Liz v. J.L. Sims Co., Unpublished Decision (6-27-2003)

CourtOhio Court of Appeals
DecidedJune 27, 2003
DocketAppeal No. C-020599, Trial No. A-0007974.
StatusUnpublished

This text of Liz v. J.L. Sims Co., Unpublished Decision (6-27-2003) (Liz v. J.L. Sims Co., Unpublished Decision (6-27-2003)) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law.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
Liz v. J.L. Sims Co., Unpublished Decision (6-27-2003), (Ohio Ct. App. 2003).

Opinion

[EDITOR'S NOTE: This case is unpublished as indicated by the issuing court.]1 Due to a settlement, an agreed entry of partial dismissal with prejudice was filed on December 18, 2002. According to the trial court's entry, the defendants that remain in the case are Re/Max Home-Mart, Barb Carney, Neal Rakstang, and Associates Home Equity Services, Inc.

DECISION.
{¶ 1} Plaintiff-appellants, Liz and Jamie Nunez and their minor child Jacob (collectively, "the Nunezes"), appeal the summary judgment granted by the Hamilton County Court of Common Pleas in favor of the defendants-appellees, Ford Consumer Finance Company, Inc., n.k.a. Associates Home Equity Services, Inc. ("Associates"), Re/Max Home-Mart ("Re/Max"), Barb Carney and Neal Rakstang. We affirm the judgment of the trial court.

{¶ 2} The controversy primarily concerns whether required federal lead-based-paint disclosures were made by the defendants-appellees ("the sellers") to the Nunezes before the Nunezes were bound by a contract to purchase a residence at 124 South Wayne Avenue ("the residence") and the consequences for the sellers from the alleged failure to meet the disclosure obligations. The federal regulatory violations claimed by the Nunezes were promulgated pursuant to a directive in Section 4852d, Title 42, U.S. Code, which codified Congressional enactment of the Residential Lead-Based Paint Hazard Reduction Act. On December 5, 1996, the Nunezes made an initial $75,000 offer to purchase the residence, and the sellers rejected it. Next, the sellers extended a $79,000 counteroffer to the Nunezes. The Nunezes accepted the counteroffer on December 6, 1996. It is axiomatic that the formation of a contract is dependent upon both an offer on the one side and an acceptance on the other2; thus, the contract date was December 6. According to the record, Re/Max and its agents, Carney and Rakstang, represented both the sellers and the Nunezes under a dual-agency agreement. The closing occurred on December 19, 1996, and the Nunezes moved into the residence the next month.

{¶ 3} After having lived in the residence for approximately six months, the parents sought medical testing to determine whether their children, including Jacob, had elevated levels of lead in their blood, which they did. The children underwent medical treatment to reduce the elevated levels of lead and to address the permanent harm that was characteristic of lead exposure. After the children's medical tests showed elevated levels of lead in their blood, a Cincinnati Health Department employee inspected and tested for lead hazards at both the newly purchased residence and the Nunezes' former residence on Anthony Wayne Avenue, which they still owned. The report, dated July 31, 1997, issued by the employee, a licensed lead-risk assessor, contained a finding that exterior and interior lead hazards were present at both residences and that the violations required abatement by state-licensed contractors, in accordance with state requirements.

{¶ 4} The trial court granted summary judgment against the Nunezes on their 28-count complaint, which alleged federal lead-based-paint-hazard regulatory violations, fraudulent and negligent misrepresentation, breaches of contract and fiduciary duty, and negligence and negligence per se. On appeal the Nunezes now raise two assignments of error: that the trial court erred by granting summary judgment (1) in favor of Associates and Re/Max, and (2) in favor of Carney, Rakstang, and Re/Max. Because the arguments advanced by the Nunezes in support of the assignments of error are so interrelated, we address them as they implicate the various counts in the complaint. Claims asserted in counts numbered 1, 2, 3, and 26 of the complaint are not discussed because of the partial settlement.

{¶ 5} Summary judgment is proper, given adequate time for discovery and upon motion, against a party who fails to establish the existence of an element essential to that party's case, on which the party will bear the burden of proof at trial.3 Pursuant to Civ.R.56(C), a motion for summary judgment is to be granted only when no genuine issue of material fact remains to be litigated, the moving party is entitled to judgment as a matter of law, and it appears from the evidence that reasonable minds can come to but one conclusion, and, with the evidence construed most strongly in favor of the nonmoving party, that conclusion is adverse to that party.4 The party moving for summary judgment bears the initial burden of demonstrating that no genuine issue of material fact exists, and once it has satisfied its burden, the nonmoving party has a reciprocal burden to set forth specific facts showing that there is a genuine issue for trial.5 An appellate court reviews a trial court's decision on a motion for summary judgment de novo.6

{¶ 6} In their complaint, the Nunezes alleged that the disclosures that were not made by the sellers pertaining to hazards posed by lead-based paint were required under Section 745.107, Title 40, C.F.R. The Nunezes also pointed out another failure on the part of the sellers under the same regulation: "If any of the disclosure activities identified in paragraph (a) of this section occurs after the purchaser or lessee has provided an offer to purchase or lease the housing, the seller or lessor shall complete the required disclosure activities prior to accepting the purchaser's or lessee's offer and allow the purchaser or lessee an opportunity to review the information and possibly amend the offer."7

{¶ 7} While it was not addressed by the Nunezes in their complaint, in reading this regulation, we note that it further provides, "Nothing in this section implies a positive obligation on the seller or lessor to conduct any evaluation or reduction activities," and that while it identifies a particular pamphlet approved by the Environmental Protection Agency ("EPA") to be furnished to a prospective buyer, the regulation permits the furnishing of "an equivalent pamphlet that has been approved for use in that State by EPA."8

{¶ 8} The Nunezes claimed damages in counts 4 through 11 of their complaint pursuant to Section 745.118(c), which provides, "Any person [who] knowingly violates the provisions of this subpart shall be jointly and severally liable to the purchaser or lessee in an amount equal to 3 times the amount of damages incurred by such individual."9

{¶ 9} In counts 4 through 9, the Nunezes alleged a failure on the part of all the sellers stemming from their knowing violation of the certification-and-acknowledgment disclosure requirements of Sections 745.113(a)(4) and (a)(2), Title 40, C.F.R.

{¶ 10} Section 745.113(a)(4) requires that the following be provided in connection with the sale of residential property: "(4) A statement by the purchaser affirming receipt of the information set out in paragraphs (a)(2) and (a)(3) of this section and the lead hazard information pamphlet required under 15 U.S.C. § 2696."

{¶ 11}

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Bluebook (online)
Liz v. J.L. Sims Co., Unpublished Decision (6-27-2003), Counsel Stack Legal Research, https://law.counselstack.com/opinion/liz-v-jl-sims-co-unpublished-decision-6-27-2003-ohioctapp-2003.