Unifund CCR Partners v. Shah
407 Ill. App. 3d 737
| Ill. App. Ct. | 2011Background
- Defendant Shah defaulted on a Citibank credit card initially; debt allegedly around $16,000.
- Citibank sold the account to Unifund Portfolio A, L.L.C.; Portfolio A sold to Cliffs Portfolio Acquisition I, L.L.C. on the same day.
- Cliffs Portfolio assigned its interest to Palisades Collection, L.L.C. on May 28, 2008 to enable collection.
- Palitides? Palisades then assigned its interest to Unifund CCR Partners, the plaintiff, on the same day.
- Plaintiff attached Carnes affidavit and documents to support the chain of title, but the circuit court found issues with 8b compliance.
- Court certified two questions under Rule 308 regarding: (1) whether 8b assignments can be demonstrated via multiple incorporated documents; (2) standing of collection agencies to sue under 2-403 when asserting title held for collection purposes.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Can 8b assignment be shown by multiple incorporated documents? | Shah | Shah | Yes, with qualifications |
| Does assignee for collection have standing to sue in its own name under 2-403? | Unifund CCR Partners | Shah | Yes, standing affirmative |
Key Cases Cited
- Kennedy v. Deere & Co., 142 Ill.App.3d 781 (Ill. App. 1986) (assignee may sue as real party in interest)
- Loyola University Medical Center v. Med Care HMO, 180 Ill.App.3d 471 (Ill. App. 1989) (debt assignment recognized)
- Webster v. Business Service Bureau, Inc., 298 Ill.App.3d 257 (Ill. App. 1998) (assignment must specify effective date and consideration)
- Long v. Elborno, 397 Ill.App.3d 982 (Ill. App. 2010) (Rule 308 certified questions; de novo review of law)
- Coady v. Harpo, Inc., 308 Ill.App.3d 153 (Ill. App. 1999) (reliance on complaint and pleadings)
- Arneson v. Board of Trustees, 210 Ill.App.3d 844 (Ill. App. 1991) (incorporation by reference in contract)
- Loyola University Medical Center v. Med Care HMO, 180 Ill.App.3d 471 (Ill. App. 1989) (assignment of debt recognized)
- Webster, Business Service Bureau, Inc. v. Webster, 298 Ill.App.3d 257 (Ill. App. 1998) (section 8b requirements discussed)