Wagner v. Woodward

270 P.3d 21 (Mont. 2012) · Supreme Court of Montana · January 31, 2012 · No. DA 11-0335

Summary

The Supreme Court of Montana addressed whether restrictive covenants governing adjacent residential properties were violated by a deck extension and split-rail fences. The court held that the fence restriction was governed by the covenant specifically addressing interference with river views and that the fences did not improperly interfere with those views. It also applied laches to bar enforcement concerning the deck extension and reversed the order requiring its removal, while affirming the denial of attorney fees and costs.

Court
Supreme Court of Montana
Writing for the Court
Justice Patricia O. Cotter; Chief Justice Mike McGrath; Justice James C. Nelson; Justice Jim Rice; Justice Brian Morris
Jurisdiction
Montana
Decision date
January 31, 2012
Docket number
DA 11-0335
Procedural posture
Appeal and cross-appeal from summary-judgment rulings in a declaratory-judgment action concerning restrictive covenants.
Standard of review
Summary-judgment rulings are reviewed under the same standard as the district court; legal conclusions on cross-motions for summary judgment are reviewed for correctness. Interpretation of restrictive covenants is reviewed for correctness. The existence of legal authority to award attorney fees is reviewed for correctness, the discretionary award or denial of fees for abuse of discretion, and denial of costs for abuse of discretion.
Precedential value
published precedential opinion
Parties
Mark D. Wagner, Taunja L. Wagner v. Brian Woodward
Disposition
reversed

Topics

covenants and restrictionsreal estatecontract interpretationequitable reliefappellate procedure

Practice areas

real estatecontractsequitable remediesappellate procedure

Questions Presented

  1. Whether the restrictive covenant limiting structures and improvements to a ninety-foot building envelope applied to Woodward's fences.
  2. Whether Woodward's fences interfered with the Wagners' river view in violation of the restrictive covenants.
  3. Whether laches barred enforcement of the covenant against Woodward's deck addition.
  4. Whether either party was entitled to attorney fees or costs.

Holdings

  1. The covenant restricting structures and improvements to the ninety-foot building envelope did not apply to Woodward's fences because the covenants separately and expressly addressed fences in the river-view provision.
  2. Woodward's low, open, two-rail fences did not interfere with the Wagners' view of the river and therefore did not violate the fence restriction.
  3. Laches barred the Wagners from enforcing the restrictive covenant against Woodward's deck addition, even though the addition extended beyond the ninety-foot building envelope.
  4. Neither party was entitled to attorney fees or costs, and the District Court did not abuse its discretion in denying them.

Key quotations

Under these circumstances, it would be an unreasonable interpretation to apply covenant # 1 to fences. (¶ 22)
Laches is not a mere matter of elapsed time, but rather, it is principally a question of the inequity of permitting a claim to be enforced. (¶ 27)
Given Woodward's detrimental reliance on Wagners' failure to timely enforce the covenants as they pertain to the eaves of his home and the absolute absence of damages to the Wagners, it would be inequitable to compel removal of the deck addition. (¶ 30)

Factual background

The parties owned adjacent residential properties along the Whitefish River that were subject to recorded restrictive covenants. One covenant required structures or improvements on Lot 1 to remain within ninety feet of the lot's northern boundary, while another prohibited fences, trees, or shrubs that interfered with the other lot's river view. Woodward extended an existing deck to the reach of his home's eaves and built low, two-rail split-rail fences along his property boundaries; the Wagners did not object during construction and later sued. The fences minimally obstructed visibility, and Woodward relied on the longstanding, unchallenged position of the home's eaves when constructing the deck.

Procedural history

The Wagners sued Woodward, seeking declarations and injunctive relief based on alleged violations of restrictive covenants governing adjacent properties. The Eleventh Judicial District Court granted Woodward summary judgment concerning his fences, ruled that his deck addition violated the covenants, ordered the deck addition removed, applied laches to the preexisting eaves violation, dismissed Woodward's counterclaim, and denied attorney fees and costs. The Wagners appealed the fence ruling, and Woodward cross-appealed the deck ruling.

Court Document

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