Essig v. Blank

2021 Ohio 2602, 176 N.E.3d 113
Ohio Court of Appeals·Decided July 30, 2021·No. 2021-CA-9·Published·Cited by 2 cases

Opinion

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

ELIZABETH ESSIG :

:

Plaintiff-Appellee : Appellate Case No. 2021-CA-9 :

v. : Trial Court Case No. 2020-CV-82 :

JAMES E. BLANK, D.D.S. : (Civil Appeal from : Common Pleas Court)

Defendant-Appellant :

:

...........

OPINION

Rendered on the 30th day of July, 2021.

...........

RICHARD E. MAYHALL, Atty. Reg. No. 0030017, 20 South Limestone Street, #120, Springfield, Ohio 45502 Attorney for Plaintiff-Appellee

DAVID J. HEINLEIN, Atty. Reg. No. 0040677, 140 East Town Street, Suite 1015, Columbus, Ohio 43215 Attorney for Defendant-Appellant

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

HALL, J.

{¶ 1} James E. Blank appeals from the trial court’s judgment entry in favor of plaintiff-appellee Elizabeth Essig following a bench trial on her breach-of-contract claim against him.

{¶ 2} Blank advances seven assignments of error. First, he contends the trial court erred in overruling his summary-judgment motion against Essig. Second, he claims the trial court erred in finding that the statute of frauds did not apply. Third, he argues that the trial court erred in finding promissory estoppel inapplicable. Fourth, he asserts that the trial court erred “in not providing analysis or reasoning” when overruling his summary- judgment motion. Fifth, he maintains that the trial court erred in finding that Essig satisfied her burden of proof at trial. Sixth, he contends the trial court erred “in not allowing any discussion of the merits, or lack thereof, regarding [a] putative dental malpractice claim” by Essig. Seventh, he claims the trial court erred in overruling his motion for a directed verdict at the close of Essig’s case.

{¶ 3} The record reflects that Blank is a dentist. Blank was a personal friend of Essig’s husband and to some extent Essig. Blank and the Essigs were acquainted through the local “Christian community,” and the two men served together on the Emmanuel Christian Academy Board.

{¶ 4} In June 2017, Essig signed an informed-consent document, and Blank performed a dental procedure on her. Essig experienced an adverse outcome from the procedure. After she complained to Blank, he refunded her payment. Essig nevertheless contemplated filing a malpractice lawsuit against Blank. She sent him a “180-day letter” to extend the statute of limitation. Essig and her husband subsequently had several discussions with Blank about reaching a settlement. According to Essig, Blank orally

agreed to pay her $75,000. For his part, Blank acknowledged negotiating with Essig and her husband. He denied, however, that the parties orally had agreed to his payment of any specific amount of money. Blank claimed no oral contract existed. After Blank failed to pay Essig $75,000, she filed the present lawsuit alleging breach of an oral contract and seeking enforcement of the settlement agreement. The parties subsequently filed competing summary-judgment motions. The trial court overruled both motions. It rejected Blank’s argument that the statute of frauds applied. It also found a genuine issue of material fact as to whether the parties had entered into an enforceable oral contract. The matter proceeded to a December 10, 2020 bench trial at which the trial court heard testimony from Blank, Essig, and Essig’s husband. Based on the testimony and exhibits presented, the trial court entered judgment in favor of Essig on January 12, 2021. The trial court’s entry included detailed findings and analysis of the evidence presented. The trial court found that Essig had proven the existence of an enforceable oral contract and that neither the statute of frauds nor the doctrine of accord and satisfaction applied.

{¶ 5} In his first assignment of error, Blank contends the trial court erred in overruling his summary-judgment motion. He argues that he was entitled to judgment as a matter of law based on the statute of frauds. He advances three arguments in support. First, he claims the trial court erred in finding that the statute of frauds involved a question of fact rather than a question of law. Second, he asserts that the statute of frauds applied because the settlement agreement could not be performed within one year. Third, he maintains that the statute of frauds applied because the alleged oral agreement required him personally to satisfy a debt of his limited-liability company.

{¶ 6} In relevant part, the statute of frauds requires an agreement to be in writing

and to be signed by the party against whom enforcement is sought if it obligates the defendant “to answer for the debt * * * of another person” or if it is one “that is not to be performed within one year from the making thereof.” See R.C. 1335.05. “[W]hether there has been compliance with the requirements of the [s]tatute of [f]rauds is a question of law where the facts are not in dispute.” Ruhe v. Hemmelgarn, 2d Dist. Darke No. 96-CA-1423, 1997 WL 476687, *6 (Aug. 22, 1997). But whether the statute of frauds applies to bar an alleged oral agreement often requires resolving genuine issues of material fact. See, e.g., Willoughby Supply Co. v. Inghram, 2015-Ohio-952, 30 N.E.3d 230, ¶ 22 (11th Dist.) (“The determination of whether an oral promise to answer for another’s debt exists, and is outside the Statute of Frauds, is a question of fact.”); Bond v. Phillips, 6th Dist. Lucas No. L-10-1197, 2010-Ohio-5640, ¶ 15 (“Whether an agreement is an original undertaking, not subject to the statute of frauds, or collateral, requiring a writing, is generally a question of fact.”).

{¶ 7} Blank contends the trial court erroneously treated the statute-of-frauds issue as involving a question of fact rather than a question of law when denying him summary judgment. It appears to us, however, that the trial court simply found no genuine issue of material fact and resolved the statute-of-frauds issue as a matter of law, finding that it did not apply. The trial court then found genuine issues of material fact about whether an oral settlement agreement existed. (July 9, 2020 Entry at 1.) Despite its summary-judgment ruling, the trial court revisited the statute-of-frauds issue again at trial after hearing all of the evidence. Based on the testimony presented, it explained why the parties’ oral agreement was not required to be in writing. (January 12, 2021 Entry at 10-11.) We see no error in the trial court’s treatment of the issue.

{¶ 8} Blank next argues that the statute of frauds did apply because the settlement agreement could not be performed within one year. He notes that the settlement was in lieu of Essig’s pursuing a malpractice claim. That being so, he reasons: “[T]he statute of limitations was one year (plus an additional 180-day extension), so [the] oral agreement to pay could not have been completed within a year plus six months * * * inasmuch as the claimed oral agreement was contingent upon not bringing a suit within that 18 month period. There was no possibility in law or fact that full performance of both parties could have been completed within a year.” (Appellant’s brief at 7.)

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Essig v. Blank, 2021 Ohio 2602, 176 N.E.3d 113 (Ohio Ct. App. 2021).

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