Petition of Borough of Westmont

570 A.2d 1382, 131 Pa. Commw. 530, 1990 Pa. Commw. LEXIS 147
CourtCommonwealth Court of Pennsylvania
DecidedMarch 1, 1990
StatusPublished
Cited by6 cases

This text of 570 A.2d 1382 (Petition of Borough of Westmont) is published on Counsel Stack Legal Research, covering Commonwealth Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Petition of Borough of Westmont, 570 A.2d 1382, 131 Pa. Commw. 530, 1990 Pa. Commw. LEXIS 147 (Pa. Ct. App. 1990).

Opinion

CRAIG, Judge.

James and Jean O’Malley appeal a decision of the Court of Common Pleas of Cambria County that removed a municipal purpose restriction imposed on two adjacent lots, upon which the Borough of Westmont’s former municipal building is situated, and placed a permanent restriction on the lots that limited the use of the lots to single-family dwellings.

In 1915 and 1924, Cambria Iron Company, now known as Bethlehem Steel Company, conveyed the two lots to the borough by a deed that contained a restriction which required the lots to be used only for municipal purposes. The borough’s former municipal building, a two-story brick building, has been unoccupied since 1987, when the borough constructed a new municipal building elsewhere.

This dispute began when the Borough, in attempting to sell the property and increase its marketability, obtained a release from Bethlehem Steel, in which the company waived the municipal restriction contained in the deed. The Nadorliks, who are the owners of a single family dwelling separated from the borough’s lots by two other single-family dwellings, filed a complaint in equity, through which they sought to enjoin the borough from selling the property.

Ultimately, the court determined that the municipal use restrictions created a covenant running with the land, and therefore, declared void the recorded release that the borough and Bethlehem Steel had executed.

The borough then filed a petition with the common pleas court, seeking the court’s approval under the Pennsylvania *533 Donated or Dedicated Property Act, Act of December 15, 1959, P.L. 1772, §§ 1-6, as amended, 53 P.S. §§ 3381-3386, or the Pennsylvania Inalienable Property Act, 20 Pa.C.S. §§ 8301-8306, to sell the property free of the municipal use restriction, and asked the court to impose a new single-family dwelling restriction.

The trial court, without indicating which act it relied upon, granted the borough’s request. The O’Malleys, other neighbors who intervened, now appeal the trial court’s imposition of the single-family dwelling restriction.

Essentially, this court must address two issues: (1) whether the trial court is empowered to remove a covenant running with the land under the Donated or Dedicated Property Act; and (2) whether the court’s equitable powers allow it to impose a use restriction not included in the original deed.

I. Removal of Municipal Restriction

We will not address the applicability of the Pennsylvania Inalienable Property Act because the trial court did not specifically rely upon that Act, and the O’Malley’s, as appellants, have not presented a discussion of the Act in their brief. Furthermore, one decision of the Pennsylvania Supreme Court, Conveyance of Land Belonging to DuBois, 461 Pa. 161, 335 A.2d 352 (1975), suggests that neither the Nadorliks nor the O’Malleys would have standing in an action brought under the Inalienable Property Act.

In that decision, the court determined that an heir of a person who had conveyed realty to the City of DuBois did not have standing under the Revised Price Act, which the Inalienable Property Act replaced, to object to the city’s proposed disposition of the property. Thus, the court noted that persons who only had tangential interests in private sales of real estate may not intervene in proceedings under the Act.

Although the standing of the parties under the Donated or Dedicated Property Act is not clear, Section 4 of *534 the Donated or Dedicated Property Act vests the Orphan’s Court with jurisdiction over a municipality’s request to dispose of property held in public trust. That provision states:

Orphan’s court relief
When, in the opinion of the political subdivision which is the trustee, the continuation of the original use of the particular property held in trust as a public facility is no longer practicable or possible and has ceased to serve the public interest____ The trustee may apply to the orphan’s court of the county in which it is located for appropriate relief. The court may permit the trustee to—
(1) Substitute other lands or property of at least equal size and value held or to be acquired by the political subdivision in exchange for the trust property in order to carry out the trust purposes.
(2) If other property is not available, sell the property and apply the proceeds to carry out the trust purposes.
(3) In the event the original trust purpose is no longer practicable or possible or in the public interest, apply the property or the proceeds therefrom in the case of a sale to a different public purpose.

53 P.S. § 3384.

The provision implicitly gives the orphan’s court the power to remove a restrictive, covenant; to hold otherwise would render nugatory the court’s power to approve a sale, in a case such as this, where the borough’s use of the property “is no longer practicable or possible or in the public interest.” Thus, the trial court here properly removed the municipal use restriction from the deed.

II. Imposition of New Restriction

The trial court also indicated that a court sitting in equity may fashion a fair remedy, and that its imposition of the single-family dwelling restriction does not constitute an abuse of the court’s equitable powers. We disagree with the court’s conclusion in this regard.

*535 To support its reasoning, the court noted that courts of equity are not bound by strict rules of common law. However, the issue in this case does not rest solely on common law principles, but rather on the language of the Donated or Dedicated Property Act. Our Supreme Court has stated that orphan’s courts are special tribunals for special cases, and that they are courts of limited jurisdiction which may exercise only those powers which are provided by statute, either expressly or by necessary implication. In re Jervis’ Estate, 443 Pa. 226, 279 A.2d 151 (1971).

Although this particular issue has never been raised before, another statute that vests the courts of common pleas with equity jurisdiction provides guidance.

Section 1003 of the Public Employe Relations Act, Act of July 23, 1970, P.L. 563, as amended, 43 P.S., § 1101.1003 allows the common pleas courts to grant equitable relief “if the court finds that [a] strike creates a clear and present danger or threat to the health, safety, or welfare of the public.”

However, in Bethel Parks School District v. Bethel Park Federation of Teachers, 51 Pa.Commonwealth Ct. 104, 414 A.2d 145

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Bluebook (online)
570 A.2d 1382, 131 Pa. Commw. 530, 1990 Pa. Commw. LEXIS 147, Counsel Stack Legal Research, https://law.counselstack.com/opinion/petition-of-borough-of-westmont-pacommwct-1990.