Medow v. Flavin

782 N.E.2d 733, 336 Ill. App. 3d 20, 270 Ill. Dec. 174, 2002 Ill. App. LEXIS 1123
Appellate Court of Illinois·Decided November 27, 2002·No. 1-01-2050·Published·Cited by 32 cases

Opinion

JUSTICE COHEN

delivered the opinion of the court:

Plaintiff Phoebe Medow filed a three-count complaint against defendant Daniel D. Flavin accusing Flavin of slander (count I), libel (count II), and conversion (count III). The trial court granted summary judgment in favor of Flavin on counts I and II of Medow’s complaint. Following a trial on count III, a jury found Flavin liable for conversion and awarded Medow $1,500 in compensatory damages and $37,500 in punitive damages. The trial court, however, entered judgment notwithstanding the verdict (judgment n.o.v.) in favor of Flavin as to punitive damages. On appeal, Medow argues that the trial court erred in: (1) granting summary judgment in favor of Flavin on counts I and II of her complaint; and (2) entering judgment n.o.v. in favor of Flavin as to punitive damages. For the following reasons, we reverse and remand.

BACKGROUND

Medow sold her travel agency, Way to Go Travel, to Creative Travel and Tours, Inc. (Creative Travel), for $40,000. In his capacity as vice president of Creative Travel, Flavin entered into an asset purchase agreement (APA) with Medow, which outlined the terms of the sale. Pursuant to the APA, Medow continued working for Way to Go Travel as an independent contractor following the sale. On August 25, 1988, Flavin terminated Medow’s association with Way to Go Travel. In 1989, Flavin filed a lawsuit against Medow. 1 Medow filed a counterclaim accusing Flavin of slander, libel and conversion. Medow’s counterclaim was subsequently dismissed for want of prosecution on January 7, 1997. On December 22, 1997 (within one year of the dismissal for want of prosecution), Medow filed the instant complaint pursuant to section 13 — 217 of the Code of Civil Procedure (735 ILCS 5/13 — 217 (West 1996)).

In count I of her complaint, Medow alleged that Flavin had committed slander per se on August 26, 1988, when he told a representative of Della Femina McNamee WCRF (Della Femina), a Chicago advertising firm, that Medow’s association with Way to Go travel was terminated “for theft.” As evidence of Flavin’s alleged August 26 oral statement, Medow attached a November 22, 1988, letter written by Flavin to Della Femina’s vice chairman John Wiegand. In the letter, Flavin informed Wiegand that Medow’s “association with Way to Go Travel was terminated on August 25, 1988[,] for theft and your office was advised on the 26th.” Medow’s allegation of libel in count II is predicated on Flavin’s written statement in the November 22 letter.

In count III of her complaint, Medow alleged that Flavin converted numerous items of Medow’s personal property. Specifically, Medow alleged that when Flavin terminated her employment, he did not permit her an opportunity to remove her personal belongings from the Creative Travel office. Medow further alleged that, through her attorney, she sent letters to Flavin both on September 23, 1988, and October 6, 1988, demanding the return of her personal belongings. Medow alleged that Flavin failed to return a number of items.

On July 27, 1998, Flavin moved for summary judgment on counts I and II of Medow’s complaint. Flavin argued that summary judgment was appropriate as to count I because Medow could not present sufficient evidence to prove that Flavin had made an oral statement accusing Medow of theft. In support, Flavin attached a transcript of Medow’s deposition. During her deposition, Medow testified that she had never personally heard Flavin accuse her of theft and no one had told her that Flavin accused her of theft. Flavin also attached his own affidavit in support of the summary judgment motion. In his affidavit, Flavin averred that on August 26, 1988, he told an employee of Della Femina that Medow had been terminated but did not tell the employee that Medow had committed theft.

Flavin argued that summary judgment was appropriate as to count II because the November 22 letter containing the allegedly libelous statement was absolutely privileged as a communication pertinent to a legal proceeding. In his affidavit, Flavin admitted that he wrote the November 22 letter and that the letter stated that Medow’s “association with Way to Go Travel, Inc., was terminated on August 25, 1988[,] for theft and [Della Femina’s] office was advised on August 26.” Flavin averred that the quoted language “meant that Della Femina’s office was advised on August 26 that Phoebe Medow had been terminated, *** and not that the termination was for theft.” Flavin further averred that his purpose in writing the letter was to settle a small claims action, which he had filed in his capacity as managing officer of Creative Travel against Della Femina. In support of his summary judgment motion, Flavin attached a copy of the November 22 letter, a December 2, 1988, letter from Della Femina agreeing to settle the small claims suit, and a copy of the single-paragraph small claims complaint. 2

Medow filed a response to the motion for summary judgment arguing that Flavin’s motion and supporting evidence demonstrated the existence of a question of material fact as to whether Flavin orally informed a Della Femina employee that Medow committed theft, thereby precluding summary judgment on count I. As to count II, Medow argued that because section 586 of the Restatement (Second) of Torts (Restatement) (Restatement (Second) of Torts § 586 (1977)). provides an absolute privilege only to communications made by attorneys, the privilege would not extend to Flavin’s statements. Medow further argued that Flavin’s statements were not privileged because any suggestion that Medow had committed theft was irrelevant to the litigation between Creative Travel and Della Femina.

Following a hearing on October 14, 1998, the trial court granted summary judgment in favor of Flavin as to count I of Medow’s complaint and took Flavin’s motion under advisement as to count II. On December 2, 1998, the trial court granted summary judgment in favor of Flavin on count II, finding that section 587 of the Restatement (Restatement (Second) of Torts § 587 (1977)) “extends the absolute privilege to communications preliminary to a proposed judicial proceeding by parties and witnesses as well as attorneys.” The trial court further found that, pursuant to Skopp v. First Federal Savings, 189 Ill. App. 3d 440, 447-48 (1989), “all doubts will be resolved in favor of a conclusion that the communication is pertinent or relevant.”

The matter ultimately proceeded to trial on count III of Medow’s complaint. At trial, Medow testified that she decided in early 1988 to sell Way to Go Travel because her husband was suffering from a terminal illness. Medow entered into an asset purchase agreement with Creative Travel, effective May 16, 1988. Medow then continued to work for Way to Go Travel as a commissioned independent contractor pursuant to the APA until her employment was terminated by Flavin on August 25, 1988. Medow testified that Flavin informed her of the termination by telephone and told her that she was no longer welcome in the office. According to Medow, the office contained many of her personal items, items that Flavin never returned.

Free access — add to your briefcase to read the full text and ask questions with AI

Medow v. Flavin, 782 N.E.2d 733, 336 Ill. App. 3d 20, 270 Ill. Dec. 174, 2002 Ill. App. LEXIS 1123 (Ill. Ct. App. 2002).

782 N.E.2d 733 (Medow v. Flavin) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

2460-68 Clark, LLC v. Chopo Chicken, LLP
2022 IL App (1st) 210119 (Appellate Court of Illinois, 2022)
2460-68 Clark, LLC v. Chopo Chicken, LLC
2021 IL App (1st) 210119-U (Appellate Court of Illinois, 2021)
Bedin v. Northwestern Memorial Hospital
2021 IL App (1st) 190723 (Appellate Court of Illinois, 2021)
Litowitz v. Haddad
N.D. Illinois, 2020
Doe v. Williams McCarthy, LLP
2017 IL App (2d) 160860 (Appellate Court of Illinois, 2017)
People v. Alexander
Appellate Court of Illinois, 2009
People v. Belknap
Appellate Court of Illinois, 2009
People v. Reed
875 N.E.2d 167 (Appellate Court of Illinois, 2007)
Uline, Inc. v. JIT Packaging, Inc.
437 F. Supp. 2d 793 (N.D. Illinois, 2006)
Allstate Insurance v. Kovar
842 N.E.2d 1268 (Appellate Court of Illinois, 2006)
People v. Houston
843 N.E.2d 465 (Appellate Court of Illinois, 2006)
Cruthis v. Firstar Bank, N.A.
822 N.E.2d 454 (Appellate Court of Illinois, 2004)
People v. Culbreath
Appellate Court of Illinois, 2003
Learning Curve Toys, Inc. v. Playwood Toys, Inc.
342 F.3d 714 (Seventh Circuit, 2003)
Feldheim v. Sims
Appellate Court of Illinois, 2003