NOT LEGAL OR FINANCIAL ADVICE
This content is for educational purposes only. Laws change frequently and vary by circumstance. Always consult a licensed attorney in your state before taking any legal action. We are not responsible for any decisions or actions taken based on this information.
Illinois Freelance Invoice Laws
General information about collecting unpaid invoices in Illinois
Last Updated: 2025-01-01 • Always verify with a Illinois attorney
Late Fee Limit
No statutory limit for B2B contracts
Interest Rate
6% per annum (pre-judgment); 9% for judgments
Small Claims Limit
$10,000
Statute of Limitations
10 years for written contracts, 5 years for oral
Additional Context
Late Fees: Late fees must be agreed upon in the contract. Illinois courts enforce reasonable contractual late fees.
Interest: Parties can agree to higher rates. The Illinois Interest Act limits rates to avoid usury claims.
Small Claims: Small claims division in circuit courts. Cook County has a pro se court assistance program.
General Best Practices
These are general suggestions, not legal advice. Consult an attorney for your specific situation.
- ✓ Use written contracts—Illinois gives 10 years to collect on written agreements
- ✓ Specify interest rates and late fees in your contract
- ✓ Send itemized invoices with clear payment deadlines
- ✓ Document all work with written approvals from clients
- ✓ Use certified mail for demand letters
Common Mistakes to Avoid
- ✗ Relying on oral agreements (only 5-year limit)
- ✗ Not specifying interest rates in contracts
- ✗ Missing Cook County's pro se court resources
- ✗ Not sending formal demand letters before filing
- ✗ Ignoring Chicago's unique local rules
When to Consult an Attorney
For invoices over $10,000 or complex disputes involving contract interpretation.
Frequently Asked Questions
What is the statute of limitations for unpaid invoices in Illinois?
Illinois has one of the longest periods: 10 years for written contracts and 5 years for oral agreements. This gives you ample time to pursue collection.
What is the small claims limit in Illinois?
Illinois small claims courts handle disputes up to $10,000. Filing fees range from $60-$200. Cook County offers pro se assistance programs.
What interest rate can I charge on overdue invoices in Illinois?
The pre-judgment statutory rate is 6% per annum. Post-judgment rate is 9%. You can specify higher rates in your contract within usury limits.
How do I file a small claims case in Cook County?
File at the Richard J. Daley Center in Chicago. Cook County has a helpful pro se litigant program that assists self-represented parties through the process.
Do I need a collection license in Illinois?
You can collect your own debts without a license. Third-party collection agencies must be licensed by the Illinois Department of Financial and Professional Regulation.
Sources & References
These are reference sources only. Laws change—verify current statutes before taking action.
- Illinois Interest Act (815 ILCS 205)
- Illinois Code of Civil Procedure (735 ILCS 5)
- Cook County Circuit Court Rules
- Illinois DFPR - Collection Agency Licensing
IMPORTANT LEGAL DISCLAIMER
This is NOT legal or financial advice. The information on this page is provided for general educational and informational purposes only. It is not intended to be, and should not be construed as, legal, financial, or professional advice.
Laws change frequently. State laws, court rules, and regulations are subject to change without notice. The information presented here may not reflect the most current legal developments or may not apply to your specific situation.
Consult a licensed professional. Before taking any action based on the information on this website, you should consult with a licensed attorney in Illinois who can provide advice tailored to your specific circumstances.
No attorney-client relationship. Viewing this information does not create an attorney-client relationship between you and Happy Freelance Life or its creators.
No liability. Happy Freelance Life and its creators disclaim all liability for any actions taken or not taken based on any information on this website. You assume full responsibility for any decisions or actions you take based on this content.
If you need legal help, please contact the Illinois State Bar Association for attorney referrals or a legal aid organization in your area.
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Take the QuizThis information is for educational purposes only and does not constitute legal advice. Consult a licensed Illinois attorney for specific legal guidance. This page was last updated on 2025-01-01. For current legal information, consult the official Illinois state statutes or a licensed Illinois attorney. Happy Freelance Life is not a law firm and does not provide legal services.