Roy Strom Excavating & Grading Co. v. National Bank of Albany Park

281 N.E.2d 427, 4 Ill. App. 3d 561, 1972 Ill. App. LEXIS 1671
CourtAppellate Court of Illinois
DecidedApril 4, 1972
DocketNo. 71-119
StatusPublished
Cited by8 cases

This text of 281 N.E.2d 427 (Roy Strom Excavating & Grading Co. v. National Bank of Albany Park) 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
Roy Strom Excavating & Grading Co. v. National Bank of Albany Park, 281 N.E.2d 427, 4 Ill. App. 3d 561, 1972 Ill. App. LEXIS 1671 (Ill. Ct. App. 1972).

Opinion

Mr. JUSTICE ABRAHAMSON

delivered the opinion of the court:

On June 17, 1970, judgment was entered in favor of George EHefson and against Arthur C. Keller in the amount of $13,236. On July 24, 1970, judgment was entered in favor of Roy Strom Excavating & Grading Co., hereinafter referred to as Strom, against Keller in the amount of $8,284. Thereafter, on July 31, 1970, Norma Keller, wife of Arthur C. KeHer, conveyed certain real estate to a Mr. and Mrs. J. Roy Slovenko but, out of the purchase price, the Chicago Title & Trust Co., as guarantor of title, retained $20,000. to indemnify itself against any defect in title which might arise from Ellefson’s judgment against Keller. On behalf of Strom and EHefson various citations to discover the assets of defendant Keller were issued. Several of the citations to discover assets were served on Norma KeHer. On December 23, 1970, John L. Hughes, Magistrate of the Circuit Court of Lake County, entered an order which determined that Norma KeHer, citation defendant, participated in a fraudulent conveyance and that the funds held by the Chicago Title & Trust Co. be distributed to Strom and EHefson as judgment creditors of her husband, Arthur C. KeHer. This appeal is from that order.

The issues presented involve the contention of Norma Keller that: 1) she was denied a trial to which she was entitled under Section 73(5) of the CivH Practice Act pertaining to discovery of a debtor’s assets (Ill. Rev. Stat. 1969, ch. 110, par. 73(5); 2) the denial of a right to a trial deprived her of due process; 3) the judgment against Norma KeHer improperly presumed fraud, which must be proved; 4) the fihng of a lis pendens of another case (70 CH 236) did not constitute a judgment lien against her in this case to which she was not a party, and 5) the Magistrate lacked jurisdiction over the garnishment action as it exceeded the statutory limit of $10,000.

We deem it necessary only to consider Norma Keller’s contentions 1, 2, and 5 in order to decide this appeal. Most of the brief of the appellees in response to the contentions of the appellant is not based upon substantive law but is devoted to an alleged failure of the appellant to follow proper procedures on appeal. They contend that Norma Keller failed to supply a record from which this court can determine the merits of her appeal; that the appeal should be dismissed because the trial judge’s certificate did not recite that the report of proceedings contained all the evidence; that an insufficient abstract was filed by this appellant; that she was not denied that type of hearing contemplated by a citation to discover assets; and, finally, that the magistrate had jurisdiction to hear the case.

It is essential to the disposition of this case to state the sequence of events chronologically, but as briefly as possible. Strom, a contractor, furnished certain work and materials in October of 1967 for the erection of the Country Club Apartments. On November 3, 1967, Strom filed suit against Country Club Apartments, Inc., to recover for the work and material furnished. Some ten months later, on September 12, 1968, Keller assigned the beneficial interest he had in a certain land trust covering a residence, of which the Harris Trust & Savings Bank was trustee, to his wife, Norma. Later, on November 15, 1968, Strom filed an amended complaint naming Keller, individually, as a defendant and as beneficiary of a land trust which owned the property where Strom had furnished the work and materials. The National Bank of Albany Park, Illinois, trustee under that land trust, was also sued. On November 27, 1968, Keller filed a third-party complaint against Ellefson, contending that Ellefson was a general contractor who had agreed to indemnify Keller against any claim by subcontractors such as Strom. On March 6, 1970, Ellefson filed an answer which denied the allegation of the third-party complaint and counter-claimed against Keller, claiming damages of $13,000. On June 16, 1970, while the case was in trial, Norma Keller directed the Harris Trust & Savings Bank, trustee of a land trust covering the residence, to convey that real estate to her. The next day judgment was entered in favor of Ellefson and against Keller, on Ellefson’s counterclaim in the amount of $13,236. Later, on July 24, 1970, judgment was entered in favor of Strom, and against Keller, on the original complaint in the amount of $8,284. That same order contained a judgment in favor of Ellefson and against Keller on the third-party complaint. As previously stated, on July 31, 1970, Norma Keller conveyed the residence to the Slovenkos, and $20,000 of the purchase price was held by the Chicago Title & Trust Co. to indemnify it against any defect in title arising from Ellefson’s judgment against Keller on June 17, 1970. It is this $20,000 which the appellees, Ellefson and Strom, have recovered pursuant to the magistrate’s order in the citation proceedings and in satisfaction of their judgments.

We first consider Noma Keller’s contention that the magistrate did not have jurisdiction to hear this case as the claim of Ellefson exceeded statutory limit of $10,000 established in cases assignable to magistrates. On the dates that Strom filed his original and amended complaints, the monetary limit of cases assignable to magistrates was $10,000. However, Norma Keller was never a party to that case, and the parties to the case had stipulated that the magistrate hear the case. The citation proceeding involved herein was filed on July 21, 1970, and the jurisdiction of the magistrates had been raised to $15,000, as Supreme Court Rule 295 was amended effective July 1, 1970, to cover “any other civil action in which the amount of money or damages or the value of property claimed does not exceed $15,000.” Even though Ellefson’s claim was for $13,236 and Strom’s claim was for $8,284 and, therefore, totaled more than $15,000, nevertheless each claim was under the $15,000 limit. The test is whether the individual claims exceed the jurisdictional limit. (Ras v. Allan Anthony Electric Corp., 55 Ill.App.2d 176, 181, 182.) Therefore, the magistrate did have jurisdiction of the citation proceedings herein.

AppeUees contend that since Norma KeHer has failed to supply a record from which this court can determine the merits of her appeal, the court should either dismiss the appeal or affirm the judgment of the lower court. It is true that the original record filed by the appellant did not contain any report of proceedings which occurred on September 25, 1970, and there is some question as to whether the report of proceedings on November 20,1970, contained aU or only a portion of the proceedings of that date. Additional transcripts have been filed by the appeHant, over the objection of the appeHee, by leave of this court since the filing of briefs by the parties. Also, since the filing of briefs, to clear up any misunderstanding, the magistrate, on December 2, 1971, entered an order that the reports of proceedings of September 25 and November 20, 1970, certified by the official court reporter, were true and correct transcripts of aU proceedings on those dates. Therefore, at the present time we have a record before us which is sufficient to determine whether or not the citation defendant, Norma KeHer, received the trial or hearing to which she was entitled. Consequently, we wfil not dismiss the appeal or summarily affirm the judgment of the lower court as requested by the appeHees.

A citation to discover assets directed to Nonna Keller was issued in this cause on July 21, 1970.

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

Related

Door Properties, LLC v. Nahlawi
2020 IL App (1st) 173163 (Appellate Court of Illinois, 2020)
Xcel Supply, LLC v. Horowitz
2018 IL App (1st) 162986 (Appellate Court of Illinois, 2018)
Workforce Solutions v. Urban Services of America, Inc.
2012 IL App (1st) 111410 (Appellate Court of Illinois, 2012)
Harmon v. Ladar Corp.
557 N.E.2d 1297 (Appellate Court of Illinois, 1990)
Alan Drey Company, Inc. v. Generation, Inc.
317 N.E.2d 673 (Appellate Court of Illinois, 1974)
Meggison v. Stevens
316 N.E.2d 297 (Appellate Court of Illinois, 1974)

Cite This Page — Counsel Stack

Bluebook (online)
281 N.E.2d 427, 4 Ill. App. 3d 561, 1972 Ill. App. LEXIS 1671, Counsel Stack Legal Research, https://law.counselstack.com/opinion/roy-strom-excavating-grading-co-v-national-bank-of-albany-park-illappct-1972.