HMI, HAMILTON MANUFACTURING, INC. an Idaho Corporation; And CHRISTY HAMILTON F/K/A CHRISTY HAMILTON EAMES, an Individual v. CITY OF TWIN FALLS, a Municipal Corporation; And JON CATON, an Individual

CourtIdaho Supreme Court
DecidedJuly 10, 2026
Docket52620
StatusPublished

This text of HMI, HAMILTON MANUFACTURING, INC. an Idaho Corporation; And CHRISTY HAMILTON F/K/A CHRISTY HAMILTON EAMES, an Individual v. CITY OF TWIN FALLS, a Municipal Corporation; And JON CATON, an Individual (HMI, HAMILTON MANUFACTURING, INC. an Idaho Corporation; And CHRISTY HAMILTON F/K/A CHRISTY HAMILTON EAMES, an Individual v. CITY OF TWIN FALLS, a Municipal Corporation; And JON CATON, an Individual) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
HMI, HAMILTON MANUFACTURING, INC. an Idaho Corporation; And CHRISTY HAMILTON F/K/A CHRISTY HAMILTON EAMES, an Individual v. CITY OF TWIN FALLS, a Municipal Corporation; And JON CATON, an Individual, (Idaho 2026).

Opinion

IN THE SUPREME COURT OF THE STATE OF IDAHO Docket No. 52620

HMI, HAMILTON MANUFACTURING, ) INC. an Idaho corporation; and CHRISTY ) HAMILTON f/k/a CHRISTY HAMILTON ) EAMES, an individual, ) ) Plaintiffs-Appellants, ) Boise, February 2026 Term ) v. ) Opinion filed: July 10, 2026 ) CITY OF TWIN FALLS, a municipal ) Melanie Gagnepain, Clerk corporation; and JON CATON, an individual, ) ) Defendants-Respondents, ) ) and ) ) JOHN/JANE DOES 1-10, ) ) Defendants. )

Appeal from the District Court of the Fifth Judicial District, State of Idaho, Twin Falls County. Benjamin J. Cluff, District Judge.

The judgment of the district court is affirmed.

Benoit Law (Benoit, Mollerup, Danielson & Grieve, PLLC), Twin Falls, for Appellants HMI, Hamilton Manufacturing, Inc., and Christy Hamilton. Bren Mollerup argued.

Castleton Law, PLLC, Boise, for Respondents City of Twin Falls and Jon Caton. Bruce Castleton argued.

MEYER, Justice. This appeal concerns the existence and location of two utility easements for underground water and sewer lines owned by the City of Twin Falls (the “City”) on real property owned by Christy Hamilton (formerly Christy Eames). 1 Christy operates a business, Hamilton Manufacturing, Inc. (collectively, “HMI”), on three adjoining parcels in Twin Falls, Idaho. In

1 Because this dispute involves family members with the same last name, we refer to Christy, Gene, and Gloria Hamilton by first name for clarity. No disrespect is intended.

1 2018, one of the City’s water lines developed a large leak requiring excavation and repair of the water line on Christy’s property near, and partially under, the HMI Manufacturing building. HMI subsequently filed a lawsuit against the City, claiming trespass and nuisance related to the water and sewer lines that run through Christy’s property. The City defended against these claims on the basis that it possesses easements, either express or prescriptive, for the water and sewer lines. After a bench trial, the district court dismissed HMI’s trespass and nuisance claims. The court determined that the City held either an express easement for the sewer line or, in the alternative, a prescriptive easement. The district court further concluded that the City established a prescriptive easement for the water line. On appeal, HMI argues that the district court erred by concluding that the City held an express easement for the sewer line because the court failed to (1) give meaning to all the language of the instrument granting the express easement, and (2) resolve the instrument’s latent ambiguities. HMI also argues, among other things, that the district court failed to properly evaluate whether the City established prescriptive easements for the water line and sewer line because the subject property was wild, unenclosed, and unimproved at the time the lines were installed, and, therefore, the installation was presumptively permissive. HMI further argues that the district court failed to adequately describe the locations of the easements. For the reasons set forth below, we affirm the judgment of the district court. I. FACTUAL AND PROCEDURAL BACKGROUND A. Factual Background Christy owns three parcels of real property in Twin Falls County adjacent to Rock Creek Canyon, which are referred to as the “West Parcel,” “East Parcel,” and “Canyon Parcel.” One or more members of the Hamilton family have operated a business on these parcels for several decades, beginning with Gene and Gloria Hamilton (Christy’s parents) in the 1970s. The business, HMI Manufacturing, is a corporation run by Christy that manufactures erosion control products. The City owns multiple water and sewer lines that run under these parcels. This appeal concerns a water line that runs underneath the West Parcel and a sewer line that runs underneath the East Parcel, depicted below in Figure 1:

2 Disputed Water Line

Disputed Sewer Line

Figure 1 1. West Parcel and the Disputed Water Line. The West Parcel’s relevant historical background begins in 1911, when Frank E. Beatty acquired the West Parcel. In 1918, the City installed an underground water line on the West Parcel as part of a waterworks improvement project. No evidence of any agreement exists between the City and Beatty regarding the installation of this line until 1938, when the City obtained an easement from Beatty over a portion of the West Parcel to the canyon rim. This portion of the water line is not in dispute. Instead, the dispute focuses on the portion of the water line that exits near the northeast corner of the main HMI Manufacturing building that exists today and exits the Western Parcel’s northern boundary by Rock Creek Canyon. In 1941, Beatty granted his three children one-third undivided interests in the West Parcel. A portion of what is now the HMI Manufacturing complex, including the HMI Manufacturing building, was constructed on the West Parcel in 1948. Twenty-five years later, in 1973, Gene and Gloria Hamilton acquired the West Parcel. In 1978, Gene developed plans for expanding the HMI Manufacturing facility with an architect named David Armstrong, who produced drawings depicting an expansion of Gene’s business down into Rock Creek Canyon below Gene’s existing buildings on the canyon rim. These drawings indicate the presence of “Sewer & Utility Easement(s)” on the same area where the water line in question is located. One year later, in March 1979, Armstrong, acting on behalf of Gene, came before the Twin Falls City Planning and Zoning Commission and requested approval for

3 Armstrong’s design. The Twin Falls Planning and Zoning Commission Meeting Minutes from March 27, 1979, state the following as an item of new business: Canyon fill for Hamilton Insulation presented by Dave Armstrong - Design Review. Motion by Petersen to approve as covered in Mr. Armstrong’s letter with a statement added that the fill will not cover the City water and sewer lines. According to the minutes, the Planning and Zoning Commission approved the design review, provided that “the fill will not cover the City water and sewer lines.” In 1981, the City vacated a portion of Market Street, which crossed the West Parcel. Gene and Gloria acquired this property through a municipal corporation deed, dated December 1, 1981, which was “subject . . . to an easement thereon for existing water and sewer lines and any other public utilities.” Three years later, the water line broke below the northeast corner of the HMI Manufacturing building. The 1984 water break caused erosion of the canyon wall, exposing much of the water line near to, and down the slope of, Rock Creek Canyon. In 1986, the City sent two letters to Gene, addressed to Gene Hamilton of Hamilton Insulation and Gene Hamilton of Hamilton Manufacturing, regarding another failure of a water line, and the City’s belief that the failure was caused by Gene’s placing fill into the canyon, covering the water line. The first letter, dated January 17, 1986, stated: For the second time in twelve months we have suffered major water main break under the canyon fill on the north of Washington Street. The main in question is in a utility easement and was not designed to be covered. We are of the opinion that the weight of the cover material is causing the line failure. Next week the line will be uncovered and repaired. The repair could cost as much as $5,000. Once the repair is complete it is our intention to remove the fill from the easement and leave the line uncovered. Your cooperation in this matter will be appreciated. The second letter, dated January 27, 1986, stated: I have reviewed the records concerning the City’s utility easement and your fill permit dated 1980. Plans you submitted for the fill permit clearly show the easement in question. The fill permit clearly states that there is to be no fill activity around City utility lines.

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HMI, HAMILTON MANUFACTURING, INC. an Idaho Corporation; And CHRISTY HAMILTON F/K/A CHRISTY HAMILTON EAMES, an Individual v. CITY OF TWIN FALLS, a Municipal Corporation; And JON CATON, an Individual, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hmi-hamilton-manufacturing-inc-an-idaho-corporation-and-christy-idaho-2026.