Candlewood Custom Homes, Inc. v. Saunders

Ohio Court of Appeals·Decided May 27, 2026·No. 25CA12·Published

Opinion

IN THE COURT OF APPEALS OF OHIO FOURTH APPELLATE DISTRICT PICKAWAY COUNTY

CANDLEWOOD CUSTOM HOMES, INC., :

Plaintiff-Appellee and : CASE NO. 25CA12 Cross-Appellant, :

v.

:

BRIAN SAUNDERS, et al., DECISION AND JUDGMENT ENTRY :

Defendants-Appellants and Cross-Appellees. :

APPEARANCES:

Brian S. Stewart, Circleville, Ohio, for appellants.

Joel E. Sechler, Columbus, Ohio, for appellee.

CIVIL APPEAL FROM COMMON PLEAS COURT DATE JOURNALIZED:5-27-26 ABELE, J.

{¶1} This is an appeal from a Pickaway County Common Pleas Court judgment that awarded Candlewood Custom Homes, Inc., plaintiff below and appellee/cross-appellant herein, damages in the amount of $20,544.

{¶2} Brian and Melissa Saunders, defendants below and appellants/cross-appellees herein, assign the following errors for review:

FIRST ASSIGNMENT OF ERROR:

“THE TRIAL COURT ERRED BY DENYING DEFENDANTS’ MOTION FOR A NEW TRIAL, FILED ON OCTOBER 23, 2024.”

SECOND ASSIGNMENT OF ERROR:

“THE TRIAL COURT ERRED BY DENYING DEFENDANTS’ MOTION FOR RELIEF FROM JUDGMENT, FILED ON OCTOBER 23, 2024.”

THIRD ASSIGNMENT OF ERROR:

“THE TRIAL COURT ERRED BY ADOPTING PORTIONS OF THE MAGISTRATE’S DECISIONS OF MARCH 6, 2024 AND JULY 30, 2024 WHICH HELD DEFENDANTS’ [SIC] LIABLE FOR DAMAGES FOR UNJUST ENRICHMENT.”

FOURTH ASSIGNMENT OF ERROR:

“THE TRIAL COURT ERRED BY ADOPTING PORTIONS OF THE MAGISTRATE’S DECISION OF MARCH 6, 2024 WHICH DENIED DEFENDANTS’ CLAIM FOR BREACH OF CONTRACT.”

FIFTH ASSIGNMENT OF ERROR:

“THE TRIAL COURT ERRED BY ADOPTING PORTIONS OF THE MAGISTRATE’S DECISION OF MARCH 6, 2024 WHICH DENIED DEFENDANTS’ CLAIM FOR SLANDER OF TITLE.”

{¶3} Candlewood assigns the following errors for review:

FIRST CROSS-ASSIGNMENT OF ERROR:

“THE TRIAL COURT ABUSED ITS DISCRETION IN ADOPTING THE PORTION OF THE MAGISTRATE’S JULY 30, 2024 DECISION REDUCING THE UNJUST ENRICHMENT AWARD AGAINST BRIAN AND MELISSA SAUNDERS (THE ‘SAUNDERS’) AND IN FAVOR OF CANDLEWOOD CUSTOM HOMES, INC. (‘CANDLEWOOD’)

BY $5,000.”

SECOND CROSS-ASSIGNMENT OF ERROR:

“THE TRIAL COURT ABUSED ITS DISCRETION BY DENYING CANDLEWOOD’S MOTION FOR PREJUDGMENT INTEREST.”

{¶4} In 2018, the parties entered into a written agreement for the construction of appellants’ home. The agreement provided, in part, that (1) the estimated cost to build the home would be $346,500, and (2) appellee would manage the construction project in exchange for a $55,000 management fee.

{¶5} In July 2020, the parties’ relationship soured, and appellee stopped work on the home.

{¶6} Appellee later filed a complaint against appellants that asserted claims for breach of contract, unjust enrichment, and fraudulent inducement.1 Appellee additionally sought to foreclose on a mechanic’s lien.

{¶7} Appellants answered and filed counterclaims and a third-party complaint against Mark Myers, appellee’s sole shareholder. Appellants asserted counterclaims for breach of contract, unjust enrichment, breach of duty to perform in a workmanlike manner, and slander of title. Appellants’ third- party complaint against Myers sought to hold him jointly and severally liable with appellee.

{¶8} In January 2024, the trial court’s magistrate held a bench trial. After the trial, the magistrate issued a decision and recommended that the trial court (1) deny both parties’ claims for breach of contract, (2) deny appellants’ remaining claims, (3) declare the mechanic’s lien invalid, and (4) grant

1 Appellee later abandoned its fraudulent inducement claim.

appellee damages for unjust enrichment. The magistrate recommended that the court award appellee $25,544 in damages, less the value of “punch-out” work, which the magistrate left to be determined after an additional hearing.

{¶9} After the additional hearing, the magistrate reduced appellee’s damage award for unjust enrichment by $5,000, the amount that the magistrate determined to be the value of the punch-out work. The magistrate thus determined that appellee is entitled to $20,544 in damages for its unjust enrichment claim.

{¶10} Both parties filed objections to the magistrate’s decision. On October 1, 2024, the trial court overruled the parties’ objections and adopted the magistrate’s decision. The court first pointed out that the parties did not support their objections with a transcript of the proceedings held before the magistrate. The court stated that without a transcript, it must presume the regularity of the proceedings. The court thus adopted the magistrate’s factual findings, except for a finding that Myers, as opposed to appellee, is entitled to damages for unjust enrichment.

{¶11} The trial court additionally overruled the parties’

objections to the magistrate’s conclusions of law. The court determined that the magistrate correctly applied the law to the facts. The court thus adopted the magistrate’s decision and awarded appellee $20,544.

{¶12} Appellee subsequently filed a motion for prejudgment interest.

{¶13} Shortly thereafter, appellants filed a motion for a new trial under Civ.R. 59(A) or, alternatively, for relief from judgment under Civ.R. 60(B)(5). Appellants asserted that the court should either grant a new trial or grant relief from judgment. Appellants alleged that they were entitled to a new trial or to relief from judgment because the magistrate should have disqualified herself from presiding over the trial due to a $100 contribution that she made to the campaign of appellants’ counsel’s election opponent in the 2024 Republican primary for a seat in the Ohio House of Representatives.

{¶14} On December 10, 2024, the trial court overruled appellants’ motion for a new trial or for relief from judgment. The court did not agree with appellants that the magistrate should have disqualified herself from presiding over the trial due to the $100 campaign contribution.

{¶15} Later, the trial court denied appellee’s motion for prejudgment interest. The court determined that R.C. 1343.03(C)(1) applied to appellee’s request for prejudgment interest and concluded that appellee did not satisfy the statutory requirements to be entitled to prejudgment interest. The court thus denied appellee’s motion for prejudgment interest. This appeal followed.

I

{¶16} We initially observe that appellants’ brief does not separately argue the first and second assignments of error. App.R. 16(A)(7) requires an appellant’s brief to include “[a]n argument containing the contentions of the appellant with respect to each assignment of error presented for review and the reasons in support of the contentions, with citations to the authorities, statutes, and parts of the record on which appellant relies.” App.R. 12(A)(2) permits us to “disregard an assignment of error presented for review if the party raising it . . . fails to argue the assignment separately in the brief, as required under App.R. 16(A).”

{¶17} Consequently, in light of appellants’ failure to argue each assignment separately in the brief, we would be well within our discretionary authority to summarily overrule appellants’ first and second assignments of error. See Mtge. Electronic Registrations Sys. v. Mullins, 2005-Ohio-2303, ¶ 22 (4th Dist.). We generally prefer, however, to decide cases on their merits rather than procedural technicalities. See DCI Rentals, LLC v. Sammons, 2024-Ohio-1962, ¶ 7, fn. 2 (4th Dist.); see also Barksdale v. Van’s Auto Sales, Inc., 38 Ohio St.3d 127, 128 (1988) (noting that a “basic tenet of Ohio jurisprudence [is] that cases should be determined on their merits and not on mere procedural technicalities”). We will therefore address appellants’ first and second assignments of error, but, for ease of discussion, we consider them separately.

II

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