Real Estate Law

House Bill 2640

Topic: 
Condominium Property Act
(Cassidy, D-Chicago; Steans, D-Chicago) makes the following changes to the Condominium Property Act. (1) Bylaws must require that each unit owner receive a copy of the proposed annual budget at least 25 (instead of 30) days before adoption by the board of managers. (2) Authorizes a board to ratify and confirm actions taken in response to an emergency. Bylaws must require that the board of managers give notice to the unit owners of the emergency and general description of the actions taken because of the emergency within seven business days after the emergency. (3) Provides that the condominium instruments may be amended with the approval of, or notice to, any mortgagee or other lienholder of record if required under the provisions of the instruments. Current law is only “with the approval of any mortgagees required under the provisions of the condominium instruments.” (4) If there is an error in an instrument so that the instrument does not conform to the Act or other law, the association may correct the instrument by an amendment adopted by two-thirds of the board of managers without a unit-owner vote. If there is a provision in a condominium instrument requiring or allowing unit owners, mortgagees, or other lienholders of record to vote to approve an amendment to a condominium instrument, or for the mortgagees or other lienholders of record to be given notice of an amendment to a condominium instrument, that provision is not applicable to an amendment to the extent that the amendment corrects an omission, error, or inconsistency to conform the condominium instrument to the law. (5) Expands what a board may discuss in a closed session to include “information relating to” litigation, employment, and a unit owner’s unpaid share of common expenses. (6) Authorizes board members to participate in and act at any meeting of the board of managers in person, by telephonic means, or by use of any acceptable technological means in which all persons participating in the meeting can communicate with each other. This kind of participation constitutes attendance and presence in person at the meeting. (7) Amends the Common Interest Community Association Act. Deletes language providing that all provisions of the declaration, bylaws, and other community instruments severed by the Act shall be revised by the board of directors independent of the membership to comply with the Act. House Bill 2640 passed both chambers last week.

Excelsior Garage Parking, Inc. v. 1250 North Dearborn Condominium Association

Illinois Appellate Court
Civil Court
Condominium Law
Citation
Case Number: 
2015 IL App (1st) 133781
Decision Date: 
Wednesday, July 8, 2015
District: 
1st Dist.
Division/County: 
Cook Co., 3d Div.
Holding: 
Affirmed in part and vacated in part.
Justice: 
HYMAN
Although condo association could not refuse to provide estoppel certificate because it believed it was owed money, condo parking garage could not demand a "clean" estoppel certificate. Once condo association tendered estoppel certificate, although late under the agreement, court should have granted condo association's affirrmative defense that parking garage failed to state claim on which relief could be granted.Condo association is entitled to litigate its reimbursement claim against parking garage without res judicata consequences.(LAVIN and MASON, concurring.)

D'Attomo v. Baumbeck

Illinois Appellate Court
Civil Court
Condominiums
Citation
Case Number: 
2015 IL App (2d) 140865
Decision Date: 
Tuesday, June 30, 2015
District: 
2d Dist.
Division/County: 
DuPage Co.
Holding: 
Appeal dismissed in part, affirmed in part, and reversed in part; remanded.
Justice: 
HUDSON
Court dismissed Plaintiffs' 6-count complaint against trustee and condo association, from dispute over sale of condo. Plaintiffs claims that limitations on rental of property were not disclosed to them prior to closing. Under facts of case, there is no independent cause of action frobreach of covenant of good faith and fair dealing. Plaintiffs did not allege that fiduciary or confidential relationship exists as a matter of law between seller and buyer of condo unit, and did not plead that seller occupied position of influence and superiority over buyers such that duty to speak arose; and did not allege that they could not have discovered truth through reasonable inquiry or inspection or were prevented from making reasonable inquiry or inspection. Seller could not owe fiduciary duty to Plaintiffs as to any pre-closing conduct, as Plaintiffs did not become unit owners until closing. Dismissal with prejudice of two counts of complaint is reversed.(McLAREN and ZENOFF, concurring.)

AMA Realty Group of Illinois v. Melvin M. Kaplan Realty, Inc.

Illinois Appellate Court
Civil Court
Real Estate
Citation
Case Number: 
2015 IL App (1st) 143600
Decision Date: 
Tuesday, June 30, 2015
District: 
1st Dist.
Division/County: 
Cook Co., 2d Div.
Holding: 
Affirmed.
Justice: 
LIU
Realty group filed suit against realtor alleging slander of title, after realtor recorded a broker's lien against multi-unit apartment building that Plaintiff owned. Court properly entered summary judgment for Defendant realtor in its counterclaim, as Plaintiff breached exclusive listing agreement by negotiating directly with purchaser and subsequently concealing these negotiations. Language of listing agreement indicates that Plaintiff was prohibited from negotiating directly with any prospective purchaser, regardless of whether realtor was responsible for originally introducing or procuring, or had any prior contact with, the prospect.(SIMON and NEVILLE, concurring.)

NorthBrook Bank and Trust Company v. 300 Level, Inc.

Illinois Appellate Court
Civil Court
Service of Process
Citation
Case Number: 
2015 IL App (1st) 142288
Decision Date: 
Monday, June 15, 2015
District: 
1st Dist.
Division/County: 
Cook Co., 1st Div.
Holding: 
Affirmed.
Justice: 
DELORT
In commercial mortgage foreclosure case, court entered order providing that any employee of the named detective agency was authorized to serve process on Defendant. That language tracked language of statute, and thus, that agency process server was authorized, under statute, to serve Defendant, and service was effective. By entering into agreed order, Defendant was barred from challenging service, under equitable estoppel and relinquishment of its possessory interest in property, as stated in agreed order. (CUNNINGHAM and HARRIS, concurring.)

LSREF2 Nova Investments III, LLC v. Coleman

Illinois Appellate Court
Civil Court
Mortgage Foreclosure
Citation
Case Number: 
2015 IL App (1st) 140184
Decision Date: 
Friday, June 5, 2015
District: 
1st Dist.
Division/County: 
Cook Co., 6th Div.
Holding: 
Affirmed.
Justice: 
LAMPKIN
Where court had personal jurisdiction over Defendant to enter personal deficiency judgment against her pursuant to Section 15-1508(e) of Foreclosure Law based on Plaintiff's request for a personal deficiency judgment in its foreclosure complaint, Plaintiff's subsequent claim for the amount of the deficiency as determined in foreclosure suit as a result of sale of property is barred by res judicata, in accordance with transactional test. (HALL and ROCHFORD, concurring.)

Senate Bill 1630

Topic: 
Judicial facilities fee
(Holmes, D-Aurora; Keith Wheeler, R-Oswego) authorizes the Kane County Board, with concurrence of the chief judge of the circuit, to impose a judicial facilities fee not to exceed $30. It will be imposed on civil litigants and defendants in criminal cases. Passed both chambers.

Senate Bill 1344

Topic: 
Common Interest Community Association Act
(Haine, D-Alton; Beiser, D-Alton) provides that no action to incorporate a common interest community as a municipality may commence until an instrument agreeing to incorporation has been signed by 51% (instead of two-thirds) of the members. Passed both chambers.

House Bill 2745

Topic: 
Municipal Code violations
(Andersson, R-Geneva; McConnaughy, R-St. Charles) creates an alternative proceeding to take place after the expiration of the time in which judicial review may be sought after a final determination of a code violation. If a defendant has failed to comply with a judgment to correct a code violation or pay a fine, any expenses incurred by a municipality to enforce the judgment shall be a debt due and owing the municipality by the defendant. Authorizes the municipality to impose a lien on the real estate or personal estate of the defendant in the amount of any debt due to the municipality. Permits a hearing officer to set aside any judgment entered by default and set a new hearing date if the hearing officer determines that the petitioner's failure to appear was for good cause or because the municipality did not provide proper service of process. Passed both chambers.