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Security State Bank v. Kimball
State: Illinois
Court: 5th District Appellate
Docket No: 5-00-0123 Rel
Case Date: 03/15/2001
                  NOTICE
Decision filed 03/15/01.  The text of this decision may be changed or corrected prior to the filing of a Petition for Rehearing of the disposition of the same.

NO. 5-00-0123

IN THE

APPELLATE COURT OF ILLINOIS

FIFTH DISTRICT


SECURITY STATE BANK OF HAMILTON,

     Plaintiff-Appellant,

v.

STANLEY B. KIMBALL,

     Defendant-Appellee.

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Appeal from the
Circuit Court of
Madison County.

No. 97-LM-1439

Honorable
Wendell Durr,
Judge, presiding.

JUSTICE KUEHN delivered the opinion of the court:

Security State Bank of Hamilton (Bank) appeals from the trialcourt's orders of December 30, 1999, and February 9, 2000, which quashed itsgarnishment petition related to a Hancock County circuit court judgment itpreviously obtained against Stanley B. Kimball. By these orders, the trial courtalso released the Hancock County circuit court judgment. We reverse and remand.

This case began with an April 24, 1990, extension of aguaranty on a loan made by the Bank to Nauvoo Development, Inc. (Nauvoo), in theaccumulated amount of $63,245.69. Stanley B. Kimball pledged certain assets ascollateral for this loan on behalf of Nauvoo. He also made a separate personalguaranty of the loan in the amount of $30,000.

On April 24, 1991, the Bank's efforts to secure anotherextension of the guaranty proved fruitless, and the Bank began gathering andliquidating the assets that Stanley B. Kimball pledged on Nauvoo's behalf. TheBank was successful in recovering $36,204.27 of the loan amount by way of thisliquidation.

On March 30, 1992, the Bank filed a complaint in HancockCounty circuit court against Nauvoo, Stanley B. Kimball, Violet Kimball, and KayL. Walker, seeking to recover the deficiency. On June 1, 1995, Nauvoo, Kay L.Walker (who had also provided the Bank with a personal guaranty), and WarrenPetty reached a settlement agreement with the Bank in the combined total amountof $10,000. The Bank dismissed with prejudice those counts then pending againstNauvoo and Kay L. Walker. Because Warren Petty was not a named defendant in thislawsuit, there was nothing to dismiss, and so the Bank provided him with ageneral release.

The case proceeded with discovery. Ultimately, the case wastried without a jury. On August 8, 1996, the trial court concluded that StanleyB. Kimball was liable for the remaining balance of $6,740.35 plus interest of$8,062.28, for a total of $14,802.63. Judgment was not formally entered untilJune 26, 1996.

Stanley B. Kimball appealed this judgment to the ThirdDistrict Appellate Court. On July 3, 1997, the judgment was affirmed. SecurityState Bank of Hamilton v. Nauvoo Development, Inc., 289 Ill. App. 3d 1148,713 N.E.2d 837 (1997) (unpublished order under Supreme Court Rule 23 (166 Ill.2d R. 23)).

Thereafter, the Bank sought attorney fees and expenses. TheHancock County circuit court approved this petition on July 2, 1998. An award of$13,311.02 in attorney fees and expenses was added to the previous $14,802.63judgment, for a new total of $28,113.65.

At about the same time that the Bank filed its petition forattorney fees and expenses in the Hancock County circuit court, the Bankinitiated supplemental garnishment proceedings in Madison County circuit court,the county in which Stanley B. Kimball resides and where his assets are located.The Bank filed nonwage garnishments against the Bank of Edwardsville andSouthwest Illinois Campus

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