Village of Leland ex rel. Brouwer v. Leland Community School Dist. No. 1
| Decision Date | 02 May 1989 |
| Docket Number | No. 3-88-0500,3-88-0500 |
| Citation | 183 Ill.App.3d 876,132 Ill.Dec. 187,539 N.E.2d 750 |
| Parties | , 132 Ill.Dec. 187, 54 Ed. Law Rep. 259 VILLAGE OF LELAND, ex rel. Gerard BROUWER and Henry Brouwer, Plaintiff-Appellant, v. LELAND COMMUNITY SCHOOL DISTRICT NO. 1 and John Scholfield, Defendants-Appellees (American Legion Post # 570, a corporation, Keith Gunderson, Duane Hoadley, Ronald Flower and Donald Tellefson, Defendants). |
| Court | United States Appellate Court of Illinois |
Gerard Brouwer, Leland, for Henry Brouwer and Village of leland.
Gerard Brouwer, Leland, pro se.
Gerald E. Dempsey, Scott F. Uhler (argued), Klein, Thorpe & Jenkins, Ltd., Chicago, for Leland Community Unit School District No. 1 and John Scholfield.
The plaintiffs, Gerard and Henry Brouwer filed suit against the defendants Leland Community School District Number 1, John Scholfield, (Superintendent of Schools of Leland Community School District No. 1), American Legion Post Number 570, and four of its members. Plaintiffs purport to bring this action as taxpayers on behalf of the Village of Leland, and the Leland Community School District No. 1. The plaintiffs seek a variety of legal and equitable relief, including an accounting, a judgment for profits, imposition of a constructive trust, appointment of a receiver and an injunction.
The trial court granted defendants' Leland Community unit School District No. 1, and John Scholfield's motion to dismiss pursuant to the Illinois Code of Civil Procedure. (Ill.Rev.Stat.1987, ch. 110, par. 2-615) The court finding, among other things, that plaintiffs do not have standing to bring this action.
Plaintiffs appeal from the trial court's May 21st judgment arguing the court erred in finding plaintiffs lacked standing to bring this cause of action. The remaining defendants are not involved in this appeal.
On May 19, 1982 the School Board of Leland Community School District No. 1 voted to adopt the by-laws of the Ted Fisher Scholarship Fund and a resolution placing $20,000 presented by American Legion Post # 570, under the control of the Board of directors of the Fund. On that same date, the School Board accepted a cash gift of $3,000 from the Post to present awards to a member or members of that year's graduating class.
The purpose of the Ted Fisher Scholarship fund is to annually award a sum of money to a Leland High School graduating senior attending college. The source of the funds used to establish the Fund and make the $3,000 cash gift was profits obtained by American Legion Post # 570 through its operation of a tavern, the alleged prohibited sale by it of alcoholic liquors, and the operation of games of chance in the Village of Leland between 1970 and May, 1982.
The by-laws of the Ted Fisher Scholarship fund, which were written by John Scholfield, provide that the Fund be administered independently of the School District, the Fund Directors making all decisions related to the Fund, with the District itself lacking any authority in administering or supervising the Fund. The monies comprising the Fund is invested at the discretion of the Fund's Board and the signatory of the investment is the Fund's Chairman or Vice-Chairman. Five persons comprise the Fund's of Directors, three being members of American Legion Post # 570, one of these being John Scholfield, Fund Board chairman.
The plaintiffs allege the School District's actions in adopting the by-laws of the Ted Fisher Scholarship Fund, accepting money pursuant to the by-laws adoption and becoming involved in the administration of the scholarship fund are ultra vires as to the purposes of the school district. Plaintiffs also allege John Scholfield is personally liable for improperly paying out monies belonging to the Leland Community School District. For the reasons stated below, we agree with the trial court's finding that plaintiffs lack standing to bring this action.
In their amended complaint, plaintiffs bring this action as "the plaintiff, Village of Leland ex rel. Gerard and Henry Brouwer * * *." The plaintiffs rely on their status as taxpayers to argue they posses standing to bring this cause of action.
The Illinois Municipal Code provides standing for taxpayers to sue in certain circumstances. The Code provides as follows:
"A suit may be brought by any taxpayer, in the name and for the benefit of the municipality, against any person to recover any money or property belonging to the municipality, or for any money which may have been paid, extended, or released without authority of law. * * *." Ill.Rev.Stat.1987, ch. 24, par. 1-5-1.
The plaintiffs seek to somehow recover monies donated by the American Legion for the benefit of school children. These funds were derived from the alleged illegal sale of liquor. This action does not involve, as the Statute requires, the recovery of "any money or property belonging to the municipality", nor does it involve "any money which may have been paid, expended or released" by the municipality. Section 1-5-1 is concerned with taxpayer monies that are collected and utilized by a municipality. The sale of liquor at the private American Legion Post No. 570, does not afford the plaintiffs the right to bring suit to recover monies held in and distributed through the Ted Fisher Scholarship Fund.
In addition, a simple allegation of taxpayer status is insufficient to assert a taxpayer suit. (Western Lion Limited v. City of Mattoon (1984), 123 Ill.App.3d 381, 78 Ill.Dec. 772, 462 N.E.2d 891.) The taxpayer must further allege an illegal appropriation and that he or the taxpayers as a whole will suffer some financial injury as a result of the misappropriation. (Western Lion Limited v. City of Mattoon (19...
To continue reading
Request your trial
-
Egidi v. Town of Libertyville
...suit requires an allegation that the public has suffered injury. (Village of Leland ex rel. Brouwer v. Leland Community School District No. 1 (1989), 183 Ill.App.3d 876, 879, 132 Ill.Dec. 187, 539 N.E.2d 750; Western Lion Limited v. City of Mattoon (1984), 123 Ill.App.3d 381, 386, 78 Ill.De......
-
Martini v. Netsch
...action, defendants Rosewell and Rose rely principally upon the decision in Village of Leland ex rel. Brouwer v. Leland Community School District No. 1 (1989), 183 Ill.App.3d 876, 132 Ill.Dec. 187, 539 N.E.2d 750, for the proposition that a taxpayer has no standing to bring suit if she fails......
-
Glisson v. City of Marion
...& Guaranty Co., 237 Ill.App.3d 261, 177 Ill.Dec. 785, 603 N.E.2d 855 (1992); Village of Leland ex rel. Brouwer v. Leland Community School District No. 1, 183 Ill.App.3d 876, 132 Ill.Dec. 187, 539 N.E.2d 750 (1989)), but it has not been analyzed in light of Greer. We conclude that in order t......
-
Indep. Voters Org v. Widawsky
...However, "a simple allegation of taxpayer status is insufficient to assert a taxpayer suit." Village of Leland v. Leland Community School District No. 1, 183 Ill. App. 3d 876, 879 (1989). The taxpayer must also tie allegations of illegal appropriations and expenditures to some financial inj......