ATS Ohio, Inc. v. Tracy

The issue before the court is whether equipment under production for which progress payments have been received constitutes inventory “owned” by the manufacturer for purposes of R.C. 5711.16 and is subject to inclusion on the manufacturer’s return as personal property. For the reasons that follow, subject to limitations discussed infra, we answer the question in'the-negative, and we reverse the decision of the BTA and remand the cause for further factual findings.

ATS argues that the equipment at issue is owned by the customer because ATS collects progress payments and accounts for the…