Tielke v. Auto Owners Insurance Co. , 2019 IL App (1st) 181756 ( 2019 )


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  •                                          
    2019 IL App (1st) 181756
                                           Opinion filed: August 16, 2019
    FIRST DISTRICT
    FIFTH DIVISION
    No. 1-18-1756
    JOANNA TIELKE,                                                         )                 Appeal from the
    )                 Circuit Court of
    )                 Cook County
    Plaintiff-Appellant,                                           )
    )
    v.                                                                     )                 No. 17 L 10764
    )
    AUTO OWNERS INSURANCE CO.,                                             )
    LEAHY EISENBERG & FRAENKEL LTD.,                                       )
    MANOR BOWLING AND BILLIARD, INC.,                                      )
    KEVIN KILLERMAN, 3124 NORTH CENTRAL,                                   )
    LLC and TARA RYNIEC-STANEK,                                            )                 Honorable
    )                 Patrick J. Sherlock,
    Defendants-Appellees.                                          )                 Judge Presiding.
    PRESIDING JUSTICE ROCHFORD delivered the judgment of the court, with opinion.
    Justices Hoffman and Hall concurred in the judgment and opinion.
    OPINION
    ¶1      Plaintiff, Joanna Tielke, appeals the circuit court’s order dismissing her breach of
    contract action against Auto Owners Insurance Company (“Auto Owners”), Leahy Eisenberg &
    Fraenkel Ltd. (“LEF”), Manor Bowling and Billiard, Inc. (“Manor Bowling”), Kevin Killerman,
    3124 North Central, LLC (“North Central”) and Tara Ryniec-Stanek, because it constituted an
    improper collateral attack on a judgment order in another case. We affirm 1.
    ¶2      The two cases involved here are: (1) a personal injury action filed by plaintiff against
    defendants North Central, Mr. Killerman, and Manor Bowling in case no. 2013 L 011557; and
    1
    In adherence with the requirements of Illinois Supreme Court Rule 352(a) (eff. July 1, 2018), this appeal
    has been resolved without oral argument upon the entry of a separate written order stating with specificity why no
    substantial question is presented.
    (2) a subsequent breach of contract action filed by plaintiff against defendants North Central, Mr.
    Killerman, Manor Bowling, Ms. Ryniec-Stanek, LEF, and Auto Owners in case no. 17 L 10764
    and assigned to Judge Patrick J. Sherlock.
    ¶3      I. THE PERSONAL INJURY ACTION (CASE NO. 2013 L 011557)
    ¶4     On September 18, 2017, plaintiff filed a fifth amended complaint (hereinafter “personal
    injury action”) against defendants North Central, Kevin Killerman, and Manor Bowling alleging
    that their negligence caused her to slip, fall, and injure herself on February 16, 2013, at a
    bowling alley under defendants’ control. In the personal injury action, defendants were
    represented by Tara Ryniec-Stanek and her law firm, LEF. Auto Owners was the liability
    insurer for defendants.
    ¶5     On September 26, 2017, Ms. Ryniec-Stanek, on behalf of all defendants, and in open
    court, engaged in settlement negotiations with plaintiff and made a settlement offer of $700,000,
    with the proceeds to be hand-delivered by Friday, September 29, 2017. No settlement was
    reached on September 26, 2017, but that night Ms. Ryniec-Stanek sent a text to plaintiff
    confirming that she had spoken with Auto Owners and that the $700,000 settlement offer was
    still open and available. Ms. Ryniec-Stanek stated that if plaintiff accepted the settlement offer,
    the check would be delivered on Friday.
    ¶6     The next day, September 27, 2017, at the break in the testimony of Mr. Killerman,
    plaintiff spoke with Ms. Ryniec-Stanek and orally accepted the settlement offer. Plaintiff further
    confirmed the acceptance via a text message sent to Ms. Ryniec-Stanek and asked that the check
    be delivered on Friday, September 29. About 15 minutes later, right before the reconvening of
    court, Ms. Ryniec-Stanek returned a text stating, “Sorry offer was withdrawn. We will proceed.”
    Plaintiff demanded that the settlement agreement be honored, but Ms. Ryniec-Stanek refused.
    ¶7         Plaintiff brought the matter before the trial court, who stated:
    “So the defense is giving you two bites at the apple. So I can’t do anything here. The
    method for you to do this, after trial, if you get a verdict less than the accepted offer, you
    file a breach of contract lawsuit.”
    ¶8         The trial court further stated: “So I encourage you to do what you need to do to protect
    your rights. The only thing for me to do is to proceed with trial. *** I’m denying [plaintiff] any
    relief.”
    ¶9         The trial proceeded, and on October 2, 2017, the jury returned a verdict in favor of
    plaintiff and against defendant Manor Bowling in the amount of $332,425. The jury found that
    defendants Kevin Killerman and North Central were not liable. The trial court entered judgment
    on the verdict and later awarded plaintiff certain costs that she was entitled to recover as the
    prevailing party at trial.
    ¶ 10       Two days later, on October 4, 2017, plaintiff made a written demand that Auto Owners
    tender the full amount of the $700,000 settlement agreement. In response, Ms. Ryniec-Stanek
    wrote a letter to plaintiff on October 6, 2017, denying that a settlement had been reached before
    the offer was withdrawn. Ms. Ryniec-Stanek stated:
    “We disagree with your representations and no settlement was effectuated. Our
    settlement offer was withdrawn, and your actions, including continuing to prosecute your
    case and presenting new demands, confirm this.”
    ¶ 11       Ms. Ryniec-Stanek further stated that Auto Owners had prepared a check for $332,425 in
    satisfaction of the judgment on the verdict.
    ¶ 12       On October 16, 2017, the defendants in the personal injury action filed a motion to
    “enforce full satisfaction of [the] verdict and judgment.” Defendants alleged that “[t]o date,
    plaintiff’s counsel has refused to accept the tender of the verdict check and post-judgment
    interest in full satisfaction of the jury’s verdict and judgment entered in favor of the plaintiff,
    Joanna Tielke, and against the defendant, [Manor Bowling].”
    ¶ 13    On October 27, 2017, plaintiff accepted the check. In correspondence with defendants,
    plaintiff indicated that she was accepting the check as payment of the jury verdict only, and not
    as full payment of the amount owed to her under the settlement agreement. Plaintiff stated that
    she was still owed the difference between the $700,000 settlement agreement and the amount
    tendered to her in payment of the jury verdict.
    ¶ 14    On November 1, 2017, plaintiff brought a posttrial motion in the personal injury action,
    seeking an award of costs as well as sanctions against defendants for various alleged
    improprieties before and during the trial. Plaintiff did not seek rehearing or reconsideration of the
    denial of the motion to enforce the settlement agreement. The trial court granted plaintiff’s
    posttrial motion in part, awarding her certain costs. The court denied her request for sanctions.
    Plaintiff did not file any appeal.
    ¶ 15    II. THE BREACH OF CONTRACT ACTION (NO. 17 L 10764)
    ¶ 16    On October 24, 2017, plaintiff filed her breach of contract action in case number 17 L
    10764 (“breach of contract action”) against defendants Auto Owners, LEF, Manor Bowling, Mr.
    Killerman, North Central, and Ms. Ryniec-Stanek, alleging that they had breached the settlement
    agreement in the personal injury action by refusing to pay the agreed-upon $700,000.
    ¶ 17    On February 27, 2018, Auto Owners filed a motion to dismiss the breach of contract
    action. The motion was labeled as being brought pursuant to section 2-615 of the Code of Civil
    Procedure (“Code”) (735 ILCS 5/2-615 (West 2016)), but the memorandum in support sought
    dismissal based on section 2-619 (735 ILCS 5/2-619 (West 2016)). Specifically, Auto Owners
    alleged that plaintiff’s breach of contract claim constituted an improper collateral attack on the
    judgment entered on the verdict in the underlying personal injury action, and that the contract
    claim was also barred by res judicata, judicial estoppel and accord and satisfaction. Manor
    Bowling, North Central, LEF, and Ms. Ryniec-Stanek subsequently joined in the dismissal
    motion. Mr. Killerman was not served with a summons and complaint, and therefore did not join
    in the dismissal motion.
    ¶ 18   On July 13, 2018, Judge Sherlock dismissed plaintiff’s breach of contract action against
    all defendants. Judge Sherlock noted that although the dismissal motion was labeled as being
    brought pursuant to section 2-615, the memorandum in support cited to section 2-619. The judge
    found that “[s]ince the brief argues affirmative matter defeating the claim, the Court will proceed
    under [section ] 2-619.” The judge rejected the arguments as to res judicata, judicial estoppel,
    and accord and satisfaction, but found that the breach of contract action was an impermissible
    collateral attack on the order entered in the underlying personal injury case denying plaintiff’s
    motion to enforce the settlement agreement. Accordingly, the judge ordered:
    “A. Defendants’ Motion to Dismiss plaintiff’s complaint pursuant to 735 ILCS
    5/2-619 is granted.
    B. The claim against the unserved defendant Kevin Killerman is dismissed on the
    Court’s own motion.”
    ¶ 19   Plaintiff now appeals the order dismissing her breach of contract action.
    ¶ 20   III. THE APPEAL
    ¶ 21   Initially, plaintiff notes that Auto Owners’ motion to dismiss was labeled as being
    brought pursuant to section 2-615, but that the supporting memorandum filed by Auto Owners,
    and the joinder motions filed by Manor Bowling, North Central, LEF, and Ms. Ryniec-Stanek
    referenced section 2-619. Given the references to both section 2-615 and section 2-619, plaintiff
    contends that the motion should be deemed a section 2-619.1 motion seeking relief under both
    sections and analyzed accordingly.
    ¶ 22    A motion to dismiss pursuant to section 2-615 attacks the sufficiency of the complaint
    and raises the question of whether the complaint states a claim upon which relief can be granted.
    Burton v. Airborne Express, Inc., 
    367 Ill. App. 3d 1026
    , 1029 (2006). A section 2-619 motion to
    dismiss admits the legal sufficiency of the plaintiff’s complaint but raises defects, defenses, or
    other affirmative matters that appear on the face of the complaint or that are established by
    external submissions acting to defeat the complaint’s allegations. 
    Id. The resolution
    of either
    motion involves only a question of law, and therefore this court’s review is de novo. 
    Id. at 1030.
    ¶ 23    Section 2-619.1 provides that section 2-615 and section 2-619 motions may be filed
    together as a single motion, but that such a combined motion shall be divided into parts that are
    limited to and specify the single section of the Code under which the relief is sought. 
    Id. at 1029.
    “While a failure to properly label a combined motion to dismiss is not a pleading practice we
    encourage, a reversal for that deficiency is appropriate only when prejudice to the nonmovant
    results.” 
    Id. ¶ 24
       Plaintiff argues that Auto Owners’ motion was not divided into parts designating the
    Code provision (section 2-615 or section 2-619) upon which relief was sought, resulting in
    “unnecessary complication and confusion” such that the motion should have been sua sponte
    rejected by the trial court. See Howle v. Aqua Illinois, Inc., 
    2012 IL App (4th) 120207
    , ¶73
    (holding that trial courts should sua sponte reject a section 2-619.1 motion that fails to meet the
    statutory requirements).
    ¶ 25   Plaintiff’s argument is unavailing. Section 2-619.1 is intended to eliminate the filing of
    “hybrid” motions pursuant to both sections 2-615 and section 2-619, by requiring a movant to
    clearly delineate the arguments under each section. Higgins v. Richards, 
    401 Ill. App. 3d 1120
    ,
    1125 (2010). However, Auto Owners’ motion to dismiss was not a hybrid of section 2-615 and
    section 2-619, but was a section 2-619 motion only, and therefore it was not subject to the
    dictates of section 2-619.1. Specifically, Auto Owners’ accompanying memorandum of law in
    support of its motion argued for dismissal only on the basis of section 2-619(a)(4) (providing for
    dismissal where “the cause of action is barred by a prior judgment”) and section 2-619(a)(9)
    (providing for dismissal where “the claim asserted against defendant is barred by other
    affirmative matter avoiding the legal effect of or defeating the claim”). See 735 ILCS 5/2-
    619(a)(4), (a)(9) (West 2016). Pursuant to section 2-619(a)(4), Auto Owners argued that
    plaintiff’s breach of contract action should be dismissed as an improper collateral attack on the
    judgment entered on the verdict in the underlying personal injury case, or alternatively, on the
    basis of res judicata. Pursuant to section 2-619(a)(9), Auto Owners argued that the breach of
    contract action should be dismissed on the basis of judicial estoppel, and accord and satisfaction.
    As no arguments were made under section 2-615, Auto Owners’ motion cannot be considered a
    combined motion under sections 2-619 and section 2-615 and therefore it was not subject to the
    dictates of section 2-619.1.
    ¶ 26   Although Auto Owners’ motion was labeled as a section 2-615 motion, the labeling was a
    scrivener’s error, given that the accompanying memorandum argued for dismissal not on the
    basis of section 2-615, but rather on the basis of section 2-619. Plaintiff has shown no prejudice
    to her by the mislabeling of the dismissal motion, as her response to the motion addressed the
    arguments made pursuant to section 2-619(a)(4) and (a)(9), and demonstrated no
    misunderstanding of the legal basis of the motion. The misdesignation of the motion as being
    brought pursuant to section 2-615 was not fatal to Auto Owners’ right to prevail where plaintiff
    suffered no prejudice due to the error. Becker v. Zellner, 
    292 Ill. App. 3d 116
    , 121 (1997).
    ¶ 27   Plaintiff argues that even if Auto Owners’ motion was brought only pursuant to section 2-
    619, the joinder motions filed by defendants Manor Bowling, North Central, LEF, and Ms.
    Ryniec-Stanek violated section 2-619.1 because LEF and Ms. Ryniec-Stanek made improper
    hybrid references to section 2-615. We disagree. Manor Bowling, North Central, LEF, and Ms.
    Ryniec-Stanek joined in Auto Owners’ motion and adopted its arguments for dismissal under
    section 2-619. LEF and Ms. Ryniec-Stanek also separately argued, in the alternative, that
    plaintiff’s breach of contract action against them should be dismissed under section 2-615. LEF
    and Ms. Ryniec-Stanek clearly delineated their argument under section 2-615, separate from
    their arguments under section 2-619, and therefore complied with section 2-619.1. The trial court
    ultimately found LEF’s and Ms. Ryniec-Stanek’s section 2-615 motion to dismiss to be moot in
    the wake of its granting of the section 2-619 dismissal. No argument is made on appeal regarding
    the court’s disposition of the section 2-615 motion, and accordingly any issue related thereto is
    forfeited. See Illinois Supreme Court Rule 341(h)(7)(eff. May 25, 2018).
    ¶ 28   Plaintiff argues, though, that Auto Owners’ section 2-619 dismissal motion was fatally
    defective because it was not supported by an affidavit. See 735 ILCS 5/2-619 (West 2016) (“If
    the grounds do not appear on the face of the pleading attacked the motion shall be supported by
    affidavit.”) We disagree. Plaintiff does not show she was prejudiced by the failure to file a
    supporting affidavit, as her response to the motion demonstrated her awareness of the affirmative
    matter raised in the section 2-619 motion to dismiss.
    ¶ 29   We proceed to address the trial court’s dismissal order.
    ¶ 30   First, plaintiff argues that the trial court erred by dismissing her breach of contract action
    on the basis of the collateral attack doctrine. Malone v. Cosentino, 
    99 Ill. 2d 29
    (1983), is
    informative. In Cosentino, a plaintiff filed a class action challenging the constitutionality of
    certain fines for alcohol-related offenses that were assessed against him in a wholly collateral
    traffic court proceeding. 
    Id. at 30-31.
    In holding that his action was barred as an impermissible
    collateral attack on the traffic court judgment, our supreme court stated:
    “[W]hen jurisdiction is established a court’s judgment ‘being thus entered by
    authority of law, no matter how erroneous it may be, or even absurd—though it be made
    in palpable violation of the law itself, and manifestly against the evidence—is,
    nevertheless, binding upon all whom the law says shall be bound by it, that is, upon all
    parties and privies to it, until it is reversed in a regular proceeding for that purpose. While
    it remains a judgment, it cannot be inquired into, nor its regularity questioned, in any
    collateral proceeding.’ [Citation.] Once a court with proper jurisdiction has entered a final
    judgment, that judgment can only be attacked on direct appeal, or in one of the traditional
    collateral proceedings now defined by statute, [e.g., habeas corpus, section 2-1401
    petitions, and post-conviction proceedings].” 
    Id. at 32-33.
    ¶ 31   In accordance with Cosentino, this court has held that “[u]nder the collateral attack
    doctrine, a final judgment rendered by a court of competent jurisdiction may only be challenged
    through direct appeal or procedure allowed by statute and remains binding on the parties until it
    is reversed through such a proceeding.” Apollo Real Estate Investment Fund, IV, L.P. v. Gelber,
    
    403 Ill. App. 3d 179
    , 189 (2010). “The doctrine may be invoked whenever the effect of an action
    is to modify the former adjudication.” 
    Id. Additionally, in
    Thomas v. Sklodowski, 
    303 Ill. App. 3d
    1028, 1035 (1999), this court held that “interlocutory orders in a case are as insusceptible to
    collateral attack as is the final judgment.”
    ¶ 32   Defendants argue that Thomas v. Sklodowski (id.) supports the order dismissing
    plaintiff’s breach of contract action as an improper collateral attack on the order entered by the
    judge in the personal injury action, which denied plaintiff’s motion to enforce the settlement
    agreement. In Sklodowski, Stanley Scott was shot and killed by four Chicago Housing Authority
    (CHA) security guards. 
    Id. at 1030.
    One of the guards was Alfred Thomas. 
    Id. Mr. Scott’s
    estate
    sued the security guards and their employer, Security Enforcement Services, Inc. (SES), as well
    as the CHA, in federal court for violation of his civil rights. 
    Id. Robert Sklodowski,
    an attorney,
    entered an appearance for SES and its employees, but subsequently decided to terminate his
    representation. 
    Id. ¶ 33
      Mr. Sklodowski made numerous unsuccessful attempts to contact Mr. Thomas, by phone,
    mail, and by driving out to his business address, to inform him that he would be filing a motion
    to withdraw. 
    Id. at 1030-31.
    The federal court ultimately granted the motion to withdraw, finding
    that Mr. Sklodowski had made every reasonable effort to contact Mr. Thomas and to notify him
    of the withdrawal. 
    Id. at 1034.
    ¶ 34   Five months later, a default judgment was entered against Mr. Thomas. 
    Id. at 1031.
    Mr.
    Thomas filed a motion to vacate the default judgment on the basis that he did not have notice of
    Mr. Sklodowski’s withdrawal as his attorney. 
    Id. The federal
    court denied the motion to vacate.
    
    Id. Mr. Thomas
    subsequently filed a malpractice suit in the circuit court against Mr. Sklodowski
    and his firm (collectively defendants), alleging that the reason he defaulted in the federal court
    case is because defendants negligently failed to notify him of Mr. Sklodowksi’s withdrawal. 
    Id. Defendants countered
    that they had exercised reasonable efforts to locate Mr. Thomas and that
    the federal court had already decided that issue in their favor. 
    Id. The circuit
    court granted
    summary judgment in favor of defendants. 
    Id. Mr. Thomas
    appealed. 
    Id. ¶ 35
        The appellate court affirmed, holding that the federal court had entered an order finding
    that Mr. Sklodowski had made sufficient efforts to notify Mr. Thomas of his withdrawal as his
    attorney, and that Mr. Thomas’s malpractice suit in the circuit court constituted an improper
    collateral attack on the federal court’s order. 
    Id. at 1033-35.
    The appellate court further held that
    “[a]ny dispute that the plaintiff had with the court’s order was properly the subject of an appeal
    to the Seventh Circuit Court of Appeals rather than a collateral proceeding.” 
    Id. at 1035.
    ¶ 36    Similar to Thomas, plaintiff here is attempting in her breach of contract action to
    improperly collaterally attack an order entered in the prior personal injury action denying her
    motion to enforce the settlement agreement. Specifically, on September 27, 2017, in the midst of
    the trial in the personal injury action, plaintiff orally moved to enforce the settlement agreement
    that allegedly had been reached earlier that day 2. In so moving, plaintiff informed the personal
    injury court of Ms. Ryniec-Stanek’s text on September 26 indicating that defendants’ liability
    insurer, Auto Owners, had agreed to settle the personal injury action for $700,000. Plaintiff
    further told the personal injury court that she had accepted the settlement offer on September 27
    but that soon after the acceptance, Ms. Ryniec-Stanek sent a text stating that the offer was now
    withdrawn. Plaintiff argued that the offer could not be withdrawn after it had already been
    accepted, and she asked the personal injury court to enforce the settlement agreement. The
    2
    Plaintiff argues in her reply brief that she never made an oral motion to enforce the settlement. The
    record of the hearing on September 27, 2017, belies plaintiff’s argument. The judge in the personal injury action
    asked plaintiff, after she complained of Ms. Ryniec-Stanek’s refusal to comply with the settlement agreement, what
    she wished the court to do, and she responded, “To enforce the settlement, Judge.”
    personal injury court denied plaintiff’s motion 3. The trial proceeded, and the jury reached its
    $332,425 verdict in favor of plaintiff and against Manor Bowling. Plaintiff filed a posttrial
    motion, seeking costs and sanctions, but she did not seek reconsideration of the denial of the
    motion to enforce the settlement agreement. No appeal was filed from the final judgment entered
    in the personal injury action.
    ¶ 37    Instead, plaintiff filed the instant action for breach of contract. In her breach of contract
    action, plaintiff repeated the argument, which was made to and rejected by the court in the
    personal injury action, that the settlement agreement should be enforced. Plaintiff’s breach of
    contract action was an improper collateral attack on the order in the personal injury action that
    denied her motion to enforce the settlement agreement. The proper mechanism for disputing that
    order was to raise the issue in a posttrial motion in the personal injury action, and if the posttrial
    motion was denied, to then file an appeal therefrom. See 
    Cosentino, 99 Ill. 2d at 33
    (the proper
    mechanism for attacking a trial court’s judgment is by filing a direct appeal, and not by filing a
    collateral action arguing that the judgment was erroneous).
    ¶ 38    Plaintiff argues, though, that the collateral attack doctrine only prevents a collateral attack
    on a final judgment. See 
    id. at 32
    (“Once a court with proper jurisdiction has entered a final
    judgment, that judgment can only be attacked on direct appeal ***.”) Plaintiff contends that she
    filed her breach of contract action before the resolution of the posttrial motions in the personal
    injury action, i.e., before any final judgment was entered, and therefore that the collateral attack
    doctrine does not apply here.
    3
    Plaintiff argues in her reply brief that the judge never specifically ruled on her motion to enforce the
    settlement agreement because he found that the motion was not properly before him. The record of the hearing on
    September 27, 2017, belies plaintiff’s argument. The judge specifically stated, after hearing argument on the
    motion, “I’m denying [plaintiff] any relief.”
    ¶ 39   Plaintiff’s contention is without merit, as this court specifically held in Thomas that
    “interlocutory orders in a case are as insusceptible to collateral attack as is the final judgment.”
    Thomas, 
    303 Ill. App. 3d
    at 1035. In so holding, Thomas cited in support a supreme court case,
    Lewis v. Blumenthal, 
    395 Ill. 588
    (1947). In Blumenthal, our supreme court held that “Each and
    every step taken or order made in the proceeding, whether it concerns the merits or not, is just as
    impervious to collateral attack as the final judgment on the merits, *** [and] that an interlocutory
    order, no matter how erroneous, if not void, will justify or protect all persons as completely as
    the final judgment itself.” [Internal quotation marks omitted]. 
    Id. at 594.
    Pursuant to Thomas and
    Blumenthall, the trial judge’s order in the personal injury action, denying plaintiff’s motion to
    enforce the settlement agreement, was impervious to collateral attack.
    ¶ 40   Plaintiff argues that the collateral attack doctrine does not apply here because “the filing
    of a separate action for breach of contract for failure to honor a settlement agreement is proper.”
    In support, plaintiff cites McCracken Contracting Co. v. R.L. DePrizio & Associates, Inc., 
    122 Ill. App. 3d 680
    (1984), and Vogt v. Bartelsmeyer, 
    264 Ill. App. 3d 165
    (1994), two cases in
    which the appellate court issued opinions rejecting challenges to the plaintiffs’ actions for breach
    of contract for failing to honor a settlement agreement; however, McCracken and Vogt are
    inapposite, because in neither of those cases was the breach of contract action a collateral attack
    on an earlier judgment.
    ¶ 41   Plaintiff argues that the collateral attack doctrine should not apply here because she filed
    her breach of contract action on the advice of the judge in the personal injury action, who told
    her:
    “The method for you to do this, after trial, if you get a verdict less than the
    accepted offer, you file a breach of contract lawsuit.”
    ¶ 42   Plaintiff made this same argument to Judge Sherlock in response to defendants’ motion to
    dismiss her contract action. In rejecting plaintiff’s argument and dismissing her breach of
    contract action, Judge Sherlock noted that the judge in the personal injury action had elsewhere
    expressly told plaintiff, “So I encourage you to do what you need to do to protect your rights.”
    Judge Sherlock noted that to so protect her rights, plaintiff could have taken a number of actions,
    other than filing a collateral, breach of contract action:
    “Plaintiff could also have moved for reconsideration after the jury verdict or
    timely appealed. The denial of enforcement of the settlement was certainly a decision that
    could have been appealed and was an option for recovery. The payment of the judgment
    could remain in a trust account pending resolution of an appeal or payment could have
    been refused. Posttrial motions were filed and argued and yet none involved the issue of
    enforcement of a settlement agreement.”
    ¶ 43   We agree with Judge Sherlock’s analysis. We also note our supreme court’s holding in
    Bonhomme v. St. James, 
    2012 IL 112393
    , ¶26, that “a party should not be excused from
    following rules intended to preserve issues for review by relying on a trial court’s erroneous
    belief that an issue was properly preserved for review.” (Internal quotation marks omitted). Thus,
    plaintiff here could not simply rely on the erroneous suggestion of the court in the personal
    injury action that she file a breach of contract action after trial in the personal injury action in
    order to collaterally attack the denial of her motion to enforce the settlement; instead plaintiff
    was required to follow the well-established, supreme court and appellate court precedent that she
    file a posttrial motion in the personal injury action raising the alleged error in the denial of the
    motion to enforce the settlement, and then a direct appeal upon any denial of the posttrial motion.
    See, e.g., 
    Cosentino, 99 Ill. 2d at 32-33
    ; Thomas, 
    303 Ill. App. 3d
    at 1033-35.
    ¶ 44   Finally, plaintiff argues that the collateral attack doctrine is inapplicable here because the
    breach of contract and personal injury actions involve different parties. Plaintiff cites Terra-Nova
    Investments v. Rosewell, 
    235 Ill. App. 3d 330
    , 335 (1992), which held that “Collateral attacks are
    improper where there is an identity of parties or their privies in the collateral action and in the
    earlier suit.” Plaintiff contends that while Auto Owners, LEF, and Ms. Ryniec-Stanek were
    parties to the breach of contract action, they were not parties or privies to the earlier personal
    injury action, and therefore the collateral attack doctrine cannot apply to them.
    ¶ 45   We disagree. Plaintiff’s breach of contract action is a collateral attack on the denial of her
    motion to enforce the settlement agreement in the personal injury action. For the collateral attack
    doctrine to apply, then, there must be an identity of parties or their privies in the breach of
    contract action and in the motion to enforce the settlement agreement. Such an identity of parties
    exists here. Plaintiff brought her motion to enforce the settlement agreement against defendants
    Manor Bowling, Mr. Killerman, North Central, Auto Owners, LEF, and Ms. Ryniec-Stanek.
    After her motion was denied, she brought her breach of contract action against the exact same
    defendants (including Auto Owners, LEF, and Ms. Ryniec-Stanek).
    ¶ 46   For all the foregoing reasons, we affirm the circuit court. As a result of our disposition of
    this case, we need not address the other arguments on appeal.
    ¶ 47   Affirmed.
    

Document Info

Docket Number: 1-18-1756

Citation Numbers: 2019 IL App (1st) 181756

Filed Date: 8/16/2019

Precedential Status: Non-Precedential

Modified Date: 8/16/2019