Court of Appeals of Illinois, First District, First Division
JOHN N. DORE d/b/a John N. Dore and Associates, Plaintiff-Appellant,
CARLOS QUEZADA, JR., and TAPAS QUEZADA, INC., Defendants, (Baongoc Aggen and Broadview Cooperative Apartments, Inc., Third-Party Respondents-Appellees).
from the Circuit Court of Cook County. No. 14 M1147913
Honorable Daniel J. Kubasiak, Judge Presiding.
JUSTICE HARRIS delivered the judgment of the court, with
opinion. Justices Simon and Mikva concurred in the judgment
1 Plaintiff-appellant, John N. Dore d/b/a John N. Dore and
Associates, obtained a judgment in Cook County circuit court
against Carlos Quezada, Jr., (Quezada) and Tapas Quezada,
Inc. (Tapas Quezada) (collectively, defendants) on May 11,
2015. Plaintiff initiated supplemental proceedings pursuant
to section 2-1402 of the Code of Civil Procedure (735 ILCS
5/2-1402 (West 2014)) with the filing of third-party
citations against Baongoc Aggen and Broadview Cooperative
Apartments, Inc. (Broadview) (collectively, respondents).
Plaintiff served a citation upon Quezada by substitute
service on September 28, 2015 by leaving a copy with Aggen at
918 W. Roosevelt Rd., #2-W, Broadview, Illinois (the
Broadview apartment). Pursuant to the citation proceeding
against Broadview and Aggen, plaintiff identified Aggen's
ownership of the Broadview apartment, arguing that it was
also owned by Quezada and therefore subject to turnover.
After conducting an evidentiary hearing, the trial court
found the Broadview apartment was exclusively Aggen's
property. Accordingly, the trial court denied the motions for
judgments against respondents and terminated the proceedings.
The trial court quashed Quezada's citation served via
substitute service. This timely appeal followed.
2 Plaintiff raises several issues for our review on appeal:
(1) the trial court committed reversible error when it held
that the evidence established Quezada held Aggen's
property in a resulting trust, (2) the trial court erred by
relying on Quezada's affidavit, (3) the court should have
required a pleading seeking a declaration of a resulting
trust, (4) the trial court erred in failing to impose
sanctions on Aggen, (5) the trial court erred in declaring
Aggen could assert a homestead exemption, and (6) the trial
court erred in quashing the citation to discover assets
served upon Quezada via substitute service.
4 On July 6, 2016, the trial court entered an order
dismissing the citation to discover assets served on
respondents. On August 1, 2016, plaintiff filed its notice of
appeal. Accordingly, this court has jurisdiction over this
matter pursuant to article VI, section 6, of the Illinois
Constitution and Illinois Supreme Court Rules 301 and
304(b)(4). Ill. Const. 1970, art. VI, § 6; Ill. S.Ct. R.
301 (eff. Feb. 1, 1994); R. 304(b)(4) (eff. Mar. 8, 2016).
6 On November 3, 2014, plaintiff filed a breach of contract
action against defendants for failure to remit payment
associated with legal services. Defendants were served via
alternative service, and an ex parte judgment in the
amount of $8581.88 plus costs was entered against them.
7 On August 25, 2015, plaintiff served Aggen with a citation
to discover assets in an attempt to satisfy the judgment. On
August 27, 2015, plaintiff served Broadview with a citation
to discover assets and notice to enforce judgment. On
September 28, 2015, plaintiff attempted to serve Quezada
through substitute service on Aggen at the Broadview
8 On September 16, 2015, Aggen appeared on the citation's
return date. The proceeding was continued so Aggen could
produce responsive documents. In discovery, plaintiff
obtained a copy of shares of stock issued by Broadview naming
Aggen and Quezada as joint tenants with rights of
survivorship. The stock was issued on August 26, 2014.
Discovery also showed that Broadview reissued the shares on
September 19, 2015, removing Quezada and placing Aggen's
parents' name on them.
9 On September 24, 2015, Broadview filed an answer to the
citation, stating that it held none of Quezada's property
on the date of service. On November 20, 2015, Aggen filed an
answer in which she stated that she held none of
Quezada's property on the date of service. On December
21, 2015, Aggen provided a response to the citation and claim
of ownership of the Broadview apartment. She provided an
amended response with additional material on January 11,
2016. In her amended response, Aggen argued she was the sole
owner of the apartment shares because Quezada held the shares
in a resulting trust for her benefit. She supported this
based on the fact that Quezada contributed no funds to the
apartment purchase and she was the sole signatory on all the
transaction documentation. Aggen provided her affidavit along
with various documents from the purchase of the apartment.
She attached the shares first issued in August 2014 and then
reissued in September 2015. She also attached the affidavits
of Quezada, Sandra Cruz (a realtor), and her father, Nghi
10 Plaintiff filed a reply and objections to Aggen's
amended response. In his reply, plaintiff argued that the
service of the citation upon Aggen created a lien on the
shares she held jointly with Quezada. He asserted that
Quezada's removal from the shares with the assistance of
Broadview constituted a violation of the prohibition
contained in the citation. He further asserted that Aggen had
to file a declaratory judgment action in order for the court
to declare that there was a resulting trust. Plaintiff also
took issue with Aggen's homestead exemption claim and the
lack of documentation concerning the source of funds for the
apartment purchase. On March 2, 2016, the trial court ordered
an evidentiary hearing and issued a rule to show cause
against Quezada based on his failure to appear.
11 During discovery, plaintiff also discovered that Aggen had
negotiated a $1000 check payable to herself and Quezada after
she had been served with the citation. As a result of this
discovery, on April 8, 2016, plaintiff moved for the entry of
judgment against Aggen and for sanctions. The court continued
the motion to the evidentiary hearing date.
12 The evidentiary hearing was held on May 11, May 20, and
June 2, 2016. At the hearing, Aggen testified regarding her
relationship with Quezada and how she came to purchase the
Broadview apartment. She testified as to the source of the
funds and how Quezada came to be listed on the stock. She
also testified as to the $1000 check that had been issued to
her and Quezada. She testified that the money to purchase
both apartments came from her parents in Vietnam. The money
was transferred from Vietnam via an informal process that
involved Vietnamese friends loaning her money here and her
father paying the families back in Vietnam. Her father
testified and explained that the funds came from the sale of
his house in Vietnam. He also testified to the informal money
transfers and explained there was no other way to transfer
funds from Vietnam to the United States and that all of his
records concerning the sale and his Vietnam bank accounts
were still in Vietnam.
13 Shawn Bolger, an attorney for the seller of an apartment
at 2212 S. 12th Avenue in Broadview, Illinois, was called to
testify regarding the $1000 check. Bolger testified that in
August 2015, he received a $1000 earnest money check bearing
the name of Aggen and Quezada. When the transaction did not
close, he reissued the check the same way it had been
received, under the name of Aggen and Quezada. He identified
the real estate contract related to the ...