Haddad v. English

763 N.E.2d 1199, 145 Ohio App. 3d 598
CourtOhio Court of Appeals
DecidedAugust 29, 2001
DocketC.A. No. 3134-M.
StatusPublished
Cited by18 cases

This text of 763 N.E.2d 1199 (Haddad v. English) 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
Haddad v. English, 763 N.E.2d 1199, 145 Ohio App. 3d 598 (Ohio Ct. App. 2001).

Opinion

Baird, Presiding Judge.

Appellants, Edwin A. and Marcia Haddad (“Haddads”), appeal the decision of the Medina Court of Common Pleas granting default judgment and awarding attorney fees to appellee, Brent English (“English”). We affirm.

I

On January 21, 1998, the Haddads filed a complaint against English, alleging malpractice with respect to English’s representation of the Haddads in a previous case. English answered and raised a counterclaim against the Haddads for unpaid legal fees. On April 27, 2000, the trial court granted partial summary judgment to English on the malpractice claim. On May 30, 2000, Edwin Haddad appealed the judgment entry granting partial summary judgment. 1

On June 26, 2000, the trial court granted English a default judgment against the Haddads on his counterclaim for unpaid legal fees. After a hearing before *602 the magistrate, the trial court ordered a judgment in the amount $254,039.95 plus interest at the rate of ten percent per annum from March 30, 1998.

This appeal followed.

II

Assignment of Error No. 1:

“The trial court erred to the prejudice of appellants by entering a default judgment at a time when the trial court lacked jurisdiction to do so.”

In their first assignment of error, the Haddads argue that the trial court lacked jurisdiction to enter a default judgment on English’s counterclaim while an appeal was pending on their malpractice claim. The Haddads’ argue that their malpractice claim was a possible defense to English’s counterclaim for attorney fees. See Monastra v. D’Amore (1996), 111 Ohio App.3d 296, 306, 676 N.E.2d 132. The Haddads assert that English’s counterclaim was not collateral to their legal malpractice claim, and that the trial court was divested of its jurisdiction over English’s counterclaim on May 30, 2000, when the notice of appeal regarding the malpractice claim was filed. We construe the Haddads’ argument as one based on a recoupment defense.

We begin by noting that recoupment is an affirmative defense. Recoupment “is a claim of right to reduce the amount demanded and can be had only to an extent sufficient to satisfy the plaintiffs claim.” Riley v. Montgomery (1984), 11 Ohio St.3d 75, 77, 11 OBR 319, 463 N.E.2d 1246. As an affirmative defense, recoupment would not have to be asserted as a counterclaim. However, under the Rules of Civil Procedure, it would have to be asserted in the answer or amended answer; otherwise, it would be waived and could not be raised at trial. Civ.R. 8(C); see, Hoover v. Sumlin (1984), 12 Ohio St.3d 1, 5, 12 OBR 1, 465 N. E.2d 377; Houser v. Ohio Historical Society (1980), 62 Ohio St.2d 77, 79-80, 16 O.O.3d 67, 403 N.E.2d 965.

In the present case, the Haddads did not assert recoupment in their answer to English’s counterclaim. The record reflects that the Haddads did not file any amended answers to the counterclaim. On appeal, the Haddads assert that their initial pleading satisfied the Civ.R. 8(C) requirement to plead an affirmative defense. We are not inclined to adopt the Haddads’ interpretation of the Rules of Civil Procedure. The Haddads failed to plead the affirmative defense of recoupment and therefore waived the right to raise it to the trial court. “[C]laims not raised in the trial court may not be raised on appeal.” Hopson v. Ohio Bur. of Workers’ Comp. (1993), 88 Ohio App.3d 196, 200, 623 N.E.2d 667. The Haddads’ failure to properly plead the affirmative defense prevents them from raising recoupment as a possible defense to English’s counterclaim for *603 attorney fees. Without this recoupment defense, English’s counterclaim remains a collateral issue to the Haddads’ malpractice claim. Therefore, the trial court retained jurisdiction over English’s pending counterclaim after the Haddads filed their notice of appeal on the malpractice claim.

Accordingly, the Haddads’ first assignment of error is overruled.

Ill

Assignment of Error No. 2:

“The trial court abused its discretion by ordering appellants to appear for depositions on four days’ notice while at the same time granting their attorney leave to withdraw as counsel.”

Assignment of Error No. 3:

“The trial court erred to the prejudice of appellants by entering a default, judgment against them without first complying with the notice and hearing requirements of Rule 55 of the Ohio Rules of Civil Procedure.”

Assignment of Error No. 5:

“The trial court erred to the prejudice of appellants by entering a default judgment against them in a manner which was not authorized by the Rules of Civil Procedure.”

The Haddads’ second, third, and fifth assignments of error are related and will be discussed together. In these assignments of error, the Haddads argue that the trial court erred in granting default judgment. The Haddads also assert that they were without notice of the default judgment.

It is well established that a trial court has broad discretion to impose sanctions against a party violating the discovery rules, and an appellate court will not reverse the trial court’s determination on this issue absent an abuse of discretion. Nakoff v. Fairview Gen. Hosp. (1996), 75 Ohio St.3d 254, 256, 662 N.E.2d 1. The term “abuse of discretion” connotes more than an error of law or of judgment, it implies that the court’s attitude is unreasonable, arbitrary, or unconscionable. Blakemore v. Blakemore (1983), 5 Ohio St.3d 217, 219, 5 OBR 481, 450 N.E.2d 1140. However, the granting of a default judgment, analogous to the granting of a dismissal, is a harsh remedy that should be imposed only when “the actions of the faulting party create a presumption of willfulness or bad faith.” Russo v. Goodyear Tire & Rubber Co. (1987), 36 Ohio App.3d 175, 179, 521 N.E.2d 1116. Additionally, the granting of a default judgment requires the due process guarantee of prior notice. See Ohio Furniture Co. v. Mindala (1986), 22 Ohio St.3d 99, 101, 22 OBR 133, 488 N.E.2d 881, holding “that the notice requirement of Civ. R. 41(B)(1) applies to all dismissals with prejudice, *604 including those entered pursuant to Civ. R. 37(B)(2)(c) for failure to comply with discovery orders.”

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763 N.E.2d 1199, 145 Ohio App. 3d 598, Counsel Stack Legal Research, https://law.counselstack.com/opinion/haddad-v-english-ohioctapp-2001.