2012 Ohio 5411
Ohio Ct. App.2012Background
- In 2003, Schneiders developed Cornerstone; HSL recorded mortgages on Cornerstone July 10, 2003.
- 2004 City resolution authorized improvements via special assessment; work on Cornerstone started 2004 and completed by 2005–2006.
- Schneiders’ Ponzi scheme collapsed late 2004; contractors obtained judgments and filed mechanic’s liens December 2004.
- City levied a special assessment on May 22, 2006 and certified it to county collection on October 16, 2006.
- February 13, 2007 receiver transferred Cornerstone title to PHLD; sale order stated property would be free of liens.
- City intervened December 4, 2007; lien priority claimed by City as special assessment, with HSL mortgagees and mechanics liens also involved.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the order is a final appealable order. | Parma Heights argues the May 16, 2011 journal entry is a final order. | Trial court’s order is interlocutory and not final. | Not a final appealable order; appeal dismissed. |
| Whether Parma Heights’ special assessment lien has priority over other liens. | City seeks priority over mortgages and mechanics liens. | Court found no priority for City pending validity questions. | Issue not reviewable due to lack of final appealable order; court dismissed for lack of jurisdiction. |
Key Cases Cited
- TCIF REO GCM, LLC v. Natl. City Bank, 8th Dist., No. 92447, 2009-Ohio-4040 (Ohio 2009) (order determining lien priority could be final where foreclosure contemplated)
- Queen City S. & L. Co. v. Foley, 170 Ohio St. 383, 165 N.E.2d 633 (1960) (syllabus: journalized order confirming first lien is a final order)
- Bank of Am. NA v. Omega Design/Build Group, LLC, 1st Dist. No. C-100018, 2011-Ohio-1650 (Ohio 2011) (interlocutory nature of priority/validity determinations)
- State ex rel. Overmeyer v. Walinski, 8 Ohio St.2d 23, 222 N.E.2d 299 (1966) (finality principle for summary judgments)
- State ex rel. White v. Cuyahoga Metro. Hous. Auth., 79 Ohio St.3d 543, 684 N.E.2d 72 (1997) (general rules on finality of orders and Civ.R. 54(B))