Capitol Fax.com - Your Illinois News Radar

Karmeier elected chief justice

Posted in:

Illinois

* It was his turn, so it’s not unexpected. He’s widely expected to retire after he does his two years as chief. From a press release…

The Illinois Supreme Court announced today that Justice Lloyd A. Karmeier will be its next Chief Justice. Justice Karmeier was unanimously elected to the office by his fellow justices and will serve a three-year term commencing October 26, 2016. He succeeds Rita B. Garman, whose tenure as Chief Justice ends October 25, 2016.

An installation ceremony honoring Justice Karmeier’s election as Chief Justice will be held at the Supreme Court Building in Springfield on Monday, October 31. Justice Garman will administer the oath of office.

Justice Karmeier will be this State’s 120th Chief Justice and the second person from Washington County to hold that office. Justice Byron O. House, for whom Justice Karmeier served as a law clerk, was the first.

“I appreciate the confidence shown by the other members of the court in electing me to this position,” said Justice Karmeier. “Since joining the court in 2004, I have had the privilege of serving under five different chief justices, all of whom have done an outstanding job. I will do my very best to live up to the high standard they have set.”

* Coincidentally, this press release also arrived today from Robert Clifford’s law firm…

An Illinois federal judge late Friday (Sept. 16, 2016) granted class certification to plaintiffs representing 4.7 million State Farm policyholders involved in a complex Racketeering Influenced and Corrupt Organizations Act (“RICO”) regarding an alleged scheme involving campaign contributions being poured into an Illinois Supreme Court justice’s race to influence the reversal of a $1.05 billion decision. If successful, that could result in a more than $7.6 billion payout from State Farm for the class given the interest that has accrued.

This case alleges violations of the “RICO” against State Farm and related defendants who allegedly “perpetrat[ed] a scheme through an enterprise specifically designed to defraud Plaintiffs and Class out of a $1.05 billion judgment,” according to the complaint. That “scheme” allegedly involved the defendants orchestrating a “dark money” network of campaign contributions to the campaign committee of Justice Lloyd A. Karmeier for the Illinois Supreme Court who would be sympathetic to State Farm’s position in the $1.05 billion class action, and then misleading and lying to the Court about its clandestine and sizeable involvement in contributions to Karmeier’s contested election.

“Dark money” is campaign contributions that are run through political action committees (PACs) so that the actual source of its distribution is muddied. Here, it is alleged that State Farm contributed millions to the U.S. Chamber of Commerce that then sent the money back to PACs and the Illinois Republican Party for use in Karmeier’s campaign.

Karmeier’s contested election for an open downstate seat on the Illinois Supreme Court for the November, 2004 election was one of the highest in history for a judicial election and his recruitment for the position involved someone “who would support State Farm once its appeal came before the [Illinois Supreme] Court for disposition,” according to pleadings. The underlying case involves a class action filed in 1997 that led to a $1.05 billion verdict that was upheld by the appellate court. But when it ultimately was decided by the Illinois Supreme Court more than two years following oral arguments before the Court that Karmeier never heard, by then Karmeier had been elected and had taken the bench and decided to participate in the Court’s decision, with Karmeier admitting he cast the deciding vote.

The defendants in the RICO certified class action are State Farm; Edward Murnane, President of the Illinois Civil Justice League (ICJL); and William G. Shepherd, employee/lobbyist of State Farm and ICJL Executive Committee Member. Karmeier’s election committee, now long disbanded, remains associated in the enterprise, according to the pleadings.

Friday’s decision certifying the class brings this case one step closer to a jury trial to determine the damages suffered by the class that consists of 4.7 million State Farm policyholders who made a claim for vehicle repairs pursuant to their policies from 1987-1998. These claims were litigated in the Avery v. State Farm case and involved damages to cars that were repaired with non-factory authorized and/or non-Original Equipment Manufacturer (OEM) parts when they were led to believe that they were factory authorized, as their policies provided.

The claimed misleading comments and lies by State Farm representatives to the Illinois Supreme Court and the damages they caused are now the subject of the RICO class action after plaintiffs hired a former FBI agent who uncovered the alleged “dark money” ties of State Farm to Karmeier’s campaign in his bid for election to Illinois’ highest court. Plaintiffs allege Karmeier’s participation in that case and his apparent lack of objectivity tainted the tribunal that resulted in the reversal by the Illinois Supreme Court.

Friday’s decision comes on the heels of an earlier decision by U.S. District Court Judge David R. Herndon who held in June that plaintiffs’ experts, including a judicial election expert as well as a forensic accounting expert who valued the case to now be worth $7.6 billion, could testify as expert witnesses during the expected trial of this matter.

“The Illinois Constitution clearly provides that four votes are required to reverse the decision of an appellate court. In the absence of four votes, the Illinois Constitution provides that the decision of the appellate court stands, which in this matter would have resulted in affirming the $1.05 billion verdict,” said Robert A. Clifford, founder and senior partner of Clifford Law Offices in Chicago and co-lead counsel of the class action matter. “The next step is that we will continue our preparations for trial of this matter on behalf of the millions of State Farm policy holders.”

In its 29-page written opinion issued Friday (Sept. 16, 2016), Judge Herndon said that in certifying the class, “the Court agrees with plaintiff that all questions of law and fact are common as to the putative class: did defendants act in concert over a period of time to select and elect Justice Karmeier and to fraudulently conceal the nature and the scope of their involvement to enable and defend his participation in Avery.”

The parties are expected to be before Judge Herndon Oct. 15 in St. Louis for a status on the case.

posted by Rich Miller
Monday, Sep 19, 16 @ 10:55 am

Comments

I have known Judge Karmeier for close to 50 years and I remember the 2004 race very well as well as well and the two ensuing opinions at the court where he was the deciding vote favoring the defendants. I respect the Judge but some of his decisions have come as no surprise.

That being said, I can recall a conversation a few years later with a very, very prominent metro-east plaintiffs attorney who lauded his integrity.

Comment by illini Monday, Sep 19, 16 @ 11:08 am
Will Justice Karmeier need to use vacation days for the trial? The best part of ‘04 campaign was how the Justice’s allies pressured the hospital board his opponent served on to whine about a generic mention. Very classsy.

Comment by Annonin' Monday, Sep 19, 16 @ 11:45 am
they need to fix the class action laws. 90% of these cases are just lawyers squeezing multi-million dollar legal fees for themselves and soing cery little for the class.

laywer makes a few million and the class gets a coupon for 10 dollars off. This is something rauner needs to push with his turnaround agenda. skip killing off unions and the middle class, go after the tort system and class actions.

Comment by Ghost Monday, Sep 19, 16 @ 12:17 pm
Just wait until 2019 and it’s Anne Burke’s turn as CJ.

Comment by Archiesmom Monday, Sep 19, 16 @ 12:46 pm
The 2004 Election and subsequent developments in Avery v. State Farm stand as testament that a Good Guy and Good Judge can be compromised by a Greedy Corporation. Predict Plaintiffs Will Win.

Comment by x ace Monday, Sep 19, 16 @ 1:49 pm
@xace - As I said earlier on this thread, in spite of his fairly recognized integrity, a few of his earlier decisions were fairly predictable given his readily predictable inclinations.

And I will include his recent strong dissent on the redistricting case.

Comment by illini Monday, Sep 19, 16 @ 1:58 pm
thanks “ghost”

Comment by scott aster Monday, Sep 19, 16 @ 3:09 pm
Asbestos, tobacco and tort lawyers never die, they just reload their law firms with more sharks until the Illinois economy is devastated. Illinois economy will never be good until these leeches are gone

Comment by the old man Monday, Sep 19, 16 @ 3:56 pm
The trouble with the class action State Farm lawsuit was, despite the outcome, insurers stopped using used parts (who wants a lawsuit?) and drove the cost of repairs sky high. The lawyers won, no one else. Nothing wrong with used parts on used cars.

Comment by Liberty Monday, Sep 19, 16 @ 4:37 pm
Congrats I guess. Remember Rauner thinks you are part of a corrupt system.

Comment by Dr X Monday, Sep 19, 16 @ 4:39 pm
“Liberty” You are right, there is nothing wrong with used parts on a used car…but. If the part is damaged or has rust in it that needs repaired “before” it goes on a car…..that’s wrong. I know…I fought with State Farm.

Comment by oldhp Monday, Sep 19, 16 @ 7:49 pm