A dispute over the sale of a family farm has led to an Ohio appellate court affirming the rescission of the property transfer, after beneficiaries argued that the sale price was far below fair market value and did not comply with trust requirements. The complaint was filed by six beneficiaries—Richard Lashaway, Perry Lashaway, Jeffrey Lashaway, Steve Lashaway, Amanda Lennard, and Connie Salisbury—in Williams County against Margo K. Lashaway, acting as trustee of the Lashaway Family Trust, and Jason D. Bailey, who purchased the property.
According to court documents decided on March 31, 2026, Margo Lashaway sold the only asset of the trust—a farm in Pioneer, Ohio—to her son-in-law Jason Bailey for $80,000 after moving out in September 2023. The plaintiffs contended that this price was significantly below what they believed to be at least $140,000 in fair market value at the time. They further alleged that both Margo and Jason were aware of the true value and that Margo exceeded her authority or improperly exercised her powers as trustee.
The background provided in court filings details how Raymond and Margo Lashaway created the family trust in May 2002 with themselves as settlors and trustees. The property had originally belonged to Raymond’s parents before being transferred into his name following their deaths. After Raymond died in December 2020, Margo became sole trustee. She lived on the property until September 2023 before selling it to Jason Bailey—her daughter Brandie’s husband.
The beneficiaries’ complaint raised several claims: breach of trust against Margo for self-dealing and benefiting a family member at other beneficiaries’ expense; bad faith dealing against Jason for purchasing at inadequate consideration; fraudulent conveyance against Jason for allegedly exerting undue influence on Margo; unjust enrichment against both defendants; and a request for imposition of a constructive trust on the property. They asserted that proceeds from the sale were used not only to pay off personal debts but also delinquent taxes contrary to specific terms in the trust requiring occupants to pay such taxes.
Testimony during trial included statements from attorney Michael Shaffer—who advised Margo about her responsibilities under the trust—and appraisers Robin Hershberger (for plaintiffs) and Elizabeth Sigg (for Jason). Shaffer recounted warning Margo about her duty to sell at fair market value and potential liability if she failed to do so. He said he would not have proceeded with drafting documents had he known there was no consensus among all beneficiaries regarding price.
Appraiser Hershberger valued just the land at $140,000 using comparable sales within a year’s timeframe but without access to buildings on site. Sigg conducted an inspection after purchase and concluded that due to severe disrepair requiring demolition of structures, including a house deemed a teardown, plus local agricultural trends, $96,000 represented fair market value as of January 2024.
Connie Salisbury testified she believed she acted only as beneficiary—not decision-maker—and expected all heirs would be notified about any sale. She described being surprised by both Jason’s offer amount and learning post-sale that it had already been completed without broader consultation among heirs.
Jason Bailey testified he approached Connie first because he considered her family leader but did not consult other beneficiaries or obtain an appraisal prior to offering $80,000 based on his own assessment rather than research into fair market value. He later obtained two appraisals after objections arose from other heirs.
Margo testified she did not fully understand her role or obligations under the trust until informed by attorney Shaffer shortly before executing sale documents. She relied on guidance from Shaffer throughout but deferred major decisions—including price acceptance—to what she believed was Connie’s approval.
After hearing evidence from all parties involved—including conflicting interpretations about who held authority over sales decisions—the trial court found multiple violations: failure by Margo as trustee to maintain property condition per trust terms; lack of proper notice or consensus among all beneficiaries; use of proceeds inconsistent with explicit instructions; and absence of an independent determination of fair market value prior to sale completion.
The trial court ordered rescission of the transfer from Margo (as trustee) to Jason Bailey. Plaintiffs sought remedies including voiding title transfer back into trust ownership; appointment of a special fiduciary for proper resale at fair market value; distribution adjustments reflecting actual asset worth; removal of current trustee; attorney fees; costs paid by defendants; or alternatively monetary damages equal to lost distributable shares due them “but for” wrongful acts alleged.
Attorneys representing appellees were Christopher B. Walker and Jilene E. Richards. James F. Duranczyk and Mark D. Hagans represented appellant Margo K. Lashaway (Trustee), while Daniel R. Michel represented appellant Jason D. Bailey. The case is identified as Court of Appeals No.: WM-25-009/WM-25-010.
Source: 2026Ohio1168_Lashaway_v_Lashaway_Opinion_Ohio_Court_of_Appeals.pdf
