HIGH MESA GEN. P'SHIP v. Patterson

242 P.3d 430
CourtNew Mexico Court of Appeals
DecidedAugust 2, 2010
Docket28,802
StatusPublished
Cited by3 cases

This text of 242 P.3d 430 (HIGH MESA GEN. P'SHIP v. Patterson) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
HIGH MESA GEN. P'SHIP v. Patterson, 242 P.3d 430 (N.M. Ct. App. 2010).

Opinion

242 P.3d 430 (2010)
2010-NMCA-072

HIGH MESA GENERAL PARTNERSHIP, a New Mexico general partnership, Jon McCallister, David W. Harper, and Placitas, Inc., a New Mexico corporation, Plaintiffs-Appellants,
v.
William J. PATTERSON III, James Lawrence Sanchez, and James Lawrence Sanchez, Trial Lawyer, P.C., a New Mexico professional corporation, Defendants-Appellees.

No. 28,802.

Court of Appeals of New Mexico.

June 8, 2010.
Certiorari Granted, August 2, 2010, No. 32,488.

*431 Aldridge, Grammar, Jeffrey & Hammar, P.A., David A. Grammar III, Albuquerque, NM, for Appellants.

Hatch, Allen, & Shepherd, P.A., E.W. Shepherd, Jake A. Garrison, Albuquerque, NM, for Appellee William J. Patterson III.

Pedro G. Rael, Trial Lawyer, P.C., Pedro G. Rael, Los Lunas, NM, for Appellees James Lawrence Sanchez, and James Lawrence Sanchez, Trial Lawyer, P.C.

OPINION

GARCIA, Judge.

{1} The issue before us is whether a notice of lis pendens is properly filed in connection with an appeal under Rule 1-074 NMRA (2007) (amended 2008) by a third party who does not have a personal interest in the title to the property. Under the circumstances in this case, the district court determined that the notice of lis pendens was appropriately filed. We affirm.

BACKGROUND

{2} Plaintiffs, High Mesa General Partnership, Jon McCallister, David W. Harper, and Placitas, Inc. (High Mesa), are owners and developers of certain real property located in Sandoval County. Defendant William Patterson III, a resident of Sandoval County, opposed High Mesa's preliminary subdivision plat application filed before the Board of County Commissioners for Sandoval County (County). High Mesa's preliminary plat application was approved by the County. After the County approved High Mesa's application in November 2006, Patterson hired an attorney, Defendants James Lawrence Sanchez and his professional corporation, to represent him. This representation involved an administrative appeal of the County's decision *432 to approve High Mesa's preliminary subdivision plat application and later involved the filing of a notice of lis pendens.

{3} High Mesa filed this separate civil complaint against all three Defendants, alleging that the filing of the notice of lis pendens with Patterson's administrative appeal was a malicious abuse of process and a prima facie tort that resulted in the loss of sales within its subdivision. In response to this separate complaint, Defendants filed a motion for judgment on the pleadings and to dismiss for failure to state a claim, or in the alternative for summary judgment, arguing that their use of a notice of lis pendens was proper and in accordance with NMSA 1978, Section 38-1-14 (1965). The district court reviewed the parties' pleadings and granted Defendants' motion for summary judgment. High Mesa appeals from the district court's order dismissing its two claims.

ANALYSIS

Standard of Review

{4} We review the district court's granting of summary judgment de novo. Self v. United Parcel Serv., Inc., 1998-NMSC-046, ¶ 6, 126 N.M. 396, 970 P.2d 582. "Summary judgment is appropriate where there are no genuine issues of material fact and the movant is entitled to judgment as a matter of law." Id. "[W]e view the facts in the light most favorable to the party opposing summary judgment, drawing all inferences in favor of that party." Gormley v. Coca-Cola Enters., 2005-NMSC-003, ¶ 8, 137 N.M. 192, 109 P.3d 280 (internal quotation marks and citation omitted).

Filing the Notice of Lis Pendens

{5} The question before us is whether the filing of a notice of lis pendens under Section 38-1-14 was proper when it arose exclusively from Patterson's administrative appeal pursuant to Rule 1-074. Patterson had no other interest in the real property being subdivided. This issue of first impression is a legal question of statutory interpretation that we review de novo. See Lion's Gate Water v. D'Antonio, 2009-NMSC-057, ¶ 18, 147 N.M. 523, 226 P.3d 622. We must determine whether the Legislature intended to allow for the filing of a notice of lis pendens under the circumstances of this case. See id. ¶ 23 (stating that an appellate court seeks to give effect to the Legislature's intent when interpreting statutes). The plain language of the statute is the primary indicator of the Legislature's intent. Id. "When a statute contains language [that] is clear and unambiguous, we must give effect to that language and refrain from further statutory interpretation." State ex rel. Helman v. Gallegos, 117 N.M. 346, 351, 871 P.2d 1352, 1357 (1994) (internal quotation marks and citation omitted).

{6} Section 38-1-14 states in relevant part:

In all actions in the district court of this state ... affecting the title to real estate in this state, the plaintiff, at the time of filing his petition or complaint, or at any time thereafter before judgment or decree, may record with the county clerk ... a notice of the pendency of the suit[.]

High Mesa argues that Patterson lacked legal standing under the statute to file the notice of lis pendens because he did not have a "claim to the property's title or have some other present interest in the subject property." The requirement that a party have an interest in the property before filing a notice of lis pendens is not set forth in the plain language of our statute. High Mesa nevertheless contends that the requirement is implicit in the statute because "it is the basis for notices of lis pendens in the first place." High Mesa in essence argues for a narrow interpretation of the term "affect," such that only a party with an interest in the title may be deemed to "affect" the title of the real estate. We disagree with High Mesa's interpretation of the statute because there is no evidence that the Legislature intended for such a narrow interpretation.

{7} One purpose for filing a notice of lis pendens is to protect a party's interest in the property. If a party has a personal interest in the property, the filing of a notice of lis pendens protects the party's interest by binding a subsequent purchaser to the "proceedings taken after the recording of the notice to the same extent as if [the purchaser] were made a party to the [underlying] *433 action." Id.; see Title Guar. & Ins. Co. v. Campbell, 106 N.M. 272, 277, 742 P.2d 8, 13 (Ct.App.1987) (explaining that if a judgment is rendered for the party filing the notice of lis pendens, "the rights of that party relate back to the date of the notice"). However, there are other purposes for the filing a notice of lis pendens.

{8} The notice of lis pendens is also designed to protect unidentified prospective purchasers of property by alerting them to the existence of a lawsuit that could affect the title of the property. See Paulson v. Lee, 229 Mont. 164, 745 P.2d 359, 361 (1987) (stating that a "second purpose of the notice [of lis pendens] is to alert third parties interested in the subject property, thereby protecting them from litigation attendant to the property"). As expressly stated in Section 38-1-14, the filing of said notice provides "constructive notice" to subsequent purchasers or encumbrancers of the property.

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242 P.3d 430, Counsel Stack Legal Research, https://law.counselstack.com/opinion/high-mesa-gen-pship-v-patterson-nmctapp-2010.