The Ohio Court of Appeals has affirmed a ruling that requires Newman Law Group LLC to pay Veritext LLC $50,748.73 for unpaid court-reporting services. The decision, rendered on June 5, 2026, affects the legal community and highlights the responsibilities of attorneys in managing payment for services rendered on behalf of their clients.
This case originated in the Montgomery County Common Pleas Court, where Veritext filed a complaint against Newman for money due on account, quantum meruit, and unjust enrichment. Veritext accused Newman of failing to pay for court-reporting services provided between March 2020 and January 2022. The court filing included a statement of account detailing the unpaid services and the total amount owed.
Newman Law Group, based in Dayton, Ohio, responded with a general denial of the allegations and raised several counterclaims against Veritext. These included claims of violation of the Fair Debt Collection Practices and Consumer Sales Practices Acts, as well as allegations of fraud and misrepresentation. Newman also filed third-party complaints against five former clients, asserting those clients had agreed to pay for the court-reporting services.
On April 5, 2024, both parties filed cross-motions for summary judgment. Veritext argued that there was no genuine issue of material fact regarding Newman’s liability for the unpaid fees, while Newman contended that the claim was barred by the statute of frauds. The trial court ruled in favor of Veritext, denying Newman’s motion and granting partial summary judgment on the issue of liability.
During a subsequent bench trial, Veritext presented evidence of damages, including testimony from its finance specialist and invoices for the services rendered. The trial court awarded Veritext $50,748.73, reflecting the amount originally sought, minus a payment made by one of Newman’s clients.
Newman appealed the trial court's decisions, raising four assignments of error. The court's opinion, authored by Judge Robert G. Hanseman, addressed each of Newman’s arguments. The court found that the trial court correctly determined that Newman was liable for the court-reporting fees based on established case law.
The court ruled, "In the absence of an express agreement or express notice providing otherwise, the debt for court-reporting services falls on the attorney, not the client."
Newman’s first three assignments of error challenged the trial court's liability determination, arguing that the statute of frauds applied and that the trial court had misapplied agency law principles. However, the court found no merit in these claims, affirming that the attorney-client relationship obligates the attorney to pay for services unless explicitly stated otherwise.
Regarding the statute of frauds, the court ruled that the agreement did not require a written contract since Veritext had fully performed its obligations by providing the court-reporting services. The court emphasized that partial performance can remove a case from the statute of frauds, allowing Veritext's claim to proceed.
Newman's fourth assignment of error contested the trial court's admission of invoices as evidence and argued that Veritext failed to mitigate its damages. The court found that the invoices were properly admitted under the business-records exception to the hearsay rule, as Veritext's finance specialist provided sufficient testimony regarding the company's billing procedures.
The ruling has significant implications for attorneys and law firms, emphasizing their responsibility to ensure payment for services rendered. It highlights the importance of clear agreements regarding financial obligations and the potential consequences of failing to adhere to those agreements.
Looking ahead, Newman may consider appealing the decision to the Ohio Supreme Court, although details about any pending related cases were not available in the court filing. This case serves as a reminder for legal professionals to maintain clear communication and contractual agreements with service providers to avoid similar disputes in the future.