Illinois HB 5487 remains the warning shot for MSOs, ABS models and PE-backed law

Holland & Knight’s analysis of Illinois HB 5487 explains that the bill passed the Illinois General Assembly on May 31 and awaits Governor JB Pritzker’s signature. It defines alternative business structures and management services organizations, restricts non-lawyer influence over core legal functions, and bars fee arrangements tied directly or indirectly to law firm fees, revenue or profits. For new-law models, the bill is a reminder that AI, PE and MSO structures will be fought state by state, with ordinary vendor and operations contracts potentially caught in broad drafting.