Evans v. City of Chicago

995 F.2d 1393, 25 Fed. R. Serv. 3d 1401
CourtCourt of Appeals for the Seventh Circuit
DecidedJune 3, 1993
DocketNo. 91-3277
StatusPublished
Cited by3 cases

This text of 995 F.2d 1393 (Evans v. City of Chicago) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Evans v. City of Chicago, 995 F.2d 1393, 25 Fed. R. Serv. 3d 1401 (7th Cir. 1993).

Opinions

WILLIAM C. LEE, District Judge.

This is an appeal from a district court order reinstating and modifying a consent decree.

Procedural Background

. This case began on November 4, 1977, when plaintiff Sylvia Evans filed suit under 42 U.S.C. § 1983 against officers of the City of Chicago. In this suit, Evans claimed that the City’s practice of paying small tort judgments before large ones regardless of the dates on which the judgments were entered, and the City’s practice of delaying payment of large tort judgments, violated the Equal [1395]*1395Protection and Due Process clauses of the United States Constitution. The City of Chicago was later added as a defendant, and the case was certified as a class action on January 2, 1980. On May 14, 1979, plaintiffs Bertha Balark, Dana Balark, Anne Balark, and Dane Balark filed suit under 42 U.S.C. § 1983 against the City of Chicago and certain of its officers asserting similar violations. The Balark case was certified as a class action on August 15,1980. On June 18,1979, plaintiff Curtis Collum also filed suit under 42 U.S.C. § 1983 against the City of Chicago and certain of its officers, asserting similar violations of the United States Constitution. The Collum ease was also certified as a class action on August 15, 1980. On January 28, 1981, the district court consolidated these cases. However, the Collum class is not a party to this appeal.

The class certified in Evans consisted of persons holding large judgments against the City who had not been paid within the first two fiscal years after the entry of their judgments. Evans v. City of Chicago, 689 F.2d 1286, 1290 n. 6 (7th Cir.1982) (“Evans /”). The class certified in Balark consisted of persons holding large unpaid judgments against the City, which judgments were less than two years old. Id. at 1291 n. 7.

On January 28, 1981, the district court entered partial summary judgment in favor of the Evans and Balark plaintiff classes and against the defendant City of Chicago, and certified its order for immediate appeal under Rule 54(b) of the Federal Rules of Civil Procedure. The district court’s order (1) directed the City to pay all members of the Evans class immediately; (2) declared that Ill.Rev.Stat. ch. 85 para. 9-104(b) (1981), violated the Due Process clause of the United States Constitution;2 (3) specified procedural safeguards to be followed before the City could properly pay judgments in installments; (4) ordered small judgments along with judgments over .$1000 to be paid in the order in which they were entered; (5) declared that Ill.Rev.Stat. ch. 24, para. 8-1-16 (1981), violated the Equal Protection clause of the United States Constitution; (6) reserved the question of attorney’s fees; and (7) certified the order for immediate appeal under Rule 54(b). The City of Chicago filed a timely notice of appeal from the district court’s judgment.

This Court affirmed the district court’s judgment on September 27, 1982,- stating as follows:

The defendants contend that the City’s practice of paying tort judgments of $1,000 or less before tort judgments in excess of $1,000 related rationally to the City’s attempt to reduce litigation and interest costs by encouraging quick settlements for $1,000 or less without interest in a-large amount of nuisance litigation. The explanation does not survive examination for two reasons. First, the City’s practice included immediate payment of fully litigated claims which resulted in judgments of $1,000 or less. Second, the practice did not reduce interest costs since interest accumulated on the sum of the unpaid judgments. The priority given smaller judgments did not reduce that total. Nor does the payment of many small judgments before an equal amount due on large judgments allow the City more effectively to manage its yearly appropriations and limit the City’s debt. We discern no rational basis for the City’s challenged classifica[1396]*1396tion. See Zobel v. Williams, [457] U.S. [55], [56-57], 102 S.Ct. 2309, 2311, 72 L.Ed.2d 672 (1982): The district court correctly held the practice and Ill.Rev.Stat., ch. 24, § 8 — 1-16, insofar as the statute incorporates the practice, unconstitutional. (Footnote omitted.)

Evans I, 689 F.2d at 1299-1300.

With respect to the due process challenge to paragraph 9-104(b), this Court ruled that:

Upon review of the relevant statutes and decisions, we agree with the district court that under Illinois law, if the City has not invoked § 9-104(b) before the end of the ■ fiscal year following the year in which the tort judgment became final, the tort judgment holder may legitimately claim entitlement to immediate payment. Thus, at least in that situation, the right to immediate payment of a tort judgment against a municipal corporation becomes a property right under Illinois law.
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The record discloses that the governing body of the City never determined that undue hardship would arise if the entire amount of unpaid judgments were paid out of revenues for the fiscal year following the fiscal year in which the judgments became final. Furthermore, the City never subjected the named plaintiffs or any class member to the installment plan method of payment permitted by Ill.Rev.Stat., ch. 85, § 9-104(b). Nor did the City ever tell the named plaintiffs or any class member that it would implement such a plan. Thus the plaintiffs had no standing to attack the constitutionality of that provision. Blum v. Yaretsky, [457] U.S. [991], [999], 102 S.Ct. 2777, 2783, 73 L.Ed.2d 534 (1982); Alabama State Federation of Labor v. McAdory, 325 U.S. 450, 65 S.Ct. 1384, 89 L.Ed. 1725 (1945). Because the district court improperly reached this issue, we vacate paragraph four of the district court’s_ January 28, 1981 order, which declared Ill.Rev.Stat., ch. 85, § 9 — 104(b) unconstitutional and set forth the minimum procedural safeguards that due process requires before the City may decide to pay a judgment in installments over ten years. In vacating this portion of the court’s order, we, of course, express no opinion about the constitutionality of the statute or the appropriateness of the order’s procedural safeguards.

Id. at 1297, 1299.

The case returned to the district court for further proceedings. Subsequently, the parties entered into negotiations and on May 30, 1984, Judge Grady approved a consent decree. This decree stated in part:

III.
PURPOSES OF CONSENT DECREE
1. The parties state that they are entering into this Consent Decree for the purpose of avoiding the further expense of protracted litigation over the matters resolved and decided by this Consent Decree.

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Related

Evans v. City of Chicago
995 F.2d 1393 (Seventh Circuit, 1993)
Nasir v. Sacramento County Office of District Attorney
11 Cal. App. 4th 976 (California Court of Appeal, 1992)

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Bluebook (online)
995 F.2d 1393, 25 Fed. R. Serv. 3d 1401, Counsel Stack Legal Research, https://law.counselstack.com/opinion/evans-v-city-of-chicago-ca7-1993.