Lower Pine Lake Partnership v. Robert E. Erickson

CourtCourt of Appeals of Wisconsin
DecidedJuly 6, 2022
Docket2021AP001648
StatusUnpublished

This text of Lower Pine Lake Partnership v. Robert E. Erickson (Lower Pine Lake Partnership v. Robert E. Erickson) is published on Counsel Stack Legal Research, covering Court of Appeals of Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lower Pine Lake Partnership v. Robert E. Erickson, (Wis. Ct. App. 2022).

Opinion

COURT OF APPEALS DECISION NOTICE DATED AND FILED This opinion is subject to further editing. If published, the official version will appear in the bound volume of the Official Reports. July 6, 2022 A party may file with the Supreme Court a Sheila T. Reiff petition to review an adverse decision by the Clerk of Court of Appeals Court of Appeals. See WIS. STAT. § 808.10 and RULE 809.62.

Appeal No. 2021AP1648 Cir. Ct. No. 2020CV84

STATE OF WISCONSIN IN COURT OF APPEALS DISTRICT III

LOWER PINE LAKE PARTNERSHIP, A WISCONSIN GENERAL PARTNERSHIP,

PLAINTIFF-RESPONDENT,

V.

ROBERT E. ERICKSON,

DEFENDANT-APPELLANT,

DIANE K. ERICKSON, THOMAS A. MCARDLE, DELORIS F. MCARDLE, DARLENE A. MYERS AND ESTATE OF THOMAS H. MYERS, DARLENE MYERS, EXECUTRIX,

DEFENDANTS.

APPEAL from a judgment of the circuit court for Polk County: DANIEL J. TOLAN, Judge. Affirmed.

Before Stark, P.J., Hruz and Gill, JJ. No. 2021AP1648

Per curiam opinions may not be cited in any court of this state as precedent

or authority, except for the limited purposes specified in WIS. STAT. RULE 809.23(3).

¶1 PER CURIAM. Robert E. Erickson, pro se, appeals from a summary judgment granted in favor of the Lower Pine Lake Partnership (the Partnership),1 terminating his interest in the Partnership after a payment dispute. Erickson claims that there are genuine issues of material fact that preclude summary judgment in this case, and he seeks a trial before a jury. For the reasons that follow, we affirm the circuit court’s grant of summary judgment in favor of the Partnership.

BACKGROUND

¶2 This appeal arises out of a lawsuit filed by the Partnership to correct a defect in title to real property owned by the Partnership and for a judgment declaring that Robert and Diane Erickson’s unit was properly terminated from the Partnership. The following undisputed facts are taken from the complaint and the parties’ submissions on the Partnership’s summary judgment motion.

¶3 The Partnership was formed by agreement on December 31, 1989, to invest in and own a lake cabin for the Partnership’s use on real property (the property) located in Polk County, Wisconsin. When created, the Partnership was composed of six individuals: Diane Erickson, Robert Erickson, Deloris McArdle, Thomas McArdle, Darlene Myers, and Thomas Myers.2 Under the agreement, a 1 The plaintiff in this case is Lower Pine Lake Partnership, a Wisconsin general partnership. The defendants are current and former individual partners in the Partnership. 2 Thomas Myers is now deceased, and Darlene, his spouse, is the executrix of his estate. For ease of reading, we will refer to Robert Erickson as “Erickson” and to the remaining defendants by their first names or by their partner unit.

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“Partner/family unit” is defined as (1) the “[h]usband and wife assigned to this agreement,” (2) the “[s]urviving spouse,” or (3) the “[c]hildren of 1) or 2) wanting to be partners.” The agreement provides that “[e]ach partner/family unit shall participate in the management and conduct of the affairs of the Partnership. Each partner/family unit has one vote (1/3 ownership in Partnership) on all matters brought before the Partnership.”3

¶4 The Partnership purchased the property from George and Anna Grotenhuis on December 31, 1989, pursuant to a land contract.4 The contract named the Partnership as the purchaser as follows: “Lower Pine Lake Partnership (Bob and Diane Erickson, husband and wife, Tom and Deloris McArdle, husband and wife, and Tom and Darlene Myers, husband and wife).” On June 23, 2004, upon full performance under the land contract, George executed a warranty deed conveying the property to the Partnership. However, the deed erroneously named the Partnership and the individual partners as grantees by omitting the parentheses. The Partnership alleged in its complaint, “The intent of the Contract was for the Partnership to purchase the Property as a Partnership entity and have the Property owned solely by that entity upon completion of the Contract.”

¶5 The deed was drafted by an attorney, who later executed a notarized, sworn correction instrument that was recorded with the Polk County Registrar on April 17, 2019, stating that the omission of the parentheses around the names of the individual partners was in error. According to the complaint, “[t]he

3 For ease of reading, we have capitalized “Partnership” when referenced in quotations throughout the decision. 4 Diane, Deloris, and Darlene are sisters and are the daughters of George and Anna Grotenhuis. Thomas and Erickson are Deloris’s and Diane’s spouses, respectively.

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Partnership requested an Owner and Encumbrances Report on the Property from Polk County Abstract,” which determined that the error “amounted to a defect in the title and would prevent a title company from issuing title insurance on the property” and “[t]he abstractors did not consider the Correction Instrument as sufficient to correct the defect.” “The abstracting company stated that all of the partners would be required to disclaim their individual interests in the Property in order to cure this title defect.” Erickson refused to do so.

¶6 In June 2017, prior to the attempted deed correction, a hailstorm damaged the property. The Partnership filed an insurance claim, and State Farm Insurance issued a check for $5,627.18 on July 6, 2017, to cover the damage to the lake cabin’s roof and gutters. The Partnership voted at a February 2018 meeting to accept a bid to repair the roof and gutters, and the repair work was done in March 2018. Due to the problems with the title, the insurance check was issued to the individual partners—rather than the Partnership—and the individual partners were asked to endorse the check so the Partnership could deposit the funds and use them for the repairs. Erickson refused to endorse the check, stating in his affidavit filed in response to the Partnership’s summary judgment motion that the contractor had done substandard work, as the gutters were not installed properly or with the right materials, and the contractor had not cleaned up after his work on the property.

¶7 Erickson told the Partnership to “dispute the bill.” Instead, at a May 27, 2018 meeting, the Partnership voted to accept and approve the bill for the repairs. Despite multiple requests from unit members and the Partnership, Erickson refused to endorse the insurance check or pay his portion of the repairs and refused to return the check to the Partnership. Eventually, the other partners

4 No. 2021AP1648

paid for the repairs directly. Erickson did not contribute any funds toward the repairs.

¶8 At a September 2, 2018 Partnership meeting (the Labor Day Meeting), the Erickson unit was removed from the Partnership based upon several violations of the agreement. Specifically, the Partnership stated that: (1) Erickson had not attended any Partnership meetings in 2017 and 2018, and Diane did not attend the Labor Day Meeting; (2) Erickson was elected to serve as secretary of the Partnership at the September 2016 meeting, and he did not fulfill his duties as secretary; (3) Erickson’s conduct violated section (16)d. of the Partnership agreement,5 which provides that “[n]o partner shall … act detrimental to the best interest of the Partnership which would make it impossible to carry out the business of the Partnership”; (4) Erickson “[f]ail[ed] to sign and forward the [i]nsurance [c]heck so that the Partnership can pay for the [repair] work completed”; and (5) Erickson, as a result of retaining the check and not paying the Erickson unit’s share of the repairs, had become delinquent in making requested payments for over six months and was also subject to an interest penalty.

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Bluebook (online)
Lower Pine Lake Partnership v. Robert E. Erickson, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lower-pine-lake-partnership-v-robert-e-erickson-wisctapp-2022.