215 ILCS 5/190
2021 Illinois Compiled Statutes|Chapter 215 - INSURANCE|215 ILCS 5/ - Illinois Insurance Code.|Article XIII - Rehabilitation, Liquidation, Conservation And Dissolution Of Companies

 (from Ch. 73, par. 802)Sec. 190.     Practice, hearing, order and appeal.(1) The defendant company shall appear within 10 days after the service  of the summons as in this Article provided, exclusive of the day of  service.  If, on the return day of the summons the defendant shall enter its  appearance in the action and apply for further time in which to answer, the  court shall, upon request of the defendant, extend the time for answering  for a period not to exceed 10 days from said return day.  If the defendant  fails to answer on the return day or within the time granted, or fails to  appear, the court shall proceed to hear and determine the cause as herein  provided.(2) The court, on the return day of the summons as originally fixed or  extended hereunder, shall set the cause for hearing on some day not  exceeding 20 days from the return day, or the extended return day as herein  provided.(3) No motions or other pleadings, whether to dissolve, modify or  continue any injunction or otherwise, shall be filed by, or permitted on  behalf of the defendant prior to the filing of an answer to the complaint.  All pleadings shall be filed within the time herein provided.(4) The pleadings and proceedings insofar as not otherwise regulated by  this Article, shall be as in other civil proceedings.(5) Upon the hearing, at which the complaint and any exhibits filed  therewith shall be received as prima facie evidence of the facts therein  recited, the court shall enter an order either dismissing the complaint or  finding that sufficient cause exists for rehabilitation or liquidation and  directing the Director to take possession of the property, business and  affairs of such company and to rehabilitate or liquidate the same as the  case may be.  The Director shall be responsible on his official bond for all  assets coming into his possession.(6) An appeal, if taken from such order, shall be prosecuted on an expedited  basis as provided for in such cases by Illinois Supreme Court Rule 307.(7) A claim for attorneys' fees incurred by the company in contesting its  conservation, rehabilitation, or liquidation may be filed in the proceedings,  and the claim may be allowed upon a showing that (i) the attorneys' fees  incurred are reasonable; (ii) the board of directors of the company incurred  such attorneys' fees based upon their best knowledge, information, and belief  formed after reasonable inquiry indicating such contention is well grounded in  fact and is warranted by existing law or a good faith argument of the  extension, modification, or reversal of existing law; and (iii) the contention  is not pursued for any improper purpose, including harassment, unnecessary  delay in the proceedings, or waste of estate  assets.  Such claims, if allowed, shall be accorded a priority of distribution  under paragraph (g) of subsection (1) of Section 205.  This  subsection (7)  applies to all liquidation, rehabilitation, or conservation proceedings that  are pending on the effective date of this amendatory Act of 1993 and to all  future liquidation, rehabilitation, or conservation proceedings.    (Source: P.A. 88-297; 88-670, eff. 12-2-94; 89-206, eff. 7-21-95.)