Melliere v. Luhr Bros., Inc.

706 N.E.2d 40, 302 Ill. App. 3d 794, 235 Ill. Dec. 780, 1999 Ill. App. LEXIS 5
CourtAppellate Court of Illinois
DecidedJanuary 14, 1999
Docket5-98-0152
StatusPublished
Cited by13 cases

This text of 706 N.E.2d 40 (Melliere v. Luhr Bros., Inc.) 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
Melliere v. Luhr Bros., Inc., 706 N.E.2d 40, 302 Ill. App. 3d 794, 235 Ill. Dec. 780, 1999 Ill. App. LEXIS 5 (Ill. Ct. App. 1999).

Opinion

JUSTICE MAAG

delivered the opinion of the court:

On November 4, 1997, the plaintiff, Timothy Melliere, filed suit under the Jones Act (46 U.S.C.A. § 688 et seq. (West Supp. 1997)), alleging that he suffered injuries while performing his duties as a deckhand for the defendant, his employer, Luhr Bros., Inc. (Luhr Bros.). The incident occurred on January 1, 1995, while the plaintiff was working on a project on the Ohio River, near Paducah, Kentucky. The complaint alleged that the plaintiff suffered extensive injuries which required medical treatment and which resulted in disability. Luhr Bros, filed an answer denying the allegations and also filed a motion to transfer for lack of venue, claiming that the incident did not occur in St. Clair County and that it was not a resident of St. Clair County. An attached affidavit asserted that Luhr Bros, is headquartered in Monroe County, Illinois, and the motion sought a transfer to that county. After an evidentiary hearing, the circuit court denied Luhr Bros.’ motion to transfer, finding that venue was proper because Luhr Bros, maintains an office and does business in St. Clair County, Illinois. Luhr Bros, filed its petition for leave to appeal pursuant to Supreme Court Rule 306(a)(4) (166 Ill. 2d R. 306(a)(4)). We granted leave to appeal. The sole issue raised by Luhr Bros, is a claim that the circuit court erred in denying its motion to transfer venue. We affirm.

The relevant facts are as follows. Luhr Bros, is engaged in construction projects, such as embankment work, channel maintenance, and other river projects, on the navigable waters of the United States. It also engages in heavy construction projects and highway work on land. Luhr Bros, is an Illinois corporation that has its corporate headquarters in Monroe County, Illinois.

Luhr Bros, leases a hangar at the St. Louis Downtown Parks Airport in Cahokia, St. Clair County, Illinois. A large sign directory at the Parks Airport indicates that Luhr Bros, occupies hangar 6. An airplane, registered to Luhr Bros., is housed in the hangar. It has been housed there since 1985. This airplane is used to transport company employees to jobsites, to bid jobs, and to travel to industry meetings and conventions. Luhr Bros, employs two full-time pilots, who regularly report to work at the hangar. The two pilots log approximately 400 flight hours per year in transporting employees of Luhr Bros. The hangar is equipped with a telephone and a desk for use by the pilots. The telephone directory contains a listing for Luhr Bros, at the airport hangar.

The Illinois venue statute requires actions to be commenced in the county of residence of any defendant who is joined in good faith or in the county in which the transaction or some part thereof occurred out of which the cause of action arose. 735 ILCS 5/2—101 (West 1996). This statute reflects a legislative determination that a party should not be required to defend an action in a county that has little or no relation to the party or the transaction that is the subject of the suit. Bucklew v. G.D. Searle & Co., 138 Ill. 2d 282, 288-89, 562 N.E.2d 186, 189 (1990). In this case, neither party contends that the cause of action arose in St. Clair County, Illinois. Therefore, the sole question on appeal is whether Luhr Bros, is a resident of St. Clair, County, Illinois.

For purposes of venue, there are three distinct ways that the residency of a corporation can be established. A corporation is a resident of any county in which it has its “registered office”- or “other office” or is “doing business.” 735 ILCS 5/2—102 (West 1996). With regard to registered office, the legislature has directed that each domestic and each foreign corporation having a certificate of authority in this state shall have and maintain a registered office and a registered agent for the purpose of service of process on the corporation. 805 ILCS 5/5.05, 5.25 (West 1996). The legislature has clearly concluded that because the corporation itself selects the location of its registered office, it is reasonable to require the corporation to defend a lawsuit in the county where the registered office and the agent are located.

The phrase doing business has been construed in numerous reported decisions. These cases usually involve a situation where the corporation does not have a fixed presence in the county by way of a registered office or other place of business. In order for a corporation to be doing business of a character sufficient to satisfy the venue statute, the corporation must be conducting its usual and customary business within the county in which the action is commenced, at the time the action is commenced. Weaver v. Midwest Towing, Inc., 116 Ill. 2d 279, 507 N.E.2d 838 (1987); Stambaugh v. International Harvester Co., 102 Ill. 2d 250, 464 N.E.2d 1011 (1984); Baltimore & Ohio R.R. Co. v. Mosele, 67 Ill. 2d 321, 328, 368 N.E.2d 88 (1977). The activity must be of such a nature as to localize the business and make it an operation within the district. Baltimore & Ohio R.R. Co. v. Mosele, 67 Ill. 2d 321, 328, 368 N.E.2d 88 (1977).

The circuit court held that venue was proper in St. Clair County because it found both that Luhr Bros, was doing business in St. Clair County and that the airport facility qualified as an other office under the venue statute. We will only address the other office provision of the venue statute. Whether the maintenance of the airport facility also constitutes doing business is an issue we need not decide.

Neither the plaintiff nor the defendant has cited any case that construes the phrase other office as used in our venue statute. Similarly, our research has failed to discover any Illinois cases construing this phrase. In arguments before the circuit court and this court, the plaintiff argued that the defendant’s facilities at the Parks Airport in Cahokia, St. Clair County, Illinois, qualify as an other office under the venue statute. Luhr Bros, has disputed this position. Luhr Bros, concedes that it maintains an airplane and a hangar at the St. Louis Downtown Parks Airport in St. Clair County, Illinois, but adamantly denies that this is an office.

Luhr Bros, contends that the phrase other office should be defined as a place for the regular transaction of business or performance of a particular service. Luhr Bros, argues that the airplane hangar does not fall within that definition because no Luhr Bros, employee responsible for the transaction of its regular business reports to work at the hangar. Luhr Bros, argues that its employee-pilots do not work on or bid construction projects and are only responsible for flying employees to and from jobsites. It states that it is not engaged in the business of commercial aviation and was not performing this particular service for profit. Luhr Bros, concludes that the hangar was not a place for the transaction of its business and that therefore venue in St.

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Bluebook (online)
706 N.E.2d 40, 302 Ill. App. 3d 794, 235 Ill. Dec. 780, 1999 Ill. App. LEXIS 5, Counsel Stack Legal Research, https://law.counselstack.com/opinion/melliere-v-luhr-bros-inc-illappct-1999.