Hart v. Guardian Trust Co.

84 N.E.2d 86, 52 Ohio Law. Abs. 199, 1945 Ohio Misc. LEXIS 204
CourtCuyahoga County Common Pleas Court
DecidedMay 18, 1945
DocketNo. 438880
StatusPublished

This text of 84 N.E.2d 86 (Hart v. Guardian Trust Co.) is published on Counsel Stack Legal Research, covering Cuyahoga County Common Pleas Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hart v. Guardian Trust Co., 84 N.E.2d 86, 52 Ohio Law. Abs. 199, 1945 Ohio Misc. LEXIS 204 (Ohio Super. Ct. 1945).

Opinion

OPINION

By McNAMEE, J:

The questions presented for determination arise upon the motion of defendant, Charles K. Arter, and sixteen other defendants to strike from the files a pleading designated as “Amendment to the Fourth Amended Petition.” The defendants in this proceeding are known as the part period directors. As stated by counsel for defendants

“This motion is upon the single hypothesis that the court does not have jurisdiction over the respective persons of these part period directors.”

While the point at issue may be indicated in the foregoing concise statement of counsel, no clear comprehension of the claims which form the bases of defendants’ contention is possible without an understanding of the complicated and involved state of the record.

The plaintiff Superintendent of Banks of the State of Ohio as Liquidator of the Guardian Trust Company.instituted this action on December 30, 1935. In the petition filed at that time plaintiff prayed for an accounting and judgment against sixty-two former directors of the Guardian Bank upon the ground of alleged breaches of fiduciary duties. Upon sustaining various motions of defendants this court struck the Amended, Second Amended and Third Amended Petitions from the files. On October 31, 1942, at the time the Third Amended Petition was stricken the court granted plaintiff leave to file a further Amended Petition by January 15th, 1943. That this court was influenced in striking the various petitions from the files, in part at least, by the apparent misjoinder of various [201]*201causes of action against several defendants, is evidenced by-expressions contained in opinions heretofore released by other members of this bench.

On January 8, 1943, forty-two of the original defendants remained as parties to the case. Twenty-one of them had served as directors of the Guardian Bank during the entire period of time referred to in plaintiff’s petitions, while the remaining twenty-one directors, including these moving defendants, had served for a part only of such period. About this time plaintiff filed an application for leave to sever and docket separate petitions in this case against the twenty^one part period directors. This application was overruled on January 14, 1943, at which time the court also ruled that no extension of time within which to file a fourth amended petition would be granted. On this same day plaintiff filed a written statement modeled after the notice referred to in Grimm v. Modest, 135 Oh St, 275, in which he stated that—

“He does not want to and will not' file an amended petition against”

the parties to this motion—

“but is filing a fourth amended petition against the other defendants at once.”

On January 14, 1943, also plaintiff filed his fourth amended petition against the full period directors.

On January 16, 1943, plaintiff presented to the court a draft of an entry awarding judgment in favor of the part period directors. Defendants’ counsel appeared in court, objected to the court’s signing the proffered entry awarding judgment in their favor and the court refused to sign the same. At or about this time in response to a question by the court as to whether plaintiff was abandoning the lawsuit, “as far as these twenty-one defendants are concerned,” counsel for plaintiff answered “Certainly not.” Plaintiff thereafter filed notice of appeal from the order denying his application for severance.

During January and February, 1943, the full period directors filed motions to strike the fourth amended petition from the files because of the failure of plaintiff to comply with previous orders of the court. On March 3, 1943, these motions were granted and the court in addition thereto, adjudged, “that the action is hereby dismissed and costs are adjudged against plaintiff.” On March 8, 1943, plaintiff filed notice-of appeal from the judgment and final order of March 3, 1943. On June [202]*20221, 1943, while the last mentioned appeal was pending, the Court of Appeals dismissed plaintiff’s first appeal from the order denying his application for severance, on the ground that the entry of January 14, 1943, was not a final order. The Supreme Court later denied a motion to certify this cause.

Under date of January 24, 1944, the Court of Appeals of this district released an opinion in the appeal from the Common Pleas Court’s judgment of March 3, 1943, in which the appellate court, speaking through Matthews, J., said:

“We are of the opinion that the twenty-one defendants who were not named, as well as the twenty-one who were named in the fourth amended petition were parties to the action at the time the judgment of dismissal was entered on March 3rd, 1943, and are parties to this appeal.”

Upon learning that the Court of Appeals expressed the opinion that they were parties to the appeal from the judgment' of March 3rd, 1943, the part period directors filed an application for rehearing in that court, claiming among other grounds, that the Appellate Court erred in finding that the part period directors were parties to this action in Common Pleas Court on March 3, 1943. In their application for rehearing these defendants also contended that plaintiff’s filing of the fourth amended petition against the full period directors, together with his written notice that he would not file an amended petition against the part period directors, had the effect of a voluntary dismissal of said part period directors from the case. The application of the part period directors for rehearing was denied on February 16, 1944, and the journal entry of the Court of Appeals recorded at that time, provided, in part:

“• * * and the judgment of said Court .of Common Pleas is reversed, because said court on March 3, 1943, erred in sustaining motions of defendants to strike the fourth amended petition from the files and in striking the fourth amended petition from the files and in dismissing said action and this cause is remanded to said Court of Common Pleas for further proceedings according to law.”

The following day, February 17, 1944, plaintiff without leave of court filed the Amendment to the Fourth Amended Petition, which is the subject of this motion. Subsequent pertinent events as related in plaintiff’s brief are, as follows:

[203]*203“Directly after the amendment to the 4th amended petition was filed on February 17, 1944, the part period directors filed in the Supreme Court (1) a petition in prohibition asking that the Court of Common Pleas be prohibited from proceeding against the part period directors and (2) a motion to certify the record of the Court of Appeals for review. The motion to certify was granted, and an appeal from the order of the Court of Appeals was thereafter heard by the Supreme Court.
“On December 20, 1944, the Supreme Court refused the writ of prohibition and also dismissed the appeal.”

In its opinion assigning reasons for dismissing the appeal the Supreme Court noted that certain asserted facts were not part of the record before it; that statements in the Court of Appeals opinion form no part of the. record; and declaring that a court of record speaks only through it journal, the Supreme Court speaking through Judge Zimmerman concluded its opinion as follows:

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Bluebook (online)
84 N.E.2d 86, 52 Ohio Law. Abs. 199, 1945 Ohio Misc. LEXIS 204, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hart-v-guardian-trust-co-ohctcomplcuyaho-1945.