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Appellate Court
In this Opinion the Illinois Supreme Court comes down on the side of common sense when it comes to lienable improvements under §1 of the Illinois Mechanics Lien Act. After reversing the lower Courts however, the case was sent back down to the Circuit Court to determine whether the owner of the property “knowingly permitted”...
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In this opinion the 7th Circuit Court of Appeals sets the record straight about an alleged Output-Requirements Contract and settles a dispute based on the terms of a supplier agreement. At the conclusion of its analysis the Court determined that in effect nothing in the parties' contract satisfied the 3-prong test applicable to Output-Requirement Contracts,...
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After LAB Townhomes, the developer of Henderson Square, made false sales claims, built shoddy units, and engaged in fraud and negligent conduct in order to sell units, the Condominium Association sued it under the Chicago Municipal Code's prohibition on the use of material misrepresentations, as well as Illinois case and statutory law relating to breach...
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In this appeal of a Shareholder Derivative case concerning a stock option plan used as executive compensation, the Plaintiff appealed from dismissal with prejudice by the District Court for the Northern District of Illinois, Eastern Division. Plaintiff was a stockholder in DeVry Education Group, a Delaware company that owns and operates for-profit colleges. Plaintiff brought...
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The “good faith” defense articulated in 11 U.S.C. 550(b)(1) applies as long as the transferee: (1) is an immediate or mediate transferee under §550(a)(2); (2) took the transfers for value; (3) took the transfers “in good faith;” and (4) took the transfers “without knowledge of the voidability of the transfer avoided.”
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Standard was entitled to the benefits of TILA – including notice of the 3-day right to rescind the loan. As Trustee, the Court pointed out, Standard held legal and equitable title to the underlying real estate while the borrower-beneficiaries held a mere personal property interest in the Trust. Because Standard had not been informed of...
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The District Court found that Peoples Gas resolved its liability to the government via administrative settlement and therefore only had a claim for its contribution; that each consent order was subject to the 3-year limitations period under 42 U.S.C. 9613(g)(3)(B); and that a contribution claim under the 2011 consent order was barred by Beazer’s operator...
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The Attorney for Defendants in the District Court filed a lien on proceeds in a related State case and attempted to jump the line in terms of priority. When the District Court stopped him he sought relief in the 7th Circuit. The Appellate Court not only disagreed with his actions but actually sanctioned him for...
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The 7th Circuit found that the phrase “for cause” as used in the Bankruptcy Code embraces conduct that, even if not a violation of required procedures, avoids repayment of a debt without an adequate reason. In other words, the case was dismissed because the Schwartzes failed to pay as much of their indebtedness as they...
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The 7th Circuit points out that under Indiana law a buyer who has received non-conforming goods cannot sue the seller for negligent misrepresentation to avoid the Economic Loss Doctrine, which limits it to contract remedies for purely economic losses. There is no basis for transforming a breach of contract claim into a tort claim to...
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