Coronet Insurance v. Booker

511 N.E.2d 793, 158 Ill. App. 3d 466, 110 Ill. Dec. 616, 1987 Ill. App. LEXIS 2861
CourtAppellate Court of Illinois
DecidedJuly 20, 1987
DocketNo. 86—1258
StatusPublished
Cited by9 cases

This text of 511 N.E.2d 793 (Coronet Insurance v. Booker) 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
Coronet Insurance v. Booker, 511 N.E.2d 793, 158 Ill. App. 3d 466, 110 Ill. Dec. 616, 1987 Ill. App. LEXIS 2861 (Ill. Ct. App. 1987).

Opinion

JUSTICE O’CONNOR

delivered the opinion of the court:

Defendant, Robert Booker, appeals from the trial court’s denial of his section 2 — 1401 petition (Ill. Rev. Stat. 1985, ch. 110, par. 2 — 1401) to vacate the court’s order of March 21, 1985, which granted plaintiff, Coronet Insurance Company, a declaratory judgment against Booker. Coronet cross-appeals from the trial court’s denial of its section 2— 611 motion (Ill. Rev. Stat. 1985, ch. 110, par. 2 — 611) for sanctions against Booker. For the reasons that follow, we affirm.

On January 22, 1979, Booker was injured in a car accident involving Roosevelt Skipper, an uninsured motorist, and Sandra Brown. Booker’s automobile was covered by a Coronet insurance policy which included uninsured motorist coverage.

Booker filed a lawsuit against the uninsured motorist and on March 23, 1983, obtained a $6,000 default judgment. Booker also filed a claim with Coronet for uninsured motorist coverage.

Pursuant to the terms of the insurance policy, Coronet and Booker submitted Booker’s claim to arbitration for a hearing, and agreed to the selection of the arbitrator. After a hearing, the arbitrator awarded Booker $9,000.

Subsequently, Coronet filed a complaint in the circuit court of Cook County against Booker for a declaratory judgment to vacate the arbitration award. The complaint alleged that the award should be vacated because the default judgment Booker obtained against the uninsured motorist constituted collateral estoppel on the issue of damages. The complaint further alleged that the arbitrator exceeded his authority by entering an award above $6,000. Alternatively, Coronet alleged that Booker breached his duty to protect Coronet’s right of subrogation when he failed to obtain a default judgment against the uninsured motorist for the full amount of his damages.

On November 17, 1984, the sheriff served the summons and complaint on Booker by substitute service. Booker filed no appearance, and on March 21, 1985, the trial court entered a default judgment for declaratory relief against Booker. The judgment provided that the arbitrator exceeded his authority by awarding Booker $9,000, and had authority to enter an award of only $6,000. The court vacated the arbitrator’s award to the extent it exceeded $6,000.

On April 11, 1985, Booker filed a motion to vacate the March 21, 1985, order, which the trial court denied on July 17, 1985.

Booker filed a notice of appeal of the trial court’s denial of his motion to vacate on August 15, 1985. However, on January 16, 1986, Booker filed a motion to dismiss the appeal which this court granted on January 27,1986.

On March 13, 1986, Booker filed a petition with the circuit court under section 2 — 1401 of the Civil Practice Law (Ill. Rev. Stat. 1985, ch. 110, par. 2 — 1401) to vacate the March 21, 1985, order. On April 21, 1986, the trial court denied the motion, finding that there was no statutory basis or any foundation for the motion.

On March 25, 1986, Coronet filed a motion for sanctions under section 2 — 611 of the Civil Practice Law (Ill. Rev. Stat. 1985, ch. 110, par. 2 — 611), which the court denied on May 20,1986.

On May 16, 1986, Booker filed a notice of appeal from the trial court’s denial of his section 2 — 1401 petition. On May 23, 1986, Coronet filed a notice of cross-appeal from the trial court’s denial of its section 2 — 611 motion.

Booker contends that he properly brought his section 2 — 1401 petition because the March 21, 1985, default judgment for declaratory relief was void for lack of jurisdiction to vacate the arbitrator’s award, and a void judgment can be vacated at any time. He argues that because the insurance policy between Booker and Coronet specified that the parties would be bound by arbitration, only the American Arbitration Association had jurisdiction to hear the dispute. We disagree.

Pursuant to the Illinois Uniform Arbitration Act, if a contract provides in writing for arbitration, then a circuit court has jurisdiction of the subject matter. (Kaiser-Ducett Corp. v. Housewrights, Inc. (1977), 48 Ill. App. 3d 589, 592, 363 N.E.2d 97; Ill. Rev. Stat. 1985, ch. 10, par. 116.) The statute expressly confers jurisdiction on a circuit court to enforce an arbitration agreement and to enter a judgment awarded thereunder, and to confirm, modify, correct or vacate an award. (Ill. Rev. Stat. 1985, ch. 10, pars. Ill through 116.) In any event, a determination by a circuit court that it had jurisdiction may be voidable or erroneous, but it is not a void judgment. Kaiser-Ducett Corp. v. Housewrights, Inc. (1977), 48 Ill. App. 3d 589, 593, 363 N.E.2d 97.

In the case at bar, the circuit court had subject matter jurisdiction because the insurance policy specifically provided for arbitration. Consequently, the court’s declaratory judgment was not void and Booker’s petition to vacate, brought more than 30 days after the judgment was entered, was untimely.

Thq purpose of section 2 — 1401 is to enable a party to bring before the court rendering judgment facts not appearing in the record which, if known to the court at the time judgment was entered, would have prevented its rendition. (Singer v. Treat (1986), 145 Ill. App. 3d 585, 593, 495 N.E.2d 1264.) In order to obtain relief under this section, a party must set forth in his petition facts showing due diligence and the existence of a meritorious defense or claim. Lofendo v. Ozog (1983), 118 Ill. App. 3d 237, 241, 454 N.E.2d 806.

Section 2 — 1401 is not intended to relieve a party from the consequences of his own fault and lack of diligence when he wilfully and deliberately fails to answer or appear. (Abbell v. Munfield (1979), 76 Ill. App. 3d 384, 386-87, 395 N.E.2d 78.) This section “may not be invoked to review an order from which a party could have appealed within the proper time frame, and it cannot be used as a substitute for the party’s right to appeal.” (Ruttenberg v. Red Plastic Co. (1979), 68 Ill. App. 3d 728, 732, 386 N.E.2d 616.) Section 2 — 1401 “was not designed to afford a litigant a fresh opportunity to do that which he should have accomplished in an earlier proceeding ***. [Citation.]” Abbell v. Munfield (1979), 76 Ill. App. 3d 384, 386, 395 N.E.2d 78.

In the case at bar, Booker failed to exercise due diligence. His failure to file an answer or an appearance to Coronet’s complaint was wilful because he received proper notice of the lawsuit. His first appearance was when he motioned the trial court, within 30 days of the default judgment, to vacate the judgment. After the court denied that motion, Booker should have gone through with his timely appeal of the denial of that motion to vacate.

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Coronet Insurance Co. v. Booker
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Bluebook (online)
511 N.E.2d 793, 158 Ill. App. 3d 466, 110 Ill. Dec. 616, 1987 Ill. App. LEXIS 2861, Counsel Stack Legal Research, https://law.counselstack.com/opinion/coronet-insurance-v-booker-illappct-1987.