Stonecrafters Inc. v Wholesale Life Ins. Brokerage Inc.

2015 IL App (2d) 140728-U (Ill. App., 2015)

Words & Phrases

Settlement Agreement

Trial Judge

Michael Sullivan

Appellate Judge

Burke

Holding

Question of material fact related to reasonableness of settlement must be resolved at a Guillen hearing.

Fact Summary

Plaintiff, Stonecrafters, Inc., brought a putative class action lawsuit against defendant, Wholesale Life Insurance, Inc., seeking relief for unsolicited faxes sent to the putative class. Plaintiff and defendant settled the case and a $5,999,999.98 judgment was entered against defendant for the benefit of the putative class.  Plaintiff agreed not to collect damages from defendant and sought recovery only from defendant’s insurers, Milwaukee Insurance Company (MIC) and Unitrin, Inc.  Plaintiff brought supplementary third-party citations against MIC and Unitrin.  The trial court granted plaintiff’s motion for summary judgment, finding the settlement to be reasonable and limited the accrual of interest on the settlement to the period from the date of the entry of summary judgment.  MIC appeals the judgment entered against it. Plaintiff cross-appeals the trial court’s judgment limiting accrual of interest from the date of the entry of summary judgment. The court reversed and remanded the cause to hold a hearing on the reasonableness of the settlement.

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