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In Re Chicago Flood Litigation

Citations: 680 N.E.2d 265; 176 Ill. 2d 179; 223 Ill. Dec. 532; 1997 Ill. LEXIS 23Docket: 80460, 80535 cons.

Court: Illinois Supreme Court; February 20, 1997; Illinois; State Supreme Court

Narrative Opinion Summary

This case involves multiple parties, including class plaintiffs and ITT Hartford, seeking damages against the City of Chicago and Great Lakes Dredge and Dock Company following a catastrophic flood in 1992 caused by the breach of an underground tunnel system. The plaintiffs allege negligence, willful misconduct, and strict liability due to abnormally dangerous activities. The trial court's decisions on various motions were partially upheld and partially overturned by the appellate court, leading to a consolidated appeal to the Illinois Supreme Court. Key legal issues include the applicability of the Tort Immunity Act, the Moorman economic loss rule, nuisance claims, and strict tort liability. Ultimately, the court upheld the City’s immunity for discretionary actions and affirmed the dismissal of strict liability claims, while allowing certain nuisance claims to proceed. The Moorman doctrine was applied to bar economic loss claims absent property damage. The case was remanded to the circuit court for further proceedings, with a partial dissent on the interpretation of discretionary immunity relating to willful misconduct.

Legal Issues Addressed

Discretionary Immunity under the Tort Immunity Act

Application: The court evaluated the City’s discretionary immunity, concluding it applied to both negligent supervision and willful and wanton misconduct claims.

Reasoning: The appellate court concluded that the City’s supervision remained discretionary.

Moorman Doctrine - Economic Loss Rule

Application: The court applied the Moorman doctrine to bar recovery of purely economic losses in tort, emphasizing that tort claims require personal injury or property damage.

Reasoning: The Moorman doctrine, which limits recovery for solely economic losses, bars claims from plaintiffs without physical property damage.

Nuisance Claims - Physical Invasion Requirement

Application: The court ruled that nuisance claims require a physical invasion of property, dismissing claims by plaintiffs whose properties were not invaded by floodwaters.

Reasoning: The appellate court upheld the trial court's decision to dismiss the nuisance claims of plaintiffs whose properties were not physically invaded by flood waters.

Strict Tort Liability for Abnormally Dangerous Activities

Application: The court affirmed the dismissal of strict tort liability claims against Great Lakes, concluding that pile driving and tunnel maintenance were not abnormally dangerous activities.

Reasoning: The appellate court affirmed the trial court's dismissal of the class plaintiffs' and Hartford's strict tort liability claims, determining that pile driving and tunnel maintenance were not abnormally dangerous or ultrahazardous activities.

Tort Immunity Act - Governmental vs. Proprietary Functions

Application: The court examined whether the City of Chicago's leasing of the underground tunnel system constituted a proprietary function, which would negate immunity under the Tort Immunity Act.

Reasoning: Plaintiffs argue that the City engaged in a proprietary function by leasing the tunnel, thus exempting it from the Tort Immunity Act.