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2012 Ohio 833
Ohio Ct. App.
2012
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Background

  • Foreclosure action filed; bank sought judgment, collateral possession, foreclosure, and lien marshaling.
  • Order of sale entered; sale proceeded after a bankruptcy stay and dismissal; preliminary and final judicial reports were filed under R.C. 2329.191.
  • Trial court sua sponte raised a constitutional question about R.C. 2329.191(B) and ordered briefing from the Ohio Attorney General.
  • Sale completed; judgment entry of confirmation and distribution issued; then the court issued a Decision and Judgment Entry finding R.C. 2329.191 unconstitutional.
  • Attorney General intervened and appealed; the appellate court ultimately reversed and vacated the trial court’s constitutional ruling.
  • The court held that raising the constitutional issue was not necessary to resolve the foreclosure issues and that the declaratory-judgment-like approach was improper.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
whether the court may sua sponte address constitutionality State argues not necessary Gower argues no constitutional challenge raised by parties Sustained: court erred by addressing constitutionality
whether the constitutional ruling was necessary to resolve the case State asserts public interest in validity of statute Gower contends issues already resolved without constitutional ruling Unnecessary to resolve; court vacated the ruling

Key Cases Cited

  • Purdy v. Clermont Cty. Bd. of Elections, 77 Ohio St.3d 338 (Ohio 1997) (presumption of constitutionality and avoidance principles)
  • Ohioans for Fair Representation, Inc. v. Taft, 67 Ohio St.3d 180 (Ohio 1993) (avoidance of constitutional issues; liberal construction to uphold statute)
  • Hall China Co. v. Pub. Util. Comm., 50 Ohio St.2d 206 (Ohio 1977) (constitutional issues not decided unless absolutely necessary)
  • Quality Care Transport v. Ohio Dept. of Job & Family Servs., 2010-Ohio-4763 (2nd Dist. Clark No. 2009 CA 113; 2010-Ohio 4763) (declaratory-judgment limits and actual controversy requirement)
  • Mid-American Fire and Cas. Co., 113 Ohio St.3d 133 (Ohio 2007) (declaratory judgment limits; actual controversy requirement)
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Case Details

Case Name: First Merchants Bank v. Gower
Court Name: Ohio Court of Appeals
Date Published: Mar 2, 2012
Citations: 2012 Ohio 833; 2011-CA-11
Docket Number: 2011-CA-11
Court Abbreviation: Ohio Ct. App.
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