Orange & Rockland Utilities, Inc. v. Philwold Estates, Inc.

70 A.D.2d 338, 421 N.Y.S.2d 640, 1979 N.Y. App. Div. LEXIS 12718
CourtAppellate Division of the Supreme Court of the State of New York
DecidedNovember 1, 1979
StatusPublished
Cited by14 cases

This text of 70 A.D.2d 338 (Orange & Rockland Utilities, Inc. v. Philwold Estates, Inc.) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Orange & Rockland Utilities, Inc. v. Philwold Estates, Inc., 70 A.D.2d 338, 421 N.Y.S.2d 640, 1979 N.Y. App. Div. LEXIS 12718 (N.Y. Ct. App. 1979).

Opinion

[340]*340OPINION OF THE COURT

Greenblott, J.

This is an action in which plaintiffs request a declaration that a clause restricting the use of certain realty expired upon the death of the grantor. In the alternative, plaintiffs seek to extinguish the restriction pursuant to section 1951 of the Real Property Actions and Proceedings Law.

In 1923, William A. Bradford owned in fee a tract of realty in Sullivan County through which the Neversink River passes. By deed dated July 9, 1923, Bradford conveyed various parcels of this tract on the easterly and westerly side of the Never-sink River to Alfred J. Crane. Bradford reserved to himself and "his heirs, licensees and assigns forever” the exclusive fishing, hunting and trapping rights to the land he conveyed to Crane. The deed also restricted use of land on the westerly side of the Neversink to development and utilization of the river’s water power. The restrictive covenant provided: "It is mutually agreed by the parties hereto that the land on the westerly side of said Neversink River conveyed [by the party of the first part] by the above mentioned deed, is to be used by the party of the second part, his heirs, executors, and assigns solely for the erection of Hydroelectric and generating plants and appurtenances, transmission lines, dams, pen-stocks, conduits, or other structures appurtenant to the proper development and utilization of the water power of the portion of the Neversink River and Bushkill Creek above described or other water power uses and purposes, including houses for employees.”

On April 8, 1927 Crane conveyed the restricted property and other parcels to Rockland Light and Power Company, the predecessor of plaintiff Orange and Rockland Utilities, Inc., which, in turn, on December 31, 1971, conveyed the realty in issue to plaintiff Clove Development Corporation, a wholly owned subsidiary of Orange and Rockland Utilities. Through various mesne conveyances and transactions, defendant Wechsler became the present owner of the exclusive hunting and fishing rights which Bradford had reserved to plaintiffs’ land.

In 1940 New York City appropriated the flowage rights in the Neversink River and in 1951 the city and Rockland Light and Power (plaintiffs’ predecessor) entered into an agreement in which Rockland’s claim for damages of $3,000,000 was settled. Rockland conveyed its riparian rights, including those [341]*341along the realty at issue herein, to the city in exchange for the right to use a city water supply tunnel.

The theory of plaintiffs’ action is that the hydroelectric restriction referred to above was a covenant personal to Bradford and that it expired upon his death in 1934. They contend alternatively that pursuant to section 1951 of the Real Property Actions and Proceedings Law, the restriction should be extinguished because the appropriation by New York City of the flowage rights in the Never sink River rendered the purpose of the restriction incapable of accomplishment. The trial court held that under both theories, the action was barred by the Statute of Limitations, and that even if the statute had not run, plaintiffs were foreclosed from relief under the doctrine of laches.

In holding that the Statute of Limitations barred this action, the trial court relied upon the rule that unlike an owner in possession, an owner not in actual possession must commence an action to remove a cloud on title within the applicable time period (e.g., Ford v Clendenin, 215 NY 10, 17). We think, however, that the court’s reliance on this rule is misplaced.

It is true that although an owner who is in possession of real property need not comply with the statute in an action to discharge an incumbrance on his title, "[a] person claiming title to real property but not in possession thereof must act affirmatively and within the time provided by the statute” (Ford v Clendenin, supra, p 17). Moreover, "[w]here a person who claims to own real property which is in the possession of another seeks in an action in equity to obtain a judgment which will subsequently enable him to obtain possession thereof, every reason which can exist in any case for diligence on the part of the person making a claim in asserting the same is applicable” (215 NY 10, 17). These principles, however, have no application to this case before us.

Significantly, the cases in which the rule has been invoked have involved actions to oust from possession a person already in possession of realty or to exclude one claiming an interest therein. For example, in the leading case of Ford v Clendenin (supra), the court upheld application of the rule to bar an action to regain possession where the property was in possession of and held by another under title as a purchaser at a judicial sale. Another example is Miner v Beekman (50 NY 337, 344), where the court explained that the action of the [342]*342plaintiff, who claimed to be owner of the property but was out of possession, would be barred if it were determined upon a new trial that the defendants, who claimed under deeds in fee, had been in possession for the statutory period. In Gifford v Whittemore (4 AD2d 379), this court explained that the statute would have begun to run against the plaintiffs, who sought an adjudication vesting legal title in them as against the defendants, if it were determined that the plaintiffs were not in possession.

Turning to the case at bar, there is no dispute that plaintiffs are the record owner in fee of the realty in issue. Unlike the cases discussed above, this is neither an action to recover possession nor one to exclude defendant from exercising his rights to the land. There is here no dispute as to who is in possession. Plaintiffs, by virtue of their deed, are presumptively entitled to possession (cf. Real Property Actions and Proceedings Law, § 311) and defendant’s hunting and fishing interest, whether labeled an easement in gross or a profit in gross (see Passaic Val. Council, Boy Scouts of Amer. v Hartwood Syndicate, 75 Misc 2d 1018, 1022, mod 46 AD2d 247, mod 39 NY2d 1022), is incorporeal or nonpossessory in nature (see Nellis v Munson, 108 NY 453). There is no showing that defendant or anyone has ever used or made claim to the subject realty in a manner adverse to plaintiffs’ ownership. To the contrary, defendant’s use of the land has been entirely consistent with the reservation clause inserted in the 1923 deed by Bradford. Other than the hydroelectric restriction and the reservation of the hunting and fishing rights, the record contains no indication whatsoever that plaintiffs did not possess full ownership rights.

Thus, the rationale behind the rule relied upon by the trial court—to encourage diligence on the part of a person who claims to own land in the possession of another and who seeks to oust that person from possession or some other interest in the land—simply has no application where, as here, the plaintiff is the record owner of the realty, does not seek to exclude the defendant from an interest therein, and merely seeks to remove a cloud upon title. Under such circumstances, moreover, it was entirely within plaintiffs’ prerogative to permit the land to remain subject to the restrictive covenant, and it was, therefore, unnecessary for them to timely seek the aid of equity to remove the restriction. We conclude, then, that plaintiffs, as the record owners of the fee, [343]

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

Related

Maisto v. State of New York
2017 NY Slip Op 7511 (Appellate Division of the Supreme Court of New York, 2017)
Bank of America, N.A. v. 414 Midland Avenue Associates, LLC
78 A.D.3d 746 (Appellate Division of the Supreme Court of New York, 2010)
Continental Casualty Co. v. Employers Insurance
60 A.D.3d 128 (Appellate Division of the Supreme Court of New York, 2008)
Estate of Spiegel v. Estate of Rickey
29 A.D.3d 1180 (Appellate Division of the Supreme Court of New York, 2006)
Wechsler v. People
13 A.D.3d 941 (Appellate Division of the Supreme Court of New York, 2004)
Key Bank v. Del Norte, Inc.
251 A.D.2d 740 (Appellate Division of the Supreme Court of New York, 1998)
Wechsler v. New York State Department of Environmental Conservation
193 A.D.2d 856 (Appellate Division of the Supreme Court of New York, 1993)
First Federal Savings & Loan Ass'n v. Capalongo
152 A.D.2d 833 (Appellate Division of the Supreme Court of New York, 1989)
Taylor v. Vassar College
138 A.D.2d 70 (Appellate Division of the Supreme Court of New York, 1988)
Bodin v. Kinne
128 A.D.2d 931 (Appellate Division of the Supreme Court of New York, 1987)
Bissell v. Pyramid Companies
125 A.D.2d 876 (Appellate Division of the Supreme Court of New York, 1986)
Kraker v. Roll
100 A.D.2d 424 (Appellate Division of the Supreme Court of New York, 1984)
Conkey v. State
74 A.D.2d 998 (Appellate Division of the Supreme Court of New York, 1980)

Cite This Page — Counsel Stack

Bluebook (online)
70 A.D.2d 338, 421 N.Y.S.2d 640, 1979 N.Y. App. Div. LEXIS 12718, Counsel Stack Legal Research, https://law.counselstack.com/opinion/orange-rockland-utilities-inc-v-philwold-estates-inc-nyappdiv-1979.