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Costello v. Urban Air Adventure Park North Riverside
2025 IL App (1st) 250219-U
Ill. App. Ct.
2025
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Background

  • Plaintiff Jennifer Costello sued Urbanstrong LLC and related entities for injuries allegedly caused by their negligence during her use of a trampoline at Urban Air Adventure Park in North Riverside, Illinois, on September 26, 2021.
  • Defendants moved to dismiss the lawsuit and compel arbitration, presenting two electronically signed release and indemnification agreements plus a membership agreement, all allegedly executed by Costello and containing arbitration clauses.
  • Plaintiff disputed whether she had actually electronically signed the agreements, or whether there were adequate security procedures in place to verify her electronic signatures.
  • The defendants supported the motion with unsigned agreements (with her name as e-signature) but did not provide any affidavit authenticating or verifying the signatures.
  • After limited discovery (including a Rule 191 deposition of Urbanstrong's representative), the trial court found a factual dispute as to whether a valid arbitration agreement existed and denied the motion to compel arbitration without prejudice.
  • Defendants appealed, contending evidence and procedures were sufficient to bind Costello to arbitration under the Illinois Uniform Electronic Transactions Act (IUETA).

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Authenticity of Electronic Signature Defendants did not prove she signed agreements. Registration process evidences her signatures. Defendants failed to authenticate the agreements.
Verification Procedure Adequacy under IUETA No security measures or evidence to show identity. Website process is sufficient verification. No adequate process or evidence to show her identity.
Requirement of Affidavit under § 2-619(a)(9) No affidavit, so motion must fail. Submitted agreements suffice as evidence. Affidavit is required; motion unsupported, so denied.
Burden Shifting for Compelling Arbitration Burden is on defendants to show valid agreement. Plaintiff did not deny signing. Defendants must first make prima facie showing; failed.

Key Cases Cited

  • Secura Insurance Co. v. Illinois Farmers Insurance Co., 232 Ill. 2d 209 (Ill. 2009) (establishing court's obligation to examine its own jurisdiction)
  • Cabinet Service Tile, Inc. v. Schroeder, 255 Ill. App. 3d 865 (Ill. App. Ct. 1993) (order denying section 2-619 motion is generally not appealable)
  • Philadelphia Indemnity Insurance Co. v. Pace Suburban Bus Service, 2016 IL App (1st) 151659 (Ill. App. Ct. 2016) (pleadings interpreted in light most favorable to nonmoving party)
  • Kedzie and 103rd Currency Exchange, Inc. v. Hodge, 156 Ill. 2d 112 (Ill. 1993) (standards for burden-shifting on 2-619 motion)
  • Vassilkovska v. Woodfield Nissan, Inc., 358 Ill. App. 3d 20 (Ill. App. Ct. 2005) (standard of review for denial of motion to compel arbitration)
Read the full case

Case Details

Case Name: Costello v. Urban Air Adventure Park North Riverside
Court Name: Appellate Court of Illinois
Date Published: May 22, 2025
Citation: 2025 IL App (1st) 250219-U
Docket Number: 1-25-0219
Court Abbreviation: Ill. App. Ct.