First National Bank v. Mattoon Federal Savings & Loan Ass'n

530 N.E.2d 666, 175 Ill. App. 3d 956, 125 Ill. Dec. 508, 1988 Ill. App. LEXIS 1535
CourtAppellate Court of Illinois
DecidedNovember 3, 1988
Docket4-88-0198
StatusPublished
Cited by9 cases

This text of 530 N.E.2d 666 (First National Bank v. Mattoon Federal Savings & Loan Ass'n) 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
First National Bank v. Mattoon Federal Savings & Loan Ass'n, 530 N.E.2d 666, 175 Ill. App. 3d 956, 125 Ill. Dec. 508, 1988 Ill. App. LEXIS 1535 (Ill. Ct. App. 1988).

Opinion

JUSTICE LUND

delivered the opinion of the court:

On June 5, 1986, the circuit court of Coles County entered a default judgment on behalf of plaintiff First National Bank of Mattoon against defendant Howard Dees in the amount of $47,076.77. On May 8, 1987, defendant filed a petition for relief from the default judgment. On January 14, 1988, the court granted plaintiff’s motion to dismiss said petition. Defendant appeals.

On December 9, 1985, plaintiff, as executor of the Jesse Dees estate, filed a complaint against defendant and Mattoon Federal Savings and Loan Association (Mattoon) to recover money taken from a joint account which it alleged belonged to decedent, defendant's father. The complaint contained three counts directed at each defendant. Mattoon was served summons on December 19, 1985. On January 17, 1986, Mattoon filed a motion to dismiss the counts against it.

On January 31, 1986, defendant, a resident of Texas, was served by summons. The court subsequently granted Mattoon’s motion, dismissed the complaint as to Mattoon, and granted 28 days to file amended pleadings. The first-amended complaint was filed on March 27, 1986, and repeated verbatim the counts against defendant contained in the original complaint. Mattoon was eventually dismissed from the case and is not a part of this appeal. On June 5, 1986, plaintiff moved for, and received, a default judgment against defendant. A notice of default was sent to defendant’s address but was unclaimed.

On May 8, 1987, defendant filed a petition for relief from the default judgment. On October 19, a motion for change of venue was filed by defendant which was denied. Finally, on November 17, 1987, the second-amended petition for relief from a default judgment was filed. Plaintiff filed a motion to dismiss which was granted on January 14, 1988. This appeal followed.

Defendant initially asserts the court erred in denying the second count for relief contained in his petition, which asked for relief available under section 2—1401 of the Code of Civil Procedure (Code) (Ill. Rev. Stat. 1985, ch. 110, par. 2—1401). Section 2—1401 provides a comprehensive statutory procedure by which judgments can be challenged more than 30 days after their rendition. To be entitled to relief under this section, the petitioner must affirmatively set forth specific factual allegations supporting each of the following elements: (1) the existence of a meritorious defense or claim; (2) due diligence in presenting this defense or claim to the court in the original action; and (3) due diligence in filing the section 2—1401 petition for relief. Smith v. Airoom, Inc. (1986), 114 Ill. 2d 209, 221, 499 N.E.2d 1381, 1386; City National Bank v. Langley (1987), 161 Ill. App. 3d 266, 271, 514 N.E.2d 508, 511.

In the present case, the court granted plaintiff’s motion to dismiss the petition. When a motion to dismiss is filed against a petition for relief under section 2—1401, the motion admits all well-pleaded facts and attacks only the legal sufficiency of the petition. (Glenn v. People (1956), 9 Ill. 2d 335, 340-41, 137 N.E.2d 336, 340; Manning v. Meier (1983), 114 Ill. App. 3d 835, 839, 449 N.E.2d 560, 563.) In determining legal sufficiency, the court must accept as true all well-pleaded facts and determine if the petition, viewed in the light most favorable to the petitioner, is sufficient to state a cause of action. (Langley, 161 Ill. App. 3d at 271-72, 514 N.E.2d at 511; Uptown Federal Savings & Loan Association v. Kotsiopoulos (1982), 105 Ill. App. 3d 444, 449, 434 N.E.2d 476, 480.) The motion to dismiss should not be granted unless it clearly appears no set of facts could ever be proved that would entitle the petitioner to recover. Ostendorf v. International Harvester Co. (1982), 89 Ill. 2d 273, 280, 433 N.E.2d 253, 256.

A review of defendant’s petition and attached affidavits establishes that the original complaint was filed on December 9,1985, and defendant was served on January 31, 1986, with the resulting default judgment being entered on June 5, 1986. Defendant did not respond to the complaint because he believed codefendant Mattoon would protect his interest. He formulated this belief because an employee of plaintiff’s told him on April 4, 1984, shortly after the death of his father, that Mattoon acted properly in giving defendant the funds from the account. Further, in later February or early March of 1986, defendant had his sister check on the status of the lawsuit. She advised him that her husband, Gary Morgan, checked at the courthouse and discovered the case had been dismissed, and plaintiff had 28 days to refile. Morgan allegedly received this information from the circuit clerk’s office and from talking with the judge in the hall. On March 27, Morgan checked the file and advised defendant that no new complaint had been filed. Defendant thus believed the case was dismissed. Supporting affidavits were submitted by Elinor and Gary Morgan.

As noted earlier, the two elements required in a section 2 — 1401 motion are a meritorious defense and due diligence on the part of the petitioner. We need not address the question of a meritorious defense since we find defendant failed to act with due diligence, and the petition was properly dismissed.

Due diligence requires petitioner to have a reasonable excuse for failing to act within an appropriate time. (Airoom, 114 Ill. 2d at 222, 499 N.E.2d at 1386.) Section 2—1401 does not afford a litigant a remedy whereby he may be relieved of the consequences of his own mistake or negligence. (Esczuk v. Chicago Transit Authority (1968), 39 Ill. 2d 464, 467, 236 N.E.2d 719, 720.) A party relying on this section is not entitled to relief “unless he shows that through no fault or negligence of his own, the error of fact or the existence of a valid defense was not made to appear to the trial court.” (Brockmeyer v. Duncan (1960), 18 Ill. 2d 502, 505, 165 N.E.2d 294, 296.) Specifically, the petitioner must show that his failure to defend against the lawsuit was a result of an excusable mistake, and that under the circumstances, he acted reasonably, and not negligently, when he failed to initially resist the judgment. Airoom, 114 Ill. 2d at 222, 499 N.E.2d at 1387.

. Defendant asserts two grounds supporting his claim that he acted with due diligence in defending the lawsuit. The first is that he relied on the codefendant to protect his interests. Second, he relied on his sister to keep track of the case, and she erroneously believed the case was dismissed. Neither is persuasive.

To support his first contention, defendant admits that he relied on a comment of plaintiff’s agent made eight months prior to the filing of the lawsuit and almost 10 months prior to his being served with process.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Meminger v. Illinois Department of Human Services
2024 IL App (4th) 230647-U (Appellate Court of Illinois, 2024)
People v. Hiles-Sloan
2022 IL App (1st) 180882 (Appellate Court of Illinois, 2022)
Alton School District v. IELRB
Appellate Court of Illinois, 2005
In re Marriage of Baumgartner
590 N.E.2d 89 (Appellate Court of Illinois, 1992)
Brill v. Dvorak (In Re Dvorak)
118 B.R. 619 (N.D. Illinois, 1990)
Dudek, Inc. v. Shred Pax Corp.
554 N.E.2d 1002 (Appellate Court of Illinois, 1990)
Vrozos v. Sarantopoulos
552 N.E.2d 1093 (Appellate Court of Illinois, 1990)
Cunningham v. Miller's General Insurance
544 N.E.2d 441 (Appellate Court of Illinois, 1989)

Cite This Page — Counsel Stack

Bluebook (online)
530 N.E.2d 666, 175 Ill. App. 3d 956, 125 Ill. Dec. 508, 1988 Ill. App. LEXIS 1535, Counsel Stack Legal Research, https://law.counselstack.com/opinion/first-national-bank-v-mattoon-federal-savings-loan-assn-illappct-1988.