Omega Demolition Corp. v. Illinois State Toll Highway Authority

2022 IL App (1st) 210158, 235 N.E.3d 9
CourtAppellate Court of Illinois
DecidedSeptember 30, 2022
Docket1-21-0158
StatusPublished
Cited by7 cases

This text of 2022 IL App (1st) 210158 (Omega Demolition Corp. v. Illinois State Toll Highway Authority) 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
Omega Demolition Corp. v. Illinois State Toll Highway Authority, 2022 IL App (1st) 210158, 235 N.E.3d 9 (Ill. Ct. App. 2022).

Opinion

2022 IL App (1st) 210158 No. 1-21-0158 Opinion filed ---, 2022

THIRD DIVISION

IN THE APPELLATE COURT OF ILLINOIS FIRST DISTRICT

OMEGA DEMOLITION CORPORATION, ) ) Appeal from the Circuit Court Plaintiff-Appellant, ) of Cook County. ) v. ) No. 19 L 9102 ) THE ILLINOIS STATE TOLL HIGHWAY ) The Honorable AUTHORITY, ) Daniel J. Kubasiak, ) Judge Presiding. Defendant-Appellee. )

JUSTICE GORDON delivered the judgment of the court, with opinion. Presiding Justice McBride and Justice Reyes concurred in the judgment and opinion.

OPINION

¶1 Plaintiff, Omega Demolition Corporation, filed a complaint against the Illinois State Toll

Highway Authority (Tollway), alleging that the Tollway wrongfully revoked its A15

subcontractor approvals without notice or a hearing, resulting in monetary damages sustained

by plaintiff, who was unable to continue doing work on Tollway projects without A15

approvals. The initial complaint did not indicate the nature of the cause of action, but only the

course of events and the claimed damages. The Tollway moved for dismissal pursuant to both

section 2-615 and section 2-619(a)(9) of the Code of Civil Procedure (Code) (735 ILCS 5/2-

615, 2-619(a)(9), 2-619.1 (West 2018). The trial court granted the dismissal pursuant to section

2-615 and granted plaintiff the opportunity to replead. Plaintiff filed an amended complaint No. 1-21-0158

that added nothing more to state a cause of action but included as exhibits the contracts and

subcontracts relevant to the complaint that were not initially included. The Tollway once again

moved to dismiss under section 2-615 and requested that, in the alternative, the court review

its motion to dismiss under section 2-619(a)(9). In plaintiff’s response to the second motion to

dismiss, plaintiff clarified that its complaint was one based on a denial of due process. The trial

court again granted the dismissal under section 2-615 and granted plaintiff a second

opportunity to replead. Plaintiff filed a second amended complaint alleging a protectable

interest in its A15 approvals and alleging a denial of due process. The Tollway once again

moved to dismiss under section 2-615 and once again encouraged the court to, in the

alternative, review its motion to dismiss pursuant to section 2-619(a)(9). The trial court

dismissed with prejudice pursuant to section 2-615, citing plaintiff’s failure to plead facts

sufficient to state a cause of action.

¶2 In this timely appeal, plaintiff argues (1) that its second amended complaint cured the

indicated defects in its first amended complaint by providing a factual basis for its protectable

interest in its A15 approvals and by providing facts about the actions it and the Tollway took

or did not take to restore its A15 approvals; (2) that if its factual pleadings were insufficient,

or if it was required to allege facts showing that the Tollway had abused its authority, it should

have been given a third opportunity to replead; (3) that the Tollway’s revocation of plaintiff’s

A15 approvals was not an action that falls within the exercise of the Tollway’s discretionary

powers; (4) that the order from the chief procurement officer revoking plaintiff’s interim

suspension served as a directive to the Tollway, that it had a duty to follow, to reinstate

plaintiff’s A15 approvals; and (5) that plaintiff’s A15 approvals are similar to a governmentally

awarded license and should be treated the same with regard to what process is followed.

2 No. 1-21-0158

¶3 For the following reasons, we affirm the decision of the trial court.

BACKGROUND

¶4 The facts of this case are undisputed. Prior to April 14, 2016, plaintiff held six separate

contracts to perform bridge demolition work on Illinois state highway projects as a

subcontractor on contracts between other companies and the State of Illinois. Two of those

contracts were with Judlau Contracting, Inc. (Judlau) and four were with F.H. Paschen, S.N.

Nielsen & Associates, LLC (FH Paschen). For a subcontractor to perform any work on a

Tollway project, that subcontractor must complete an A15 subcontractor approval form, which,

upon approval from the Tollway, grants the applicant permission to work as a subcontractor

on Tollway projects. Plaintiff submitted an A15 form and obtained approval from the Tollway.

While appellant cites no authority, aside from its own complaint, to establish that A15

approvals are required to serve as a subcontractor on a Tollway project, the Tollway confirms

in its brief that it does require subcontractors to be approved by the Tollway and the same is

reflected in the contracts in the record between FH Paschen and the Tollway.

¶5 On April 5, 2016, one of plaintiff’s employees was killed and three were injured in an

incident that occurred on a worksite during the course of work being performed pursuant to

plaintiff’s contract with Judlau to perform bridge demolition work on the span of I-90 known

as the Jane Addams Memorial Tollway. There is no information in the record on appeal

indicating whether plaintiff was responsible for the incident, nor the outcome of the

Occupational Safety and Health Administration (OSHA) investigation of the incident causing

the death and injuries. However, this court takes judicial notice of the fact that OSHA cited

plaintiff for multiple health and safety violations related to the incident, including one willful

safety violation, on October 3, 2016. Plaintiff asserts in its appellate brief that it, among others,

3 No. 1-21-0158

has settled with the estate of the employee killed in the incident and that no blame has been

placed on plaintiff for the event, nor has the “cause of the fatality” been determined. According

to an affidavit from Paul Kovacs, the Tollway’s chief engineer, Kovacs was responsible for

overseeing all engineering activities for the Tollway. Kovacs averred that between April 5,

2016, and April 14, 2016, he conducted an internal investigation of the fatal incident that led

to the revocation of plaintiff’s A15 approval, during which he discovered that plaintiff deviated

from the demolition plan without approval from him and that he believes that the incident was

caused, “in whole or in part, by [plaintiff’s] unauthorized deviation from the demolition plan.”

Kovacs averred that it was based upon his investigation that he recommended to the Tollway

that plaintiff’s A15 subcontractor approval be revoked. Nine days after the incident, in a letter

dated April 14, 2016, the same day Kovacs’ investigation was completed, the Tollway

informed FH Paschen that plaintiff’s A15 approvals had been revoked on the four contracts

FH Paschen held on which plaintiff worked as a subcontractor. The letter instructed FH

Paschen to replace plaintiff on any remaining work plaintiff had yet to complete on those

projects but gave no reason for the revocation of plaintiff’s A15 approvals. While no evidence

is provided in the record to show that the Tollway revoked plaintiff’s A15 approvals for the

projects it was contracted with Judlau to work on, plaintiff’s communications with the Tollway

after the revocation mention that its A15 approvals for the Judlau projects were revoked and

the Tollway does not dispute that claim in either its responses to those communications or in

its brief.

¶6 On April 18, 2016, Ellen H.

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

Related

Arcangel v. Yardi Systems, Inc.
Appellate Court of Illinois, 2026
Henry v. Ace Hotel Chicago LLC
Appellate Court of Illinois, 2026
Hernandez v. Ruiz
2026 IL App (1st) 23251 (Appellate Court of Illinois, 2026)
Schaff v. Travelers Home and Marine Insurance Company
2025 IL App (1st) 240276 (Appellate Court of Illinois, 2025)
Tomasello v. State Farm Mutual Automobile Insurance Co.
2025 IL App (1st) 231843-U (Appellate Court of Illinois, 2025)
Everett v. City of Belleville
2024 IL App (5th) 231069-U (Appellate Court of Illinois, 2024)
In re Commonwealth Edison Co. Illinois Consumer Fraud Litigation
2023 IL App (1st) 220105 (Appellate Court of Illinois, 2023)
Remprex, LLC v. Certain Underwriters at Lloyd's London, Syndicates 2623/623
2023 IL App (1st) 211097 (Appellate Court of Illinois, 2023)
Denham v. Dart
2023 IL App (1st) 220745-U (Appellate Court of Illinois, 2023)
Cabrera v. Wiremasters, Inc
2023 IL App (1st) 220484-U (Appellate Court of Illinois, 2023)

Cite This Page — Counsel Stack

Bluebook (online)
2022 IL App (1st) 210158, 235 N.E.3d 9, Counsel Stack Legal Research, https://law.counselstack.com/opinion/omega-demolition-corp-v-illinois-state-toll-highway-authority-illappct-2022.