Walsh v. Urban, Unpublished Decision (7-21-2005)
Walsh v. Urban, Unpublished Decision (7-21-2005)
Opinion of the Court
{¶ 2} On January 3, 2003, Walsh filed a complaint against Urban to collect on an April 11, 1990 demand promissory note signed by Urban. Walsh also sought to foreclose on the January 31, 1991 mortgage deed securing the note.
{¶ 3} The note signed by Urban was payable to her father, Mathias Wallner. Upon Mr. Wallner's passing, the note, which was an asset of his trust, was transferred to Key Trust Company of Ohio, N.A., as trustee for the trust. The note was held by Key Trust until the passing of Elizabeth Wallner, Mr. Wallner's wife, at which time it was disbursed by the trustee to the Wallners' daughters, Walsh and Urban.
{¶ 4} Urban never made payment upon the note, and no demand for payment on the note was ever made by Mr. Wallner or Key Trust. In 2002, Walsh made the first demand for payment on the note. The within action was commenced when payment was not made.
{¶ 5} Walsh filed a motion for summary judgment to enforce the note against Urban. The trial court held that there was no evidence that payment was made on the note held by Walsh within ten years of a demand for payment and, thus, the claim was barred by the ten-year statute of limitations set forth in R.C.
{¶ 6} In her three assignments of error, Walsh argues that the trial court erred in applying the ten-year statute of limitations set forth in R.C.
{¶ 7} An appellate court reviews a trial court's decision on a motion for summary judgment de novo. Grafton v. Ohio Edison Co.,
{¶ 8} Summary judgment is appropriate if, after construing the evidence most favorably for the party against whom the motion is made, reasonable minds can reach only a conclusion that is adverse to that party. Zivich v. Mentor Soccer Club,
{¶ 9} R.C.
{¶ 10} "Except as provided in division (D) or (E) of this section, if demand for payment is made to the maker of a note payable on demand, an action to enforce the obligation of a party to pay the note shall be brought within six years after the date on which the demand for payment is made. If no demand for payment is made to the maker of a note payable on demand, an action to enforce the note is barred if neither principal nor interest on the note has been paid for a continuous period of ten years."
{¶ 11} Walsh contends that R.C.
{¶ 12} In that case this court stated, "CDT does not allege there exists, nor do we find any language in R.C.
{¶ 13} The second Official Comment to R.C.
{¶ 14} "The second sentence of subsection (b) bars an action to enforce a demand note if no demand has been made on the note and no payment of interest or principal has been made for a continuous period of 10 years. This covers the case of a note that does not bear interest or a case in which interest due on the note has not been paid. This kind of case is likely to be a family transaction in which a failure to demand payment may indicate that the holder did not intend to enforce the obligation but neglected to destroy the note. A limitations period that bars stale claims in this kind of case is appropriate if the period is relatively long."
{¶ 15} The Supreme Court of Ohio has held that, "[s]tatutes of limitations are remedial in nature and may be generally classified as procedural legislation." Gregory v. Flowers (1972),
{¶ 16} Upon review, we find R.C.
{¶ 17} Accordingly, Walsh's three assignments of error are overruled and the judgment of the trial court is affirmed.
It is ordered that appellee recover of appellant costs herein taxed.
The court finds there were reasonable grounds for this appeal.
It is ordered that a special mandate issue out of this court directing the Common Pleas Court to carry this judgment into execution.
A certified copy of this entry shall constitute the mandate pursuant to Rule 27 of the Rules of Appellate Procedure.
Blackmon, A.J., and Calabrese, Jr., J., Concur.
Reference
- Full Case Name
- Carlotta J. Walsh v. Martha E. Urban
- Cited By
- 2 cases
- Status
- Unpublished