Traveler's Indemnity Co. v. Bates, Unpublished Decision (11-24-2004)
Traveler's Indemnity Co. v. Bates, Unpublished Decision (11-24-2004)
Opinion of the Court
{¶ 2} Appellant's initial complaint, filed January 13, 2003, alleged that appellee and ten other John Doe defendants caused damage to its insured's dump truck, and sought subrogation against appellee for the amount of the claim paid to its insured. Appellee proceeded to file a pro se answer on February 11, 2003, which in its entirety "motion [sic] the court to dismiss this suit as unfounded and slanderous." The answer, although filed with the court, was not served on appellant pursuant to Civ.R. 5(A).
{¶ 3} On March 31, 2003, the court advised appellee during a telephone pre-trial conference to seek legal counsel. On May 30, 2003, a final pre-trial conference was held. Appellee did not appear. The same day, appellant submitted a written motion for judgment on the pleadings pursuant to Civ.R. 12(C). On June 16, 2003, the motion was granted. Judgment was entered against appellee in the amount of $61,040.12 with interest.
{¶ 4} On July 31, 2003, appellant filed a second complaint against appellee, and no other defendants, for damage to a second truck that occurred on the same date, alleging the same set of facts as its initial complaint against appellee, noting that a judgment on the pleadings had been rendered on the prior complaint, and asking for damages of $59,371.87 for a claim paid to the same insured.
{¶ 5} This time, appellee was able to retain counsel. On October 3, 2003, appellee, through counsel, filed a motion to set aside the judgment on the first claim pursuant to Civ.R. 60(B). The motion was granted on the grounds of excusable neglect. The trial court then consolidated both cases.
{¶ 6} Appellee now asserts the following assignments of error:
{¶ 7} "I. The trial court erred in granting defendant/appellee relief from judgment consistent with Ohio Rule of Civil Procedure Rule 60(B) as the trial court's granting of appellant's motion for judgment on the pleadings was a final appealable order and should have been appealed.
{¶ 8} "II. The trial court abused its discretion and/or erred in granting defendant/appellee's motion to set aside the judgment because defendant/appellee failed to demonstrate excusable neglect."
{¶ 10} Civ.R. 60(B) allows a party to seek relief from judgments or orders, and states in relevant part, "On motion and upon such terms as are just, the court may relieve a party or his legal representative from a final judgment, order or proceeding for the following reasons: (1) mistake, inadvertence, surprise or excusable neglect * * * (5) any other reason justifying relief from judgment." Civ.R. 54(A) defines `judgment' as including "a decree and any order from which an appeal lies as provided in section
{¶ 11} Appellant incorrectly characterizes these rules by asserting that, because an appeal lies from a final judgment, in order to seek relief a party must appeal. If appellant was correct, Civ.R. 60(B) would be superfluous. No rule mandates the appellate process as the sole path to seek relief from final orders or judgments.
{¶ 12} Appellant cites Colley v. Bazell (1980),
{¶ 13} Once a final judgment is entered, a party may appeal if all other procedural requirements for an appeal are met. Alternatively, a party may file a motion for relief if the procedural requirements of Civ.R. 60(B) are met. Since appellee could have pursued either route, appellant's first assignment of error is not well-taken.
{¶ 15} We follow the Ohio Supreme Court's standard in GTEAutomatic Electric, Inc. v. ARC Industries, Inc. (1976),
{¶ 16} The trial court granted appellee's motion for relief on the grounds of excusable neglect pursuant to Civ.R. 60(B)(1). "The term `excusable neglect' is an elusive concept which has been difficult to define and to apply. Nevertheless, we have previously defined `excusable neglect' in the negative and have stated that the inaction of a defendant is not `excusable neglect' if it can be labeled as a `complete disregard for the judicial system.'" Kay v. Marc Glassman, Inc. (1996),
{¶ 17} Appellant correctly points out that the majority of pro se litigants who seek relief from default judgments have not been granted such relief under Civ.R. 60(B) simply because they do not understand the import of default judgment. See GlobeAmerican Casualty Co. v. Lindsay (Sept. 28, 2001), 10th Dist. No. 01AP-176, for a general discussion of Ohio case law involving pro se litigants seeking relief from judgment. However, in many of those cases, the reviewing court found that the trial court did not abuse its discretion in refusing to grant pro se appellants relief from judgment. Further, the pro se litigants discussed in Globe American were "careless," or "failed to make any effort to respond to the complaint." Id. at 8. Although theGlobe American decision reversed the trial court, the pro se litigant had failed to file an answer or otherwise respond to the complaint entirely. We cannot say that the trial court abused its discretion in finding that appellee did not exhibit a "complete disregard for the judicial system."
{¶ 18} The underlying purpose of Civ.R. 60(B) supports the trial court's exercise of discretion. The law favors the determination of cases on their merits.
{¶ 19} Appellant's second claim against appellee would remain pending if the trial court's decision to grant relief in the first matter was reversed. Litigation involving the same parties, the same event, and similar sets of operative facts would continue. Appellee's motion did not specifically request relief on the grounds of excusable neglect but under Civ.R. 60(B) generally. Thus, these circumstances may also constitute "any other reason justifying relief from judgment." Civ.R. 60(B)(5). We cannot conclude that the trial court abused its discretion when it allowed this claim to be determined on the merits in conjunction with appellant's second, nearly identical claim.
{¶ 20} Appellant does not dispute whether appellee has a meritorious defense. Under Civ.R. 60(B), the movant's burden is only to allege that he has a meritorious defense, not to prove that the defense will prevail should a retrial occur.
{¶ 21} Since we cannot conclude that the trial court clearly abused its discretion in granting appellee's motion for relief, and in furtherance of the law's interest in determining cases on their merits, appellant's second assignment of error is not well-taken.
{¶ 22} Upon consideration, the judgment of the Wood County Court of Common Pleas is hereby affirmed. Costs to appellant. See App.R. 24.
Judgment affirmed.
A certified copy of this entry shall constitute the mandate pursuant to App.R. 27. See, also, 6th Dist.Loc.App.R. 4, amended 1/1/98.
Handwork, P.J., Knepper, J., Pietrykowski, J., Concur.
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