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Ayers v. Cleveland (Slip Opinion)
156 N.E.3d 848
Ohio
2020
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Background

  • David Ayers, exonerated after a decade in prison, obtained a $13,210,000 federal judgment against two Cleveland police detectives for constitutional violations; the City of Cleveland had earlier been granted summary judgment and was not a party to the verdict.
  • The detectives twice offered to assign any indemnification claims against the city to Ayers in exchange for Ayers forgoing personal collection; Ayers declined.
  • One detective died before payment; the other (Kovach) obtained a Chapter 7 discharge of personal liability.
  • Ayers sought to recover from Cleveland under the municipal indemnification statute, former R.C. 2744.07(A)(2) (now R.C. 2744.07(B)), arguing a judgment creditor may proceed directly against a political subdivision to enforce indemnification.
  • The Cuyahoga County Common Pleas Court granted Ayers summary judgment; the Eighth District Court of Appeals reversed, holding a judgment creditor lacks standing to enforce the employee-only indemnification statute.
  • The Ohio Supreme Court accepted review of the narrow statutory-interpretation question and held R.C. 2744.07(A)(2) grants a personal indemnification right to employees only — a judgment creditor may not proceed directly against the political subdivision under that provision.

Issues

Issue Ayers' Argument Cleveland's Argument Held
Whether a judgment creditor may proceed directly against a political subdivision under R.C. 2744.07(A)(2) Statutory text and purpose allow a judgment creditor to enforce indemnification; legislative history, policy, and fairness support direct enforcement Statute unambiguously grants the indemnification right to employees only; allowing creditors to sue would eviscerate Chapter 2744 immunity scheme The statute grants a personal right of indemnification to employees only; a judgment creditor may not proceed directly under R.C. 2744.07(A)(2)
Whether Ayers has third-party standing to enforce the indemnification statute Even if only employees possess the statutory right, Ayers contends he has third-party standing to enforce it Cleveland argued Ayers lacks standing and the issue was not properly raised for review Court declined to decide third-party standing — the point was beyond the limited issue accepted for review

Key Cases Cited

  • Worth v. Aetna Cas. & Sur. Co., 32 Ohio St.3d 238 (1987) (indemnity is a personal right to make whole the person who paid what another should have paid; not a third-party right)
  • Wilson v. Stark Cty. Dept. of Human Servs., 70 Ohio St.3d 450 (1994) (Ohio law presumes political subdivisions are generally immune from liability unless statute provides a specific exception)
  • Jackson v. Birmingham Bd. of Edn., 544 U.S. 167 (2005) (standing principles cited by dissent on who is best positioned to vindicate statutory rights)
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Case Details

Case Name: Ayers v. Cleveland (Slip Opinion)
Court Name: Ohio Supreme Court
Date Published: Mar 25, 2020
Citation: 156 N.E.3d 848
Docket Number: 2018-0852
Court Abbreviation: Ohio