pension Code" may assign any benefits payable under this Act to the State Employees' Retirement System. The compensation allowed by any award or decision of the Commission shall be entitled to a preference over the unsecured debts of the employer, wages excepted, contracted after the date of the injury to an employee. A decision or award of the Commission against an employer for compensation under this Act, or a written agreement by an employer to pay such compensation shall, upon the filing of a certified copy of the decision or said agreement, as the case may be, with the recorder of the county, constitute a lien upon all property of the employer within the county, paramount to all other claims or liens, except mortgages, trust deeds, or for wages or taxes. Such liens may be enforced in the manner provided for the foreclosure of mortgages under the laws of this State.
(Source: P.A. 83-358.)

    
Notes of Decisions
Cited in 28 cases (2 in the last 5 years), 1994–2021 · leading case: In re Elena Hernandez, 2020 IL 124661 (Ill. 2021).
In re Elena Hernandez, 2020 IL 124661 (Ill. 2021). · cites it 4× “The reason she did not consult the trustee is that she believed the full amount of the settlement was exempt under section 21 of the Act (820 ILCS 305/21 (West 2016)). That statute provides, in relevant part: -2- “No payment, claim, award or decision under this Act shall be…”
Rosewood Care Ctr., Inc. v. Caterpillar, Inc., 852 N.E.2d 540 (Ill. App. Ct. 2006). · cites it 2× “However, Rosewood is legally incapable of providing such consideration. Cook, as the injured worker, is the only person entitled to receive the workers' compensation benefits, and the Act expressly prohibits the assignment of those payments.”
Wilson v. F.B. McAfoos & Co., 800 N.E.2d 177 (Ill. App. Ct. 2003). · cites it 2× “3d at 523 , held that section 21 of the Workers’ Compensation Act (820 ILCS 305/21 (West 2002)), which prohibits the assignment of the employee’s award, does not prohibit the assignment of the employer’s lien on any compensation paid to the plaintiff by a third-party tortfeasor…”
Dep't of Healthcare & Fam. Servs. Ex Rel. Black v. Bartholomew, 920 N.E.2d 542 (Ill. App. Ct. 2009). · cites it 3× “On January 28, 2008, Frank filed a motion to vacate the part of the trial court’s order requiring payment of past-due support from his settlement, arguing such payment was barred by section 21 of the Illinois Workers’ Compensation Act (Act) (820 ILCS 305/21 (West 2008)), which…”
Gonzalez v. Evanston Fuel & Material Co., 637 N.E.2d 691 (Ill. App. Ct. 1994). · cites it 2× “” (820 ILCS 305/21 (West 1992).) The plaintiff contends that section 21 prohibits an employer from assigning its lien for benefits paid to an injured employee.”
Laverne Williams v. Scott Jaffe, 932 F.3d 602 (7th Cir. 2019). “Otherwise, "where the Illinois legislature has determined that a judgment lien should not be created as to a debtor's interest in particular property, it has provided that the property is 'exempt from judgment,' see 735 ILCS 5/12-1001 (specified personal property), or that it is…”
In re Bullock, 603 B.R. 411 (Bankr. S.D. Ill. 2019). “He also filed an amended Schedule C to claim an exemption in the settlement proceeds pursuant to 820 ILCS 305/21 and 735 ILCS 5/12-1001(b) respectively.”
In Re Lush, 213 B.R. 152 (Bankr. C.D. Ill. 1997). · cites it 2× “820 ILCS 305/21 provides in part as follows: No payment, claim, award or decision under this Act shall be assignable or subject to any lien, attachment or garnishment, or be held liable in any way for any lien, debt, penalty or damages .”
In Re McClure, 175 B.R. 21 (Bankr. N.D. Ill. 1994). “In apparent response to this objection, the debtor amended his schedules to claim that the workers’ compensation action was exempt under a special provision of Illinois law, 820 ILCS 305/21, which contains no dollar limitation.”
In Re Chinosorn, 243 B.R. 688 (Bankr. N.D. Ill. 2000). “To the contrary, where the Illinois legislature has determined that a judgment lien should not be created as to a debtor’s *696 interests in particular property,, it has provided that the property is “exempt from judgment,” 735 ILCS 5/12-901 (estate of homestead); 735 ILCS…”
Illinois Neurospine Inst., P.C. v. Carson, 2017 IL App (1st) 163386 (Ill. App. Ct. 2017). “” 820 ILCS 305/21 (West 2010). Furthermore, under the Health Care Services Lien Act, “[e]very health care professional and health care provider that renders any service in the treatment, care, or maintenance of an injured person, except services rendered under the provisions of…”
In re Yotis, 518 B.R. 481 (Bankr. N.D. Ill. 2014). “To the contrary, where the Illinois legislature has determined that a judgment lien should not be created as to a debt- or’s interests in particular property, it has provided that the property is “exempt from judgment,” 735 ILCS 5/12— 901 (estate of homestead); 735 ILCS…”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.