Ethics FYIReal Estate Law, June 2025Real estate transactions and related litigation can raise various ethical challenges. If faced with such issues, attorneys are encouraged to contact the ARDC ethics hotline at (312) 565-2600 or (800) 826-8625 for guidance—support is always available.
Real Estate Information Providers – LiabilityBy R. Kymn HarpReal Estate Law, June 2025The article discusses how real estate professionals may hold third-party information providers liable for negligent misrepresentation if faulty information causes financial loss. Under Illinois law, such claims are limited by the Moorman Doctrine, which bars recovery for purely economic loss—unless the provider is a “pure information provider.” Liability depends on the provider’s role, the nature of their work, and whether they had a duty to provide accurate information.
Rural Illinois Data Center Boom: Landowners, Are You Ready?By Ruth RobinsonReal Estate Law, June 2025Tech companies, including Meta, are pressing into unexpected parts of the country, on the hunt for huge swaths of flat land that have access to natural gas and transmission lines. Sleepy parts of Illinois, with large tracts of farmland that have nearby infrastructure to support the huge electricity demand that data centers require, are being shopped right now. The boom is on.
Tech TipReal Estate Law, June 2025Tired of receiving emails you don’t want? Instead of simply hitting delete, take an extra five seconds to unsubscribe.
Air Rights DevelopmentBy R. Kymn HarpReal Estate Law, May 2025This article is the second part of a two-part series. The article explores practical applications of air rights in real estate development, focusing on how developers can maximize value from underutilized zoning potential. Using hypothetical scenarios in Chicago, it explains how a property owner can sell unused development rights above a low-rise building to another party for high-rise development, or how adjoining properties can be combined into a single zoning lot to expand buildable floor area under zoning regulations. Key legal and logistical considerations include zoning laws, FAR, easements, and covenants. The article highlights how air rights can be leveraged as a strategic asset to increase returns and optimize land use.
Caveat SearcherReal Estate Law, May 2025A reminder to real estate practitioners to be thorough and flexible with search terms, especially for real estate matters involving liens or judgments.
Chicago Northwest Side Preservation OrdinanceBy Bob Floss, IIReal Estate Law, May 2025[For attorneys practicing outside of Chicago, please do not disregard this article.] Bob Floss reviews an extremely controversial ordinance now in effect in one ward of Chicago. Floss discusses why this topic is important to all attorneys in Illinois. The concept of government awarding tenants a right of first refusal is not new. The first Tenant Opportunity to Purchase Act (TOPA) was introduced in Washington D.C. in 1980. The law gained some traction in the East Coast, expanding to Takoma Park, Maryland, in 1987, but remained isolated to those areas. Recent sentiment for housing as a human right has renewed interest in the law and sudden expansion.
Here Comes the FloodBy Bob Floss, IIReal Estate Law, May 2025It has been 56 years since George Harrison first wrote “Here Comes The Sun.” Had he been a real estate attorney, the verse would read, “Here Comes the Flood.” It is an unfortunate reality that every real estate attorney must face at some point in their career: a client who recently purchased or sold a home, and there is water in the basement. Two appellate court cases have offered some clarity for practitioners counseling their clients on the possibility of litigation.
Tax Increment Financing: A Valuable Development Tool – IllinoisBy R. Kymn HarpReal Estate Law, May 2025Tax Increment Financing (TIF) is a public funding tool used to revitalize blighted or aging areas by reimbursing developers for certain costs using the increased property tax revenue their projects generate. It helps make otherwise unfeasible projects viable without diverting existing tax funds. TIF districts last up to 23 years (extendable to 35), and funding is only approved if the project wouldn’t happen without it (applying the “but for” test). It’s widely used to promote economic development and eliminate commercial blight.
Tower of Babel: Trump Tariff Impact on the Illinois Real Estate AttorneyBy Donald Hyun Kiolbassa & Emily HolmesReal Estate Law, May 2025The article argues that globalization is collapsing, largely due to rising tariffs and nationalist policies, especially in the U.S. This shift will have significant economic impacts, including a potential resurgence of domestic manufacturing in the Midwest. For Illinois real estate attorneys, this presents a major opportunity, particularly with the growth of data centers and energy infrastructure needed to support the rise of Agentic AI—a new phase of artificial intelligence that operates with minimal human input. The authors urge real estate professionals to focus on emerging markets outside of Chicago, as smaller towns may benefit most from these developments.
AIR RIGHTS DEVELOPMENTBy R. Kymn HarpReal Estate Law, April 2025An introduction to air rights. “Air rights" are part of the "bundle of rights" constituting fee simple title to real estate. They comprise an interest in land, although not the surface of the land. The term air rights generally refers to the right of the owner of a parcel of land to use the space above the land. This article is part one of a two-part series.
Case Summary Related to Easement Issue: 166 Symphony Way, LLC v. U.S. Property Investments Group, LLC, 2025 IL App (2d) 240040By James CreppelReal Estate Law, April 2025In 166 Symphony Way, LLC v. U.S. Property Investments Group, LLC, 2025 IL App (2d) 240040, the Second District Appellate Court considered the second appeal in a case involving a driveway easement dispute. The Defendant-Appellant, U.S. Property Investments Group, LLC (USP), argued that the trial court erred on remand by awarding attorneys' fees to the Plaintiffs-Appellees, 166 Symphony Way, LLC, and The Haight Company. USP also contended that the trial court wrongly denied its motion for indemnification. Ultimately, the court found USP’s arguments unpersuasive, as these issues were resolved earlier in the case and could not be relitigated.
Case Summary: Poundstone v. Cook, 2025 IL App (3rd) 240322By Philip J. VaccoReal Estate Law, April 2025In the last couple of years, Illinois courts have released several decisions arising from the discovery of post-closing defects and whether the seller breached the seller's obligation to properly disclose the same. These decisions have typically revolved either around the issue of awarding legal fees to the prevailing party or the determination of whether the evidence was sufficient to establish that the seller had actual knowledge of the alleged defect. The case of Poundstone vs. Cook is another such case that transactional attorneys should become familiar with, because it examines the reasonableness of the seller's claim that the repairs the seller made actually addressed the problems.
The Consequence of Failing to Find the LeakBy Gary R. GehlbachReal Estate Law, April 2025Since October 1, 1994, Illinois law has required owners of residential real property to provide a detailed disclosure when the property is transferred pursuant to “sale, exchange, installment land contract, assignment of beneficial interest, lease with an option to purchase, ground lease, or assignment of ground lease,” with limited exceptions. The consequences of the failure to honestly disclose defects of the property can be significant, as the defendant learned in the recent Third District Appellate Court decision, Poundstone v. Cook.
Editors’ NoteBy Michael J. Maslanka & Nicolette L. SonntagReal Estate Law, April 2025A brief note from the editors.
TIPReal Estate Law, April 2025A tip for practitioners on using Adobe Acrobat Reader’s Find Text or Tool function.
CALL FOR ARTICLES!Real Estate Law, March 2025Information on submitting articles for the newsletter.
Case Summary: ZHY Inv., LLC v. Hsing By Leslie HairstonReal Estate Law, March 2025In re County Treasurer and Ex Officio Cty. Collector of DuPage County, 2024 IL App (3d) 220465 involves an appeal by ZHY Investments, LLC, from the circuit court in the 18th Judicial Circuit, granting Hsing’s motion to vacate an order issuing a deed to ZHY for property located in Naperville, owned by Hsing.
The Sword of Damocles and Artificial Intelligence in LawBy Donald Hyun Kiolbassa & Emily HolmesReal Estate Law, March 2025A discussion of the Sword of Damocles story to draw a lesson—artificial intelligence should be used only as an augmentation of the attorney. The attorney needs to have a metaphorical sword over their head.
Case SummariesBy Joseph W. RogulReal Estate Law, February 2025Two recent Illinois cases are noted here that may be instructive in some practical respects for real state practitioners who have occasion to litigate similar issues.
Case Summary: Wells Fargo Bank, N.A. v. RodriguezBy Greg C. AndersonReal Estate Law, February 2025Wells Fargo Bank, N.A. v. Rodriguez is of special interest to those involved in situations where a lender has filed multiple foreclosure actions against a borrower. Wells Fargo Bank initiated three separate foreclosure complaints against its borrower. The borrower was successful in having the third foreclosure case dismissed, based on a violation of the “single refiling rule.” The Third District affirmed the dismissal.
Killing the Golden Goose: Chicago’s Northwest Side Preservation OrdinanceBy Donald Hyun Kiolbassa & Emily HolmesReal Estate Law, February 2025The City of Chicago's Northwest Side Preservation Ordinance gives tenants of residential real estate the right of first refusal to purchase the property. The Ordinance was passed allegedly to stop gentrification but, in practice, it is stripping away the rights of homeowners.
Did You Know?Real Estate Law, January 2025Some of Illinois land is described as West of the 2nd principal meridian and some as East of the 4th principal meridian.
Little Red Riding Hood: Private Equity Owning Law FirmsBy Donald Hyun Kiolbassa & Emily HolmesReal Estate Law, January 2025Loosely speaking, private equity firms are investment companies that focus on private companies. A classic example of a private equity firm looks like this. For whatever reason, a business owner is looking to divest risk and exit the owner's business. The private equity firm comes in and buys the company from the founder.
The Logistics of Handling Powers of Attorney Under the Recent Amendments to the Act – Reasonable and Unreasonable Cause to RefuseBy Michael J. FleckReal Estate Law, January 2025Senate Bill 3421 was enacted as Public Act 103-0994 on August 9, 2024, to be effective January 1, 2025. The Public Act makes certain changes to the Illinois Power of Attorney Act, specifically under Section 2-8. This article will focus on the practical logistics of handling powers of attorney due to these recent amendments, to minimize the chance that powers of attorney are rejected by a third party.
The New Multi-Board 8.0 Residential Real Estate ContractBy Philip J. VaccoReal Estate Law, January 2025While some technical issues with the 7.0 contract have been addressed, other issues have been created which will provide plenty of fodder for the legal profession to justify its continued involvement in residential real estate transactions. This article highlights some of these issues.
Some IRS Changes for 2025!Real Estate Law, January 2025A brief list of new IRS changes of interest to ADR practitioners.
Burrink Commercial Services v. New Life Covenant ChurchBy Samuel H. LevineReal Estate Law, December 2024In Burrink Commercial Services v. New Life Covenant Church, the appellate court dismissed a complaint to foreclose a mechanics lien as factually insufficient because the complaint improperly characterized two contracts as one.
