Delano v. Pike

CourtIdaho Court of Appeals
DecidedDecember 10, 2025
Docket52723
StatusPublished

This text of Delano v. Pike (Delano v. Pike) is published on Counsel Stack Legal Research, covering Idaho Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Delano v. Pike, (Idaho Ct. App. 2025).

Opinion

IN THE COURT OF APPEALS OF THE STATE OF IDAHO

Docket No. 52723

JULIE DELANO, LYNN FRANCK, ) NICK NICKOLOFF and MARY LEE ) Opinion Filed: December 10, 2025 NICKOLOFF, husband and wife; ) LAURA SPENCER, TIM ROBERTS and ) Melanie Gagnepain, Clerk JOYCE ROBERTS, husband and wife; ) HAROLD BRITAIN and PAULETTE ) BRITAIN, husband and wife; ALTON ) HOWELL and ARLENE HOWELL, ) husband and wife; LARRY DALKE and ) YVONNE DALKE, husband and wife; ) RONALD SIKORA and TINA SIKORA, ) husband and wife; and SALLY ) GRABOSKI, ) ) Plaintiffs-Appellants, ) ) and ) ) JOHN HENGESH and CHARLENE ) HENGESH, husband and wife; TOM ) IVERSON and TRACY IVERSON, ) husband and wife; and BRADLEY LINK ) and DIANE LINK, husband and wife, ) ) Plaintiffs, ) v. ) ) JEFFREY PIKE and LISA PIKE, ) husband and wife, ) ) Defendants-Respondents. ) )

Appeal from the District Court of the First Judicial District, State of Idaho, Bonner County. Hon. Lamont C. Berecz, District Judge.

Judgment dismissing complaint, affirmed.

Davillier Law Group, LLC; Allen J. Shoff, Sandpoint, for appellants. Daniel L. Rodriguez argued.

Hickey Law Firm, PLLC; Josh Hickey, Sandpoint, for respondents. Josh Hickey argued. ________________________________________________

1 HUSKEY, Judge Julie Delano, Lynn Franck, Nick Nickoloff, Mary Lee Nickoloff, Laura Spencer, Tim Roberts, Joyce Roberts, Harold Britain, Paulette Britain, Alton Howell, Arlene Howell, Larry Dalke, Yvonne Dalke, Ronald Sikora, Tina Sikora, and Sally Graboski (“Homeowners”)1 appeal from the district court’s judgment holding that their subdivision’s covenants, conditions, and restrictions (“CC&Rs”) do not prohibit Jeffrey Pike and Lisa Pike (the “Pikes”) from operating platform-based, short-term rentals of their property. We hold the district court did not err in finding that paragraph 6 of the CC&Rs does not prohibit short-term rentals of residential property. I. FACTUAL AND PROCEDURAL BACKGROUND All parties in this case are homeowners in Swan Shores, a neighborhood consisting of thirty lots. The neighborhood was platted in 1979; the original CC&Rs were adopted in 1979 and amended in 1980. The Pikes have, from time to time, listed their home on Airbnb as a short-term rental. When the Pikes listed their home for sale, several neighbors were concerned that the real estate listing indicated the home could be rented out as a vacation rental. Homeowners wished to prevent the Pikes from offering their home as a short-term rental and filed a complaint for declaratory relief. At issue is paragraph 6 of the CC&Rs, which reads: “No commercial enterprises shall be conducted upon said real property. This shall not prevent the private renting of a dwelling on any lot.” Both parties filed motions for judgment on the pleadings arguing paragraph 6 is plain and unambiguous. Homeowners argued the plain meaning of paragraph 6 prohibits the commercial short-term rentals of the Pikes’ property. The Pikes argued the plain language of paragraph 6 permits the short-term rentals of their property. The Pikes also request attorney fees on appeal. The district court granted the Pikes’ motion for judgment on the pleadings, denied Homeowners’ motion, and entered a judgment dismissing the complaint. Homeowners appeal. II. STANDARD OF REVIEW This Court reviews a ruling on a motion for judgment on the pleadings applying the same standard as for summary judgment. Trimble v. Engelking, 130 Idaho 300, 302, 939 P.2d 1379,

1 John Hengesh, Charlene Hengesh, Tom Iverson, Tracy Iverson, Bradley Link, and Diane Link, were plaintiffs in the underlying case but are not parties to this appeal. 2 1381 (1997). On appeal, we exercise free review in determining whether a genuine issue of material fact exists and whether the moving party is entitled to judgment as a matter of law. Edwards v. Conchemco, Inc., 111 Idaho 851, 852, 727 P.2d 1279, 1280 (Ct. App. 1986). Summary judgment is proper if the pleadings, depositions, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law. I.R.C.P. 56(c). III. ANALYSIS Homeowners make two arguments on appeal. First, they argue the district court erred in finding the plain language of paragraph 6 does not expressly prohibit either short-term or long- term rentals. Second, they argue the district court erred in resolving any ambiguity in paragraph 6 in favor of the “free use of land” doctrine without first attempting to ascertain the drafters’ intent. The Pikes argue Homeowners failed to preserve their argument regarding the interpretation of paragraph 6; the canons of construction do not apply to unambiguous terms; and the district court correctly applied relevant precedent in finding that paragraph 6 is clear and unambiguous and permits short-term rentals. Alternatively, the Pikes argue the district court correctly resolved any ambiguity in favor of their free use of the land. A. CC&R’s The district court found both parties argued paragraph 6 is plain and unambiguous. The district court found Homeowners’ interpretation that “[t]he distinction between a commercial short-term rental offered to the public and a non-commercial private rental of a residence is clear and obvious” was “far from clear and obvious.” However, the district court recognized that when it comes to restrictions on property, “the law is unequivocal.” The district court then cited language from Jacklin Land Co. v. Blue Dog RV, Inc., 151 Idaho 242, 246, 254 P.3d 1238, 1242 (2011), which reads: Because restrictive covenants are in derogation of the common law right of a person to use land for all lawful purposes, covenants are not to be construed to extend by implication any restriction not clearly expressed in the covenants. Rather, [a]ll doubts and ambiguities are to be resolved in favor of the free use of land. Therefore, while clearly expressed restrictions will be upheld, restrictions that are not clearly expressed will be resolved in favor of the free use of land.

3 (Internal citation and quotation marks omitted.) The district court concluded the plain language of paragraph 6 does not clearly prohibit short-term rentals and therefore must be resolved in favor of the free use of land. The district court also relied on, and both parties cite to, Pinehaven Planning Bd. v. Brooks, 138 Idaho 826, 70 P.3d 664 (2003), although the parties’ arguments differ in their interpretation and application of Pinehaven. At issue in Pinehaven was whether the CC&Rs permitted the short- term rental of a cabin in the Pinehaven Subdivision. Id. at 827, 70 P.3d 665. There were three covenants at issue, Covenants 10, 12, and 27. Covenant 10 read: “‘[n]o commercial or industrial ventures or business of any type may be maintained or constructed’ upon any residential lot.” Id. Covenant 12 provided “no more than one (1) single family dwelling may be constructed” upon any residential lot. Id. Covenant 27 indicated, “The Uniform Building Code shall be used to define any term not defined herein.” Id. at 827-28, 70 P.3d at 665-66. The Idaho Supreme Court first set forth the foundational law relevant to the analysis: Idaho recognizes the validity of covenants that restrict the use of private property. When interpreting such covenants, the Court generally applies the rules of contract construction.

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Related

Jacklin Land Co. v. Blue Dog RV, Inc.
254 P.3d 1238 (Idaho Supreme Court, 2011)
Thomson v. Olsen
205 P.3d 1235 (Idaho Supreme Court, 2009)
Mutual of Enumclaw Insurance v. Roberts
912 P.2d 119 (Idaho Supreme Court, 1996)
Rendon v. Paskett
894 P.2d 775 (Idaho Court of Appeals, 1995)
Pass v. Kenny
797 P.2d 153 (Idaho Court of Appeals, 1990)
Edwards v. Conchemco, Inc.
727 P.2d 1279 (Idaho Court of Appeals, 1986)
Trimble v. Engelking
939 P.2d 1379 (Idaho Supreme Court, 1997)
Sanchez v. Arave
815 P.2d 1061 (Idaho Supreme Court, 1991)
Bach v. Bagley
229 P.3d 1146 (Idaho Supreme Court, 2010)
Pinehaven Planning Board v. Brooks
70 P.3d 664 (Idaho Supreme Court, 2003)
Adams v. Kimberley One Townhouse Owner's Ass'n
352 P.3d 492 (Idaho Supreme Court, 2015)

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Bluebook (online)
Delano v. Pike, Counsel Stack Legal Research, https://law.counselstack.com/opinion/delano-v-pike-idahoctapp-2025.