Gwathmey v. STATE THROUGH DEPT. OF ENVIR.

464 S.E.2d 674, 342 N.C. 287, 1995 N.C. LEXIS 678
CourtSupreme Court of North Carolina
DecidedDecember 8, 1995
Docket74PA94
StatusPublished
Cited by31 cases

This text of 464 S.E.2d 674 (Gwathmey v. STATE THROUGH DEPT. OF ENVIR.) is published on Counsel Stack Legal Research, covering Supreme Court of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gwathmey v. STATE THROUGH DEPT. OF ENVIR., 464 S.E.2d 674, 342 N.C. 287, 1995 N.C. LEXIS 678 (N.C. 1995).

Opinion

MITCHELL, Chief Justice.

The parties stipulated at trial that the lands claimed by each of the plaintiffs that comprise the subject of this litigation are marshlands located between the high and low water marks in'the Middle Sound area of New Hanover County. Title to the lands in question was conveyed by the State Board of Education (SBE) to the original purchasers of the marshlands between 1926 and 1945. Each of the deeds from the SBE to the original purchasers purports to convey a tract of “marshland” in the “Middle Sound” area to the purchasers, their “heirs and assigns in fee simple forever.” 1 The parties stipulated that each of *291 the plaintiffs could establish a chain of title linking their deeds to the source deeds from the SBE, with one exception. 2

In 1965, the General Assembly enacted N.C.G.S. § 113-205, which required individuals who claimed any part of the bed lying beneath navigable waters of any coastal county to register their claims with the Secretary of the Department of Natural Resources by 1 January 1970, or their claims would be null and void. The plaintiffs in this case, or their predecessors in interest, registered their claims in compliance with this statute. The parties stipulated that the plaintiffs’ submerged lands claims, as originally filed, included both marshlands lying between the mean high and mean low water marks of Middle Sound and lands beyond the mean low water mark that lie beneath the open waters of Middle Sound or Howe Creek. In 1987, the Submerged Lands Program, which was established to assess the validity of the claims of title previously registered pursuant to N.C.G.S. § 113-205, came under the administration of the Division of Marine Fisheries. In assessing the plaintiffs’ claims, the Division of Marine Fisheries issued resolution letters concluding that the plaintiffs had valid titles to the marshlands between the mean high and mean low water marks. However, pursuant to N.C.G.S. § 146-20.1(b), the resolution letters purporting to validate the plaintiffs’ titles to the marshlands were accompanied in each case by a purported reservation of public trust rights in those same marshlands. The plaintiffs responded by filing separate complaints against the State between 26 February 1991 and 31 May 1991, in Superior Court, New Hanover County, seeking a determination of the quality of their titles to the marshlands and other relief. The plaintiffs’ actions were consolidated by consent of all the parties following filing of the State’s answer.

The State made a motion in the Superior Court for summary judgment on the ground that waters covering the lands in question are subject to the ebb and flow of the tides and are, thus, navigable as a matter of law. The State argued that, as the waters are navigable in law, title to the land beneath those waters is governed by the public trust doctrine, and such land is not subject to fee simple ownership by the plaintiffs. Judge G.K. Butterfield, Jr., denied the motion in an order concluding that the test for determining navigability in law in North Carolina is “navigability in fact.”

*292 This case then came on for trial without a jury in the Superior Court, New Hanover County, before Judge James D. Llewellyn. The trial court entered judgment for the plaintiffs on 12 August 1993.

The trial court found from substantial evidence before it that at low tide no boat of any size could navigate in the marshlands claimed by the plaintiffs, except in dredged channels. The trial court also found that “as to the marshlands claimed by Plaintiffs, at high tide the area covered by marsh grass is not navigable.” Based upon its findings, the trial court concluded as a matter of law that no part of the marshlands on Middle Sound within the boundaries of the plaintiffs’ deeds is covered by waters navigable in fact; therefore, those lands are not covered by waters that are navigable in law. The trial court further found that the open waters of Howe Creek are navigable in fact based upon actual current and historical use and, therefore, concluded that those open waters are navigable as a matter of law. The trial court also concluded that no public trust rights existed in the marshlands claimed by the plaintiffs and that the SBE had conveyed fee simple title to those lands to the plaintiffs’ predecessors in title without reservation of any public trust rights. However, the trial court concluded that as to the land lying beneath the open waters of Howe Creek, the SBE had conveyed title subject to public trust rights. The trial court further concluded that “the ‘Declaration of Final Resolution’ recorded by the Defendant is a cloud upon each Plaintiff’s title and is ineffective as a recognition of any right, title or interest of the public in the marshlands.” The trial court then concluded that as the plaintiffs’ marshlands were not beneath waters navigable in law, N.C.G.S. § 146-20.1(b) is “invalid as it purports to impress upon the marshlands owned by Plaintiffs public trust rights which did not exist in said lands at the time they were conveyed to Plaintiffs’ predecessors in title.”

Based upon its findings and conclusions, the trial court ordered, adjudged, and decreed that the plaintiffs were owners in fee simple absolute without any reservation of public trust rights of the “certain tract of marshlands described” in each of their deeds. With regard to the claims of the plaintiffs Richard and Gwendolyn Gwathmey, however, the trial court adjudged and decreed that “those areas of deeded bottom lying beneath the open waters of Howe Creek and within the boundaries of Plaintiffs’ [Gwathmey] deed are owned in fee simple subject to the public trust.”

*293 The defendant State of North Carolina gave notice of appeal. On 7 April 1994, this Court allowed the defendant’s petition for discretionary review prior to a determination by the Court of Appeals.

Before addressing the specific issues raised on this appeal, we will briefly discuss the public trust doctrine and the operation of the entry laws in North Carolina. A brief introductory review of thése two areas of the law at this point will facilitate an understanding of the issues raised on this appeal.

This Court has long recognized that after the Revolutionary War, the State became the owner of lands beneath navigable waters but that the General Assembly has the power to dispose of such lands if it does so expressly by special grant. E.g., Shepard’s Point Land Co. v. Atlantic Hotel, 132 N.C. 517, 524, 44 S.E. 39, 41 (1903). However, “[l]ooming over any discussion of the ownership of estuarine marshes is the ‘public trust’ doctrine — a tool for judicial review of state action affecting State-owned submerged land underlying navigable waters, including estuarine marshland, and a concept embracing asserted inherent public rights in these lands and waters.” Monica Kivel Kalo & Joseph J. Kalo, The Battle to Preserve North Carolina’s Estuarine Marshes: The 1985 Legislation, Private Claims to Estuarine Marshes, Denial of Permits to Fill, and the Public Trust, 64 N.C.L. Rev. 565, 572 (1986) [hereinafter Battle to Preserve N.C.’s Estuarine Marshes].

In Tatum v. Sawyer, 9 N.C.

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Bluebook (online)
464 S.E.2d 674, 342 N.C. 287, 1995 N.C. LEXIS 678, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gwathmey-v-state-through-dept-of-envir-nc-1995.