Lawrence v. Jones

864 P.2d 194, 124 Idaho 748, 1993 Ida. App. LEXIS 186
CourtIdaho Court of Appeals
DecidedNovember 17, 1993
Docket20621
StatusPublished
Cited by13 cases

This text of 864 P.2d 194 (Lawrence v. Jones) is published on Counsel Stack Legal Research, covering Idaho Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lawrence v. Jones, 864 P.2d 194, 124 Idaho 748, 1993 Ida. App. LEXIS 186 (Idaho Ct. App. 1993).

Opinion

PERRY, Judge.

Appellant Arley Lawrence (Lawrence) and respondent Forrest Jones (Jones) entered into an agreement for the purchase of land that Jones owned in Bonner County. Before closing, Jones notified Lawrence of his intent not to proceed with the sale, and Lawrence filed this action for specific performance and damages. The district court granted Jones’ motion for summary judgment, finding the contract between the parties unenforceable because of various ambiguities. For the reasons stated below, we affirm the judgment.

FACTS AND PROCEDURE

In the spring of 1992, Jones and Lawrence began discussing the sale of two parcels of land that Jones owned in Bonner County. The land included one parcel of approximately 173 acres south of Cocolalla Lake and another parcel of approximately 95 acres near Hoodoo Creek. Neither party consulted an attorney concerning the drafting of a purchase agreement. In April of that year, Lawrence purchased a pre-printed form entitled “Real Estate Purchase and Sale Agreement (with Earnest Money Provision)” for their use in consummating the transaction.

Initially, Lawrence drafted an agreement, which was never signed, stating a total purchase price of $300,000. Later, using the pre-printed form, Lawrence prepared a second agreement dated April 5, 1992, increasing the purchase price to $400,000. At some point, Lawrence prepared a document entitled “Addendum to Purchase Agreement.” This document provided that proceeds from logging the land would be applied to the purchase price and further contained what purported to be a security provision for the loan. This addendum refers to an “Agreement of Sale ... dated April 3, 1992.” On April 6, 1992, the parties signed both the April 5 agreement and the addendum referring to an April 3 Agreement of Sale. In the space provided for a legal description of the prop *750 erty, Lawrence typed “See Attached.” Four maps were then attached to the agreement. These maps had been faxed from a Sandpoint title company and indicated roughly where the two properties were located. Each of the maps was stamped with the statement: “This sketch is furnished without charge solely for the purpose of assisting in locating said premises and the company assumes no liability for inaccuracies therein.” The maps showed certain parcels heavily outlined and the abbreviation “P.I.Q.” with an arrow pointing to each outlined area. Two of the maps also bore indications; one reading “T55NR2W, SEC19,” and the other “SEC 34,T55N,R4W.”

The parties also signed a receipt for the payment of $1,000 in earnest money for the sale. The receipt indicated that the remaining down payment of $24,000 was due by May 15, 1992. The remainder of the purchase price was to be paid in yearly installments of $36,000.

On April 29, 1992, Jones informed Lawrence that he did not consider the agreement enforceable and attempted to repay the earnest money. Consequently, Lawrence filed suit against Jones for specific performance. Lawrence also requested consequential damages resulting from the breach of contract, attorney fees and costs.

Jones moved for summary judgment in the district court, arguing, among other things, that because of various ambiguities, the agreement could not be enforced. Lawrence filed a cross-motion for a declaratory judgment alleging that the contract was valid and enforceable. The district court granted Jones’ motion for summary judgment, concluding that: (1) the agreement failed to properly address the matter of prepayment, which the parties had orally agreed to; (2) the agreement failed to properly provide for security for the transaction, which the parties had also discussed; and (3) the description, as contained in the maps, was insufficient to make the contract enforceable. We agree with the district court that the security provision was unenforceable. Because the security provision was an essential term of the agreement, the entire contract is therefore unenforceable. We do not consider the other issues raised, as the failure of the security provision is sufficient in itself to affirm the lower court’s decision.

I.

We first note that summary judgment should be granted at the trial level when the pleadings, depositions and admissions on file, together with affidavits, if any, show there is no genuine issue as to any material fact and the moving party is entitled to judgment as a matter of law. I.R.C.P. 56(c); Doe v. Durtschi, 110 Idaho 466, 469, 716 P.2d 1238, 1241 (1986). The facts are to be liberally construed in favor of the party opposing the motion, and that party is given the benefit of all favorable inferences that might reasonably be drawn from the evidence. Id. If the record contains conflicting inferences or if reasonable minds might reach different conclusions with respect thereto, the motion must be denied.

When reviewing a motion for summary judgment, our standard of review is the same as that used by the lower court. “[W]e review the record and construe all facts in favor of the non-moving party to determine if there are material facts at issue that would preclude the grant of summary judgment.” McDonald v. Paine, 119 Idaho 725, 727, 810 P.2d 259, 261 (1991). We will not go beyond determining the two issues of whether there exists a genuine issue as to a material fact and whether the moving party is entitled to judgment as a matter of law. Mitchell v. Siqueiros, 99 Idaho 396, 398, 582 P.2d 1074, 1076 (1978); Victor v. Griffin, 122 Idaho 395, 397, 834 P.2d 912, 914 (Ct.App.1992).

The issue confronting the trial court was whether the agreement between Lawrence and Jones was an enforceable contract. At the outset we note that a contract for the sale of real property is not enforceable unless it is in writing. I.C. §§ 9-503, -505. A contract must be complete, definite and certain in all its material terms, or contain provisions which are ca *751 pable in themselves of being reduced to certainty. Giacobbi Square v. PEK Corp., 105 Idaho 346, 348, 670 P.2d 51, 53 (1983). For land sale contracts, the minimum requirements are typically the parties involved, the subject matter thereof, the price or consideration, a description of the property and all the essential terms of the agreement. Hoffman v. SV Co., Inc., 102 Idaho 187, 190, 628 P.2d 218, 221 (1981).

The district court found the Lawrence-Jones agreement lacking in three respects. First, it found that the agreement lacked any provision for prepayment, despite the fact that the parties had come to an oral agreement that no prepayment penalties would be charged. Second, the district court found that the agreement inadequately dealt with the issue of security, even though the parties agreed orally that the land would be held as the security. Finally, the district found the agreement to be ambiguous as to whether one parcel or two were being sold.

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Bluebook (online)
864 P.2d 194, 124 Idaho 748, 1993 Ida. App. LEXIS 186, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lawrence-v-jones-idahoctapp-1993.