Seno v. Franke

147 N.E.2d 469, 16 Ill. App. 2d 39
CourtAppellate Court of Illinois
DecidedFebruary 10, 1958
DocketGen. 47,190
StatusPublished
Cited by13 cases

This text of 147 N.E.2d 469 (Seno v. Franke) 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
Seno v. Franke, 147 N.E.2d 469, 16 Ill. App. 2d 39 (Ill. Ct. App. 1958).

Opinion

JUSTICE ROBSON

delivered the opinion of the court.

This is an appeal from an order sustaining defendants’ motion for summary judgment in an action by plaintiffs to recover damages alleged to be due them. In a prior separate action against defendant Franke alone, plaintiffs sought to recover a commission on the basis of a breach of the contract set forth in their present statement of claim. The trial of that case re-suited in the ruling that the contract was invalid and not binding upon the defendant. In the present action the trial court determined that the judgment in the prior suit was res judicata as to all issues raised by the plaintiffs’ present statement of claim.

The essential facts as revealed by the statement of claim, motions to strike and dismiss, counteraffidavits, defenses, replies, interrogatories, answers, and the defendants’ motion for summary judgment with supporting affidavit, indicate that the only question before this court is whether or not the contentions contained in these various documents establish any substantial issue of fact precluding summary judgment.

On February 17, 1955, defendant Franke signed a written agreement to sell defendant Glover a parcel of improved real estate for $150,000. The agreement further provided that defendant Franke would pay plaintiffs a five per cent broker’s commission. Defendant Franke repudiated her contract by a letter to plaintiffs on March 4,1955. Both plaintiffs and defendant Glover treated the letter as an anticipatory breach of contract. Plaintiffs filed an action against defendant Franke on March 22, 1955, to recover their commission. In her third amended defense to plaintiffs’ statement of claim in that action defendant Franke alleged in substance as follows: that on February 17, 1955, she was in intense pain, under sedatives, and thereby without full benefit of her mental faculties; that on that date she did not know or understand the nature and extent of the contract signed by her; that she had never known or dealt with either of the plaintiffs prior to February 17, 1955, on which date one or both of them appeared at her home and importuned her to sign the contract; that she was unfamiliar with the English language and unable to speak, read, or write it with complete understanding; and, finally, that at the time of the execution of the contract, and subsequently on March 4, 1955, the defendant’s mental condition was insufficient to comprehend the nature of the contents of the documents executed by her on those respective dates, but that had she understood them she would not have signed them. Trial on the issues resulted in a judgment for defendant Franke. The plaintiffs took an appeal from the judgment on January 3, 1956.

One day later defendants settled a suit for specific performance which had been filed by Glover on March 22, 1955, by an agreement providing that the premises should be sold to a third party and that Glover was to pay Mrs. Franke’s costs, plus one-half of any broker’s commission which she might be required to pay, whether by reversal on appeal, judgment, or settlement. On the same day, January 4, an escrow was established at the Chicago Title and Trust Company to facilitate a conveyance to the new purchaser or purchasers. A warranty deed conveying the property from defendant Franke to defendant Glover, dated October 20,1955, was recorded in Cook county on February 20, 1956. The plaintiffs petitioned to vacate the judgment against them and moved for a new trial on March 13, 1956, alleging the warranty deed as newly discovered evidence. The petition and motion were denied. No appeal was taken from that order. Plaintiffs dismissed the earlier appeal. They filed the present suit against defendants Franke and Glover on May 2, 1956.

The instant statement of claim is in two parts. The first contains a claim solely against defendant Franke; the second contains a claim against defendants Franke and Glover jointly. The portion of the statement directed against defendant Franke alleges the plaintiffs’ occupation as licensed real estate brokers, the execution of the contract for the sale of realty on February 17, 1955, the agreement therein to pay a broker’s commission, and the conveyance of the property from Franke to Glover on February 20, 1956, together with a claim for damages against defendant Franke alone for $7,500.

The second portion of the statement, which purports to state a case against both defendants jointly, alleges a conspiracy to defraud the plaintiffs of their commission. There the plaintiffs reallege their status as real estate brokers and the execution of the contract. In substance, the further allegations of the second portion of the plaintiffs’ statement of claim read as follows: that defendant Franke falsely renounced her intention to sell under the contract on March 4, 1955; that the defendants wilfully, knowingly, and maliciously conspired to defraud the plaintiffs of their commission by pretending that defendant Franke had been fraudulently induced to execute the contract and that Glover was not a ready, willing and able buyer; that the defendants in furthering their conspiracy established an escrow on January 4, 1956, at the Chicago Title and Trust Company, in a sham settlement of the suit between them for specific performance; that defendant Franke conveyed the property to defendant Glover on February 20, 1956; that on the same date defendant Glover conveyed the property in trust to the La Salle National Bank for the purpose of concealing from the plaintiffs the actual owner of the property; that all of the pretenses of the defendants were false, known to them to be false, and were made with the intent to defraud the plaintiffs. The plaintiffs claim $7,500 in damages, plus interest against both defendants. Plaintiffs contend that the contract between defendants was actually consummated after judgment was entered against them and that they are therefore entitled to recover a commission on the basis of new or additional facts.

The fundamental question presented by this appeal is whether or not the trial court erred in granting defendants’ motion for summary judgment. The answer turns on the presence or absence of any genuine material issue of fact. No factual issue has been raised by that portion of the complaint which is directed only against Mrs. Franke. The plaintiffs’ right to maintain an action on the contract to recover a broker’s commission has previously been adjudicated. It is generally well settled in Illinois, and elsewhere, that where the existence and validity of a contract is once put in issue and adjudicated, that issue is conclusively determined in so far as the parties and their privies are concerned. Mahannah v. Mahannah, 292 Ill. 133 (1920); Central Investment Co. v. Melick, 267 Ill. 564 (1915); Hanna v. Read, 102 Ill. 596 (1882); Noyes v. Kern, 94 Ill. 521 (1880); Serafín v. Reid, 335 Ill. App. 512 (1948); 2 Freeman on Judgments, Sec. 894 (5th Ed. 1925).

The second portion of the complaint, however, presents problems which are not so easily resolved. The allegations, as heretofore stated, allege conspiracy by both defendants to defraud plaintiffs of their broker’s commission. It sets forth the elements necessary to an action for fraud and deceit.

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Bluebook (online)
147 N.E.2d 469, 16 Ill. App. 2d 39, Counsel Stack Legal Research, https://law.counselstack.com/opinion/seno-v-franke-illappct-1958.