Lah v. Chicago Title Land Trust Co.

885 N.E.2d 481, 379 Ill. App. 3d 933, 319 Ill. Dec. 210, 2008 Ill. App. LEXIS 203
CourtAppellate Court of Illinois
DecidedMarch 14, 2008
Docket1-05-3134
StatusPublished
Cited by10 cases

This text of 885 N.E.2d 481 (Lah v. Chicago Title Land Trust Co.) 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
Lah v. Chicago Title Land Trust Co., 885 N.E.2d 481, 379 Ill. App. 3d 933, 319 Ill. Dec. 210, 2008 Ill. App. LEXIS 203 (Ill. Ct. App. 2008).

Opinion

JUSTICE McNULTY

delivered the opinion of the court:

In a dispute over title to a parcel of Chicago real property, the circuit court denied the claims of Valerian Simirica because his title was fraudulent and because he was not a good-faith purchaser who lacked notice of the fraud. The court further held that the competing claimant, John Waters, should be granted title to the property despite securing it through actions that were “inequitable (at best) and more likely, unlawful,” because those actions, in a prior proceeding, harmed a third party, not Simirica, and could not be raised by Simirica as support for his claims. While we agree with the circuit court’s assessment of the merits of Simirica’s claims, we do not agree that it lacked authority to address Waters’ improprieties or that it was obliged to award him title to the property. Accordingly, we affirm the court’s disposition of Simirica’s claims, vacate its award of title in fee simple to Waters, and remand for further proceedings.

BACKGROUND

The instant appeal comes to this court without the filing of an appearance or brief by any party other than appellant Valerian Simirica. Under such circumstances, a reviewing court is not required to search the record for the purpose of sustaining the trial court’s judgment, but if the claimed errors are such that a court can decide them without the aid of an appellee’s brief, the reviewing court “should decide the merits of the appeal.” First Capitol Mortgage Corp. v. Talandis Construction Corp., 63 Ill. 2d 128, 133 (1976). We find the issues and record before us in the instant case to be sufficiently straightforward that the matter may be fairly resolved despite the absence of an appellee’s brief, and so proceed to the merits.

Plaintiff M.L. Lah, trustee for a land trust whose beneficiary was John Waters, commenced an action to quiet title to a parcel of residential property in Chicago. Defendant Valerian Simirica, beneficiary of a land trust administered by defendant LaSalle Bank, also claims title to the property on behalf of his trustee.

At trial, Waters testified that he bought and rehabbed distressed properties in the Chicago area; that an acquaintance, Nathan Edmond, sometimes advised him of properties that were about to be sold for delinquent taxes; and that on February 12, 2001, Edmond informed him that the owner’s period for redemption of the subject property was to expire the next day.

Waters testified that he visited the property, saw a single-family home on a residential lot, and learned from a neighbor the name and telephone number of the property’s owner, Nancy Kwiatkowski. Waters called Kwiatkowski, and when she told him that she did not intend to redeem the property, he offered to purchase it for $10,000. Waters testified that he and Kwiatkowski reached an oral agreement for purchase of the property over the telephone, but he did not recall giving her any information about the redemption process. Waters conceded that when he went to Kwiatkowski’s workplace to attempt to finalize the purchase, she told him that she was not ready to proceed.

Despite his failure to reach agreement with Kwiatkowski, Waters redeemed the unpaid taxes on the last day of the redemption period, February 13, 2001. Waters and Kwiatkowski reached agreement for the sale of the property for $25,000 on March 16, 2001. Both the deed from Kwiatkowski to Waters’ trustee and the purchase contract executed on March 16 were backdated to February 13, 2001, and Waters testified that he put the earlier date on the deed because he “wanted to be sure that [he] had an interest in the property at the time [he] made the redemption so that the redemption could not be set aside.” When a tax purchaser, Mooring Tax, did attempt to expunge Waters’ redemption, he produced the deed, his redemption was apparently held to be proper, and the Mooring Tax expungement petition was denied. Waters did not record the deed from Kwiatkowski until September 2002.

Valerian Simirica’s claim of title descends from a second deed from Kwiatkowski. Waters’ acquaintance, Nathan Edmond, testified at trial that after informing Waters about the pending tax sale, he also gave Waters half of the approximately $4,000 needed to cure the property’s tax delinquency. According to Edmond, Waters represented that he would handle the details of the purchase from Kwiatkowski; Edmond said that he expected to be identified as a co-owner of the property on the deed that Kwiatkowski executed. Edmond attended a court hearing on the Mooring Tax expungement petition and saw a deed from Kwiatkowski that did not identify him as a purchaser.

Edmond testified that he did not find any deed from Kwiatkowski recorded, that he was still interested in acquiring the property, and that after approaching Kwiatkowski and her attorney, he got a deed to the property. The record presented to this court includes a quitclaim deed from Kwiatkowski to a trust administered by Chicago Title Land Trust Company; the deed was prepared by Edmond and indicates that the consideration for the transfer of interest was $10. Edmond testified that he was not the beneficiary of the grantee land trust and that he was not sure whether the beneficiary was a corporation or an individual named Andy Roman. Although the deed from Kwiatkowski to the trust was dated March 16, 2001, the land trust that received the deed was not created until June 26, 2002, which was also the date on which the deed was recorded. Simirica claims title to the property through a chain of land trust transactions stemming from this deed.

Lah, Waters’ trustee, filed an action to quiet title which alleged that the deed prepared by Edmond to convey the property from Kwiatkowski to a land trust was a forgery; that the deed failed because it conveyed to a nonexistent grantee: a land trust that had not yet been created; and that purchasers whose claims came from the Edmond deed could not defeat Waters’ claim of title because they were aware that Waters was in possession of the property.

Simirica counterclaimed through his land trust, alleging that he had purchased the property on August 23, 2002, without notice of any competing ownership claims and that his trust had superior claim to the property. Simirica also filed a cross-claim against Robert Ambriz, alleging that he had purchased the property from Ambriz through multiple land trust transactions and that Ambriz’s failure to convey good title was damaging him to the extent of the losses he suffered in the Waters-Lah action. In addition, Simirica filed an action to eject a tenant who apparently leased the property from Waters.

At trial, Waters testified that he had begun rehab work on the property to prepare it for resale and that, in the course of that work, he saw evidence that the home on the property had been broken into. A neighbor to the property told Waters that he had seen Simirica’s brother entering the house and that the brother had given him a business card from Simirica’s real estate company. Waters also testified that he went to Simirica’s office, that Simirica reported that he had purchased the property from an individual named Andy Roman, and that when Waters told Simirica that he owned the property, Simirica answered that he “should settle up with Nate Edmond.”

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Cite This Page — Counsel Stack

Bluebook (online)
885 N.E.2d 481, 379 Ill. App. 3d 933, 319 Ill. Dec. 210, 2008 Ill. App. LEXIS 203, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lah-v-chicago-title-land-trust-co-illappct-2008.