Czerewajko v. Schewtschenko

272 N.E.2d 855, 133 Ill. App. 2d 206, 1971 Ill. App. LEXIS 1678
CourtAppellate Court of Illinois
DecidedMay 5, 1971
Docket54654
StatusPublished
Cited by3 cases

This text of 272 N.E.2d 855 (Czerewajko v. Schewtschenko) 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
Czerewajko v. Schewtschenko, 272 N.E.2d 855, 133 Ill. App. 2d 206, 1971 Ill. App. LEXIS 1678 (Ill. Ct. App. 1971).

Opinion

Mr. JUSTICE BURMAN

delivered the opinion of the court:

Plaintiffs-appellants filed a complaint and later an amended complaint which consisted of six counts and sought an accounting, an injunction, and other relief against named defendants. The plaintiffs alleged in Count I of their verified amended complaint that for about ten years prior to September 10, 1963, they had performed numerous valuable services for the defendants, Ivan Schewtschenko and Alexandria Schewtschenko, his wife (hereafter referred to collectively as “Ivan”). An September 10, 1963, Ivan purchased with his own funds real estate commonly known as 7304 North Harlem Avenue in Chicago, IUinois, and placed title to the real estate in a land trust which named the plaintiffs as joint tenants in the beneficial ownership of an undivided half and named Ivan and his wife as joint tenants in the beneficial ownership of the other undivided half. From the time of purchase until August, 1967, the plaintiffs performed services at the building and aided Ivan who was unversed in the English language, in the management of the property. It was agreed that if Ivan sold the property, the plaintiffs would receive one-half of the net profits in consideration of the services rendered. The plaintiffs executed an assignment of the beneficial interest in the property upon the promise by Ivan that they would receive one-half of the net profits. The property involved was sold in August, 1967. Ivan, however, retained aU of the profits. Plaintiffs sought an accounting from Ivan for their share of the net profits.

The plaintiffs aUeged alternatively in Count II that Ivan agreed to pay the plaintiffs $5,000.00 in full settlement of all the plaintiffs’ claims and rights against them and the real estate. The plaintiffs executed an assignment of their beneficial interest in the real estate and were proffered a $5,000.00 check drawn on Manufacturers National Bank of Chicago and signed by Security Savings and Loan Association (hereafter referred to as Security Savings) through its president and secretary. Plaintiffs requested that the check be certified, but defendant, Julian Kulas, President of Security Savings, stated that he would guarantee payment of tire $5,000.00. When the plaintiffs presented the check, Manufacturers National Bank of Chicago refused to pay and stated that payment had been stopped on the check. Plaintiffs sought judgment in the amount of $5,000.00 against Ivan and against defendant Kulas.

The plaintiffs in Count III realleged the matters set forth in Count II and further alleged that Security Savings as drawer of the check warranted (1) that there were funds in the drawee bank payable to its order, and (2) that it would pay the face value of the check on demand. Security Savings stopped payment on the check and is, therefore, wrongfully withholding funds from the plaintiffs. The plaintiffs sought judgment in the amount of $5,000.00 against Security Savings.

Ivan, Kulas, and Security Savings filed a joint answer to all the counts and an amended answer to Count II. As to Count I, Ivan denied that they requested or promised to pay plaintiffs for any valuable services and stated affirmatively that any services were performed gratuitously by plaintiffs or given in exchange for other services performed by them. In the alternative, they stated that any action for recovery on an alleged oral contract for payment of services would be barred by the statute of limitations (Ill. Rev. Stat. 1969, ch. 83, par. 16). They denied that the plaintiffs had any rightful interest in the property and stated that they did not learn that the plaintiffs were named beneficiaries of the land trust until August, 1967. They denied that they agreed to give plaintiffs one-half of tire profits from the sale of the property.

In the amended answer to Count II Ivan denied that plaintiffs were rightfully involved in the potential sale of the property, and they denied the existence of any settlement and agreement with the plaintiffs for any amount. They stated affirmatively that the proffer of the check to the plaintiffs was without valid and lawful consideration and was predicated upon the facts (1) that the plaintiffs had had themselves named as beneficiaries on the trust deed improperly, and (2) that a sale could not be consummated without a clear title. They further stated that the proffer of the check was the result of fraud, collusion, misrepresentation, and economic duress and that the check was withdrawn because the buyer was going to rescind his offer to purchase. Defendant Kulas denied that he had guaranteed the payment of the $5,000.00 check.

As to Count III, Security Savings admitted it stopped payment of the check, but stated that this was done at the specific request of its customer, Ivan Schewtschenko. It denied all other allegations.

Ivan filed a two count counter-claim and affirmative defense. In Count I they alleged that they did not have sufficient command of the English language to conduct commercial transactions. Plaintiff, Nicholas Czerewajko, (hereafter referred to as “Nick”) volunteered to assist, advise, and direct them in the purchase of commercial property. Nick was a personal friend and there was never any agreement for remuneration. On September 10, 1963, Ivan purchased the property commonly known as 7304 North Harlem Avenue in Chicago, Illinois. Title to the property was to be in their names. Nick recommended the seller, the attorney who handled the purchase, the savings and loan association which financed the purchase and the accountant who prepared their income tax forms. Ivan paid all of the purchase price, including charges, interest payments, taxes, expenses, and all other monies in payment for the property. They never requested or agreed to have the real estate placed into a land trust with anyone, they were never notified that this was done, and they never received a copy of the land trust. This purchase was their first experience in buying real estate. They signed all documents at the direction of their attorney who didn’t speak their native tongue. They were informed by Nick that all of the documents were essential to the closing of the transaction. Since 1963 they have paid all real estate taxes on the property and have taken the appropriate deductions for depreciation and expenses on their income tax forms. They sought the declaration of a re-suiting trust in their favor in the interest which the plaintiffs held in the property.

Count II of the counter-claim and affirmative defense sought compensation for services rendered by Ivan to the plaintiffs. A reply to the answer and an answer to the counter-claim were filed by the plaintiffs.

It is the plaintiffs’ contention that judgment should have been entered on the pleadings in their favor as to Counts I, II, and III. We disagree. A motion for judgment on the pleadings raises the question of whether the pleadings present a triable issue of fact, and if the pleadings put in issue one or more material facts, then judgment on the pleadings should not be granted. (Swidler v. Litvin, 107 Ill.App.2d 227, 246 N.E.2d 895.) We have set forth the pleadings at length. With respect to Ivan the pleadings raised a number of material issues of fact.

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Bluebook (online)
272 N.E.2d 855, 133 Ill. App. 2d 206, 1971 Ill. App. LEXIS 1678, Counsel Stack Legal Research, https://law.counselstack.com/opinion/czerewajko-v-schewtschenko-illappct-1971.