Opinion ID: 2691986
Heading Depth: 2
Heading Rank: 3

Heading: The Aetna Standard

Text: {¶ 23} Our holding comports with the standard articulated in Academy of Medicine of Cincinnati v. Aetna Health, Inc., 108 Ohio St.3d 185, 2006-Ohio-657, 842 N.E.2d 488. In that case, we held that Ohio courts may determine whether a cause of action is within the scope of an arbitration agreement based on the federal standard found in Fazio v. Lehman Bros., Inc. (C.A.6, 2003), 340 F.3d 386. 5 SUPREME COURT OF OHIO {¶ 24} Fazio held that “[a] proper method of analysis here is to ask if an action could be maintained without reference to the contract or relationship at issue. If it could, it is likely outside the scope of the arbitration agreement.” Fazio, 340 F.3d at 395. Later in that paragraph, Fazio continued: “Even real torts can be covered by arbitration clauses ‘[i]f the allegations underlying the claims “touch matters” covered by the [agreement].’ Genesco, Inc. v. T. Kakiuchi & Co., Ltd., 815 F.2d 840, 846 (2d Cir.1987).” (Brackets sic.) Fazio, id. {¶ 25} The Aetna standard asks whether an action can be maintained without reference to the contract or relationship at issue. We hold that neither Alexander’s action for failure to timely file an entry of satisfaction of the mortgage nor Coleman’s action for failure to timely file a termination statement can be maintained without reference to the contract or relationship at issue. {¶ 26} Alexander’s cause of action requires her to demonstrate that the mortgage agreement was entered into and satisfied and that the statement of satisfaction was not timely filed under R.C. 5301.36. Those elements require reference both to the mortgage and the mortgagor/mortgagee relationship between the parties and to the statutory duties that govern them. {¶ 27} Alexander argues that the action can be maintained without reference to the contract or relationship at issue because proving a violation of the statute requires only a showing of the date the mortgage was satisfied and the date the release was recorded. We disagree. To establish the date on which the mortgage was satisfied, Alexander must first demonstrate the existence of the mortgage itself. Indeed, a showing of satisfaction of the mortgage requires identifying the mortgagor/mortgagee relationship of the parties to the action. {¶ 28} Similarly, Coleman’s action requires him to demonstrate that the loan agreement was entered into between himself and AGFS, that the loan was terminated by payment in full, and that the termination statement was not timely 6 January Term, 2009 filed under R.C. 1309.513. Those elements require reference to both the loan agreement and the statutory duties that attend the lender/borrower relationship.