James Wilson Douglas
Bernard
R. Mauser
Sutton, West Virginia
Sutton,
West Virginia
Attorney for Appellants
William
C. Garrett
Elizabeth
G. Farber
Gassaway,
West Virginia
Attorneys
for Appellee
JUSTICE
DAVIS delivered the Opinion of the Court.
1. A
motion for summary judgment should be granted only when it is clear that there
is no genuine issue of fact to be tried and inquiry concerning the facts is
not desirable to clarify the application of the law. Syllabus point
3, Aetna Casualty & Surety Co. v. Federal Insurance Co. of New York,
148 W. Va. 160, 133 S.E.2d 770 (1963). 2. A
valid restrictive covenant may be enforced by one other than a party to the
restrictive covenant provided that the parties to the deed in which the restrictive
covenant originated intended that the restriction should benefit the land
of the person claiming enforcement. Syllabus point 1, Allemong v.
Frendzel, 178 W. Va. 601, 363 S.E.2d 487 (1987). 3. The
question of who is entitled to the benefit of a restrictive covenant and,
therefore, has standing to enforce the covenant is ultimately a question of
fact. 4. The
intent of a covenant maker as to who the covenant is intended to benefit may
be ascertained from the language of the conveyance alone or from that language
together with other evidence of intent.
6. To
show acquiescence in violations of a restrictive covenant where there has
been a reaffirmation of the covenant, a party must show that other violations,
similar in degree to his or her own, occurred subsequent to any duly recorded
reaffirmation of the covenant, and were acquiesced to by the complainants
for a protracted period.
Davis, Justice:
5. The
definition of the term manufactured home provided in W. Va. Code
§ 21-9-2(j) (1992) (Repl. Vol. 1996) refers to mobile homes built after
the enactment of the Federal Manufactured Housing Construction and Safety Standards
Act of 1974.
This appeal was filed by Ernest
Dale Carr, Wanda M. Carr, Howard Double, Bertha Double, James Wilson Douglas
and Rita Jo Douglas, appellants/plaintiffs below (hereinafter collectively referred
to as the Carrs), challenging two summary judgment orders from the
Circuit Court of Braxton County. The Carrs initiated this action against Michael
Motors, Inc., appellee/defendant below (hereinafter referred to as Michael
Motors), regarding Michael Motors' activities relating to two parcels
of land. Based upon
Michael Motors purchased the 9 acre Carpenter property in 1999. Subsequent to purchasing the Carpenter property, Michael Motors developed the land for commercial use. One tract of the property was sold to and is being used by a brake service company. On June 12, 2000, the Carrs filed an amended complaint seeking to prevent Michael Motors from using the Carpenter property for commercial use. (See footnote 2)
Both parties moved for summary
judgment. By order entered October 19, 2000, the circuit court granted summary
judgment to Michael Motors. The circuit court concluded that the restriction
in the Carpenter's deed did not preclude the erection of commercial buildings.
The Sergent property
consisted of 84 acres also situate in the Holly District of Braxton County.
In April 1977, Vivian, James and Sue B. Sergent sold the Sergent property to
Butler Real Estate, Inc. No restrictive covenants were placed in the deed pursuant
to the sale. In May of 1977, Butler Real Estate sold 11.47 acres of the Sergent
property to the Doubles. The deed to the Doubles contained the following relevant
restriction: Said premises shall be solely and strictly used for residential
purposes and not commercial or industrial purposes, but shall not include any
type of trailer, mobile or modular home.
In 1990, the Douglas' purchased
approximately 4.01 acres of the Sergent property, which purchase was subject
to the restrictions in the Doubles' deed. In 1994, the Carrs purchased 2.52
acres of the Sergent property, subject to the restrictions in the Doubles'
deed. In 1999, Michael Motors purchased several tracts of the Sergent property, which purchase was subject to the restrictions contained in the Doubles'
deed. (See
footnote 3)
Michael Motors prepared
its Sergent property for residential use, and placed two residential buildings,
called Grafton homes, on the land. During the construction of these two buildings,
the Carrs filed their amended complaint. The Carrs sought to prevent Michael
Motors from erecting the Grafton homes as the buildings were characterized
as modular homes.
Both parties moved for summary
judgment. The circuit court granted Michael Motors' motion for summary judgment
concluding that the Grafton homes were manufactured homes, not
modular homes.
The decision in Allemong
arose from an appeal of a circuit court ruling which enjoined the defendants
from selling alcoholic beverages on their property, because such use violated
a restrictive covenant prohibiting the sale of alcoholic beverages on the
premises. In Allemong, it was argued that the plaintiffs were not parties
to the deed that imposed the restrictive covenant. Therefore, it was contended
that the plaintiffs had no standing to enforce the covenant. This Court disagreed
and affirmed the injunction. In so doing, the following principle of law was
enunciated in syllabus point 1 of Allemong:
A
valid restrictive covenant may be enforced by one other than a party to the
restrictive covenant provided that the parties to the deed in which the restrictive
covenant originated intended that the restriction should benefit the land
of the person claiming enforcement.
Allemong grants standing
to a land owner to enforce a restrictive covenant, even though he or she was
not a party to the restrictive covenant, if it can be established that the covenant
makers intended the covenant to benefit the non-covenant maker's land. The opinion
in Allemong acknowledged, and we now hold that the question of who is
entitled to the benefit of a restrictive covenant and, therefore, has standing
to enforce the covenant is ultimately a question of fact. Allemong,
178 W. Va. at 604, 363 S.E.2d at 490. We hold further that the intent of a covenant
maker as to who the covenant is intended to benefit, 'may be ascertained
from the language of the conveyances alone or from that language together with
other evidence of intent.' Id. (quoting Gnau v. Kinlein,
217 Md. 43, 48, 141 A.2d 492, 495 (1958)).
In the instant proceeding, the
trial court reviewed the Carpenter deed and concluded that the restrictive covenant
was not intended to benefit the Carrs' property. In making this determination
the trial court erroneously limited the scope of the restrictive covenant as
follows:
When
one examines the clear and unambiguous language of the deed from Helene Davis
to Ernest and Mabel Carpenter, it is evident that it was the intent of the grantor,
Helene Davis, to prohibit the construction of building within 100 feet of a
maple tree that was directly opposite her dwelling house. The deed did not contain
any language prohibiting any commercial use or the construction of any building
on any other portion of the premises. The grantor did not want any building
within a certain distance of her house and did not express any desire that she sought to restrict the use of the property as
that use might affect any adjoining owners.
In our review of the language
of the restrictive covenant we do not find that the deed only limited the
erection of buildings within 100 feet of a maple tree. The deed restricted
building anything on the lower portion of the property and 100
feet above a maple tree. The pertinent language of the covenant states: [N]o
building shall be erected on the lower portion of said tract of land, and
no building shall be located specifically starting on the lower end of said
tract, that being the portion next to Laurel Fork, and going up to a maple
tree, and including a distance of 100 feet above said maple tree[.]
The plain meaning of the language
contained in this restrictive covenant reveals that the trial court erroneously
limited its scope in order to reach the conclusion that the Carrs did not
have standing to enforce the covenant. Insofar as the deed prohibited the
erection of any building on the lower portion of the property and 100 feet
above a maple tree, we believe that the expansive scope of the covenant established
a disputed material issue of fact as to whether the deed maker intended the
covenant to benefit surrounding property. Therefore, summary judgment was
inappropriate and the issue of the deed maker's intent must go to the jury.
(See footnote 4)
Next, the Carrs assert
that a restrictive covenant in the deed to the Sergent property prohibited the
erection of modular homes. The Carrs further contend that the trial court committed
error in determining that the two Grafton homes erected on the Sergent property
were not modular homes within the meaning of the deed.
The circuit court ruled
that the term modular home was not defined in the deed and therefore looked
to several sources outside the deed for clarification. We have recognized
that where the intent of the parties is clearly expressed in definite
and unambiguous language on the face of the deed itself, the court is required
to give effect to such language and, ordinarily will not resort to parole
or extrinsic evidence. Pocahontas Land Corp. v. Evans, 175 W.
Va. 304, 308, 332 S.E.2d 604, 609 (1985) (citations omitted). However, when
ambiguity is found in a deed we have held that t]he polar star that should guide us in the construction of deeds . . . is, what was the
intention of the party or parties making the instrument, and when this is
determined, to give effect thereto, unless to do so would violate some rule
of property. Totten v. Pocahontas Coal & Coke Co., 67 W.
Va. 639, 642, 68 S.E. 373, 374 (1910). See also Meadows v. Belknap,
199 W. Va. 243, 248, 483 S.E.2d 826, 831 (1997).
In determining what meaning
to attach to the term modular home, the circuit court utilized the decision
of this Court in Billings v. Shrewsbury, 170 W. Va. 414, 294 S.E.2d
267 (1982). The Carrs contend that Billings does not apply. Billings
involved the determination of whether a factory built home was a mobile home.
We agree with the Carrs. Billings is factually distinguishable and
should not have been relied upon by the circuit court.
(See footnote 5)
The circuit court also considered
the statutory meaning of modular home as found in W. Va. Code
§ 37-15-2(i) (1993) (Repl. Vol. 1997),
(See footnote 6) and the definition of manufactured home found in W. Va. Code § 21-9-2(j) (1992)
(Repl. Vol. 1996).
(See footnote 7) In so doing, the circuit court concluded
that the Grafton homes met the statutory definition of manufactured homes,
based upon the following:
(See footnote 8)
As
set forth in the findings of fact, this Court finds that these Grafton
homes are clearly manufactured homes within the meaning of the laws of the State of West Virginia and as such
are not modular homes.
As
shown by the petitioners' photographs, these structure[s] were transported
in segments, do not have wheels and chassis as a part of their components,
but are transported upon trailers, the components were significantly unfinished
when moved to the site, a crane was used to place the components upon the
permanent foundation, and at least one of the units consists of components
that when assembled made it a two-story, single family dwelling, in addition
to the full basement.
No prior case has required
this Court to examine the statutes concerning the definitions of manufactured
homes and modular homes. We now take the opportunity to do so.
In order to understand the statutory meaning attached to the terms manufactured home under W. Va. Code § 21-9-2(j) and modular home under W. Va. Code § 37-15-2(i), we must also examine the meaning assigned to the term mobile home under W. Va. Code 37-15-2(h). (See footnote 9) See Syl. pt. 1, Owens-Illinois Glass Co. v. Battle, 151
W. Va. 655, 154 S.E.2d 854 (1967) (Statutes relating to the same subject
matter . . . are to be read and applied together as a single statute[.]).
This analysis is critical because, under the laws of this state, a manufactured
home is a mobile home.
The definition given to
the term mobile home under W. Va. Code § 37-15- 2(h) refers
to a transportable structure . . . built prior to enactment of
the Federal Manufactured Housing Construction and Safety Standards Act of
1974[.] (Emphasis added). Under this definition, any mobile home
built after 1974 does not fall within the meaning of the definition
set forth in the statute. This does not, however, mean that there is no statutory
definition for mobile homes built after 1974.
The statutory definition
for a mobile home constructed after 1974 is incorporated into
the definition of a manufactured home pursuant to W. Va. Code
§ 21- 9-2(j). Prior to 1974, the construction and safety standards for
mobile homes was set by the industry. However, this situation changed with
enactment of the Federal Manufactured Housing Construction and Safety Standards
Act of 1974. Pursuant to the Act, the federal government established the construction and safety standards for mobile
homes. Thereafter, federal law ceased using the term mobile home.
The term mobile home was replaced with the term manufactured
home. See Historical and Statutory Notes, 42 U.S.C.A. §
5402 (West Supp. 1995) (References to 'mobile homes,' wherever appearing
in text, were changed to 'manufactured homes' in view of the amendment of
Title VI of the Housing and Community Development Act of 1974 (this chapter)
by section 308(c)(4) of Pub.L. 96-399 requiring the substitution of 'manufactured
home' for 'mobile home' wherever appearing in Title VI of the Housing and
Community Development Act of 1974[.]).
West Virginia recognized
that the federal government was referring to mobile homes by using the term
manufactured homes, and therefore adopted that change in terminology.
(See footnote 10)
The Legislature did so by repealing the state's Mobile Home Safety Act
(See footnote 11)
in 1988, and replacing it with the Manufactured Housing Construction and
Safety Standards Act, codified at W. Va. Code § 21-9-1, et seq.
(See footnote 12)
In summation, the federal
government began regulating the mobile home industry after 1974.
When the federal regulatory oversight began, the federal government ceased
using the term mobile home and replaced it with the term manufactured
home. The West Virginia Legislature followed the name change adopted
by the federal government when it enacted the Manufactured Housing Construction
and Safety Standards Act in 1988.
Based upon the foregoing,
we hold that the definition of the term manufactured home provided in W. Va. Code § 21-9-2(j) (1992)
(Repl. Vol. 1996) refers to mobile homes built after the enactment of the
Federal Manufactured Housing Construction and Safety Standards Act of 1974.
See Alvin C. Harrell, Subprime Lending Developments with Implications
for Creditors and Consumers, 52 Consumer Fin. L.Q. Rep. 238, 247 (1998)
(Most manufactured housing falls into one of four categories: The traditional
manufactured home (formerly called mobile homes), built on a chassis to the
standards of the Federal Building Code; modular homes, not built on a chassis
and subject to local building codes; recreational vehicles (treated as a vehicle
rather than a home); and travel trailers, also not subject to manufactured
housing rules.).
The parties do not contend
that the Grafton homes are mobile homes. Through a lack of understanding of
the use of the term manufactured home, the circuit court ruled
that the Grafton homes were manufactured homes. Now that we have clarified
the definition of the term manufactured home, it is obvious that
the circuit court erred by concluding that the Grafton homes were manufactured
homes. Such a conclusion, in essence, means the Grafton homes are mobile homes.
Such a conclusion is wrong. The Grafton homes fall within the statutory definition
of a modular home. By its terms, the restrictive covenant to the Sergent property
prohibited the erection of modular homes.
Michael Motors asserts that the Douglas family lives in a modular home.
Michael Motors also notes that other modular homes exist on the Sergent
Lands. The Carrs contend that after these modular homes were built, they executed
an agreement, on July 3, 1978, reaffirming the restrictive covenant to the
Sergent property. Subsequent to this agreement, the Carrs contend, no other
modular homes were permitted. This issue concerns acquiescence in violations
of a covenant restriction. This Court addressed the issue of acquiescence
in violations of a covenant restriction in syllabus point 2 of Morris v.
Nease, 160 W. Va. 774, 238 S.E.2d 844 (1977):
In
an action brought to enforce restrictive covenants, acquiescence may be asserted
as a defense where the defendant can demonstrate that his covenant violation
is not more serious and damaging to the complainants then other violations
in the same neighborhood in which the complainants, or their predecessors
in title, acquiesced for a protracted period.
We are not persuaded by Michael
Motor's acquiescence argument as it fails to acknowledge the impact of the
July 3, 1978, agreement reaffirming the restrictive covenant to the Sergent
property. In this respect, we hold that to show acquiescence in violations
of a restrictive covenant where there has been a reaffirmation of the covenant,
a party must show that other violations, similar in degree to his or her own,
occurred subsequent to any duly recorded reaffirmation of the covenant, and
were acquiesced to by the complainants for a protracted period. Accordingly,
Michael Motors must prove that modular homes were erected on the Sergent property
after the Carrs reaffirmed the covenant in 1978. The record contains
no such evidence.
Michael Motors further asserts
that it provided the circuit court with evidence of the parties' intent when
the covenant restriction was inserted in the deed. This Court observed in Wallace
v. St. Clair, 147 W. Va. 377, 390, 127 S.E.2d 742, 751(1962) that:
The
fundamental rule in construing covenants and restrictive agreements is that
the intention of the parties governs. That intention is gathered from the entire
instrument by which the restriction is created, the surrounding circumstances
and the objects which the covenant is designed to accomplish.
Michael Motors provided the
circuit court with an affidavit from Jack Butler of Butler Real Estate, one
of the parties to the restrictive covenant. Mr. Butler's affidavit indicates
that the restrictive covenant was intended to prevent erection of upgraded
trailers, and not buildings like the Grafton homes. Michael Motors argues that
Mr. Double, another party to the restrictive covenant, similarly testified during
his deposition that he was concerned about having trailers placed on the property.
Mr. Double's deposition further stated that he did not ask to have the term
modular inserted into the deed.
Several problems are presented
by this intent of the parties issue. First, the circuit court's
summary judgment order does not address the affidavit nor deposition testimony.
That is, the circuit court has not indicated that it relied upon this evidence
in granting summary judgment. Second, although Michael Motors seeks to use
Mr. Double's deposition testimony against the Carrs, Mr. Double is still one of the parties
opposed to having the Grafton homes on the Sergent property. Third, because
Mr. Double is a plaintiff in this case, the evidence regarding the intent
of the parties when making the restrictive covenant establishes a material
issue of fact that is in dispute. This set of factors precluded summary judgment
on the issue of the Sergent property.
As an initial matter, even
if this Court accepted Michael Motors' contention, the circuit court's order
of summary judgment on the tort claims does not comply with syllabus point
3 of Fayette County National Bank v. Lilly, 199 W. Va. 349, 484 S.E.2d
232 (1997), where we held:
Although
our standard of review for summary judgment remains de novo, a circuit
court's order granting summary judgment must set out factual findings sufficient
to permit meaningful appellate review. Findings of fact, by necessity, include those
facts which the circuit court finds relevant, determinative of the issues
and undisputed.
In neither the Carpenter property summary judgment order, nor the Sergent
property summary judgment order, did the circuit court set out a basis for
granting summary judgment on the tort claims.
We need not resolve the
tort claims issue, based upon our finding of noncompliance with Lilly.
A more fundamental problem exists. The circuit court was not asked to decide
the tort claims issues during the cross motions for summary judgment. Our
cases are clear that a circuit court may not grant summary judgment on a claim
without permitting the adverse party a reasonable opportunity to submit
pertinent material[.] Kopelman & Assocs., L.C. v. Collins,
196 W. Va. 489, 494, 473 S.E.2d 910, 915 (1996). See also Syl. pt.
2, Gavitt v. Swiger, 162 W. Va. 238, 248 S.E.2d 849 (1978) (Ordinarily,
in the absence of a written motion for summary judgment by one of the parties,
the court is not authorized Sua sponte to grant a summary judgment.).
Reversed
and Remanded.
As
a part of the consideration hereof, and as a covenant running with the land
hereby conveyed, no building shall be erected on the lower portion of said
tract of land, and no building shall be located specifically starting on the
lower end of said tract, that being the portion next to Laurel Fork, and going
up to a maple tree, and including a distance of 100 feet above said maple
tree toward Newville, but this provision shall not restrict in any way the
parties of the second part, their heirs or assigns from erecting any buildings
which they may so desire upon the upper portion of said tract of land and
specifically on the upper portion at least 100 feet above said large maple
tree, which large maple tree stands almost opposite the dwelling house of
the party of the first part where she is now residing on said tract of land
of which a part is hereby conveyed. This restriction of building as aforesaid
shall apply to the heirs and assigns of the parties of the second part.
Footnote: 2
Standards Act of 1974 (42 U.S.C. § 5401 et seq.), effective on the
fifteenth day of June, one thousand nine hundred seventy-six, and usually
built to the voluntary industry standard of the American National Standards
Institute (ANSI)--A119.1 Standards for Mobile Homes.
Footnote: 10
and electrical systems contained therein; except that such term shall include
any structure which meets all the requirements of this paragraph except the
size requirements and with respect to which the manufacturer voluntarily files
a certification required by the Secretary and complies with the standards
established under this chapter; and except that such term shall not include
any self-propelled recreational vehicle.
See also 24 C.F.R. § 3280.2 (2001) (providing federal regulatory
definition of manufactured home, which contains all the language found in
the state's definition).
Footnote: 11