Ross Advertising v. Heartland Bank and Trust Company

Advertising company and its guarantors sued bank which had issued revolving line of credit for one year secured by promissory note, alleging breach of contract, breach of implied duty of good and fair dealing, and tortious interference with contract and business relations. Court properly entered summary judgment for bank, as all claims barred by res judicata or collateral estoppel. Final judgments were entered by courts of competent jurisdictions. Same cause of action was litigated in prior cases filed by bank against Plaintiffs. Under transactional test, res judicata applies, as claims asserted by Plaintiff in both cases arise from same core of operative facts: same loan transaction between same parties (or their privies) and same actions taken by Defendants (bank and its loan officer). Breach of implied covenant of good faith and fair dealing is not a recognized cause of action in Illinois (CARTER and WRIGHT, concurring.)