Alside Supply Co., Toledo, Division of Alside, Inc. v. Joseph R. Links, 81-LW-1365
| Decision Date | 16 October 1981 |
| Docket Number | L-81-094,81-LW-1365 |
| Parties | Alside Supply Company, Toledo, Division of Alside, Inc. APPELLEE, v. Joseph R. Links, DEFENDANT and Leatrice M. Links APPELLANT. C. A. |
| Court | Ohio Court of Appeals |
DECISION & JOURNAL ENTRY
This cause came on to be heard upon the record in the trial court. Each assignment of error was reviewed by the court and upon review the following disposition made:
This cause comes upon appeal from a decision and judgment entry of the Common Pleas Court of Lucas County.
On November 3, 1979, Joseph R. Links, now deceased, and appellant Leatrice M. Links entered into a separation agreement. In the separation agreement, Joseph R. Links agreed to convey his interest in the family home, then held by both parties as tenants by the entireties with survivorship, to appellant. As alleged consideration for this conveyance, appellant agreed, in return, to file an alimony only action and refrain from filing a divorce, thereby agreeing to keep Joseph R. Links, who was critically ill with cancer, insured under her medical insurance policy. Appellant also agreed to assume the debts of the marriage, including the mortgage on the family home, and to convey other real estate owned jointly to Joseph R. Links alone.
On November 19, 1979, pursuant to the separation agreement Joseph R. Links quitclaimed his interest in the family home to appellant, and an alimony only action was filed. The separation agreement was incorporated into a final decree for alimony.
On December 23, 1979, one month after the conveyance, the appellee, a business creditor of Joseph R. Links, filed a judgment lien on the family home.
The appellee subsequently filed a complaint with the Common Pleas Court of Lucas County, the court finding that the conveyance of the family home from Joseph R. Links to appellant was fraudulent, and thereby void. From the above decision and judgment entry, appellant now appeals.
Appellant's first assignment of error states:
"The trial court abused its discretion and enunciated a decision against the manifest weight of the evidence when it found the Separation Agreement, that was the consideration for the conveyance, was not bone fide and was insufficient consideration to support the conveyance pursuant to R.C. 1335.04."
R.C. 1336.04 states the following:
"Every conveyance made and every obligation incurred by a person who is or will be thereby rendered insolvent is fraudulent as to creditors without regard to his actual intent if the conveyance is made or the obligation is incurred without a fair consideration." (Emphasis added.)
The main issue here on review is whether the trial court abused its discretion in finding that the conveyance of the home was without a fair consideration under R.C. 1336.04. Appellant here contends that the Separation Agreement was sufficient consideration to support such conveyance.
The testimony at trial and the exhibits allowed into evidence support appellant's contention that a bargained-for exchange took place between the parties. Although the parties had been married 34 years, the Separation Agreement made no provision for alimony for the appellant Leatrice Links. Furthermore, the appellant Leatrice Links agreed to assume the debts of the marriage, including the mortgage balance on the family home. In addition, appellant conveyed other real estate, owned by the parties as tenants by the entireties, to the decedent Joseph Links. Finally, in order to be able to maintain Joseph Links on her medical policy after he contracted cancer, the appellant gave up her right to a divorce and agreed to settle for an alimony only action.
This is partly supported by the trial court's decision, which reads in part:
Hence, it is apparent that the parties entered into a bargained-for exchange, with both parties giving up valuable rights and property. This is further supported by plaintiff's exhibit #1, the deposition of Joseph Links, which states, in part, as follows:
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