Becker, Alva Successful in Appellate Defense of Commercial Litigation MatterThe Illinois Supreme Court declined to hear the appeal of Smith v. Sterling Bank, letting stand the appellate affirmation of a lower court’s dismissal of the plaintiff’s claims against Swanson, Martin & Bell, LLP’s client in a commercial litigation matter.
The appeal involved alleged breach of contract claims and violations of the Consumer Fraud Act. Plaintiffs argued that potential attorneys’ fees from a prior mortgage foreclosure action were recoverable in a later civil action. The Illinois 1st District Appellate Court affirmed the lower court, finding that attorney fees potentially incurred in earlier litigation are not recoverable as damages in a subsequent breach of contract action based on the wrongful initiation or prosecution of that litigation. The Appellate Court also affirmed the finding that the Consumer Fraud Act claims for allegedly failing to provide proper notice pursuant to a mortgage agreement were barred by the statute of limitations.
Partner Jeffrey S. Becker and associate C. Matt Alva represented the client.
To read the Appellate Court's opinion, please visit this link.