Budler v. Empire Mgt. Group, Unpublished Decision (5-4-2005)
Budler v. Empire Mgt. Group, Unpublished Decision (5-4-2005)
Opinion of the Court
{¶ 2} Tenants signed a lease with Landlord on April 1, 2003, that was to expire on April 30, 2004. By way of letter dated June 25, 2003, Tenants notified Landlord that, due to a job transfer, they were moving to St. Louis, Missouri, on August 1, 2003, and would have to terminate the lease early. They offered to pay two months rent for August and September. However, on July 25, 2003, a new tenant signed a lease for the Tenants' unit and moved in on or about August 1, 2003. By letter dated July 31, 2003, Tenants were informed that they were "released from their lease as of: August 1, 2003." Since the unit was never vacant, and they had been released from their lease, Tenants did not pay rent for August and September.
{¶ 3} Landlord never refunded Tenants' security deposit. Landlord claims to have sent a letter informing Tenants that their security deposit would not be refunded at the end of August, 2003. Tenants did not receive the letter, which was improperly addressed, until November of the same year when their attorney showed it to them. On October 1, 2003, tenants filed a complaint seeking damages and attorney's fees under R.C.
{¶ 4} Landlord appeals, raising four assignments of error for our review. For ease of discussion, the assignments of error will be considered out of order, and the first and second assignments of error will be discussed together.
{¶ 5} In its third assignment of error, Landlord claims that the trial court erred in denying its counter claim. We disagree.
{¶ 6} Landlord filed a counterclaim against Tenants seeking payment of rent for the term remaining on Tenants' lease, requesting at a minimum "$7380 together with pre-judgment and post-judgment interest at 10% per annum from July 31, 2003." Tenants agree that they had offered to cover the rent for the two months following their vacancy; August and September. In its appellate brief, Landlord claims that it accepted Tenants' offer of two months rent as damages for Tenants' breach, and maintains that the trial court erred in finding otherwise. We disagree.
{¶ 7} We find no evidence that Landlord accepted Tenants' offer. In fact, on July 31, 2003, Landlord wrote to Tenants telling them that they were "released from their lease as of: August 31, 2003." Tenants thus were effectively released, or relieved from future obligations on their lease.
{¶ 8} The trial court did not err in finding that Landlord was not entitled to additional rent as damages for Tenants' breach. Furthermore, Landlord cannot pursue a claim for loss of rental income. Not only had Tenants been released from their lease, but their unit had been re-let before Tenants had vacated.
{¶ 9} "Lessees are potentially liable for rents coming due under the [lease] as long as the property remains unrented." Frenchtown SquareP'ship v. Lemstone, Inc.,
{¶ 10} Based on the fact that they had been released from further obligations on their lease, and the fact that their unit had been relet, Tenants were relieved of any liability to pay future rents. Landlord's third assignment of error is overruled.
{¶ 11} In its first and second assignments of error, Landlord claims that the trial court incorrectly interpreted R.C.
{¶ 12} As an initial matter, we note that appellate courts consider an appeal from a trial court's interpretation and application of a statute de novo. State v. Sufronko (1995),
{¶ 13} R.C.
(B) Upon termination of the rental agreement any property or money held by the landlord as a security deposit may be applied to the payment of past due rent and to the payment of the amount of damages that the landlord has suffered by reason of the tenant's noncompliance with [R.C.
(C) If the landlord fails to comply with division (B) of this section, the tenant may recover the property and money due him, together with damages in an amount equal to the amount wrongfully withheld, and reasonable attorneys fees.
{¶ 14} Thus, under R.C.
{¶ 15} In the instant case, Landlord sent Tenants a letter informing them that they had been "released from their lease as of: August 1, 2003." Consequently, Tenants believed that they were released of any further obligations. Based on the letter and the fact that their unit had been relet before they had moved out, Tenants expected that their security deposit would be returned.
{¶ 16} Landlord claims to have sent a letter to Tenants informing them that their security deposit would not be returned because they broke their lease. As discussed above, Landlord was not entitled to collect future rent from Tenants after their unit had been relet. See Morgan,
{¶ 17} If a tenant can prove that a portion of the security deposit was wrongfully withheld, he can recover double damages and attorney fees under R.C.
{¶ 18} Landlord was entitled to deduct $95.00 from the security deposit, but had an obligation to return the remaining portion to the tenants along with a letter explaining and itemizing the deduction. See R.C.
{¶ 19} Landlord did not return the remaining of the security deposit to Tenants. Thus, liability under R.C.
{¶ 20} Landlord's first and second assignments of error are overruled.
{¶ 21} In its fourth assignment of error, Landlord claims that the trial court's findings of fact and conclusions of law were against the manifest weight of the evidence. We disagree.
{¶ 22} When evaluating whether a judgment is against the manifest weight of the evidence in a civil case, the standard of review is the same as that in the criminal context. In re Ozmun (Apr. 14, 1999), 9th Dist. No. 18983, at 3. That is, we review the record, weigh the evidence, consider the credibility of witnesses, and determine whether the court "clearly lost its way and created such a manifest miscarriage of justice that the [judgment] must be reversed and a new trial ordered."State v. Thompkins (1997),
{¶ 23} In this case, we conducted a de novo review of the trial court's interpretation of the statute at issue: R.C.
{¶ 24} We overrule Landlord's four assignments of error and affirm the judgment of the Akron Municipal Court.
Judgment affirmed.
The Court finds that there were reasonable grounds for this appeal.
We order that a special mandate issue out of this Court, directing the Akron Municipal Court, County of Summit, State of Ohio, to carry this judgment into execution. A certified copy of this journal entry shall constitute the mandate, pursuant to App.R. 27.
Immediately upon the filing hereof, this document shall constitute the journal entry of judgment, and it shall be file stamped by the Clerk of the Court of Appeals at which time the period for review shall begin to run. App.R. 22(E). The Clerk of the Court of Appeals is instructed to mail a notice of entry of this judgment to the parties and to make a notation of the mailing in the docket, pursuant to App.R. 30.
Costs taxed to Appellant.
Exceptions.
Moore, J. Baird, J. concur.
(Baird, J., retired, of the Ninth District Court of Appeals, sitting by assignment pursuant to, § 6(C), Article IV, Constitution.)
Reference
- Full Case Name
- Joy L. Budler v. Empire Management Group
- Cited By
- 3 cases
- Status
- Unpublished