After a tradeshow exhibit vendor was stiffed on the payment of a contract by a middleman, it sued the tool manufacturer to recover its debt. At the same time, it filed a claim in the bankruptcy proceeding of the middleman. The district court ruled that the plaintiff could not pursue…
Articles Posted in Business Disputes
Deposition Misconduct Triggers Judicial Rebuke from Federal Magistrate
All too often attorney misconduct in the course of litigation goes unreported and unpunished. Incivility in litigation delays the resolution of cases, taxes an already overburdened judiciary, and increases the cost of litigating a matter. Despite this, attorney incivility is regrettably on the rise in state and federal courts around…
Study Finds Illinois Ranked as Worst State and Cook County as Worst Jurisdiction in Nation for Business Litigation
When companies decide where to establish a headquarters or where to expand, they must weigh several factors such as access to qualified candidates and tax laws. One factor businesses are considering more and more is the litigation climate of a state or local jurisdiction. According to a recent study, that…
Fiat Chrysler Allegedly Bribed UAW for Better Contract Terms
Labor unions are supposed to negotiate with employers on behalf of the workers, but according to a recent lawsuit against Fiat Chrysler, the officials of the United Auto Workers union (UAW) allegedly exploited their position to line their own pockets, rather than negotiate better terms for their workers. According to…
Court Should Have Looked to Course of Parties’ Dealings to Determine Fair Time to Pay Invoices
After two companies got into a dispute about the timeframe for payment of invoices, the 7th Circuit Court of Appeals found that the district court had erred in not considering the parties’ course of dealings to determine what a fair time to pay would have been. In 1999, Valley Drive…
Insurer Required To Replace All Siding On Building When Matching Siding For Damaged Sides Not Available
A condo association held an insurance policy on its condo buildings. In 2014, a hail and wind storm damaged the siding on several of the buildings. The storm, however, damaged only the south and west-facing sides of the buildings. The association’s insurer initially paid the association several million to repair…
Tax Lien Purchaser Loses $1 Million Breach of Contract Suit against the Law Bulletin
A company that purchases tax liens in order to obtain tax deeds to properties sued Law Bulletin for breach of contract over a misprinted hearing date in a Take Notice, which the company alleged cost it $1 million when the circuit court denied the company’s tax deed application due to…
Discovery Responses Doom Mechanic’s Lien Claim Appellate Court Rules
The First District Appellate Court of Illinois recently affirmed the entry of summary judgment against the plaintiff in a commercial breach of contract and mechanic’s lien dispute. In upholding the grant of summary judgment, the Court found that the plaintiff’s discovery responses doomed its mechanic’s lien claim, providing yet another…
Insurance Company not Prevented From Later Denying Payment for Claim it Initially Defended
An insurance company defended a construction firm against a claim by a condo association for defective design and construction of a building, as it thought the claim arose during the company’s policy period. The insurance company was not estopped from later denying payment for the claim when it was discovered…
Appeals Court Awards Damages to Subcontractor, Denying Set-Off For General Contractor
An electrical subcontractor sued the general contractor after the general contractor withheld $58,000. The general contractor claimed that it was owed a setoff for work performed by other electricians, but the trial court found that the money spent by the general contractor was not within the scope of the original…