Banks v. R.D. Werner Co.

559 N.E.2d 217, 201 Ill. App. 3d 762, 147 Ill. Dec. 217, 1990 Ill. App. LEXIS 1107
CourtAppellate Court of Illinois
DecidedJuly 27, 1990
Docket1-89-0923
StatusPublished
Cited by10 cases

This text of 559 N.E.2d 217 (Banks v. R.D. Werner Co.) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Banks v. R.D. Werner Co., 559 N.E.2d 217, 201 Ill. App. 3d 762, 147 Ill. Dec. 217, 1990 Ill. App. LEXIS 1107 (Ill. Ct. App. 1990).

Opinion

JUSTICE EGAN

delivered the opinion of the court:

This appeal involves settlements between the plaintiffs and their employer, which would operate to bar the defendant’s right to contribution from the employer. The trial judge upheld the validity of the settlements. The sole issue is whether the judge’s finding that the settlements were made in good faith was against the manifest weight of the evidence.

On July 18, 1986, the plaintiffs, John Banks (Banks) and Donald Neumann (Neumann), were employed by Edwards Engineering Company (Edwards) and were injured when a plywood plank upon which they were standing dislodged from a scaffold, causing the plaintiffs to fall 10 feet to the ground. The defendant, R.D. Werner Co., Inc. (Werner), manufactured the plank. Kipley Construction Company (Kipley) was the general contractor for the work project. Edwards leased the scaffold from a company which is not involved in this case.

On June 9, 1988, the plaintiffs, by their attorney Charles R. Winkler, filed a two-count complaint against the defendants, Kipley and Werner. Count I, naming only Kipley, alleged violations of the Structural Work Act (Ill. Rev Stat. 1987, ch. 48, par. 60 et seq.). Count II, naming only Werner, alleged a cause of action in strict tort liability for the unreasonably dangerous defects in the scaffolding plank manufactured by Werner. Both Werner and Kipley filed answers and initiated discovery.

On August 18, 1988, Edwards, which was not then a party to the lawsuit, filed a motion seeking approval of two proposed settlements and good-faith findings pursuant to the Contribution Act (Ill. Rev. Stat. 1987, ch. 70, par. 301 et seq.). One settlement was between “the plaintiff, John Banks, and Edwards Engineering and Donald Neumann, settling parties, by and through their respective counsel.” The other settlement was between “the plaintiff, Donald Neumann, Edwards Engineering and John Banks, settling parties by and through their respective counsel.” The motion was submitted jointly by Charles Winkler, as attorney for the plaintiffs, and the firm of Sweeney and Riman, as “attorneys for settling parties.”

The text and the substance of the motions were substantially the same. They indicated that, in full settlement of all the individual claims of the respective plaintiffs and against the respective “settling parties,” Edwards and Neumann would pay Banks $8,000, and Edwards and Banks would pay Neumann $7,000. The settling parties in the motions sought “discharge from any further liability to the plaintiff or any other tortfeasor pursuant to the common and statutory law of the State of Illinois, including but not limited to the Illinois Contribution Statute.” The settlements were contingent upon approval by the trial court, including a finding of good faith under the Contribution Act. Both motions included the affidavit of Winkler, as attorney for the plaintiffs, and the affidavit of Marvin Riman, as attorney for Edwards.

Winkler’s affidavit stated that he was the attorney for Banks and Neumann and that he had been involved personally in negotiating each proposed settlement. He believed the settlements to be fair and reasonable to all involved parties and to be in good faith. The motivation of each plaintiff in negotiating each settlement was to advance or maximize that plaintiff’s own interest. Winkler was “unaware of any collusion, bad faith or any other improper motivation of any party to the proposed settlement, including any intent to improperly prejudice any person or entity not a party to the proposed settlement.”

Riman’s affidavit stated that he also believed the settlements to be fair and reasonable to all involved parties and to be in good faith. He said that the motivation of the settling parties in negotiating was to advance or maximize the interest of the settling parties. Again, like Winkler, he was unaware of any collusion, bad faith or any other improper motivation of any party to the proposed settlement.

After the court set a briefing schedule for the motion, the time for Werner’s response was extended, and the settling parties were ordered to comply with Werner’s discovery requests.

On October 28, 1988, Banks filed answers to the interrogatories of Kipley and Werner. The answers to Werner’s interrogatories included as attachments reports prepared by Herbert J. Thomiszer of Triodyne, a consulting firm. Triodyne had performed an inspection and analysis of the scaffolding for Edwards’ workers’ compensation carrier, American Country Insurance Company (American Country). Thomiszer stated, “With regard to the scaffold deck, it is my opinion that the artifact scaffold deck was foreseeably, unreasonably dangerous.”

On October 25, 1988, Werner deposed Riman. Riman initially was retained by American Country during the insurer’s defense of the workers’ compensation claim against Edwards. Riman was not responsible for the workers’ compensation matter but was solicited for an opinion regarding the common law and statutory aspects of the plaintiffs’ accident; he prepared a written opinion regarding the matter, consulted with the engineers from Triodyne, discussed the case with the plaintiffs’ attorney, participated in the preparation of the proposed settlement agreement and drafted his affidavit.

Before negotiating the proposed settlement, Riman consulted with American Country and his partner handling the workers’ compensation claim; he read his firm’s file on the workers’ compensation claim. Riman contacted Winkler and told him that “he had a crappy case as far as [Riman’s] people were concerned.” He told Winkler, “As far as I was concerned if he was thinking about a structural case I don’t think he had a valid structural case, but I told him I thought I could probably give him a pretty good products case.” Riman supported his opinion regarding the Structural Work Act case as follows:

“[T]he reason I thought he had a cruddy case on the Structural Work Act *** was that as far as I was concerned there was no willful violation, and there couldn’t be any evidence of a willful violation as I understood the facts. Plus the fact that I told him I could probably give him a decent products case.”

Riman also said that the statements of Banks and Neumann regarding the erection of the scaffold, what they were doing and how they got there contributed to his conclusion that the structural case was not a good one.

Riman described his negotiations with Winkler as follows:

“A. I told [Winkler] I would get him about $15,000, and I would split it just about evenly. Although, I thought one of his men probably lost a little bit more time than the other. And as far as I was concerned, the money wasn’t really terribly important. It was kind of a cost of defense off [sic: offer?]. And of course I would give him the information we had that would provide him with the basis for a products liability claim against the two [sic] tortfeasors.
Q. So you exchanged information or you gave him information from your files?
A. I gave him information from my files. I got nothing from him.
Q. He eventually agreed to the $15,000 price?

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Cite This Page — Counsel Stack

Bluebook (online)
559 N.E.2d 217, 201 Ill. App. 3d 762, 147 Ill. Dec. 217, 1990 Ill. App. LEXIS 1107, Counsel Stack Legal Research, https://law.counselstack.com/opinion/banks-v-rd-werner-co-illappct-1990.