Real Estate Law

Finite Resources, Ltd. v. DTE Methane Resources, LLC

Federal 7th Circuit Court
Civil Court
Conversion
Citation
Case Number: 
No. 21-1512
Decision Date: 
August 11, 2022
Federal District: 
S.D. Ill.
Holding: 
Affirmed

Dist. Ct. did not err in granting defendants’ motion for summary judgment in plaintiffs' action, alleging conversion and trespass under circumstances where defendants-neighbors of plaintiffs used vacuum pump to extract valuable coal methane gas from underlying abandoned coal mine. Dist. Ct. held that under rule of capture, plaintiffs could not proceed on their claims because they did not own gas, which could not be owned until it was extracted. Rule of capture allows owner to extract gas from owner’s land, even though said gas had migrated from neighbor’s land. Also, Ct. of Appeals rejected plaintiffs’ contention that defendants’ use of vacuum pump violated their correlative rights because it caused damages, where: (1) Ill. Dept. of Natural Resources had issued permit to defendants to use vacuum pump to extract gas; and (2) use of vacuum pump does not negate rule of capture.

Bryton Properties, LLC v. Kids' Work Chicago, Inc.

Illinois Appellate Court
Civil Court
Forcible Entry and Detainer Act
Citation
Case Number: 
2022 IL App (1st) 210441
Decision Date: 
Monday, July 25, 2022
District: 
1st Dist.
Division/County: 
1st Div./Cook Co.
Holding: 
Affirmed.
Justice: 
HYMAN

Defendant rented property from plaintiff to operate a daycare center, but stopped paying rent after the Covid-19 pandemic forced it to temporarily cease operations. Defendant argued that the pandemic constituted a “casualty” under the terms of the lease. Plaintiff filed a complaint for eviction and for use and occupancy payments. The trial court granted plaintff’s motion for use and occupancy payments and held defendant in indirect civil contempt when the payments were not made. Defendant appealed arguing that the trial court erred because plaintiffs did not have standing and that the trial court failed to hold an evidentiary hearing. The appellate court affirmed, but vacated the contempt and sanction order finding that defendant acted in good faith to obtain appellate review. (PUCINSKI and COGHLAN, concurring)

Material Defects

By Michael J. Rooney
July
2022
Article
, Page 22
Revisions to the Residential Real Property Disclosure Act bring clarity and resolve textual conflicts.

Public Act 102-1065

Topic: 
Contractors and subcontractors

(Evans, D-Chicago; Castro, D-Chicago) amends Public Act 102-1067 as follows: (1) Makes it applicable if the private work’s aggregate costs of the project exceed $20,000. (2) Deletes liability under this Act for a primary contractor to “a third party on a wage claimant’s behalf incurred pursuant to this Act by a subcontractor.” (3) Clarifies that primary contractors who are parties to a collective bargaining agreement on the work being performed is exempt from liability under this Section. (Instead of being exempt from “specified provisions.”) (4) Exempts primary contractors from liability under this Section for the alteration or repair of an existing single-family dwelling or to a single residential-unit in an existing multi-unit structure. (5) Creates the Bond Reform in the Construction Industry Task Force. This Act takes effect June 10, 2022. 

Public Act 102-1076

Topic: 
Contractors and subcontractors

(Evans, D-Chicago; Castro, D-Elgin) amends the Illinois Wage Payment and Collection Act to make a “primary contractor” engaged in construction of a structure to assume and be liable for any debt owed to a claimant incurred under this Act by a subcontractor at any tier acting under, by, or for the primary contractor. House Bill 5412 applies to any contract entered into on or after July 1, 2022. 

It exempts any work performed by a contractor of the federal government, the State, or unit of local government. Provides that the primary contractor's liability under the new provisions extends only to any unpaid wages or fringe or other benefit payments or contributions, including interest owed, penalties assessed by the Department, and reasonable attorney’s fees, but does not extend to liquidated damages. Primary contractors who are parties to a collective bargaining agreement on the work being performed are exempt from specified provisions. Effective June 10, 2022.  
 

Public Act 102-1000

Topic: 
PTAB appeals

(Murphy, D-Des Plaines; Croke, D-Chicago) amends the Illinois Property Tax Code affecting the Illinois Property Tax Appeal Board. Currently, there is statutory authority in the Condominium Property Act to allow condominium associations to file a joint appeal on behalf of all owners as an association to the Property Tax Appeal Board. But there is no such mechanism in the Code to allow for homeowner associations to file joint appeals on behalf of all owners. Public Act 102-1000 will allow homeowner associations the right to file one appeal on behalf of all owners as condo associations now can do. Effective January 1, 2023. 

M.B. Financial Bank, N.A. v. Brophy

Illinois Supreme Court PLAs
Civil Court
Property Tax Code
Citation
PLA issue Date: 
May 25, 2022
Docket Number: 
No. 128252
District: 
3rd Dist.

This case presents question as to whether trial court properly dismissed plaintiff’s complaint seeking refund of property taxes under section 20-175(a) of Property Tax Code, under circumstances where: (1) beginning in 2005, plaintiff paid property taxes while property was subject to condemnation action; (2) in 2017, judgment in condemnation proceeding was entered in favor of City of Joliet, which retroactively gave title to property to Joliet as of date condemnation action was initially filed in 2005; and (3) plaintiffs argued that their payment of property taxes while property was subjected to condemnation proceeding amounted to “overpayment” of said taxes that required refund under section 20-175(a). Appellate Court, in affirming trial court, found that: (1) condemnee who pays property taxes during condemnation proceedings is eligible for reimbursement of said taxes; and (2) action under section 20-175(a) was proper vehicle for seeking said reimbursement. Appellate Court further found that voluntary payment doctrine did not apply.

Public Act 102-896

Topic: 
Human Rights Act and real estate transactions

(Ford, D-Chicago; Villivalam, D-Chicago) amends the Illinois Human Rights Act to declare Illinois’ public policy is to prevent discrimination based on source of income in real estate transactions. Defines “source of income” as the lawful manner by which an individual is supported and their dependents are supported. Makes it a civil rights violation for specified discriminatory actions because of an individual’s source of income. Effective January 1, 2023.

Kissoon v. Vlcek

Illinois Appellate Court
Civil Court
Appellate Jurisdiction
Citation
Case Number: 
2022 IL App (1st) 210488
Decision Date: 
Friday, May 20, 2022
District: 
1st Dist.
Division/County: 
6th Div./Cook Co.
Holding: 
Appeal dismissed.
Justice: 
HARRIS

Plaintiff brought action for specific performance of a real estate contract and ejectment against defendant as well as unknown occupants of the premises. The court ordered the eviction of the unknown occupants and Cheryl Simpson, as the unknown occupant, filed an unsuccessful motion to stay the eviction and for reconsideration. She then appealed from the denial of her motion. The appellate court dismissed the appeal for lack of jurisdiction and standing to appeal. The court explained that Simpson had not intervened as a party to the action and, even if she had standing, she did not file her notice of appeal within 30 days of the court’s dispositive order. (MIKVA and ODEN JOHNSON, concurring)