Cohen v. Wood Bros. Steel Stamping Co.

592 N.E.2d 59, 227 Ill. App. 3d 354, 169 Ill. Dec. 572, 1991 Ill. App. LEXIS 2157
CourtAppellate Court of Illinois
DecidedDecember 27, 1991
Docket1-90-3141
StatusPublished
Cited by18 cases

This text of 592 N.E.2d 59 (Cohen v. Wood Bros. Steel Stamping 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
Cohen v. Wood Bros. Steel Stamping Co., 592 N.E.2d 59, 227 Ill. App. 3d 354, 169 Ill. Dec. 572, 1991 Ill. App. LEXIS 2157 (Ill. Ct. App. 1991).

Opinion

JUSTICE McNULTY

delivered the opinion of the court:

Plaintiff Harry Cohen, doing business as Bell Iron & Metal Company, appeals from the denial of his petition pursuant to section 2— 1401 of the Code of Civil Procedure which sought to vacate a prior order dismissing his case. (Ill. Rev. Stat. 1985, ch. 110, par. 2 — 1401.) We reverse the decision of the trial court.

On July 3, 1986, plaintiff filed a complaint alleging defendant’s breach of a contract for the sale of goods. On March 17, 1987, the trial court granted defendant’s motion for summary judgment and denied plaintiff’s motion for reconsideration. On September 30, 1988, this court reversed the trial court’s decision and remanded for further proceedings. In its decision, the appellate court held that a valid contract existed between the parties. (Cohen v. Wood Brothers Steel Stamping Co. (1988), 175 Ill. App. 3d 511, 529 N.E.2d 1068.) Upon remand plaintiff filed a motion for summary judgment, and on June 7, 1989, the trial court granted plaintiff’s motion as to all issues except the amount of plaintiff’s damages, and set the case for August 3 for status of discovery. On August 3, 1989, the court extended Cohen’s time to respond to discovery requests until August 24, and set a hearing on the damage issue for October 12, 1989. On September 22, 1989, defendant filed an updated discovery request narrowing its request to only three documents. At this time an agreed order was entered striking the October 13 trial date and resetting the case for status on November 16,1989.

On November 16, 1989, counsel for Cohen did not appear and defendant informed the court that he had not received any information responsive to the outstanding discovery request. With only counsel for Wood Brothers present, the court reset the case for status on January 11, 1990, and imposed February 15 as a cut off for all discovery. On January 11, 1990, counsel for Cohen again did not appear in court. At this time the trial judge set the case for a final hearing on March 22. On March 13, 1990, again with only counsel for Wood Brothers present, the court imposed discovery sanctions, barring Cohen from presenting any evidence as to damages at the final hearing. At the March 22 hearing, Cohen’s case was dismissed with prejudice. (Counsel for Cohen was again absent.)

On May 15, 1990, Timothy Carlmark, counsel for Cohen, resigned from his law firm, Cherry and Flynn, indicating to his superiors that Cohen’s case was set for a final hearing in June 1990. Cherry and Flynn’s review of Cohen’s file did not reveal either the March 13 order granting discovery sanctions, or the March 22 dismissal with prejudice. Upon checking the clerk of the court’s computerized docket, Cherry and Flynn learned that Cohen’s case had been dismissed with prejudice as no evidence had been presented as to damages. Additionally, since the March 22 order did not reference the March 13 grant of sanctions, this appeared to be a dismissal for want of prosecution.

On August 8, 1990, Cohen’s attorneys filed a section 2 — 1401 petition for relief from final judgment. (Ill. Rev. Stat. 1989, ch. 110, par. 2 — 1401.) Cherry and Flynn learned for the first time of the March 13 order granting sanctions when counsel for Woods Brothers attached a copy of the same to its motion in opposition to the section 2 — 1401 petition. On October 2, 1990, the trial court denied Cohen’s section 2— 1401 petition, citing Cohen’s lack of due diligence in pursuing both the original claim and the post-judgment petition. Cohen appeals this denial of his request for post-judgment relief.

On appeal, plaintiff contends that in denying the section 2— 1401 petition the trial court abused its discretion in applying a strict “due diligence” test instead of looking at whether “substantial justice” would be done if plaintiff’s motion was granted. Section 2 — 1401 of the Illinois Code of Civil Procedure provides a comprehensive statutory procedure for obtaining relief from final orders and judgments after the expiration of 30 days from the entry thereof. (Ill. Rev. Stat. 1987, ch. 110, par. 2 — 1401.) In order to obtain relief under section 2 — 1401, a petitioner must establish that he has a meritorious claim, and that he exercised due diligence, both in the original action and in filing the section 2 — 1401 petition for relief. Smith v. Airoom, Inc. (1986), 114 Ill. 2d 209, 499 N.E.2d 1381.

It is not disputed that Cohen has a meritorious claim, as this court has already decided that a valid contract existed between the parties, and the trial court subsequently granted summary judgment in Cohen’s favor on all issues except the extent of damages. What is at issue is the alleged lack of diligence of Cohen’s attorneys and the strict due diligence standard adhered to by the trial court. Assuming, arguendo, that due diligence was lacking in the pursuit of both Cohen’s case in chief and his section 2 — 1401 petition (Cohen’s attorney missed four court appearances between August 1989 and August 1990, failed to respond to all discovery requests during this period, and further, failed to file for post-judgment relief until four months from the entry of the order dismissing Cohen’s claim), this court must decide whether the trial court’s denial of post-judgment relief is justified, or whether the interests of justice and fairness require the application of a relaxed due diligence standard and the granting of Cohen’s section 2 — 1401 petition.

There is significant case law which supports the application of a strict due diligence standard and the trial court’s denial of Cohen’s section 2 — 1401 petition. Two recent second district cases, Salazar v. Wiley Sanders Trucking Co. (1991), 216 Ill. App. 3d 863, 576 N.E.2d 552, and Carroll Service Co. v. Schneider (1986), 144 Ill. App. 3d 38, 494 N.E.2d 253, which are factually similar to the case at bar, uphold the application of a strict due diligence standard. In Caroll Service, the trial court found that defendant had a meritorious defense, had exercised due diligence in the preparation of the section 2 — 1401 petition, but had not exercised due diligence in the prosecution of his lawsuit (he did not file an answer within 30 days of the complaint, and a default judgment was entered). The Caroll court attributed the negligence of the attorney to the defendant and refused to grant the section 2 — 1401 petition. In Salazar, plaintiffs’ complaint was filed in July 1988 and dismissed for want of prosecution in November 1988. (Plaintiffs’ attorney failed to file an amended complaint and failed to appear at the hearing on the motion to dismiss.) In December of 1988, plaintiffs’ attorney filed a section 2— 1301(e) motion (Ill. Rev. Stat. 1987, ch. 110, 2 — 1301(e)), which was never motioned up for hearing. In July 1989, this attorney resigned, claiming that he suffered from a mental illness, and advised the other members of his law firm that plaintiffs’ case was still pending. Plaintiffs filed a section 2 — 1401 petition to vacate the dismissal for want of prosecution in April 1990, claiming that their attorney had misled them as to the status of their case.

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Bluebook (online)
592 N.E.2d 59, 227 Ill. App. 3d 354, 169 Ill. Dec. 572, 1991 Ill. App. LEXIS 2157, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cohen-v-wood-bros-steel-stamping-co-illappct-1991.