Bank One of Milford, N.A. v. Bardes

In two related propositions of law, appellants urge that the failure to record a trust instrument does not, by virtue of R.C. 5301.03, operate to divest a trustee of his interest in real estate, and that R.C. 5301.03 is a notice statute which does not protect judgment creditors who have not relied upon the existence and/or ownership of the subject real estate in the extension of credit. We agree.

In Marital Trust of Casto v. Lungaro (1986), 22 Ohio St. 3d 298, syllabus, we held that “R.C. 5301.03 does not prevent the owner of an equitable interest created by an oral trust in real property from…