Bd. of Trustees Wood Cty. Property Trust Agreement, UAD June 4, 2008 John F. Nixon, Chairman v. Melcher
2025 Ohio 1000
Ohio Ct. App.2025Background
- Rodney and Laura Nixon created a trust for a 48-acre property in Wood County, Ohio, to be used as a youth camping facility.
- The trust agreement (Article IV) provided that if the property could no longer be used for camping, Dennis McAnally and Michael Melcher had a joint option to purchase at 75% of fair market value; if either died, the survivor could purchase alone.
- After the Trustees deemed the camping use impractical in 2021, McAnally indicated he would not purchase the property jointly with Melcher.
- The Trustees began to sell the property to Dean Ameling (current farmer) per the trust terms, but required releases from McAnally and Melcher for the sale.
- McAnally signed a release under the belief Melcher would also sign; Melcher refused, asserting his right to purchase alone.
- The Trustees filed for declaratory judgment; Melcher counterclaimed seeking specific performance, and the trial court granted summary judgment for the Trustees.
Issues
| Issue | Melcher's Argument | Trustees' Argument | Held |
|---|---|---|---|
| Whether McAnally's release constituted a disclaimer under R.C. 5815.36 allowing Melcher to purchase alone | McAnally's release was a disclaimer, triggering survivor purchase right | Release was not a disclaimer; McAnally merely declined to exercise joint option | Release was not an effective disclaimer; statute did not apply |
| Whether Melcher could exercise the option alone as "survivor" | Statute treats McAnally as predeceased, so Melcher is survivor | Both alive; only joint purchase unless death of one | Melcher could not purchase alone as both were living |
| Whether Trustees could offer the property to Ameling before to Melcher | Property could not go to Ameling unless both original optionees were unwilling or unable | Proper to proceed to Ameling when both could not purchase jointly | Trustees properly offered purchase to Ameling per trust terms |
| Whether summary judgment for Trustees was proper | Melcher entitled to individual purchase, Trustees misapplied trust and law | Trust clear: only joint option unless one predeceased | Summary judgment for Trustees affirmed |
Key Cases Cited
- Domo v. McCarthy, 66 Ohio St.3d 312 (1993) (purpose of trust interpretation is to effectuate settlor’s intent)
- Doe v. Shaffer, 90 Ohio St.3d 388 (2000) (standard for reviewing summary judgment)
- Harless v. Willis Day Warehousing Co., 54 Ohio St.2d 64 (1978) (summary judgment proper where no genuine issue of material fact)
- Arnott v. Arnott, 2012-Ohio-3208 (standard for trust interpretation and settlor intent)