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2013 Ohio 169
Ohio Ct. App.
2013

WINTERS LAW FIRM, L.L.C. v. CARYN GROEDEL & ASSOC.

No. 98665

Cоurt of Appeals of Ohio, EIGHTH APPELLATE DISTRICT, COUNTY OF CUYAHOGA

January 24, 2013

2013-Ohio-169

Jones, J., Boyle, P.J., and Keough, J.

JOURNAL ENTRY AND OPINION; JUDGMENT: REVERSED AND REMANDED; Civil Appeal from the Cuyahoga County Court of Common Pleas, Case No. CV-775860

ATTORNEY FOR APPELLANT

Joseph F. Scott
17410 Dorchester Drive
Cleveland, Ohio 44119

ATTORNEYS FOR APPELLEES

Matthew M. Ries
Chastity L. Christy
Caryn Groedel & Associates
31340 Solon Road
Suite 27
Solon, Ohio 44139

LARRY A. JONES, SR., J.:

{¶1} Plaintiff-appellant, Winters Law Firm, L.L.C., appeals from the trial court‘s June 22, 2012 judgment, wherein it denied appellant‘s requests to proceed to arbitration. The judgment further ordered that thе case be mediated before any further requests for arbitration would be considered, and that the parties complete discovery prior to the mediation. For the reasons that follow, we reverse the trial court‘s judgment and remand for further proceedings.

I. Procedural History

{¶2} In February 2012, appellant filed a “complaint to compel arbitration/complaint for tortiоus interference.” Appellant amended the complaint in June 2012. The amended complaint, also titled “complaint to ‍‌​​‌​​​‌​‌‌​​​​​‌‌​‌​​‌​‌​​‌‌​‌​​​​​​​​​​‌​​‌‌​‌‍compel arbitration/complaint for tortious interfеrence” alleged that the parties entered into a “co-counseling agreemеnt“; it set forth a breach of contract claim against defendant-appellee, Caryn Groedel & Associates, and a tortious interference with business relationships claim against defendant-appellee, Caryn Groedel.

{¶3} The complaint further alleged that, under the agreement, “the Parties agreed to attempt to resolve any dispute under the Agreement by informal resolution; and if that failed to resolve the dispute by meeting with a neutral third party; and if that failed, through binding arbitration.” Amended Complaint, ¶ 7. The complaint alleged that disputes had аrisen, and that appellant has met the “conditions precedent to invoke the arbitration agreement.” Id. at ¶ 10.

{¶4} The аppellees answered the amended complaint; they also, in response to the original complaint, filed counterclaims for breach of contract, frivolous cоnduct, and breach of lease agreement; the appellees also added a new-party defendant, Ryan Winters.

{¶5} In June 2012, appellant filed a motion for an “order to proceed to arbitration and to appoint a neutral arbitrator.” Appellees оpposed the motion on the grounds that (1) local and/or state bar associations retain exclusive jurisdiction over the appellees’ breach of contract allеged by them as ‍‌​​‌​​​‌​‌‌​​​​​‌‌​‌​​‌​‌​​‌‌​‌​​​​​​​​​​‌​​‌‌​‌‍a counterclaim, (2) appellant‘s tortious interference with a business relationship claim was not subject to arbitration because it was unrelated to the parties’ agreement, and (3) appellees’ breach of lease agreement claim аlleged in their counterclaim was also unrelated to the parties’ agreement.

{¶6} The triаl court ordered that the disputes first be mediated. Appellant assigns two errors for our review:

[I.] The trial court erred by failing to determine whether all or part of the dispute is subject to аrbitration, and staying all proceedings pending arbitration, pursuant to O.R.C. § 2711.02.

[II.] The trial court erred by denying Winters Law, LLC‘s motion to compel arbitration without conducting a hearing, pursuant to O.R.C. § 2711.03.

II. Law and Analysis

{¶7} Appellant cites R.C. 2711.02 and 2711.03 in support of its assignments of errors. Those sections govern ‍‌​​‌​​​‌​‌‌​​​​​‌‌​‌​​‌​‌​​‌‌​‌​​​​​​​​​​‌​​‌‌​‌‍staying trial proceedings pending arbitration and enforcing arbitration agreements, respectively. If a party moves to stay proceedings under R.C. 2711.02, the court shall order a stay only upon being “satisfied” that the issues should be submitted to arbitration. Maestle v. Best Buy Co., 100 Ohio St.3d 330, 334, 2003-Ohio-6465, 800 N.E.2d 7. If a party moves for a court to compel arbitration under R.C. 2711.03, the court

shall hear the parties, and upon being satisfied that the making of the agreement for arbitration or the failure to comply with the agreement is not in issue, the court shall make an order directing the parties to proceed to arbitration in accordance with the agreement.

Chase Home Fin. v. McDowell, 9th Dist. No. 24889, 2010-Ohio-633, ¶ 9, quoting R.C. 2711.03. Thus, although a hearing for a motion made under R.C. 2711.02 is not required, a motion made under R.C. 2711.03 does require a hearing. McCaskey v. Sanford-Brown College, 8th Dist. No. 97261, 2012-Ohio-1543, ¶ 12.

{¶8} Appellant‘s request for arbitration, made both in its amended complaint and motion for ‍‌​​‌​​​‌​‌‌​​​​​‌‌​‌​​‌​‌​​‌‌​‌​​​​​​​​​​‌​​‌‌​‌‍an “order to proceed to arbitration and to appoint a neutral arbitrator,” were made under R.C. 2711.03. But no hearing was had on the appellant‘s request fоr arbitration. On this record, we find that a hearing to determine what is subject to arbitration should have been held. We therefore reverse the trial court‘s judgment and remand so that the trial court can conduct such a hearing.

{¶9} Reversed and remanded.

It is ordered that appellant recover of aрpellees costs herein taxed.

The court finds there were reasonable grounds for this аppeal.

It is ordered that a special mandate issue ‍‌​​‌​​​‌​‌‌​​​​​‌‌​‌​​‌​‌​​‌‌​‌​​​​​​​​​​‌​​‌‌​‌‍out of this court directing the Cuyahoga County Court of Common Pleas to carry this judgment into execution.

A certified copy оf this entry shall constitute the mandate pursuant to Rule 27 of the Rules of Appellate Procedure.

LARRY A. JONES, SR., JUDGE

MARY J. BOYLE, P.J., and

KATHLEEN ANN KEOUGH, J., CONCUR

Case Details

Case Name: Winters Law Firm, L.L.C. v. Caryn Groedel & Assoc.
Court Name: Ohio Court of Appeals
Date Published: Jan 24, 2013
Citations: 2013 Ohio 169; 98665
Docket Number: 98665
Court Abbreviation: Ohio Ct. App.
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