Steadman v. Uptown Motors, Inc.

842 So. 2d 684, 157 Oil & Gas Rep. 708, 2002 Ala. Civ. App. LEXIS 193, 2002 WL 399217
CourtCourt of Civil Appeals of Alabama
DecidedMarch 15, 2002
Docket2001168
StatusPublished
Cited by1 cases

This text of 842 So. 2d 684 (Steadman v. Uptown Motors, Inc.) is published on Counsel Stack Legal Research, covering Court of Civil Appeals of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Steadman v. Uptown Motors, Inc., 842 So. 2d 684, 157 Oil & Gas Rep. 708, 2002 Ala. Civ. App. LEXIS 193, 2002 WL 399217 (Ala. Ct. App. 2002).

Opinion

THOMPSON, Judge.

On December 8, 2000, Uptown Motors, Inc., sued Francis LaJoy Steadman; in its complaint, Uptown Motors sought a division of certain real property that it owned in joint tenancy with Steadman. The trial court conducted an ore tenus hearing. On June 29, 2001, the trial court entered a judgment ordering that the property be sold. Steadman appealed. This case was transferred to this court by the supreme court, pursuant to § 12-2-7(6), Ala.Code 1975.

Pursuant to § 35-6-20, Ala.Code 1975, a joint owner of real property may seek to have property partitioned or sold for division. Ragland v. Walker, 387 So.2d 184 (Ala.1980). “The circuit court shall have original jurisdiction to divide or partition, or sell for partition, any property, real or personal, held by joint owners or tenants in common....” § 35-6-20, Ala. Code 1975.

“Before a sale under [§ 85-6-20, Ala. Code 1975,] is authorized, proof that the land cannot be equitably divided is required. Once a tenant in common has averred and proved that the parcel cannot be equitably divided, this Court has interpreted Code 1975, § 35-6-20, as giving that co-tenant the right to demand partition of the land held in coten-ancy.”

Watson v. Durr, 379 So.2d 1243, 1244 (Ala.1980) (footnotes omitted). If a joint owner is unable to demonstrate that the real property cannot be equitably divided among the joint owners, the property must be partitioned and not sold. Cotton v. McMurtry, 440 So.2d 1039, 1040 (Ala.1983). The party seeking the sale for division has the burden of proving that the property cannot be equitably divided between the joint owners. McGee v. McGee, 495 So.2d 1081 (Ala.1986); Cotton v. McMurtry, 440 So.2d 1039 (Ala.1983); Watson v. Durr, supra; Carden v. Vanderslice, 336 So.2d 1082 (Ala.1976). The trial court’s determination of whether the property may be divided equitably among the joint owners is entitled to the ore tenus presumption of correctness. English v. Brantley, 361 So.2d 549 (Ala.1978); Meador v. Meador, 255 Ala. 688, 53 So.2d 546 (1951).

The evidence in this case indicates that the property in dispute consists of 80 acres located in Walker County. Steadman testified that the property at issue in this case has been in his family for approximately 60 years, and that his mother owned the property at the time of her death. Stead-man has a number of siblings. Steadman testified that after his mother died, he and two of his sisters, Martha Steadman Lollar and Mary Myers, purchased all other heirs’ interests in that property. Thereafter, Steadman, Lollar, and Myers owned undivided one-third interests in the entire 80 acres. Myers later deeded one-half of [686]*686her interest in the property to her daughter, Sherry Spain.

Uptown Motors conducts coal-mining operations. Uptown Motors owns much of the land surrounding the property at issue in this dispute, and it has conducted coal-mining operations on those lands. Uptown Motors wants to mine the coal on the property. It obtained preliminary permits to allow it to mine the property for coal, apparently assuming that it would eventually purchase the property. On June 5, 2000, Uptown Motors purchased the interests in the property held by Lollar, Myers, and Spain. On that same date, Uptown Motors contracted to return to Lollar, Myers, and Spain their interests in the property after it had completed its planned coal-mining operations on the property.

Steadman rejected Uptown Motors’ offers to purchase his interest in the property. Therefore, Uptown Motors filed a “complaint for division,” asking the trial court to order the property sold. Given the nature of the relief sought in its complaint, Uptown Motors impliedly asserted that the property could not be equitably divided between the joint owners. See Madison v. Lambert, 399 So.2d 840, 843 (Ala.1981) (holding that by seeking a sale for division, the plaintiff “conditioned his prayer for relief on the jurisdictional assertion that the property cannot be partitioned in kind”).

Steadman testified that the property could be divided so that he would receive his one-third interest; he believed the property “could be divided ... [in] any direction.” Steadman testified that he would like to have the northern portion of the property. Uptown Motors submitted as an exhibit a map depicting the areas for which it had obtained preliminary permits to mine coal; that map indicated that Uptown Motors planned to use the majority of the property for its mining operations. Steadman testified that according to that map, there was no way to divide the property so as to award him his proportionate interest in the property without including an area Uptown Motors wanted to use for coal mining. Thus, any partition of the property according to the parties’ interests would necessarily have included in any award to Steadman property that Uptown Motors wished to use for its proposed mining operation on the property.

Charles Justice, the president and owner of Uptown Motors, testified that the property consists of “just hills and hollows,” and that the property is unimproved and not used for cultivation. The property was cleared of its timber four to five years before the trial; the property is now wooded with volunteer growth. The property is not accessible by a passable road. Justice testified that, at least to him, the property had no economic value other than that derived from its use for coal mining.

Justice testified that Uptown Motors had invested money in the coal-mining operation for a large area that included the property in dispute in this action. Justice testified that Uptown Motors already intended to mine the majority of property at issue in this case; that it planned to investigate the feasibility of mining the remainder of the property; and that it intended to construct a sediment pond on the property that would serve not only the coal-mining operation on the property at issue but also the mining operations conducted on adjacent lands.

Justice testified that without knowing exactly where the coal deposits on the property were located, he “would not know where to divide” the property. Justice also testified that the property could not be partitioned in a manner that would allow Uptown Motors to perform its mining operations in a cost-effective manner, especially with regard to its other mining [687]*687operations on nearby lands. Justice stated that he would prefer that the trial court order the property to be sold at auction.

Steven R. Ingle, a professional mineral engineer, testified regarding the areas of the property that Uptown Motors planned to mine. Ingle testified that because the ownership of the property was in dispute, he had not been able to conduct proper testing to determine the feasibility of mining the property for coal. Ingle testified, however, that his estimates derived from the nature of the coal reserves on adjacent property had formed the basis for Uptown Motors’ plans to mine the majority of the 80 acres of property in dispute. Ingle also testified that if Uptown Motors was not allowed to mine the property in accordance with its proposed mining plan, the costs of its mining operations both on the property at issue and on the adjacent lands would be increased. Ingle testified that dividing the property so as to award Steadman his one-third interest in the property would make Uptown Motors’ plans to mine the property economically inefficient.

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842 So. 2d 684, 157 Oil & Gas Rep. 708, 2002 Ala. Civ. App. LEXIS 193, 2002 WL 399217, Counsel Stack Legal Research, https://law.counselstack.com/opinion/steadman-v-uptown-motors-inc-alacivapp-2002.