Demoney-Hendrickson v. Larsen

527 P.3d 520, 171 Idaho 917
CourtIdaho Supreme Court
DecidedMarch 30, 2023
Docket49108
StatusPublished
Cited by8 cases

This text of 527 P.3d 520 (Demoney-Hendrickson v. Larsen) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Demoney-Hendrickson v. Larsen, 527 P.3d 520, 171 Idaho 917 (Idaho 2023).

Opinion

IN THE SUPREME COURT OF THE STATE OF IDAHO

Docket No. 49108

KRYSTAL K. DEMONEY-HENDRICKSON, ) as Personal Representative of the Estate of ) Cynthia K. Juker, ) ) Plaintiff-Counterdefendant-Respondent, ) Boise, November 2022 Term ) v. ) Opinion filed: March 30, 2023 ) REDGINALD R. LARSEN, an individual, ) Melanie Gagnepain, Clerk ) Defendant-Counterclaimant-Appellant, ) ) and ) ) THE ESTATE OF CYNTHIA K. JUKER, ) ) Third Party Defendant-Respondent. ) )

Appeal from the District Court of the Fifth Judicial District of the State of Idaho, Twin Falls County. Eric J. Wildman, District Judge.

The decision of the district court is reversed, and the case is remanded.

Wright Brothers Law Office, PLLC, Twin Falls, for Appellant. Kyle E. Bastian argued.

Vaughn Fisher and Christopher Brown, Boise, for Respondents. Vaughn Fisher argued.

ZAHN, Justice. This case concerns an action for the partition of real property. Redginald Larsen appeals from the district court’s denial of his motion for reconsideration following its grant of summary judgment brought by Krystal Demoney-Hendrickson and the Estate of Cynthia K. Juker. For the reasons stated below, we reverse the district court’s grant of summary judgment and remand the case for further proceedings.

1 I. FACTUAL AND PROCEDURAL BACKGROUND A. Factual Background In 1994, Larsen, who was then single, purchased unimproved property in Twin Falls County (the “Rock Garden Property”) as the sole owner. In 2014, Larsen and Cynthia Juker entered into a romantic relationship. Despite participating in an unofficial ceremony resembling a wedding in 2018, the two were never legally married. Shortly after their relationship began, Larsen and Juker moved into a home owned by Juker (the “Wrangler Property”). In August 2019, Larsen and Juker entered into a building contract to construct a home on the Rock Garden Property. To procure financing for the project, Larsen and Juker submitted a joint loan application that First Federal Savings Bank of Twin Falls approved. To qualify for the loan, First Federal required Larsen to execute a quitclaim deed for the Rock Garden Property that listed himself and Juker as grantees. The deed reads, Reginald [sic] R. Larsen, a single man Grantor(s) do(es) hereby convey, release, remise and forever quitclaim unto Redginald R. Larsen and Cynthia Kay Juker, Husband and Wife Grantee(s) whose address is: 3579 Rock Garden Lane North Kimberly, ID 83341 (Primary Residence) the following described premises, to- wit: [reference to attached legal description of Rock Garden Property.] (Capitalization altered; bold in original.) The deed was executed on October 4, 2019. About a month later, Juker unexpectedly passed away. Her daughter, Krystal Demoney- Hendrickson, was appointed personal representative of Juker’s estate (collectively referred to as “the Estate”). At the time of Juker’s passing, the home on the Rock Garden Property was still under construction. Larsen continued living on the Wrangler Property until construction on the Rock Garden Property finished in April 2020, after which he moved into the new home. Initially, the relationship between Larsen and Demoney-Hendrickson was amicable following Juker’s passing, but things began to unravel shortly after Larsen moved into the new home. According to Larsen, he and Juker entered into two oral agreements around the time they sought financing for the home construction. Larsen explains that, under these agreements, Juker was to sell the Wrangler Property and use the proceeds to pay down the First Federal loan. In the meantime, Larsen agreed he would be solely responsible for financing the home construction out of his separate funds. In accordance with this agreement, Larsen states he reimbursed Juker for any expenses she incurred related to the home construction until the Wrangler Property could be sold.

2 In contrast, the Estate maintains Juker died intestate and never indicated her wishes for what was to become of her personal and real property in the event of her death. The Estate also disputes whether Larsen was solely responsible for funding the Rock Garden Property construction. Once construction was completed, Larsen occupied the Rock Garden Property. The Estate sold the Wrangler Property, but none of the proceeds from that sale were applied toward the First Federal loan. Friction between the parties over ownership of the Rock Garden Property ultimately led the Estate to sue Larsen in the summer of 2020. The Estate asserted causes of action for partition by sale and conversion, and later added claims for ouster and unjust enrichment. Larsen asserted a counterclaim seeking a declaratory judgment that he owned 100% of the Rock Garden Property. B. Procedural Background Both the Estate and Larsen moved for summary judgment on their claims for partition by sale and declaratory judgment. The Estate argued that it owned 50% of the Rock Garden Property by virtue of the warranty deed to Juker. Larsen argued that he owned 100% of the Rock Garden Property by virtue of the parties’ agreement and because he reimbursed Juker for all expenses she paid for the property. The district court granted the Estate’s motion and denied Larsen’s motion. The district court found the deed “to be clear, unambiguous, and controlling” and concluded it need not consider any evidence beyond the language of the deed to determine ownership of the Rock Garden Property. Relying exclusively on the deed, the district court found that Larsen and the Estate each owned an undivided, one-half interest in the Rock Garden Property as a matter of law. Following its determination of the parties’ respective interests, the district court concluded the Rock Garden Property must be partitioned by sale as a matter of law. The district court also found that the Rock Garden Property consisted of 5.05 acres and contained a single residence and that it would not be possible to physically partition the property without great prejudice to the parties. The district court therefore ordered the partition of the property by sale. Larsen filed a motion for reconsideration of the district court’s summary judgment order. Larsen argued that the district court’s decision was in error because extrinsic evidence is admissible in a partition action to establish the parties’ ownership interests and, therefore, the district court erred in relying exclusively on the language of the deed to determine the parties’

3 respective interests in the property. Larsen argued that the district court should have also considered the parties’ respective contributions to the property when making its decision. The district court denied Larsen’s motion, largely relying on the same line of reasoning from its original order. However, the district court did clarify that its original order made only two determinations: (1) that Larsen and the Estate each owned an undivided, one-half interest in the Rock Garden Property, and (2) that partition by sale must occur as a matter of law because partition in kind would result in great prejudice. The district court stated that “[w]ho paid what with respect to the construction of the residence is disputed and thus presents a genuine issue of material fact not ripe for summary judgment.” Thus, the district court concluded that issues related to contributions and expenditures would be resolved when the proceeds from the sale of the Rock Garden Property were divided. Following the denial of his motion for reconsideration, Larsen moved for permission from the district court to appeal its order under Idaho Appellate Rule 12. The district court denied the motion. Larsen then moved this Court for permission to appeal the district court’s denial of his motion to reconsider, which this Court granted. II. ISSUES ON APPEAL 1. Did the district court err in granting summary judgment to the Estate? 2.

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Bluebook (online)
527 P.3d 520, 171 Idaho 917, Counsel Stack Legal Research, https://law.counselstack.com/opinion/demoney-hendrickson-v-larsen-idaho-2023.