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Hernandez v. Bernstein
2011 IL App (1st) 102646
Ill. App. Ct.
2011
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Background

  • In 2005, Hernandezes filed legal malpractice claims against their former attorneys ( Bernstein, Grazian, Volpe, and Bernstein & Grazian, P.C.) for failing to pursue non-employer third-party claims and to advise on additional potential claims.
  • Defendants argued the underlying third-party claims expired before representation began, with a two-year statute of limitations starting in 1995 during Jesse Hernandez’s prior Social Security proceedings.
  • In August 2007, the trial court dismissed the complaint without prejudice, and plaintiffs were allowed to amend reasserting the time-barred underlying claims and adding Spector & Lenz allegations.
  • In April 2009, Hernandezes voluntarily dismissed the suit without prejudice under 735 ILCS 5/2-1009.
  • In September 2009, Hernandezes refiled a single-count legal negligence action reasserting the Spector & Lenz allegations and the time-barred underlying claims; defendants moved to dismiss on statute of limitations and res judicata grounds.
  • The trial court dismissed the new suit with prejudice based on res judicata; Hernandezes appealed.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether the August Order was final and barred the new suit August Order was not final and could not bar later litigation August Order disposed of a separate branch and was final under res judicata August Order not final; res judicata did not bar the instant litigation
Whether the August Order dismissed a separate theory or the entire negligence claim Dismissal affected only certain allegations, not the whole negligence theory August Order was final as it disposed of grounds for recovery Dismissal only narrowed allegations under a single theory; not a final, separate claim
Whether voluntary dismissal and lack of finality in the initial suit affects finality under res judicata Voluntary dismissal prevented a res judicata bar Dismissal rules and finality would render orders final upon voluntary dismissal Res judicata does not bar where there was no final order prior to voluntary dismissal; August Order nonfinal

Key Cases Cited

  • Rice v. Burnley, 230 Ill. App. 3d 987 (1992) (finality depends on whether order disposes of separate branch of controversy)
  • Piagentini v. Ford Motor Co., 387 Ill. App. 3d 887 (2009) (dismissal of certain allegations under single theory not final)
  • Hull v. City of Chicago, 165 Ill. App. 3d 732 (1987) (finality requires disposition of entire controversy or rights of the parties)
  • Matejczyk v. City of Chicago, 397 Ill. App. 3d 1 (2009) (multifactor discussion on res judicata and finality; inapposite here)
  • Hudson v. City of Chicago, 228 Ill. 2d 462 (2008) (voluntary dismissal terminates suit; not that nonfinal orders become final on dismissal)
  • Rein v. David A. Noyes & Co., 172 Ill. 2d 325 (1996) (distinguishable; splits claims after final judgment subject to res judicata)
  • Williams v. Ingalls Memorial Hospital, 408 Ill. App. 3d 360 (2011) (nonfinal orders; leave to replead; not final for res judicata)
  • DeLuna v. Burciaga, 223 Ill. 2d 49 (2006) (2-619 motion standard and res judicata framework)
  • Giannini v. Kumho Tire U.S.A., Inc., 385 Ill. App. 3d 1013 (2008) (2-619 standard; allegations deemed sufficient at the pleading stage)
  • Ignarski v. Norbut, 271 Ill. App. 3d 522 (1995) (elements of legal malpractice claim)
Read the full case

Case Details

Case Name: Hernandez v. Bernstein
Court Name: Appellate Court of Illinois
Date Published: Aug 19, 2011
Citation: 2011 IL App (1st) 102646
Docket Number: 1-10-2646
Court Abbreviation: Ill. App. Ct.