2019 Ohio 2127
Ohio Ct. App.2019Background
- In 2017 Adkinson received bridgework from Alex Bell Dental–Daniel Cobb, DDS, LLC (ABD); a replacement bridge was later installed under a five-year warranty after the first failed.
- Adkinson requested credit for her inconvenience; ABD contacted her and, after email exchanges about the amount, sent a December 5, 2017 letter enclosing a $230 check and a release stating the sum was "IN FULL SETTLEMENT, ACCORD AND SATISFACTION" for claims arising from treatment between Feb. 15, 2017 and Oct. 10, 2017.
- Adkinson cashed the $230 check on Dec. 6, 2017. ABD later sent a termination-of-treatment letter effective 30 days after receipt.
- In June 2018 Adkinson’s replacement bridge broke; she sought $2,023 for out-of-pocket expenses and invoked warranty coverage. ABD rejected the claim as barred by the earlier accord and satisfaction.
- Adkinson sued for breach of contract, breach of express and implied warranty, and unjust enrichment. The trial court granted summary judgment for ABD finding an accord and satisfaction; Adkinson appealed.
- The appellate court found the accord and satisfaction applied only to treatment between Feb. 15, 2017 and Oct. 10, 2017 but remanded because a material factual dispute existed about whether the replacement installation occurred on Oct. 18, 2017 (outside the covered interval).
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether an accord and satisfaction extinguished Adkinson's claims | Adkinson argued summary judgment was improper because factual dispute exists about the parties' intent and about the treatment dates (final installation Oct. 18, 2017) | ABD argued its December 5 letter + cashed check constituted an unequivocal accord and satisfaction releasing all claims for treatment from Feb. 15 to Oct. 10, 2017 | Court: Accord and satisfaction valid and bars claims for treatment within Feb. 15–Oct. 10, 2017; but summary judgment improper as to treatment outside that window because ABD failed to prove dates and Civ.R. 8(B) response was inadequate |
| Whether ABD gave adequate notice that the payment was in full satisfaction | Adkinson contended notice/intent issues warranted trial | ABD pointed to the express wording in its letter labeling the check "IN FULL SETTLEMENT, ACCORD AND SATISFACTION" | Held: Notice language was clear and unambiguous; depositing the check manifested acceptance as to claims within specified dates |
| Whether there was a bona fide dispute (required safeguard for accord and satisfaction) | Adkinson argued issues of dispute and consideration may not support accord for all claims | ABD contended the demand was disputed and $230 was consideration to settle disputed claims | Held: Accord and satisfaction requires a good-faith dispute; here a dispute existed for the covered period, so consideration sufficed for those claims |
| Whether ABD met its summary judgment burden on disputed treatment dates | Adkinson argued material factual dispute about the final appointment date (Oct. 18) | ABD relied on its letter’s date range but submitted no admissible evidence proving the last treatment date was Oct. 10 | Held: ABD failed to submit competent Civ.R. 56 evidence to eliminate dispute about treatment dates, so summary judgment cannot bar claims falling outside the specified interval |
Key Cases Cited
- Allen v. R.G. Indus. Supply, 66 Ohio St.3d 229 (Ohio 1993) (establishes elements and safeguards of accord and satisfaction)
- Kirk Williams Co., Inc. v. Six Indus., Inc., 11 Ohio App.3d 152 (Ohio Ct. App. 1983) (defines "unliquidated demand" in accord-and-satisfaction context)
- Harless v. Willis Day Warehousing Co., 54 Ohio St.2d 64 (Ohio 1978) (summary judgment standard)
- Zivich v. Mentor Soccer Club, Inc., 82 Ohio St.3d 367 (Ohio 1998) (standard for summary judgment review)
- Dresher v. Burt, 75 Ohio St.3d 280 (Ohio 1996) (party opposing summary judgment must present evidentiary materials)
- Mitseff v. Wheeler, 38 Ohio St.3d 112 (Ohio 1988) (movant's burden to show absence of genuine dispute)