L.D.S., LLC v. Fitness Blueprint, LLC

2023 IL App (1st) 200275-U
CourtAppellate Court of Illinois
DecidedJanuary 12, 2023
Docket1-20-0275
StatusUnpublished

This text of 2023 IL App (1st) 200275-U (L.D.S., LLC v. Fitness Blueprint, LLC) 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
L.D.S., LLC v. Fitness Blueprint, LLC, 2023 IL App (1st) 200275-U (Ill. Ct. App. 2023).

Opinion

2023 IL App (1st) 200275-U

Nos. 1-20-0275, 1-20-0846 & 1-21-0288 (cons.)

Order filed January 12, 2023

Fourth Division

NOTICE: This order was filed under Supreme Court Rule 23 and is not precedent except in the limited circumstances allowed under Rule 23(e)(1).

IN THE APPELLATE COURT OF ILLINOIS FIRST JUDICIAL DISTRICT

L.D.S., L.L.C., ) Appeal from the ) Circuit Court of Plaintiff-Appellee, ) Cook County. ) v. ) ) FITNESS BLUEPRINT, LLC d/b/a THE FOUNDRY CHICAGO ) 19 M1 706123 and UNION STATION CROSS FIT and Any and ALL ) UNKNOWN OCCUPANTS, ) ) Defendants, ) Honorable ) James A. Wright and (Fitness Blueprint, LLC d/b/a The Foundry Chicago and ) Toya T. Harvey, Union Station Cross Fit, Defendant-Appellant). ) Judges, Presiding.

JUSTICE MARTIN delivered the judgment of the court. Presiding Justice Lampkin and Justice Hoffman concurred in the judgment.

ORDER

¶1 Held: We affirm the eviction court’s rulings in all respects. We find that the court did not abuse its discretion in denying Crossfit’s section 2-619(a)(3) motion to dismiss or stay the eviction action and did not err by refusing to vacate or modify that decision. The court did not err by granting summary judgment in favor of L.D.S. and against Crossfit in the eviction action. And finally, the court did not abuse its discretion in refusing to modify its bond order to abate Crossfit’s use and occupancy payments Nos. 1-20-0275, 1-20-0846 & 1-21-0288 (cons.)

during the COVID-19 pandemic.

¶2 Plaintiff-appellee, L.D.S., an Illinois limited liability company (L.D.S.), as landlord, filed

an eviction action in the circuit court of Cook County, Municipal Division (hereafter eviction

court), against its tenant, defendant-appellant, Fitness Blueprint, LLC, d/b/a The Foundry Chicago

and Union Station Cross Fit (Crossfit). Following a hearing, the eviction court granted summary

judgment in favor of L.D.S. and against Crossfit. The court entered an order of possession in favor

of L.D.S. and awarded it damages for unpaid and additional rent.

¶3 On appeal, Crossfit challenges the eviction court’s: (1) denial of its motion to dismiss the

eviction action without prejudice or to stay the action; (2) subsequent denial of its motion to vacate

or modify the decision denying the motion to dismiss or stay; (3) grant of summary judgment in

favor of L.D.S. and against Crossfit; and (4) denial of its motion to modify the court’s order

requiring Crossfit to pay L.D.S. use and occupancy payments. For the reasons that follow, we

affirm. 1

¶4 I. BACKGROUND

¶5 In June 2013, L.D.S. and Crossfit executed a commercial lease for retail space located at

125 South Jefferson Street in Chicago. Crossfit planned to use the space as a fitness club. Crossfit

leased the space for a term of five years, with options to renew for two additional five-year terms.

To begin its operation, Crossfit made improvements to the leased premises at a cost of

approximately $300,000.

¶6 The first five-year term of the lease required Crossfit to pay an annual base rent of

$152,500, payable in equal monthly installments of $12,708.33. In addition, section 3.3(b) of the

lease provided that Crossfit was responsible for paying so-called “additional rent” comprised of

In adherence with the requirements of Illinois Supreme Court Rule 352(a) (eff. July 1, 2018), this 1

appeal has been resolved without oral argument upon entry of a separate written order. 2 Nos. 1-20-0275, 1-20-0846 & 1-21-0288 (cons.)

real estate taxes, association dues, and certain property management fees. 2

¶7 On December 1, 2017, Crossfit exercised its option to renew the lease for an additional

five-year term at an annual base rent of $165,000, payable in equal monthly installments of

$13,750. Approximately two years later, on January 2, 2019, L.D.S. sent Crossfit a demand letter

for payment of additional rent in the amount of $155,644.02. This amount was said to include

Crossfit’s share of increased property taxes as well as a portion of the attorney fees L.D.S. incurred

in defending a lawsuit involving rights to an outdoor parking area serving the property.

¶8 On January 21, 2019, L.D.S. sent Crossfit a revised demand letter adjusting the monthly

rent. The letter stated that, beginning January 1, 2019, Crossfit’s monthly rent was increased to

$15,870.68, due to an increase in property taxes. L.D.S. noted that Crossfit had already paid

$13,750.00 for the month of January, leaving a balance due of $2,120.68. L.D.S also stated that

Crossfit owed $75,895.58 for its share of property taxes from 2013 through 2018.

¶9 In response to the demand letters, Crossfit sent L.D.S. a letter seeking to exercise its rights

under section 3.3(d) of the lease. This section of the lease permitted a tenant to audit, inspect, and

copy certain books and records of the landlord. 3 Crossfit requested L.D.S. provide it with copies

of documents relating to installments of property taxes for tax years 2012, 2015, and 2016. Crossfit

also claimed that its review of the lease and monthly rental payments revealed that it had overpaid

2 Section 3.3(b) of the lease provides in relevant part that:

“ ‘Additional Rent’ shall mean (i) the sum of (A) the amount of Taxes paid by Landlord during the previous year, minus the Taxes paid by Landlord during the year 2012 (but in no event less than zero (0)), plus, (B) the amount payable by Landlord for association dues and fees and management fees other than special assessments (collectively, the ‘Dues’), if any, in excess of the Dues paid by Landlord in 2012 (but in no event less than zero (0)).” 3 Section 3.3(d) of the lease provides in relevant part that: “[t]enants shall have the right to audit, inspect and copy the books and records of Landlord with respect to any cost or items which is passed through to Tenants upon not less than ten (10) days advance written notice by Tenants to Landlord.” 3 Nos. 1-20-0275, 1-20-0846 & 1-21-0288 (cons.)

additional rent and was thus entitled to a refund of at least $60,143.45.

¶ 10 L.D.S. failed to provide Crossfit with the requested documents and thereafter served

five-day notices on Crossfit. Crossfit subsequently tendered a payment of $11,458.33 to L.D.S.

¶ 11 On April 11, 2019, Crossfit filed a complaint for declaratory judgment against L.D.S. in

the chancery division of the circuit court (2019 CH 04696). The chancery complaint alleged claims

for breach of contract, conversion, and fraud. Crossfit sought an accounting and other relief.

¶ 12 A week later, L.D.S. filed an eviction action in the municipal division of the circuit court

(2019 M1 706123) naming Crossfit as defendant. The eviction complaint prayed for possession of

the premises along with damages for unpaid rent, court costs and attorney fees.

¶ 13 On April 26, 2019, Crossfit filed a motion in chancery court seeking to consolidate the

eviction and chancery actions. Crossfit argued that resolution of the eviction action was necessarily

dependent upon resolution of the chancery action. The motion to consolidate was denied.

¶ 14 On May 1, 2019, Crossfit filed a section 2-619(a)(3) (735 ILCS 5/2-619(a)(3) (West 2018))

motion in the eviction action asking the court to dismiss the matter without prejudice or stay the

case pending resolution of the chancery action. Crossfit subsequently filed an amended chancery

complaint on May 8, 2019. The eviction court denied Crossfit’s motion to dismiss the eviction

action or stay the proceedings.

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