Cent. Ohio Med. Textiles v. PSC Metal, Inc.

2020 Ohio 591
CourtOhio Court of Appeals
DecidedFebruary 20, 2020
Docket19AP-167
StatusPublished
Cited by7 cases

This text of 2020 Ohio 591 (Cent. Ohio Med. Textiles v. PSC Metal, 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
Cent. Ohio Med. Textiles v. PSC Metal, Inc., 2020 Ohio 591 (Ohio Ct. App. 2020).

Opinion

[Cite as Cent. Ohio Med. Textiles v. PSC Metal, Inc., 2020-Ohio-591.]

IN THE COURT OF APPEALS OF OHIO

TENTH APPELLATE DISTRICT

Central Ohio Medical Textiles, et al., :

Plaintiffs-Appellees/ : Cross-Appellants, No. 19AP-167 v. : (C.P.C. No. 15CV-8940)

PSC Metals, Inc., et al., : (REGULAR CALENDAR)

Defendants-Appellants/ : Cross-Appellees. :

D E C I S I O N

Rendered on February 20, 2020

On brief: Roberts Matejzyk & Ita, Glenna M. Roberts, and Dustin N. Smith, for appellees/cross-appellants. Argued: Glenna M. Roberts.

On brief: Sutter O'Connell, Matthew C. O'Connell, and Ashley C. Wakefield, for appellant/cross-appellee, PSC Metals, Inc. Argued: Matthew C. O'Connell.

APPEAL from the Franklin County Court of Common Pleas

BRUNNER, J. {¶ 1} Defendant-appellant, PSC Metals, Inc. ("PSC"), appeals from two judgments of the Franklin County Court of Common Pleas as set forth in the final judgment entry entered on March 11, 2019. First, PSC appeals a judgment entered in favor of plaintiffs- appellees/cross-appellants, Central Ohio Medical Textiles ("Comtex") and Philadelphia Indemnity Insurance Company ("PIIC"), as set forth in a June 26, 2018 judgment entry following a jury verdict that found PSC liable for money damages to Comtex and PIIC in the amount $651,355 on a conversion claim. Second, PSC appeals the February 25, 2019 decision denying its motion for judgment notwithstanding the verdict or, in the alternative, No. 19AP-167 2

a new trial ("motion for JNOV/new trial"). PSC seeks to have the jury verdict nullified or, alternatively, to have a new trial on the issue of damages. {¶ 2} Additionally, Comtex and PIIC cross-appeal from the February 25, 2019 decision denying their motion to strike PSC's motion for JNOV/new trial ("motion to strike"), as set forth in the final judgment entry entered on March 11, 2019. {¶ 3} For the following reasons, we affirm the judgments of the trial court as to both the appeal and the cross-appeal. I. FACTS AND PROCEDURAL BACKGROUND {¶ 4} The underlying case arose from an action for conversion and other claims Comtex and its insurer, PIIC, brought against a former Comtex employee, James Turner, and PSC, a scrap yard operator, for the loss of 485 custom-made metal laundry carts ("the carts") that were an integral part of Comtex's operation. Comtex alleged that Turner, who was employed to deliver Comtex's carts to local hospitals, stole the carts over a six-week period in August and September 2014 and sold them to PSC as scrap metal. After discovering the theft, Comtex tried to recover the carts from PSC, but PSC had already shredded them. {¶ 5} On October 7, 2015, Comtex and PIIC filed suit against Turner and PSC asserting claims of conversion, unjust enrichment, willful damage or theft, negligence (with respect to Turner), and negligence (with respect to PSC). Just over one year later, Comtex and PIIC filed a motion for default judgment only as to Turner, on the ground that he had been served but had failed to enter an appearance.1 The trial court granted the motion for default judgment against Turner on November 10, 2016. {¶ 6} The case against PSC proceeded to a four-day jury trial presided over by a visiting judge. Both sides presented testimonial and documentary evidence at trial. PSC filed proposed jury interrogatories, verdict forms, and jury instructions. PSC requested, among other things, that the visiting judge instruct the jury as to Comtex and PIIC's duty to mitigate their damages, as follows: DUTY TO MITIGATE

PSC Metals claims that the plaintiffs failed to mitigate their damages. If the defendant proves by a greater weight of the

1The complaint indicates that, at the time it was filed, Turner was an inmate of the Noble Correctional Institution in Caldwell, Ohio. No. 19AP-167 3

evidence that the plaintiffs did not use reasonable efforts under the facts and circumstances in evidence to lessen damages caused by the defendant's alleged negligence, you should not allow damages that could have been avoided by reasonable efforts to avoid loss. The plaintiffs, however, are not required to take measures that would involve undue risk, burden, or humiliation.

Authority:

OJI – CV 315.51.

(Emphasis sic.) (PSC's Proposed Jury Instructions at 34.) {¶ 7} The visiting judge instructed the jury in open court before the jurors retired to deliberate. With respect to determining if Comtex and PIIC were entitled to damages on the conversion claim and, if so, in what amount, the visiting judge instructed the jury in part as follows: [T]he allegation in this case by the Plaintiffs is that the Defendant in this case converted their property, and as a result of their conversion of their property, they have been damaged. Now, any time an individual in a civil case makes an allegation, that individual carries the burden of proof with respect to all of the matters that have been alleged in the – in the case. Now, that includes the burden of proving that a conversion took place, that there was proximate cause with respect to the conversion, and burden of proof by a preponderance of the evidence of what, in fact, damages were proximately caused by that.

***

Now, conversion, conversion is the exercise of dominion and control wrongfully exerted over the personal property of another. Now, it is agreed by the parties in this case that the carts in question at the time they were received by the Defendant PSC were the property of COMTEX. It if further agreed that the property was stolen by Mr. James Turner from COMTEX and Mr. Turner had no authority to sell the property to PSC. It is further agreed by the parties that PSC exerted dominion and control over COMTEX's property by shredding the property and selling it to outside buyers; thus, the only issue you are to decide is whether the exercise of dominion and control by PSC over the property was wrongful, and if wrongful, what was the damage to COMTEX as a proximate result of wrongful exercise of dominion and control. Remember, No. 19AP-167 4

conversion is the exercise of dominion and control wrongfully exerted over the personal property of another.

So in this case the Plaintiffs have alleged there was a conversion and as a proximate result of that conversion, they have been damaged.

Now, Plaintiff has the burden of proof by a preponderance of the evidence with respect to their damages. Now, you are not to speculate in reaching a value of the damages.

Now, Defendant denies the conversion but it believes that if there was a conversion, the maximum amount of damages is the fair market value of the property converted. Now, the fair market value of personal property is the price it would bring if offered for sale in the open market by an owner who desires to sell it, but was under no necessity or compulsion to do so. And when purchased by a buyer who desires to buy it, but was under no necessity or compulsion to do so, both parties being aware of the pertinent facts concerning the property.

Now, the Plaintiffs assert that the fair market value is not an appropriate valuation because the property converted is unique to its business, and there is no appropriate market value which would compensate it for its loss. If you find that the Plaintiff has proved that the fair market value is not a proper method of commuting its loss and you find that the original price and/or replacement cost minus depreciation, if any, is the appropriate valuation, you may consider that evidence in computing the damages owed to Plaintiff. As I previously stated, you are not to speculate. You're only permitted to award an amount that has been proven by a preponderance of the evidence to have proximately resulted from the conversion that you have found.

(Trial Tr.

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Cite This Page — Counsel Stack

Bluebook (online)
2020 Ohio 591, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cent-ohio-med-textiles-v-psc-metal-inc-ohioctapp-2020.