Basin Electric Power Cooperative v. Miller

310 N.W.2d 715, 1981 N.D. LEXIS 327
CourtNorth Dakota Supreme Court
DecidedOctober 5, 1981
DocketCiv. 9897
StatusPublished
Cited by9 cases

This text of 310 N.W.2d 715 (Basin Electric Power Cooperative v. Miller) is published on Counsel Stack Legal Research, covering North Dakota Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Basin Electric Power Cooperative v. Miller, 310 N.W.2d 715, 1981 N.D. LEXIS 327 (N.D. 1981).

Opinion

VANDE WALLE, Justice.

Eldor Miller appealed from a judgment and final order of condemnation entered by the district court of Mercer County. We affirm.

A brief chronology of the events involved in this matter will be of assistance in understanding the issues in this appeal.

On July 5,1978, Miller and his wife transferred real property into a trust known as the “Miller Trust.” Miller is named as one of the trustees.

October 9, 1978, Miller, along with other landowners, retained the services of a law firm to represent the' property owners in condemnation proceedings to be instituted by Basin Electric Power Cooperative (hereinafter “Basin Electric”) to obtain a power-line easement.

April 1, 1979, the Miller Trust was changed to “Freedom Farm.” No record of the transfer was made in the office of the Register of Deeds of Mercer County.

July 17, 1979, Miller was served with a summons and complaint in which Basin Electric sought to condemn property of the Trust and property of Miller for the purpose of obtaining a power-line easement.

August 24, 1979, the attorney for Miller obtained admission of service of answer filed on behalf of Miller, individually and as trustee of the Miller Trust.

October 5,1979, Miller resigned as trustee of the Miller Trust, “now known as Freedom Farm.”

April 18, 1980, Miller’s attorney moved the court to withdraw as Miller’s attorney pursuant to a letter from Miller received February 26, 1980. This motion was granted by the court on April 22, 1980.

June 23, 1980, Miller was notified that the action would be tried before a jury on July 28, 1980.

*717 July 21, 1980, Miller notified the court by affidavit that he was not the owner of the property subject to the action and therefore was not a party in interest.

July 28, 1980, the trial judge announced he would consider the affidavit as a motion to amend the answer and, after argument and examination of Miller under oath, the motion was denied and the trial proceeded.

July 30, 1980, the jury returned a verdict in the sum of $13,732.95.

September 6, 1980, notice of entry of judgment.

November 12, 1980, notice of appeal of judgment.

Miller raises two issues on appeal. His first issue is that “Freedom Farm” was the real party in interest, in that the ownership of the land had been conveyed to a trust by that name and Freedom Farm was not represented at the trial. Miller conceded in the hearing before the trial court that no documents showing a conveyance of interest from Miller or the Miller Trust to Freedom Farm had been recorded at the time of trial. It is undisputed that the record title to the property in question was held by Miller Trust and not by Freedom Farm. Also apparent from the record is the fact that a one-fifth interest was still retained by Miller individually at the time of the trial, although he argues that it was his intent to convey all his interest to Miller Trust albeit that had not, in fact, been accomplished.

We find no merit in Miller’s position. Although he concedes that the interest of Freedom Farm in the property was not recorded, nor did he reveal the names of the trustees thereof at the trial, Miller apparently believes that in some manner it was up to Basin Electric to ferret out that information. It is apparent that such logic could effectively prevent the acquisition of any interest in property through the eminent-domain procedure simply by an unrecorded transfer of the property. The law does not, however, condone such games. Section 32-15-18(2), N.D.C.C., requires a complaint in an eminent-domain action to contain the names “of all owners and claimants of the property, if known, or a statement that they are unknown, who must be styled defendants.” At the time of the service of the summons and complaint the record title indicated that Miller and the Miller Trust were the owners of the property in question. Section 47-19-19, N.D.C.C., provides that the record of any instrument shall be notice of the contents of the instrument, as it appears of record, as to all persons. But the conveyances from Miller Trust to Freedom Farm were not recorded nor were they introduced into evidence at the trial. Furthermore, at the time of the filing of the answer by an attorney on behalf of Miller and Miller Trust, no mention was made of the fact that the Miller Trust had been “changed over” to Freedom Farm although, according to Miller, that transaction took place more than three months prior to the service of the summons and complaint by Basin Electric. In fact, such answer admits that “the persons listed thereon are listed accurately as to their names and interest, ...”

Rule 8(d), N.D.R.Civ.P., provides that averments in a pleading to which a responsive pleading is required, other than those as to the amount of damage, are admitted when not denied in the responsive pleading. Rule 9(a), N.D.R.Civ.P., provides, in part:

“. .. When a party desires to raise an issue as to the legal existence of any party or the capacity of any party to sue or be sued or the authority of a party to sue or be sued in a representative capacity, he shall do so by specific negative averment, which shall include such supporting particulars as are peculiarly within the pleader’s knowledge.”

The trial court treated Miller’s affidavit of July 21,1980, as a motion to amend the answer. But such charitable treatment does not satisfy the requirements of Rule 9(a). Miller, however, assumes that his responsibility was ended by the attachment of a letter to the motion Miller’s counsel filed to withdraw as counsel in the case. That letter from Miller is addressed to Miller’s former attorney and contains only an ob *718 lique reference to change in the ownership of the property. Miller, admitting through his answer that he and the Miller Trust were the owners of interest in the property, had a responsibility to inform the court and counsel for Basin Electric directly that he no longer was a trustee or owner of the property and that the property had been conveyed to Freedom Farm. Moreover, that information should have contained the names and addresses of the trustees of Freedom Farm, information Miller refused to divulge without the consent of those trustees at the time of trial.

The trial court denied what it considered Miller’s motion to amend the answer. The trial court held that Miller was a party in interest. Miller owned one-fifth of the property, although he contended it was his intention to transfer all his ownership at the time of the conveyance to the Miller Trust; but the public is entitled to rely upon the record title to property, not the unknown intentions of the individual conveyor of the property.

The record does not reflect whether or not Miller informed the trustees of Freedom Farm that the eminent-domain proceeding had been instituted and was going to trial. If he did not, he should have done so in order that the trustees, whoever they may be, could make an appearance in the action. By continuing to represent himself at the trial and by continuing to pursue this appeal it would appear that Miller does, indeed, have an interest in the property in question.

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Bluebook (online)
310 N.W.2d 715, 1981 N.D. LEXIS 327, Counsel Stack Legal Research, https://law.counselstack.com/opinion/basin-electric-power-cooperative-v-miller-nd-1981.