Hermitage v. Contractors Adjustment

637 N.E.2d 1201, 202 Ill. Dec. 465
CourtAppellate Court of Illinois
DecidedJuly 8, 1994
Docket1-92-2942
StatusPublished
Cited by5 cases

This text of 637 N.E.2d 1201 (Hermitage v. Contractors Adjustment) 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
Hermitage v. Contractors Adjustment, 637 N.E.2d 1201, 202 Ill. Dec. 465 (Ill. Ct. App. 1994).

Opinion

637 N.E.2d 1201 (1994)
264 Ill.App.3d 989
202 Ill.Dec. 465

HERMITAGE CORPORATION, an Illinois corporation and Robert G. Racky, Plaintiffs-Appellees,
v.
CONTRACTORS ADJUSTMENT COMPANY, an Illinois company and George Strickland, Defendants-Appellants.

No. 1-92-2942.

Appellate Court of Illinois, First District, Fifth Division.

July 8, 1994.

*1203 Jerry A. Fogelman, Nigro & Westfall, P.C., Glendale Heights, for appellants.

Harold I. Levine, Ltd., Chicago, for appellees.

MODIFIED OPINION

Presiding Justice MURRAY delivered the opinion of the court:

Plaintiffs, Hermitage Corporation and Robert G. Racky, filed a four-count complaint on January 9, 1991, charging defendants, Contractors Adjustment Company and George Strickland, with (count I) negligence, (count II) unauthorized practice of law, (count III) consumer fraud, and (count IV) breach of warranty. The defendants filed a motion to dismiss pursuant to Ill.Rev.Stat. 1991, ch. 110, par. 2-619(a)(5) seeking to dismiss all four counts/theories based upon the applicable statutes of limitations. The trial court denied said motion. However, pursuant to Supreme Court Rule 308 (Ill. Rev.Stat.1991, ch. 110A, par. 308), the trial court certified the statute of limitations issues for interlocutory appeal. On September 30, 1992, this court granted defendants' application for leave to appeal.

The complaint alleges that plaintiffs entered into an oral agreement with defendants, nonlawyers, for defendants to prepare and record plaintiffs' mechanic's lien notice and claim. The mechanic's lien was recorded on January 25, 1985. Plaintiffs' complaint further alleged that plaintiffs sought to enforce the mechanic's lien under a prior foreclosure suit wherein the court reduced the lien amount from $93,427.18 to $17,332, allegedly due to defendants' failure to properly prepare the lien. Plaintiffs' motion for reconsideration in said prior foreclosure action was denied on March 16, 1989. In counts I, II and IV, plaintiffs specifically alleged that each cause of action accrued on March 16, 1989.

Originally defendant filed its motion to dismiss pursuant to section 2-615 of the Code of Civil Procedure. (See Ill.Rev.Stat.1991, ch. 110, par. 2-615.) At a hearing on the motion, the trial judge ruled that the motion was inappropriate under section 2-615, but entered an order granting defendant time to refile a motion to dismiss pursuant to section 2-619(a)(5) of the Code of Civil Procedure. (See Ill.Rev.Stat.1991, ch. 110, par. 2-619(a)(5).) Defendants subsequently filed a motion to dismiss all counts of plaintiffs' complaint pursuant to section 2-619(a)(5) based on the statute of limitations. The trial court denied the defendants' motion and certified this case for an interlocutory appeal.

The trial court certified for review the questions of whether the statute of limitations for each of the four causes of action, namely negligence, negligent unauthorized practice of law, consumer fraud and deceptive business acts, and breach of warranty, respectively commence: (A) on January 29, 1985, when the mechanic's lien was prepared; or (B) on July 16, 1987, when the plaintiffs' lien was reduced [in a previous suit to enforce the lien]; or (C) on March 16, 1989, when a motion for reconsideration was denied [in a previous suit to enforce the lien].

It appears that there is no disagreement among the parties that: (A) In January 1985 defendants allegedly improperly prepared plaintiffs' mechanic's lien; (B) A court order in a prior mechanic's lien foreclosure case was entered on July 16, 1987, which reduced plaintiffs' lien claim from $93,427.18 to $17,332; (C) On March 16, 1989, plaintiffs' motion to reconsider the order of July 16, 1987, was denied; and (D) The present case was filed on January 9, 1991. In addition, the parties do not dispute the relevant statutes of limitations periods. (See Ill.Rev.Stat.1989, *1204 ch. 110, par. 13-205[1] (five-year statute of limitations applicable to negligence, unauthorized practice of law and breach of warranty counts); Ill.Rev.Stat.1989, ch. 12½, par. 270a(e) (Consumer Fraud and Deceptive Business Practices Act provides that action must be commenced within three years after the cause of action accrued).) The parties do, however, dispute when the respective causes of action accrue and when the applicable statutes of limitations commence.

At the heart of the issues in this case is the discovery rule. "[T]he discovery rule mandates that the statute of limitations starts to run when a person knows or reasonably should know of his injury and also knows or reasonably should know that it was wrongfully caused." (Bashton v. Ritko (1987), 164 Ill.App.3d 37, 39, 115 Ill.Dec. 296, 299, 517 N.E.2d 707, 710, citing Knox College v. Celotex Corp. (1981), 88 Ill.2d 407, 58 Ill.Dec. 725, 430 N.E.2d 976.) The precise date plaintiff discovers his cause of action is ordinarily a question of fact and must be determined by the trier of fact. (Eldridge v. Eldridge (1993), 246 Ill.App.3d 883, 186 Ill. Dec. 818, 825, 617 N.E.2d 57, 64.) Though, where it is apparent from the disputed facts that only one conclusion can be drawn, it is a question for the court. Ruklick v. Julius Schmid, Inc. (1988), 169 Ill.App.3d 1098, 1107-08, 120 Ill.Dec. 297, 301, 523 N.E.2d 1208, 1214.

"When a defendant raises a statute-of-limitations issue, a plaintiff must set forth facts sufficient to avoid the statute's effect. [Citation.] A plaintiff has a burden of specifically pleading facts showing that the action was brought within the limitation period. [Citation.] When a plaintiff seeks to avail herself of the discovery-rule exception to an otherwise applicable limitation period, she has the burden of proving the date of discovery." (Ruklick, 169 Ill. App.3d at 1107-08,120 Ill.Dec. at 301, 523 N.E.2d at 1214.)

However, in Van Gessel v. Folds (1991), 210 Ill.App.3d 403, 407-08, 155 Ill.Dec. 141, 569 N.E.2d 141, this court held: "If a plaintiff discovers his cause of action or injuries within the limitations period and still has reasonable time in which to file suit, then the discovery rule does not apply and the plaintiff must file suit within the normal limitations period." Citing Anderson v. Wagner (1979), 79 Ill.2d 295, 37 Ill.Dec. 558, 402 N.E.2d 560.

For the following reasons we must reverse the decision of the trial court.

A motion under section 2-619(5) admits all facts well pleaded, and we must accept as true not only those facts, but all reasonable inferences therefrom. (In re the Estate of Krevchena, (1993), 244 Ill.App.3d 160, 184 Ill.Dec. 873, 614 N.E.2d 74.) Plaintiffs' verified complaint specifically alleged in the negligence, breach of warranty, and negligent unauthorized practice of law counts that the respective causes of action accrued on March 16, 1989.

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Bluebook (online)
637 N.E.2d 1201, 202 Ill. Dec. 465, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hermitage-v-contractors-adjustment-illappct-1994.