Miller v. Lindsay-Green, Inc., Unpublished Decision (12-1-2005)

2005 Ohio 6366
CourtOhio Court of Appeals
DecidedDecember 1, 2005
DocketNo. 04AP-848.
StatusUnpublished
Cited by50 cases

This text of 2005 Ohio 6366 (Miller v. Lindsay-Green, Inc., Unpublished Decision (12-1-2005)) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law.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
Miller v. Lindsay-Green, Inc., Unpublished Decision (12-1-2005), 2005 Ohio 6366 (Ohio Ct. App. 2005).

Opinion

OPINION
{¶ 1} Defendant-appellant, Lindsay-Green, Inc., appeals from a judgment of the Franklin County Court of Common Pleas that overruled its motion for judgment notwithstanding the verdict, new trial, and remittitur; granted judgment in favor of plaintiff-appellee, Ronald A. Miller; and awarded Miller $1,100,000 in damages, in addition to pre- and post-judgment interest. For the following reasons, we affirm in part, reverse in part, and remand.

{¶ 2} In the autumn of 2000, H. Bert Lindsay sought to hire a new general manager for Honda East, the Columbus Honda dealership Lindsay-Green owned. Lindsay held 50 percent of Lindsay-Green's stock and operated Honda East. For over 19 years, Denny Steele had acted as the general manager of Honda East, but in 1998, Steele's health began deteriorating and his job performance waned. Honda East's profits declined along with the state of Steele's health. Seeing the profitability of his dealership in jeopardy, Lindsay approached the American Honda Motor Company ("American Honda") assistant regional sales manager for Honda East's region and asked if he knew of any highly-qualified individuals who would be interested in the Honda East general manager position. The assistant regional sales manager recommended Miller.

{¶ 3} In early October 2000, Lindsay first called Miller seeking to convince him to become the general manager of Honda East. At the time of this telephone call, Miller had worked as the general manager of Rick Case Honda, located in Akron, for over six years and had won the prestigious President's Award from American Honda for the previous four years. Although flattered by Lindsay's interest, Miller did not want to move to Columbus and told Lindsay so. Miller explained to Lindsay that he was a native of northeastern Ohio, he was building a house in the area, and he had a daughter in high school.

{¶ 4} Undeterred, Lindsay called Miller again days later and convinced him to visit Honda East. After numerous telephone calls and two visits to Columbus, Miller telephoned Lindsay and told him that he was seriously considering Lindsay's job offer, but that his compensation package would have to be substantial to convince him and his family to leave Akron. Miller later testified at trial that it was during this telephone call that Lindsay first offered to employ Miller for ten years. Lindsay told Miller that he would expect Miller to spend the first year revitalizing Honda East, and the next four managing both Honda East and Lindsay Acura, another dealership Lindsay owned. Also, during the first five years, Lindsay wanted Miller to train his two sons to manage the two dealerships. Miller would then spend the last five years of his employment overseeing and mentoring Lindsay's sons as they managed the dealerships.

{¶ 5} In the course of this telephone call, Miller and Lindsay also discussed the broad outlines of a pay plan for Miller. Lindsay directed Miller to draft a pay plan proposal based upon his pay plan at Rick Case Honda. Miller's first draft pay plan, entitled "Terms of Acceptance," included a monthly base salary and a monthly and yearly bonus, along with other benefits. Miller and Lindsay started negotiations based upon this first draft and eventually settled on the following terms:

Pay:

Monthly Salary $5,000, Annual review.

Monthly Bonus (Total gross profit, less, total expenses, plus, fixed expenses, plus F I commission, miscellaneous × 10%. From Dealership monthly operating statement.

6 Month guarantee $12,000 per month.

Year-end bonus of year end Net bottom-line profits (December statement, before owner draws after normal adjustments, Used Car write down, Parts inventory adjustments, Bad dept check write-off. From Dealership monthly operating statement.

Year end bonus percentage schedule: Year end after 1 year = 10% 2 Years and all proceeding years =5%.

Additionally, Lindsay agreed to give Miller "[a]ny supplier factory contests trips earned," although Lindsay retained the right of "first choice" on any trips. Lindsay also agreed that Honda East would pay for Miller's moving expenses and the temporary storage of Miller's furniture.

{¶ 6} After Lindsay signed the "Terms of Acceptance" agreement, Miller resigned his employment with Rick Case Honda. Barry Freeder, the president and chief financial officer of the Rick Case organization of dealerships, contacted Miller and asked why he was leaving. Miller explained that he was excited by the opportunity to manage a larger dealership in a metro market. Freeder replied that if Miller wanted to work in a metro market, Rick Case would place him in any of its larger dealerships. Miller declined this offer, telling Freeder he had already accepted the position with Honda East and was anticipating the challenge of turning the dealership around.

{¶ 7} Miller officially began his employment with Honda East in early November 2000. On or about November 1, 2000, Miller signed a document entitled, "Acknowledgment of Receipt of Employee Handbook" ("Acknowledgment"). This acknowledgment read:

This will acknowledge your receipt and understanding of the provisions contained in our Employee Handbook. The information contained in the Employee Handbook has been prepared to give you a better understanding of your job at Honda East and to give you a summary of the wages, benefits and personnel policies and programs of the Dealership. * * *

[T]he policies and statements contained in this Employee Handbook (and any future changes) are not considered as an employment contract. Instead, the Handbook serves the purpose of a guideline to help improve our mutual communications. Also, it should be noted that your employment is considered an "at will" arrangement, meaning that you may terminate your employment at any time and the Dealership has this same right. If you have any questions about any of the policies contained in the Handbook, please contact your supervisor or the Human Resources Director.

I acknowledge that I have received a copy of the Honda East Employee Handbook. I understand that it is my obligation to read and comply with the policies and provisions contained within the handbook. I further understand that if I have any questions about any policies or provisions, it is my responsibility to contact my supervisor or Human Resources Director.

{¶ 8} Like the Acknowledgment, the handbook warned Honda East employees that it "is not a contract of employment and none of the provisions are to be construed as a contract or guarantee concerning terms and conditions of employment." Further, the handbook stated that:

Employment with Honda East is not offered, contracted or promised for any specific length of time. Each employee is free to resign at will, at any time and for any reason. Similarly, the Dealership may terminate the employment relationship at will, at any time and for any reason.

{¶ 9} Once Miller began delving into the operations and processes of Honda East, he discovered the dealership had more problems than he originally foresaw. However, he worked diligently to improve each department within the dealership. Over time, Miller's hard work paid off. Honda East's 2001 year-end net profits reached approximately $1.2 million. Further, the financial and insurance commissions ("F and I commissions") earned in 2001 amounted to approximately $400,000. With the F and I commissions, the 2001 year-end net profits increased 800 percent over the 2000 year-end net profits.

{¶ 10}

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Cite This Page — Counsel Stack

Bluebook (online)
2005 Ohio 6366, Counsel Stack Legal Research, https://law.counselstack.com/opinion/miller-v-lindsay-green-inc-unpublished-decision-12-1-2005-ohioctapp-2005.