Mba Realty v. Little G, Inc.

688 N.E.2d 39, 116 Ohio App. 3d 334
CourtOhio Court of Appeals
DecidedDecember 16, 1996
DocketNo. 70545.
StatusPublished
Cited by18 cases

This text of 688 N.E.2d 39 (Mba Realty v. Little G, Inc.) 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
Mba Realty v. Little G, Inc., 688 N.E.2d 39, 116 Ohio App. 3d 334 (Ohio Ct. App. 1996).

Opinion

David T. Matia, Presiding Judge.

Little G, Inc., defendant-appellant, appeals the decision of the Cuyahoga County Court of Common Pleas confirming the arbitration award which found in favor of plaintiff-appellee, MBA Realty, for $12,502.76. Defendant-appellant raises two assignments of error. This court, finding no error, affirms the trial court’s decision.

I. STATEMENT OF FACTS

Little G, Inc., defendant-appellant, owned Gregorios Restaurant, located in North Royalton, Ohio. On or about June 7, 1994, defendant-appellant entered into an exclusive right-to-sell agreement with plaintiff-appellee, MBA Realty. Pursuant to the terms of the agreement, if plaintiff-appellee was successful in selling the property, it would be entitled to a commission of ten percent of the selling price.

*336 Plaintiff-appellee secured a prospective purchaser for the property. On October 15, 1994, the purchase agreement was entered into between the parties. However, defendant-appellant did not pay plaintiff-appellee the commission, which amounted to $11,100.

On November 18, 1994, plaintiff-appellee filed a complaint against defendant-appellant in the Cuyahoga County Court of Common Pleas. On January 13, 1995, defendant-appellant filed a motion to dismiss, arguing that plaintiff-appellee, MBA Realty, was not a trade name registered with the Secretary of State as set forth in R.C. 1329.01. Therefore, defendant-appellant argued that plaintiffappellee lacked standing to bring this cause of action under R.C. 1329.10(B).

On February 15, 1995, plaintiff-appellee responded to defendant-appellant’s motion to dismiss with an affidavit by counsel informing the court that on January 30, 1995, plaintiff-appellee complied with the mandates of R.C. Chapter 1329 and therefore had standing to maintain the action pursuant to R.C. 1329.10(B). On May 22, 1995, the trial court denied defendant-appellant’s motion to dismiss.

Defendant-appellant subsequently amended its answer to include a counterclaim against plaintiff-appellee, alleging professional misconduct. Defendant-appellant argued that plaintiff-appellee breached its fiduciary duty to act in its best interests when it persuaded a prospective buyer to purchase another restaurant. Defendant-appellant sought $25,000 in damages.

On November 3, 1995, the case was referred to arbitration pursuant to Loc.R. 29 of the Court of Common Pleas of Cuyahoga County, General Division. The arbitration hearing was held February 7, 1996. The arbitrator found in favor of plaintiff-appellee for $11,000, plus interest, for a total of $12,502.76. Defendant-appellant’s counterclaim was denied. On March 20, 1996, the trial court confirmed the award. Defendant-appellant timely files this appeal.

II. FIRST ASSIGNMENT OF ERROR

Little G, Inc., defendant-appellant, states as its first assignment of error:

“I. The trial court erred in failing to dismiss this matter because MBA Realty was not a registered fictitious name at the time the complaint was filed.”

A. ISSUE RAISED: WHETHER THE TRIAL COURT ABUSED ITS DISCRETION IN DENYING DEFENDANT-APPELLANT’S MOTION TO DISMISS.

Defendant-appellant argues that the trial court erred in denying its motion to dismiss. Specifically, defendant-appellant argues that plaintiff-appellee lacked *337 standing, as its fictitious name was not registered with the Secretary of State at the time the action was commenced as mandated by R.C. 1329.10(B).

Defendant-appellant’s first assignment of error is not well taken.

B. STANDARD OF REVIEW: MOTION TO DISMISS.

The trial court’s judgment denying defendant-appellant’s motion to dismiss will not be disturbed unless it is clear that the decision was an abuse of discretion. Blakemore v. Blakemore (1983), 5 Ohio St.3d 217, 5 OBR 481, 450 N.E.2d 1140; Broadview Hts. v. Figler (Mar. 17, 1994), Cuyahoga App. No. 65026, unreported, 1994 WL 86201. As stated by the Ohio Supreme Court in Blakemore:

“The term ‘abuse of discretion’ connotes more than an error of law or judgment; it implies that the court’s attitude is unreasonable, arbitrary or unconscionable.” Id. at 219, 5 OBR at 482, 450 N.E.2d at 1142, citing State v. Adams (1980), 62 Ohio St.2d 151, 157, 16 O.O.3d 169, 173, 404 N.E.2d 144, 149.

C. THE TRIAL COURT DID NOT ABUSE ITS DISCRETION IN DENYING DEFENDANT-APPELLANT’S MOTION TO DISMISS.

Defendant-appellant argues that plaintiff-appellee lacked standing to bring this action pursuant to R.C. 1329.10(B), which states:

“No person doing business under a trade name or fictitious name shall commence or maintain an action in the trade name or fictitious name in any court in this state or an account of any contracts made or transactions had in the trade name or fictitious name until it has first complied with section 1329.01 of the Revised Code and, if the person is a partnership, it has complied with section 1777.02 of the Revised Code, but upon compliance, such an action may be commenced or maintained on any contracts or transactions entered into prior to compliance.” (Emphasis added.)

From a clear reading of the statute, a person doing business under a fictitious trade/business name may maintain a cause of action in the trade/business name if he or she has registered the fictitious name in accordance with R.C. 1329.01 prior to the entry of final judgment. See Thomas v. Columbus (1987), 39 Ohio App.3d 53, 528 N.E.2d 1274; Cheliotis v. Gould (Dec. 20, 1995), Montgomery App. No. 15281, unreported, 1995 WL 765597.

In the case sub judice, it is undisputed that plaintiff-appellee had not registered the name of the business pursuant to R.C. 1329.01 prior to commencing the cause of action. However, it is equally undisputed that plaintiff-appellee registered the business name during the pendency of the case and before the trial court ruled upon defendant-appellant’s motion to dismiss.

*338 Accordingly, since plaintiff-appellee registered the business’s name with the Secretary of State pursuant to R.C. 1329.01 prior to the final judgment, it had standing to maintain the present cause of action. R.C. 1329.10(B). See, also, Ebner v. Caudill (1994), 93 Ohio App.3d 785, 639 N.E.2d 1231; GMS Mgmt. Co. v. Axe (1982), 5 Ohio Misc.2d 1, 5 OBR 53, 449 N.E.2d 43. The trial court did not abuse its discretion in denying defendant-appellant’s motion to dismiss.

Defendant-appellant’s first assignment of error is not well taken.

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Bluebook (online)
688 N.E.2d 39, 116 Ohio App. 3d 334, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mba-realty-v-little-g-inc-ohioctapp-1996.