886 N.E.2d 251 | Ohio Ct. App. | 2008
Lead Opinion
{¶ 1} Appellant, the Ohio Board of Embalmers and Funeral Directors, appeals from a judgment of the Franklin County Court of Common Pleas that reversed the board's decision to revoke the license of appellee Crosby-Edwards Funeral Home. For the following reasons, we reverse that judgment.
{¶ 2} We note, for the purpose of clarity, that the name given to appellee Leeza Crosby-Edwards at birth was Lisa Rochelle Howard. Crosby has changed her name twice: first, to Leeza R. Crosby; and then, in January 2005, to Leeza R. Crosby-Edwards.
{¶ 3} Crosby is the owner of the Crosby-Edwards Funeral Home, a family-owned business that she acquired when her mother passed away. Crosby does not hold a license issued by the board under R.C. Chapter
{¶ 4} On December 14, 2004, the board received a complaint from Roland Jackson ("the Jackson complaint"), alleging that Crosby and the funeral home failed to transfer pre-need-funeral-contract funds to another funeral home. On January 6, 2005, the board sent Crosby a copy of the Jackson complaint and requested that she submit a written response, which she did on January 17, 2005. The response to the board was signed by Crosby, as owner of the funeral home, as well as Edwards, as the licensed funeral director for the funeral home.
{¶ 5} On July 6, 2005, the board sent Edwards a certified letter to the funeral home's address, advising him that the board had voted to charge him and the funeral home with a violation of R.C.
{¶ 6} Crosby sent the board a letter dated July 11, 2005. Therein, she stated that she was in receipt of the board's letter to Edwards, and she requested clarification of the charges. Crosby then went on to accuse the board of acting in a "malicious" and "frivolous" manner and further declared that any action brought against the funeral home "will be found in the Court of Common Pleas to be an act of malicious prosecution, malfeasance, and an abuse of [the board's] discretion."
{¶ 7} Two days later, on July 13, 2005, Crosby sent the board two more letters. One letter purported to clarify her letter dated July 11, 2005. Therein, using the first-person plural, Crosby acknowledged the board's advisement to Edwards regarding the 30-day period for requesting an adjudication hearing, and then explained:
We have not yet composed any correspondence regarding our demand for a hearing. Our letter was simply to clear up issues, regarding the notification of the charges and to clarify what the charges were. We are waiting to hear from the Ohio Attorney General Office, before we request a hearing. Our letter dated July 11, 2005 is not to be construed as a request for a hearing. I will *216 address the charges against the Crosby-Edwards Funeral Home, and Jeffrey L. Edwards will address the charges against his licenses.
{¶ 8} In her second letter to the board, Crosby levied accusations of dereliction of duties and extortion, among others things, against it. Also included in that letter were 11 separate requests for information pursuant to the Freedom of Information Act; each request contained over a dozen additional requests, and concerned records kept by the board regarding other funeral homes in Columbus, Ohio, as well as miscellaneous internal board documents and records.
{¶ 9} On July 14, 2005, Edwards sent the board a letter, which confirmed receipt of the board's letter dated July 6, 2005, and requested a hearing on the charges against him. Upon receipt of Edwards's letter, the board notified him that pursuant to R.C.
{¶ 10} On August 8, 2005, the board responded to Crosby's public-records requests, which totaled over 4,300 copied pages of documents and record. Upon receipt of these documents, Crosby wrote the board and accused it of withholding documents responsive to her requests. With the documents that she had been provided, Crosby waged a war; she filed various complaints with the board, charging both members of the board, as well as several funeral homes that were the subjects of her requests, with assorted statutory violations.
{¶ 11} Crosby also sent the board a letter on August 15, 2005, in which she continued her campaign of insults, asserting that the "actions of the Board support a charge of Malfeasance, Non Malfeasance, Corruption of office, Dereliction of Duty; which are a violation of our Civil Rights protected under the Ohio Constitution."
{¶ 12} The board wrote a letter to Edwards's attorney on September 12, 2005, requesting a list of possible dates for the adjudication hearing, as well as to confirm his representation of Edwards and the funeral home. Edwards's attorney responded to the board's letter on September 16, 2005, explaining that while he had been retained to represent Edwards, he did not represent the funeral home or Crosby in any capacity. The record discloses that on September 15, 2005, Edwards submitted a formal letter of resignation to Crosby effective October 1, 2005.
{¶ 13} On October 26, 2005, the board sent Edwards a certified letter advising him that an adjudication hearing had been scheduled for November 18, 2005. Also on October 26, 2005, the board sent, by certified mail, a letter to Michael *217
J.K. Jones, who had replaced Edwards as the licensed funeral director, and, therefore, was the current holder of the funeral home's license. In that letter, the board advised Jones that although the funeral home had not requested a hearing, pursuant to Goldman v. State Med. Bd. of Ohio (1996),
{¶ 14} The hearing took place as scheduled. Several witnesses testified at the hearing, including Jackson and Edwards, but neither Jones nor Crosby appeared. Following the hearing, the hearing examiner issued a report on February 15, 2006, that contained proposed findings of fact and conclusions of law. The hearing examiner found that Edwards and the funeral home had committed the violation as charged and recommended that Edwards's funeral director's and embalmer's licenses be suspended for 30 days and that the funeral home's license be revoked. That same day, the board sent Edwards a copy of the hearing examiner's report and recommendation, advising him that he had ten days within which to file written objections. The board also sent, by certified mail, a copy of the hearing examiner's report and recommendation to David R. Adams, who in December 2005, had replaced Jones as the licensed funeral director for the funeral home and the holder of its license.
{¶ 15} On February 23, 2006, Crosby sent a letter to the board by fax, requesting that it produce numerous documents relating to the funeral home and the adjudication hearing that took place on November 18, 2005. In her letter, Crosby explained that she needed these documents to be produced by the next day in order to file objections to the hearing examiner's report. The board responded to Crosby's request, by fax, on February 24, 2007. It advised Crosby that it had copied the exhibits introduced at the hearing, which were available for her immediate pick-up, but given the voluminous nature of her request, the other documents would not be available until March 3, 2006. The board also granted Crosby an extension until March 6, 2006, to file her objections.
{¶ 16} On February 27, 2006, the board received Edwards's objections. That same day, the board received a letter from an attorney who had been retained to represent Crosby and the funeral home. In his letter, Crosby's attorney requested that the hearing examiner's report and recommendation be set aside and a hearing de novo scheduled, or in the alternative, that he be granted a 30-day extension to file objections.
{¶ 17} In a letter dated March 2, 2006, the board advised Crosby's attorney that it was denying the request for an additional extension, but indicated that it would consider the request for a hearing de novo when it met to review the report and recommendation. When the board met, however, it voted to deny Crosby's request for a hearing de novo and approved the hearing examiner's report and recommendation. *218
{¶ 18} Crosby and the funeral home timely appealed the decision of the board to the Franklin County Court of Common Pleas, asserting (1) failure of due process, (2) abuse of discretion, and (3) mistake of law. The board moved to dismiss the appeal, asserting, inter alia, that the trial court lacked subject-matter jurisdiction. Citing Paine FuneralHome v. Bd. of Embalmers Funeral Directors of Ohio,
{¶ 19} The trial court denied the board's motion, finding that Crosby had standing to appeal the board's decision because "the revocation of the funeral home's license create[d] an immediate and pecuniary result" for Crosby. Having determined that Crosby had standing, the trial court proceeded to consider the merits of her appeal, and, ultimately, granted Crosby's motion to remand.
{¶ 20} The board filed a timely appeal to this court, and raises the following four assignments of error:
[1.] The trial court erred as a matter of law when it determined that Leeza Crosby-Edwards had standing to appeal under R.C.
119.12 .[2.] The trial court erred as a matter of law when it denied the Board of Embalmers and Funeral Director's motion to dismiss because Leeza Crosby-Edwards' appeal is moot.
[3.] The trial court erred as a matter of law when it determined that the Board of Embalmers and Funeral Directors violated Leeza Crosby-Edwards due process rights.
[4.] The trial court erred as a matter of law when it ordered this matter remanded back to the Board of Embalmers and Funeral Directors.
{¶ 21} We analyze the board's first and second assignments of error together, as they raise interrelated issues concerning whether the trial court erred in determining that it had subject-matter jurisdiction over the appeal. The board asserts that the trial court erred in ruling that Crosby had met the requirements for filing an appeal under R.C.
{¶ 22} The starting place for our analysis is R.C. Chapter.
{¶ 23} If the board becomes aware that "any person holding or claiming to hold a license" issued under R.C. Chapter
{¶ 24} The board is required to hold the adjudicatory hearing in accordance with R.C. Chapter
{¶ 25} R.C.
Any party adversely affected by any order of an agency issued pursuant to an adjudication * * * revoking or suspending a license * * * may appeal from the order of the agency to the court of common pleas of the county in which the *220 place of business of the licensee is located or the county in which the licensee is a resident * * *.
{¶ 26} In interpreting the above portion of R.C.
(D) "Adjudication" means the determination by the highest or ultimate authority of an agency of the rights, duties, privileges, benefits, or legal relationships of a specified person, but does not include the issuance of a license in response to an application with respect to which no question is raised, nor other acts of a ministerial nature.
* * *
(F) "Person" means a person, firm, corporation, association, or partnership.
(G) "Party" means the person whose interests are the subject of an adjudication by an agency.
{¶ 27} Against this statutory backdrop, and mindful of the well-settled principle of statutory construction that words used in a statute are to be given their plain and ordinary meaning unless otherwise indicated, Ohio Assn. ofPub. School Emp. v. Twin Valley Local School Dist. Bd.of Edn. (1983),
{¶ 28} To begin, we find that Crosby is not a "party" as that term is defined in R.C.
{¶ 29} Although neither party offered any argument based on the structure and language contained in R.C.
{¶ 30} Similarly, Crosby lacks standing because she cannot be considered a "specified person" under R.C.
{¶ 31} There is, however, one issue that was not raised by the parties that is nonetheless dispositive of this appeal: Crosby lacks standing because she is not a party "adversely affected" by the board's decision. Crosby was not a party to the proceedings before the board, nor did she participate in them. The Supreme Court of Ohio has held that "[u]nless a statute provides otherwise, no person can appeal from an adjudicatory order of an administrative agency to which he was not a party." Blue Cross of Northeast Ohio v.Ratchford (1984),
{¶ 32} In this case, because Crosby was not a party to the proceedings before the board, she is not entitled to appeal the board's order, and no statute provides for the appeal of an order from the board by an appellant who was not a party to the underlying administrative proceeding. SeeShisler v. Dept. of Admin. Servs. (Dec. 23, 1986), Franklin App. No. 86AP-427,
{¶ 33} The concept underlying this rule is fundamental and has been applied by courts in varying contexts. See, e.g., ABF Emp. Assn. v. Teamsters Local 957 (Jan. 11, 1980), Montgomery App. No. 6359,
{¶ 34} Our determination that Crosby lacks standing also comports with a previous decision from this court, Miami Univ. v. State Emp. Relations Bd. (1990),
R.C.
119.12 grants a right of appeal from an agency adjudication order to any party adversely affected by such order. Standing to appeal an adverse order arises under R.C.119.12 in favor of parties who are entitled to statutory notice of an administrative proceeding and have the right to participate in any hearing conducted by the administrative agency.
Id. at 518,
In sum, if a "person" — as defined in R.C. 119.01(F)"is statutorily granted specific rights or interests which are the subject of an administrative proceeding, then such "person" has standing to appeal under R.C.
119.12 an administrative decision if that person is also provided the opportunity by statute to assert those interests in an administrative hearing.
Id. at 518-519,
{¶ 35} Applying Miami Univ. to the facts of this case, Crosby lacks standing because she was not entitled to statutory notice of the administrative hearing before the board. See R.C.
{¶ 36} As the owner of the funeral home, Crosby's proprietary interests are undeniable. Thus, it seems somewhat counterintuitive that Crosby would not have standing to appeal from a decision of the board that revoked the funeral home's license, given the adverse effect on her proprietary interests. The key distinction to be drawn here, however, is that Crosby's proprietary interests are not the same interests as those adjudicated by the board. While R.C. Chapter
B. The Funeral Home Has Standing
{¶ 37} We hold that the funeral home has standing to appeal under R.C.
{¶ 38} The fact that the funeral home failed to request a hearing does not mean that the court lacked jurisdiction over the appeal, but it does mean that the funeral home failed to exhaust its available administrative remedies.Derakhshan v. State Med. Bd., Franklin App. No. 07AP-261,
{¶ 39} For all of the above reasons, this court concludes that Crosby lacks standing under R.C.
Judgment reversed and cause remanded with instructions.
KLATT, J., concurs.
WHITESIDE, J., dissents.
WHITESIDE, J., retired, of the Tenth District Court of Appeals, sitting by assignment. *225
Dissenting Opinion
{¶ 40} Being unable to concur in the overruling of the assignments of error, I must respectfully dissent. The trial court correctly determined that Lisa Crosby-Edwards had standing to appeal pursuant to R.C.
{¶ 41} R.C.
{¶ 42} A cursory examination of the law reveals that the funeral director is an employee of the funeral home and the funeral home is required to have a licensed funeral director operating in that capacity at all times. The license itself appears to be issued in the name of the actual funeral home, but the board apparently considers the funeral director to be the actual licensee. The funeral home's license is not statutorily designated to be dependent upon the funeral director, but instead the funeral home must employ a licensed funeral director, by contract or otherwise, to act in that capacity in connection with funerals. Thus, the funeral home's license is effective only when a licensed funeral director has been employed to perform the functions of a funeral director. The funeral home's financial business and the ownership interest remains in the person or persons who actually own and operate the funeral home. As indicated in this case, all the business matters are conducted by the actual owner of the funeral home, not the licensed funeral director, whose license does not relate to conducting the business portion of the funeral home. This is especially true with respect to the matter that was the gravamen of the board's determination — the sale and execution of pre-need contracts by the funeral home, essentially a type of insurance.
{¶ 43} In this case, the "investigation" by the board was prompted by a complaint by another funeral home alleging that Crosby had not paid that funeral home the full amount of its funeral charges from the pre-need funds that the decedent had paid Crosby's funeral home. Thus, the complaint upon which the board relied had nothing to do with the conducting of funerals by the funeral home, but instead was entirely related to a business matter between Crosby and another funeral home. Nevertheless, the board found that neither Crosby nor the funeral home has standing to appeal pursuant to R.C.
{¶ 44} R.C.
{¶ 45} As the trial court found, the board's order adversely affected Crosby's interest as well as those of the funeral home. As the majority points out, words in a statute must be given their plain and ordinary meaning unless otherwise indicated by the contracts. Given the ordinary and customary meaning of the words in R.C.
{¶ 46} Assuming that Crosby does lack standing, it would necessarily follow that the board had no jurisdiction over her, and its order purporting to affect her ownership and pecuniary interest in the funeral home would be void for lack of jurisdiction by the board. There is nothing in R.C.
{¶ 47} For the foregoing reasons, I believe that the trial court's decision was correct. Accordingly, I would overrule all four assignments of error of the board. Therefore, the judgment of the Franklin County Court of Common Pleas, from which this appeal is taken, should be affirmed, and this cause should be remanded to the trial court for execution and enforcement of that judgment.