ADLER v. WILLIAM BLAIR & CO.

No. 1-91-3366.

613 N.E.2d 1264 (1993)

245 Ill. App.3d 57

184 Ill.Dec. 672

James R. ADLER, Burton A. Bowen, as Trustee under declaration of Trust of Burton A. Bowen, dated December 15, 1989, John M. Damas and Bonita J. Fiedler, individually and on behalf of all others similarly situated, and Dr. Robert W. Alfini, Thomas I. Anderson, Spiros Arethas, George Baker, Norman D. Baker, Jr., Donald A. and Diane C. Bartelt, William J. Bell, Trustee of the William J. Bell Trust, May 3, 1988, Dr. Martin Berkowitz, David R. Bethune, John H. Bitner, Mr. and Mrs. Willis H. Bramwell, Jay M. Brodsky, David G. Burden, Harlan H. Burgess, Mr. and Mrs. David S. Buyher, Neal R. Carey, Philip P. Carlson, Thomas J. Casey, Robert E. Child, Chester Connors, Mr. and Mrs. Ralph J. Converse, Dr. F. David Cox, Dr. Robert L. Davis, Craig W. Degnaro, Robert J. Ellensohn, Joseph W. Epkins, Thomas A. Falese, Estate of Paul W. Friedrich, Barbara Vercellotti, Trustee, Richard H. Glantz, as Trustee of the Richard H. Glantz Trust, Harry A. Haralampopoulos, Joseph J. Hennessey, Alan Henrickson, Robert M. Heuer, Charles A. Hoch, Richard T. Hough, Trustee of the Richard T. Hough Trust, April 10, 1989, Peter C. John, Herbert and Glenn Keats, John Keporos, James W. Kohl, Mark A. Koludrovic, Mr. and Mrs. John Foster Lesch, Melvin Lorenz, Jr., Nina Lorenz, Richard T. Maurer, Dr. Alan R. McCall, Sahag G. Melidosian, James Minick, Dr. Rogelio Moncada, Frank E. Mueller, III, Charles W. Murdock, Dr. David R. Musich, Mr. and Mrs. Arthur S. Muskat, Mr. and Mrs. Steve Myhelic, Mr. and Mrs. Thomas Nicknish, Robert O'Brien, Jr., C. Richard Panico, John S. Parsons, Christopher L. Patras, Mr. and Mrs. Robert J. Peters, Jerome J. Piper, Mr. and Mrs. Gary Pohlson, Jerome R. Prassas, B. Michael Puffer, Barry Rabin, M.D., Charles B. Ramenofsky, Dr. and Mrs. Nasim A. Rana, Donald G. Reid, as Trustee for Donald G. Reid, u/t/a November 28, 1983, Robert R. Ross, Mary Surplice Russell, Roger D. Rutz, William Ryan, Dr. Chris H. Sarlas, Jerald W. Scharfenberg, Harold James Schenck, III, Dr. James D. Schlenker, James C. Schroeder, Cloyd Selby, Stephen H. Sills, Thomas A. Staadt, Judith K. Stahl, Loretta Stempinski, Dr. Daniel E. Sullivan, Dr. Herme O. Sylora, Ralph Tash, Trustee, Terry W. Taylor, John T. Thomas, Togen Limited, a general partnership, Odysseus Tsarouhis, The Victor Envelope Company, The Victor Envelope Mfg. Company, David W. Vikartofsky, Kerry E. Voit, D.D.S., Ira W. Walker, William C. Weinsheimer, Dr. Ronald N. Whitmire, Edwin N. Wilkins, Thomas Williams, Ronald Williamson, Mr. and Mrs. Everett Wilson, Daniel A. Wolf, Carl D. Workman, Ronald F. Young, George E. Zielinski, individually, Plaintiffs-Appellants, v. WILLIAM BLAIR & COMPANY, a general partnership, Plumwood Corporation, an Illinois corporation, and WBRS, Ltd., an Illinois limited partnership, Defendants-Appellees.

Appellate Court of Illinois, First District, Fourth Division.

March 31, 1993.


Attorney(s) appearing for the Case

Holstein, Mack & Klein, Chicago (Jewel N. Klein, David L. Poindexter, Aron D. Robinson, of counsel), for plaintiffs-appellants.

Skadden, Arps, Slate, Meagher & Flom, Chicago (Timothy A. Nelsen, Christina M. Tchen, Donna L. McDevitt), for defendants-appellees.


Presiding Justice JIGANTI delivered the opinion of the court:

The plaintiffs in this action are two putative classes and several individuals who invested in a real estate syndication known as William Blair Realty Services Partners III (Partners III), a limited partnership. Following the loss of their investments, the plaintiffs filed an amended complaint alleging common law and statutory fraud, breach of fiduciary duty and misrepresentation against the defendants...

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