2013 Ohio 4126
Ohio Ct. App.2013Background
- First Financial Bank obtained a money judgment on February 16, 2012 against Courtney E. Combs, Trustee, Robert M. Brown, and Bobcor for $629,966.39 plus interest; Brown later settled.
- Combs, individually and as Trustee, signed a Commercial Guaranty for a $20,000 note due April 28, 2012.
- On February 28, 2012, twelve days after the judgment, Combs Trustee conveyed eight parcels worth $1,410,120 to his wife, Carol S. Combs, for love and affection.
- On October 25, 2012, the bank moved for summary judgment on the matured note and alleged fraudulent transfer.
- On January 17, 2013, the trial court granted summary judgment for the bank.
- Appellants appeal arguing the trial court erred by not considering affidavits that allegedly created a genuine issue of material fact about the transfer’s fraud.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the transfer was fraudulent under R.C. 1336.04/1336.05 | Bank contends the transfer was without reasonably equivalent value and rendered the debtor insolvent. | Debtors argue affidavits show planning to create a trust for children, avoiding fraudulent-transfer implications. | Yes; no genuine issue of material fact; transfer fraudulent under statute. |
| Effect of the affidavits on summary judgment | Affidavits do not create a material issue precluding summary judgment. | Affidavits create material issues of fact to be resolved at trial. | No; affidavits do not create genuine issues; summary judgment proper. |
Key Cases Cited
- Grizinski v. Am. Express Fin. Advisors, Inc., 187 Ohio App.3d 393 (2010-Ohio-1945) (de novo review of summary-judgment rulings)
- Morris v. Dobbins Nursing Home, 2011-Ohio-3014 (12th Dist.) (de novo standard for determining genuine issues of material fact on summary judgment)
- Brewer v. Cleveland Bd. of Edn., 122 Ohio App.3d 378 (8th Dist.1997) (summary-judgment standard for motion under Civ.R. 56)