Jiles v. Spratt

552 N.E.2d 371, 195 Ill. App. 3d 354, 142 Ill. Dec. 21, 1990 Ill. App. LEXIS 369
CourtAppellate Court of Illinois
DecidedMarch 22, 1990
Docket4-89-0514
StatusPublished
Cited by5 cases

This text of 552 N.E.2d 371 (Jiles v. Spratt) 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
Jiles v. Spratt, 552 N.E.2d 371, 195 Ill. App. 3d 354, 142 Ill. Dec. 21, 1990 Ill. App. LEXIS 369 (Ill. Ct. App. 1990).

Opinion

JUSTICE SPITZ

delivered the opinion of the court:

Defendant appeals an award of medical expenses, attorney fees, and child support payments. Plaintiff filed a paternity action against defendant on October 14, 1987. On August 12, 1988, blood tests confirmed that defendant was the father of the child. The parties subsequently stipulated to paternity and entered into an agreed order of parentage and agreed temporary support in which defendant was to pay plaintiff $57 per week.

A bench trial was held on March 1, 1989, at which evidence concerning the parties’ financial situations was presented. Although both parties agreed that $57 per week was an appropriate amount of child support, the court ordered defendant to pay $186 every paycheck (twice monthly) in child support. The court also awarded plaintiff $5,975 for medical expenses incurred during pregnancy, even though plaintiff suffered only approximately $500 in out-of-pocket expense. Insurance paid nearly all the $14,250 in medical expenses, and plaintiff’s stepfather paid the premiums for the insurance. The amount awarded for medical expenses was half the total expense incurred by plaintiff, less a credit of $1,150 for payments defendant made to plaintiff. The court also awarded plaintiff costs and reasonable attorney fees, reserving the matter of attorney fees pending additional testimony.

A hearing on attorney fees and defendant’s motion to reconsider was held on May 23, 1989. The motion to reconsider argued that the court erred in awarding plaintiff medical expenses because defendant’s insurance company had already paid the bills, and no evidence of any subrogation rights was presented. The court denied defendant’s motion, stating that the collateral-source rule applied to the payment of insurance proceeds. The court also awarded plaintiff $1,929.76 in attorney fees.

On appeal, defendant argues that the trial court erred in: (1) awarding plaintiff medical expenses; (2) awarding plaintiff attorney fees; and (3) setting the amount of child support. We agree that the trial court erred in awarding plaintiff medical expenses, but affirm the court’s decision awarding attorney fees and setting the amount of child support.

We first consider defendant’s argument concerning medical expenses. The Illinois Parentage Act of 1984 (Act) provides that a judgment or order may direct the father involved in a paternity action to pay the reasonable expenses of the mother’s pregnancy and delivery. (Ill. Rev. Stat. 1987, ch. 40, par. 2514(a).) The trial court awarded plaintiff $5,975 even though plaintiff’s insurance company had already paid the bill. The court used the collateral-source rule to justify the award.

The collateral-source rule states that benefits received by an injured party from a source wholly independent of, and collateral to, the tortfeasor will not diminish damages otherwise recoverable from the tortfeasor. (Wilson v. Hoffman Group, Inc. (1989), 131 Ill. 2d 308, 546 N.E.2d 524.) This rule has its origins and has traditionally been applied in tort law. (See Cox v. City of Chicago (1898), 83 Ill. App. 540; Bernier v. Burris (1986), 113 Ill. 2d 219, 497 N.E.2d 763.) However, the rule has also been applied in contract law (American Fidelity Fire Insurance Co. v. General Ry. Signal Co. (1989), 184 Ill. App. 3d 601, 540 N.E.2d 557 (breach of contract claim)) and in criminal law (People v. Abraham (1980), 89 Ill. App. 3d 786, 412 N.E.2d 45 (involving restitution)). The rationale for the collateral-source rule is that a wrongdoer should not benefit from expenditures made by the injured party, or take advantage of contracts or other relations which exist between the injured party and third persons. (Wilson, 131 Ill. 2d 308, 546 N.E.2d 524.) Although injured parties may receive a windfall from the collateral-source rule, it is usually considered more just for an injured party to receive the windfall than a wrongdoer to be relieved of full resposibility for his wrongdoing. 22 Am. Jur. 2d Damages §566 (1988).

In Illinois, the collateral-source rule has been applied only where there has been a wrongdoer and an injured party. The rule, thus, applies in tort as well as criminal cases (in criminal cases, the collateral source rule has been used to affirm the amount of restitution a criminal must pay his victim. (Abraham, 89 Ill. App. 3d 786, 412 N.E.2d 45.) In contract law, the collateral-source rule will apply only where there has been an element of fraud, tort, or wilfulness (in breaching a contract). American Fidelity, 184 Ill. App. 3d 601, 540 N.E.2d 557.

At issue in the present case is whether the collateral-source rule applies to medical expenses paid by insurance in paternity cases. While Illinois has not decided the issue, the two States that have, Ohio and Missouri, both agree that the collateral-source rule does not apply in paternity cases. The Ohio Appellate Court considered the issue in Edwards v. Sadusky (1982), 4 Ohio App. 3d 297, 448 N.E.2d 506. The Edwards court held that because Ohio’s paternity statute modified common law, it should not be enlarged by implication beyond the words actually used. There was no reference to the collateral-source rule in Ohio’s paternity statute, and as such, the rule would not apply to paternity cases. Furthermore, Ohio’s paternity statute did not intend to give a mother a windfall award for having an illegitimate child.

The Missouri court of appeals in Parker v. Bruner (Mo. App. 1985), 692 S.W.2d 379, has also held that the collateral-source rule does not apply in paternity cases. The Parker court stated that the collateral-source rule applied in tort and breach of contract claims. Since the action before the court was not an action for seduction (tort), a claim for breach of contract, or a claim for subrogation, the collateral-source rule would not apply.

Defendant argues that he is not a tortfeaser or wrongdoer, and that the conception of the child in the instant case was not the result of wrongful conduct by either party. Defendant further argues that while the collateral-source rule contains an element of punishment, section 14 of the Act contains no directive to punish the father. (Ill. Rev. Stat. 1987, ch. 40, par. 2514.) Instead, the Act makes an award of medical bills discretionary. Thus, defendant argues, the collateral-source rule should not apply to the payments made by plaintiff’s insurance company.

We agree with defendant. The collateral-source rule has been applied in Illinois only where there has been a wrongdoer and an injured third party. As defendant argues, he was neither a tortfeasor nor wrongdoer.

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Cite This Page — Counsel Stack

Bluebook (online)
552 N.E.2d 371, 195 Ill. App. 3d 354, 142 Ill. Dec. 21, 1990 Ill. App. LEXIS 369, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jiles-v-spratt-illappct-1990.