Northwest Ohio Properties, Ltd. v. Lucas Cty.

2018 Ohio 4239
Ohio Court of Appeals·Decided October 19, 2018·No. L-17-1190·Published·Cited by 5 cases

Opinion

IN THE COURT OF APPEALS OF OHIO SIXTH APPELLATE DISTRICT

LUCAS COUNTY

Northwest Ohio Properties, Ltd. Court of Appeals No. L-17-1190 Appellant/Cross-Appellee Trial Court No. CI0201602638 v. County of Lucas, et al. DECISION AND JUDGMENT Appellees/Cross-Appellant Decided: October 19, 2018

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Marvin A. Robon and Zachary J. Murry, for appellant/cross-appellee.

Julia R. Bates, Lucas County Prosecuting Attorney, John A. Borell and Kevin A. Pituch, Assistant Prosecuting Attorneys, for appellees Lucas County.

John J. McHugh, III, for appellee/cross-appellant Gulfstream Development, Ltd.

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SINGER, J.

{¶ 1} Appellant, Northwest Ohio Properties, Ltd., and intervening defendant/cross-appellant Gulfstream Development, Ltd. (“Gulfstream”), appeal the

June 26, 2017 judgment of the Lucas County Court of Common Pleas. For the following reasons, we affirm the trial court’s judgment.

{¶ 2} Appellant sets forth two assignments of error:

1. The Trial Court committed reversible error by entering summary judgment in favor of the Defendant-Appellee Lucas County and Intervening Defendant/Cross-Appellant Gulfstream Development, Ltd.

2. The Trial Court committed reversible error by denying Plaintiff’s Cross-Motion for Partial Summary Judgment when the undisputed material facts of the case established that Plaintiff was entitled to summary judgment on its ejectment claim and where Plaintiff’s ejectment claim is not subject to Ohio’s political subdivision tort immunity statutory scheme.

Gulfstream sets forth two cross-assignments of error:

1. The trial court erred prejudicially in granting the Civ.R. 15(B)

pretrial motion to amend the pleadings to conform to the evidence without affording the intervening defendant any opportunity to oppose the motion.

2. The trial court erred prejudicially in determining that the intervening defendant was responsible for the payment of any and all tap fees to be prospectively charged by Lucas County to plaintiff for its connection to the sanitary sewer line.

Facts

{¶ 3} Appellant owns over 60 acres of land at the corner of Crissey Road and Central Avenue in Lucas County, Ohio. Near appellant’s land, Watermark Properties, Ltd. V (“Watermark”), owned property which was being developed into Waterside Sylvania, a residential subdivision (“the subdivision”). Ankney Enterprises, Inc. (“AE”) acted as the manager of Watermark, and Duane Ankney was the managing member of AE.

{¶ 4} Watermark’s property did not have access to sanitary sewer service, so sewer lines needed to be constructed. It was proposed that one of these sewer lines, a force main, would be installed underground on ten feet of appellant’s property. To that end, on September 1, 2006, Marvin Robon, managing member of appellant, sent a letter to “Duane Ankney, of Watermark,” which provided in pertinent part:

My understanding is that we can tap the force main, so I have asked Colin Gil to install two (2) reducers which we will pay for * * *.

My understanding is a construction easement is needed to install the line, so we agree to give you permission and Colin Gil permission to go on the property for such installation provided there is no charge to us for tapping into the force main.

Please sign a copy of this letter and return it to me.

{¶ 5} On the bottom of the letter, under the heading, “Acceptance and Agreement,” it is stated:

“Duane Ankney on behalf of the entity that will own the force main hereby agrees and consents to the foregoing agreement.” Ankney signed the letter on September 11, 2006.

{¶ 6} Colin Gil, president of Snowden Construction Company, Inc., contracted with Ankney to install the force main across appellant’s property. Construction of the sewer project commenced, with oversight by the office of the Lucas County Sanitary Engineer (“Engineer”), and a sewer system including the force main was installed connecting the subdivision to a newly constructed pumping station.

{¶ 7} Robon, in an October 5, 2007 letter, advised the Engineer of appellant’s agreement with Ankney. Robon also informed the Engineer that “[m]y understanding is that this force main and pumping station are going to be dedicated to the county and we want you to be aware that we expect a free tap in the future.”

{¶ 8} The Engineer, in his October 10, 2007 letter in response to Robon, initially denied Robon’s demand of “free taps,” as no connections directly to the force main had been approved by the Engineer’s office. Later, however, the Engineer agreed to allow two taps into the force main, in accordance with the September 2006 agreement, once appellant determined how its property would be developed.

{¶ 9} In 2009, Huntington National Bank (“HBN”) took a cognovit judgment against Watermark, and sought to foreclose on a mortgage granted to Watermark. Watermark was placed into receivership.

{¶ 10} In 2012, HBN sold and assigned its judgment against Watermark to Waterside Sylvania, LLC (“WSLLC”). WSLLC then sought to foreclose on Watermark’s mortgage. In April 2013, all matters affecting title to the Watermark property were settled. Thus, WSLLC became the new owner of the subdivision property, and Gulfstream became the new developer of the subdivision, with Ankney as the managing member of Gulfstream.

{¶ 11} Since the completion of the sewer project in 2007, the Lucas County defendants have operated and maintained the sewer system, but have not accepted ownership of it. Moreover, appellant has never tapped into the force main on its property. However, the subdivision utilizes the sanitary sewer and the Lucas County defendants collect sewage fees from residents of the subdivision.

Lawsuit

{¶ 12} On May 3, 2016, appellant filed its complaint against the County of the Lucas, Lucas County Board of County Commissioners, Lucas County Sanitary Engineer, Lucas County Engineer, Lucas County Plan Commission, Lucas County Recorder, The Hartford Financial Services Group, Inc., and Huntington Bancshares, Inc. Appellant set forth six claims in the complaint relating to the force main sewer line across its property: trespass; injunction; unjust enrichment/compensation; tortious interference with business relations; conspiracy; and declaratory judgment on bonds.

{¶ 13} On August 10, 2016, appellant voluntarily dismissed Huntington Bancshares, Inc. as a defendant.

{¶ 14} On August 12, 2016, appellant filed an amended complaint which incorporated all of the causes of action in its original complaint and added/substituted HBN as a defendant, and added three causes of action relating to the force main on its property: violation of constitutional rights; ejectment; and breach of contract.

{¶ 15} The Lucas County defendants filed a motion for judgment on the pleadings moving to dismiss all nine of the claims alleged against them.

{¶ 16} On November 3, 2016, Gulfstream filed a motion to intervene as a defendant; the motion was granted. On November 4, 2016, Gulfstream filed its answer to appellant’s amended complaint.

{¶ 17} On November 14, 2016, appellant voluntarily dismissed The Hartford Financial Services Group, Inc., and HBN as defendants, and dismissed the conspiracy and declaratory judgment on bonds claims.

{¶ 18} On March 17, 2017, appellant filed a motion for partial summary judgment on its ejectment claim.

{¶ 19} On March 24, 2017, the trial court issued a judgment granting, in part, the Lucas County defendants’ motion for judgment on the pleadings. The court found the Lucas County defendants were immune from suit with respect to the tortious interference with business relations claim, as well as any damage claim associated with the trespassing and ejectment claims. In addition, the court dismissed the claim for injunction, and dismissed all claims against the County of Lucas.

{¶ 20} On April 21, 2017, the Lucas County defendants filed a motion for summary judgment with respect to appellant’s remaining claims of trespass, unjust enrichment, violation of constitutional rights, ejectment and breach of contract.

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Northwest Ohio Properties, Ltd. v. Lucas Cty., 2018 Ohio 4239 (Ohio Ct. App. 2018).

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