Bible Truth Crusade v. City of Bloomington

709 F. Supp. 849, 1989 WL 35576
CourtDistrict Court, C.D. Illinois
DecidedMarch 29, 1989
DocketNo. 88-3293
StatusPublished

This text of 709 F. Supp. 849 (Bible Truth Crusade v. City of Bloomington) 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
Bible Truth Crusade v. City of Bloomington, 709 F. Supp. 849, 1989 WL 35576 (C.D. Ill. 1989).

Opinion

OPINION

RICHARD MILLS, District Judge:

There is parallel and identical litigation to this case now pending in state court.

We treat this matter sua sponte.

In their memorandum of law arguing against Defendants’ motion to dismiss, Plaintiffs state: “The Plaintiffs in this cause are seeking to ‘remove’ this case from the state court where the proceedings were timely commenced to the Federal Court which also has jurisdiction.” Therefore, we must decide whether we should allow Plaintiffs to “remove” this action or whether this litigation should be stayed in light of the pending state litigation.

Plaintiffs object to a stay. Defendants do not.

I — Facts

As pled in the complaint, the facts are as follows. Bible Truth Crusade (Crusade) is a not for profit corporation and D.J. Herman and Ida Herman are officers thereof. In June of 1985, these Plaintiffs allegedly entered into an oral contract with the city of Bloomington, Illinois. The city had approached Plaintiffs with a proposed plan to demolish, salvage, and remove a building on certain premises in Bloomington owned by Crusade. This building was known as the Old Emerson School.

Under the terms of the oral contract, the city agreed to provide a $50,000 interest free loan and an additional $20,000 to complete the demolition and salvage work. The city agreed that after completion of the salvage work the premises could be used for purposes such as a senior citizens’ housing development or single family dwellings. Further, Plaintiffs were led to believe by Donald Tjaden, Director of Urban Development for Bloomington, that if Plaintiffs chose to subdivide the land for single family dwellings, they could earn $9,000 per sale for the sale of eight lots.

Based on these agreements and representations, Plaintiffs embarked on the demolition plan. Plaintiffs allege that once the project began, Defendants repeatedly changed the terms of the agreement and generally attempted to frustrate the project’s completion.

At the beginning of the demolition project, Crusade hired D.J. Herman to act as general contractor for the project. It is alleged that in September of 1985, Defendant Tjaden interfered with the business relationship between Crusade and Herman by forcing the Crusade to replace Herman as the general contractor.

Plaintiffs further allege that once the project began, the city engaged in the practice of “down zoning” the Plaintiffs’ property. Defendants passed a zoning ordinance at a city council meeting which affected Plaintiffs’ property without providing timely notice of the meeting to Plaintiffs.

Finally, Plaintiffs allege that Defendant Tjaden interfered with their business relationship with Champion Federal Savings and Loan by directing Champion not to release funds for the project. The project remains unfinished because of the city’s refusal to release such funds.

Counts I, II, III, and IV of the complaint are brought pursuant to 42 U.S.C. § 1983 resulting from the Defendants’ actions in [851]*851failing to comply with the terms of the oral contract, interfering with D.J. Herman’s position as general contractor of the project, and “down zoning” the Plaintiffs’ property without adequate notice to Plaintiffs. Count V is a breach of contract action. Count VI alleges fraud. Count VII is a common-law action for detrimental reliance. Counts VIII and IX allege an action for intentional interference with Plaintiffs’ right to contract.

In all relevant respects, the complaints filed in the state and federal courts are the same.

II — Analysis

In Colorado River Water Conservation Dist. v. United States, 424 U.S. 800, 96 S.Ct. 1236, 47 L.Ed.2d 483 (1976), the Supreme Court listed four factors to be considered in determining whether a federal court may defer to the concurrent jurisdiction of a state court: (1) which court first assumed jurisdiction over property; (2) the inconvenience of a federal forum; (3) the desirability of avoiding piecemeal litigation; and (4) the order in which jurisdiction was obtained by the concurrent forums. Id. at 818, 96 S.Ct. at 1246. Since Colorado River, the Supreme Court and the Seventh Circuit have identified additional factors which we must consider, including: (1) the source of governing law, state or federal; (2) the adequacy of the state court action to protect the federal plaintiff’s rights; (3) the relative progress of the state and federal proceedings; (4) the presence or absence of concurrent jurisdiction; (5) the availability of removal; and (6) the vexatious or contrived nature of the federal claim. Interstate Material Corp. v. City of Chicago, 847 F.2d 1285, 1288 (7th Cir.1988). “[N]o one factor is necessarily determinative; a carefully considered judgment taking into account both the obligation to exercise jurisdiction and the combination of factors counseling against that exercise is required.” Colorado River, 424 U.S. at 818-19, 96 S.Ct. at 1247.

Two of the four factors listed in Colorado River are applicable here — the desirability of avoiding piecemeal litigation and the order in which the concurrent forums obtained jurisdiction. Both fall squarely in favor of imposing a stay. First, considering the two actions are exactly the same, “there would be a grand waste of efforts by both the courts and parties in litigating the same issues regarding the same [alleged] contract in two forums at once.” Microsoftware Computer Systems, Inc. v. Ontel Corp., 686 F.2d 531, 538 (7th Cir. 1982). We see no sense in duplicating work which may be done competently in Plaintiffs’ chosen forum.

Second, Plaintiffs filed the state court action on May 23, 1986, and filed the federal complaint November 14,1988. Thus, the state court obtained jurisdiction two and one-half years before this Court. Further, it was Crusade and the Hermans who filed both actions and chose the state court first. See Interstate Material, 847 F.2d at 1289 (allowing stay of federal court proceedings where plaintiff had filed state court action seven months before filing federal court action). What Plaintiffs attempt now simply amounts to forum shopping.

Plaintiffs argue that the time frame should not be weighted heavily because the complaint was originally filed in state court by attorney Jack Vieley who has since withdrawn from representing Plaintiffs. Plaintiffs’ new counsel states that soon after entering her appearance for Plaintiffs, the federal complaint was filed. This is of no matter. Plaintiffs must accept the actions of their chosen counsel. So too are counsel bound by the actions of previously retained counsel.

With respect to the additional factors listed above, several are relevant to the instant action. First, the source of governing law is predominantly that of the state. The Illinois law of contracts and fraud will be applied to adjudicate the main issues involved in this action.

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709 F. Supp. 849, 1989 WL 35576, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bible-truth-crusade-v-city-of-bloomington-ilcd-1989.