MB West Chester, L.L.C. v. Butler County Board of Revision

MB West Chester, L.L.C. v. Butler Cty. Bd. of Revision, 126 Ohio St. 3d 430, 2010-Ohio-3781 · Supreme Court of Ohio · August 19, 2010 · No. 2009-1900

Summary

The Supreme Court of Ohio held that a school board was a statutory party entitled to notice of an appeal from a county board of revision to the Board of Tax Appeals. Because the school board was not notified of either the appeal or the Board of Tax Appeals decision, the appeal period did not extinguish its right to participate, and the Board of Tax Appeals retained jurisdiction to vacate its decision. The court reversed and remanded for further proceedings.

Court
Supreme Court of Ohio
Writing for the Court
Lundberg Stratton, J.; Brown, C.J.; Pfeifer, J.; O'Connor, J.; O'Donnell, J.; Lanzinger, J.; Cupp, J.
Jurisdiction
Ohio
Decision date
August 19, 2010
Docket number
2009-1900
Procedural posture
The Lakota Local School District Board of Education appealed the Board of Tax Appeals' denial of its motion to vacate a prior decision approving stipulated property values.
Standard of review
De novo review of jurisdictional and final-order issues; statutory interpretation and the Board of Tax Appeals' jurisdiction were reviewed independently.
Precedential value
Published Ohio Supreme Court opinion; precedential.
Parties
Lakota Local School District Board of Education v. MB West Chester, L.L.C., Butler County Board of Revision
Disposition
reversed_and_remanded

Topics

property taxtax court procedureadministrative lawappellate jurisdictioncivil procedure

Practice areas

property taxadministrative lawappellate procedurecivil procedure

Questions Presented

  1. Whether the Board of Tax Appeals' order denying the school board's motion to vacate was a final, appealable order.
  2. Whether the Board of Tax Appeals retained jurisdiction to consider and grant the school board's motion to vacate after the ordinary thirty-day appeal period had expired when the school board had not received notice of the appeal or the BTA's decision.
  3. Whether the Board of Tax Appeals' decision was void because the board of revision failed to notify the school board, a statutory party, of MB West Chester's appeal.

Holdings

  1. An order of the Board of Tax Appeals denying a motion to vacate is a final, appealable order when it affects a substantial right in a special proceeding, including the statutory right of a school board to defend a property-valuation increase.
  2. The BTA does not lose jurisdiction to vindicate a statutory party's participation and notice rights merely because the ordinary appeal period has expired when that party was unlawfully deprived of notice of both the BTA proceedings and the BTA decision.
  3. The BTA lacked jurisdiction to issue its decision because the board of revision failed to notify the school board, which was a statutory appellee and party by operation of law, of MB West Chester's appeal.

Key quotations

However, when a statutory party has been unlawfully deprived of notice of both the BTA proceedings and the BTA decision, that party has not waived its right to participate, and the BTA has not lost jurisdiction to vindicate it. (¶ 24)
We hold that the BTA lacked jurisdiction to issue its June 23 decision, because the school board had not been notified of the pending appeal as required by R.C. 5717.01. (¶ 37)

Factual background

The Lakota Local School District Board of Education sought increased tax valuations for three parcels owned by MB West Chester, asserting that the sale price reflected on a conveyance-fee statement established the parcels' value. MB West Chester appealed the board of revision's increases to the Board of Tax Appeals but named and served only the board of revision, even though the school board had filed the valuation complaint. The Board of Tax Appeals adopted stipulated reduced values without notifying the school board, which first learned of the appeal after the period for appealing the BTA decision had expired.

Procedural history

The school board filed a valuation complaint with the Butler County Board of Revision seeking increased valuations for three parcels. MB West Chester appealed the board of revision's decisions to the Board of Tax Appeals without naming or serving the school board. The Board of Tax Appeals adopted stipulated values and later denied the school board's motion to intervene and vacate after the school board learned of the appeal. The Supreme Court of Ohio reversed that denial and remanded.

Remand instructions

Grant the school board's motion to intervene and vacate the BTA decision, and conduct further proceedings as appropriate.

Court Document

Open PDF
Loading document…