New Planet Energy Development LLC v. Magee

2020 IL App (4th) 200043
CourtAppellate Court of Illinois
DecidedDecember 3, 2020
Docket4-20-0043
StatusPublished
Cited by1 cases

This text of 2020 IL App (4th) 200043 (New Planet Energy Development LLC v. Magee) 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
New Planet Energy Development LLC v. Magee, 2020 IL App (4th) 200043 (Ill. Ct. App. 2020).

Opinion

FILED 2020 IL App (4th) 200043 December 3, 2020 Carla Bender NO. 4-20-0043 th 4 District Appellate Court, IL IN THE APPELLATE COURT

OF ILLINOIS

FOURTH DISTRICT

NEW PLANET ENERGY DEVELOPMENT LLC, NPE ) Appeal from the HOLDINGS LLC, and NPE STONY POINT LAND ) Circuit Court of LLC, ) Sangamon County Plaintiffs-Appellants, ) No.18L80 v. ) PATRICK MAGEE SR.; PATRICK MAGEE JR.; MBC ) CONTRACTOR, INC.; MBC HOLDING LLC; LLS ) Honorable HOLDING LLC; and KBT PROPERTIES, LTD., ) John W. Belz, Defendants-Appellees. ) Judge Presiding. ______________________________________________________________________________

JUSTICE HARRIS delivered the judgment of the court, with opinion. Presiding Justice Steigmann and Justice DeArmond concurred in the judgment and opinion. OPINION

¶1 In April 2018, plaintiffs—New Planet Energy Development LLC, NPE Holdings

LLC, and NPE Stony Point Land LLC—brought a cause of action in the circuit court of Sangamon

County, Illinois, against defendants—Patrick Magee Sr.; Patrick Magee Jr.; MBC Contractor, Inc.;

MBC Holding LLC; LLS Holding LLC; and KBT Properties, LTD.—alleging breach of contract,

breach of the duty of good faith and fair dealing, fraud, and unjust enrichment. In January 2020,

the circuit court granted defendants’ motion to dismiss on forum non conveniens grounds, finding

Rockland County, New York, was the more appropriate forum. Plaintiffs appeal, arguing the court

should not have addressed the merits of defendants’ forum non conveniens motion because it was

untimely under Illinois Supreme Court Rule 187 (eff. Jan. 1, 2018) and defendants failed to show “good cause” for extending the filing deadline for their motion pursuant to Illinois Supreme Court

Rule 183 (eff. Feb. 16, 2011). Alternatively, plaintiffs contend the relevant public and private

interest factors for consideration did not favor granting defendants’ motion and, thus, the court

abused its discretion. We reverse and remand for further proceedings.

¶2 I. BACKGROUND

¶3 According to the pleadings, plaintiffs are a group of companies that develop

“long-term solutions” for the disposal of municipal solid waste, including “converting

post-recycled [municipal solid waste] into renewable solid recovered fuel and clean bio-fuels.” In

September 2015, the parties entered into an agreement regarding plaintiffs’ development of a solid

waste processing facility on properties owned by defendants in Stony Point, New York (the Stony

Point project).

¶4 As indicated, on April 26, 2018, plaintiffs filed their complaint against defendants

in the circuit court of Sangamon County. They alleged the parties’ agreement provided for

plaintiffs’ purchase of a 50% interest in defendants’ properties through installment payments

totaling $3,700,000, and with plaintiffs receiving a pro rata share of ownership of the land based

on payments made, a lease option, and defendants’ receipt of a 5% equity interest in plaintiffs’

companies, including “all future projects (NY, NJ, CA and more) ***.” Plaintiffs maintained that,

although they performed under the parties’ agreement by paying defendants “$3,600,000 in

exchange for ownership and leasehold rights in” defendants’ properties, defendants failed to

provide plaintiffs with “anything in return,” including any ownership rights in the subject

properties. Plaintiffs sought to recover damages from defendants, restitution for payments they

made to defendants, or specific performance under the terms of the parties’ contract.

-2- ¶5 In their complaint, plaintiffs additionally alleged they were each organized under

Delaware law, with a principal place of business in Springfield, Illinois. They asserted that,

collectively, they had “numerous investors, more of whom are from *** Illinois than any other

state.” Plaintiffs represented that defendants were either individuals who were New York residents

or entities organized under New York law with principal places of business in that state. They

maintained that venue was proper in Illinois, asserting the case involved “extensive contacts” with

Illinois, including that plaintiffs had more investors from Illinois than any other state; their vice

chairman and treasurer, Jay Johnson, resided in Springfield, Illinois, and was “responsible for

managing [plaintiffs’] strategy and operations from [their] Springfield place of business”;

defendant Patrick Magee Jr. attended at least one meeting with Johnson in Springfield in March

2017 in connection with the Stony Point project; defendants conducted multiple telephone

conferences with Johnson in Springfield; and defendants’ agents otherwise communicated

extensively with Johnson in Springfield.

¶6 On July 16, 2018, defendants filed a “Consent Motion for Extension of Time to

Respond to Plaintiffs’ Complaint.” They alleged their responsive pleading was due that day and

requested a 14-day extension of time, to July 30, 2018, to file their pleading. According to

defendants, plaintiffs agreed to their request. The record does not contain a ruling on defendants’

motion but does show that they filed their answer on July 30, 2018, along with various affirmative

defenses and counterclaims for fraud, tortious interference, breach of contract, and breach of the

covenant of good faith and fair dealing. On August 30, 2018, plaintiffs filed motions to strike and

dismiss defendants’ affirmative defenses and to dismiss their counterclaims, arguing they were not

properly pled.

-3- ¶7 On December 7, 2018, defendants filed a “Consent Motion,” seeking leave to file

an amended answer, affirmative defenses, and counterclaims to plaintiffs’ complaint. They

asserted plaintiffs consented to an amended pleading; attached their amended answer, affirmative

defenses, and counterclaims as an exhibit to their filing; and asked the circuit court to enter an

order accepting their amended pleading as being filed as of the date of their motion. The record

contains neither a court ruling on defendants’ motion nor a file-stamped amended answer,

affirmative defenses, and counterclaims.

¶8 Nevertheless, on January 7, 2019, plaintiffs filed a response to defendants’

amended affirmative defenses. On January 10, 2019, they again moved to dismiss defendants’

amended counterclaims. On April 10, 2019, the circuit court conducted a hearing in the matter, at

which it granted plaintiffs’ motion to dismiss defendants’ counterclaims but allowed defendants

28 days to refile, i.e., until May 8, 2019. On the date of their refiling deadline, defendants moved

for an extension of time to May 15, 2019. The court granted defendants’ motion, and, on May 15,

2019, they filed their second amended counterclaims. Once again, plaintiffs moved to dismiss

defendants’ counterclaims.

¶9 On September 3, 2019, while plaintiffs’ motion to dismiss defendants’ second

amended counterclaims was pending, defendants filed a motion to dismiss plaintiffs’ complaint on

forum non conveniens grounds. They maintained the parties’ dispute was “only tenuously

connected to Sangamon County, Illinois” and, instead, should be litigated in Rockland County,

New York. Defendants argued relevant factors for consideration favored New York as the proper

forum over Illinois, asserting they had no ties to Illinois and were New York residents or entities

organized under New York law; plaintiffs lacked a central location in that they were organized

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Related

New Planet Energy Development LLC v. Magee
2020 IL App (4th) 200043 (Appellate Court of Illinois, 2020)

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Bluebook (online)
2020 IL App (4th) 200043, Counsel Stack Legal Research, https://law.counselstack.com/opinion/new-planet-energy-development-llc-v-magee-illappct-2020.