American Family Mutual Insurance Company v. Tyler

(Court opinion corrected 12/5/16.) Insurer filed subrogation action against City and others from theft by fraud and ultimate recovery of its insured's vehicle. Buyer paid insured for his vehicle using 2 cashier's checks which were later discovered to be counterfeit. Court properly dismissed insurer's complaint as it pertained to City, as City was immune from suit under Tort Immunity Act. Constructive bailment claim is based on "no contract at all", and thus insurer cannot use Act's exception for a municipality's liability for breach of contract. (NEVILLE and PIERCE, concurring.)