Avemco Insurance v. Elliott Aviation Flight Services, Inc.

86 F. Supp. 2d 824, 2000 U.S. Dist. LEXIS 2507, 2000 WL 256152
CourtDistrict Court, C.D. Illinois
DecidedMarch 2, 2000
Docket98-4113
StatusPublished
Cited by2 cases

This text of 86 F. Supp. 2d 824 (Avemco Insurance v. Elliott Aviation Flight Services, Inc.) is published on Counsel Stack Legal Research, covering District Court, C.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Avemco Insurance v. Elliott Aviation Flight Services, Inc., 86 F. Supp. 2d 824, 2000 U.S. Dist. LEXIS 2507, 2000 WL 256152 (C.D. Ill. 2000).

Opinion

*826 ORDER

McDADE, Chief Judge.

I. Preliminary Matters

Before ruling on the merits of the ease, the Court will address Defendant’s Motion to Bar [Doc. # 38].

A. Prejudgment Interest

Since jurisdiction of this action is based on diversity of citizenship, “the availability of prejudgment interest must be determined by reference to state law.” In re Air Crash Disaster Near Chicago, Ill., 644 F.2d 633, 637 (7th Cir.1981). Under Illinois law, prejudgment interest is not allowed unless provided for by statute, or by agreement of the parties. Id. at 637-38. Here, there is no evidence of any agreement regarding prejudgment interest, and Plaintiff has not indicated any statute in support of its claim for such interest.

Further, the Illinois Appellate Court has indicated that § 2 of the Interest Act was not intended to provide for prejudgment interest in tort cases. See Matich v. Gerdes, 193 Ill.App.3d 859, 140 Ill.Dec. 737, 550 N.E.2d 622, 631 (4th Dist. 1990). That court has also specifically held that Illinois does not permit the award of prejudgment interest in a suit for recovery for negligence. See Wilson v. Cherry, 244 Ill.App.3d 632, 184 Ill.Dec. 77, 612 N.E.2d 953, 958 (4th Dist.1993). Accordingly, the Court will grant Defendant’s motion to bar Plaintiffs claim of prejudgment interest.

B. Attorneys’ Fees

Again, since jurisdiction of this action is based on diversity of citizenship, the Court must look to Illinois state.law to evaluate Plaintiffs claim for attorneys’ fees. See Champion Parts, Inc. v. Oppenheimer & Co., 878 F.2d 1003, 1006 (7th Cir.1989) Illinois follows the American Rule. Id. That is, absent a statute or an agreement between the parties, a successful litigant must bear the burden of his or her own attorneys’ fees. Id.

There is an exception to this rule in Illinois. If, as a consequence of the defendant’s negligence, the plaintiff must incur attorneys’ fees, those fees are recoverable as damages. Id. To do so, the plaintiff must show that the attorneys’ fees are the natural consequence of the tortious act by the defendant against the plaintiff. Id. at 1006-07.

However, Sorenson v. Fio Rito, 90 Ill. App.3d 368, 45 Ill.Dec. 714, 413 N.E.2d 47 (1st Dist.1980), makes it clear that attorneys’ fees for the instant law suit are inappropriate: “the policy against awarding attorneys’ fees was intended to apply only where a successful litigant seeks to recover his costs in maintaining the lawsuit.” Sorenson, 45 Ill.Dec. 714, 413 N.E.2d at 51. Thus, it did not prevent Mrs. Sorenson from “recovering losses directly caused by the defendant’s conduct simply because those losses happen[ed] to take the form of attorneys’ fees.” Id. at 52, 45 Ill.Dec. 714. The Sorenson court explained: “The plaintiff here is not attempting to recover the attorneys’ fees she expended in bringing this lawsuit. Rather, she seeks to recover losses incurred in trying to obtain refunds of tax penalties which were assessed against her solely as a result of the defendant’s negligence.” Id. Consequently, Plaintiff may not recover its attorneys’ fees in connection with the proseedtion of this lawsuit. Defendant’s motion to bar same will be allowed.

II. Decision, Findings of Law and Conclusions of Fact

In consideration of the evidence adduced at the trial and the arguments and legal memoranda of the parties, the Court has made certain Findings of Fact and Conclusions of Law, hereinafter set forth. In deciding this case, the Court has had to determine the credibility of the various witnesses and the Findings of Fact reflect this weighing process with reference to any material fact in dispute.

Based upon the factual record before the Court and the Court’s determination of-the *827 credibility of the various witnesses, the Court makes the following Findings of Fact and Conclusions of Law.

A. FINDINGS OF FACT

The Court finds that:

• On February 25, 1997, a 1978 Beechcraft Bonanza, A-36, serial number E-1228, FAA registration N18DR, (hereinafter the “subject aircraft”) was destroyed during a forced landing into rough terrain.

• The aircraft was insured by Plaintiff, Avemco Insurance Company, Inc. (hereinafter “Avemco”) for $132,000.00. It was owned by Electronic Business Equipment and Supply Co. (hereinafter “EBE”).

• Plaintiffs recoverable damages total $98,540.72 ($135,145.78 less $36,605.06 received by Plaintiff in salvage monies).

• At the time of the accident, an agent and employee of Defendant Elliott Aviation Flight Service, Inc. (hereinafter “Elliott”), was administering a biennial flight review (hereinafter “BFR”) to one of EBE’s pilots.

• A BFR is a practical flight test review which must be successfully completed every twenty-four months to maintain a valid pilot’s certificate. Pursuant to the Federal Aviation Regulations (hereinafter “FARs”), a BFR must include flight instruction as well as the completion of various flight maneuvers which demonstrate the pilot’s ability to safely operate the aircraft.

• The BFR is administered by a Certified Flight Instructor (hereinafter “CFI”), and the CFI determines which maneuvers must be performed during the BFR.

• A CFI should anticipate that the pilot being reviewed will make mistakes and must be able to instruct him and/or take control of the aircraft as necessary to maintain safe operations.

• Larry Kerr (hereinafter “Kerr”) was the employee who was sitting for his BFR. Brad Paul (hereinafter “Paul”) was the flight instructor who administered the BFR on behalf of Defendant.

• Kerr had made two prior unsuccessful attempts to complete this BFR. On the first attempt, Kerr did not follow proper checklist procedures during a simulated engine failure. Paul failed Kerr and provided additional ground instruction to him. On the next attempt, Paul and Kerr experienced mechanical problems with the aircraft (unrelated to the instant case) and they were unable to initiate the BFR maneuvers.

• By the time Kerr scheduled his third attempt to complete his BFR, more than twenty-four (24) months had elapsed since he had last completed a BFR. Consequently, Kerr did not meet the requirements to legally operate the aircraft as the Pilot in Command (hereinafter “PIC”).

• However, Kerr could operate the controls under the supervision of a CFI, such as Paul.

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86 F. Supp. 2d 824, 2000 U.S. Dist. LEXIS 2507, 2000 WL 256152, Counsel Stack Legal Research, https://law.counselstack.com/opinion/avemco-insurance-v-elliott-aviation-flight-services-inc-ilcd-2000.