Fragola v. Graham
2016 Ohio 8281
| Ohio Ct. App. | 2016Background
- Property owned by Monica Fragola; in 2000 she recorded a survivorship deed with her son Frederick Fragola. In 2002 Frederick executed a quitclaim to Monica, who then recorded a transfer-on-death (TOD) deed naming Frederick as beneficiary (the 2002 Deed).
- In 2006 Monica recorded a new TOD deed naming Dianne Graham (her adopted daughter) as TOD beneficiary (the 2006 Deed); the deed omitted the grantor’s name and the execution date in the acknowledgment clause, though witnesses and a notary signed it.
- Monica died in 2014; Graham recorded an affidavit of transfer based on the 2006 Deed and a notary affidavit stating Monica signed the deed on October 24, 2006. Graham sought to evict Frederick, who claimed he remained a beneficiary under the 2002 Deed.
- Frederick sued to quiet title, for declaratory judgment, constructive trust, and equitable partition; parties filed cross-motions for summary judgment and the trial court granted Graham’s motion, concluding the 2006 Deed was valid and Frederick had no interest.
- The appellate court reviewed de novo, applied Ohio’s substantial-compliance standard for deed execution/acknowledgment, and found the 2006 Deed’s acknowledgment clause was blank (no grantor name or date), rendering it defective under longstanding Ohio precedent.
- The court held the notary’s later affidavit could not cure the blank acknowledgment; however, under Citizens Natl. Bank v. Denison a defectively acknowledged deed can still create equitable interests between parties absent fraud, so the case was remanded for the trial court to consider the effect of Graham’s equitable interest on the 2002 Deed and Frederick’s rights.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the 2006 TOD deed satisfied statutory execution/acknowledgment requirements | Fragola: 2006 Deed is defective (blank acknowledgment/date) and thus invalid | Graham: Deed valid; notary affidavit and recordation establish execution | Court: 2006 Deed is defective and not in substantial compliance; blank acknowledgment invalidates deed |
| Whether Fragola retained any interest despite defect in 2006 Deed | Fragola: 2002 Deed made him TOD beneficiary and his interest survives; trial court erred in finding no interest | Graham: Even if defective, deed valid between parties and revokes prior beneficiary designation | Court: Remanded — though 2006 deed defective, under Citizens Natl. Bank a defect may create an equitable interest between parties; trial court must determine effect of Graham’s equitable interest on the 2002 Deed and Fragola’s interest |
Key Cases Cited
- Dodd v. Bartholomew, 44 Ohio St. 171 (Ohio 1886) (establishes substantial-compliance approach for execution errors)
- Smith's Lessee v. Hunt, 13 Ohio 260 (Ohio 1844) (acknowledgment certificates lacking identity of the acknowledgee invalidate conveyance)
- Citizens Natl. Bank in Zanesville v. Denison, 165 Ohio St. 89 (Ohio 1956) (defective or unacknowledged deed may still pass title between parties absent fraud; acknowledgment relates to proof for recording)
- Basil v. Vincello, 50 Ohio St.3d 185 (Ohio 1990) (distinguishes legal title from equitable interests arising from defective conveyances)
- Mid-Am. Natl. Bank & Trust Co. v. Gymnastics Internatl., Inc., 6 Ohio App.3d 11 (Ohio Ct. App.) (errors that still identify the party can be cured under substantial compliance)