Dusenbery v. Jones

359 F. Supp. 712, 1972 U.S. Dist. LEXIS 12854
CourtDistrict Court, D. Kansas
DecidedJuly 7, 1972
DocketCiv. A. No. T-4783
StatusPublished
Cited by2 cases

This text of 359 F. Supp. 712 (Dusenbery v. Jones) is published on Counsel Stack Legal Research, covering District Court, D. Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dusenbery v. Jones, 359 F. Supp. 712, 1972 U.S. Dist. LEXIS 12854 (D. Kan. 1972).

Opinion

OPINION OF THE COURT WITH FINDINGS OF FACT AND CONCLUSIONS OF LAW

THÉIS, District Judge.

FINDINGS OF FACT

1. Plaintiffs H. Reed Dusenbery and LaVerna Dusenbery are residents and citizens of the State of Nebraska. Defendant Laurence R. Jones, Jr., is a resident and citizen of the State of Kansas. [714]*714Defendant Richard F. Sandifer is a resident and citizen of the State of Missouri. The amount in controversy for which plaintiff sues exceeds the sum of $10,-000.00, exclusive of interest and costs.

2. On October 9, 1964, the parties entered into an agreement (marked Exhibit “Á”, appended hereto and made a part hereof), entitled “Proposal to Lease with Rights of Real Estate Purchase Agreement.” This agreement was drawn by defendants and provided for the lease and eventual sale of the property described therein to defendants. This agreement was superseded on November 7, 1964, by a “Purchase Agreement With Lease Provisions” (marked Exhibit “B”, appended hereto, and made a part hereof), which incorporated provisions of the October agreement by reference. The lease was for a five-year term but the purchase was to be consummated at some time during the final four years of the term.

3. The described property which is the subject of these agreements consists of 11.57 acres of land located approximately five miles north of Manhattan, Kansas, and is subject to the Riley County Planning and Zoning Laws.

4. At the time of the agreements the property was zoned and continues to be zoned C-R (Restricted Business Zone).

5. With respect to zoning, the agreements provided that defendants would be permitted to use the premises for any legitimate business allowable under zoning and local laws, and particularly to permit the operation of a motor hotel, marina, bait and tackle shop, sale of boats and boat storage, grocery store, restaurant and other miscellaneous recreational services that would be customary in this sort of location. It was further provided that if the land were not properly zoned for the proposed businesses, the plaintiffs agreed to have the property properly zoned to allow operation of the aforementioned businesses.

6. Defendants took possession of the land on December 1, 1964, and commenced negotiations with various corporations concerning development of the property. A Ramada Inn franchise was temporarily secured, but later lost because defendants were unable to procure the necessary financing. Owing to defendants’ inability to secure financing, none of the projected businesses were developed. Moreover, the evidence was clear and convincing in this area.

7. Plaintiffs, at or about the time the agreements were executed, were assured by J. Robert Wilson, at that time a member of the Riley County Zoning Board, that the C-R classification embraced all defendants’ projected uses. Subsequently, the defendants obtained the opinion of Clifford Palmquist, the Riley County Engineer, charged with initial enforcement of the zoning regulations through the issuance of building permits, that several of the proposed uses would require a lower zoning classification.

8. Defendants, allegedly relying on Mr. Palmquist’s opinion, declined to consummate the transaction, alleging that plaintiffs had breached their obligation to insure the property was properly zoned for the specified uses and that their obligation was a condition precedent to defendants’ obligation to purchase the property.

9. The C-R zoning classification does not clearly prohibit any of the uses specified by the contract. Thus, in order to resolve the issue, it would have been necessary to apply for a building permit, and if one were refused, to initiate proceedings before the Riley County Zoning Board pursuant to its regulations.

10. Under the applicable regulations it would have been necessary for plaintiffs to present a plan showing the location and dimensions of proposed buildings to the county engineer before a permit would issue. Then, if it became necessary to seek rezoning, plaintiffs would have had to present to the Board a proposed plat of the area, together with sketches or drawings depicting the type and general appearance of buildings together with their proposed use. In addition, plaintiffs would be required to demonstrate that defendants, or other potential developers, had sufficient funds [715]*715to accomplish the proposed development, since both Palmquist and Wilson agreed one of the principal functions of the zoning board was to see that substantial business and improvements were to be erected under proposed zoning.

11. Defendants were the only persons able to furnish plaintiffs with the required plats and drawings, as well as financial information. Due to their inability to obtain financing, defendants never progressed to the point where such plats and drawings would be available. Therefore, plaintiffs could not have initiated zoning reclassification proceedings.

12. At the time the agreements were made, the property had only limited access to the adjoining highway. As a result of condemnation proceedings, access to the highway was limited to 38.4 feet as shown in the abstract of title. Moreover, a road leading from the highway onto the property was in use prior to the time the agreements were executed, which demonstrated the restriction on access.

13. The intention of the parties as reflected from the wording of the instruments and supplemented by the testimony of the parties was that the zoning of the property was not to be a condition precedent but was a part of the ultimate consideration and legal duty to be performed by plaintiffs in the event the requisite zoning was needed or required by defendants.

14. To date, no part of the purchase price has been paid by defendants to plaintiffs.

15. The findings of fact made herein are based on the Court’s observation and analysis of the demeanor of the witnesses and the content of testimony as to credibility and weight of the evidence.

CONCLUSIONS OF LAW

1. The Court has original jurisdiction in this matter on the basis that the matter in controversy exceeds the sum of $10,000.00, exclusive of interest and costs, and is between citizens of different states. 28 U.S.C.A. § 1332.

2. Specific performance is an equitable remedy and rests in the sound discretion of the court. However, the remedy is not available to a plaintiff who fails to perform a condition precedent to the defendant’s performance. Wallerius v. Hare, 194 Kan. 408, 399 P.2d 543 (1965).

3. The provisions pointed out by defendants as creating a condition precedent to their performance when construed in context with the remaining provisions of the contract and in conformity with the Kansas law governing construction of contracts, do not obligate plaintiffs to effect a change in zoning as a condition precedent to defendants’ performance. Rather, plaintiffs’ promise to obtain proper zoning is but a part of the consideration agreed upon by the parties.

4. The Court will award specific performance only where to do so would be reasonable, proper and equitable under all the circumstances. Here, due to the collapse of defendants’ proposed development, the requisite materials necessary to initiate a rezoning never became available.

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Bluebook (online)
359 F. Supp. 712, 1972 U.S. Dist. LEXIS 12854, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dusenbery-v-jones-ksd-1972.