Frances Nesti v. Agency of Transportation

2023 VT 1, 296 A.3d 729
CourtSupreme Court of Vermont
DecidedJanuary 6, 2023
Docket22-AP-096
StatusPublished
Cited by8 cases

This text of 2023 VT 1 (Frances Nesti v. Agency of Transportation) is published on Counsel Stack Legal Research, covering Supreme Court of Vermont primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Frances Nesti v. Agency of Transportation, 2023 VT 1, 296 A.3d 729 (Vt. 2023).

Opinion

NOTICE: This opinion is subject to motions for reargument under V.R.A.P. 40 as well as formal revision before publication in the Vermont Reports. Readers are requested to notify the Reporter of Decisions by email at: JUD.Reporter@vermont.gov or by mail at: Vermont Supreme Court, 109 State Street, Montpelier, Vermont 05609-0801, of any errors in order that corrections may be made before this opinion goes to press.

2023 VT 1

No. 22-AP-096

Frances Nesti Supreme Court

On Appeal from v. Superior Court, Chittenden Unit, Civil Division

Vermont Agency of Transportation et al. September Term, 2022

Helen M. Toor, J. (motion to dismiss); Samuel Hoar, Jr., J. (final order)

Alexander J. LaRosa of MSK Attorneys, Burlington, for Plaintiff-Appellant.

Susanne R. Young, Attorney General, and Ryan P. Kane, Assistant Attorney General, Montpelier, for Defendant-Appellee.

PRESENT: Reiber, C.J., Eaton, Carroll, Cohen and Waples, JJ.

¶ 1. CARROLL, J. Landowner Frances Nesti appeals two civil-division orders

resolving multiple claims in favor of the Vermont Agency of Transportation (VTrans). We affirm.

¶ 2. The following facts are undisputed unless otherwise noted. In 2006, VTrans rebuilt

Route 7 in South Burlington and Shelburne. The project included constructing a new, enclosed

stormwater-drainage-management system to collect stormwater from the widened road surface.

The new system directed stormwater downhill from the road in a westerly direction toward Lake

Champlain. Nesti’s property lies west of Route 7 and abuts the lake.

¶ 3. VTrans obtained a discharge permit from the Agency of Natural Resources to

reconstruct the drainage system. The permit application materials represented that stormwater discharges would increase relative to preconstruction flows, and VTrans does not dispute that they

have. VTrans has made no material change to the system since 2006.

¶ 4. At some point after the reconstruction, the parties dispute exactly when, Nesti

began to notice the stormwater runoff was forming a ravine where there had previously been a dry

depression. Stormwater did, however, flow over the depression from time to time before 2006.

Nesti engaged in a series of conversations with VTrans and Department of Environmental Quality

(DEQ) personnel regarding the issue beginning in 2009 or 2010. In January 2013, a VTrans

employee sent an email to Nesti representing that “[VTrans’] State legal section . . . believe[s] the

State is in the clear,” that “ ‘downhill’ property owners have the duty to accept the natural flow of

water from ‘uphill’ properties,” and where the State does not acquire “special-purpose easements”

to divert water from road surfaces, “it is also possible for the State to have acquired drainage

easements by open, notorious and continuous use which has lasted [fifteen] or more years.”

¶ 5. Nesti filed suit on December 31, 2018, seeking damages and injunctive relief. She

initially pleaded takings, trespass, and private-nuisance claims, and later added claims of ejectment

and removal of lateral support.

¶ 6. VTrans moved to dismiss all claims on the basis that each was barred by the six-

year statute of limitations for civil actions, 12 V.S.A. § 511, and the doctrine of sovereign

immunity. VTrans also argued that the ejectment and lateral support causes of action failed to

state a claim. Nesti countered that the fifteen-year statute of limitations for actions for recovery

of land, 12 V.S.A. § 501, applied to each claim rather than § 511, and the continuing-tort doctrine

caused her trespass and nuisance claims to continually accrue with each new runoff event, even if

the claims were subject to § 511.

¶ 7. The civil division dismissed Nesti’s takings claim, concluding that the applicable

statute of limitations was § 511, not § 501. It concluded that § 511 also applied to Nesti’s trespass

and nuisance claims. The court found that Nesti’s causes of action accrued before December 31,

2 2012, which was the cutoff date for her December 31, 2018, complaint. However, the court

permitted Nesti’s trespass and nuisance claims to proceed to summary judgment on the question

of whether they were continuing torts, and denied the State’s motion to dismiss them under the

doctrine of sovereign immunity. The court dismissed Nesti’s ejectment and lateral support causes

of action for failing to state a claim, and Nesti does not appeal those determinations.

¶ 8. Following discovery, VTrans moved for summary judgment on the remaining

claims. The civil division concluded that sovereign immunity failed as a defense to Nesti’s claims

because VTrans could not prove its decisionmaking regarding the stormwater system fit within the

discretionary function exception under the Vermont Tort Claims Act, 12 V.S.A. § 5601(e)(1). The

court again analyzed Nesti’s argument that her takings and tort claims were not time-barred and

again concluded that § 511 applied. It also found that Nesti’s communications with VTrans and

DEQ personnel did not support a conclusion that VTrans was equitably estopped from raising a

statute-of-limitations defense. The court lastly determined that the continuing-tort doctrine did not

save Nesti’s trespass and nuisance claims because it was unlikely this Court would adopt the

doctrine, that if it did adopt the doctrine it would not do so here, and the lack of any tortious

conduct within the limitations period would take the case out of the doctrine’s operation in any

event. The court entered judgment for VTrans on all claims.

¶ 9. On appeal Nesti makes essentially four arguments: (1) that her takings claim is not

time-barred because it is subject to the fifteen-year limitations period for bringing claims to recover

lands under 12 V.S.A. § 501; (2) to the extent the takings claim is time-barred under 12 V.S.A.

§ 511, it violates the federal and Vermont Constitutions; (3) § 501 also applies to her trespass and

nuisance claims; and (4) if § 501 does not apply to the tort claims, they are not time-barred under

the continuing-tort doctrine. Though the civil division revisited the question of which statute of

limitations to apply to Nesti’s takings and tort claims in its summary-judgment decision, we will

3 apply our standard of review for grants of motions to dismiss to (1), (2), and (3), and our standard

of review for grants of summary judgment to (4).

¶ 10. “A motion for failure to state a claim may not be granted unless it is beyond doubt

that there exist no facts or circumstances that would entitle the plaintiff to relief.” Kaplan v.

Morgan Stanley & Co., 2009 VT 78, ¶ 7, 186 Vt. 605, 987 A.2d 258 (mem.) (quotation omitted).

The “Court assumes that all well pleaded factual allegations in the complaint are true, as well as

all reasonable inferences that may be derived from therefrom.” Id. (quotation omitted).

I. Takings Claim

¶ 11. Nesti argues that her takings claim is subject to the fifteen-year statute of limitations

for bringing actions to recover lands under 12 V.S.A. § 501, not the six-year statute of limitations

for civil actions under 12 V.S.A. § 511. Nesti argues, in effect, that because VTrans could obtain

a prescriptive easement or adversely possess her property after the fifteen-year limitations period,

her takings claim cannot be cut off at six years under § 511 because that would be tantamount to

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