Mentor developer ordered to pay $1.65M for defaulting on loan

Mentor developer Richard M. Osborne has been ordered to pay more than $1.65 million for failing to make all payments related to property located along Jackson Street in Painesville and Markell Road in Waite Hill.

Omaha, Nebraska-based Chicago Title Insurance Co. filed a complaint for judgment on a cognovit promissory note against Osborne May 18 in Lake County Common Pleas Court.

Under a cognovit note agreement, a borrower agrees to waive the right to have a hearing or appeal if a judgment is issued if he or she falls into arrears with the creditor.

Therefore, Judge John P. O’Donnell has ordered Osborne to pay the title company $1,657.332.86, plus 10 percent interest, from April 11, 2015.

He also has been ordered to pay court costs and attorney fees.

The judge also ordered Mentor-based Rigrtona Trust and the Leimco Development Co. in Painesville to pay the same amount for their own interests in the property.

The parcels include a total of 86 acres of vacant land on West Jackson Street that is zoned industrial, plus .63 acres of residential vacant land. Osborne did not immediately return a phone call seeking comment.

His attorney, Douglas DiPalma, declined comment.

Chicago Title attorney Michael Sikora also did not return a phone call.