Burnside v. Thriftway Marketing Corp.

7 Navajo Rptr. 152
CourtNavajo Nation Supreme Court
DecidedAugust 17, 1995
DocketNos. SC-CV-38-94, SC-CV-45-94
StatusPublished

This text of 7 Navajo Rptr. 152 (Burnside v. Thriftway Marketing Corp.) is published on Counsel Stack Legal Research, covering Navajo Nation Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Burnside v. Thriftway Marketing Corp., 7 Navajo Rptr. 152 (navajo 1995).

Opinion

OPINION

Opinion delivered by

CADMAN, Associate Justice.

This opinion decides two appeals with similar facts and legal issues. Both appeals are Navajo Nation forcible entry and detainer actions under 16 N.T.C. §8 1801-1810 (1978).

[153]*153I. FACTS

A. Burnside

The Appellants, George R. and Mary E. Burnside (“Burnside”), are lessees of Navajo Nation trust land. The land is located within the exterior boundaries of the Navajo Nation at the junction of Arizona Elighway 264 and U.S. Highway 191 near Ganado, Navajo Nation (Arizona).

On October 19,1978, the Navajo Nation granted Burnside a fifteen-year business site lease (“Base Lease”) with an option to renew for an additional ten years. Paragraph 11 of the Base Lease explicitly provides that any sublease of the leasehold interest is subject to approval by the Navajo Nation and the Secretary of the United States Department of the Interior (“Secretary”), and that any sublease without such approval shall not be valid or binding.

Upon granting the Base Lease, the Navajo Nation also approved a sublease of the property (“Sublease”) to the Appellee, Thriftway Marketing Corporation (“Thriftway”). The term of the Sublease was ten years from the date of approval by the Secretary. Approval was granted for both the original Base Lease and the original Sublease on November 14, 1978.

Following approval of the Base Lease and the Sublease, the parties set aside a portion of the four-acre plot to build and operate a convenience store and gas station, called “Burnside’s Thriftway.”

Anticipating the Sublease’s expiration in November, 1988, on June 29, 1988, the parties agreed to extend the Sublease an additional five years (until November 14, 1993). In addition, Burnside granted Thriftway an option to extend the Sublease for two additional five year periods. This purported extension of the Sublease and the option were not approved by the Navajo Nation or the Secretary.

In October 1993, Burnside exercised its option to extend the Base Lease for an additional ten years to November, 2003. On July 1, 1994, Burnside demanded that Thriftway vacate the premises by August 1, 1994. Thriftway did not vacate and affirmatively refused to vacate.

On August 18, 1994, Burnside sued Thriftway under the Navajo Nation forcible entry and detainer statute.

B. Nakai

On May 4, 1969, the Navajo Nation entered into a Base Lease with the Appellee, Raymond Nakai Sr. (“Nakai”) for an approximately three-acre parcel of Navajo Nation trust land at Lulcachukai Junction. The leased premises is located within the exterior boundaries of the Navajo Nation. The original term of the Base Lease was twenty-five years, beginning on the date of approval by the Secretary, with an option to renew for an additional twenty-five years. The Base Lease was approved by the Secretary on May 14, 1969.

[154]*154On June 14, 1978, Nakai entered into the Sublease with Thriftway Marketing Corporation (“Thriftway”) for the operation of a gas station and convenience store on one-acre of the parcel leased to Nakai under the Base Lease. It was subject to the terms of the Base Lease. The Sublease was approved by the Secretary on August 11,1978. Both the Base Lease and the Sublease expired on May 14,1994.

On June 14, 1994, Nakai exercised his option to renew the Base Lease for an additional twenty-five years and obtained approval from both the Navajo Nation and the Interior Department. However, Nakai did not agree to renew Thriftway’s Sublease.

On May 9, 1994, Nakai sent a letter to Thriftway stating that the Sublease would terminate May 14, 1994, and that it would not be renewed. In the letter, Nakai asked Thriftway to vacate the subleased premises by May 14, 1994. Thriftway did not vacate and continues to occupy the property and conduct business operations. On September 26,1994, Nakai sued Thriftway under the Navajo Nation forcible entry and detainer statute.

II. FORCIBLE ENTRY AND DETAINER

The threshold issue in these appeals is the proper scope of the Navajo Nation forcible entry and detainer statute. In this consolidated opinion, the Court will define appropriate causes of action under the statute.

Under the Navajo forcible entry and detainer statute, a person is guilty of forcible entry and detainer if he or she willfully “holds over any lands, tenements or other real property after termination of his right to possession thereof.” 16 N.T.C. § 1801(a) (2). To regain possession of the real property under subsection 1801(a) (2), a plaintiff lessor must show the following: 1) the defendant’s right to possession has terminated; 2) the plaintiff is entitled to possession; and 3) the plaintiff has made a written demand for possession of the premises in dispute.

A forcible entry and detainer action is a summary statutory action to adjudicate possession rights, and it should not be burdened by matters that are not related to the issue of possession. Section 1805(a) states, “on the trial of an action of forcible entry or forcible detainer, the only issue shall be the right of actual possession and the merits of title shall not be inquired into.” The statute distinguishes between an action raising the legal question of who “owns” the fee title to the land (e.g., the ancient action in ejectment) and an action determining the legal right of possession. Therefore, the forcible entry and detainer action is designed to determine possessor rights to land, which is any interest other than fee simple title.

Clearly, the scope of the Navajo Nation forcible entry and detainer statute includes causes of action related to possession. For example: 1) actions asserting a superior right of possession; 2) actions regarding the breach of an agreement granting the right of possession to the plaintiff; 3) actions establishing or challenging the validity or enforceability of an agreement on which a right of possession is based; and 4) actions questioning the plaintiff’s motivation for bring[155]*155ing the action. See, People ex rel. Department of Transportation v. Walliser, 258 Ill. App.3d 782, 788, 629 N.E.2d 1189, 1194 (1994). In addition, the statute is designed to address occupancy by trespass or squatting and other wrongful possession of land.

This Court finds that the claims in both Burnside and Nakai can properly proceed under the forcible entry and detainer statute.

III. Burnside v. Thriftway

In Burnside, the Window Rock District Court erred in holding that inquiry into the contract’s validity is beyond the scope of a forcible entry and detainer action. The district court improperly refused to analyze the contract’s validity by finding that such analysis is a question of the merits of title and not possession. The contract in Burnside does not confer title upon Thriftway for the purposes of an inquiry into the merits of title, but only the right to possess and use land for a period of time. Therefore, the district court erred by not interpreting the contract instruments (i.e., the Base Lease and Sublease) to decide what interest Thriftway had in possession of the land.

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Bluebook (online)
7 Navajo Rptr. 152, Counsel Stack Legal Research, https://law.counselstack.com/opinion/burnside-v-thriftway-marketing-corp-navajo-1995.