IN RE: CONTEMPT OF RICHARD SCALDINI, In the matter styled: IN THE SUPREME COURT OF OHIO DAVID V. LEE, BY AND ON BEHALF, ETC., ET AL. -vs- Supreme Court Case No. 2009-0387 On Appeal from the Cuyahoga County Court of Appeals, Eighth Judicial District, Case No. 90889 RICHARD SCALDINI NOTICE OF CROSS-APPEAL OF RICHARD SCALDINI Gerald B. Chattman, Esq. (0001851) Dale A. Nowak, Esq. (0014763) Ryan J. Morley, Esq. (0077452) Buckingham, Doolittle & Burroughs, LLP 1375 East Ninth Street, Suite 1700 Cleveland, Ohio 4411 Tel: (216) 621-5300 Facsimile: (216) 621-5440 E-Mail: gchattmanabdblaw.com dnowakna,bdblaw.com rmorleyna,bdblaw.com William D. Mason, Esq. Chief Prosecuting Attorney Matthew E. Meyer (0075253) Assistant Prosecuting Attorney The Justice Center 1200 Ontario Street Cleveland, Ohio 44113 Telephone: (216) 443-7800 Facsimile: (216)575-0911 Attorneys for Cross-Appellant Attorney for Appellant Judge Daniel Gaul FEB ^ 5 2,009 ^^^ ^^ ^^^^T?'ktkiv.u: UURT OF,
Notice of Appeal of Richard Scaldini Appellant Richard Scaldini hereby gives notice of appeal to the Supreme Court of Ohio from the judgment of the Cuyahoga County Court of Appeals, Eighth Judicial District, entered in Court of Appeals Case No. 90889 on January 13, 2009, a copy of which is attached hereto. This case raises a substantial constitutional question and is one of public or great general interest. Respectfully submitted, BUCKINGHI&-M. DOOLIT By: Gerald B. Chattman, Esq. (#0001$51) Dale A. Nowak, Esq. (#0014763) Ryan J. Morley, Esq. (#0077452) 1375 East Ninth Street - Suite 1700 Cleveland, Ohio 44114 (216) 621-5300; (216) 621-5440 (fax) dnowak@.bdblaw.com gchattman@.bdblaw.com rmorleyqbdblaw.com Attorneys for Cross-Appellant Richard J. Scaldini
CERTIFICATE OF SERVICE A copy of the foregoing Notice of Appeal was forwarded via U.S. Mail, postage prepaid, thisif'day of February 2009 upon: Lewis W. Adkins, Esq. Roetzel & Andress 1375 East 9th Street, 9th Floor Cleveland, OH 44114 Counsel for Plaintiffs Brent M. Buckley, Esq. Buckley King 1400 Fifth Third Center 600 Superior Ave. Cleveland, OH 44114-2652 Counsel or Former Counsel for Defendants Mary K. Whitmer, Esq. Kohrman Jackson & Krantz PLL 1375 East 9th Street One Cleveland Center, 20th Floor Cleveland, OH 44114-1739 Counsel for Special Master Dottore Monica A. Moloney, Esq. Assistant Attorney General Charitable Law Section 150 East Gay Street, 23`d Floor Columbus, OH 43215-3130 Counselfor State of Ohio Stephen W. Funk, Esq. Roetzel & Andress 222 South Main Street Suite 400 Akron, OH 44308 Counsel for PlaintifJ's William D. Mason, Esq. Chief Prosecuting Attorney Matthew E. Meyer, Esq. Saundra Curtis-Patrick, Esq. Lisa Reitz Williamson, Esq. Assistant Prosecuting Attorneys Cuyahoga County, Ohio Justice Center - Ninth Floor 1200 Ontario Street Cleveland, OH 44113 Counsel for Appellant Susan Keating Anderson, Esq. Walter & Haverfield LLP The Tower at Erieview 1301 E. Ninth Street, Suite 3500 Cleveland, Ohio 44114 Counselfor Michael G. Herzak Dale A. Nowak Attorney for Cross-Appellant acl2:352697 vi/69569-0001»
Tnurt uf Appeals of (94in EIGHTH APPELLATE DISTIJCT COUNTY OF CUYAHOGA JAN 1 3 2009 JOURNAL ENTRY AND OPINION No. 90889 IN RE: CONTEMPT OF RICHARD SCALDINI In the matter styled: David V. Lee, et al., Plaintiffs vs. Richard Scaldini, et al., Defendants JUDGMENT: AFFIRMED IN PART, REVERSED IN PART Civil Appeal from the Cuyahoga County Court of Common Pleas Case Nos. CV-644109 and CV-640795 BEFORE: Sweeney, A.J., Rocco, J., and Kilbane, J. RELEASED: November 26, 2008 JOURNALIZED: JAN 13 2009 CA08090889 55488474 I I^'I II'I I'I'III^'I"I:I'I II I'III'I'll ^"II'I'^ I"I ^I^3673 P;BO561
ATTORNEYS FOR APPELLANT Gerald B. Chattman Ryan J. Morley Dale A. Nowak Buckingham, Doolittle & Burroughs 1375 East Ninth Street Suite 1700 Cleveland, Ohio 44114 FILED AND JOURN-ALIZED PER APP. R. 22(S) JAN 13 2009 GERALD E. FUERST OLERK OF E 0 iht F APPEALS DEP. CA08090889 54784347 u u 1ry ` ANP10UPdCEMENT OF DECISION PER APP. R. 22(Hl, 22{D4 (^ 26 (A) RF.^'(JF.`JV^,7j NOV 2 6 2008 -i- ERALD E. FU R37 CLERiC O 'ppf AP,E BY- ^ f^7 Q^-, -- ALS DEP. N.B. This entry is an announcement of the court's decision. See App.R. 22(B), 22(D). and 26(A); Loc.App.R. 22. This decision will be journalized and will become. the judgment and order of the court pursuant to App.R. 22(E) unless a motion for reconsideration with supporting.brief, per App.R. 26(A), is filed within ten (10) days of the announcement of the court's decision. The time period for review by the Supreme Court of Ohio shall begin to run upon the journalization of this court's announcement of decision by the clerk per App;R. 22(E). See, also, S.Ct. Prac.R. II, Section 2(A)(1). `vag 6,73 Pio 0 562
-1- JAMES J. SWEENEY, A.J.: Appellant, Richard Scaldini, appeals the judgment of the Cuyahoga County Court of Common Pleas that found him in contempt of a court order. He also challenges the underlying gag order that the court found he violated. For the reasons stated herein, we affirm the issuance of the gag order, but we reverse the judgment of contempt. This action was initiated on December 10, 2007, when a verified complaint was filed by fifteen named plaintiffs against nine named defendants, including Scaldini, seeking a temporary restraining order, preliminary and permanent injunctive relief, and declaratory relief.' The complaint alleged the wrongful aind illegal removal of eleven members of the Board of Trustees of David N. Myers University ("Myers University") in an attempt to force the closure of Myers University. The plaintiffs sought to enjoin illegal, unlawful, and unauthorized acts of the defendants to implement the closing of Myers University, as well as other relief. On the same date, plaintiffs filed an emergency motion for temporary restraining order ancl preliminary injunction. On the next day, December 11, 2007, the trial court issued an order indicating as follows: "By agreement of the parties, David N. Myers University ' The other parties are not named herein as they have not made appearances in this appeal. 10673 6(3563
-2- shall remain as an ongoing entity, up to and including 12/14/07, at which time an effort shall be made by and between the parties in the presence of the court to reach a global resolution of outstanding financial issues." The court also sua sponte issued a gag order that provided as follows: "All parties to this action are hereby restrained from issuing any public commeints about the pending status of this litigation. This court will enforce said order with both the civil and criminal contempt powers of the court. Hearing is hereby continued to Friday 12/14/07 at 12:30 PM." On December 13, 2007, a letter to the editor that had been authored by Scaldini appeared in The Plain Dealer. That same date, the trial court scheduled a show cause hearing. Scaldini appeared at the hearing with counsel. The trial court judge indicated that the letter written by Scaldini addressed issues involved in the case and that the court considered the letter to be a violation of the gag order. Scaldini maintained that he was responding to an accusation by The Plain Dealer against his character, that he was concerned for his family, and that he did not comment on the litigation. The letter to the editor was not entered into evidence. However, the trial court quoted a portion of Scaldini's letter that stated as follows: "8,egarding Daniel Ho's $1.5 million gift to Myers: We gave his financial officer weekly financial reports in great detail." ww673 i9a554
-3- Although Scaldini's counsel took the position that the letter did not comment on the "pending status of the litigation," the trial court believed that the information in Scaldini's letter dealt with the litigation and that the gag order restrained Scaldini from issuing "any public comment." The trial court found Scaldini in contempt of court. The trial court proceeded to sanction Scaldini for the contempt. Scaldini had represented to the court that he was prepared to resign at the end of the week and that he simply wanted severance, which continued to be his position. As a sanction, the trial court offered Scaldini the option of doing 24 hours in jail or resigning as president of Myers University, effective immediately. Scaldini initially chose to resign. However, Scaldini later asked the court if he could change his choice, whereupon the trial court imposed a sanction of 24 hours in jail. Although the trial court's journal entry set forth only a sanction of 24 hours in jail upon the finding of contempt, the transcript reflects that the trial court stated that Scaldini also was to be removed as president. Scaldini brought this appeal, raising ten assignments of error for our review. The primary challenges raised concern the validity of the gag order and whether Scaldini's conduct violated the gag order. "[T]rial courts have a wide discretion in being able to protect the judicial process from influences that pose a danger to effective justice." Journal Pub. Co. M673 90565
-4- v. Mechem (CA. 10, 1986), 801 F.2d 1233,1236. This includes the authority to issue gag orders. United States v. Tijerina (C.A. 10, 1969), 412 F.2d 661, 666. Orders imposing restrictions on attorneys, parties, and witnesses are entitled to considerably more deference than prior restraints that are imposed against the press. Pedini v. Bowles (N.D. TX 1996), 940 F.Supp. 1020, 1023; see, also, In re T.R. (1990), 52 Ohio St.3d 6, 40 (recognizing that. gag orders imposed upon parties and their counsel "are considered a less restrictive alternative to restrictions imposed directly on the media"). It has been recognized that a trial court may sua sponte issue a gag order upon parties to the litigation without an evidentiary hearing. SeeAffeldt v. Carr (N.D. OH 1986), 628 F.Supp. 1097, 1101. "Gag orders fall within the Court's prerogative to maintain appropriate decorum in the administration of justice and protect the rights of the litigants from prejudice." Id. The standard applied to gag orders imposing restrictions on parties is whether *the extra-judicial statements are "reasonably likely". to prejudice the proceedings. Pedini, 940 F.Supp. at 1023. Also, gag orders must be narrowly tailored and must be the least restrictive means available. United States v. Brown (C.A. 5, 2000), 218 F.3d 415, 428. An appellate court reviews a trial court's issuance of the gag order under an abuse of discretion staindard. See In re T.R., 52 Ohio St.3d at 45. ab673 0566
-5- The gag order in this case was issued sua sponte and prohibited the parties from issuing "any public comments about the pending status of this litigation." At issue in this lawsuit was the future of Myers University. During the contempt hearing, the trial court judge recognized a concern for the reputation and future of the institution in the community and for the students, faculty, and other individuals involved. It is apparent that the trial court judge sought not only to protect the rights of the litigants from prejudice but also to preserve the interests of Myers University. We find that the trial court did not abuse its discretion in issuing the gag order and that the trial court had a reasonable and substantial basis to believe that the extra-judicial statements by the parties would be reasonably likely to prejudice the proceedings. We next review the trial court's determination that Scaldini's conduct constituted contempt.of court. The decision of whether to find one in contempt of court rests in the sound discretion of the trial court and will not be overturned on appeal. absent an abuse of discretion. State v. Kilbane (1980), 61 Ohio St.2d 201, paragraph one of the syllabus. Proof beyond a reasonable doubt is required :in criminal contempt cases. Brown v. Executive 200, Inc. (1980), 64 Ohio St.2d 250. 49673 30567
-6- Scaldini argues that the gag order prohibited the parties from commenting on the "pending status of the litigation." He states that nothing in the gag order prohibited him from commenting about Myers University or its financial issues. He further states that his letter to the editor involved a personal matter and responded to an attack upon his reputation, and that his conduct did not affect the administration of justice. "The essential elements of criminal contempt are the lawful and reasonably specific order of a court and the willful violation of that order. Criminal contempt involves conduct that is calculated to embarrass, hinder, or obstruct the administration of justice and is used to vindicate the authority of a court and to punish the offending participant." 17 American Jurisprudence 2d (1990), Contempt, Section 5. It is well settled that for a person to be held in contempt of a court order, the court order must contain the specificity necessary for the person to "readily know exactly what duties or obligations are imposed uponhim." Highland Square Mgmt., Inc. v. Willis & Linnen Co., L.P.A., Summit App. Nos. 21234 and 21243, 2003-Ohio-2630. Otherwise stated, "[a] trial court cannot impose contempt sanctions on a party if the party cannot know whether or not its actions violate the trial court's order. " Contos V. Monroe County, Monroe App. No. 041VI0 3, 2004-Ohio-6380. V,O1@ 1673 000568
-7- We find that the gag order in this case lacked the specificity necessary to find Scaldini's conduct violated the gag order. The gag order prohibited comments about the "pending status of the litigation." It did not prohibit the parties from issuing any comments to the press that touched upon matters related to the litigation. There is no evidence before this court that Scaldini's letter commented on the status of the litigation. Further, from the record it cannot be said that Scaldini engaged in conduct prejudicial to the administration of justice. We recognize that the trial court issued the gag order in an effort to protect the litigants from prejudice and to preserve the interests of Myers University. We also believe that the trial court judge intended the order to have a broader scope; however, the court's mandate must be clearly expressed rather than implied. See Leffel v. Leffel (Oct. 24, 1997), Clark App. No. 97-CA-20. Accordingly, we affirm the issuance of the gag order, but we reverse the judgment of contempt. The remaining issues raised in appellant's brief are moot. Judgment affirmed in part and reversed in part. This cause is.affirmed in part, reversed in part and remanded to the lower court for further proceedings consisterit with this opinion. It is ordered that appellant shall pay the costs herein taxed. &A 6 7 3 m 0 5 6 9
-8- The court finds there were reasonable grounds for this appeal. It is ordered that a special mandate issue out of this court directing the common pleas court to carry this judgment into execution. A certified copy of this entry shall constitute the mandate pursuant to Rule 27 of the Rules of Appellate Procedure. ES J. SWEENEY, ADMINIST^iTIVE JUDGE KENNETH A. ROCCO, J., and MARY EILEEN KILBANE, J., CONCUR V&S 6 7.3 Poo 0 570