Wells Fargo Bank, N.A. v. Fields

2015 Ohio 4580
Ohio Court of Appeals·Decided November 5, 2015·No. 101814 & 101985·Published·Cited by 7 cases

Opinion

Court of Appeals of Ohio

EIGHTH APPELLATE DISTRICT COUNTY OF CUYAHOGA

JOURNAL ENTRY AND OPINION Nos. 101814 and 101985

WELLS FARGO BANK, N. A.

PLAINTIFF-APPELLEE

vs.

MICHAEL A. FIELDS, ET AL.

DEFENDANT-APPELLANT

JUDGMENT:

AFFIRMED IN PART,

DISMISSED IN PART

Civil Appeal from the

Cuyahoga County Court of Common Pleas Case No. CV-12-788300

BEFORE: Hensal, P.J., Carr, J., and Moore, J.

RELEASED AND JOURNALIZED: November 5, 2015

FOR APPELLANTS

Michael A. Fields, pro se 3640 S. Fulton Avenue Atlanta, Georgia 30354

Stephanie Fields, pro se 1975 Brookdale Road Richmond Heights, Ohio 44143

ATTORNEY FOR APPELLEE

Kimberly Y. Smith Rivera McGlinchey Stafford 25550 Chagrin Boulevard, Suite 406 Cleveland, Ohio 44122-4640

HENSAL, Presiding Judge.

{¶ 1} Defendant-Appellants, Michael Fields and Stephanie Douglas f/k/a Fields, now appeal from the judgment of the Cuyahoga County Court of Common Pleas, in favor of Plaintiff-Appellee, Wells Fargo Bank, N.A. (“Wells Fargo”). This Court affirms in part and dismisses in part.

I.

{¶ 2} On June 14, 2004, Mr. Fields executed a note1 in the amount of $168,300 in favor of WMC Mortgage Corporation (“WMC Mortgage”) for property located at 1975 Brookdale Road in Richmond Heights (“the Property”). The note was secured by a mortgage on the Property in favor of Mortgage Electronic Registration Systems, Inc. (“MERS”), as nominee for WMC Mortgage. The mortgage identified both Mr. Fields and Ms. Douglas as the borrower, and Ms. Douglas signed it on her own behalf as well as on behalf of Mr. Fields. Subsequently, Wells Fargo became the holder of both the note and the mortgage.

{¶ 3} On August 1, 2012, Wells Fargo filed a complaint in foreclosure against Mr.

Fields and Ms. Douglas. Wells Fargo attempted to serve them at the Property by private process server and by certified mail, but both attempts failed. The bank was able, however, to secure certified mail return receipts from alternative addresses it had for them. Specifically, the bank served Mr. Fields at an apartment in Atlanta, Georgia, and served Ms. Douglas at a residence in

Ms. Douglas signed the note on behalf of Mr. Fields, her former husband, pursuant to a power of 1

attorney.

Lithonia, Georgia. Both attempts at service resulted in the return of certified mail return receipts purportedly signed by individuals other than Mr. Fields and Ms. Douglas.

{¶ 4} When neither Mr. Fields, nor Ms. Douglas filed responsive pleadings, Wells Fargo sought a default judgment against them. A default hearing was set for March 21, 2013, but the hearing did not go forward. Three days before the hearing, Ms. Douglas filed a motion to dismiss in which she argued that she had never received Wells Fargo’s complaint. Ms. Douglas indicated that she had never maintained a residence in Lithonia, Georgia, so it was improper for Wells Fargo to serve her there. In response to her motion, Wells Fargo once again attempted to serve Ms. Douglas by certified mail at the Property. The attempt was unsuccessful, so the bank instructed the clerk to serve her at the Property by ordinary mail. Ordinary mail service succeeded, and Ms. Douglas answered the bank’s complaint. Meanwhile, the court denied the bank’s motion for default judgment and Ms. Douglas’ motion to dismiss.

{¶ 5} On June 4, 2013, Ms. Douglas filed a motion in which she asked the court to either dismiss the matter or grant her summary judgment on the basis that the parties had reached a settlement in 2009. Wells Fargo filed a brief in opposition to her motion, and the trial court later denied it. Wells Fargo then sought summary judgment against Ms. Douglas and a default judgment against Mr. Fields, who had yet to appear in the action.

{¶ 6} The court set the matter for a default hearing on September 26, 2013. One day before the scheduled default hearing, Mr. Fields filed a motion to strike the complaint. Mr. Fields argued that Wells Fargo failed to commence its suit against him within one year of its filing because Wells Fargo had never properly served him with its complaint. Subsequently, the court denied the motion to strike. Meanwhile, Ms. Douglas and Wells Fargo filed several additional briefs with respect to Wells Fargo’s motion for summary judgment.

{¶ 7} On April 2, 2014, a magistrate issued a decision on Wells Fargo’s motions for default judgment and summary judgment. The magistrate determined that Wells Fargo had properly served Mr. Fields with its complaint and that he had failed to deny the allegations contained therein. Consequently, with regard to Mr. Fields, the magistrate granted a default judgment in favor of Wells Fargo. With regard to Ms. Douglas, the magistrate determined that no genuine issues of material fact remained and that Wells Fargo was entitled to summary judgment.

{¶ 8} Both Mr. Fields and Ms. Douglas filed objections to the magistrate’s decision, and Wells Fargo filed briefs in opposition. On May 23, 2014, the trial court issued its decision, overruling their objections and adopting the decision of the magistrate. The trial court entered judgment in favor of Wells Fargo in the amount of $167,047.09, plus interest. Additionally, the court ordered the Property to be sold at sheriff’s sale.

{¶ 9} On July 22, 2014, Mr. Fields and Ms. Douglas filed a motion to enforce the terms of a settlement they had allegedly reached with Wells Fargo in 2009. They also filed a motion to stay the execution of the court’s judgment based on the alleged settlement. Additionally, they filed a motion for relief pursuant to Civil Rule 60(B). In their Civil Rule 60(B) motion, Mr. Fields and Ms. Douglas once again argued that Wells Fargo had never properly served them with its complaint. They also argued that the 30-day timeframe within which to file their appeal had never commenced because they were never served with a copy of the court’s judgment entry. Wells Fargo filed briefs in opposition to each of the three foregoing motions, and the trial court denied them. On August 11, 2014, the Property was sold at sheriff’s sale.

{¶ 10} Subsequently, Mr. Fields and Ms. Douglas appealed from the court’s judgment entry of foreclosure and filed a motion to stay all the proceedings. The Eighth District initially dismissed their appeal as untimely, but reinstated the appeal on reconsideration. In the meantime, the trial court issued a decree of confirmation for the sale of the Property. The trial court also denied a second motion to stay the proceedings.

{¶ 11} Mr. Fields and Ms. Douglas filed a second appeal to contest the trial court’s decree of confirmation, and their two appeals were consolidated for oral argument and decision. The Ohio Supreme Court then assigned the matter to a panel of visiting judges.

{¶ 12} Mr. Fields and Ms. Douglas now appeal from the trial court’s judgments and raise eight assignments of error for our review. For ease of analysis, we rearrange and consolidate several of the assignments of error.

II.

ASSIGNMENT OF ERROR I

THE TRIAL COURT ERRED AND ABUSED ITS DISCRETION IN DENYING DEFENDANT MICHAEL FIELDS’S MOTION TO STRIKE PLAINTIFF’S COMPLAINT FOR FAILURE TO COMMENCE WHERE HE WAS NOT JOINED AS AN INDISPENSABLE PARTY PURSUANT TO CIV.R. 19.

ASSIGNMENT OF ERROR II

THE TRIAL COURT ERRED ABUSED ITS DISCRETION IN DENYING DEFENDANT STEPHANIE FIELDS’S MOTION TO DISMISS PLAINTIFF’S COMPLAINT PURSUANT TO CIV.R. 4(E).

ASSIGNMENT OF ERROR III

THE TRIAL COURT ERRED AND ABUSED ITS DISCRETION IN GRANTING DEFAULT JUDGMENT AGAINST DEFENDANT MICHAEL FIELDS WHERE THAT JUDGMENT WAS CONTRARY TO CIV.R. 55.

ASSIGNMENT OF ERROR VII

THE TRIAL COURT ERRED AS A MATTER OF LAW IN GRANTING PLAINTIFF’S MOTION FOR SUMMARY JUDGMENT AGAINST DEFENDANT STEPHANIE FIELDS AND DENYING DEFENDANT STEPHANIE FIELDS’S[] MOTION TO DISMISS WITH PREJUDICE.

ASSIGNMENT OF ERROR VIII

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Wells Fargo Bank, N.A. v. Fields, 2015 Ohio 4580 (Ohio Ct. App. 2015).

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