Metromedia, Inc. v. Kramer

504 N.E.2d 884, 152 Ill. App. 3d 459, 105 Ill. Dec. 599, 1987 Ill. App. LEXIS 2044
CourtAppellate Court of Illinois
DecidedFebruary 6, 1987
Docket85-2802
StatusPublished
Cited by8 cases

This text of 504 N.E.2d 884 (Metromedia, Inc. v. Kramer) 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
Metromedia, Inc. v. Kramer, 504 N.E.2d 884, 152 Ill. App. 3d 459, 105 Ill. Dec. 599, 1987 Ill. App. LEXIS 2044 (Ill. Ct. App. 1987).

Opinion

PRESIDING JUSTICE SULLIVAN

delivered the opinion of the court;

This is an appeal and cross-appeal from an order (a) granting partial summary judgment to each party in an action for declaratory judgment and a writ of mandamus and (b) dismissing those counts of the complaint alleging tortious interference with contractual relations and prospective economic advantage.

Plaintiff, Foster & Kleiser (F & K) a division of Metromedia, Inc., an outdoor advertising business, filed a two-count amended complaint against defendants, officers of the Illinois Department of Transportation (Department), alleging that the Department wrongfully: (1) revoked two permits issued to it for the construction of billboards on sites adjacent to the Kennedy and Eisenhower Expressways, respectively, and (2) granted permits for those sites to its competitor, National Advertising, Inc. (National). F & K sought a declaration that the revocation of its permits and the subsequent issuance of permits to National were improper and a writ of mandamus to compel the Department to reinstate its permits. Having begun construction of its billboards by the time the complaint was filed, National was granted leave to intervene, following which F & K filed a second-amended complaint seeking damages from National for tortious interference with contractual relations (count III) and prospective economic advantage (count IV). The parties thereafter filed cross-motions for summary judgment as to counts I and II, and F & K moved for partial summary judgment as to counts III and IV. Following a hearing, the trial court (a) granted summary judgment for F & K on count I and ordered the Department to reissue F & K’s permit for the Kennedy site, (b) granted summary judgment for the Department on count II and thereby denied F & K’s request for a writ of mandamus to compel the Department to issue a permit for the Eisenhower site, and (c) dismissed counts III and IV with prejudice. The Department and National appeal from summary judgment for F & K on count I; F & K cross-appeals from summary judgment for the Department on count II and from the dismissal of counts III and IV.

This case involves the Highway Advertising Control Act of 1971 (Ill. Rev. Stat. 1981, ch. 121, par. 501 et seq.) (the Act), the following sections of which are most pertinent to the issues presented:

“Along interstate highways and expressways no two sign structures on the same side of the highway shall be erected less than 500 feet apart. ***” (Ill. Rev. Stat. 1981, ch. 121, par. 506.03(b).)

“No sign, *** may be erected after the effective date of this Act without first obtaining a permit from the Department. The application for a permit shall be on a form provided by the Department and shall contain such information as the Department may reasonably require. Upon receipt of an application containing all required information and appropriately executed and upon payment of a fee of $5, the Department then issues a permit to the applicant for the erection of the sign, provided such sign will not violate any provision of this Act.” (Ill. Rev. Stat. 1981, ch. 121, par. 508.)

“The following signs are unlawful and a public nuisance:

(a) Signs erected after the effective date of this Act in violation of this Act;

(b) Signs not registered in accordance with this Act or in accordance with the regulations established by the Department;

(c) Signs without valid permits, as required by this Act or by regulations established by the Department.” (Ill. Rev. Stat. 1981, eh. 121, par. 510.)

“The Department may establish rules and regulations regarding implementation and enforcement of this Act ***.” (Ill. Rev. Stat. 1981, ch. 121, par. 514.01.)

One of the regulations established by the Department states that “[application to erect a new sign must be submitted to the Department *** on Form BRW 1171 or BRW 1172” (92 Ill. Admin. Code 552.801(b) (1985)), both of which require the applicant to “[ajttach a copy of the executed lease.”

On August 10, 1981, F & K submitted an application on Department Form BRW 1171 for a permit to erect a billboard on property owned by the Chicago and Northwestern Railway Co. (CNW) at a location 700 feet south of Montrose Avenue on the west-side right-of-way adjacent to the Kennedy expressway, a site represented to be 550 feet from the nearest existing or proposed sign. In the space below paragraph 14, directing the applicant to attach a copy of the executed lease, was written “#32642,” identified by Kelly Fields, an employee in F & K’s public relations department, as an internal bookkeeping number assigned to the sign application file in the company’s “lease register.” The application was approved and a permit — tag number 1 — 1428—was issued the following day by George Gianis, chief of the Department’s Cook County signboard section. 1

On November 4, 1981, National also applied for a permit to construct a billboard on the west side of the Kennedy Expressway on property designated on the first page of the application as belonging to Kane-Miller Properties, Inc. (K-M) at 4404 West Berteau Avenue in Chicago. According to the application — to which a document purporting to be an executed lease between National and K-M was attached 2 — the sign was to be erected “Vz mile” south of Montrose Avenue and 569 feet from the nearest other constructed or proposed sign. On the basis of this information, Gianis issued a permit (1 — 1483) to National for the K-M site on November 13,1981.

On February 4, 1982, shortly before the expiration of the 180-day period given a permittee to construct a sign on the permit site, 3 F & K reapplied for a permit for the CNW location. Notwithstanding that, as before, no lease was attached to the application, on March 9, 1982, Gianis issued a second permit (1 — 1559) to F & K therefor.

On April 16, 1982, after determining, during a field check of the K-M site, that not only was it less than 1 !z mile south of Montrose Avenue but, in fact, less than 500 feet from the proposed location of F & K’s sign, Gianis sent a letter advising National that, due to the spacing requirements of the statute, the permit issued to it in November 1981, was revoked.

Sometime in late April 1982, Robert Stapleton, an employee of National, informed Gianis that when he contacted the real estate attorney for CNW to find out the exact location of F & K’s proposed sign so as to determine the feasibility of constructing its sign in that area without there being another spacing conflict, he was told that, although presented with an “offer to lease” in August 1981, F & K had not returned an executed copy indicating its acceptance thereof.

When Matthew Jones, Gianis’ supervisor, learned — apparently through Stapleton — that Gianis had been issuing permits to F & K despite its failure to furnish leases with its applications, he reminded Gianis that the practice violated Department regulations and ordered that it be stopped.

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Bluebook (online)
504 N.E.2d 884, 152 Ill. App. 3d 459, 105 Ill. Dec. 599, 1987 Ill. App. LEXIS 2044, Counsel Stack Legal Research, https://law.counselstack.com/opinion/metromedia-inc-v-kramer-illappct-1987.