RONNIE EVANS v. CITY OF CHICAGO, et al.
No. 03-3844
United States Court of Appeals For the Seventh Circuit
ARGUED NOVEMBER 10, 2004—DECIDED JANUARY 6, 2006
Appeal from the United States District Court
Before COFFEY, RIPPLE and SYKES, Circuit Judges.
COFFEY, Circuit Judge. On the evening of March 22, 1997, Frankie Ann Perkins, age 37, died following an altercation with two Chicago Police Officers who were allegedly attempting to restrain her while taking her into custody.
On November 16, 2000, Evans filed a five count complaint in the United States District Court for the Northern District of Illinois against the City of Chicago (“City”) and eight individual Chicago Police officers.1 Evans’ initial complaint, along with a first amended complaint, were dismissed in part, аnd a second amended complaint was thereafter filed2 alleging inter alia that: the named officers violated the Racketeering Influenced and Corrupt Organizations Act (“RICO”),
I. BACKGROUND
At approximately 9:00 p.m. on the evening of March 22, 1997, Ronnie Evans and his cousin, Anthony Gray, were alerted by what they described as flashing colored lights that seemed to be coming from the vicinity of the vacant lot next door to Evans’ residence at 3340 West Van Buren street in Chicago, Illinois. Evans claims that, after noticing the flashing lights, he and Gray went to a window on the second floor of the house to determine what the commotion was. Onсe at the window, Evans witnessed two persons, whom he later identified as Officers Hofer and McCarthy, struggling with a woman, whom he later recognized as his cousin, Frankie Perkins. One of the officers allegedly had his hands around Perkins’ neck while the other was struggling to hold her arms behind her back. At some point, the two officers and Perkins fell to the ground and one officer let go of her, while the other officer—who allegedly had his hands around Perkins’ neck—fell directly onto Perkins’ chest and continued to strangle her. Evans, at that point, presumed that Perkins had passed out or died, because as the officers rolled her over to handcuff her, Perkins was motionless. After Perkins was cuffed, officers allegedly proceeded to drag her unconscious
The next morning, representatives of ABC Channel 7 visited the neighborhood in order to conduct interviews concerning Perkins’ alleged death at the hands of Chicago Police Officers. Evans agreed to, and did, appear on the news that evening. While relating his view of what happened the previous night, Evans publicly accused the two officers involved of murdering his cousin in cold blood.
After the report aired, the CPD’s Office of Professional Standards (“OPS”) formally launched an investigation into the incident. In an interview conducted on September 2, 1997, Evans related to OPS officers his version of the events that took place on the evening of March 22, 1997, including his opinion that Officers McCarthy and Hofer participated in the choking death of Perkins. Evans along with Perkins’ family also lodged complaints with the Federal Bureau of Investigation and the United States Attorney for the Northern District of Illinois as well as the offices of Congressmen Danny Davis and Bobby Rush concerning the incident. In addition, Perkins’ family filed a wrongful death lawsuit against the City of Chicago and the CPD in the United States District Court for the Northern District of Illinois.5 The Perkins family hoped that if the case ever went to trial Evans’ would testify as to what he witnessed on March 22nd in order to bolster their case against the city.6
A. Evans’ Alleged Harassment
Evans claims that shortly after his appearance on television, he was subjected to a campaign of harassment and terrorization by a number of Chicago Police Officers. Specifically, Evans claims that Officers Joseph McCarthy, Robert Hofer, Robert Bullington, Michael Kozenko, James Hladick, Richard Coyle, Mark Smith and Tony Green7 committed various
Indeed, during this time period Evans was arrested on three separate occasions—May 12, 1997, June 8, 19979 and July 14, 1997—for felony possession of a controlled substance, in violation of
Throughout the summer and fall of 1997, Evans saw fit to fail to appear in Cook County Court on numerous occasions relating to the drug charges brought against him during the summer, i.e., his May 12, 1997, June 8, 1997 and July 14, 1997 arrests, and by December of 1997, Evans had five warrants pending for his arrest. At some point in early December 1997, in order to avoid apprehension, Evans decided to turn himself into Judge Haberkorn, the Cook County Circuit Court Judge handling all of his criminal cases. Judge Haberkorn ordered a deputy to immediately transport him to the Cook County Jail at 26th and California, where he remained until March 17, 2000, approximately 28 months in all.
B. Criminal Court Proceedings Against Evans
In October of 1998, Evans’ attorney filed two motions to suppress evidence, both concerning his July 14, 1997, arrest.14 The circuit court judge heard testimony on the motions on three dates between October 1998 and February 1999, but did not rule on them immediately.
Subsequently, on January 14, 2000,15 the State of Illinois voluntarily withdrew one of the charges pending against Evans, a violation of probation charge that the State had filed on June 10, 1997, relating back to a 1996 conviction Evans had incurred for possession of a controlled substance. See supra p. 6 n.9. The State’s Attorney’s office felt that because Evans had served the maximum amount of jail time on his 1996 possession of a controlled substance conviction while awaiting trial, the violation of probation charge was, in effect, moot. Shortly thereafter the State moved the Circuit Court to order that the probation charge had been resolved as “PTU” or “probation terminated unsatisfactory.” The Circuit Court granted the motion, issuing an order reflecting that Evans had indeed violated his probation, but not reaching the merits of the charge.
On February 25, 2000, Evans’ motions to suppress concerning his July 14, 1997 arrest were argued and denied. That afternoon, a short bench trial was held on the July 14, 1997 charge, and Evans was found guilty of possession of a controlled substance and sentenced to one year of probation, probation terminated instanter. With the July 14, 1997 possession of a controlled substance charge resolved, the State then entered into talks with Evans in an attempt to deal with the two remaining pending charges against him, the May 12,
charge. Thereafter, the State, pursuant to the agreement, moved to nolle prosequi the May 12, 1997 charge.16 The Circuit Judge sentenced Evans to four years on the June 8, 1997 charge, with credit for 838 days time served, the period of time he spent in Cook County Jail awaiting trial.
C. Evans’ Civil Case
On November 16, 2000, Evans filed a complaint in the United States District Court for the Northern District of Illinois against the City of Chicago and eight Chicago Police Officers.17 In his second amended complaint,18 which is pertinent here, Evans claims that he is entitled to damages, due to the fact that inter alia: the named officers violated the RICO,
Following discovery, the defendants moved for summary judgment and, on September 26, 2003, the district court granted the defendant’s motion in its entirety. Specifically, the trial judge concluded that Evans could not prevail on his malicious prosecution claim because he could not establish that the circumstances surrounding the nolle prosequi of the May 12, 1997 charge and the withdrawal of the violation of probation charge were “consistent with his innocence.” Id. at *18-20. In addition, as to Evans’ First Amendment civil rights claims and his state law intentional infliction of emotional distress claims, the court found that because the alleged illegal acts took place in 1997, and that suit was not filed until 2000, they were both well beyond the two-year statute of limitations for First Amendment civil rights claims in the State of Illinois, see Kelly v. City of Chicago, 4 F.3d 509, 511 (7th Cir. 1993), and the applicable one-year statute of limitations for tort claims against governmental employees in Illinois, see
II. ANALYSIS
We review the district court’s grant of summary judgment in favor of the City and the individual officers de novo, See Stark v. PPM America, Inc., 354 F.3d 666, 670 (7th Cir. 2004), and view the record in the light most favorable to the non-moving party, here Evans. See Dunn v. Nordstrom, Inc., 260 F.3d 778, 783 (7th Cir. 2001). Summary judgment is proper only “if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law.”
A. Issues
On appeal, Evans challenges only the district court’s grant of summary judgment as to his RICO, First Amendment, § 1983 claims and his state law tort claim for intentional infliction of emotional distress. In doing so, Evans argues that the loss of income and attorneys fees that he incurred was the direct and proximate result of the defendant-appellees RICO violations, thus providing him with standing to sue pursuant to
1. RICO Standing
The civil RICO statute,
a. Injury to Business or Property
In order for Evans to secure standing to sue under RICO, he must first
Although the RICO statute is to be construed broadly, and we are charged with liberally construing the law to “effectuate its remedial purpose,” Sedima S.P.R.L. v. Imrex Co., 473 U.S. 479, 498 (1985), not every injury is cognizable under
This seems quite proper when one considers that personal injuries lie outside the “business or property” standing provision of the Clayton Act, see
the Clayton Act, “Congress must have intended to exclude some class of injuries by the phrase ‘business or property,’” and the Act “would, for example, exclude personal injuries suffered.” Id.
Relying on the Supreme Court’s decision in Reiter, this court has gone on to hold, not only that personal injuries do not provide standing in civil RICO actions, see Rylewicz, 888 F.2d at 1180, but also that pecuniary losses flowing from those personal injuries are insufficient to confer standing under
Applying the cоncept that personal injuries and attendant pecuniary losses flowing from those injuries do not satisfy the standing requirements of
i. Loss of Employment Income
Evans initially claims—most creatively we must admit but nevertheless without merit—that he has established RICO standing as evinced by his loss of income during the period of time while he was lawfully and properly incarcerated because he was unable to seek or obtain gainful employment. The crux of Evans’ argument is that, due to the fact that he was allegedly maliciously prosecuted and falsely imprisoned, he thus lost the ability to pursue gainful employment and also lost potential income from that employment. As such, his claim must fail.21
The loss of income as a result of being unable to pursue employment opportunities while allegedly falsely
Bank, N.A., 354 Ill.App.3d 1122, 1136 (Ill. App. Ct. 2004) (false imprisonment). These torts often result in personal injuries, such as those enumerated above, including the inability to pursue or obtain gainful employment. Evans’ claim of loss of employment income is nothing more than an indirect, or secondary effect, of the personal injuries that he allegedly suffered, the inability to seek or obtain employment, and therefore such a claim does not constitute a cognizable injury to “business or property” within the meaning of
To illustrate the point that personal injuries and incidental monetary losses flowing from them do not confer
is particularly true given the “restrictive significance” of the RICO standing requirement, which was adopted directly from the Clayton Act. See Reiter, 442 U.S. at 339; see also infra, p. 20 n.23. Indeed, we are inclined to agree with the United States District Court for the District of Columbia’s statement in Morrison v. Syntex Labs. that “[h]ad Congress intended to create a federal treble damages remedy for cases involving bodily injury, injury to reputation, mental or emotional anguish, or the like, all of which will cause some financial loss, it could have enacted a statute referring to injury generally, without any restrictive language.” 101 F.R.D. 743, 744 (D.D.C. 1984), cited with approval in Grogan, 835 F.3d at 847 (citation omitted) (emphasis in original).
In Doe v. Roe, this court held that the loss of income resulting from the personal injury of emotional distress was not sufficient
This is not to say that a plaintiff may never recover under RICO for loss of an employment opportunity. Where an employee is able to establish that he has been unlawfully deprived of a property right in promised or contracted for wages, the courts have been amenable to classifying the loss
of those wages as injury to “business or property.” See, e.g., Williams v. Mohawk, Industries, Inc., 411 F.3d 1252, 1260 (7th Cir. 2005). However, Evans does not claim that he was engaged in a lawful business enterprise or activity which was interfered with by the City or the officers who allegedly harassed him. Cf. Rosario v. Livaditis., 963 F.2d 1013, 1020-21 (7th Cir. 1992). In addition, he does not claim that he was discharged from his employment as the result of his refusal to participate in a racketeering scheme. Cf. Shearin v. E.F. Hutton Group, Inc., 885 F.2d 1162-63 (3d Cir. 1989). Indeed, Evans only claims that he was effectively prevented from “seek[ing] temporary day labor work.” Personal injuries such as these are most decidedly not the type of injury that the RICO laws were designed to address.23
Thus, our holding is limited to plaintiffs such as Evans,
Our conclusion is bolstered by the fact that Illinois law also does not recognize the right to seek out employment opportunities as a cognizable property right. Often, courts will look to state law to determine the meaning of a “property” right pursuant to federal statutes such as RICO. See Doe, 958 F.2d at 768 (“While federal law governs most issues under RICO, whether a particular interest amounts to property is quintessentially a question of state law.“). This has indeed proved to be an acceptable and appropriate method for determining the meaning that should be given to property interests. See Ledford v. Sullivan, 105 F.3d 354, 357 (7th Cir. 1997) (stating that “[p]roperty interests ‘are not created by the constitution’ . . . [r]ather, they are created and their dimensions are defined by existing rules or understandings that stem from an independent source such as state law . . . .“) Pertinent here is the fact that the Illinois Supreme Court has specifically held that a person has a property interest in employment only where that person has a legitimate expectation of continued employment. See Fumarolo v. Chicago Board of Ed., 142 Ill.2d 54, 107 (Ill. 1990) (holding that “a property interest in employment as a tenured teacher can be created where there is a legitimate expectation of continued employment“). In addition, under Illinois law, to state a claim for “interference with prospective economic advantage” which is essentially what Evans claims the City and the officers did by allegedly falsely imprisoning him thereby denying him the opportunity to seek or obtain gainful employment, “a plaintiff must allege (1) a reasonable expectancy of entering into a valid business relationship, (2) the defendant‘s knowledge of the expectancy, (3) an intentional and unjustified interference by the defendant that induced or caused a breach or termination of the expectancy, and (4) damage to the plaintiff resulting from the defendant‘s interference.” Anderson v. Vanden Dorpel, 172 Ill.2d 399, 406-07 (Ill. 1996) (citing Fellhauer v. City of Geneva, 142 Ill.2d 495, 511 (1991)). Evans has proffered no evidence, much less case law that could or would lead us to conсlude that, by lawfully prosecuting and imprisoning him, the City or the Officers, in any way, interfered with his “legitimate expectation of continued employment,” nor has he alleged that he had a “reasonable expectancy of entering into a valid business relationship.” There is no question that the State of Illinois has the right, and
Accordingly, we reaffirm our holding in Doe v. Roe, and in doing so reiterate this court‘s understanding that personal injuries, and the pecuniary losses flowing from those injuries, are insufficient to establish standing under the civil RICO,
ii. Attorney‘s fees
Evans also claims that he suffered monetary losses sufficient to establish standing under
As discussed at length above, personal injuries and the pecuniary losses stemming therefrom do not establish standing under the civil RICO statute. See Roe, 958 F.2d at 770. Like рecuniary losses stemming from the inability to seek or gain employment due to a plaintiff‘s alleged false imprisonment, pecuniary losses which emanate from a personal injury such as the acquisition of attorney fees due to alleged malicious prosecution or false imprisonment do not provide a plaintiff with standing under the civil RICO statute. In Doe v. Roe, we addressed precisely this issue and held that monies expended in retaining a “new attorney [were] plainly derivatives of her emotional distress—and therefore reflect personal injuries which are not compensable under RICO.” Id. The fees that Evans allegedly paid his attorney with regard to the withdrawn violation of probation charge and the May 12, 1997 possession of a controlled substance charge which was nolled, are clearly derivative of his alleged false imprisonment and malicious prosecution claims and therefore represent non-compensable pecuniary losses related to personal injuries. See Swick v. Liautaud, 169 Ill.2d at 512 (describing the elements of a tort claim for malicious prosecution). As suсh, they are also insufficient to supply him with standing under RICO.
However, even if we were to assume arguendo that Evans had established a “business or property” injury within the meaning of
The Supreme Court, in Holmes v. Sec. Investor Prot. Corp., 503 U.S. 258, 268 (1992), analogized
In line with the Supreme Court‘s guidance in Holmes and previous decision such as Sedima, S.P.R.L. v. Imrex Co., Inc., 473 U.S. 479, 497 (1985), which states that “[a]ny recoverable damages occurring by reason of a violation of
Evans claims that, due to the alleged racketeering activities of the named police officer defendants, he was forced to incur additional attorney‘s fees to defend against charges on which he was later vindicated. In addition, Evans claims that he incurred fees for “many court sessions where witness after witness was put on to testify about harassing incidents involving the defendants.” However, even when viewed in the light most favorable to Evans, the evidence concerning the attorney‘s fees is far too speculative to confer RICO standing.
The problem is that Evans was convicted of two of those charges, i.e., the June 8, 1997 possession of a controlled substance charge and the June 14, 1997 possession of a controlled substance charge, while the other two charges (the violation of parole charge and the May 12, 1997 possession of a controlled substance charge) were abandoned. Even if we were to assume that Evans “prevailed” on the charges that were abandoned, the question remains: What portion, if any, of the attorney‘s fees that Evans incurred is attributable to the charges that were abandoned?
The attorneys that represented Evans tell us, via affidavit testimony, that they would have charged Evans the same amount of money—$20,000 or $10,000 a piece—regardless of the number of charges pending against him at the time. In addition, they themselves state that they did not apportion their time amongst the criminal charges, i.e., they only kept an aggregate total of the hours worked and did not bill based on which charge they were addressing at any given time. Whether billing in such a manner constitutes a good business decision or not, we, along with the attorneys that represented Evans, are unable to discern what, if any, percentage of that $20,000 would constitute damages even if Evans were to prevail on his RICO claim. He does state in
Because Evans has failed to create an issue of material fact, and because his RICO claim fails as a matter of law, we cоnclude the district court did not err when it granted summary judgment to the defendants, finding that Evans lacks RICO standing.
2. First Amendment and Intentional Infliction of Emotional Distress Claims
Evans also claims that the district court erred in granting summary judgment to the defendants on his First Amendment civil rights and state law intentional infliction of emotional distress claims. Evans argues his First Amendment,
Evans’ initial argument is that the cause of action did not accrue until the termination of the state criminal proceedings against him in 2000. What Evans fails to take into consideration is that the default rule, under Illinois law, is that “a cause of action for personal injuries accrues when the plaintiff suffers injury.”28 Golla v. General Motors Corp., 167 Ill.2d 353, 360 (Ill. 1995) (citing West American Ins. Co. v. Sal E. Lobianco & Son Co., 69 Ill.2d 126, 130 (Ill. 1977), and Hermitage Corp. v. Contractors Adjustment Co., 166 Ill.2d 72 (Ill. 1995)). In addition, as the district court correctly found, nothing in either federal law or Illinois law
tolls or delays the running of an applicable statute of limitations on a
The doctrine of continuing violation, as the Illinois Supreme Court has held, “does not involve tolling the statute of limitations because of delayed or continuing injuries, but instead involves viewing the defendant‘s conduct as a continuous whole for prescriptive purрoses.” Feltmeier v. Feltmeier, 207 Ill.2d 263, 279 (Ill. 2003) (citing Pavlik v. Kornhaber, 326 Ill.App.3d 731, 745 (Ill. App. Ct. 1991)). Indeed, the in Feltmeier v. Feltmeier, the Illinois Supreme Court made clear that “the statute of limitations is only held in abeyance until the date of the last injury suffered or when the tortious acts cease.” Id. at 284.
Applying this common-sense rule to the facts concerning Evans’ allegations of continuing torts and First Amendment violations, we are convinced that the district court correctly granted summary
Thus, because the statute of limitations began running in late December 1997 and Evans didn‘t file suit until three years later, in November of 2000, both Evans’
III. CONCLUSION
The decision of the district court is
AFFIRMED.
A true Copy:
Teste:
________________________________
Clerk of the United States Court of
Appeals for the Seventh Circuit
USCA-02-C-0072—1-6-06
Notes
Congressional lawmakers well understood that adopting the Clayton Act‘s standing requirement would magnify the “clarity and [reinforce the] contours of the title‘s procedural provisions.” 116 Cong. Rec. 35227 (remarks of Rep. Steiger). The denouement—whether good or bad—of increased “clarity” in this instance was the adaptation of the Clayton Act‘s standing requirement that a prospective plaintiff be injured in his “business or property” and the “restrictive significance” that those words retain. See Reiter, 442 U.S. 339. Although Congress may have been concerned with “a private litigant [who] would have to contend with a body of precedent . . . setting strict requirements on questions such as ‘standing to sue’ and ‘proximate cause,‘” that is exactly what was inherited by incorporating the Clayton Act‘s standing requirement. Sedima, 473 U.S. at 498 (quoting 115 Cong. Rec. 6995 (1969)). While this consequence may have been unintended, we are bound by the words of the statute, which exclude personal injuries as grounds for standing under the civil RICO statute. See Reiter, 442 U.S. 339. Expanding the class of injuries sufficient to confer standing under the statute is a job best left up to the United States Congress, not the federal courts.
In addition, the Ninth Circuit‘s decision seems to weigh significantly on that court‘s understanding of what constitutes a “property interest” pursuant to California law. For example, court concluded that the loss of income stemming from the (continued...) inability to pursue employment did constitute a cognizаble injury sufficient to establish standing under RICO, concluding that Diaz had “alleged both [a] property interest and [a] financial loss,” under California law. Diaz, 420 F.3d at 900. The court stated that the “harms [Diaz] allege[d] amount[ed] to intentional interference with contract and interference with prospective business relations, both of which are established torts under California law.” Id. (emphasis added). In doing so the court stated that the distinction between current and prospective employment was “untenable” due to the fact that “California law protects the legal entitlement to both current and prospective contractual relations.” Id. However, as discussed above, Illinois law does no such thing. In fact, Illinois law explicitly protects only the “legitimate expectation of continued employment,” See Fumarolo, 142 Ill.2d at 107, or a “reasonable expectancy of entering into a valid business relationship,” Anderson, 172 Ill.2d at 406-07, none of which apply to Evans. Therefore, because the Diaz decision is neither controlling law nor persuasive in its rationale, we need not alter our opinion today in light of that decision.
