2012 Ohio 1646
Ohio Ct. App.2012Background
- CME borrowed over $11 million from Citizens Bank under a security agreement; Citizens filed a UCC1 on all CME assets, rendering it senior secured lender.
- CME defaulted; CME’s assets were sold in Sept. 2009 to satisfy debt, but sale did not cover the obligation, leaving about $3.5 million owed to Citizens.
- In July 2009, Tisco sold stainless steel coils to CME for $114,996.45; CME did not pay and Tisco obtained a default judgment on June 29, 2011.
- Tisco served a subpoena duces tecum on non-party Citizens seeking documents relating to CME and Randy Horvat to locate assets for satisfaction of the judgment.
- Citizens objected to the subpoena; the parties engaged in document-by-document narrowing and production; Tisco later demanded broader production, then filed a motion to show cause.
- The trial court granted Citizens’ motion to quash the subpoena and Tisco appealed, arguing records were relevant and not privileged.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the subpoena to a non-party seeks protected records | Tisco argues documents are relevant and not privileged. | Citizens asserts overbreadth and privacy/burden concerns. | Quash affirmed; records may be protected and burden outweighed. |
| Whether the trial court properly quashed or modified the subpoena | Tisco contends court erred in shielding documents. | Citizens maintained the subpoena was improper as issued. | Affirmed; trial court’s protective order upheld. |
| Whether lack of an adequate transcript prevents review | Tisco asserts record supports its position. | Citizens argues absence of transcript requires presuming regularity. | Record supports presumption of regularity; review limited. |
Key Cases Cited
- Knapp v. Edwards Laboratories, 61 Ohio St.2d 197 (Ohio 1980) (burden to show error with adequate record; presumption of regularity otherwise)
- Bohrer v. Bakers Square Restaurant, 8th Dist. No. 88143 (2007-Ohio-2223) (presumption of regularity; need complete record for appellate review)
- Tisco Trading USA, Inc. v. Cleveland Metal Exchange, Ltd., 2012-Ohio-493 (8th Dist. (Ohio) 2012) (Horvat financial documents are relevant to collection; not privileged; burden considerations)