Consol. Land Co. v. Capstone Holding Co., Unpublished Decision (12-31-2002)

CourtOhio Court of Appeals
DecidedDecember 31, 2002
DocketCase No. 02-BA-22.
StatusUnpublished

This text of Consol. Land Co. v. Capstone Holding Co., Unpublished Decision (12-31-2002) (Consol. Land Co. v. Capstone Holding Co., Unpublished Decision (12-31-2002)) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Consol. Land Co. v. Capstone Holding Co., Unpublished Decision (12-31-2002), (Ohio Ct. App. 2002).

Opinion

OPINION
{¶ 1} Defendants-appellants, Capstone Holding Company (Capstone) and Loy Reclamation Project (Loy), appeal from the decision of the Belmont County Court of Common Pleas: (1) declaring that plaintiffs-appellees, Consolidated Land Company (Consolidated) and Belmont Coal, Inc. (Belmont Coal), have express rights to mine and remove certain coal beneath appellants' surface land; (2) enjoining appellants from constructing and/or operating a landfill on the property at issue and from interfering with appellees' mining; and (3) declaring that appellees shall be liable for damages, if any, to Capstone's surface land caused by mining operations.

{¶ 2} This case deals with a dispute between the surface owners of several parcels of property and the subsurface coal owners of the same property. Consolidated is the owner of the subsurface coal estates. It also owns the surface rights and privileges "needful or useful" and "proper and necessary" to mine and remove the coal. The coal-mining rights were severed from the surface estates by three deeds. The First Deed was recorded December 7, 1901 at Volume 136, page 45 of the records of Belmont County Recorder's Office (First Deed). The Second Deed was recorded December 7, 1901 at Volume 136, page 47 of the records of Belmont County Recorder's Office (Second Deed). The Third Deed was recorded October 16, 1907 at Volume 169, page 430 of the records of Belmont County Recorder's Office (Third Deed). Consolidated acquired the coal-mining rights in 1995. Consolidated leased the coal estates to Belmont Coal, who now wishes to mine the coal. Capstone acquired the surface estates, which overlay the coal estates, in 1999. In January 2000, Loy contracted with Capstone to purchase the surface estates upon which Loy plans to construct and operate a construction and demolition debris (CDD) landfill.

{¶ 3} On March 26, 2001, Consolidated filed a complaint for a declaratory judgment and preliminary and permanent injunctive relief against appellants. Consolidated asked the court to declare, recognize and protect certain mineral and surface rights it held in the Pittsburgh No. 8 coal seam underneath surface estates owned by Capstone. Consolidated requested that the court issue an injunction to prevent Loy from constructing the proposed CDD landfill on Capstone's property. Capstone filed a counterclaim for declaratory judgment requesting that the court declare the extent of its surface rights in an area known as the McKelvey Deed land. Belmont Coal was later joined as a party-plaintiff.

{¶ 4} The case proceeded to a bench trial in November of 2001. The following facts are gathered from the trial court's Findings of Fact and Conclusions of Law in Support of Decision of Court of April 1, 2002 (Findings Conclusions).

{¶ 5} When Capstone acquired the surface estates, the land was subject to a reclamation obligation from the Ohio Department of Natural Resources (ODNR) because the surface estates had been strip-mined. When Loy purchased the surface estates, it could not begin construction of the CDD landfill because the reclamation obligation had not yet been satisfied. In September 2000, Loy applied to the Ohio Environmental Protection Agency (OEPA) for a CDD landfill license. The OEPA issued Loy a license on February 23, 2001 to construct and operate a CDD landfill on the surface estates. Per OEPA regulations, Loy applied for a renewal of said license in September of 2001. Because of an appeal with the Environmental Review Appeals Commission, Loy's license was vacated and remanded back to the OEPA. In June 2001, Belmont Coal applied to the ODNR for a permit to mine the coal using the longwall method.1 Appellees assert that the longwall method is the only way they can mine all of the coal economically thereby making the longwall method both "needful or useful" and "proper and necessary."

{¶ 6} Loy's planned CDD landfill would be located above Belmont Coal's mines. Appellees presented evidence that the placement of the proposed landfill would impermissibly interfere with longwall coal mining. Belmont Coal is required to submit a subsidence control plan to the ODNR with its mining application and must demonstrate that it can repair or remediate damage caused by subsidence. Appellees presented evidence that Belmont Coal cannot propose any subsidence plan for longwall mining under which it will be able to repair the damage it will cause to the landfill structure. Appellees' evidence demonstrated subsidence would crack or fracture the landfill's soil liner and leachate collection system allowing the leachate to leak into the ground water.2 Appellees' evidence revealed they could not repair or prevent the damage subsidence will cause to a landfill and the subsequent water pollution. Therefore, the trial court found appellees proved the ODNR would deny Belmont Coal's longwall mining application. (Findings Conclusions, paragraph 91, p. 16). If Belmont Coal cannot mine by the longwall method, its ability to mine the coal beneath the landfill will be eliminated. (Findings Conclusions, paragraph 96, p. 17).

{¶ 7} Based on this evidence, the trial court issued the following rulings in its April 1, 2002 judgment entry. It declared that, per the First, Second, and Third Deeds, appellees have express rights to mine and remove all of the No. 8 coal seam under appellants' surface as well as superior mining rights and privileges that permit appellees to impact upon appellants' surface rights when using "needful or useful" and "proper and necessary" methods incidental to the coal mining. It issued a permanent injunction enjoining appellants from constructing and/or operating a CDD landfill on the property at issue and/or using the property in a manner which otherwise interferes with appellees' right to mine all of the No. 8 coal seam and its appurtenant property rights to impact the surface when using "needful or useful" and "proper and necessary" methods incidental to the mining. Finally, the court declared Capstone is entitled to rights of subjacent or lateral support to the surface of the land described in the McKelvey Deed and appellees shall be liable for damages, if any, to the surface of the land that are caused by appellees' failure to leave the required support. It is from this decision that appellants filed their timely notice of appeal on April 25, 2002.

{¶ 8} Appellants raise two assignments of error, the first of which states:

{¶ 9} "THE TRIAL COURT ERRED IN ITS ORDER OF APRIL 1, 2002 IN ITS DECLARATION OF THE PROPERTY RIGHTS HELD BY CONSOLIDATED LAND COMPANY AND BELMONT COAL, INC. AND BY PERMANENTLY ENJOINING CAPSTONE HOLDING COMPANY AND LOY RECLAMATION LLC FROM CONSTRUCTING AND OPERATING A CDD LANDFILL ON 270.7678 ACRES OF LAND LOCATED IN BELMONT COUNTY, OHIO."

{¶ 10} Appellants broke down their first assignment of error into four distinct issues, which we will address separately. The first issue states as follows:

{¶ 11} "The trial court erred in finding that the coal deeds at issue demonstrate that the grantor waived its right to make lawful uses of the surface if those uses would prevent the coal mine operator from obtaining a permit to mine from the State."

{¶ 12}

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Bluebook (online)
Consol. Land Co. v. Capstone Holding Co., Unpublished Decision (12-31-2002), Counsel Stack Legal Research, https://law.counselstack.com/opinion/consol-land-co-v-capstone-holding-co-unpublished-decision-12-31-2002-ohioctapp-2002.