Toledo v. Bernard Ross Family Ltd. Partnership

847 N.E.2d 466, 165 Ohio App. 3d 557, 2006 Ohio 117
CourtOhio Court of Appeals
DecidedJanuary 13, 2006
DocketNos. L-04-1334 and L-05-1032.
StatusPublished
Cited by5 cases

This text of 847 N.E.2d 466 (Toledo v. Bernard Ross Family Ltd. Partnership) 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
Toledo v. Bernard Ross Family Ltd. Partnership, 847 N.E.2d 466, 165 Ohio App. 3d 557, 2006 Ohio 117 (Ohio Ct. App. 2006).

Opinion

Handwork, Judge.

{¶ 1} This is an appeal from the judgment of the Lucas County Court of Common Pleas which, following a jury trial, held that appellant, Bernard Ross Family Limited Partnership, an Ohio limited partnership, was entitled to a total award of $138,000 in damages against the city of Toledo (“the city”), for the taking of appellant’s property by eminent domain. For the reasons that follow, we affirm the decision of the trial court.

{¶ 2} On appeal, appellant raises the following assignments of error:

{¶ 3} “1. The trial court erred as a matter of law and/or abused its discretion by denying appellant’s motion for the taxing of environmental and related costs to appellee, which appellant incurred in defending against a false environmental report.
{¶ 4} “2. The trial court erred as a matter of law and/or abused its discretion by allowing appellee to discuss and introduce evidence regarding settlement negotiations, including appellant’s specific offers of compromise.
*562 {¶ 5} “3. The trial court erred as a matter of law and/or abused its discretion by allowing appellee to discuss and introduce evidence regarding appellant being wealthy business owners who owned numerous Midas Muffler shops.
{¶ 6} “4. The trial court erred as a matter of law and/or abused its discretion in denying appellant’s right to a trial by jury on the issue of compensation within twenty (20) days of the filing of their answer to the appropriation complaint as required by statute.
{¶ 7} “5. The trial court erred as a matter of law and/or abused its discretion by allowing the jury to consider evidence of the post take use of the residue in their valuation of the residue of the real property.
{¶ 8} “6. The trial court erred as a matter of law and/or abused its discretion by allowing the jury to decide the law, when it instructed the jury as to the date of take, and directed the jury to decide which Toledo Municipal Parking Code to apply to the residue of the real property.”

{¶ 9} Appellant owns property at the southeast corner of Sylvania Avenue and Secor Road. During the pendency of this action, the premises were leased to Earl Brothers Enterprises Co., d.b.a. Earl Bros. Transmission & Auto Repair (“Earl Brothers”). On June 20, 2001, the city sent a letter to appellant regarding its intention to appropriate a strip of appellant’s property, approximately 1,009 square feet, along Sylvania Avenue, in order to widen the road. On July 30, 2001, the city filed a petition for appropriation in the trial court and placed $74,000 on deposit with the clerk of courts, which represented “the total appraised value of the interest in the Property right for which the City offers to confess judgment.”

{¶ 10} Appellant responded that the city did not have the authority to acquire the property and that due to a reduction in the parking spaces available on the property, the appropriation would render the property useless for any purpose. Because, according to appellant, the residue after the take would have no value, appellant counterclaimed for an award of damages totaling $650,000.

{¶ 11} The matter came for trial on August 30, 2004. The jury determined that the total value of the property prior to the take was $428,000, and $295,000 after the take, thereby entitling appellant to $133,000 in damages. Additionally, the jury’s interrogatories indicated that the verdict took into consideration the continued productive use and enjoyment of the property by Earl Brothers after the appropriation and roadway improvements. The jury also responded that it took into consideration whether there was sufficient customer parking after the take to permit the property to be productively used and found that there was sufficient parking. Nevertheless, the jury determined that the loss of customer parking affected the value of the property and, therefore, attributed $111,860 of the $133,000 award as compensation for the decreased value of the residue caused *563 by the loss in customer parking. In making its determination regarding whether there was sufficient parking remaining, the jury indicated that it found that the 1959 and 1986 versions of the city of Toledo Parking Code applied to the residue. It is from this judgment that appellant appeals.

{¶ 12} In its first assignment of error, appellant argues that the trial court erred as a matter of law and/or abused its discretion by denying appellant’s motion for the taxing of costs to the city. The city tested the property for environmental contaminates and concluded that the property was contaminated. In order to disprove this report, which appellant alleges was false, appellant incurred expert and attorney fees. Appellant argues that it was entitled to have these costs paid by the city pursuant to R.C. 163.62 because the city abandoned its environmental claim by not raising it at trial. Alternatively, appellant argues that it is entitled to the costs pursuant to R.C. 2323.51, because the city’s environmental claim was frivolous. We disagree.

{¶ 13} In 1995, during a sewer excavation, the city encountered “petroleum free product and soil contamination” on the outside of a sewer line in front of Earl Brothers. During a site examination at Earl Brothers, representatives from the Bureau of Underground Storage Tank Regulations (“BUSTR”) and the Ohio Environmental Protection Agency (“EPA”) determined that there was an underground tank on the property that needed to be removed or abandoned. As of May 9, 2002, no closure assessment report regarding the removal or abandonment of the underground storage tank had been filed with BUSTR.

{¶ 14} Although the city knew of the potential contamination of the property, it did not pursue environmental testing on the premises until February 2002. R.C. 163.03 allows an agency, upon appropriate notice, prior to or subsequent to the filing of a petition pursuant to R.C. 163.05, to enter upon any lands, waters, and premises for the purpose of making such surveys, soundings, drillings, appraisals, and examinations as are necessary or proper for the purpose of the agency under sections 163.01 to 163.22, inclusive. Appellant, however, contested the city’s ability to enter the premises to conduct environmental testing, asserting that such an entry would constitute a trespass. Therefore, the city filed its emergency motion to conduct a Phase II Environment Study on October 3, 2002.

{¶ 15} The city explained in its motion that because appellant maintained that the residue was completely useless after the take, appellant put the value of the entire parcel into issue. Thus, the fair market value of the entire parcel, before and after the taking, had to be determined. This value obviously would be affected by the environmental condition of the property, because the presence of hazardous substances could significantly affect its value. The city argued that “if the contamination is of sufficient severity, the parcel may be worthless as to any *564 third party.” Ultimately, the city was permitted to conduct the environmental testing.

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Cite This Page — Counsel Stack

Bluebook (online)
847 N.E.2d 466, 165 Ohio App. 3d 557, 2006 Ohio 117, Counsel Stack Legal Research, https://law.counselstack.com/opinion/toledo-v-bernard-ross-family-ltd-partnership-ohioctapp-2006.