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Renken v. Northern Illinois Water Co.
547 N.E.2d 1376
Ill. App. Ct.
1989
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*1 claim- make clear that award was for full suffered he continued ant, problems a broken the attendant namely, nose and the em- this contention experience Thus, thereafter. consider we ployer be without merit.

Affirmed.

BARRY, WOODWARD, and P.J., McNAMARA, McCullough, jj., concur. Cross-Appellant, RENKEN,

FRANCES M. Plaintiff-Appellee Defendant-Appellant NORTHERN COMPANY, ILLINOIS WATER Cross-Appellee.

Fourth District No. 4 — 89—0155 Opinion 16, 1990. January filed Rehearing December denied 1989. *2 STEIGMANN, J., concurring. specially Raccuglia Associates,

Anthony C. & of (Cynthia Raccuglia, Peru M. of counsel), for appellant. Gomien,

Roger Gomien, of Rigazio, Morris, B. & appellee. Root for JUSTICE LUND delivered the the court: This appeal by defendant Northern Illinois Water from Company an order the circuit court of by Livingston County, directing defendant $8,162.50 to pay plaintiff’s to attorney. The attorney fees order was pursuant to that section 5 — 201 of the (Act) Public Utilities Act Rev. 201) Stat. which entitles plaintiffs who recover civil damages under section 5 — 201 to attorney fees. cross-appeals Plaintiff from the in her judgment favor in the amount of $17,183.70, contending the not have jury should been to allowed negligence. reduce the verdict because of comparative 16, 1985, Pontiac, Illinois, a crossing On December while street hole, into a hole and fell. The stepped evidently, existed be- the covering grade cause water valve was lower than even of the city walking street. Plaintiff in the available marked crosswalk Plaintiff of Pontiac. against City area. filed a initially complaint Later, an defendant. Subse- brought defendant was as additional for claim of Pontiac quently, plaintiff against City settled her $15,000. $5,000 fee, pursuant as his attorney Plaintiff’s received he contingency arrangement plaintiff. fee had with defendant, complaint alleged for claim viola- against As on Act, tion the violation defendant of section 5—201 of by rule. 5—201 (ICC) pro- of an Illinois Commerce Commission Section vides follows:

“In or do, permit case cause to be done public utility shall any act, thing or de- prohibited, be done matter or forbidden any act, matter or unlawful, any clared to or omit to do be shall this Act or thing provisions to be either required any done Commission, rule, issued regulation, order or decision of the any Act, shall liable to public utility of this authority loss, dam- persons affected all corporations thereby or therefrom, and if the resulting caused or ages thereby or wilful, the court court that the act or omission was shall find damages award damages, in addition the actual may An action way punishment. sake of example *3 loss, brought in may for such or be damage recover person corporation. circuit court or by any or cor- damages any person In of every recovery case Section, shall provisions plaintiff under the this poration fee to be fixed by attorney’s be entitled to reasonable of the costs court, and collected as fee shall be taxed which in the case. any shall in manner provided as in this Section recovery

No provided.” in this Act penalties of the recovery by affect a the State 111 n , (I 1987, 201.) Rev. Stat. ch. ll. 600.240, is which states: The rule ICC involved hydrant pro inspection “Each a valve and utility shall establish in con good operating hydrants kept and shall gram. Valves hy and annually. at least Valves inspected dition and should be replaced. or repaired to be shall be inoperable drants found not paved level and grade at covers shall be maintained Valve shall be performed and all maintenance over. Each inspection Ill. record card.” 83 hydrant the valve or noted on properly (1985). Adm. Code §600.240 in a verdict jury to trial and resulted proceeded

The matter and to comparative negligence, instructed as jury The plaintiff. was 747 The injury. of the responsibility assessed with 40% plaintiff $17,183.70 determination of jury’s judgment represented $15,000 Because of the settle liability. defendant’s 60% share of Pontiac, pay was ordered to only ment with the defendant City Subse $2,183.70 damages plaintiff. additional as its share of the verdict, attorney of the asked for quently, plaintiff because favorable fees under section a statement for services 5 — 201 submitted $14,212.50. the amount trial an award of court allowed $8,162.50 spent based on the amount of time actually preparing trying against the case defendant. Defendant is not from the appealing award of is from the damages, appealing only attorney but order for However, fees, fees. attacking attorney defendant contends section 5 — 201 applicable was not under the facts of this case. Defend fee, ant also contends the of the if a fee assessment computation reasonable, have, proper, least, was not and should at been limited the contingency arrangement fee between her plaintiff and attorney.

If the facts in this cause cannot sustain a judgment 01, ordered, 5— then the attorney section, fees on the must 2 be reversed. Section 5 — 201 is for practical identical to what purposes was section 73 of the 1983, Public Utilities Act Ill. Stat. (formerly Rev. ch. par. 77). Barthel v. Illinois Central Co. Gulf R.R. 213, 74 Ill. 2d 323, 384 N.E.2d the question of the of the applicability defense of contributory negligence to causes under section 73 of the Act was It recognized addressed. was that a violation of a statute to protect human life or property prima evidence of negligence. facie (Barthel, 219, 74 Ill. at However, 384 N.E.2d at it 326.) must be shown that the violation proximately caused the injury, that the statute to protect was intended a class to which the belongs from the kind of injury 220, suffered. 74 at (Barthel, Ill. 2d 326.) Section 5 — 201 differs from the statute it ordinary because ex pressly Thus, creates a cause of action. negli violation establishes gence law, as a matter of in contrast to the prima evidence rule. facie (Barthel, 74 Ill. 2d at 384 N.E.2d at The supreme court noted that in contrast to the Structural (see Work Act Ill. Rev. Stat. ch. pars. through 69), Coal Act Mining (see Ill. Rev. 96½, Stat. ch. pars. through 3901), and the Child Labor Law (see Ill. Rev. Stat. pars. 31.1 through 31.22), which im *4 posed liability, strict the Act does not entail the social policies requir ing 221-22, strict liability. (Barthel, 74 Ill. 2d at 384 at 327.) N.E.2d was Contributory negligence upheld as a defense in proper Public Util ities Act cases Barthel decision.

Basically, contributory negligence disappeared and reappeared 748

comparative negligence (1981), with the of Alvis v. Ribar 85 1, Ill. 2d 421 886. N.E.2d

It is apparent the evidence indicated fell because plaintiff So, of a hole around the water valve cause was covering. proximate ge 5—201, established. The then is whether section remaining question to with Ill. incorporation regulation (83 of ICC 600.240 Adm. ther (1985)), Code was intended to the class to which protect §600.240 plaintiff belonged. The argument coupled thrust defendant’s 600.240, valve con regulate was intended water valves, maintenance to use of those rather

struction and facilitate the than from or mainte general public faulty construction correct, nance. If defendant is then was not in a plaintiff protected cases are defendant’s following support posi class. The submitted 930; (1982), tion: v. Lance 107 Ill. 3d 437 N.E.2d App. Ozment 725; v. 75 Ill. 3d 393 City Chicago (1979), App. Warchol N.E.2d 656; Ill. Galayda (1980), App. v. Penman 80 3d Auto 102 Ill. Transport App. Sheehan Janesville N.E.2d 131. All of these cases involved incidents similar to ordinance the difference between ordi explained violations. Justice Underwood stating that the nance violations and Public Utilities Act violations while the latter negligence, former are evidence of only prima facie Barthel, creates cause of action.” 74 Ill. 2d at “expressly at 326. N.E.2d those under 21 prohibiting years

Ozment involved an ordinance em- underaged from the sale of alcohol. The age employment involving alcohol to a hotel room. delivering molested while ployee sexually was was not evi- The decision held the violation of ordinance appellate Warchol, In existing duty under the facts. negligence dence negligence allowed as evidence of when maintain sidewalks was not fence walking pipe adjoining while on a injured the minor was certain stair requiring In a violation of an ordinance Galayda, walk. plaintiff not allowed as evidence of when construction was fire, faulty stairway. in a and he did not use the injured of defendant’s viola- Sheehan, was not allowed to use evidence plaintiff lane to swerved out of his tion of a ordinance when parking hit the truck. ordinance automobile and defendant avoid another than vehicles. moving local residents rather was held to facilitate the the class” requirement, the “member of illustrating Except us. deciding the issue before helpful are not particularly cited cases regula- of the ICC purpose to the argument relating Defendant’s service, protecting pe- rather than of water insuring quality tion *5 destrian, regulation a more issue. If the presents challenging valves, then, argua- the sole the of water purpose assuring usability would not be a member of the class. bly,plaintiff protected (Ill. Plaintiff section 8 — 101 of the Act Rev. Stat. ch. argues 111 n , section 32 of the Act Rev. Stat. 101), formerly 8 — par. 111 n , the 32), “promote safety, ch. utilities to requires public *** patrons,” suggests health of its all Administrative Code [and] are authorized section 8 — 101. Defendant provisions by argues regulation implementing 600.240 was for the adopted purposes Act, 5— 2 01 of the and was section 8 — 101 of only authorized the Act.

The importance implementing of the difference between and autho- rizing recognizes general is more when one nature of sec- apparent VIII, tion the first section under article entitled “Service Obli- 8— Conditions,” and which gations provides: furnish, shall

“Every public utility provide and maintain such instrumentalities, service facilities equipment and as shall pro- health, mote the comfort safety, and convenience of its patrons, employees and and as shall in all public respects be adequate, efficient, just and reasonable.

All rules and made regulations by public utility affecting or pertaining charges to its or service to the shall public just be and reasonable.

Every shall, notice, public utility upon reasonable furnish to all persons may apply who therefor and be reasonably entitled thereto, service, suitable facilities and without discrimination and without Ill. Rev. Stat. delay.” par. 8 — 101. recognize regulations We ICC have different functions. Electric utility regulations for the might solely purpose be suf- guaranteeing thus, user, ficient other power, protecting regulations while might lines, regulate intending the location of the general pub- lic. utilities controlled might by regulations pressure Water be available, in fire The loca- aiding protection. the user and protecting tion both users and fire and condition of shutoff valves could affect There is minimizing areas affected shutdowns. protection by by repair to be terminology, no 600.240 its question regulation appears, than hydrants and condition of valves and availability directed at could conceiv- general of the The words which safety public. only are: “Valve covers protection general public read as ably be regula- of the grade Can this small shall be maintained level.” of the as to extend the class from the users protected tion read so be extending to the general public? recognize We public utility for the crea- allows general public of the protection regulation regulation of the when a violation as a matter of law negligence tion of proved. at the protection could well be aimed level grade or road highway level in a grade above extending A valve valve. traffic. A valve below vehicular damage by subject easy would be or road materials dirt. with surplus level well be covered grade might could obsta- time, grade level At the same valves above and below that, regardless are pedestrians. cles for vehicles and We aware Act, a common law protected by was in a class whether the installation above or well rest might upon action for a strict construction argument there is an grade below level. While *6 600.240, the crea- of 201, regulation because coupled of section 5— and should conclude the section liability, tion of we absolute case, we find of this and under the facts apply be read as class. of the protected that she is a member class, it not necessary is as to protected

In of our decision light Ry. & Western Churchill in determine whether Norfolk 929, 933, 136-37, is precedent 383 N.E.2d Co. 73 Ill. 2d cre causing personal injury, if of section all violations holding for limiting no The court Churchill in found basis ate a cause of action. services, specifically and rates and public utility to issues of liability held: statutory clarity ju of and the twin forces impelled by are

“We actions, arising that personal to conclude precedent dicial at rail safety rules on public the ICG’s out of violation 73 of the Public cognizable are crossings, road 933.) at at (Churchill, 73 Ill. 2d Act.” Utilities obviously of a regulation involved violation While Churchill can be argument an recognize public, we general of the protection in results 5 — 201 which of section it violation any holds made the Act. of action under creates a cause personal injury under section damages cause of action for had a valid Since plaintiff fee to be fixed attorney’s is “entitled to a reasonable 5— she 2 5—201.) enda Rev. Stat. court.” Def the trial court was un is that the fee fixed argument nt’s second fee of one- contingent high and should be limited to reasonably $2,183.70. the net recovery third of computation on a $8,162.50 based allowed an award

The court originally sub- had attorney hour. Plaintiff’s per of 65.3 hours $125 court de- However, the trial $14,212.50. totalling mitted a statement against the case solely prosecuting related leted the activities City of Pontiac. The court accepted attorney’s suggested hourly rate of per hour, fee all attorney representing awarded $125 the time spent preparing the case trying against defendant. Plain- tiff’s attorney $5,000 had previously received as his fee contingency from the $15,000 settlement of with the of Pontiac. Defendant City argues this award not reasonable on the type case involved.

There are few guiding in our principles appellate decisions to what a reasonable fee attorney should be in cases where a statute permits such an award. Federal has more to system considerably matter, say about the area of particularly rights civil cases. Defendant has based its argument on two Federal civil rights cases from the Seventh Circuit Court of In Appeals. v. Flynn (7th Kirchoff 1986), Cir. 786 F.2d the court of reversed appeals an award of fees attorney based exclusively on a figure 40% obtained from the con fee tingency arrangement between attorney and client. The court stated the district court was within its discretion in accepting the con tingency fee as a proper reasonable However, fee. the district court had simply read the fine print the fee provision. The court remanded the cause for further consideration. a typical Kirchoff tort lawsuit where the Federal foundation was mere dressing: window “The [plaintiffs] sued to redress some of the known, oldest torts not to challenge accepted wisdom or to explore uncharted seas.” (Kirchoff, 786 F.2d at 327.) discussing a proper fees, award of attorney court stated the guiding principle is to determine the mar prevailing ket rate for attorneys of comparable skill and experience who provide similar services. (Kirchoff, 786 F.2d at As for basing an award on a contingency arrangement, the court concluded:

“The use contingent fees can coexist with a recognition that courts must compensate counsel who produce non-monetary benefits, and compensation for such benefits is presump- tively based on the number of hours it took to produce the bene- *** fits. The use of contingent fees is appropriate in cases that enforce old precedents and allow effective compensation as a percentage the total recovery. Neither approach governs all cases, but there is no conflict. necessary The objective in all cases is the same: to award the plaintiff’s counsel the market rate for the services reasonably required produce to the victory. ‘The market’ uses different methods of calculating compensa- different tion in kinds of cases.

To sum the district up: judge was entitled to the at- compute fee in torneys’ this case as a percentage of the total award.” Kirchoff, 786 at F.2d 328.

752 F.2d case, 1987), Cir. (7th v. Argento

In the second Lenard fee contingency agree the effect of a again discussed the court ment: a clear has now made both the Court

“Although Supreme on the award ceiling not a place contract does fee contingent judgment exceed the may that the award fees and attorney’s contract, the rela ***, of such a terms the existence and relief and the ob sought by counsel between fees tionship decision on judge’s tained, continue relevant to district be a reasonable only a fee to The statute allows large how award. counsel large competent This a fee to induce enough fee. means 808 F.2d case, (Lenard, no plaintiff’s larger.” to handle the but 1247.) at cases, rely arbitrarily not to the courts are these Federal

Summarizing a rea- determining the standard arrangement as contingency on a the contractual Rather, the courts are consider fee. attorney sonable in their as but one factor and client attorney between arrangement fee represents fee contingency In instances where those determination. involved, contin- of case type for the remuneration the standard the final award. serve as gency may adequately fee Farm Insurance Co. Plaintiff cites Keller State argument his for sustain support Ill. 3d App. $8,000. general trial award of some Keller follows the ing the court’s Keller, the trial court held guidelines appellate outlined above. in a contingency arrangement on the fee situa arbitrarily court relied unreasonably type in an small award for tion where that resulted (Keller, 180 Ill. 536 N.E.2d at 205- App. involved. of case City of Pontiac was normal against The action apparent are which would questions law or fact case. No trip-and-fall defend against waters. The case into uncharted entering indicate cre liability absolute question except ant herein is similar to be un appears issue forced counsel into what statute. This ated fees might approved charted waters. While we have awarded the court, trial against we do not find them so excessive as weight the manifest of the evidence. We affirm trial fee court’s order. CROSS-APPEAL

Plaintiff argues, on cross-appeal, that there should not abe setoff based on comparative negligence. The position is taken that the court, supreme by adopting comparative negligence (Alvis v. Ribar (1981), 85 Ill. 2d 421 N.E.2d 886), its previous ruling reversed

753 arising under to cases applied defenses contributory negligence posi Plaintiff’s 222, 384 N.E.2d at Barthel, 74 Ill. 2d at (See Act. tion is without merit. of rehear 17, 1981, modified on denial filed on April

Alvis was 4, Vegich McDougal Simon’s in ing on June 1981. Justice 918, filed on 461, was (1981), Hartmann 84 Ill. 2d 419 N.E.2d Co. 31, it out that causes of actions Vegich, March 1981. In was pointed acts, thus differ of wilful Act were not limited violations Law Rev. Stat. (Ill. them from of the Child Labor entiating violations 1979, 48, (Ill. the Structural Work Act through 31.22), ch. 31.1 pars. 1979, 48, “An Act to through 69), protect Rev. Stat. ch. pars. (Ill. from ***.” Rev. Stat. general public workers and the v. Union Electric Co. through 314.8.) ch. 314.1 Simmons pars. 946, 953, specifi Ill. 473 N.E.2d Justice Simon (1984), 104 2d in negligence proper held that was not Structural cally comparative cases, Act cited and the wilfulness standard. In our Vegich Work 440, 444, in opinion Knyal v. Illinois Power Co. 169 Ill. App. 639, 642, Act, which involved the stated: we “Nothing we have stated is intended to make the sta- possible tus of the injured party trespasser as a immaterial on the ques- tion of whether party’s presence premises on the was fore- seeable or party guilty contributory whether was negligence comparative purposes.” is still a in cases

Comparative negligence proper public utility defense Act, because a violation of the" creating liability, necessarily while that exists in cases where liability wilful and does not the strict require ruling wilfulness is of the statute. The trial on compara- court’s tive must be affirmed.

Affirmed.

KNECHT, P.J., concurs. STEIGMANN,

JUSTICE specially concurring: I agree "case, with the result I by reached this but majority do not with the agree given reasons to reach that majority result. I Specifically, incorrectly believe the has construed the majority case, statute at issue in this of the Public Utilities Act 5 — 201 Rev. Stat. in an 201), by engaging analysis 5 — Supreme that has been foreclosed a decision of the Illinois Court. The defendant case argues coupled this section (83 (1985)), 600.240 of the ICC Ill. Adm. Code §600.240 and maintenance to fa regulate intended water valve construction valves, rather than to general pub cilitate use of those lic ob majority opinion from construction or maintenance. faulty *9 correct, then not in a plaintiff that if the defendant is was serves know, not correct however, class. We that the defendant is protected in v. Supreme because of the decision of the Illinois Court Churchill (1978), & Western Co. 73 Ill. 2d 383 N.E.2d 929. Es Ry. Norfolk this the same to us the defendant in sentially argument presented Churchill, case addressed the in the court supreme was to court and following: stated the of initially dispose question by

“Defendant seeks to the assert- in does not to ing apply that the section 73 statutory remedy It the Act actions. contends that Public Utilities personal injury utilities, public is at and regulating directed rates services that, a provide and section 73 is intended to rem- consequently, overcharging preferential for such abuses as rates and edy crossings. any not for at railroad fail to find safety violations We for this contention. substantiation whatsoever *** clarity statutory the twin forces of impelled by areWe actions, to judicial precedent personal injury conclude at of the rules on arising public safety out the violation ICG’s the are 73 of Public crossings, cognizable railroad under section Churchill, 136-37, Act.” 73 Ill. 2d at 383 N.E.2d at Utilities 933. notes, the the 73 of the Utilities majority opinion As Public 77)

Act in Stat. is discussed Churchill Rev. is at issue purposes for all identical to the section 5 — 201 that practical decision, I in this case. in view of the Churchill cannot Accordingly, the opinion leading the the agree lengthy analysis majority with 600.240, with should coupled that section conclusion this because the facts of case to the plaintiff be read apply 3d at 750. 191 Ill. App. of the class.” protected “she is a member because, even if the I the disagree majority’s opinion further us, I issue before primary case had not resolved already Churchill aof “pro plaintiff the determination of whether conclude addresses, unnecessary is class,” tected which the majority decision in Barthel my reading Supreme on Illinois Court 384 N.E.2d 323. Central Co. 74 Ill. Illinois Gulf R.R. Barthel, following: states the majority opinion, analyzing of a hu recognized protect “It was violation statute to negligence. evidence prima man life or property facie However, it must 326.) at N.E.2d at 74 Ill. 2d (Barthel, injury, shown that the violation caused the proximately that the statute was intended to a class to which protect (Barthel, 74 belongs injury from the kind of suffered. from 220, 384 Section 5 — 201 differs Ill. 2d at N.E.2d a cause of expressly statute because it creates ordinary Thus, as a matter of action. the violation establishes law, Ill. App. in contrast to the evidence rule.” 191 prima facie 3d at 547N.E.2d at 1378. Barthel, Churchill, sec- construing as in court was supreme so,

tion 73 court dis- doing supreme of the Public Utilities Act. In tinguished designed protect section 73 from the statutes ordinary stat- by pointing regard human life or out that with such property recover, proxi- utes a in order to must show the violation plaintiff, caused his and that the statute was intended to mately injury class to belongs which he from the kind of that he suffered. The court distinguished following section 73 the way: Act, however,

“Section 73 of Public Utilities differs from statute in that it creates a cause of ordinary expressly *10 action. The provision declares that a which unequivocally utility violates the Act or implementing regulations shall be liable *** damages resulting injuries. agree We plaintiffs is with the statutory provision incompatible ordinary rule that violation of a statute is merely prima neg evidence of facie however, not ligence. agree, We do the statute imposes Barthel, liability public strict on utilities.” 74 Ill. 2d at N.E.2d at 326-27.

I language indicating read this as that a must show that belongs he to a class and that he suffered from the kind of an that the statute at issue only was intended when that stat protect ute one of the ordinary designed statutes human life or when, here, not property; the statute itself creates a expressly statutes, cause of action. regard With their violation is ordinary only prima negligence, evidence of and the defendant may pre facie vail that he A by showing acted under the circumstances. reasonably charged defendant with a violation section 73 of the Utilities Public Act, Act, of that may prevail by showing now section 5 — 201 he acted circumstances. reasonably

Case Details

Case Name: Renken v. Northern Illinois Water Co.
Court Name: Appellate Court of Illinois
Date Published: Dec 14, 1989
Citation: 547 N.E.2d 1376
Docket Number: 4-89-0155
Court Abbreviation: Ill. App. Ct.
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