Brookville Ents., Inc. v. Kessler Estate HCF Mgt., Inc.

2022 Ohio 1420
CourtOhio Court of Appeals
DecidedApril 29, 2022
Docket29314
StatusPublished
Cited by3 cases

This text of 2022 Ohio 1420 (Brookville Ents., Inc. v. Kessler Estate HCF Mgt., Inc.) 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
Brookville Ents., Inc. v. Kessler Estate HCF Mgt., Inc., 2022 Ohio 1420 (Ohio Ct. App. 2022).

Opinion

[Cite as Brookville Ents., Inc. v. Kessler Estate HCF Mgt., Inc., 2022-Ohio-1420.]

IN THE COURT OF APPEALS OF OHIO SECOND APPELLATE DISTRICT MONTGOMERY COUNTY

BROOKVILLE ENTERPRISES INC. : : Plaintiff-Appellee : Appellate Case No. 29314 : v. : Trial Court Case No. 2020-CV-4171 : CLARENCE J. KESSLER ESTATE : (Civil Appeal from HCF MANAGEMENT INC. : Common Pleas Court) ADMINISTRATOR, et al. : : Defendant-Appellant

...........

OPINION

Rendered on the 29th day of April, 2022.

ALEXANDER W. CLOONAN, Atty. Reg. No. 0095690, 2625 Commons Boulevard, Beavercreek, Ohio 45431 Attorney for Plaintiff-Appellee

R.C. WIESENMAYER, Atty. Reg. No. 0007207, 15 Willipie Street, Suite 300, P.O. Box 299, Wapakoneta, Ohio 45895 Attorney for Defendant-Appellant

.............

WELBAUM, J. -2-

{¶ 1} Defendant-Appellant, Bruce Kessler, appeals from an order overruling his

motion for relief from a default judgment entered in favor of Plaintiff-Appellee, Brookville

Enterprises, Inc., dba Brookhaven Nursing & Rehabilitation Center (“Brookhaven”). In

support of his appeal, Kessler contends that the trial court erred in concluding that

Brookhaven had perfected service of process on him. In addition, Kessler argues that

the trial court erred in failing to hold an evidentiary hearing before ruling on the motion for

relief from judgment. Alternatively, Kessler contends that the trial court erred in denying

his motion under Civ.R. 60(B)(1) and (5).

{¶ 2} We conclude that the trial court abused its discretion in overruling Kessler’s

motion for relief from the default judgment, which was based on Kessler’s claim that he

had not been properly served with the complaint. The court incorrectly analyzed the

motion by referring to Civ.R. 60(B). However, courts have inherent jurisdiction to vacate

judgments based on lack of personal jurisdiction, which renders a judgment void.

Movants, therefore, do not have to establish entitlement to relief under Civ.R. 60(B).

Furthermore, there were deficiencies and inconsistencies relating to service that

warranted a hearing on Kessler’s motion for relief. In view of these holdings, we need

not address Kessler’s alternative argument regarding Civ.R. 60(B)(1) and (5).

{¶ 3} Accordingly, the judgment of the trial court will be reversed, and this cause

will be remanded for further proceedings.

I. Facts and Course of Proceedings -3-

{¶ 4} On October 28, 2020, Brookville filed a complaint against Bruce Kessler and

HFC Management (“HFC”), which was the administrator of the estate of Clarence Kessler.

Brookhaven operates a licensed skilled nursing facility in Brookville, Ohio, where

Kessler’s father, Clarence, resided from June 22, 2019, until Clarence’s death on March

29, 2020. According to the complaint, Brookhaven was entitled to $38,825.92 in unpaid

charges that Clarence incurred during his residency. However, Bruce Kessler allegedly

used a power of attorney to withdraw money from Clarence’s bank accounts for his own

benefit and also fraudulently transferred a remaining balance of $27,188.43 to himself in

violation of R.C. 1336.04(A)(2)(b), rendering Clarence’s estate insolvent. The complaint

asked the trial court to hold Bruce Kessler personally responsible for payment of

$27,188.43, plus interest.

{¶ 5} The address listed in the complaint for Bruce Kessler was 903 Avery Lane,

Englewood, Ohio, 45322. On October 28, 2020, Brookhaven asked the sheriff to deliver

personal service of the complaint to Kessler at that address. A summons for personal

service, with tracking number CVPS000000000048715, was issued on October 29, 2020.

{¶ 6} On October 31, 2020, HFC filed an answer admitting that the estate was

insolvent.1 On November 20, 2020, the sheriff filed a return of service, indicating that he

had received the summons on November 2, 2020, and had made three attempts to serve

it, on November 15, November 16, and November 17, 2020. The door was never

answered, nor did the sheriff receive a call back.

{¶ 7} On December 1, 2020, Brookhaven instructed the clerk to issue service to

1 The same attorney represented both Brookhaven, the plaintiff, and HFC, the defendant. -4-

Kessler by certified mail at the Avery Lane address. The clerk issued service by certified

mail the same day, with tracking number 9414726699042175108098.

{¶ 8} On December 14, 2020, the clerk sent Brookhaven a notification of a failure

of service for tracking number CVPS000000000048715. The reason for the failure was

“never got an answer at door or a call back.”

{¶ 9} On December 28, 2020, Brookhaven asked the clerk to issue service by

ordinary mail to Kessler at the Avery Lane address. As a result, the clerk issued service

by ordinary mail to Kessler the same day. Kessler did not thereafter file an answer in the

action. The ordinary mail was also not returned to the court.

{¶ 10} On January 28, 2021, the trial court filed a default notice, stating that a

review of the file indicated that service had been perfected and that Kessler was in default

for failure to answer. The court instructed Brookhaven to review its file and ascertain if

default proceedings were in order. In addition, the court noted that a failure to file a

response to the order within 14 days could result in administrative dismissal of the action.

The court electronically notified Brookhaven and HFC and sent a copy of the default

notice to Kessler by ordinary mail at the Avery Lane address.

{¶ 11} On February 2, 2021, Brookhaven filed a motion for default judgment,

asking the court to grant judgment against Kessler in the amount of $27,188.43, based

on his failure to timely file an answer. Brookhaven also attached affidavits to its motion

regarding the matters alleged in the complaint and the fact that Kessler was not in the

military service. The same day, the court filed a default judgment against Kessler and

awarded Brookhaven $27,188.43, plus interest at the statutory rate and costs. The -5-

judgment also included a Civ.R. 54(B) certification. On February 2, 2021, the clerk sent

the parties a Civ.R. 58(B) notice that a final appealable order had been filed.

Brookhaven then filed a praecipe for a certificate of judgment with the clerk on February

9, 2021. No appeal was taken from the default judgment.

{¶ 12} Nothing further occurred until June 9, 2021, when the clerk filed a copy of

the certified mail envelope that was returned to the court. The envelope was marked

with written notations, including “Unclaimed,” and “LN PM 12/3/20.” Further, a printed

label stated “Return to Sender,” “Attempted – Not Known,” and “Unable to Forward.”

{¶ 13} On June 30, 2021, Kessler filed a motion for relief from judgment under

Civ.R. 60(B)(1) and (5). In the motion, Kessler alleged that he had repeatedly been out

of town during December 2020 and January 2021, and had asked two friends to monitor

his mail. He further said that these friends had not informed him that he had received

mail from the court, that he had not had any knowledge that a complaint had been filed

until he met with his lawyer on June 24, 2021, and that Brookhaven had never made any

demands for payment from him. Motion for Relief from Judgment (June 30, 2021), p. 2.

Kessler also alleged that he had a meritorious defense to the action. Id. at p. 2-3.

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Cite This Page — Counsel Stack

Bluebook (online)
2022 Ohio 1420, Counsel Stack Legal Research, https://law.counselstack.com/opinion/brookville-ents-inc-v-kessler-estate-hcf-mgt-inc-ohioctapp-2022.