Bennett v. Chicago Title and Trust Company

CourtAppellate Court of Illinois
DecidedSeptember 3, 2010
Docket1-09-2041 Rel
StatusPublished

This text of Bennett v. Chicago Title and Trust Company (Bennett v. Chicago Title and Trust Company) 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
Bennett v. Chicago Title and Trust Company, (Ill. Ct. App. 2010).

Opinion

SIXTH DIVISION SEPTEMBER 3, 2010

No. 1-09-2041

IN THE APPELLATE COURT OF ILLINOIS FIRST JUDICIAL DISTRICT

ROBERT E. BENNETT, ) Appeal from the ) Circuit Court of Plaintiff-Appellant, ) Cook County. ) v. ) ) CHICAGO TITLE AND TRUST COMPANY, ) No. 08 CH 1507 as Trustee u/t/a/ Number 116488-05, LOGAN ASSET ) BACKED FUND, L.P., MAISHA B.H. BENNETT, ) a/k/a Maisha Hamilton and Maisha Imani ) Hamilton, KAREGA M. BENNETT, and ) AYINDE K. BENNETT, ) Honorable ) Sophia Hall, Defendants-Appellees. ) Judge Presiding.

JUSTICE ROBERT E. GORDON delivered the opinion of the court:

Plaintiff Robert Bennett filed a pro se action for declaratory judgment and to quiet title in

the circuit court of Cook County. Plaintiff’s verified complaint concerns a marital home

previously owned by plaintiff and his ex-wife, Maisha B.H. Bennett (Maisha). The parties

established a land trust for the marital home conveying a one-third beneficial interest to each of

their three children pursuant to the Illinois Uniform Transfers to Minors Act (Act) (760 ILCS

20/1 et seq. (West 1992)) and designated themselves as joint custodians. The parties’ marriage

was dissolved in 1994. No. 09-2041

Plaintiff alleges in his verified complaint that Maisha and two of their children obtained

loans secured by a mortgage against the former marital home, without his knowledge and

between two to four years after his youngest child attained the age of 21. Defendant Chicago

Title and Trust Company (Chicago Title) became the successor land trustee at the time the loans

were obtained. Defendant Logan Asset Backed Fund, L.P. (Logan), was the lender that issued a

loan to one of the children, Karega.

Chicago Title filed a motion to dismiss plaintiff’s complaint, pursuant to section 2-615(a)

of the Illinois Code of Civil Procedure (Code) (735 ILCS 5/2-615(a) (West 2008)), claiming that

plaintiff lacked standing because, under the Act, the custodianship terminated when his youngest

child attained the age of 21. Logan filed a motion for judgment on the pleadings, pursuant to

section 2-615(e) of the Code (735 ILCS 5/2-615(e) (West 2008)), also claiming that plaintiff

lacked standing because his custodianship terminated when his youngest child attained the age of

21. Logan also filed an alternative motion to dismiss plaintiff’s complaint, pursuant to section 2-

615(a) (735 ILCS 5/2-615(a), (e) (West 2008)), on the same basis. Plaintiff responded that the

custodianship never terminated because he never transferred the custodial property to the

children after their twenty-first birthdays and that his children requested him to continue to serve

as custodian of their beneficiary interests in the land trust.

The trial court granted Chicago Title’s motion to dismiss with prejudice and Logan’s

motion for judgment on the pleadings. The trial court found plaintiff lacked standing because he

did not have an ownership interest in the property since his custodianship terminated when all his

children attained the age of 21 and that he should have transferred the custodial property to the

2 No. 09-2041

adult children, as required by the Act. We affirm.

BACKGROUND

Plaintiff’s verified “Complaint For Declaratory Judgment and Quiet Title” contained the

following allegations: On January 8, 1993, plaintiff and Maisha established a land trust

agreement under trust number 116488-05 for the marital home they “jointly” owned, located at

4847 South Woodlawn Avenue in Chicago. The land trust agreement was established with

American National Bank of Chicago as the land trustee, and, at an unspecified time thereafter,

LaSalle Bank became the successor land trustee (after LaSalle Bank acquired American National

Bank).

Pursuant to the Act, the land trust conveyed a one-third beneficial interest to the parties’

three minor children and designated plaintiff and Maisha as joint custodians.

In September 1993, Maisha filed a complaint for the dissolution of the parties’ marriage.

Plaintiff alleges in his verified complaint that, as part of an oral agreement between the parties,

plaintiff could continue to reside in the marital home following the dissolution, so long as he paid

the mortgage, paid all debts associated with the property, and maintained the property in good

condition.

Ten years later, in November 2003, Ayinde, the parties’ youngest child, celebrated his

twenty-first birthday, and plaintiff continued to reside in the former marital home. Plaintiff

admits in his verified complaint that he never transferred the custodial property after all his

children attained the age of 21 as required under section 21 of the Act.

Plaintiff’s verified complaint also alleges the following: In 2005, Maisha caused the

3 No. 09-2041

preparation of three “Directions to Convey” the former marital home out of the land trust to

herself, one for each of her three children in 2005. Only two of the alleged three directions to

convey documents are included in the record, namely, the ones allegedly executed by Kinshasa

and Karega. The children’s signatures on the directions to convey were forged and Maisha

committed fraud in producing them. In August 2005, LaSalle Bank, as successor trustee, issued a

trustee’s deed for the former marital home to Maisha. Approximately a month later, Maisha

obtained two loans from Community Bank of Lawndale (Community Bank), for a total loan of

$400,000. Maisha secured the loan by executing a mortgage to Community Bank on the former

marital home. Approximately three months later, Maisha defaulted on the Community Bank loan.

Maisha executed a deed in trust and reconveyed the title to the former marital home to the same

land trust number, 116488-05 in February 2006. Plaintiff alleges that he had no knowledge of any

of these transactions.

Plaintiff’s verified complaint further alleges as follows: Community Bank filed a

mortgage foreclosure against Maisha in August 2006.1 Karega and Ayinde obtained a loan for

$950,000 from Eastern Savings Bank (Eastern Bank) in March 2007 and secured the loan with a

mortgage to Community Bank on the former marital home. Karega and Ayinde paid the balance

on Maisha’s loan from Community Bank out of the proceeds. Karega obtained a loan in the

amount of $1,235,000 from Logan and secured the loan with a mortgage to Logan on the former

marital home in November, 2007. Karega paid the balance of the $950,000 Eastern Bank loan

from the proceeds.

1 The mortgage foreclosure action is not included in the record. 4 No. 09-2041

In plaintiff’s pro se one-count verified complaint, plaintiff seeks a determination that: (1)

he remain in possession of the former marital home; (2) the transfer of title of the former marital

home from LaSalle Bank to Maisha was fraudulent; (3) Maisha fraudulently obtained loans from

Community Bank, secured by the former marital home; (4) Chicago Title, as land trustee, was

negligent in its transfer of title to Maisha; (5) Chicago Title’s termination of plaintiff as joint

custodian of the children was negligent; (6) Karega and Ayinde’s exercise of authority and

direction of the land trust agreement was improper; and (7) Logan’s mortgage was improperly

authorized and executed.

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