Secrest v. Gibbs, Unpublished Decision (4-29-2005)

2005 Ohio 2074
CourtOhio Court of Appeals
DecidedApril 29, 2005
DocketNo. 2003-L-083.
StatusUnpublished
Cited by6 cases

This text of 2005 Ohio 2074 (Secrest v. Gibbs, Unpublished Decision (4-29-2005)) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law.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
Secrest v. Gibbs, Unpublished Decision (4-29-2005), 2005 Ohio 2074 (Ohio Ct. App. 2005).

Opinion

OPINION
{¶ 1} Appellants, Robert Gibbs, Hazelwood Builders, Inc., and R.E.G., Inc. appeal the jury verdict of the Lake County Court of Common Pleas awarding appellees, Dean and Diane Secrest, $235,000 in combined compensatory and punitive damages as well as reasonable attorneys fees. The facts relevant to the current appeal are as follows:

{¶ 2} In the 1980s, Hazelwood Builders, Inc., purchased land in Concord Township, Lake County, Ohio on which an existing home and barn were located. Hazelwood renovated and sold the home. The remainder of the property was subdivided into four distinct parcels (Parcels 1, 3, 4, and 5). Hazelwood constructed three Cape Cod-style homes on three of the newly divided parcels (Parcels 1, 3, and 4). Hazelwood kept the barn property, Parcel 5, titled in its name.

{¶ 3} As they were not built on an existing highway, the newly subdivided properties had no individual means of ingress or egress. Accordingly, Hazelwood created a driveway easement accessing Johnnycake Ridge Road/Route 84. The easement partially intersected land located on Parcels 3 and 4; this affected property not only included portions of the driveway on Parcels 3 and 4, but also portions of their front yard. Upon purchase of the respective property, owners of Parcels 1, 3, and 4 were required to sign a Declaration of Easement which gave all parties, including Hazelwood, the right to use the driveway easement as a means of ingress and egress. The Declaration required the owners of Parcels 1, 3, and 4 to "perform all maintenance, repair, replacement and or [sic] other curative action required, to include snow removal, all cost and expenses incurred for said maintenance and repair * * *."

{¶ 4} In May of 1991, appellees negotiated the purchase of the home on Parcel 4. Parcel 4 was contiguous to Parcel 5, the property owned by Hazelwood. In order to comply with the planned development of Parcel 5, Hazelwood reserved, for its exclusive use, a certain portion of the property on Parcel 4. An instrument was prepared reflecting this reservation containing language making the property expressly subject to both Hazelwood's exclusive right to use of this property as well as the easement referred to above.

{¶ 5} Appellees testified their initial purchase agreement did not refer to the driveway easement and exclusive use right. When Diane Taylor, Hazelwood's real estate agent ultimately apprized them of the easement, appellees purportedly sought a modification of the easement's terms: appellees wanted Hazelwood to share in the maintenance expenses and desired express assurances that the property in their front yard would remain unaffected by the easement. Appellees alleged they signed an instrument reflecting their desires and were assured by Taylor it would be signed by agents of Hazelwood and properly filed. At trial, Taylor denied discussing this matter with appellees and indicated she never made any assurances regarding the modification of the easement. A modified easement was never filed and the sale proceeded without incident. In 1992, appellees received the deed to the property and did not object to its contents.1

{¶ 6} At trial, appellees submitted numerous photographic exhibits showing how, as early as July of 1992, Hazelwood had left equipment and other building materials on the easement property. The photographic exhibits catalogued a continuing pattern of what appellees believed was an abuse of the driveway easement by Hazelwood and its agents. The great majority of the alleged abuse occurred between 1995-1999: Appellees submitted multiple photographic and videotape exhibits demonstrating how Hazelwood parked construction equipment, inter alia, on the easement property occasionally blocked appellee's means of ingress and egress to and from their home.

{¶ 7} While the equipment would come and go, appellees presented evidence of how the property was physically damaged by the equipment. The evidence also demonstrated the various inconveniences the parked equipment presented by virtue of its positioning. The majority of the interference occurred on the driveway easement property; however, appellees also presented evidence of how, on one occasion, Mr. Gibbs placed and large concrete planters on a portion of appellees front lawn (not part of the driveway easement) and failed to remove them for nearly a month despite appellees' entreaties. The planters remained on wooden skids throughout this time thus reflecting appellants' desire to merely "store" or "warehouse" the objects for future use. Further, appellees alleged from 1995-1999, large construction equipment (viz. a backhoe, a "frontloader" attachment, a large air compressor, and a flatbed truck) were parked on the driveway easement property for some 304 non-consecutive days. The equipment was finally removed in 1999 after appellees filed the instant suit.

{¶ 8} In addition to the foregoing problems, on May 31, 1997, appellees received an invoice from R.E.G. Consulting, a division of appellant R.E.G., Inc., for professional services rendered. The invoice indicated appellees owed R.E.G. Consulting $6,000 for consultation regarding the "Secrest/Hazelwood Animal Husbandry Barn Project." Appellees testified they had neither sought nor received the services described in the invoice. However, appellants subsequently commenced construction of a large, 3,600 square foot structure located upon the strip of appellees' land subject to Hazelwood's exclusive use right. Hazelwood intended the building to be used as an "animal husbandry" building. Appellees were able to enjoin the construction of this building as a portion of the structure encroached upon the frontage requirements set forth in the Concord Township Zoning Regulations. As of trial, the building had not been completed and remains in the same condition as when construction began in 1998.

{¶ 9} Next, on June 5, 1998, appellants, through Robert Gibbs, filed a mechanics' lien in the amount of $50,000 on the portion of appellees' property subject to appellants exclusive right to use. At the time the lien was filed, Hazelwood, Inc., had filed for bankruptcy. As Hazelwood could not pay for the labor and materials furnished to commence the building of the animal husbandry structure, appellee R.E.G., Inc., sought payment from the landowners, appellees. Appellant Gibbs failed to give appellees any notice of the lien. Although the lien was filed against the property subject to the exclusive use right, Gibbs testified he was aware the lien could affect appellees' entire property. When appellees tried to refinance their mortgage in 1999, they were denied as a result of the lien. The instant suit followed.

{¶ 10} Appellees originally filed suit in 1997 for damages and injunctive relief, see Case No. 97 CV 002293. However, appellees dismissed the case due to alleged inabilities to perfect service on one or more of the defendants. The case was re-filed in November of 1999. After a four day jury trial, the trial court ruled that the mechanics' lien filed by appellant R.E.G., inc. was invalid; the court instructed the jury on claims for trespass, fraudulent filing of a mechanics' lien, and piercing the corporate veil. A unanimous jury returned a verdict in appellees' favor on all claims; the verdict acted to disregard the corporate forms of Hazelwood Builders, Inc. and R.E.G., Inc. thereby holding appellant Robert Gibbs personally liable for all the claims.

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Bluebook (online)
2005 Ohio 2074, Counsel Stack Legal Research, https://law.counselstack.com/opinion/secrest-v-gibbs-unpublished-decision-4-29-2005-ohioctapp-2005.