BUNN LAKE PROPERTY OWNER'S ASS'N v. Setzer

560 S.E.2d 576, 149 N.C. App. 289, 2002 N.C. App. LEXIS 214
CourtCourt of Appeals of North Carolina
DecidedMarch 19, 2002
DocketCOA01-23
StatusPublished
Cited by9 cases

This text of 560 S.E.2d 576 (BUNN LAKE PROPERTY OWNER'S ASS'N v. Setzer) is published on Counsel Stack Legal Research, covering Court of Appeals of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
BUNN LAKE PROPERTY OWNER'S ASS'N v. Setzer, 560 S.E.2d 576, 149 N.C. App. 289, 2002 N.C. App. LEXIS 214 (N.C. Ct. App. 2002).

Opinion

BIGGS, Judge.

This appeal arises from a dispute over lakefront structures that S. Chris Setzer (defendant) erected on Bunn Lake, in Wake and Franklin *291 Counties, in North Carolina. For the reasons that follow, we affirm the trial court.

The facts, as established by the record, are as follows: Bunn Lake is a man-made body of water created in the 1960’s. In 1966, Bunn Lake Estates, Inc., the owner of the land that includes Bunn Lake, subdivided the property to create Bunn Lake Subdivision. The Bunn Lake Property Owners Association (plaintiff), is the homeowners’ association for Bunn Lake Subdivision. In 1978, plaintiff adopted its bylaws, and recorded restrictive covenants. These covenants and bylaws address the type of structures that Bunn Lake residents are permitted to build on the lake. The relevant restrictions are summarized as follows:

1. Lakefront homeowners may have one waterfront boating or fishing pier, whose dimensions over the water are not to exceed 25 feet by 15 feet;
2. Subdivision homeowners are required to get plaintiff’s prior approval before constructing a waterfront dock or pier;
3. Plaintiff’s Lake Committee evaluates homeowners’ requests for permission to construct a pier or dock, and reports to plaintiff’s board of directors whether the proposed structure complies with the restrictive covenants and bylaws;
4. Plaintiff’s board of directors is the only group authorized under the bylaws or covenants to grant approval of homeowners’ construction projects.

In 1992, defendant acquired a lakefront lot in Bunn Lake Subdivision, subject to plaintiff’s bylaws and restrictive covenants. At that time, defendant’s property already had a concrete walkway and a partially enclosed boat house extending over Bunn Lake. During the following five years, defendant constructed k screen house, a wood deck, a stone planter, a floating dock, and expanded the boat house and dock, without obtaining plaintiff’s permission.

In October 1997, defendant began further expansion of his lakefront structures, including: replacement of the existing sea wall by a new wall; extension of his pier further into the lake bed; enlarging the dimensions of his boat house; and adding a new screen porch on the existing dock. Defendant was told by a representative of plaintiff’s Lake Committee to stop construction until he had obtained approval from plaintiff’s board of directors. Defendant refused to stop con *292 struction, which was followed by several months of controversy in Bunn Lake Subdivision over defendant’s waterfront construction projects. Plaintiffs board of directors held several meetings, and took the following actions:

1. On 18 November 1997 plaintiff’s board of directors, of which defendant was a member, held a meeting which defendant attended. They discussed the covenants and bylaws requiring all homeowners to get prior approval for dock expansions.
2. On 25 November 1997 plaintiff’s Lake Committee requested in writing that defendant submit his construction plans for plaintiff’s review and possible approval.
3. Defendant responded to plaintiff’s request on 27 November 1997 with a drawing of his proposed building project, and a letter arguing that his project was “exempt” from the requirements of Bunn Lake Subdivision bylaws.
4. On 17 December 1997, plaintiff’s board of directors met, and the Lake Committee representative formally recommended that the board reject defendant’s request. The board voted to conditionally approve defendant’s plans, provided that defendant’s construction plans subsequently received approval by the subdivision’s entire membership.
5. Plaintiff’s board met on 18 January 1998, and was informed by the board’s attorney that it lacked the authority to approve a project that did not conform to plaintiff’s bylaws and restrictive covenants, regardless of the results of the proposed neighborhood referendum.
6. The board voted not to approve defendant’s construction, and decided that if defendant did not stop his waterfront construction, plaintiff would institute legal action.

On 18 February 1998, plaintiff filed suit against defendant, alleging that defendant’s piers and other structures were in violation of plaintiff’s bylaws and encroached on plaintiff’s property. The complaint also named defendant’s wife as a party; however, the suit against her was subsequently dismissed because she was not an owner of the property. Defendant’s answer and counterclaim, filed in April, 1998, raised the defenses of equitable estoppel, waiver and selective enforcement, laches, and the statute of limitations. Defendant also filed a counterclaim for misrepresentation, slander of *293 title, and an action to compel plaintiff to enforce its bylaws uniformly. On 22 April 1999, plaintiffs claims against defendant’s wife, as well as defendant’s claim of misrepresentation, were dismissed by Judge James Spencer, Jr. On 19 May 1999, plaintiff filed a motion for summary judgment, which was followed by defendant’s summary judgment motion filed on 5 November 1999.

On 24 March 2000, Judge Wade Barber issued an order granting partial summary judgment to plaintiff. The trial court found that the only genuine question of material fact was the location of the boundary line between plaintiff’s lake bed and defendant’s property line. The trial court concluded that there were no other genuine issues of material fact, and that plaintiff was entitled as a matter of law to summary judgment on “all the remaining issues in this action.” Accordingly, the trial court denied defendant’s motion for summary judgment, and granted plaintiff’s summary judgment motion with respect to all of defendant’s affirmative defenses, and on the issue of defendant’s encroachment on plaintiff’s lake bed. The significant conclusions of law in the summary judgment order are summarized as follows:

1. Defendant has an easement appurtenant to his ownership of a waterfront lot in Bunn Lake Subdivision, allowing him to have one boat or fishing pier, not over 375 square feet.
2. Structures erected by defendant or by his predecessors such as a sea wall, boat house, concrete boat ramp, and screen porch, are not within the scope of the easement, and are an encroachment on plaintiff’s lake bed.
3. Structures erected by defendant or by his predecessors in excess of 375 square feet are an encroachment upon plaintiff’s lake bed.
4. Plaintiff did not grant approval for defendant to expand his waterfront structures.
5. Defendant knew that approval for construction could only come from a formal decision of plaintiff’s board of directors, and that individual officers have no authority to grant approval for construction.
6.

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Bluebook (online)
560 S.E.2d 576, 149 N.C. App. 289, 2002 N.C. App. LEXIS 214, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bunn-lake-property-owners-assn-v-setzer-ncctapp-2002.