JPMorgan Chase Bank, N.A. v. Asbury

2018 Ohio 1652
CourtOhio Court of Appeals
DecidedApril 27, 2018
DocketH-16-030, H-16-033
StatusPublished

This text of 2018 Ohio 1652 (JPMorgan Chase Bank, N.A. v. Asbury) 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
JPMorgan Chase Bank, N.A. v. Asbury, 2018 Ohio 1652 (Ohio Ct. App. 2018).

Opinion

[Cite as JPMorgan Chase Bank, N.A. v. Asbury, 2018-Ohio-1652.]

IN THE COURT OF APPEALS OF OHIO SIXTH APPELLATE DISTRICT HURON COUNTY

JPMorgan Chase Bank, NA Court of Appeals Nos. H-16-030 H-16-033 Appellee Trial Court No. CVE 20130332 v.

Daniel Asbury, et al.

Appellees DECISION AND JUDGMENT [Marilyn S. Wilson—Appellant] Decided: April 27, 2018

*****

Cynthia A. Lammert, George S. Coakley and Richard T. Lobas, for appellees.

Reese M. Wineman, for appellant.

PIETRYKOWSKI, J.

{¶ 1} This is a consolidated appeal from the judgments of the Huron County Court

of Common Pleas, granting a directed verdict in favor of appellees, Patrick Spettel and

Coffman Group, Inc., dba RE/MAX Quality Realty, on appellant’s, Marilyn Wilson, claims for civil conspiracy and violations of the Ohio Corrupt Practices Act and the

federal RICO Act, and denying appellant’s motion for a new trial. For the reasons that

follow, we affirm.

I. Facts and Procedural Background

{¶ 2} Procedurally, this case began as a residential foreclosure action initiated by

JPMorgan Chase Bank, N.A. against Daniel and Michelle Asbury, the owners of the

property located at 2701 State Route 598, New Haven, Ohio. Appellant was also named

as a defendant in the original complaint based upon a potential interest she had in the

property via a land installment contract executed between herself and Daniel Asbury.

{¶ 3} Appellant answered and filed a cross-claim against Daniel Asbury, joining

as additional defendants to the cross-claim: HCMS Home Loans (“HCMS”), Huron

County Title Agency, LLC, and appellees. The first count of the cross-claim alleged that

Asbury, HCMS Home Loans, Huron County Title Agency, LLC, and appellees engaged

in a pattern of corrupt activity in violation of R.C. 2923.32 and 18 U.S.C. 1961 et seq.,

and the second count alleged that those same defendants engaged in a civil conspiracy.

The gravamen of the claims was that the defendants acted in concert to deprive appellant

of her equity in the real property.

{¶ 4} Appellant’s cross-claims and the foreclosure action were bifurcated, with the

former proceeding to a jury trial over the course of six days beginning on June 7, 2016.

At the trial, the following facts were adduced.

2. {¶ 5} Appellant originally owned the home at 2701 State Route 598. In 2003,

Countrywide Home Loans (“Countrywide”) foreclosed on the property, and was awarded

the deed in a sheriff’s sale. In the spring of 2004, Spettel, acting as the real estate agent

for Countrywide, visited the home to determine its occupancy status for the purpose of

reselling the property. Appellant, not wanting to leave her home, spoke with Spettel

about purchasing the home from Countrywide. Appellant indicated that she was about to

receive $110,000 from the sale of some other property that she could use towards the

purchase. Spettel, then acting as a disclosed dual agent, assisted appellant by drafting an

offer to purchase the home from Countrywide. The May 21, 2004 offer included a

purchase price of $155,900, with a down payment of $110,000, and was contingent upon

appellant obtaining financing for the remaining $45,900. As part of the offer, appellant

gave Spettel a check for $1,000 as an earnest money deposit. Countrywide rejected the

offer.

{¶ 6} Appellant then contacted her attorney from the foreclosure action, Tom

Stoll, who recommended that she contact Dan Asbury at HCMS. HCMS was a mortgage

origination company, and Asbury was a mortgage broker. It was disputed at trial whether

Asbury owned an interest in HCMS. When appellant arrived at HCMS, she spoke with

Mike Finegan, who attempted to get her qualified for a loan. Appellant met with Finegan

several times, but he was unable to secure financing for her. Finegan then referred

appellant to Asbury. Appellant explained her situation to Asbury, and he offered to help

3. her by purchasing the home himself, and then selling it to her on a land installment

contract.

{¶ 7} On June 2, 2004, appellant and Asbury then met with Spettel, who, again as

a disclosed dual agent, drafted a purchase agreement in which appellant offered to buy

the home from Asbury for $155,900, with a $1,000 earnest money deposit, $109,000

being placed in escrow at the closing, and the remaining balance to be financed by

Asbury in the form of a land installment contract at 8.5 percent interest with a 30-year

amortization. The monthly payment was stated to be $352 plus escrow for taxes and

insurance, with a balloon payment within 24 months of filing of the land contract.

Included in the terms of the purchase agreement were standard terms regarding title and

conveyance:

12. Title. An Owner’s Fee Policy of Title Insurance in the amount

of the purchase price shall be provided to the Purchaser showing good and

marketable title in fee simple, free and clear of all liens and encumbrances

except those specifically set forth in this agreement. * * * If a defect in the

title appears, Seller shall have thirty (30) days after notice to remove such

defect. If the defect can not be remedied, then, at the option of the

Purchaser, all funds and documents shall be returned to the parties

depositing them and this agreement shall be null and void.

13. Conveyance. Seller shall deliver to Purchaser a general

warranty deed with appropriate release of dower (or fiduciary deed, if

4. applicable), conveying a good and marketable title in the Property to the

Purchaser free and clear of all liens and encumbrances whatsoever * * *.

Further, it was handwritten by Spettel into the agreement that “Acceptance of this offer is

contingent upon Dan and Michele Asbury being able to purchase this home from

Countrywide and obtaining a clear deed.”

{¶ 8} Thereafter, Asbury, with Spettel again acting as a disclosed dual agent,

offered to buy the home from Countrywide for $147,000, which Countrywide accepted

on June 10, 2004. To pay for the home, Asbury obtained financing through HCMS for

$102,900. Regarding the financing, Spettel testified that he believed he forwarded a loan

pre-approval letter from Asbury to Countrywide. That loan was ultimately approved and

underwritten by Flagstar Bank.

{¶ 9} On June 12, 2004, appellant deposited a check for $110,000 with the Huron

County Title Agency, LLC, who was acting as the escrow closing agent for purposes of

this transaction. Asbury had an ownership interest in the Huron County Title Agency,

LLC.

{¶ 10} On June 14, 2004, Dan and Michele Asbury accepted appellant’s June 2,

2004 offer to purchase the home.1 The terms of the purchase agreement were then sent to

appellant’s attorney, who drafted the land installment contract. The land installment

contract provided for financing of $49,600 at 8.5 percent interest. It stated that the

1 The June 2, 2004 purchase agreement was signed by Dan and Michele on June 14, 2004, however the boxes for “Accepts,” “Rejects,” or “Counter Offer” were not checked.

5. monthly payment on the principal and interest would be $548.62 beginning on July 1,

2004, with the remaining balance due on or before July 1, 2010. Further, the land

installment contract provided that appellant agreed to pay the taxes and insurance “over

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2018 Ohio 1652, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jpmorgan-chase-bank-na-v-asbury-ohioctapp-2018.