Lawsuit Against Landlord Kicking Out Journalist Tenant As Retaliation For News Stories Ends In Settlement

A journalist tenant filed a lawsuit against landlord due to a non-renewal of the lease agreement. The tenant claims the landlord did not renew their contract as retaliation against the tenant’s published news stories criticizing the husband of the HOA president’s business activities. In September 2023, the lawsuit ended in a settlement agreement.

The Non-Renewal of Lease

Steven Dahlman is a journalist who rented condominium units with his wife in Marina City. They rented a condo for residential use. From 2010 to 2014, they also rented a unit used as an office space.

Dahlman is the editor and publisher of Loop North News. It is a local news website publishing stories related to those who live and work around the downtown neighborhoods of Chicago, including Gold Coast, Streeterville, and River North. The website also published news about the downtown buildings’ homeowners associations, including the Marina City complex.

Court documents state that the Dahlmans renewed their lease annually until 2015. However, things took a turn when the landlord Michael Michalak, a real estate broker and property manager, allegedly said he did not want them as tenants. Dahlman signed an agreement allegedly agreeing not to sue Michalak due to the lease renewal. He agreed because, at the time, Dahlman believed Michalak would compromise their ability to find a new rental apartment.

Lawsuit Against Landlord

Dahlman believed that Michalak intentionally retaliated against him for the articles he published on Loop North News. In particular, he believes the incident was due to an article discussing customer complaints and a lawsuit against Restaurant.com, a dining deals restaurant.

The CEO of Restaurant.com was a doctor and lawyer named Kenneth Chessick. He is the husband of Ellen Chessick, the building’s association president. Dahlman believes Michalak retaliated against him at the behest of Ellen Chessick. Thus, the lawsuit against landlord began in 2018.

According to Dahlman, Michalak met with Ellen Chessick before he chose not to renew their lease. He also stated that Michalak confessed to meeting with Chessick in an answer responding to Dahlman’s lawsuit. Moreover, Dahlman says Michalak never offered a different explanation for his choice not to renew the lease.

Throughout the course of the litigation, Dahlman maintained that he did not have tenancy issues. His belief that Michalak illegally retaliated against him for the articles also violates Chicago city’s ordinance governing the relationships between landlords and tenants.

Settlement Between the Parties

The Cook County judge initially allowed the lawsuit against landlord to be dismissed upon Michalak’s request. This is because Dahlman signed an agreement not to sue the River North landlord. However, in December 2022, a three-justice panel of the Illinois First District Appellate Court ruled the agreement unenforceable upon appeal. This was because the agreement was signed under economic duress. The litigation ended after a settlement.

In the settlement, Dahlman will receive $5,000 as reimbursement for some of his and his wife’s expenses incurred after removing out on short notice. It does not require that the Dahlmans recover their previous dwelling. Moreover, it does not include punitive damages against Michalak.