Transitional Care of Lake County, LLC v. American Federation of State, County and Municipal Employees, Council 31

2025 IL App (2d) 250271-U
Appellate Court of Illinois·Decided September 9, 2025·No. 2-25-0271·Unpublished

Opinion

No. 2-25-0271

Order filed September 9, 2025

NOTICE: This order was filed under Supreme Court Rule 23(b) and is not precedent except in the limited circumstances allowed under Rule 23(e)(1).

IN THE

APPELLATE COURT OF ILLINOIS

SECOND DISTRICT

TRANSITIONAL CARE OF LAKE ) Appeal from the Circuit Court COUNTY, LLC, ) of Lake County.

)

Plaintiff-Appellant, )

)

v. ) No. 25-LA-251 )

AMERICAN FEDERATION OF STATE, ) COUNTY AND MUNICIPAL EMPLOYEES ) COUNCIL 31, ) Honorable ) Joseph V. Salvi,

Defendant-Appellee. ) Judge, Presiding.

JUSTICE SCHOSTOK delivered the judgment of the court.

Justices Hutchinson and Jorgensen concurred in the judgment.

ORDER

¶1 Held: (1) We have jurisdiction to hear plaintiff’s appeal; (2) The trial court did not err in denying plaintiff a preliminary injunction because it was an unconstitutional prior restraint on defendant’s free speech rights.

¶2 Plaintiff, Transitional Care of Lake County, LLC, sued defendant, American Federation of State, County and Municipal Employees, Council 31, for statements made by defendant after breakdowns in collective bargaining agreement (CBA) negotiations between the parties. Plaintiff sought a preliminary injunction to prevent further alleged business disparagement in violation of

the Uniform Deceptive Trade Practices Act (Act) (815 ILCS 510/1 et seq. (West 2024)). The trial court denied the motion for a preliminary injunction and plaintiff appealed. We affirm. ¶3 I. BACKGROUND ¶4 The following facts are drawn from the allegations in plaintiff’s verified first amended complaint, which we take as true for purposes of this appeal. See Smith v. Department of Natural Resources, 2015 IL App (5th) 140583, ¶ 23. ¶5 Plaintiff owned a personalized medical rehabilitation facility in Mundelein called Thrive of Lake County (Thrive). Defendant is a trade union whose members are employed by plaintiff in clinical, clerical, and resident services roles. The parties were most recently bound by a CBA that was negotiated in 2021 and effective until March 31, 2024. ¶6 In 2022, the parties negotiated a memorandum of understanding (MOU) that, among other things, set staffing ratios relative to resident counts for nurses and nurse aides that worked in the memory care and long-term care units at Thrive. However, after several months the MOU became financially and logistically inviable. Plaintiff said that the MOU limited its ability to reassign nursing staff between units if one unit had a higher-than-normal level of acuity while another had a lower-than-normal level of acuity. As a result, the parties negotiated a new MOU in 2023, which set a fixed number of nurses and nurse aides, rather than a ratio relative to resident count. ¶7 In 2024, the parties agreed to new CBA terms. According to plaintiff, the agreed-upon procedure to formalize this agreement was for defendant to prepare a final draft of the CBA and send it to plaintiff for its review and final agreement to the terms, after which the CBA would be ready for the parties to ratify. For defendant, the ratification process required a vote of a majority of its members in favor of adopting the CBA. Plaintiff alleges that defendant did not follow this process but unilaterally altered the proposed CBA terms by adding the staffing ratio from the 2022

MOU. Defendant also allegedly submitted the altered proposed CBA for member votes without first sending it to plaintiff for approval. As a result of this, the CBA negotiations came to a halt. ¶8 On March 18, 2025, defendant posted a billboard on State Route 83 west of U.S. Highway 45 in Mundelein. According to the complaint, every week over 200,000 vehicles passed through this intersection, which was about a quarter mile from the entrance to Thrive. The billboard featured a picture of an older man who appears to be asking “IS thrive SAFE?” with the word “thrive” appearing in the same font used on Thrive’s marketing materials. The billboard also instructs readers to “Tell Ignite/Thrive: Safe Staffing Now!” with a URL for “IsThriveSafe.com.” (Ignite Medical Resorts is Thrive’s operating company.) The billboard also featured defendant’s logo in the bottom left corner. According to the record, the billboard was taken down sometime before May 12, 2025. ¶9 When one visited the website, the page was redirected to a petition. At the top was defendant’s logo with the title “Add Your Name: Safe Staffing at Thrive” below it. The website offered the ability to “Sign This Petition” with the “Target” listed as “Thrive of Lake County/Ignite Medical Resorts.” It provided fields for users to fill in their name, email, zip code and comments. The website also republished the billboard and featured text that said:

“For years, Thrive of Lake County employees have put resident care first by insisting that their union contract include safe-staffing ratios that improve resident health and outcomes.

Last year, Thrive management agreed to a new contract that maintains these ratios—but the nursing home and its operating company, Ignite Medical Resorts, have since refused to sign or implement the agreement.

That’s illegal. And it’s especially concerning because nursing homes with private equity and real estate investment trust investors—like Thrive of Lake County—tend to have lower staffing, worse care and higher resident-mortality rates.”

Below the text, the website said that it was sponsored by defendant. The website included a petition at the bottom, which stated:

“To: Thrive of Lake County/Ignite Medical Resorts From: [Your Name]

We the undersigned call on Thrive of Lake County/Ignite Medical Resorts to prioritize residents not profits, immediately honor the collective bargaining agreement negotiated with its employees represented by AFSCME Local 2452, and maintain the contract’s safe-

staffing provisions. We will not accept corners being cut to increase corporate profits while diminishing quality of care. Thrive/Ignite should respect its employees, value their work, and immediately sign and implement their union contract.”

¶ 10 Based on these allegations, plaintiff sued for violations of the Act, commercial disparagement, defamation per se, defamation per quod, and false light. Plaintiff alleges that defendant falsely claimed on the billboard and website that plaintiff does not have safe staffing levels, its staffing levels are illegal, plaintiff wants to continue to maintain the illegal and unsafe staffing levels, plaintiff agreed to a CBA with defendant regarding the staffing ratios, it was illegal for plaintiff to not sign the CBA, plaintiff’s staffing levels resulted in worse care and higher resident mortality rates, and plaintiff was prioritizing profits over the safety of residents. Plaintiff says that its staffing levels met or exceeded the minimum staffing levels imposed by Illinois and federal law. As a result of defendant’s actions, plaintiff alleges that its resident count declined and it lost revenue.

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Transitional Care of Lake County, LLC v. American Federation of State, County and Municipal Employees, Council 31, 2025 IL App (2d) 250271-U (Ill. Ct. App. 2025).

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