Dorothy Gantenbein & Charles Fricke v. Tonya Lacy, Bob Burnett, Roxanne Burnett, Will Fair, Carolyn Fair, Kurt Harwell, & Jennifer Harwell

CourtCourt of Appeals of Texas
DecidedJuly 26, 2023
Docket10-21-00323-CV
StatusPublished

This text of Dorothy Gantenbein & Charles Fricke v. Tonya Lacy, Bob Burnett, Roxanne Burnett, Will Fair, Carolyn Fair, Kurt Harwell, & Jennifer Harwell (Dorothy Gantenbein & Charles Fricke v. Tonya Lacy, Bob Burnett, Roxanne Burnett, Will Fair, Carolyn Fair, Kurt Harwell, & Jennifer Harwell) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Dorothy Gantenbein & Charles Fricke v. Tonya Lacy, Bob Burnett, Roxanne Burnett, Will Fair, Carolyn Fair, Kurt Harwell, & Jennifer Harwell, (Tex. Ct. App. 2023).

Opinion

IN THE TENTH COURT OF APPEALS

No. 10-21-00323-CV

DOROTHY GANTENBEIN & CHARLES FRICKE, Appellants v.

TONYA LACY, BOB BURNETT, ROXANNE BURNETT, WILL FAIR, CAROLYN FAIR, KURT HARWELL, & JENNIFER HARWELL, Appellees

From the 170th District Court McLennan County, Texas Trial Court No. 2021-1130-4

MEMORANDUM OPINION

In six issues, Appellants Dorothy Gantenbein and Charles Fricke (“the

Homeowners”) appeal the trial court’s judgment granting declaratory and injunctive

relief in favor of Appellees Tonya Lacy, Bob Burnett, Roxanne Burnett, Will Fair, Carolyn

Fair, Kurt Harwell, and Jennifer Harwell (“the Neighbors”). We will affirm. Factual Background

In 2021, the Neighbors sued the Homeowners seeking a declaration that the

Homeowners’ alleged plan to rent rooms in their newly purchased residence would

violate restrictive covenants applicable to the Stone Creek Ranch subdivision and sought

to permanently enjoin the Homeowners’ plans. The Homeowners filed a counterclaim

seeking declaratory judgment that the language of the restrictive covenants allows them

to rent rooms if they wish to do so. After a bench trial, the trial court granted the relief

requested by the Neighbors, including an award of attorneys’ fees. The Homeowners

requested findings of fact and conclusions of law, which the court issued, and then timely

perfected this appeal.

Issue One

In their first issue, the Homeowners contend that this dispute was not ripe for

adjudication by the trial court.

AUTHORITY

Ripeness is a threshold inquiry regarding the justiciability of a dispute and turns

on whether the aggrieved party has identified a concrete injury. Robinson v. Parker, 353

S.W.3d 753, 756 (Tex. 2011). The Supreme Court of Texas has defined concrete injury as

“an injury [that] has occurred or is likely to occur, rather than being contingent or

remote.” Gibson, 22 S.W. at 851–52. In other words, a suit is not ripe when the concrete

injury is solely dependent “on contingent or hypothetical facts, or upon events that have

not yet come to pass.” Robinson, 353 S.W.3d at 756; see also Gibson, 22 S.W.3d at 852.

Gantenbein et al. v. Lacy et al. Page 2 The Uniform Declaratory Judgments Act provides, “A person interested under a

deed . . . may have determined any question of construction or validity arising under the

instrument . . . and obtain a declaration of rights, status, or other legal relations

thereunder.” TEX. CIV. PRAC. & REM. CODE ANN. § 37.004(a). A suit for declaratory

judgment is proper where “it will serve a useful purpose or will terminate the

controversy between the parties.” Bonham State Bank v. Beadle, 907 S.W.2d 465, 468 (Tex.

1995). Actions under the Uniform Declaratory Judgments Act can be “a means of

determining the parties’ rights when a controversy has arisen but before a wrong has

been committed, and is preventative in nature.” Etan Indus., Inc. v. Lehmann, 359 S.W.3d

620, 624 (Tex. 2011) (citation and internal quotation marks omitted). Thus, even if a

litigant’s claims arise from possible uses of property, these claims are ripe once they “are

inextricably tethered to a present disagreement between the parties” over the scope of

any restrictions and alleged infringement thereof. Sw. Elec. Power Co. v. Lynch, 595 S.W.3d

678, 684 (Tex. 2020).

DISCUSSION

The record reflects that the Homeowners purchased their residence in the Stone

Creek Ranch subdivision purportedly for the purpose of Gantenbein and Fricke residing

there with Gantenbein’s elderly mother. The residence is nearly 7,000 square feet in size

and has seven bedrooms. One area is separate from the rest of the reisdence and contains

a suite of four bedrooms, each with its own bath, as well as a shared living area.

Testimony at trial reflects that shortly after the residence was purchased, Fricke

told a neighbor that he planned to rent four bedrooms to SpaceX executives and that the

Gantenbein et al. v. Lacy et al. Page 3 rental income would be about $9,000 per month. Further testimony reflects that Fricke

told the neighbor that because of his contacts at SpaceX, he could advertise the rooms on

a bulletin board there. A real estate agent who lives in the subdivision and represented

the sellers of the residence testified that she learned of the Homeowners’ plan and wanted

to stop the sale but was advised not to do so by her superiors.

The Neighbors’ attorney dispatched a certified letter and a copy of the restrictive

covenants to the Homeowners seeking assurances from the Homeowners that they had

no intention of renting rooms in the residence. Fricke testified that he received the letter

from the Neighbors’ attorney but, after consulting an attorney himself, did not respond.

The Neighbors’ attorney dispatched a second certified letter, again raising concerns

regarding any plans to rent rooms in the residence and informing the Homeowners that

the Neighbors would “protect their interests utilizing all lawful remedies available.”

Fricke conceded that he chose to ignore the second letter, too.

While testifying, Fricke denied any specific intent or plan to rent his rooms, adding

that he would await the outcome of the lawsuit, but Fricke also testified that he owns or

co-owns four other properties in the Waco area and that he rents to as many as thirteen

individuals. Fricke acknowledged that the rentals together amount to an enterprise

worth between ten and thirteen thousand dollars per month and that the four properties

are essentially boarding houses.

Based on the record before us, this is not an instance in which the alleged grievance

is “contingent” or “hypothetical”—to the contrary, by the time the Neighbors filed suit,

the Homeowners had indicated their intent to move forward with the possible violation

Gantenbein et al. v. Lacy et al. Page 4 of the restrictive covenants and ultimately confirmed that they had engaged in similar

conduct in other neighborhoods in the past. They had ignored multiple inquiries and

objections from the Neighbors. Thus, because a genuine controversy existed between the

Neighbors and the Homeowners and because declaratory-judgment proceedings may be

used preventatively to determine the rights of litigants when a controversy has arisen but

before a wrong has been committed, this case was ripe when filed in the trial court. See

Etan Indus., 359 S.W.3d at 624. We overrule the first issue.

Issues Two and Six

The Homeowners’ complaints in these two issues relate to the trial court’s

interpretation of the restrictive covenants and the grant of declaratory relief. The

pertinent portions of the restrictive covenants state:

1. All lots shall be used for residential purposes only. No building shall be erected, altered, placed, or permitted to remain on any lot other than one detached single-family dwelling and a private garage, and no existing structure of any kind will be permitted to be moved on any lot.

2. Living quarters on a residential lot for other than the family occupying the principal residence shall be used only for bona fide servants or assistants, and such living quarters shall be within the main residence or attached to rear of same.

In reviewing declaratory judgments, “We look to the procedure used to resolve

the issue before the trial court to determine the standard of review on appeal.” City of

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Dorothy Gantenbein & Charles Fricke v. Tonya Lacy, Bob Burnett, Roxanne Burnett, Will Fair, Carolyn Fair, Kurt Harwell, & Jennifer Harwell, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dorothy-gantenbein-charles-fricke-v-tonya-lacy-bob-burnett-roxanne-texapp-2023.