Excalibur Energy (“Excalibur”) attempted to void a tax deed for certain property for which the defendant, Marilyn Rochman, also claimed ownership. To achieve this end, Excalibur filed a new action in circuit court for ejectment claiming that because the tax deed did not include a legal description of the property, Excalibur had not received proper notice of the deed and therefore, it should be deemed void.  Rochman moved to dismiss arguing, in part, that the court lacked jurisdiction and thus, Rochman’s title to the property was valid; Excalibur, in turn, moved for summary judgment.  The circuit court denied Rochman’s motion and granted Excalibur’s motion, finding that Excalibur did not receive proper notice and thereby rendering the tax deed void.

On August 18, 2014, the appellate court, however, overturned the circuit court’s ruling and directed the lower court to grant Rochman’s motion to dismiss.  In doing so, the appellate court looked to the Illinois Property Tax Code which governs the issuance of tax deeds, the limited reasons to set aside a tax deed, and the precise manner for doing so.  Section 22-45 of the Property Tax Code provides relief from a tax deed when proper notice to a party with a recorded interest was not provided. But Section 2-1401 mandates the process that must be utilized to achieve that result. In particular, the party seeking the relief must file a petition in the same proceeding in which the order or judgment was entered, and therefore Excalibur’s complaint in ejectment –filed in a wholly separate proceeding and not as a petition—“was not a valid attack on the tax deed.” The appellate court readily admitted that case law supported that the tax deed could be deemed void where tax deed proceedings result in a total failure to provide notice, but emphasized that case law supported its ruling enforcing the process set forth in the Property Tax Code.

The court’s decision can be viewed here.