DENNIS CLEMONS, Appellant, v. MECHANICAL DEVICES COMPANY, Appellee.
No. 91306
Supreme Court of Illinois
November 21, 2002
202 Ill. 2d 344
James P. Ginzkey, of Hayes, Hammer, Miles, Cox & Ginzkey, of Bloomington, for appellant.
JUSTICE FREEMAN delivered the opinion of the court:
This cause was remanded to the circuit court of McLean County for a new trial. Plaintiff, Dennis Clemons, filed a motion to amend his complaint against defendant, Mechanical Devices Company, to add a count alleging retaliatory discharge for exercising his rights under the Illinois Wage Payment and Collection Act (Wage Act) (
We allowed plaintiff‘s petition for leave to appeal (
BACKGROUND
We previously recited the underlying facts of this case in Clemons v. Mechanical Devices Co., 184 Ill. 2d 328 (1998) (Clemons I). Accordingly, we will describe only those facts pertinent to this appeal.
Plaintiff brought a retaliatory discharge action against defendant, alleging that defendant wrongfully discharged him in retaliation for filing a workers’ compensation claim. The action proceeded to a jury trial, where plaintiff presented evidence that defendant‘s method of paying him violated the Wage Act (
During closing argument, plaintiff‘s attorney stated:
“If Mechanical Devices starts discharging their at-will employees because of the color of their skin, they are liable. If they start discharging employees for their gender, they are liable. If they start discharging their employees in violation of Illinois statute, they are liable. It is as simple as that. Read the statute.”
Plaintiff‘s attorney did not identify the “statute” to which he referred. Also, the trial court instructed the jury regarding the Wage Act.
The jury found for plaintiff and awarded him damages. The trial court entered judgment on the verdict.
The appellate court reversed the judgment and remanded for a new trial. The appellate court concluded that the Wage Act was irrelevant to the issues in this case, and that the trial court erred by allowing testimony regarding that statute. Clemons v. Mechanical Devices Co., 292 Ill. App. 3d 242, 247-51 (1997). The appellate court further concluded that the admission of the testimony regarding the Wage Act, with corresponding jury instruction and argument, prejudiced defendant so as to deprive defendant of a fair trial. Clemons I, 292 Ill. App. 3d at 252-53.
In the course of its opinion, the appellate court observed that “the only allegation of retaliatory discharge
This court affirmed the judgment of the appellate court. Clemons I, 184 Ill. 2d 328 (1998). This court likewise held that the presentation of evidence regarding defendant‘s alleged violation of the Wage Act, with corresponding jury instructions and argument, constituted prejudicial error. Clemons I, 184 Ill. 2d at 338.
In the course of its opinion, this court observed that “evidence of the alleged violation of the Wage Act was not relevant to plaintiff‘s cause of action, which was based on an entirely different theory-that plaintiff was discharged in retaliation for filing a workers’ compensation claim.” Clemons I, 184 Ill. 2d at 337. The opinion observed that “plaintiff could not attempt to put forth what was in essence a new and separate cause of action ***.” Clemons I, 184 Ill. 2d at 337-38.
On remand, plaintiff filed a motion to amend his complaint to add a second count, which alleges retaliatory discharge for exercising his rights under the Wage Act. The trial court denied plaintiff‘s motion to amend. The court found that
The appellate court affirmed, with one justice dissenting. No. 4-00-0639 (unpublished order under Supreme Court Rule 23). The dissent observed that in Clemons I, this court criticized the trial court‘s admission of evidence relating to the violation of the Wage Act because plaintiff had not alleged a violation thereof. The dissent also concluded that plaintiff‘s amendment was timely, and that defendant cannot be surprised by the evidence that was presented at the previous trial. No. 4-00-0639, slip op. at 10 (Cook, J., dissenting) (unpublished order under Supreme Court Rule 23). Plaintiff appeals to this court.
ANALYSIS
I. Jurisdiction
Although neither the parties nor the appellate court has raised the issue of jurisdiction in this case, the dissent has. We have an independent duty to ensure that appellate jurisdiction is proper. Unless specifically authorized by the rules of this court, the appellate court has no jurisdiction to review judgments, orders, or decrees that are not final. Where the appellate court has considered the merits of a case when it had no jurisdiction to do so, we must vacate that court‘s judgment and dismiss the appeal. Department of Central Management Services v. American Federation of State, County & Municipal Employees, 182 Ill. 2d 234, 238 (1998).
The appellate court had jurisdiction to consider the merits of this case pursuant to
The dissent concludes that the appellate court lacked jurisdiction in this case. According to the dissent, the order was not final because it did not absolutely and finally fix the rights of the parties with respect to plaintiff‘s motion to amend. Noting that the trial court did not deny plaintiff‘s motion “with prejudice,” the dissent reasons that the trial court can reconsider its denial of the motion at any time prior to final judgment. More basically, the dissent reasons that an order relating to a claim that has not been filed cannot constitute a final judgment as to that claim. 202 Ill. 2d at 358-59 (Thomas, J., dissenting, joined by Fitzgerald and Garman, JJ.).
The dissent focuses on the form of the order and speculates as to what the trial court might do in the future, rather than focusing on the actions the trial court actually took. “The definition of a final order has been discussed by this court many times in all its phases ***.” Mills v. Ehler, 407 Ill. 602, 609 (1950). It is quite settled that in determining whether an order is final, one should look to its substance and effect rather than to its form. In re J.N., 91 Ill. 2d 122, 128 (1982); Altschuler v. Altschuler, 399 Ill. 559, 570 (1948). The question of finality must be considered with reference to the particular facts and circumstances of each case. Mills, 407 Ill. at 609; Roddy v. Armitage-Hamlin Corp., 401 Ill. 605, 610 (1948).
In this case, it is clear that the order denying plaintiff‘s motion to amend was substantively and effectively “final.” Although the trial court did not deny plaintiff‘s motion “with prejudice,” the court expressly found, under
This case is distinguishable from a case such as Peter G. Georges, Inc. v. Feldon Building Corp., 61 Ill. App. 3d 631 (1978), where: (1) the trial court‘s denial of the motion to amend made it clear that reconsideration was a possibility, and (2) the trial court refused the appellant‘s request to add
II. Standard of Review
The parties disagree as to the standard of review. Plaintiff contends that our review of the trial court‘s order should be de novo because that order centers on an issue of law. Defendant contends that our review should be deferential because it was within the discretion of the trial court to enter such an order. The appellate court employed a deferential standard of review.
A trial court has discretion in deciding a motion to amend pleadings, and a reviewing court will not reverse the trial court‘s decision absent abuse of that discretion. Lee, 152 Ill. 2d at 467; Loyola Academy, 146 Ill. 2d at 273-74. However, a trial court must exercise its discretion within the bounds of the law. Loyola Academy, 146 Ill. 2d at 274; People v. Williams, 188 Ill. 2d 365, 369 (1999). After a remand, the trial court is required to exercise its discretion within the bounds of the remand. Whether it has done so is a question of law. See Ptaszek v. Konczal, 10 Ill. 2d 326 (1957); compare 2 Nichols Il-
So there are two different standards of review applicable to what are essentially two distinct issues in this case. The first issue is whether our mandate required the trial court to allow the amendment. This question of law we address de novo. If this question of law is answered in the negative, i.e., the trial court had discretion to allow or deny amendment, the question becomes whether the trial court erred in denying amendment, a decision which we review only for abuse of discretion.
III. The Merits
In reversing the trial court in Clemons I, the appellate court concluded: ”For the reasons stated, we reverse and remand for a new trial consistent with the views expressed herein.” (Emphases added.) Clemons I, 292 Ill. App. 3d at 254. In affirming the appellate court, this court concluded its opinion by stating: ”For the foregoing reasons, the judgment of the appellate court, which reversed the judgment of the circuit court of McLean County, is affirmed.” (Emphasis added.) Clemons I, 184 Ill. 2d at 339. This court incorporated its opinion in Clemons I in the mandate to the appellate court. The appellate court subsequently issued its mandate, which directed as follows: “It is the decision of this court that the order on appeal from the [trial] court be REVERSED and the cause be REMANDED to the [trial court], for such other proceedings as required by the opinion of this court, a copy of which is attached hereto.” (Emphasis added.)
The controlling principles are quite established. After
Before this court, defendant acknowledges this principle. However, defendant observes that neither this court nor the appellate court specifically directed the trial court to allow plaintiff to amend the complaint. At oral argument, defendant contended that “the opinion was silent as to the pleadings.” Defendant argues that, due to the “general remand” of this court and of the appellate court in Clemons I, the trial court retained the discretion to allow or deny plaintiff leave to amend the complaint.
As the dissent notes, the reviewing courts in Clemons I did not explicitly demand that the trial court allow plaintiff to amend the complaint. 202 Ill. 2d at 360 (Thomas, J., dissenting, joined by Fitzgerald and Garman, JJ.). However, it is not required that a reviewing court state specific directions in an order reversing a judgment and remanding a cause. In such a case, it is then the duty of the court to which the cause is remanded to examine the reviewing court‘s opinion and to proceed in conformity with the views expressed in it. Nye, 411 Ill. at 413-14; Roggenbuck, 330 Ill. at 298; see Pinelli v. Alpine Development Corp., 70 Ill. App. 3d 980, 1007 (1979). “[T]hen, of course, the content of the opinion is significant.” PSL Realty Co. v. Granite Investment Co., 86 Ill. 2d 291, 308 (1981).
In this regard, the trial court will in some cases be required to allow the amendment of pleadings even when the reviewing court has not explicitly so ordered:
“When a judgment is reversed and the cause remanded with directions to proceed in conformity to the opinion
then filed, and it appears from the opinion that the grounds of reversal are of a character to be obviated by subsequent amendment of the pleadings or the introduction of additional evidence, it is the duty of the trial court to permit the cause to be re-docketed and then to permit amendments to be made and evidence to be introduced on the hearing just as if the cause was then being heard for the first time.” (Emphasis added.) Roggenbuck, 330 Ill. at 298.
See also Kinney v. Lindgren, 373 Ill. 415, 420 (1940).
Roggenbuck “contains a thorough and still valid discussion of proceedings that may take place after remand.” J. Eaton, W. Quinlan & R. Stern, Filing of Mandate in Circuit Court & Proceedings thereafter in Illinois State Court (Ill. Supreme Court Rule 369) in Illinois Civil Appellate Practice: State & Federal § 27-9 (Ill. Inst. for Cont. Legal Educ. 1997); see 6 Nichols Illinois Civil Practice § 121.25, at 204 (rev. 1998). The dissent overlooks this well-settled principle.
Before this court, defendant correctly contends that the grounds for reversal in Clemons I were the incorrect admission of evidence and corresponding jury instruction regarding the Wage Act. However, the admission of evidence regarding the Wage Act, with corresponding jury instruction and argument, only constituted prejudicial error because plaintiff did not allege a violation of the Wage Act. See Clemons I, 184 Ill. 2d at 335; Clemons I, 292 Ill. App. 3d at 247-48. Had plaintiff alleged a Wage Act violation, the admission of evidence regarding the Wage Act, with corresponding jury instruction and argument, would not have been erroneous. Thus, these “grounds of reversal are of a character to be obviated by subsequent amendment of the pleadings.” Roggenbuck, 330 Ill. at 298. Accordingly, it was the duty of the trial court to allow plaintiff to amend his complaint to add a count under the Wage Act. See Kinney, 373 Ill. at 420; Roggenbuck, 330 Ill. at 298. Of course, outside of the issues addressed by the reviewing courts in Clemons I, the
We note defendant‘s warning that a party opposing a pleading amendment following a remand from a reviewing court would never be able to prevail. According to defendant, such a pleading amendment would lead to unfair results, such as a defendant‘s open-ended exposure to liability.
However, plaintiff counters, and we agree, that
Because the trial court‘s order did not conform to the mandate on remand, it is reversed.
We lastly note that our result in this appeal would be the same even if we viewed the case through the discretionary standard embodied in
We agree with the appellate court that the first factor is not relevant to our analysis. Plaintiff did not move to amend his complaint to cure a defective pleading. However, we disagree with the appellate court as to the remaining three factors.
We do not find any prejudice or surprise. At the first trial, defendant proffered a reason for its discharge of plaintiff-namely, that plaintiff demanded his paycheck by a certain date. Thus, defendant was not taken by surprise by the facts that formed the basis of plaintiff‘s new claim. There can be no serious claim of prejudice when the only surprise is that defendant did not realize the legal significance of the facts it was asserting as its defense.
The remaining factors are timeliness of the proposed amendment and whether there were previous opportunities to amend the pleading. Initially, we note that this was only plaintiff‘s second request to amend his original complaint. More fundamentally, however, this cause was on remand from the reviewing courts in Clemons I. The appellate court concluded that “when a trial court is faced with a plaintiff‘s motion to amend his complaint upon remand, the court may appropriately consider proceedings that took place prior to remand.” However, the controlling principle is settled:
“When a decree is reversed and the cause is remanded without specific directions, the judgment of the court below is entirely abrogated, and the cause stands there as if no trial had occurred. *** [The trial court] may permit amendments to the pleadings or the introduction of further evidence, so long as such steps are not inconsistent with the principles announced by the court of review ***.”
In addition to the above factors, we note that the proposed amendment was clearly material to the case. See Loyola Academy, 146 Ill. 2d at 276. Consideration of these factors shows that the trial court clearly abused its discretion when it denied plaintiff‘s motion to amend his complaint.
CONCLUSION
For the foregoing reasons, the judgment of the appellate court and the order of the circuit court of McLean County are reversed, and the cause remanded to the trial court with directions to allow plaintiff to amend his complaint.
Appellate court reversed;
circuit court reversed;
cause remanded.
JUSTICE THOMAS, dissenting:
Unlike the majority, I do not believe that the order appealed from in this case is final and appealable. See 202 Ill. 2d at 350. I therefore respectfully dissent.
The law is well established that, unless specifically authorized by the rules of this court, the appellate court has no jurisdiction to review judgments, orders, or decrees that are not final. Department of Central Management, 182 Ill. 2d at 238. An order or judgment is final if, on the issues presented in the pleadings, it “ascertains and fixes absolutely and finally the rights of the parties.”
The order appealed from in this case is neither final nor appealable. Again, that order simply denies Clemons’ motion to amend his complaint to include an additional count of retaliatory discharge under the Wage Act. Clearly, that order did not terminate the litigation between the parties, as that litigation remains pending in the trial court. Moreover, that order neither ascertains nor fixes absolutely and finally the rights of the parties with respect to Clemons’ request for leave to amend. Indeed, Clemons’ motion was denied without prejudice, and
The trial court‘s inclusion of a
“If multiple parties or multiple claims for relief are involved in an action, an appeal may be taken from a final judgment as to one or more but fewer than all of the parties or claims only if the trial court has made an express written finding that there is no just reason for delaying either enforcement or appeal or both.” (Emphasis added.)
155 Ill. 2d R. 304(a) .
Thus, by its own terms,
Moreover, although the trial court‘s order denying Clemons’ motion for leave to amend invokes
“When the trial court, in making an interlocutory order not otherwise appealable, finds that the order involves a question of law as to which there is substantial ground for difference of opinion and that an immediate appeal from the order may materially advance the ultimate termination of the litigation, the court shall so state in writing, identifying the question of law involved. ***
*** The appeal will be sought by filing an application for leave to appeal *** within 14 days after the entry of the order in the trial court or the making of the prescribed statement by the trial court, whichever is later.”
155 Ill. 2d Rs. 308(a), (b) .
Here, Clemons did not file “an application for leave to
Finally, I wish to note that this is not a case of the trial court misconstruing our mandate, a circumstance that conceivably could justify the exercise of this court‘s supervisory authority irrespective of the jurisdictional defect. Nowhere in Clemons I did this court order or even suggest that Clemons be allowed to amend his complaint to add an additional count under the Wage Act. Rather, after noting that Clemons specifically disavowed any intention of pursuing a remedy under the Wage Act (Clemons I, 184 Ill. 2d at 335), this court held simply that the trial court erred in admitting evidence of and instructing the jury on defendant‘s alleged violation of the Wage Act and that such error was prejudicial to defendant (Clemons I, 184 Ill. 2d at 338). In reaching this result, the court noted that:
“The burden remains on the plaintiff to establish the elements of his cause of action, which here involved the discrete claim that the defendant wrongfully discharged plaintiff in retaliation for seeking recovery under the Workers’ Compensation Act. *** Other remedies may exist for the other violation, but the burden still rests on plaintiff to prove the elements of the action he has pleaded.” (Emphases added.) Clemons I, 184 Ill. 2d at 336-37.
Nothing in this language, or for that matter in all of Clemons I, could possibly be construed as a mandate to the trial court to allow Clemons’ proffered amendment.
In sum, the appellate court in this case considered the merits of a nonfinal order over which it lacked jurisdiction. I therefore would vacate that court‘s judgment and dismiss this appeal.
JUSTICES FITZGERALD and GARMAN join in this dissent.
