Susanne, LLC v. 1 Howe Street Bay Head, LLC

CourtNew Jersey Superior Court Appellate Division
DecidedMay 13, 2026
DocketA-2223-24
StatusUnpublished

This text of Susanne, LLC v. 1 Howe Street Bay Head, LLC (Susanne, LLC v. 1 Howe Street Bay Head, LLC) is published on Counsel Stack Legal Research, covering New Jersey Superior Court Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Susanne, LLC v. 1 Howe Street Bay Head, LLC, (N.J. Ct. App. 2026).

Opinion

NOT FOR PUBLICATION WITHOUT THE APPROVAL OF THE APPELLATE DIVISION This opinion shall not "constitute precedent or be binding upon any court ." Although it is posted on the internet, this opinion is binding only on the parties in the case and its use in other cases is limited . R. 1:36-3.

SUPERIOR COURT OF NEW JERSEY APPELLATE DIVISION DOCKET NO. A-2223-24

SUSANNE, LLC,

Plaintiff-Respondent,

v.

1 HOWE STREET BAY HEAD, LLC,

Defendant-Appellant. ___________________________

Argued April 21, 2026 – Decided May 13, 2026

Before Judges Gilson, Firko, and Vinci.

On appeal from the Superior Court of New Jersey, Chancery Division, Ocean County, Docket No. C- 000228-22.

Peter R. Bray argued the cause for appellant (Bray & Bray LLC, attorneys; Peter R. Bray, on the briefs).

Laura Leacy Kyler argued the cause for respondent (McCarter & English LLP, attorneys; Laura Leacy Kyler, of counsel and on the brief; Mark M. Makhail and Benjamin Klein, on the brief).

PER CURIAM Defendant 1 Howe Street Bay Head appeals from a February 25, 2025

order entered following a bench trial in favor of plaintiff Susanne, LLC

compelling defendant to remove and relocate a retaining wall and other

encroaching structures it built on and over plaintiff's adjacent oceanfront

property in the Borough of Bay Head (Borough). We affirm.

I.

Plaintiff owns property located on East Avenue in the Borough. Plaintiff's

principals inherited the property from their parents who purchased it in 1963.

Plaintiff was formed in 2014 and has owned the property since th en. The

property has been used by plaintiff's principals and their parents as a family

vacation home since 1963. The current principals continue to use it as a vacation

home and also rent it to third parties for two months each year during the

summer.

In 2017, defendant purchased an adjacent property in the Borough which

shares a common boundary with plaintiff's property. The southern border of

defendant's property abuts the northern border of plaintiff's property. At the

time defendant purchased its property, the boundary line between the properties

was marked by railroad ties and a wooden fence that was entirely on plaintiff's

property.

A-2223-24 2 Beginning in 2021, defendant performed construction on its property.

During the construction, defendant removed the railroad ties and wooden fence

that previously marked the property line. As part of the construction project,

which involved the installation of a pool and concrete pool deck, defendant built

a retaining wall and wall cap that encroaches on plaintiff's property by 1.2 to 1.3

feet, a garage gutter overhanging the property line by 0.8 to 0.9 feet, a garage

soffit overhanging the property by 0.3 feet, and a wooden fence that encroaches

by 0.5 to 0.6 feet. Defendant also removed vegetation from plaintiff's property

and created an access path on the property without permission.

In addition to encroaching on plaintiff's property, defendant's construction

project differed from the plans submitted to and approved by the Borough. For

example, the approved plans included an area of lawn on the south side of the

pool between the pool and the proposed wall. Instead, defendant constructed a

concrete pool deck that extends from the pool to the wall. The Borough

subsequently issued two notices of violation relating to the encroaching

retaining wall and defendant's failure to submit a compliant as-built survey for

approval.

On October 20, 2022, plaintiff filed a single-count complaint alleging

trespass, which was amended on June 4, 2024. Plaintiff sought "an [o]rder

A-2223-24 3 compelling [d]efendant to vacate [its] [p]roperty and remove all

encroachments," as well as compensatory and punitive damages. Defendant

filed an answer to the amended complaint asserting, as an affirmative defense,

that "[p]laintiff is not entitled to equitable relief under the subject

circumstances."

After the completion of discovery, plaintiff moved for summary judgment.

On September 6, 2024, the court entered an order granting plaintiff's motion in

part "as to the issue of trespass only."1 Plaintiff also moved to bar the testimony

of defendant's proposed expert contractor, Andrew Russin of AKR Contractors,

Inc., contending his report regarding the estimated cost to demolish and rebuild

the retaining wall was an inadmissible net opinion. The court denied that motion

without prejudice subject to conducting a N.J.R.E. 104 hearing at the time of

trial.

The court conducted a two-day bench trial in December 2024, to

determine the appropriate remedy for defendant's trespass. As framed by the

1 Defendant has not appealed from that order and, as a result, any such arguments are waived. See 1266 Apartment Corp. v. New Horizon Deli, Inc., 368 N.J. Super. 456, 459 (App. Div. 2004) (citation omitted) ("[I]t is only the judgment or orders designated in the notice of appeal which are subject to the appeal process and review").

A-2223-24 4 court, "[p]laintiff [sought] removal of the encroachments, and defendant asked

the [c]ourt to deny that relief by applying the [d]octrine of [r]elative [h]ardship."

Plaintiff called Peter Steck, a community planning consultant, as an

"expert professional planner." Steck testified that defendant's improvements

"do[] not comply with the plans that were filed to construct the wall, the patio[,]

and the pool." "The wall encroaches on an adjacent property" and "abuts a patio

surface that[ is] more than one foot over the natural grade." Additionally, Steck

testified that the construction of the improvements violated the Borough's

zoning setback requirements.

Plaintiff also called Robert Gagliano of Gagliano & Company, as an

expert in real estate appraisal. He testified that "the physical encroachment of

the [retaining] wall [is] [fifty-nine] square feet." He also opined an access or

maintenance easement would be required and the "access encroachment" is

"[six] feet wide and [eighty-four] feet long." To estimate the market value of

the encroachments, Gagliano used "the before and after method," which

considers "the value of the entire parcel before it was estimated and the after is

minus any takings or easements and damages to the remainder."

He compared "recent land sales of four comparable oceanfront lots" and

concluded the total value of plaintiff's property was $3,240,000 without the

A-2223-24 5 encroachments. Gagliano testified the wall and access encroachments would

have a negative impact on the value of plaintiff's property. He opined that as of

July 2023, the value of the land occupied by the retaining wall encroachment

was $13,700, and the value of the land subject to the related access

encroachment was $92,100, for a total value of $105,800. After the close of

plaintiff's case, defendant moved for a directed verdict, pursuant to Rule 4:37-

2(b), on plaintiff's claim for punitive damages, which the court granted.

Defendant called Jon Brody as an expert in real estate appraisal. He

opined the value of an easement for the wall encroachment was $1 because it

did not impair the use or value of plaintiff's property. Brody based the value

"on the fact that there[ is] no proof[] that had been established . . . that

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