Doe v. Hyatt Hotels Corp.

2021 IL App (1st) 201216, 196 N.E.3d 1065
CourtAppellate Court of Illinois
DecidedAugust 9, 2021
Docket1-20-1216
StatusPublished

This text of 2021 IL App (1st) 201216 (Doe v. Hyatt Hotels 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
Doe v. Hyatt Hotels Corp., 2021 IL App (1st) 201216, 196 N.E.3d 1065 (Ill. Ct. App. 2021).

Opinion

Digitally signed by Reporter of Decisions Reason: I attest to Illinois Official Reports the accuracy and integrity of this document Appellate Court Date: 2022.10.24 14:49:42 -05'00'

Doe v. Hyatt Hotels Corp., 2021 IL App (1st) 201216

Appellate Court JANE DOE, Plaintiff-Appellee, v. HYATT HOTELS Caption CORPORATION and HYATT INTERNATIONAL CORPORATION, Defendants-Appellants.

District & No. First District, First Division No. 1-20-1216

Filed August 9, 2021

Decision Under Appeal from the Circuit Court of Cook County, No. 18-L-4839; the Review Hon. Cassandra Lewis, Judge, presiding.

Judgment Affirmed.

Counsel on Edward B. Ruff III, Mary Helen Cronin, and Scott L. Howie, of Pretzel Appeal & Stouffer Chtrd., of Chicago, for appellants.

Thomas A. Demetrio and William T. Gibbs, of Corboy & Demetrio, P.C., of Chicago, and Wendy R. Fleishman and Daniel E. Seltz, of Lieff Cabraser Heimann & Bernstein, LLP, of New York, New York, for appellee.

Panel JUSTICE HYMAN delivered the judgment of the court, with opinion. Justices Pierce and Coghlan concurred in the judgment and opinion. OPINION

¶1 Hyatt Hotels Corporation and Hyatt International Corporation (collectively, Hyatt) appeal the denial of their forum non conveniens motion to dismiss. Jane Doe sued Hyatt for negligence, breach of contract, fraud, infliction of emotional distress, and violation of the Consumer Fraud and Deceptive Business Practices Act (Consumer Fraud Act) (815 ILCS 505/1 et seq. (West 2020)). Both defendants are Delaware corporations with their principal places of business in Illinois. We allowed Hyatt’s leave to appeal under Illinois Supreme Court Rule 306(a)(2) (eff. Oct. 1, 2020), which provides for “Interlocutory Appeals by Permission.” ¶2 We hold the trial court properly exercised its discretion in concluding the balance of private and public interest factors did not strongly favor transfer to Turkey.

¶3 Background ¶4 Plaintiff Jane Doe is a Minnesota resident. She claims that in May 2014, while staying at Grand Hyatt Istanbul, a Gaia Spa massage therapist sexually assaulted her. Doe brought a personal injury action against Hyatt, asserting liability for negligence, breach of contract, fraud, infliction of emotional distress, and violation of the Consumer Fraud Act. ¶5 Doe claims she booked her stay because Hyatt had advertised Grand Hyatt Istanbul under its signature brand as a safe and secure hotel. Doe wanted to stay in a well-known, respectable American hotel chain while traveling to an unfamiliar country and relied on Hyatt’s representations of its hotels’ safety. Before booking, she spoke by phone with a United States- based Hyatt representative about Grand Hyatt Istanbul’s safety. Hyatt’s representative never advised her that Grand Hyatt Istanbul constituted a separate entity from either Hyatt corporation. According to Doe, Hyatt’s websites represented “that the Grand Hyatt Istanbul is, in all respects, a part of the Hyatt brand and chain of hotels and subject to the safety and security standards of a United States hotel.” ¶6 Doe asserts Hyatt’s liability based on misrepresentations she claims Hyatt made to her— conduct that took place in Illinois, where Hyatt maintains its headquarters and principal place of business. Her complaint alleges Hyatt advertised Grand Hyatt Istanbul hotel and Gaia Spa on its centralized, United States-based website and represented it as a premier Hyatt property. Hyatt’s 1-800 reservation line operates in the United States, and the “information and technology systems related to marketing and reservations are based and developed in Illinois.” She claims (i) Hyatt misled United States consumers by representing it has direct control of all its hotels’ operations and management, including those of its subsidiaries; (ii) Hyatt developed and maintained hiring, personnel, safety, security, and training policies and procedures at its Illinois corporate headquarters; and (iii) Hyatt did nothing after its officers learned of another United States national’s earlier sexual assault at Grand Hyatt Istanbul. ¶7 But for Hyatt’s Illinois-based representations—Doe claims—she would not have stayed at the Grand Hyatt Istanbul and would not have suffered the sexual assault she alleges its employee committed. ¶8 Hyatt moved to dismiss on forum non conveniens grounds. Hyatt denies responsibility for the alleged actions of a Grand Hyatt Istanbul employee. Instead, Hyatt blames a Turkish corporation, Göktrans Turizm ve Tic A.Ş, which owns and operates the hotel and employed the alleged perpetrator. Hyatt states that another legal entity based in Zurich, Switzerland,

-2- Hyatt International (Europe Africa Middle East) LLC, contracted with Göktrans Turizm to manage the hotel’s day-to-day operations. According to Hyatt, the management agreement provides that Göktrans Turizm employs all Grand Hyatt Istanbul staff. ¶9 Hyatt notes nine tiers of corporate entities separating Hyatt Hotels Corporation from Hyatt International (Europe Africa Middle East) LLC, and seven tiers of entities separating Hyatt International Corporation from Hyatt International (Europe Africa Middle East) LLC. Hyatt says Doe’s cause of action arose “from an incident occurring exclusively in Istanbul, Turkey.” ¶ 10 Hyatt argues this lawsuit’s connection to Cook County “is far too attenuated” to litigate here. Instead, based on the affidavit of a Turkish attorney, Hyatt proposed Turkey as an available and adequate alternative forum and contended the private and public interest factors under the forum non conveniens analysis favor transfer. ¶ 11 In denying Hyatt’s motion, the trial court balanced the private and public interest factors enunciated in Jones v. Searle Laboratories, 93 Ill. 2d 366 (1982). It concluded the factors did not strongly favor transfer and that Hyatt failed to show Turkey’s courts would “better serve the convenience of the parties and the [ends] of justice.” ¶ 12 Among the private interest factors, the court considered (i) the location of key witnesses, dispersed among Illinois, other United States jurisdictions, and outside the United States; (ii) the travel costs of American witnesses to Turkey against foreign witnesses’ travel costs to Illinois; (iii) the documentary evidence both here and abroad; and (iv) the necessity of the trier of fact visiting the site of the alleged sexual assault. ¶ 13 The court also considered public interest factors and concluded there was no need to apply foreign law and Cook County jurors have an interest in the outcome. Finally, the court noted Turkish courts had suspended operations due to the COVID-19 pandemic. ¶ 14 Hyatt petitioned for leave to appeal the order denying its motion, which we granted.

¶ 15 Standard of Review ¶ 16 We review denial of a forum non conveniens motion for abuse of discretion. Langenhorst v. Norfolk Southern Ry. Co., 219 Ill. 2d 430, 441-42 (2006) (citing Dawdy v. Union Pacific R.R. Co., 207 Ill. 2d 167, 176-77 (2003)). “A circuit court abuses its discretion in balancing the relevant factors only where no reasonable person would take the view adopted by the circuit court.” Id. at 442.

¶ 17 Analysis ¶ 18 Illinois’s forum statute provides that an action must commence either “(1) in the county of residence of any defendant who is joined in good faith and with probable cause” or “(2) in the county in which the transaction or some part thereof occurred out of which the cause of action arose.” 735 ILCS 5/2-101 (West 2020). A court with personal and subject-matter jurisdiction may decline to hear a case under the forum non conveniens doctrine when trial in another forum “would be more convenient and would better serve the ends of justice.” Vinson v. Allstate, 144 Ill. 2d 306, 310 (1991).

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Bluebook (online)
2021 IL App (1st) 201216, 196 N.E.3d 1065, Counsel Stack Legal Research, https://law.counselstack.com/opinion/doe-v-hyatt-hotels-corp-illappct-2021.