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Van C. Argiris & Co. v. Pain/wetzel & Assoc.

OPINION FILED AUGUST 10, 1978.

VAN C. ARGIRIS AND COMPANY, PLAINTIFF-APPELLANT,

v.

PAIN/WETZEL AND ASSOCIATES, INC., ET AL., DEFENDANTS-APPELLEES.



APPEAL from the Circuit Court of Cook County; the Hon. RICHARD L. CURRY, Judge, presiding.

MR. JUSTICE DIERINGER DELIVERED THE OPINION OF THE COURT:

Rehearing denied September 7, 1978.

This is an appeal from an order of the circuit court of Cook County. Van C. Argiris and Company (hereinafter called "Argiris") instituted the action in the circuit court for a declaratory judgment that certain disputed matters between the plaintiff and Pain/Wetzel and Associates, Inc., an Illinois corporation, Richard Pain, James Wetzel, Robert Greisser, Leslie Spinner, The Kelly-Springfield Tire Company, a foreign corporation, The Chicago Real Estate Board, Inc., a not-for-profit Illinois corporation, G. Brock Stewart, Charles R. Fitch, Joseph T. O'Rourke, Marvin J. Neiman and Karl Felbinger (hereinafter called "defendants") were not subject to arbitration by the Chicago Real Estate Board (hereinafter called the "Board"). On motion of the defendants to dismiss, the trial court entered an order dismissing the complaint as to all defendants and holding the disputes between the broker parties to be within the jurisdiction of the Board. Leave was given to amend as against the nonbroker only. Argiris now appeals from this order.

The issues presented for review are (1) whether the circuit court erred in dismissing a dispute between a broker and his employee salesman broker, and in finding such dispute is subject to arbitration by the Chicago Real Estate Board bylaws; and (2) whether the circuit court erred in dismissing a dispute between brokers and one nonbroker, Kelly-Springfield, for tortious interference with a contractual relationship, with leave given to amend as to the nonbroker, and finding the broker dispute is subject to arbitration by the Chicago Real Estate Board bylaws. The nonbroker, Kelly-Springfield, case remains in the circuit court.

The plaintiff, Argiris, is an Illinois corporation which is licensed by the State of Illinois as a real estate broker. Argiris is also a member in good standing of the defendant Board. The defendants Pain/Wetzel and Associates, Inc. (hereinafter called "Pain/Wetzel"), Richard Pain, James Wetzel, Robert Greisser and Leslie Spinner are licensed by the State of Illinois as real estate brokers, and are also members in good standing of the defendant Board. The defendant Kelly-Springfield Tire Company, a foreign corporation (hereinafter called "Kelly-Springfield"), is neither a licensed real estate broker nor a member of the Board. Also named as defendants with the Board are five individual members of the Arbitration Committee of the defendant Board.

Argiris' complaint is in two counts. The first count is for a declaratory judgment that certain disputed matters between Argiris and the defendant brokers and the defendant Kelly-Springfield are not subject to arbitration. The second count is for actual and punitive damages against the broker defendants and the defendant Kelly-Springfield for tortious interference with a contractual relationship of Argiris.

The complaint sets out the defendant, Robert Greisser, was an employee of Argiris from 1962 until May 31, 1973. On or about July 29, 1976, the defendant Greisser filed a complaint with the defendant Board asking for arbitration of a claim for monies due, which claim arose during the period of time the defendant Greisser was in the employ of Argiris.

Argiris further alleged that on December 13, 1974, it entered into an exclusive listing agreement with the defendant Kelly-Springfield for the subleasing or leasing of certain warehouse space in Des Plaines, Illinois. Argiris alleges the broker defendants became aware of the availability of the warehouse space through the efforts of Argiris. It is contended by Argiris the broker defendants, during the existence and with full knowledge of the exclusive listing agreement between Argiris and the defendant Kelly-Springfield, conferred with the defendant Kelly-Springfield and caused the defendant Kelly-Springfield to terminate and not renew its exclusive listing agreement with Argiris. It is also alleged the defendant Pain/Wetzel intended to acquire the property itself.

On motion of the defendants, Argiris' complaint was stricken with the trial court ruling the parties were bound to arbitration pursuant to the Board bylaws. As to the defendant Kelly-Springfield, Argiris was given leave to file an amended complaint. An amended complaint has been filed against the defendant Kelly-Springfield.

Section 1 of the Illinois Uniform Arbitration Act (Ill. Rev. Stat. 1975, ch. 10, par. 101), provides, in pertinent part:

"* * * [A] provision in a written contract to submit to arbitration any controversy thereafter arising between the parties is valid, enforceable and irrevocable save upon such grounds as exist at law or in equity for the revocation of any contract."

Section 3 of article VII-A of the Board bylaws provides, in pertinent part:

"The procedure provided for by this Article VII-A is hereby expressly made subject to the Illinois Uniform Arbitration Act of 1961. This Article VII-A does and shall at all times constitute a written agreement within the meaning of said Act by all Active Principal, Active Non-Principal, Associate Salesman and Associate members of the Board to submit to ...


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