Matanic v. Krajach

64 N.E.2d 885, 392 Ill. 547, 1946 Ill. LEXIS 274
CourtIllinois Supreme Court
DecidedJanuary 23, 1946
DocketNo. 28982. Decree affirmed.
StatusPublished
Cited by11 cases

This text of 64 N.E.2d 885 (Matanic v. Krajach) is published on Counsel Stack Legal Research, covering Illinois Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Matanic v. Krajach, 64 N.E.2d 885, 392 Ill. 547, 1946 Ill. LEXIS 274 (Ill. 1946).

Opinions

Mr. Chief Justice Thompson

delivered the opinion of the court:

On the application of Livia Havill and Katie M. Havill, filed in the circuit court of Cook county, the title to the property here in question was registered in their names on November 6, 1913, under the Torrens Act. By mesne conveyances the title was thereafter acquired by Peter Matanic and Bara Matanic, his wife, as joint tenants, and, upon the death of Peter Matanic on December 12, 1940, vested in Bara Matanic as surviving joint tenant. On June 4, 1942, Bara Matanic filed in the circuit court, in the same proceeding in which the land was registered, her petition against appellees, John Krajach and Violet Krajach, his wife, and, also, against Edward J. Kaindl, as registrar of titles of Cook county, and Evelyn B. Stajkowski. The prayer of the petition was that two purported deeds of conveyance to the premises, dated June 17, 1941, and filed for record June 30, 1941, one purporting to be from Bara Matanic to Evelyn B. Stajkowski and the other from Evelyn B. Stajkowski to Bara Matanic, John Krajach and Violet Krajach, as joint tenants, be declared null and void; that the registrar be ordered to cancel and annul the record of the two deeds and the certificates of title issued thereon and that he be required and directed to issue to the petitioner, Bara Matanic, a certificate of title showing title to the real estate to be vested in her free of all liens and encumbrances except unpaid taxes. She alleges in her petition that she did not execute the purported deed conveying to Evelyn B. Stajkowski the real estate therein described; that she was on June 17, 1941, a person of advanced age, in ill-health, and unable to read, write, or understand the English language; that on June 17, 1941, the appellees, John Krajach and Violet Krajach, falsely and fraudulently represented to her that a certain instrument presented for her signature related to a bond in connection with the filing of an action for the wrongful death of her husband; that, relying upon their false representations and believing the same to be true, she signed, by her mark, the purported deed to Evelyn B. Stajkowski; that a fiduciary relationship then existed between her and the appellees and that, because of the trust and confidence she reposed in them, she signed said instrument, not knowing that the same purported to be a deed; and that she at no time validly executed the same or authorized anyone to sign it for her.

Appellees answered the petition, denying the deed was obtained in the manner alleged, and averring that the same was knowingly and understanding^ executed by petitioner after- being advised by her lawyer as to the nature and effect of. the deeds in question. They denied all allegations as to fraud. The answer sets out that petitioner was suffering from a malignant tumor and at times was physically unable to care for her needs and comforts; that they had been good friends of hers for a great number of years and as such had bestowed many kindnesses upon her; that after the death of her husband, petitioner had stated on many occasions that she had no living blood relatives and that she wanted to convey her property to appellees in appreciation of their kindness to her; that on June 17, 1941, she insisted upon appellees going with her to her lawyer’s office for the purpose of carrying out this often expressed desire; that John Krajach refused to accept the conveyance unless petitioner would become a join tenant with the understanding that she should enjoy the income during her lifetime and that petitioner agreed to this; that Evelyn B. Stajkowski is a stenographer in the office of the attorney who represented the petitioner; and that petitioner understood that the execution of the deeds complained of was for the purpose of transferring the property to petitioner and appellees in joint tenancy.

On September 21, 1942, Luka Matanic, a brother-in-law of petitioner, and Manda Matanic, his wife, filed their petition in the proceedings, setting forth that on August 10, 1942, Bara Matanic had conveyed to them all her right in the real estate involved, and asking that they be substituted as petitioners herein.

The cause was referred to, and the evidence taken before, an examiner of titles. The examiner made his report, and, on March 21, 1944, the court entered a decree approving and confirming the report and finding the issues in favor of the respondents and against the petitioners. Upon appeal, the Appellate Court for the First District affirmed the decree of the circuit court, and we have granted the petition of Luka Matanic and Manda Matanic for leave to appeal. It is clear the Appellate Court had no jurisdiction because a freehold was involved. The only jurisdiction that court had in the premises was to transfer the cause to this court. However, since this court has now properly obtained jurisdiction by granting leave to appeal from the judgment of the Appellate Court, we will retain jurisdiction to decide the issues in the case, without the unnecessary procedure of remandment to the- Appellate Court with directions to transfer- the cause. Saunders v. Saunders, 373 Ill. 302; People ex rel. First Nat. Bank v. Kingery, 368 Ill. 205.

The issue is one entirely of fact, in which the burdéh of proof is upon the appellees. Bara Matanic, the original petitioner, was, on June 17, 1941, in poor health, and had been for some months previous thereto. Krajach and his wife had been intimate friends with her and her husband for many years. They lived in the same block, the Kra-t jachs operating a tavern with living quarters in the same building in the rear. When Peter Matanic was killed in an automobile accident in Indiana, Krajach arranged with Michael V. Ostrowski, an attorney, to attend the inquest. He introduced Ostrowski to Mrs. Matanic, and paid him $75, for which Ostrowski gave her a receipt, to cover the cost of filing suit for damages because of her husband’s death. ■ She was illiterate and not familiar with the English language. She depended upon Krajach for his advice and assistance. Appellees do not deny that they bore to her a confidential relation. Under such circumstances, the transaction is presumably fraudulent. Where it appears that relations of trust and confidence obtain between parties to a transaction, the dominant party, who has profited thereby, must rebut the presumption of fraud by clear and convincing proof that he has exercised good faith and not betrayed the confidence reposed in him. On the other hand, it is equally well established that the existence of a fiduciary relation does not invalidate a transaction where the evidence discloses that the conveyance was not procured through improper means attended with circumstances of oppression or overreaching, but was entered into by the grantor with full knowledge of its nature and effect and because of his or her deliberate, voluntary and intelligent desire. These prin- ■ ciples have been so often enunciated by this and other courts and are so well and universally understood that the citation of authority is unnecessary.

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Bluebook (online)
64 N.E.2d 885, 392 Ill. 547, 1946 Ill. LEXIS 274, Counsel Stack Legal Research, https://law.counselstack.com/opinion/matanic-v-krajach-ill-1946.