Commercial Banking, Collections, and Bankruptcy

Dist. Ct. erred in granting defendant's motion for summary judgment in action alleging that defendant breached oral promise to give plaintiffs 50% of equity in defendant's company if defendant subsequently obtained 100% of said company, where basis for Dist. Ct.'s order was finding that plaintiffs could not establish viable estimate for any damages arising out of defendant's alleged broken promise to plaintiffs. Actual purchase price that defendant paid for remaining portion of ownership interest in company was sufficient to form potential basis for plaintiff's calculation of damages, and possibility that plaintiffs undervalued defendant's company was not sufficient reason to dismiss case. Moreover, defendant's failed to show how plaintiff's delay in quantifying their damages warranted dismissal of lawsuit.

Dist. Ct. erred in dismissing plaintiff's putative class action lawsuit alleging state-law claims of breach of contract, promissory estoppel, fraud and deceptive business practices under Ill. Consumer Fraud and Deceptive Business Practices Act (ICPA) arising out of alleged scheme in which defendant-bank issued 4-month temporary trial loan under Home Affordable Mortgage Program (HAMP) to plaintiff and other homeowners seeking to avoid foreclosure on their homes, but then refused to grant plaintiff and others permanent modifications on their mortgages even though plaintiff and others qualified for said modifications under HAMP guidelines. Plaintiff sufficiently alleged breach of contract, promissory estoppel, fraud and ICPA actions, but could not proceed on negligent misrepresentation or concealment counts since plaintiff asserted in those counts only economic damages arising from her contractual relationship with defendant. Moreover, although Ct. noted that HAMP did not provide plaintiff with private cause of action, Ct. rejected defendant's argument that instant state law claims were either preempted by federal law or constituted improper attempt to assert cause of action under HAMP.