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Gaylor v. Campion, Curran, Rausch, Gummerson and Dunlop, P.C.
980 N.E.2d 215
Ill. App. Ct.
2012
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Background

  • Plaintiffs allege legal malpractice and fraud arising from the Ions, Inc. EL technology transaction with Bettis.
  • Trial court dismissed the fraud count; the case proceeded on a one-count legal-malpractice claim resulting in a $182,625 verdict for plaintiffs.
  • Plaintiffs alleged defendants failed to obtain separate counsel, failed to perform due diligence on Bettis’s patents, and failed to protect plaintiffs’ interests at closing.
  • Closing documents granted Ions an exclusive license and anticipated transfer of EL IP, but plaintiffs claim Bettis’s patents were not properly owned or transferred.
  • Plaintiffs maintained an attorney-client relationship with the Campion firm, Gummerson, and Lockwood; defendants allegedly misrepresented expertise and the existence of Bettis’s patents.
  • Damages sought exceeded $400,000; posttrial motions challenged the damages award as manifestly inadequate.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Preservation of the fraud count Gaylor preserves fraud count via motion to amend. Foxcroft waiver applies; fraud count not preserved. Fraud count waived; not preserved for review.
Damages adequacy Damages were proven and the award is manifestly inadequate. Damages within range; not manifestly defective. Damages not manifestly inadequate; affirmed.

Key Cases Cited

  • Foxcroft Townhome Owners Ass’n v. Hoffman Rosner Corp., 96 Ill. 2d 150 (1983) (establishes Foxcroft waiver rule for dismissed claims)
  • Bonhomme v. St. James, 2012 IL 112393 (2012) (clarifies preservation methods for dismissed claims)
  • Boatmen’s National Bank of Belleville v. Direct Lines, Inc., 167 Ill. 2d 88 (1995) (rejects expansion of preservation based on court’s assurances)
  • Russ v. Pension Consultants Co., 182 Ill. App. 3d 769 (1989) (discusses preservation when leave to amend is denied)
  • Silver Fox Limousine v. City of Chicago, 306 Ill. App. 3d 103 (1999) (addresses preservation despite trial court actions)
Read the full case

Case Details

Case Name: Gaylor v. Campion, Curran, Rausch, Gummerson and Dunlop, P.C.
Court Name: Appellate Court of Illinois
Date Published: Nov 15, 2012
Citation: 980 N.E.2d 215
Docket Number: 2-11-0718
Court Abbreviation: Ill. App. Ct.