Mark Whitmore v. Zane Larsen

Court of Appeals of Washington·Decided October 20, 2020·No. 36863-7·Unpublished

Opinion

FILED

OCTOBER 20, 2020

In the Office of the Clerk of Court WA State Court of Appeals, Division III

IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON DIVISION THREE

MARK WHITMORE, )

) No. 36863-7-III

Respondent, )

)

v. )

)

ZANE LARSEN, individually, ) UNPUBLISHED OPINION AFFORDABLE ADVANCE ) AUTOCARE, a Washington Limited ) Liability Company, d/b/a EVERGREEN ) TIRE, and OCCUPANTS, )

)

Appellants. )

SIDDOWAY, J. — Zane Larsen appeals the findings, conclusions, and judgment entered following a bench trial, finding him liable for unlawful detainer and imposing damages, attorney fees and costs totaling $165,680.40. We reverse and remand with directions to dismiss the unlawful detainer claim.

Whitmore v. Larsen

FACTS AND PROCEDURAL BACKGROUND For over 25 years, Charles Chambers owned and operated an automotive and tire business in Pullman. The business operated out of a large commercial building that was owned by Dorothy Martin at the time Mr. Chambers bought the business. Ms. Martin leased the ground on which the building was located. When Ms. Martin died in 1997 or 1998, Mr. Chambers and his wife bought the building and entered into ground leases of their own. Most of the building and other business premises were located on a former railroad right-of-way that the Chamberses leased from the Washington State Department of Transportation (DOT).

The Chamberses had a second ground lease that addressed an historical encroachment. After the commercial building was constructed in 1950 by Widmer & Widmer Roofing Specialists, Inc., Maybelle Keiser, who owned adjoining land to the east,1 brought a quiet title action and, in October 1962, established title to land that extended a little over 10 feet under Widmer’s building. Widmer dealt with the problem of its encroachment by signing a lease effective November 1, 1962, under which it agreed to pay $100 per year to lease a roughly 10 x 250 foot strip of Ms. Keiser’s land. Ms.

1 The boundaries of the Widmer and Chambers business premises appear to run SSW to NNE and WNW to ESE rather than north to south and east to west. In discussing spatial relationships at trial the parties referred more simply (albeit less exactly) to locations being to the east, west, north, or south. So do we.

Whitmore v. Larsen

Keiser continued to charge only $100 per year rental to Widmer and its assignee for the next 24 years.

By the time Ms. Martin acquired the building in 1987, Mr. Whitmore’s parents had acquired Ms. Keiser’s property interests. Beginning with Ms. Martin’s acquisition of the building in 1987, Mr. Whitmore’s parents, succeeded to by a Whitmore Family Trust and thereafter by Mr. Whitmore (collectively “the Whitmores”), substantially raised the rent payable for the strip of land being used by the automotive/tire business. The lease with Ms. Martin extended the leased strip of land by another 194 by 10 feet, yet it increased the rent from only $100 per year to $700 per month—amounting to $8,400 per year.

During Mr. Chamber’s ownership and operation of the automotive/tire business, a gravel road or driveway that the Whitmores claimed to own ran along the eastern boundary of his leased property and continued to the north, where it ended in a turnaround at a grain elevator owned by the Whitmores. Ms. Martin’s and the Chamberses’ leases with the Whitmores allowed them to make nonexclusive use of the road/driveway. (The Martin lease described it as a “private road” while the Chambers lease described it as a “common driveway.” Ex. P12, at 2; Ex. P14, at 4.) Among other users of the road/driveway were the Whitmores, their grain elevator lessees, and recreational vehicle owners to whom the Whitmores would rent space on football

Whitmore v. Larsen

weekends. The Chambers lease in effect in 2014 required the Chamberses to repair, maintain, grade and gravel the road/driveway annually.

In August 2014, Mr. Chambers announced his intention to sell the automotive/tire business and retire, and Zane Larsen expressed interest in acquiring it. Mr. Larsen entered into an agreement to purchase the business and building in October 2014 that was subject to contingencies.2 The purchase did not close until April 2016, but Mr. Larsen began operating the business in November 2014, “to get [his] feet under [him],” and in light of Mr. Chamber’s intention to retire. Report of Proceedings (RP) at 201-02.

In the late summer or fall of 2014, Mr. Chambers informed Mr. Whitmore that he would not renew the ground lease for Mr. Whitmore’s encroached-upon land, whose three-year term would end on January 31, 2015. He informed Mr. Whitmore that Mr. Larsen would be buying the business and Mr. Larsen and Mr. Whitmore would need to negotiate their own lease. On February 10, 2015, Mr. Chambers wrote Mr. Whitmore a confirming letter, which reads:

I am writing you to confirm that our rental contract has ended as of January 31st, and as you know, because of health reasons, I have sold the business to Zane Larsen. I recommend that you contact Mr. Larsen and work out the rental agreement with him as soon as possible.

Ex. P15.

2 The purchase was made by Mr. Larsen and his limited liability company, Affordable Advance Autocare, which is also an appellant. For simplicity, we refer only to Mr. Larsen.

Whitmore v. Larsen

It is undisputed that Mr. Larsen and Mr. Whitmore thereafter unsuccessfully engaged in negotiations toward a lease. Mr. Whitmore would later testify that he tried to negotiate a lease with Mr. Larsen “[m]ultiple times” but Mr. Larsen “refused every term that we’ve tried to put together.” RP at 52, 55. When Mr. Larsen finally presented a proposed written lease, Mr. Whitmore refused to sign it.

For his part, Mr. Larsen claims the negotiations stalled when he discovered “red flags.” RP at 204. One was that Mr. Whitmore could not provide a satisfactory survey of the proposed leasehold. Mr. Larsen also learned that the gravel road that Mr. Whitmore claimed to own had formerly been Kaylor Road, a public road, and Ms. Keiser had not named the city of Pullman or any other governmental agency as a party in her quiet title action. He ultimately came to doubt that Mr. Whitmore owned the land underneath and adjacent to his building and refused to negotiate further until he could resolve his concerns.

In June 2015, Mr. Whitmore served a three-day notice to pay rent or vacate on Mr.

Larsen. The notice asserted that past due rent of $7,500 was owed and if not paid, Mr. Whitmore would file an unlawful detainer action under RCW 59.12.030(3). The rent was not paid, and the following week Mr. Whitmore filed the action below.

Mr. Whitmore’s complaint for unlawful detainer alleged that Mr. Larsen was Mr.

Whitmore’s tenant under “a month to month lease” under which Mr. Larsen owed $1,500

Whitmore v. Larsen

per month, for a total of $7,500. Clerk’s Papers (CP) at 3. Implicit was that the last rent paid was for the month of January 2015, the last month of the Chambers lease (or so the parties believed). In answering the complaint, Mr. Larsen denied that he and Mr. Whitmore had a lease agreement and alleged that Mr. Whitmore did not own the property that was the subject matter of the Chambers lease.

At a show cause hearing that took place in August 2015 the trial court observed, “This is obviously very complicated and this is very typical when you have boundary disputes.” CP at 298. It expressed concern that the parties had provided no briefing. It told the parties that despite its uncertainty, “I’m going to go ahead and give you a decision here today,” explaining that it could take the matter under advisement, but “I could probably spend 40 or 50 hours doing independent research . . . and [it] would still be a difficult issue to determine.” CP at 298-99.

Free access — add to your briefcase to read the full text and ask questions with AI

Mark Whitmore v. Zane Larsen, (Wash. Ct. App. 2020).

Mark Whitmore v. Zane Larsen (Mark Whitmore v. Zane Larsen) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Johnson v. Nasi
309 P.2d 380 (Washington Supreme Court, 1957)
DeHeer v. Seattle Post-Intelligencer
372 P.2d 193 (Washington Supreme Court, 1962)
Bar K Land Co. v. Webb
864 P.2d 435 (Court of Appeals of Washington, 1993)
Klein v. Pyrodyne Corporation
817 P.2d 1359 (Washington Supreme Court, 1991)
MacRae v. Way
392 P.2d 827 (Washington Supreme Court, 1964)
HOUSING AUTHORITY OF CITY OF EVERETT v. Terry
789 P.2d 745 (Washington Supreme Court, 1990)
Dundalk Holding Co. v. Easter
137 A.2d 667 (Court of Appeals of Maryland, 1958)
In Re Detention of Strand
217 P.3d 1159 (Washington Supreme Court, 2009)
Weiss v. Lonnquist
224 P.3d 787 (Court of Appeals of Washington, 2009)
FPA Crescent Associates, LLC v. Jamie's LLC
360 P.3d 934 (Court of Appeals of Washington, 2015)
Cutrona v. Columbus Theatre
151 A. 467 (New Jersey Court of Chancery, 1930)
Kellogg v. Gleeson
178 P.2d 969 (Washington Supreme Court, 1947)
Reichlin v. First National Bank
51 P.2d 380 (Washington Supreme Court, 1935)
Ross v. Raymer
201 P.2d 129 (Washington Supreme Court, 1948)
Davis v. Westphal
2017 MT 276 (Montana Supreme Court, 2017)
Densley v. Department of Retirement Systems
162 Wash. 2d 210 (Washington Supreme Court, 2007)
In re the Detention of Strand
167 Wash. 2d 180 (Washington Supreme Court, 2009)
In re the Marriage of Schneider
268 P.3d 215 (Washington Supreme Court, 2011)
Williamson v. Hallett
182 P. 940 (Washington Supreme Court, 1919)
Lake Union Realty Co. v. Woolfield
205 P. 14 (Washington Supreme Court, 1922)