Riley v. Venice Beach Citizens Ass'n

CourtCourt of Appeals of Maryland
DecidedApril 19, 2024
Docket5/23
StatusPublished

This text of Riley v. Venice Beach Citizens Ass'n (Riley v. Venice Beach Citizens Ass'n) is published on Counsel Stack Legal Research, covering Court of Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Riley v. Venice Beach Citizens Ass'n, (Md. 2024).

Opinion

Charles Riley, Jr. Revocable Trust, et al. v. Venice Beach Citizens Association, Inc., No. 5, September Term, 2023. Opinion by Gould, J.

SUMMARY JUDGMENT – PRIOR GRANTING OF SUMMARY JUDGMENT - IMPLICATION The Supreme Court of Maryland held that a circuit court abused its discretion in vacating a prior order granting partial summary judgment. A court’s decision to vacate a prior order is reviewed for an abuse of discretion; reversal of the circuit court is appropriate if the court’s decision is “well removed from any center mark imagined by the reviewing court and beyond the fringe of what that court deems minimally acceptable.” In re Adoption/Guardianship No. 3598, 347 Md. 295, 313 (1997) (quoting North v. North, 102 Md. App. 1, 14 (1994)).

SUMMARY JUDGMENT – COMPLIANCE WITH MARYLAND RULE 2-501(g) Maryland Rule 2-501(g) provides that an order that specifies “the issues or facts that are not in genuine dispute” is subject to modification by the circuit court only “to prevent manifest injustice.” Appellate courts apply an abuse of discretion standard to the trial court’s determination that the modification was necessary to prevent manifest injustice.

COUNTERCLAIM - PRESCRIPTIVE EASEMENT CLAIM – REQUIREMENT TO RAISE A defendant’s counterclaim that exists independently from the plaintiff’s claim is not rendered moot if the defendant prevails on the plaintiff’s claim. The defendant, therefore, is an aggrieved party if the counterclaim is dismissed. If the plaintiff appeals, the dismissal of the counterclaim is not before an appellate court and will ordinarily not be reviewed unless the defendant cross-appeals. Circuit Court for Anne Arundel County Case No.: C-02-CV-19-003841 Argued: October 2, 2023

IN THE SUPREME COURT

OF MARYLAND

No. 5

September Term, 2023 ______________________________________

CHARLES RILEY, JR. REVOCABLE TRUST, et al.

v.

VENICE BEACH CITIZENS ASSOCIATION, INC.

______________________________________

Fader, C.J., Watts, Hotten, Booth, Biran, Gould, Eaves,

JJ.

Opinion by Gould, J. Hotten and Eaves, JJ., dissent.

______________________________________ Pursuant to the Maryland Uniform Electronic Legal Materials Act (§§ 10-1601 et seq. of the State Government Article) this document is authentic. Filed: April 19, 2024 2024.04.19 12:11:12 -04'00'

Gregory Hilton, Clerk The main issue in this title dispute is whether a party has a right to rely on a favorable

partial summary judgment ruling when the rest of the case goes to trial. The issue arises

from a dispute between a homeowner and a citizens association over a parcel of

undeveloped land. The parcel was bisected into two sections by a stone wall. The

homeowner claimed adverse possession over the entire parcel, but in an amended

complaint, the homeowner treated the two sections as distinct parcels acquired at different

times and on different grounds. The homeowner moved for summary judgment on the

claim to the smaller section, which the circuit court granted.1

A different judge presided over the bench trial on the homeowner’s claim to the

larger section. When the homeowner finished his case-in-chief, the citizens association

moved for judgment. The trial court granted the citizens association’s motion and entered

judgment for it on the homeowner’s claims, including the claim to the smaller section that

had been resolved in the homeowner’s favor on summary judgment.

After the trial court denied the homeowner’s motion to alter or amend the judgment,

he appealed to the Appellate Court of Maryland which, among other things, affirmed the

trial court’s disposition of the homeowner’s claims to both the smaller and larger sections.

We granted the homeowner’s petition for certiorari. The citizens association did not

cross-petition.

1 As we explain later, the claim to the larger section was pursued by a limited liability company formed and owned solely by the homeowner. The distinction between the homeowner and his limited liability company, however, is not relevant to our analysis. On the main issue, we hold that the circuit court abused its discretion by implicitly

vacating the summary judgment entered in the homeowner’s favor on his claim to the

smaller section and then entering judgment for the citizens association on that claim. For

the reasons discussed below, we reverse in part and remand for further proceedings

consistent with this opinion.

FACTS AND PROCEDURAL HISTORY

Petitioner Charles Riley, Jr. bought a residential property (“home lot”) on Wayman

Avenue in the Venice Beach community in Anne Arundel County in 1987.2 Riley’s house

faces east toward Wayman Avenue and the Chesapeake Bay. A 4,443 square foot,

undeveloped parcel of land (“Subject Property”) lies southeast of the home lot. The home

lot shares a small part of its eastern border with the western border of the Subject Property.

The Subject Property is bordered to the east by Wayman Avenue, which runs parallel to

the Chesapeake Bay, and to the south by Chesapeake Avenue.

When Riley bought the home lot, the Subject Property was bisected by a block wall

that severed the Subject Property into two sections: a 2283 square foot parcel on the north

2 On August 17, 1991, Mr. Riley conveyed fee simple title of the home lot to himself in his capacity as trustee for the Charles Riley, Jr. Revocable Trust (“Riley Trust”), of which he was the sole trustee and beneficiary. Thus, after that date, Mr. Riley’s actions with respect to that property, including filing this lawsuit, were undertaken in his capacity as the trustee for the Riley Trust. Because it does not affect the outcome of this case, when we refer to Riley, we will not specify whether he was acting in his individual capacity or as trustee of the Riley Trust. 3 The record is inconsistent as to whether the Small Section was 228 square feet or 288 square feet. The survey in the record indicates it was 228 square feet, so we accept that number as correct.

2 side of the wall (“Small Section”) and a 4,215 square foot parcel on the south side of the

wall (“Large Section”). The home lot lies next to the Small Section and catty-corner to the

Large Section.

The Subject Property was part of an undeveloped tract of land (“Venice Beach

property”) acquired by Osborn T. Taylor in 1919. The Venice Beach property was

subdivided and developed into a residential community. When Mr. Osborn died in 1935,

he still owned parts of the original tract, consisting of beach, roads, and undeveloped

parcels—including the Subject Property (“remaining Venice Beach property”).

By 1977, through inter vivos transfers and inheritances, the remaining Venice Beach

property was owned by three individuals as tenants in common: Irena Leak, with a 37.5

percent interest, Jennie Wilder, with a 37.5 percent interest, and Benjamin Taylor, with a

25 percent interest. In 1977, Ms. Leak deeded her interest in the remaining Venice Beach

property—including the Subject Property—to her son, John Clay Leak, Jr. In 1987, Mr.

Leak sold his interest in one parcel of the remaining Venice Beach property—the Subject

Property—to Richard and Marcella Jones.4 And in June 2019, the Joneses deeded their

interest in the Subject Property to Bay Pride, LLC (“Bay Pride”), a limited liability

company formed and owned by Riley.

Ms. Wilder died in 1978, leaving her interest in the remaining Venice Beach

property to her two children. In 1987, the Wilder children executed a deed to convey their

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