Nationstar Mtge., L.L.C. v. Croom

2025 Ohio 2145
CourtOhio Court of Appeals
DecidedJune 18, 2025
Docket114222
StatusPublished
Cited by1 cases

This text of 2025 Ohio 2145 (Nationstar Mtge., L.L.C. v. Croom) 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
Nationstar Mtge., L.L.C. v. Croom, 2025 Ohio 2145 (Ohio Ct. App. 2025).

Opinion

[Cite as Nationstar Mtge., L.L.C. v. Croom, 2025-Ohio-2145.]

COURT OF APPEALS OF OHIO

EIGHTH APPELLATE DISTRICT COUNTY OF CUYAHOGA

NATIONSTAR MORTGAGE LLC, D.B.A. MR. COOPER, :

Plaintiff-Appellee, : No. 114222 v. :

JIMMY L. CROOM, ET AL., :

Defendants-Appellants. :

JOURNAL ENTRY AND OPINION

JUDGMENT: DISMISSED RELEASED AND JOURNALIZED: June 18, 2025

Civil Appeal from the Cuyahoga County Court of Common Pleas Case No. CV-22-966742

Appearances:

Albertelli Law Partners Ohio, LLC, Antonio J. Scarlato, F. Peter Costello, and Mark R. Lembright; Troutman Pepper Locke and Dennis Kyle Deak, pro hac vice, for appellee.

DannLaw, Marc E. Dann, Whitney Kaster, and Andrew M. Engal, for appellants.

EILEEN T. GALLAGHER, P.J.:

Defendants-appellants, Jimmy L. Croom (“Croom”) and Judith Croom

(collectively “appellants”) appeal the dismissal of their class-action counterclaims.

They claim the following error: The trial court erred in granting appellee’s motion to dismiss.

Because appellants did not file their notice of appeal within the time

limit prescribed by App.R. 4(A), we dismiss the appeal.

I. Facts and Procedural History

In December 2019, Croom executed a mortgage note secured by a

mortgage on his home. He subsequently defaulted on the note, and plaintiff-

appellee, Nationstar Mortgage L.L.C. (“Nationstar”), filed a foreclosure action

against appellants. While the foreclosure action was pending, Croom, through

counsel, contacted Nationstar and requested a loan modification pursuant to

COVID-19 Recovery Options provided by the Federal Housing Administration.

Nationstar denied the loan modification. As a result, Croom filed a counterclaim

against Nationstar, seeking a declaratory judgment declaring that Nationstar was

obligated to offer a recovery modification. The counterclaim also sought money

damages (1) under Ohio’s Residential Mortgage Loan Act as a result of Nationstar’s

alleged misrepresentation of the eligibility requirements for a recovery modification,

and (2) under Regulation X of the federal Real Estate Settlement Procedures Act as

a result of Nationstar’s alleged failure to properly evaluate the modification.

Nationstar filed a motion to dismiss the counterclaims, arguing that

appellants’ claims were based on certain regulations and guidelines issued set forth

in the Housing and Urban Development (“HUD”) handbook that were not binding

on Nationstar and do not create a private cause of action. The trial court agreed and

dismissed the counterclaim in its entirety on April 16, 2024. On June 26, 2024, Nationstar filed a notice of voluntary dismissal of its

complaint against appellants pursuant to Civ.R. 41(A), leaving no claims pending.

On July 8, 2024, the trial court journalized an entry stating, in relevant part:

“Pursuant to Plaintiff’s notice of dismissal filed herein, the cause is dismissed

without prejudice at plaintiff’s costs. Final.” This appeal followed.

II. Law and Analysis

Before addressing the merits of appellants’ assigned error, we must first

determine whether appellants filed a timely notice of appeal because the timely filing

of a notice of appeal is a jurisdictional requirement, and a party’s failure to file a

timely notice of appeal precludes an appellate court from reviewing the appeal.1

Moldovan v. Cuyahoga Cty. Welfare Dept., 25 Ohio St.3d 293, 294-295 (1986);

Wells Fargo Bank, N.A. v. Fields, 2015-Ohio-4580, ¶ 20 (8th Dist.), citing Brown v.

Solon Pointe at Emerald Ridge, 2013-Ohio-4903, ¶ 8 (8th Dist.) (failure to file a

timely notice of appeal forestalls appellate court jurisdiction).

Appellants filed a notice of appeal on August 5, 2024, challenging the

trial court’s dismissal of their counterclaim. “Jurisdiction in the court of appeals is

based upon a timely filing of a notice of appeal.” Clermont Cty. Transp.

Improvement Dist. v. Gator Milford, L.L.C., 2015-Ohio-241, ¶ 7. To be timely under

1Appellants filed their notice of appeal more than 30 days after Nationstar voluntarily dismissed the complaint. We, therefore, asked the parties to brief the issue of whether appellants’ notice of appeal was timely filed. Both parties submitted supplemental briefs addressing this issue. App.R. 4(A), a notice of appeal must be filed “within 30 days of a final order.” Id. at

¶ 6.

Civ.R. 41(A)(1)(a) provides that “a plaintiff, without order of court, may

dismiss all claims asserted by that plaintiff against a defendant by . . . filing a notice

of dismissal at any time before the commencement of trial unless a counterclaim

which cannot remain pending for independent adjudication by the court has been

served by that defendant. . . .” Nationstar filed the notice of voluntary dismissal

before trial pursuant to Civ.R. 41(A)(1)(a). And, as previously stated, the trial court

had previously dismissed the counterclaim. Therefore, the remainder of the action

was dismissed when Nationstar filed the notice of voluntary dismissal on June 26,

2024.

“This court has consistently held that a plaintiff’s notice of voluntary

dismissal made pursuant to Civ.R. 41(A) (1) is self-executing.” James v. Allstate Ins.

Co., 2000 Ohio App. LEXIS 1065 *3 (8th Dist. Mar. 16, 2000), citing Howard v.

Fiyalko, 1998 Ohio App. LEXIS 5056 (Oct. 29, 1998); Rinicella v. Rubino, 1998 Ohio

App. LEXIS 3475 (July 30, 1998); In re J.H., 2024-Ohio-5489, ¶ 5 (8th Dist.).

Appellants concede that Nationstar’s notice of voluntary dismissal

was self-executing and that the dismissal became a final, appealable order when it

was filed on June 26, 2024. (Appellants supplemental brief p. 2-3.) They

nevertheless argue that the 30-day period provided in App.R. 4 for filing the notice

of appeal did not begin until the court entered the journal entry acknowledging the

dismissal on July 8, 2024. They cite App.R. 4(A)(3) in support of their argument. App.R. 4(A)(3) states that “[i]n a civil case, if the clerk has not

completed service of notice of the judgment within the three-day period prescribed

in Civ.R. 58(B), the 30-day periods referenced in App.R. 4(A)(1) and 4(A)(2) begin

to run on the date when the clerk actually completes service.” Appellants argue that

“[a]lthough Nationstar’s Notice of Dismissal was self-executing as to the

termination of its claims, it did not act to provide Mr. Croom notice that the Order

Dismissing class Action Counterclaims was a final appealable order.” (Emphasis

sic) (Appellants supplemental brief p. 3.) However, the plain language of

App.R. 4(A)(3) pertains to judgments rendered by the court. It does not address

voluntary dismissals under Civ.R. 41(A)(1).

“[T]he Ohio Supreme Court has stated that ‘“[t]he plain import of

Civ.R. 41(A)(1) is that once a plaintiff voluntarily dismisses all claims against a

defendant, the court is divested of jurisdiction over those claims.”’” In re J.H., 20-

24-Ohio-5489, at ¶ 5, quoting State ex rel. Engelhart v. Russo, 2012-Ohio-47, ¶ 16,

quoting State ex rel. Fifth Third Mtge. Co. v. Russo, 2011-Ohio-3177, ¶ 17. And,

because a voluntary dismissal does not require any court action, “a voluntary

dismissal is effective on the date of filing, not upon the date the trial court journalizes

an entry acknowledging it.” Allstate Ins. Co., 2000 Ohio App. LEXIS 1065, at *4,

citing Payton v. Rehberg, 119 Ohio App.3d 183 (8th Dist. 1997); Andrews v.

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2025 Ohio 2145, Counsel Stack Legal Research, https://law.counselstack.com/opinion/nationstar-mtge-llc-v-croom-ohioctapp-2025.