2015 IL App (1st) 123306
Ill. App. Ct.2016Background
- Arnold and Arthur Lynch held the property as joint tenants with equal undivided interests.
- Arnold was adjudicated disabled in 2002; Brya was appointed plenary guardian of Arnold’s estate.
- In 2005, Arnold (via his guardian) and Arthur sold the Lynch home to Adame by warranty deed; Brya attended but did not sign.
- PNTN prepared the title packet; Arnold’s guardianship was not disclosed in the title commitment.
- Sale proceeds were disbursed to Brya and to Arnold/Arthur; probate court not informed or involved in the sale or disbursement.
- Arnold died intestate in 2006; litigation followed via citations to recover assets in 2009; circuit court held the conveyance void ab initio and title restored to the estates.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Arnold’s conveyance, but not Arthur’s, was void ab initio | Arnold lacked capacity; Arnold’s conveyance void | Arthur’s conveyance could be valid independent of Arnold | Arnold’s conveyance void; Arthur’s conveyance valid |
| Whether Arthur’s conveyance to Adame was valid notwithstanding Arnold’s void conveyance | Entire sale void due to same deed | Arthur’s conveyance independent; not voided by Arnold’s disability | Arthur’s conveyance valid; Adame holds Arnold’s interest as tenant in common with Adame |
| Application of after-acquired title doctrine | May vest fee simple in Adame after Arnold’s incapacity | Doctrine not applicable; Arthur conveyed only his interest | Doctrine not applicable; did not vest title in Adame |
| Status of ownership after severance of joint tenancy | Sale severed joint tenancy with Arnold’s interest | Arthur’s conveyance severed the tenancy; creates tenancy in common | Arthur severed joint tenancy; Adame and Arnold’s estate are tenants in common |
| Entitlement to monetary relief for Adame (reimbursement/setoff) | Adame seeks return of purchase price and other expenditures | Remedy unsettled; issues remanded for setoff/abatement | Remanded to determine bona fide purchaser status and possible monetary relief |
Key Cases Cited
- Ure v. Ure, 223 Ill. 454 (1906) (voidable contract with guardian; effect on sale of joint tenancy)
- Ennis v. Johnson, 3 Ill. 2d 383 (1954) (severance of joint tenancy when one cotenant conveys his interest)
- Hosty v. Kroupa, 117 Ill. App. 2d 419 (1969) (sale conditioned on joint tenancy interests; cannot enforce without both signatures)
- Dineff v. Wernecke, 27 Ill. 2d 476 (1963) (mutual intention to purchase all interests; contract not formed if signatures missing)
- Jordan v. Kirkpatrick, 251 Ill. 116 (1911) (insane at time of note/mortgage; enforceability against spouse's participation)
- Sathoff v. Sutterer, 373 Ill. App. 3d 795 (2007) (joint tenancy severance by unilateral conveyance; survivorship implications)
- Ure v. Ure, 223 Ill. 454 (1906) (repeat to emphasize guardian conveyance effects)