It happened outside a nightclub on N. Sangamon Street.
It is not clear what started the incident.
The two victims have been identified as 34-year-old Robert Warren and Jose Duckins, who was out celebrating his 30th birthday.
Relatives say Duckins had one child and another on the way.
"He had a lot of positive things going on in his life, and the first time he decided to kick with these guys and go out to have fun, and his life is [taken], and we don't know what to expect, what to think, we don't know what happened," said Vonita Duckins, Jose's sister.
The other victim was wounded in the arm.