Loop Operations accused of wrongfully towing, purchasing vehicle

An insurance company filed suit after a tow company allegedly wrongfully towed and purchased a vehicle.

State Farm Mutual Automobile Insurance Co. filed a lawsuit Nov. 18 in the Cook County Circuit Court against Loop Operations Inc., citing replevin, consumer fraud, conversion and unjust enrichment.

According to the complaint, the daughter of the insured was involved in a motor vehicle accident on Nov. 5, 2012 at 660 W. Lake St. in Chicago. State Farm claims Loop Operations offered to tow the vehicle at the accident scene and advised that the towing and relocation would be free, which violated Illinois statute.

Loop Operations, the suit states, towed the vehicle to its premises and on Nov. 14, 2012, State Farm paid the insured the cash value of the vehicle and made multiple demands to the defendant to return the vehicle.

State Farm claims Loop Operations then sold the car to itself, but never informed the insurance company of its intent to sell or purchase the vehicle.

State Farm is seeking an undisclosed amount in damages and is being represented by Frederick J. Sudekum III and Ashley Danielle Lyles of Sudekum, Cassidy & Shulruff, Chtd.

Cook County Circuit Court Case No. 2013L051065.

This is a report on a civil lawsuit filed at the Cook County Courthouse. The details in this report come from an original complaint filed by a plaintiff. Please note that a complaint represents an accusation by a private individual, not the government. It is not an indication of guilt, and it represents only one side of the story.