Tarrify Properties, LLC v. Cuyahoga County, No. 21-3801 (6th Cir. 2022)Annotate this Case
After a judicial foreclosure proceeding for delinquent property taxes, the county generally sells the land at a public auction and pays any proceeds above the delinquency amount to the owner upon demand. Ohio's 2008 land-bank transfer procedure for abandoned property permits counties to bring foreclosure proceedings in the County Board of Revision rather than in court and authorizes counties to transfer the land to landbanks rather than sell it at auctions, “free and clear of all impositions and any other liens.” The state forgives any tax delinquency; it makes no difference whether the tax delinquency exceeds the property’s fair market value. The Board of Revision must provide notice to landowners and the county must run a title search. Owners may transfer a case from the Board to a court. After the Board’s foreclosure decision, owners have 28 days to pay the delinquency and recover their land. They also may file an appeal in a court of general jurisdiction. Owners cannot obtain the excess equity in the property after the land bank receives it.
After Tarrify’s vacant property was transferred to a landbank, Tarrify sued under 42 U.S.C. 1983, claiming that the transfers constituted takings without just compensation. The Sixth Circuit affirmed the denial of Tarrify’s motion to certify a class of Cuyahoga County landowners who purportedly suffered similar injuries. While the claimants share a common legal theory—that the targeted Ohio law does not permit them to capture equity in their properties after the county transfers them to a land bank—they do not have a cognizable common theory for measuring the value in each property at the time of transfer.