Callaghan Ranch, Ltd (Appellant/Cross Appellee) v. David Killam (Appellee/Cross Appellant)

Court of Appeals of Texas·Decided February 8, 2012·No. 04-10-00802-CV·Published

Opinion

MEMORANDUM OPINION

No. 04-10-00802-CV

CALLAGHAN RANCH, LTD.,

Appellant

v.

David KILLAM, et al.,

Appellees/Cross-Appellants

From the 341st Judicial District Court, Webb County, Texas Trial Court No. 92-CVQ-000009-D3 Honorable Ron Carr, Judge Presiding

Opinion by: Phylis J. Speedlin, Justice

Sitting: Sandee Bryan Marion, Justice Phylis J. Speedlin, Justice Marialyn Barnard, Justice

Delivered and Filed: February 8, 2012 AFFIRMED Callaghan Ranch, Ltd. filed a suit for declaratory judgment seeking a determination that a certain portion of the San Ygnacio Road (“the Road”) was impliedly dedicated to the public before 1992. The jury failed to find the portion of the Road in question was impliedly dedicated. Callaghan Ranch filed a motion for judgment notwithstanding the verdict (JNOV), arguing that it had conclusively established the implied dedication. The trial court denied the motion for JNOV, and Callaghan Ranch now appeals on that basis. On cross-appeal, Sue Spivey Killam,

Individually and as Acting Executor of the Will and Estate of Radcliffe Killam, Deceased and David W. Killam, Individually and as Executor of the Estate of Susan Terry Killam-Wilbur all d/b/a Killam Ranch (collectively, “the Killams,” unless stated otherwise) complain of the award of attorney’s fees. We affirm the judgment of the trial court.

BACKGROUND

The Callaghan Ranch was originally formed in 1865. It is presently owned by Callaghan Ranch, Ltd. The partners in the Ranch are members of the Finley family. The Ranch now consists of approximately 84,000 acres and is located entirely in Webb County.

The Killams acquired their ranch, which neighbors the Callaghan Ranch, in 1947 from the Ortiz family. In 1982, the Ranch was partitioned among Killam and Hurd family members. The Hurds received about 35,000 acres and the Killams received approximately 50,000 acres. The Road at issue runs through four ranches (the Killam Ranch, the Hurd Ranch, the Benavides Ranch, and the Callaghan Ranch) and ends 4.2 miles into the Callaghan Ranch. The portion located on the Killam Ranch is approximately 3.2 miles. The Road was defined in the jury charge as a 16.2 mile-long roadway “beginning at the convergence of Del Mar Boulevard, Casa Verde Road and San Ygnacio Road and continuing in a northeasterly direction to the southern entrance of the Callaghan Ranch.”

In 1992, World Energy Corporation (WEC), an assignee of a mineral lease located on a ranch neighboring the Killam Ranch, filed a declaratory judgment action against the Killams, alleging that a gate they erected across the Road was impeding a public roadway. Callaghan Ranch intervened, and later became the lead plaintiff. Callaghan Ranch sought a declaration that the Road is a public road by virtue of the doctrine of implied dedication. The Killams answered

the suit, contending that the Road is and has always been a private ranch road. The Killams joined Webb County as a third-party defendant.

In 2000, this court reversed a summary judgment granted in favor of the Killams and remanded the case for trial. See Callaghan Ranch, Ltd. v. Killam, 53 S.W.3d 1, 5 (Tex. App.— San Antonio 2000, pet. denied).

The case proceeded to trial in May 2010. A single question was submitted to the jury:

Do you find that the portion of the San Ygnacio Road that presently passes through the Killam Ranch (“San Ygnacio Road”) was impliedly dedicated to the public before 1992?

You are instructed that the elements of implied dedication are:

1. That the acts or inaction of the landowner or landowners over which the road traveled, at the time of the origin of public use of the road, induced the belief that such landowner(s) intended to dedicate the subject road for public use;

2. That the landowner or landowners were competent to do so;

3. That the public relied on such acts and was served by the dedication at that time;

4. That there was an offer and acceptance of the dedication by the public.

The jury answered, “No.” Callaghan Ranch then filed a motion for JNOV asserting that it conclusively established the implied dedication by presenting direct evidence that the origin of public use of the Road was shrouded in obscurity as well as evidence of unhindered continuous general public use for a period of more than 100 years. The trial court entered a judgment incorporating the jury’s negative finding on implied dedication. The Killams subsequently moved for attorney’s fees. The trial court denied the motion, stating that all parties had legitimate rights and/or interests to pursue and, therefore, each party should bear its own attorney’s fees. Callaghan Ranch now appeals, complaining of the denial of its motion for JNOV. The Killams present a single issue on cross-appeal relative to attorney’s fees.

STANDARD OF REVIEW

Judgment notwithstanding the verdict is proper where no evidence supports the jury finding on an issue necessary to liability or if a directed verdict would have been proper. See TEX. R. CIV. P. 301; Tiller v. McLure, 121 S.W.3d 709, 713 (Tex. 2003). The denial of a motion for judgment notwithstanding the verdict is reviewed under a no-evidence standard. See Tanner v. Nationwide Mut. Fire Ins. Co., 289 S.W.3d 828, 830 (Tex. 2009); Manley v. Wachovia Small Bus. Capital, 349 S.W.3d 233, 236 (Tex. App.—Dallas 2011, pet. filed). We “credit evidence favoring the jury verdict if reasonable jurors could, and disregard contrary evidence unless reasonable jurors could not.” Cent. Ready Mix Concrete Co. v. Islas, 228 S.W.3d 649, 651 (Tex. 2007). We must uphold the jury’s finding if more than a scintilla of competent evidence supports it. Tanner, 289 S.W.3d at 830. “The final test for legal sufficiency must always be whether the evidence at trial would enable reasonable and fair-minded people to reach the verdict under review.” City of Keller v. Wilson, 168 S.W.3d 802, 827 (Tex. 2005). Thus, in order to establish that it was entitled to JNOV, Callaghan Ranch must show that the evidence conclusively proved that the Road was public, and that no reasonable jury was free to think otherwise. Tanner, 289 S.W.3d at 830. “Evidence is conclusive only if reasonable people could not differ in their conclusions, a matter that depends on the facts of each case.” City of Keller, 168 S.W.3d at 816.

DISCUSSION

Applicable Law At trial and on appeal, Callaghan Ranch argued that the Killams’ predecessors in title impliedly dedicated the Road to the public. Dedication is the act of appropriating private land to the public for any general or public use. Baker v. Peace, 172 S.W.3d 82, 87 (Tex. App.—El

Paso 2005, pet. denied). Whether a road has been dedicated for public use is a question of fact. Steel v. Wheeler, 993 S.W.2d 376, 378 (Tex. App.—Tyler 1999, pet. denied); Broussard v. Jablecki, 792 S.W.2d 535, 537 (Tex. App.—Houston [1st Dist.] 1990, no writ). The elements of an implied dedication are: (1) the acts of the landowner induced the belief that the landowner intended to dedicate the road to public use; 1 (2) the landowner was competent to do so; 2 (3) the public relied on these acts and will be served by the dedication; 3 and (4) there was an offer and acceptance of the dedication. 4 Lindner v. Hill, 691 S.W.2d 590, 592 (Tex. 1985) (citing Las Vegas Pecan & Cattle Co. v. Zavala County, 682 S.W.2d 254, 256 (Tex. 1984)); see also Stein v. Killough, 53 S.W.3d 36, 42 (Tex. App.—San Antonio 2001, no pet.); Gutierrez v. County of Zapata, 951 S.W.2d 831, 839 (Tex. App.—San Antonio 1997, no writ).

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