In re Application of Skidmore
2011 IL App (2d) 100730
Ill. App. Ct.2011Background
- City of Waukegan acquired four parcels (56 acres) from Outboard Marine Corp. via bankruptcy trustee‑authorized actions; property later listed as Superfund site and contaminated; real property taxes for 2000–2002 were billed to the city but tax objection sought abatement under §21‑95; trial court granted judgment for Skidmore; city filed cross motions and this appeal followed; deeds recorded Sept. 30, 2005 after bankruptcy order authorizing conveyance; option agreement and trustee’s deeds connected to bankruptcy court order; amendments to §21‑95 subsequently broadened the statute.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether §21‑95 abates taxes after acquisition by trustee’s deeds in bankruptcy | City contends trustee’s deeds fall within judicial deed scope for abatement | Skidmore contends trustee’s deeds are not judicial deeds under §21‑95 | Abatement applies under §21‑95 |
| Whether ‘judicial deed’ unambiguously includes bankruptcy‑court‑authorized transfers | City argues bankruptcy‑court authorization renders deed ‘judicial deed’ | Skidmore argues only court‑issued deeds qualify | Yes, term encompasses bankruptcy‑court‑authorized deeds |
| Effect of 2010 amendment on §21‑95 interpretation | Amendment broadened acquisition scenarios without altering judicial deed meaning | Amendment changes law beyond judicial deed scope | Amendment broadens, but does not alter interpretation of ‘judicial deed’ |
Key Cases Cited
- In re Estate of Dierkes, 191 Ill. 2d 326 (2000) (statutory interpretation; de novo review; tax issues generally)
- Stroger v. Regional Transportation Authority, 201 Ill. 2d 508 (2002) (statutory construction; tax/agency interpretation)
- Zebra Technologies Corp. v. Topinka, 344 Ill. App. 3d 474 (2003) (tax exemption statutes strictly construed in favor of taxation)
- Maywood-Proviso State Bank v. Cokinis, 11 Ill. App. 3d 659 (1973) (judicial sale concept; interpretation of deeds)
- Land Title Bank & Trust Co. v. Marshall, 34 A.2d 71 (Pa. 1943) (related principles on tax exemptions and deeds)