Cairelli v. Brunner

2016 Ohio 5535
CourtOhio Court of Appeals
DecidedAugust 25, 2016
Docket15 AP 854
StatusPublished
Cited by5 cases

This text of 2016 Ohio 5535 (Cairelli v. Brunner) 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
Cairelli v. Brunner, 2016 Ohio 5535 (Ohio Ct. App. 2016).

Opinion

[Cite as Cairelli v. Brunner, 2016-Ohio-5535.]

COURT OF APPEALS FRANKLIN COUNTY, OHIO TENTH APPELLATE DISTRICT

SANDRA K. CAIRELLI JUDGES: Hon. Sheila G. Farmer, P. J. Hon. John W. Wise, J. Plaintiff-Appellee Hon. Craig R. Baldwin, J.

-vs- (Fifth Appellate District Judges Sitting by Supreme Court Assignment) RICHARD L. BRUNNER, et al. Case No. 15 AP 854

Defendants-Appellants NUNC PRO TUNC1 OPINION

CHARACTER OF PROCEEDING: Civil Appeal from the Court of Common Pleas, Case No. 14 CV 7770

JUDGMENT: Affirmed

DATE: August 25, 2016

APPEARANCES:

For Plaintiff-Appellee For Defendants-Appellants

ROBERT G. KENNEDY PETER A. CONTRERAS 4924 B-Reed Road BRUNNER QUINN Columbus, Ohio 43220 35 North Fourth Street, Suite 200 Columbus, Ohio 43215 B. CASEY YIM 18201 Von Karman, Suite 1100 Irvine, California 92612

1 Because the heading of this court's August 10, 2016 opinion mistakenly referenced the Fifth Appellate District rather than the Tenth Appellate District, said opinion is replaced, nunc pro tunc. . [Cite as Cairelli v. Brunner, 2016-Ohio-5535.]

Wise, J.

{¶1} Appellants Richard and Jennifer Brunner appeal the February 6, 2015,

and August 16, 2015, decisions entered in the Franklin County Court of Common Pleas

granting judgment on the merits on Appellee Sandra K. Cairelli’s cause of action for

quiet title.

STATEMENT OF THE FACTS AND CASE

{¶2} The facts as presented to the trial court are as follows:

{¶3} In June, 1984, Appellants Richard and Jennifer Brunner and Appellee

Sandra K. Cairelli entered into a lease agreement for the real property commonly known

as 1318 Ashland Avenue, Columbus, Ohio, 43212, owned by Appellee. Appellants

leased the property until approximately October of 1987. At the time the parties entered

the lease agreement, Appellants were granted a right of first refusal (ROFR) to

purchase the property.

{¶4} A "Memorandum of Lease" was filed with the Franklin County Recorder

which recites that Appellees were granted a right of first refusal "upon certain terms and

conditions set forth in an independent and self-sustaining covenant contained in the

aforementioned now unrecorded lease agreement." In June, 2014, Appellee entered

into a purchase agreement with Andrew and Deidre Allman for the sale of the Ashland

Avenue property for $276,000: $275,000 to be paid by the buyers and $500 each from

the real estate agents for the parties. The Allmans agreed to purchase the property “as

is”. The title search revealed the above-referenced 1984 Memorandum as a cloud on

the title. Franklin County, Case No. 15 AP 854 3

{¶5} On or about July 2, 2014, Appellee contacted Appellants above releasing

the recorded Memorandum, but they refused.

{¶6} On July 15, 2014, Appellee sent Appellants a “Mitigation Offer” to allow

them to purchase the property. Appellants did not accept the offer.

{¶7} On July 25, 2014, Appellee filed a Complaint to Quiet Title, For Injunctive

Relief, Slander of Title, Tortious Interference with Contract and Fraud. Appellee also

filed a Motion for Temporary Restraining Order and Preliminary Injunction, seeking to

have the Memorandum of Lease and Right of First Refusal removed from the Franklin

County Recorder’s Office to clear the title so that she could sell the property.

{¶8} On July 27, 2014, a hearing was held on the Motion for Temporary

Restraining Order.

{¶9} On July 30, 2014, the trial court conducted a status conference with the

parties.

{¶10} By Judgment Entry filed July 31, 2014, the trial court denied the motion for

a temporary restraining order. As reflected in the trial court's Entry, neither party had

been able to locate and/or produce the Lease Agreement, ROFR or “surrender of

possession” documents. The trial court ordered the parties to produce these

documents within 14 days. The trial court also set another status conference for August

19, 2014.

{¶11} On August 7, 2014, Appellee renewed her Motion for a Temporary

Restraining Order. This renewed Motion stated that it was “premised upon the August 1,

2014 Supplemental Brief in Support of Motion for Temporary Restraining Order and

Preliminary Injunction, which incorporated the affidavits of BC Yim and Kiki Street Franklin County, Case No. 15 AP 854 4

Kullman and affirmatively established that Defendants Brunner have rejected the ability

to 'meet or beat' the existing terms and conditions of the Allman's proposed purchase of

real property commonly known as 1318 Ashland Avenue, Grandview Heights, Ohio.”

{¶12} On August 22, 2014, a hearing was held on Appellee’s Motion for

Temporary Restraining Order. At the beginning of the hearing, the trial court stated the

purpose of the hearing was to determine whether or not a right of first refusal exists in

this case, and if so, what terms of such ROFR needed to be applied to this situation.

{¶13} The trial court heard testimony from Andrew Allman and Richard Brunner.

Mr. Allman testified to the terms of the offers and subsequent negotiations between him

and Appellee for the purchase of 1318 Ashland Avenue and to establish that Appellee

allegedly complied with any right of first refusal because the Appellants were eventually

offered "the purchase contract as it existed" on July 15th, 2014, with the Allmans,

almost one (1) month after being entered and after various waivers and contingencies

were satisfied. (T. at 5).

{¶14} Appellee Cairelli did not testify as she now lives in Orange County,

California. No objection was raised to the hearing proceeding without Appellee.

Appellee was, however, subject to cross-examination during her deposition conducted

in November, 2014.

{¶15} On August 26, 2014, the parties filed post-hearing briefs.

{¶16} On February 6, 2015, the trial court filed its Judgment Entry Quieting Title

in Plaintiff’s Favor and Denying as Moot Plaintiff’s Renewed Motion for Temporary

Restraining Order and Preliminary Injunction. Franklin County, Case No. 15 AP 854 5

{¶17} Appellants now appeal to this Court, assigning the following errors for

review:

ASSIGNMENTS OF ERROR

{¶18} “I. THE TRIAL COURT ERRED IN CONSOLIDATING A PRELIMINARY

INJUNCTION HEARING WITH A TRIAL ON THE MERITS OF APPELLEE'S FIRST

CAUSE OF ACTION WITHOUT PROPER NOTICE UNDER CIV.R. 65(B)(2), BEFORE

APPELLANTS' ANSWER WAS DUE OR DISCOVERY COMPLETED, AND BEFORE

APPELLEE HAD PROVIDED ANY TESTIMONY UNDER OATH AND WHERE SHE

FAILED TO APPEAR AT THE HEARING AS EXPRESSLY ORDERED BY THE

COURT.

{¶19} “II. THE TRIAL COURT ERRED IN GRANTING APPELLEE A

MANDATORY, PERMANENT INJUNCTION AND IN ESSENTIALLY SUA SPONTE

GRANTING SUMMARY JUDGMENT ON THE REMAINDER OF APPELLEE'S FIRST

CAUSE OF ACTION (A) BY UTILIZING THE STATUTE OF FRAUDS TO GRANT

AFFIRMATIVE RELIEF TO APPELLEE TO UNDO HER OWN CONVEYANCE AND

HOLDING THE RECORDED MEMORANDUM IS AN INSUFFICIENT WRITING

UNDER THAT STATUTE, (B) BY FINDING THERE WAS NOT A SUFFICIENT

MEMORANDUM UNDER 1335.05 AND THE APPELLANTS WERE NOT ENTITLED

UNDER THEIR RIGHT OF FIRST REFUSAL TO THE SAME TERMS AND

CONDITIONS AS THE PRIOR OFFER RECEIVED BY APPELLEE, (C) BY FINDING

APPELLEE COMPLIED WITH HER OBLIGATION UNDER THE RIGHT OF FIRST

REFUSAL BY OFFERING APPELLANTS THE PROPERTY AFTER HAVING

ACCEPTED THE PRIOR OFFER, AND (D) WHERE APPELLEE NEVER MOVED FOR Franklin County, Case No. 15 AP 854 6

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Bluebook (online)
2016 Ohio 5535, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cairelli-v-brunner-ohioctapp-2016.