120 N.E.3d 422
Oh. Ct. App. 5th Dist. Guernse...2018Background
- Jay and Mary Heller owned 160.25 acres and entered a 1966 option to sell to Island Creek Coal while reserving oil & gas rights; a September 1966 warranty deed conveying the property omitted that reservation.
- The Hellers later conveyed oil & gas interests multiple times and quitclaimed their oil & gas interest to Freeport Lodge #415 (the Lodge) in a 1994 deed as a gift.
- The Lodge sued in 2015 to quiet title and to reform the 1966 warranty deed to reflect the Hellers' reservation of oil & gas rights; multiple oil-and-gas companies were named defendants.
- At bench trial the court found a mutual mistake in the 1966 deed but concluded the Lodge’s reformation claim was time-barred under the ten-year statute of limitations (R.C. 2305.14).
- The trial court held the statutory exception (R.C. 2305.22) — for a "vendee of real property, in possession, to obtain a conveyance" — did not apply because the Lodge was not a purchaser (vendee) of the 1966 deed and had not sought a conveyance; the Lodge appealed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the Lodge qualifies as a "vendee" under R.C. 2305.22, avoiding the 10-year statute of limitations | Lodge: A vendee is a purchaser of real property; as recipient of the 1994 quitclaim from the Hellers it stands as vendee and is excepted from the statute | Defendants/Trial Ct.: Lodge received the 1994 deed as a gift (not a purchase); Lodge seeks reformation of the 1966 deed to which it was not party, so it is not a vendee for that deed | Court: Lodge is not a vendee for purposes of R.C. 2305.22 as to the 1966 deed; statute of limitations applies |
| Whether the R.C. 2305.22 exception’s other elements are met (possession; action to obtain a conveyance) | Lodge: (implicitly) in possession via 1994 deed and seeks to protect its mineral interest | Defendants/Trial Ct.: Lodge did not assert a claim to obtain a conveyance of the property | Court: Trial court found Lodge did not seek conveyance; Lodge did not challenge that finding on appeal, so alternative ground affirms judgment |
Key Cases Cited
- Miller v. Cloud, 76 N.E.3d 297 (Ohio Ct. App. 2016) (defines "vendee" as purchaser of real property and discusses reformation context)
- Hampel v. Food Ingredients Specialties, Inc., 89 Ohio St.3d 169 (Ohio 2000) (explains two-issue rule; alternative grounds can sustain judgment)