Cohen v. Salata

709 N.E.2d 668, 303 Ill. App. 3d 1060, 237 Ill. Dec. 413, 1999 Ill. App. LEXIS 176
Appellate Court of Illinois·Decided March 25, 1999·No. 1-98-1274·Published·Cited by 23 cases

Opinion

JUSTICE HOFFMAN

delivered the opinion of the court:

The plaintiff, Camille Cohen, appeals from an order of the circuit court dismissing as time-barred her dental malpractice action against Robert J. Salata and Kimberly A. Zizic. In our analysis of this case, we address the question of whether the filing of an action in violation of the automatic stay provisions of section 362 of the Bankruptcy Code (11 U.S.C. § 362 (1994)) invokes the circuit court’s subject matter jurisdiction.

The facts giving rise to this appeal are not in dispute. On May 7, 1997, the plaintiff filed a single-count complaint alleging dental malpractice against Salata, Zizic, and North Shore Cosmetic and General Dentistry, Ltd., P.C. The complaint alleged a continuous course of treatment from December 6, 1991, through May 7, 1995. It also alleged that the plaintiff “did not know, nor could she have known,” until March 4, 1997, that the loss of two of her teeth was the result of negligent treatment.

On April 24, 1997, approximately two weeks prior to the filing of the plaintiff’s complaint, Salata and Zizic (hereinafter collectively referred to as the defendants) filed a petition under chapter 7 of the Bankruptcy Code in the United States Bankruptcy Court for the Northern District of Illinois (Bankruptcy Court). On June 13, 1997, the attorney representing the defendants in their bankruptcy action sent a letter to the plaintiffs attorney informing him of the defendants’ pending bankruptcy and the automatic stay provisions of section 362 of the Bankruptcy Code (11 U.S.C. § 362 (1994)) and requesting that the plaintiffs action against the defendants be dismissed. During the pendency of the defendants’ bankruptcy proceeding, the automatic stay imposed by section 362 was never lifted or modified by the Bankruptcy Court to permit the plaintiff to either commence or continue any action against the defendants. On August 19, 1997, the Bankruptcy Court entered an order of discharge in favor of the defendants.

On November 4, 1997, the defendants were served with process and a copy of the plaintiff’s complaint in the instant action. The defendants filed their appearance and a motion to dismiss pursuant to section 2—619 of the Code of Civil Procedure (Code) (735 ILCS 5/2—619 (West 1996)). In that motion, the defendants asserted that the filing of the plaintiffs complaint in violation of the automatic stay provisions of section 362 of the Bankruptcy Code “rendered the complaint void ab initio.” The motion went on to contend that, because the plaintiff failed to dismiss her action and refile within the applicable two-year statute of limitations as provided in section 13—212 of the Code (735 ILCS 5/13—212 (West 1996)), her claim against the defendants was time-barred.

On March 11, 1998, the trial court granted the motion, dismissed the plaintiffs action against the defendants “with prejudice,” and found no just reason to delay an appeal from its order. The plaintiff filed a timely notice of appeal, invoking our jurisdiction under Supreme Court Rule 304(a) (155 Ill. 2d R. 304(a)).

In urging reversal, the plaintiff argues that, since a material issue of fact exists on the question of whether the defendants were insured for the negligent acts alleged in her complaint, the trial court erred in dismissing her action “with prejudice.” For their part, the defendants rely essentially upon the same arguments they asserted before the trial court. The defendants argue that the filing of the complaint against them was void by reason of the plaintiff’s violation of the automatic stay imposed by section 362 of the Bankruptcy Code. They then conclude that, since no valid complaint was filed against them within the two-year limitations period provided in section 13—212 of the Code, even allowing for the limitations tolling provisions of section 13—216 of the Code (735 ILCS 5/13—216 (West 1996)) and the 30-day limitations extension provided in section 108 of the Bankruptcy Code (11 U.S.C. § 108 (1994)), the plaintiff’s action is time-barred. This argument is grounded on the premise that the two-year limitations period began to run on May 7, 1995, the date of the plaintiffs last treatment.

No doubt, the issue raised by the plaintiff and the question of when the applicable limitation on her action against the defendants began to run in light of the discovery language of section 13—212 must be addressed at some point in time. However, we find a jurisdictional impediment which precludes their resolution at this juncture.

The defendants contend, as they did before the trial court, thát the filing of an action in violation of the stay provisions of section 362 of the Bankruptcy Code is “void.” If they are correct, the trial court never acquired subject matter jurisdiction over the plaintiffs claim against them and, therefore, lacked the power to address their statute of limitations defense.

As a reviewing court, we are obligated to examine our own jurisdiction (Ferguson v. Riverside Medical Center, 111 Ill. 2d 436, 440, 490 N.E.2d 1252 (1985)) and the jurisdiction of the trial court in the cause before us (see People v. Bounds, 182 Ill. 2d 1, 3, 694 N.E.2d 560 (1998)). This obligation exists even if neither party to the appeal has raised the issue. Archer Daniels Midland Co. v. Barth, 103 Ill. 2d 536, 539, 470 N.E.2d 290 (1984).

Subject matter jurisdiction is the power of the court to hear and determine the general question presented to it and to grant the particular relief sought. In re M.M., 156 Ill. 2d 53, 64, 619 N.E.2d 702 (1993). Generally, if a complaint states a claim belonging to a general class over which the court’s authority extends, its jurisdiction attaches. People ex rel. Scott v. Janson, 57 Ill. 2d 451, 459, 312 N.E.2d 620 (1974). However, the fact that a complaint states a cause of action belonging to the general class over which a state court traditionally exercises authority is not conclusive of that court’s subject matter jurisdiction.

There are a number of federal statutes which either deprive or divest state courts of jurisdiction over particular claims, the subject matter of which traditionally fall within the authority of the state courts. By way of example, the circuit court hears wrongful death claims grounded in allegations of negligence, yet it may lack subject matter jurisdiction over certain such actions against international airlines (see People ex rel. Compagnie Nationale Air France v. Giliberto, 74 Ill.

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Cohen v. Salata, 709 N.E.2d 668, 303 Ill. App. 3d 1060, 237 Ill. Dec. 413, 1999 Ill. App. LEXIS 176 (Ill. Ct. App. 1999).

709 N.E.2d 668 (Cohen v. Salata) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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