Judge Blocks Ohio From Seizing Billions in Unclaimed Funds for Sports Stadiums

COLUMBUS, OHIO — A Franklin County Court of Common Pleas magistrate issued a landmark ruling today that stops the state of Ohio from taking permanent ownership of billions of dollars in private property. Magistrate Jennifer D. Hunt granted a preliminary injunction against the state, finding that a recent law likely violates both the takings clause and due process clause of the Ohio Constitution. This decision halts the state's plan to reclassify funds in the Ohio Unclaimed Funds Trust Fund as state property after they have been held for a decade. The legal battle centers on House Bill 96, legislation that sought to declare money abandoned and escheat it to the state if it remained unclaimed for 10 years. Under this plan, between $1.7 billion and $1.9 billion was scheduled to be transferred to a new sports facilities commission on Jan. 1, 2026. About $600 million of those funds were earmarked for the construction of a new Cleveland Browns stadium in Brook Park, a project that has been a focal point of local development talks on the 176-acre site near Cleveland Hopkins International Airport. In her ruling, Hunt noted that the state has not provided a way to notify owners before their property is permanently seized. She wrote that while the state can take possession of funds that might never be claimed, any such action must be for a public use and comply with due process. The court determined that economic or financial benefits alone do not meet the constitutional requirement for public use. According to Jeff Crossman, the lead counsel for the plaintiffs, the ruling is a victory for citizens who have property held by the state. He said the injunction ensures these funds remain protected while the constitutional questions are fully litigated. Marc Dann, who also represents the plaintiffs, argued that the legislature tried to confiscate private money for a private sports project instead of fulfilling its duty to return the cash to its rightful owners. The Ohio Department of Commerce currently manages nearly $5 billion in unclaimed funds, ranging from forgotten bank accounts to uncashed insurance checks. While the injunction prevents the state from spending or reclassifying the money, it does not stop the Division of Unclaimed Funds from its daily operations. The office will continue to process and pay out routine claims to Ohioans who discover they have missing money. Anyone looking to see if the state is holding their forgotten property can search the official database on the Ohio Department of Commerce website or call the Division of Unclaimed Funds at 614-466-4033. -------------------- At Cleveland 13 News, we strive to provide accurate, up-to-date, and reliable reporting. If you spot an error, omission, or have information that may need updating, please email us at tips@cleveland13news.com. As a community-driven news network, we appreciate the help of our readers in ensuring the integrity of our reporting.