Opinion ID: 2691986
Heading Depth: 2
Heading Rank: 2

Heading: Shelton Coleman

Text: {¶ 5} On April 2, 2001, appellee Shelton Coleman entered into a loan agreement with appellant American General Financial Services, Inc. (“AGFS”) and signed a UCC-1 financing statement evidencing the collateral that secured his loan. The loan agreement contained a mandatory-arbitration provision. In July 2003, Coleman repaid his loan in full. {¶ 6} On June 16, 2006, Coleman filed a class action, alleging that AGFS failed to file a termination of the financing statement within the 30 days prescribed by R.C. 1309.513. According to R.C. 1309.625(E)(4), failure to timely file the statement triggers a $500 penalty. AGFS answered the complaint and also filed a motion to compel arbitration, which the trial court denied. {¶ 7} The Cuyahoga County Court of Appeals affirmed the trial court’s holding that Coleman’s claim against AGFS was not subject to the arbitration agreement. Coleman v. Am. Gen. Financial Servs., 8th Dist. No.89311, 2008Ohio-1403. 2 January Term, 2009 {¶ 8} This court sua sponte consolidated the two cases for determination of whether the arbitration agreements apply to the parties’ claims.