Demitro v. General Motors Acceptance Corp.

902 N.E.2d 1163, 388 Ill. App. 3d 15, 327 Ill. Dec. 777, 2009 Ill. App. LEXIS 73
CourtAppellate Court of Illinois
DecidedFebruary 9, 2009
Docket1-06-3417
StatusPublished
Cited by28 cases

This text of 902 N.E.2d 1163 (Demitro v. General Motors Acceptance Corp.) 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
Demitro v. General Motors Acceptance Corp., 902 N.E.2d 1163, 388 Ill. App. 3d 15, 327 Ill. Dec. 777, 2009 Ill. App. LEXIS 73 (Ill. Ct. App. 2009).

Opinion

JUSTICE HALL

delivered the opinion of the court:

Defendant-appellant General Motors Acceptance Corporation (GMAC) appeals from multiple orders of the trial court awarding plaintiff-appellee Nicholas Demitro $7,560.06 in compensatory damages, $53,101 in attorney fees, and $1,151.50 in costs, following the court’s finding that GMAC acted “unfairly” in violation of section 2 of the Illinois Consumer Fraud and Deceptive Business Practices Act (Consumer Fraud Act) (815 ILCS 505/2 (West 2000)), when after plaintiffs vehicle was wrongfully repossessed in contravention of an agreement GMAC had with plaintiff, it recommended that the vehicle be retained unless he satisfied the total outstanding balance.

BACKGROUND

The facts presented are taken from plaintiffs complaint, as well as from materials submitted by the parties in their cross-motions for summary judgment, and from the deposition testimonies of plaintiff and George Mietelski of GMAC.

In September 2002, plaintiff signed a retail installment contract for the purchase of a 2002 Chevrolet Suburban financed through GMAC of Orland Park, Illinois. The retail installment contract included health, accident, and disability insurance. Plaintiff was an 18-year employee of the Chicago Transit Authority. His high credit rating allowed him to qualify for zero percent financing.

Under the terms of the installment contract, plaintiff was required to make monthly payments of $734.18 on the thirteenth of the month starting on November 13, 2002. Plaintiff made his payments according to the terms of the installment contract until May 2003, when he underwent surgery to remove polyps from his colon and went on disability for approximately a month and a half.

Two checks plaintiff submitted to GMAC for the months of June and July 2003, were returned for nonsufficient funds. On August 12, 2003, plaintiff spoke with George Mietelski from GMAC who informed him that his checks had not cleared.

On August 13, 2003, plaintiff telephoned GMAC and authorized them to withdraw one month’s payment amount of $742.18 from his banking account. George Mietelski then called the repossession agency and placed the repossession on hold. GMAC had previously authorized an outside agency to repossess the vehicle back on July 31, 2003.

Mietelski then sent plaintiff a “7-day extension letter” dated August 14, 2003, wherein he agreed to give plaintiff until August 21, 2003, to pay $2,202.54 to bring his account current. The letter stated as follows:

“Thank you for your recent payment; however, your account is still past due. You have until August 21, 2003 to pay the remaining amount due of $2,202.54, as well as any payments which may become due before then. If you do not pay by this date, we may exercise our rights under the law. These rights may include the right to take the vehicle from you.
If you are late again in making your payments, we may exercise our rights without sending you another notice like this one. If you have questions, write or telephone us promptly.”

Plaintiff testified that when he awoke on August 15, 2003, he discovered that his vehicle was missing from its parking space. When plaintiff contacted the police and reported his vehicle missing, he was advised to find out if the vehicle had been repossessed.

On August 15, 2003, George Mietelski discovered that plaintiffs vehicle had been wrongly repossessed. Mietelski acknowledged that the repossession was a mistake and that it violated the terms of GMAC’s seven-day extension letter, but he nevertheless recommended to management that the vehicle be retained for the outstanding balance of the installment contract, based on the fact that plaintiffs account was past due and that his last two payments had been returned for nonsufficient funds. Management accepted the recommendation.

When plaintiff contacted GMAC on August 15, 2003, he was informed that sometime between the late night hours of August 14 and the early morning hours of August 15, 2003, his vehicle had been repossessed. Plaintiff demanded his vehicle back, informing George Mietelski that he had been out of work for approximately one month, that he would be filing a disability claim, and that since his vehicle was repossessed he had been unable to travel to his credit union to deposit the funds to cover his telephone payment made on August 13, 2003.

George Mietelski informed plaintiff that in order to redeem or get his vehicle back, he would have to pay off the entire outstanding balance plus repossession charges which amounted to $39,695.04. On August 19, 2003, GMAC re-presented plaintiffs telephone payment to his credit union and withdrew $742.18 from his checking account. GMAC did not credit plaintiffs GMAC account for the $742.18 and plaintiff never received that money back.

On August 20, 2003, plaintiff faxed a letter to GMAC offering to pay $2,202.54 by direct deposit that same day; this was the amount plaintiff was required to pay by August 21, 2003, as set forth in GMAC’s seven-day extension letter. GMAC refused the payment offer.

Admitted into evidence was a copy of plaintiffs checking account from his credit union showing that on August 15, 2003, the amount of $4,337.58 was deposited into the account.

GMAC ultimately sold the vehicle and applied the net proceeds to the balance of the retail installment contract and held plaintiff responsible for the remainder, as well as for the costs related to the repossession and sale of the vehicle.

After hearing argument on the parties’ cross-motions for summary judgment, the trial court granted judgment in favor of plaintiff on his consumer fraud claim. The court determined that GMAC’s conduct in retaining possession of the wrongfully repossessed vehicle until after plaintiff paid off the entire outstanding balance of the installment contract in contravention of the terms set forth in GMAC’s seven-day extension letter amounted to an unfair practice in violation of section 2 of the Consumer Fraud Act. The court released plaintiff from any further obligations and monies due under the installment contract, including, but not limited to, the costs of repossession and sale, and any late fees and interest.

Following a bench trial specifically on the issue of damages, the trial court awarded plaintiff $7,560.06 in compensatory damages. The court later awarded plaintiff $53,101 in attorney fees, and $1,151.50 in costs under the Consumer Fraud Act.

ANALYSIS

Summary judgement is appropriate where the pleadings, depositions, and admissions on file, together with any affidavits, when viewed in the light most favorable to the nonmovant, reveal there is no genuine issue of material fact and that the movant is entitled to judgment as a matter of law. 735 ILCS 5/2 — 1005(c) (West 2000); Gawryk v. Firemen’s Annuity & Benefit Fund, 356 Ill. App. 3d 38, 41, 824 N.E.2d 1102 (2005).

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Cite This Page — Counsel Stack

Bluebook (online)
902 N.E.2d 1163, 388 Ill. App. 3d 15, 327 Ill. Dec. 777, 2009 Ill. App. LEXIS 73, Counsel Stack Legal Research, https://law.counselstack.com/opinion/demitro-v-general-motors-acceptance-corp-illappct-2009.