Arbor Village Condominium Ass'n v. Arbor Village, Ltd., L.P.

642 N.E.2d 1124, 95 Ohio App. 3d 499, 1994 Ohio App. LEXIS 2482
CourtOhio Court of Appeals
DecidedJune 9, 1994
DocketNo. 93APE10-1500.
StatusPublished
Cited by15 cases

This text of 642 N.E.2d 1124 (Arbor Village Condominium Ass'n v. Arbor Village, Ltd., L.P.) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Arbor Village Condominium Ass'n v. Arbor Village, Ltd., L.P., 642 N.E.2d 1124, 95 Ohio App. 3d 499, 1994 Ohio App. LEXIS 2482 (Ohio Ct. App. 1994).

Opinion

Petree, Judge.

Plaintiffs, Arbor Village Condominium Association, David Morosky, Ronald L. Smith, David Yoder, Carol Kelly, Carla Pomeroy, James and Jacqueline Goldson, Nick Colley, Michael Martinelli, Athena Jones, John Stomps, Helen M. VanHeyde, Clyde Gaston and Jim Miller appeal from a judgment of the Franklin County Court of Common Pleas granting summary judgment for defendants, Arbor Village Limited, Larry Frazier, Max Holzer, Bernard Fultz, Edward Bacome, Real Property Management, Inc., and Dwight Penn. Plaintiffs assert the following eight assignments of error on appeal:

*502 “[I.] The trial court erred in not adhering to the stringent standards set forth in Ohio Civil Rule 56.

“[II.] The trial court erred in holding that appellants Smith, Morosky, Yoder and Kelly’s claims under R.C. Chapter 5311 were time-barred by holding that their cause of action accrued in 1984.

“[III.] The trial court erred in holding that the appellant Arbor Village Condominium Association had no standing to pursue a cause of action under R.C. § 5311.26 and § 5311.27.

“[IV.] The trial court erred in holding that the appellant association lacked standing to pursue the fraudulent concealment and fraudulent misrepresentation claims.

“[V.] The trial court erred in granting summary judgment as it related to plaintiffs’ claims for fraudulent concealment.

“[VI.] The trial court erred in granting appellees’ motion for summary judgment as it relates to the claims against Mr. Fultz.

“[VIL] The trial court erred in granting appellees’ motion for summary judgment as it relates to the claims against Mr. Penn.

“[VIII.] The trial court erred in holding that privity was a requirement for the claims of appellants Jim and Jackie Goldson, Pomeroy, Van Hyde, Jones, Stomps and Colley.”

In 1979, defendant Arbor Village Ltd., an Ohio limited partnership, was formed to convert existing apartments located at 4991 and 5003 Arbor Village Drive into a condominium development and then sell them. Defendants Max Holzer, Larry Frazier and Bernard Fultz are or have been general partners of Arbor Village, Ltd. Defendant Real Property Management, Inc., the management company responsible for the management of Arbor Village, is owned by defendant Dwight Penn. Defendant Edward Bacome represented Arbor Village, Ltd. in negotiating the sale of sixty-five Arbor Village condominium units to two groups of investors assembled by plaintiff Ronald Smith.

Arbor Village consists of eighty-four units in two separate buildings, 4991 and 5003 Arbor Village Drive. Both buildings were constructed at the same time and in the same manner in 1964. In 1983, repairs were made to the pipes carrying hot water to the units in the 4991 Arbor Village Drive building. These repairs were made by a plumbing company, J.A. Myers, at a cost of $9,000, and involved replumbing the water piping system so that the pipes would be relocated above ground.

In June 1984, plaintiffs Smith, Morosky, Yoder and Kelly purchased thirty Arbor Village condominium units from Arbor Village, Ltd. All of the units *503 purchased in 1984 were located in the 5003 Arbor Village Drive building. In their purchase contracts, each investor acknowledged that they “have inspected the Unit and the Common Areas and are buying the Unit and its interest in the Common Areas in their present condition without warranty or representation of any kind, except as expressly provided therein.” The sale of these units closed in August 1984.

Prior to the 1984 sale, Arbor Village, Ltd. provided a disclosure statement to the investors as required by R.C. Chapter 5311. This statement was prepared and distributed by defendant Bacome and represented, among other things, that the “water piping for heating system” was eighteen years old, in “satisfactory” condition, with a remaining useful life of eighteen years. The disclosure statement did not contain any statements regarding the 1983 repairs made to 4991 Arbor Village Drive.

Thereafter, in 1985, plaintiff Smith and a second group of investors decided to purchase the remaining thirty-five condominium units owned by Arbor Village, Ltd. This second group of investors consisted of plaintiffs Smith, Morosky, Yoder, Martinelli and Gaston. Unlike plaintiffs’ 1984 purchase, the units purchased in 1985 were located in both the 4991 and 5003 Arbor Village Drive buildings. The 1985 purchase contracts contained language identical to that of the 1984 purchase contracts with regard to inspection and purchasing the units in their present condition. The 1985 disclosure statement prepared and distributed by defendant Bacome on behalf of Arbor Village, Ltd. represented, among other things, that the “water piping for heating system” was twenty-one years old, in “satisfactory” condition, with an “indeterminate” remaining useful life. The sale of these units closed in October 1985.

The remaining individual plaintiffs, James and Jacqueline Goldson, Pomeroy, Colley, Jones, Stomps, Miller and VanHeyde each purchased their units from someone other than Arbor Village, Ltd. Plaintiff Arbor Village Condominium Association is comprised of all owners of units in Arbor Village; however, no units are owned by Arbor Village Condominium Association.

Plaintiffs became aware of a problem in the heating and domestic hot water system in 1988. Plaintiffs filed a complaint in the Franklin County Court of Common Pleas on October 17, 1990, asserting claims for violation of R.C. 5311.26 of the Ohio Condominium Act, fraudulent misrepresentation and fraudulent nondisclosure, and breach of contract and breach of the implied warranty of fitness.

Defendants argued in their August 19,1992 motion for summary judgment that they were entitled to summary judgment on the following grounds: (1) against the individual plaintiffs who purchased their condominium units from someone other than defendants; (2) defendant Penn did not sell or represent a seller in *504 either the 1984 or 1985 sale of the condominium units; (3) defendant Fultz was liable only as a general partner of Arbor Village, Ltd., if and when judgment was rendered against the limited partnership and the limited partnership’s assets were insufficient to satisfy the judgment; (4) Arbor Village Condominium Association was not a purchaser of a condominium ownership interest; (5) the R.C. 5311.27 claims of plaintiffs Smith, Morosky, Yoder and Kelly were time barred; (6) plaintiffs’ claims for breach of the implied warranty of fitness were barred by the “as is” disclaimer in the purchase agreement; and (7) there was no evidence of reliance on a material misrepresentation or an active concealment of any defects.

In its July 16, 1993 decision, the trial court sustained defendants’ motion as to all claims except plaintiffs' claim for fraudulent misrepresentation. The court’s decision was entered on October 1, 1993. On that same date, plaintiffs filed a “Notice of Dismissal Without Prejudice” as to all claims remaining after the court’s decision. Plaintiffs have timely appealed the trial court’s judgment.

Civ.R. 56(C), which deals with a trial court’s examination and disposition of a motion for summary judgment, provides:

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Bluebook (online)
642 N.E.2d 1124, 95 Ohio App. 3d 499, 1994 Ohio App. LEXIS 2482, Counsel Stack Legal Research, https://law.counselstack.com/opinion/arbor-village-condominium-assn-v-arbor-village-ltd-lp-ohioctapp-1994.