Pekin Ins. Co. v. Rada Development, LLC

2014 IL App (1st) 133947 (Ill. App., 2014)

Words & Phrases

Declaratory Judgment: Indispensable Parties

Trial Judge

Hon, Kathleen Pantle

Appellate Judge

Justice Hoffman

Holding

In declaratory action to determine whether developer was an additional insured, the developer’s own insurer, was a necessary party.

Fact Summary

 

In a declaratory judgment action seeking a determination that defendant developer was not an additional insured under a policy plaintiff issued to a subcontractor on defendant’s project for purposes of an underlying personal injury action arising from a construction accident at the project where the trial court initially entered a default judgment for plaintiff insurer finding that it had no duty to defend the developer, and plaintiff insurer then successfully used that judgment as a collateral estoppel bar to the separate declaratory judgment action filed by the developer’s insurer seeking a determination that plaintiff was obligated to defend the developer as an additional insured, the trial court properly vacated the default judgment pursuant to the petition filed by the developer’s insurer under section 2-1401 of the Code of Civil Procedure and a motion to intervene in plaintiff’s declaratory judgment action based on the allegation that as the developer’s insurer, it was a necessary party to plaintiff’s action but was never joined, especially when the default judgment affected the rights of the developer’s insurer by requiring the insurer to defend the developer in the underlying action.

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