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Underground Contractors Ass'n v. City of Chicago

Citations: 362 N.E.2d 298; 66 Ill. 2d 371; 5 Ill. Dec. 827; 1977 Ill. LEXIS 264Docket: 48109

Court: Illinois Supreme Court; April 5, 1977; Illinois; State Supreme Court

Narrative Opinion Summary

In this case, the Supreme Court of Illinois reviewed an appeal by the City of Chicago regarding a summary judgment that nullified the city's procedures for awarding public works contracts. The litigation was initiated by the Underground Contractors Association, which challenged the city's 'Canvassing Formula,' alleging it violated the statutory mandate to award contracts to the lowest responsible bidder. The formula permitted adjustments to bids based on minority labor hours, potentially bypassing the lowest bidder. The Circuit Court of Cook County invalidated the formula, prompting the city's appeal. A central issue on appeal was the association's standing to sue, which the city contested due to the association's lack of direct competition for contracts or demonstrated injury. The court examined precedents on standing, highlighting the requirement for a direct interest or potential injury to confer standing for declaratory relief. Ultimately, the court determined that the association failed to establish standing under federal standards, as it did not show specific injuries to its members. The appellate court reversed the circuit court's judgment, remanding the case for dismissal of the complaint, emphasizing that associational standing requires more than representational capacity without direct harm to members.

Legal Issues Addressed

Lowest Responsible Bidder Requirement

Application: The city's 'Canvassing Formula' was invalidated as it allowed discretion contrary to the statutory requirement of awarding contracts to the lowest responsible bidder.

Reasoning: The court ultimately ruled that the 'Canvassing Formula' was invalid, as it conferred discretion that led to awarding contracts contrary to the statutory requirements.

Requirements for Standing

Application: The court reiterated that for an association to have standing, it must show specific, recognizable interest rather than mere representational capacity.

Reasoning: An association's standing to bring a declaratory relief action on behalf of its members requires a demonstration of a specific, recognizable interest in the dispute, rather than mere representational capacity.

Standing in Declaratory Relief Actions

Application: The Underground Contractors Association was found to lack standing as it did not demonstrate a direct interest or injury from the city's 'Canvassing Formula.'

Reasoning: Underground's complaint exhibited similar deficiencies, lacking specific allegations that its members lost contracts due to the city's enforcement of the 'Canvassing Formula.'