Real Estate Law

From the Discussions - How do you show that the trustee accepted a transfer of real estate?

December
2016
Article
, Page 41
Q. How do you show acceptance by the trustee of a transfer of real property into a trust under Pub. Act 99-0743?

AUI Construction Group, LLC v. Vaessen

Illinois Appellate Court
Civil Court
Mechanic's Liens
Citation
Case Number: 
2016 IL App (2d) 160009
Decision Date: 
Wednesday, November 9, 2016
District: 
2d Dist.
Division/County: 
Lee Co.
Holding: 
Affirmed.
Justice: 
SCHOSTOK

Wind energy system was built on property; property owners entered into windpark easement agreement with wind energy developer. Subcontractor that worked on tower filed complaint to foreclose m$3 million mechanic's lien against property. Court properly granted property owner's motion to dismiss complaint, and properly granted general contractor's motion for summary judgment. Subcontractor's work was an improvement to a trade fixture, which is not lienable; work was not improvement to real property, which is lienable. Although expensive to remove, the tower was not "incapable of removal", and this consideration does not outweigh fact that tower was intended to be temporary. (McLAREN and JORGENSEN, concurring.)

Halpern v. Titan Commercial LLC

Illinois Appellate Court
Civil Court
Real Estate
Citation
Case Number: 
2016 IL App (1st) 152129
Decision Date: 
Monday, November 7, 2016
District: 
1st Dist.
Division/County: 
Cook Co., 1st Div.
Holding: 
Affirmed.
Justice: 
SIMON

Commercial real estate firm filed broker's lien against a property in dispute of a real estate broker's commission. Plaintiff (the owner of iO Theatre, a comedy club) filed complaint to extinguish lien as improper. Defendants filed counterclaim for payment of their broker's commission. After bench trial, court awarded Defendants a $50,000 commission. Court properly denied Plaintiff's claim for attorney's fees, as Plaintiff cannot be considered a prevailing party by grant of an interlocutory motion for preliminary injunction, as it was not a final disposition on merits of Plaintiff's claim, and did not confer Plaintiff a permanent relief. Court's holding that Defendants were the procuring cause of the off-market property was not against manifest weight of evidence. (HARRIS and MIKVA, concurring.)

Board of Managers of the 1120 Club Condominium Association v. 1120 Club, LLC

Illinois Appellate Court
Civil Court
Condominiums
Citation
Case Number: 
2016 IL App (1st) 143849
Decision Date: 
Wednesday, October 26, 2016
District: 
1st Dist.
Division/County: 
Cook Co., 3d Div.
Holding: 
Reversed and remanded.
Justice: 
PUCINSKI

Plaintiff Condominium Board filed claims that condo building developed and sold by one Defendant and built by another Defendant suffered from many construction defects. Court erred in dismissing 2 counts of Board's 2nd amended complaint, as a plaintiff is permitted to bring a claim for breach of implied warranty of habitability against a builder absent a showing that developer-vendor is insolvent. Court erred in dismissing amended 3rd-party complaint of Defendant developer-seller, because bankruptcy trustee's assignment of any claims against builder cured any lack of standing that might have resulted from Defendant developer-seller's bankruptcy filing. (LAVIN and COBBS, concurring.)

Courts Sanction Sovereign Citizens - and Lawyers - for Frivolous Appeals

By Natalie Burris
November
2016
Article
, Page 36
You've heard about forfeitures, but have you handled one? Here's a primer on how to prosecute or defend your first forfeiture case.

Cathay Bank v. Accetturo

Illinois Appellate Court
Civil Court
Mortgage Foreclosure
Citation
Case Number: 
2016 IL App (1st) 152783
Decision Date: 
Friday, September 30, 2016
District: 
1st Dist.
Division/County: 
Cook Co., 2d Div.
Holding: 
Reversed and vacated.
Justice: 
NEVILLE

Plaintiff filed mortgage foreclosure action against Defendants (including U.S. and U.S. Treasury Department) to obtain possession of property because Defendant failed to make payments on her note. A notice provision with an acceleration clause in a mortgage is a condition precedent and prescribes servicing requirements that a lender must comply with in order for lender to have a right to file an aciton to recover possession of a secured property. Bank failed to comply with condition precedent present in one paragraph in mortgage, and bank's failure to give homeowner the notice required by that paragraph divested lender of its right to file foreclosure action. Thus, court erred in granting bank's motion for summary judgment and entering order approving report of sale and distribution.(HYMAN and PIERCE, concurring.)

Deutsche Bank National Trust v. Puma

Illinois Appellate Court
Civil Court
Mortgage Foreclosure
Citation
Case Number: 
2016 IL App (1st) 153513
Decision Date: 
Friday, September 30, 2016
District: 
1st Dist.
Division/County: 
Cook Co., 1st Div.
Holding: 
Affirmed.
Justice: 
MIKVA

Court properly granted summary judgment for Plaintiff bank and entered judgment of foreclosure and sale, and confirmed sale. Court properly awarded possession of property to bank in its order confirming sale although Defendants were not listed in complaint as persons whose right to possess the property was sought to be terminated. Complaint substantially complied with Section 15-1504(a) of Mortgage Foreclosure Law and was thus more than sufficient to support request for order of possession against Defendants as a form of relief. (CONNORS and HARRIS, concurring.)

People ex rel. Madigan v. Wildermuth

Illinois Supreme Court PLAs
Civil Court
Human Rights Act
Citation
PLA issue Date: 
September 28, 2016
Docket Number: 
No. 120763
District: 
1st Dist.

This case presents question as to whether trial court properly denied defendants’ motion to dismiss claim under section 3-102(B) of Human Right Act (HRA), where defendants were accused of targeting distressed African-American and Latinos homeowners in home loan modification scheme under circumstances where defendants accepted large fees to obtain loan modifications of mortgages for said individuals with knowledge that said individuals were not eligible for such modifications. Defendants argued that their alleged actions were not covered under HRA because they were essentially rendering legal services and were not engaging in real estate transactions as contemplated under HRA, and trial court certified question as to whether State may assert violation of HRA pursuant to reverse redlining theory, where complaint did not allege that defendants acted as mortgage lenders. Appellate Court, in answering certified question in affirmative, found that: (1) reverse redline theory is viable even though no new credit was extended to homeowners; and (2) concept of reverse redlining theory is not strictly limited to situations involving mortgage lending and included instant loan modification services offered by defendants.

Deutsche Bank National Trust Compnay v. Iordanov

Illinois Appellate Court
Civil Court
Mortgage Foreclosure
Citation
Case Number: 
2016 IL App (1st) 152656
Decision Date: 
Friday, September 23, 2016
District: 
1st Dist.
Division/County: 
Cook Co., 5th Div.
Holding: 
Affirmed.
Justice: 
REYES

Court entered order approving sale of property in foreclosure action. As Defendant failed to timely raise Plaintiff's lack of standing as an affirmative defense in response to either the complaint or the amended complaint, court properly approved sale. Lack of standing is an affirmative defense that defendant alone has burden to plead and prove.Plaintiff sufficiently set for its capacity in bringing a cause of action under Foreclosure Law, by alleging in both complaints that it was the mortgagee under Section 15-1208 of Foreclosure Law.(LAMPKIN and BURKE, concurring.)

The Shrinking Warranty of Habitability: Fattah v. Bim

By Kelly M. Greco
October
2016
Article
, Page 36
If a buyer waives the implied warranty of habitability and later sells the home, does that waiver protect the builder against claims by the second buyer, even if buyer #2 didn't know about the waiver? In Fattah v. Bim, the Illinois Supreme Court says "yes."