Ludington & Northern Railway v. Epworth Assembly

468 N.W.2d 884, 188 Mich. App. 25
CourtMichigan Court of Appeals
DecidedMarch 18, 1991
DocketDocket 123238
StatusPublished
Cited by23 cases

This text of 468 N.W.2d 884 (Ludington & Northern Railway v. Epworth Assembly) is published on Counsel Stack Legal Research, covering Michigan Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ludington & Northern Railway v. Epworth Assembly, 468 N.W.2d 884, 188 Mich. App. 25 (Mich. Ct. App. 1991).

Opinion

Maher, J.

Plaintiff appeals and defendant cross appeals from a circuit court judgment, entered following a bench trial determining the parties’ respective interests in five adjoining strips of land. With regard to four of the strips, the trial court held that plaintiff had acquired a fee interest and that any possibility of reverter possessed by defendant was extinguished pursuant to 1968 PA 13, MCL 554.61 et seq.) MSA 26.49(11) et seq. With regard to the fifth strip, the trial court held that only an easement interest was acquired by plaintiff, but that this interest was terminated by abandonment. In this appeal as of right, defendant contends that 1968 PA 13 is unconstitutional or, alternatively, that it is inapplicable, while plaintiff contends that the trial court erred in finding that an abandonment of its easement interest occurred. We affirm in part and reverse in part.

The five parcels of land at issue in this case are adjoining fifty-foot-wide strips of land upon which plaintiff’s railroad track is located. These strips of land pass through the land of defendant, a Michigan corporation comprised of owners of resort cottages situated northwest of Ludington, Michigan, along the shores of Lake Michigan. The operation of plaintiff’s railroad has been a source of controversy between plaintiff and defendant for over seventy years. Twice, their disputes have reached our Supreme Court. See Epworth Assembly v Ludington & NR Co, 223 Mich 589; 194 NW 562 (1923), and Epworth Assembly v Ludington & NR Co, 236 Mich 565; 211 NW 99 (1926). 1 Originally, defendant desired a railroad to service its *29 members, providing them with transportation to its grounds. Accordingly, in 1895, defendant conveyed the southernmost strip of the five strips of land to plaintiff "to be used for railroad purposes only.” In 1914, defendant sought to extend the railroad to some adjoining land to the north. When the extension was accomplished, it was agreed that plaintiff would be allowed to transport sand that was mined at the northernmost point of the extension because of the uncertainty of the passenger business in the extended portion. As it turned out, passenger service decreased and then ceased altogether in 1919 or 1920, and sand was hauled from that time on. See Epworth Assembly, 236 Mich 568.

Plaintiffs interest in the four northern strips of land, representing the extended portion of the railroad, was acquired pursuant to four more conveyances from defendant to plaintiff that were executed in 1916. The second of the five strips, being immediately to the north of the southernmost strip conveyed in 1895, was conveyed pursuant to a quitclaim deed stating that the conveyance was "for railroad purposes only.” Proceeding northward, the third strip of land was conveyed pursuant to a quitclaim deed containing the following language:

[I]f, for any reason the property premises or land above described shall, for one year or longer, cease to be used for railroad purposes, ... in that case all of the land herein described . . . shall revert to the Epworth Assembly ....

The document conveying the fourth strip of land contained language similar to that of the second. Finally, the document relating to the fifth and northernmost strip of land conveyed "[a]ll the *30 sand down to the level of the road bed” in the described premises, and "[a]lso a right-of-way for railroad purposes on and over said land fifty (50) feet wide.” Beginning with the southernmost conveyance and proceeding north, these conveyances shall hereinafter be referred to as conveyances one through five respectively.

Plaintiff last operated a train on the track in February 1981. Thereafter, between 1982 and 1988, defendant erected a number of barricades across the strips of land, paved over two crossings, planted some trees, placed soil on some of the land, and ran a number of water and sewer pipes under the tracks.

On March 8, 1988, plaintiff commenced the instant action, seeking money damages, an injunction to prevent defendant from constructing barricades, and a declaration of the interests of the parties in the five strips of land. Defendant responded, contending both that plaintiff had abandoned its interests in the strips of land and that the operation of the railroad constituted a nuisance. Prior to trial, defendant brought a motion challenging the constitutionality of 1968 PA 13, MCL 554.61 et seq.; MSA 26.49(11) et seq., which provides for the extinguishment of certain reversionary interests in land. The trial court ruled that the act was constitutional, and further held that § 4(c) of the act, MCL 554.64(c); MSA 26.49(14) (c), providing that the act does not apply to terminable interests held for public purposes, was not applicable.

After plaintiff agreed to waive its claim for money damages, a bench trial was held on May 3 and 4, 1989.

At trial, plaintiff’s general manager, Bernard Sterk, testified that fifteen derailments occurred on plaintiff’s tracks between 1976 and 1980, but *31 that in 1977 plaintiff spent approximately $170,000 to rebuild portions of the track so that it could accommodate larger railroad cars. Nevertheless, by the end of 1978, plaintiff’s board of directors began considering the possibility of abandoning the railroad because of the loss of customers. Thereafter, business continued to decline and many customers began to insist , on receiving sand by truck. Consequently, sand was last hauled on plaintiff’s tracks in February 1981. Although trains have not run since that time, plaintiff has continued to derive revenue from investments and the rental of its cars.

In 1982, Sterk had a letter hand-delivered to defendant, asking it to restore a portion of the track which it had removed when a water line was put in. The letter also informed defendant that plaintiff had no intention of abandoning the railroad and that it hoped to use the track again when the business climate improved.

Kenneth Howell, one of plaintiff’s superintendents, testified that ever since the train stopped operating he has walked the track probably once a month making inspections. There was also testimony that in 1983 plaintiff replaced some railroad ties that had been removed by defendant when the water line was installed, and that in 1984 plaintiff hired laborers to clear the entire length of the track of weeds.

Defendant’s general manager, William Karlson, testified that derailments would occur three or four times a month from 1975 on, often blocking traffic for an average of two hours. He believed these derailments posed a hazard to the people who lived there because of the heavy equipment needed to correct a derailment. Residents of the Assembly also testified regarding the disruptive nature of the derailments and the loud screeching *32 noises that occurred when the trains negotiated the track’s curves.

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Cite This Page — Counsel Stack

Bluebook (online)
468 N.W.2d 884, 188 Mich. App. 25, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ludington-northern-railway-v-epworth-assembly-michctapp-1991.