Briarcliffe Acres v. BRIARCLIFF REALTY CO., INC.

206 S.E.2d 886, 262 S.C. 599, 1974 S.C. LEXIS 364
CourtSupreme Court of South Carolina
DecidedJuly 11, 1974
Docket19857
StatusPublished
Cited by15 cases

This text of 206 S.E.2d 886 (Briarcliffe Acres v. BRIARCLIFF REALTY CO., INC.) is published on Counsel Stack Legal Research, covering Supreme Court of South Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Briarcliffe Acres v. BRIARCLIFF REALTY CO., INC., 206 S.E.2d 886, 262 S.C. 599, 1974 S.C. LEXIS 364 (S.C. 1974).

Opinions

Littlejohn, Justice:

The plaintiffs-appellants are certain individuals, who own real estate within the Briarcliffe Acres Subdivision located near Myrtle Beach, South Carolina, and Briarcliffe Acres, which is an eleemosynary corporation. The individuals bring this action in their own behalf and as representatives of a class of property owners similarly situated.

The defendant-respondent, Briarcliffe Realty Company, Incorporated, is a business corporation which owned 640 acres of land and has developed, and is developing, it into a residential community known as “Briarcliffe Acres Subdivision.”

In 1954 the realty company undertook to vest in the eleemosynary corporation certain rights of management and control over the roads, parks, lakes and beachfront areas (hereinafter called the common areas) in the subdivision. In 1968 the realty company undertook to revoke those rights.

[602]*602This action was commenced by the plaintiffs to enjoin the defendant realty company from interfering with the exercise of management and control by the eleemosynary corporation. Whether or not the injunction should be granted depends largely upon an interpretation of a written declaration, dated July 12, 1954, by the realty company. The complaint asked the court to issue a declaratory judgment under § 10-2001 et seq. of the Code of Laws of South Carolina for 1962.

The plaintiffs contend that the “Declaration” vests in the eleemosynary corporation a perpetual right or easement of management and control of the Briarcliffe Acres Subdivision, including the lakes, roads, parks, easements, beach front areas, and other similar facilities existing in the subdivision.

The defendant denies there was ever any intent to grant such permanent management and control to the eleemosynary corporation, and denies that such permanent management and control was granted; additionally, defendant contends that if the right of management and control was granted, it was a revocable right subject to conditions and reservations, and that the defendant effectively and rightfully revoked the rights. It is further the defendant’s contention that the individual plaintiffs are entitled only to the rights which are set forth in their deeds.

The parties are also in dispute as to what area constitutes the beach front referred to in the declaration. There is additionally in contest what right, if any, the realty company has to modify the subdivision plan by changing the size or shape of lots, the width, grade and direction or location of streets, and the closing of streets, provided such changes do not affect lots previously sold.

The case was referred to and heard by the Master in Equity. He found that the realty company intended to and did grant the eleemosynary corporation a perpetual right and easement to control and manage the common areas for the general use of the property owners. He defined the [603]*603beach-front area by reference to defendant’s exhibit 2, a plat entitled “First Portion of Briarcliffe Acres Incorporated,” dated November 11, 1946, and recorded in the office of the Clerk of Court for Horry County on November 12, 1946. (This plat delineates a beach-front area of approximately 900 linear feet; the remainder of the beach front is divided into 21 lots which vary in width from 76 feet to 102 feet.) The result of this is to designate about 900 feet as “common area” and leave about 2700 feet in fee to be sold by the realty company.

Both plaintiffs and defendant excepted to the master’s report. After a hearing, the trial judge issued his decree reversing the master in part. He held that the right granted the eleemosynary corporation to control and manage the common areas was a license revocable by its terms and not an easement in perpetuity. The judge affirmed the master’s holding that the beach-front area was indicated by defendant’s exhibit 2, and that the realty company had the right to modify the plan.

In this appeal, plaintiffs allege error on the part of the trial judge in refusing the injunction, in failing to hold that the eleemosynary corporation had a perpetual right and easement to control the common areas, in failing to hold that the realty company was estopped to deny the rights of the plaintiffs, in improperly designating the beach-front area, in failing to hold that the realty company was estopped to deny that the beach-front area was as contended for by the plantiffs and shown on plaintiffs’ exhibit 24, and in holding that the realty company had reserved the right to modify the subdivision plan by making changes which did not affect any lot previously sold.

Plaintiff’s exhibit 24 (plat) shows about 3600 feet of beach front with no building lots indicated. Instead it indicated “reserved for cabana sites.” If this plat is controlling there will be 3600 feet of common area beach front instead of 900 feet. The plat is dated October 1, 1954.

[604]*604A summary of the facts leading up to the commencement of this action is necessary for an understanding of the issues involved:

In 1954, the realty company owned the Briarcliffe Acres Subdivision. It contained 640 acres and was approximately one mile square, fronting on the Atlantic Ocean and bounded on the northwest by the intracoastal waterway. At that time, K. C. Ellsworth owned 45% of the stock in the company, and the development is a prolongation of his vision and plan. It was his idea to develop a retirement community governed to a degree by the property owners therein. Plats of the property show roads, parks, inland lakes, beach-front areas, and building lots. Ellsworth was, for all intents and purposes, the corporation from 1954 until he sold his stock in 1966. At that time Charles S. Krampf (owner of 51% of the stock) became President, and he has apparently been in control of the company’s business since that time. It was he who in 1968 attempted to revoke the rights which had been granted to the eleemosynary corporation.

On June 8, 1954, Briarcliffe Acres, an eleemosynary corporation, was charted by the Secretary of State. Its managers, trustees, directors and officers were W. H. Sory, James E. Cooney, and Florentine L. Cooney, all active in Briarcliffe Realty Company, Incorporated. The purpose of the corporation is set forth in Article 4 of its Constitution and By-Laws, as follows:

“The purpose of this corporation or association shall be to promote and improve the community of Briarcliffe Acres Development, to organize a social club, and to do all things therein and thereunder to advance good neighborly feelings and brotherhood, to promote a governing body of the community to better formulate and carry out policies and programs of the community, and to extend help and aid to its members in the community of Briarcliffe Acres Development.

[605]*605“That by virtue of the recorded maps and plats showing the general development plan for Briarcliffe Acres Development, showing also thereon, roads, easements, parks, lakes, and other facilities existing an nonexisting at the present time, together with the beach front area as reserved, this organization and association has as its purpose to organize and control the use of these various and sundry facilities to the best advantages to the community, and in connection therewith to organize and formulate rules, regulations and controlling uses of same.

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Briarcliffe Acres v. BRIARCLIFF REALTY CO., INC.
206 S.E.2d 886 (Supreme Court of South Carolina, 1974)

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Bluebook (online)
206 S.E.2d 886, 262 S.C. 599, 1974 S.C. LEXIS 364, Counsel Stack Legal Research, https://law.counselstack.com/opinion/briarcliffe-acres-v-briarcliff-realty-co-inc-sc-1974.