Townsend v. State Ex Rel. State Highway Department

871 P.2d 958, 117 N.M. 302
CourtNew Mexico Supreme Court
DecidedFebruary 9, 1994
Docket20861
StatusPublished
Cited by17 cases

This text of 871 P.2d 958 (Townsend v. State Ex Rel. State Highway Department) is published on Counsel Stack Legal Research, covering New Mexico Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Townsend v. State Ex Rel. State Highway Department, 871 P.2d 958, 117 N.M. 302 (N.M. 1994).

Opinion

OPINION

RANSOM, Chief Justice.

Henry Townsend, as trustee of the Henry and Sylvia Townsend Revocable Trust, appeals from an order dismissing his complaint against the State Highway Department and the Commissioner of Public Lands for failure to state a claim upon which relief could be granted. Townsend sought a declaratory judgment and damages for inverse condemnation, trespass, and conversion. The trial court held that Townsend’s trespass and conversion claims were barred by the Tort Claims Act, NMSA 1978, §§ 41-4-1 to -27 (Repl.Pamp.1989), and that his inverse condemnation claim was barred by the applicable statute of limitations, NMSA 1978, § 42A-1-31 (Repl.Pamp.1981). We affirm in part and reverse in part.

Standard of review. A motion to dismiss under SCRA 1986, 1-012(B)(6) (Repl.Pamp.1992), may be granted only if it is evident that the plaintiff cannot recover or obtain relief under any set of facts provable under the claim. Environmental Improvement Div. v. Aguayo, 99 N.M. 497, 499, 660 P.2d 587, 589 (1983). On appeal from a grant of a motion to dismiss, this Court views the facts alleged in the complaint as true. Id.

Facts and proceedings. Henry and Sylvia Townsend own land that was purchased in December 1962 under a state land purchase contract. The purchase was made subject to a reservation of all mineral rights by the State. In December 1976, the Commissioner of Public Lands issued a five-year mineral lease to the State Highway Department authorizing the removal of sand and gravel from the land. All parties concede for the purpose of this appeal that the State did not and does not own or have rights to the sand and gravel. The Townsends were notified of the lease by letter on January 19,1977. The lease was renewed in 1981 and expired by its own terms on December 26, 1986. During the term of the lease, the Highway Department entered the land to remove sand and gravel. This process required drilling and blasting rock and crushing the blasted rock pieces into the desired materials. Over the course of the lease, the Highway Department removed over 100,000 tons of rock from the land. At the expiration of the lease, stockpiles of crushed material were left on the land and the Highway Department has continued to enter the land and remove the stockpiled material. On June 30, 1987, Townsend filed his complaint for declaratory judgment and damages.

The trial court properly dismissed the trespass and conversion claim. An action for trespass to property is a tort. Pacheco v. Martinez, 97 N.M. 37, 41, 636 P.2d 308, 312 (Ct.App.1981). In addition, real property in the form of mineral rights or a profit a prendre is transformed into personal property when the physical substance is severed from the land, see Willamette Quarries, Inc. v. Wodtli, 308 Or. 406, 781 P.2d 1196, 1201 (1989) (in banc), and the wrongful taking of that substance constitutes conversion, which is an action that sounds in tort, see Restatement (Second) of Torts § 222A (1965) (describing what constitutes conversion of personal property). The state and its employees are immune from liability for torts except for the types of claims for which immunity is waived in the Tort Claims Act. See § 41-4-4(A). Towns'end’s claims for trespass and conversion are not torts for which immunity has been waived by the Act. See §§ 41 — 4—5 to -12. Therefore, the trial court properly dismissed these claims.

Townsend argues that the Act is not applicable because the land purchase contract was executed in 1962, before the effective date of the Act, and application of the Act would impair Townsend’s contract rights. In 1962, however, the State enjoyed total sovereign immunity subject only to a few exceptions. See Hicks v. State, 88 N.M. 588, 589, 544 P.2d 1153, 1154 (1975) (superseded by the Tort Claims Act). Because a contract incorporates the relevant law in force at the time of its creation, see State ex rel. Udall v. Colonial Penn Ins. Co., 112 N.M. 123, 130, 812 P.2d 777, 784 (1991), the sales contract incorporated the almost complete sovereign immunity that the State enjoyed at the time. Thus, Townsend’s contract rights are not impaired by the application of the Tort Claims Act.

Townsend also argues that a trespass action may lie against an entity authorized to exercise the power of eminent domain when it comes onto land unlawfully and without authorization. For support, Townsend cites North v. Public Service Co. of New Mexico, 94 N.M. 246, 608 P.2d 1128 (Ct.App.), cert. denied, 94 N.M. 629, 614 P.2d 546 (1980). In North, the Court of Appeals held that the plaintiff had alleged facts that would support a trespass claim against an electric utility that had entered and bulldozed his land without permission. In a subsequent appeal after remand, however, the Court recognized that inverse condemnation is an exclusive remedy when property is taken or damaged for public use by a condemnor without paying compensation or initiating condemnation proceedings. North, 101 N.M. 222, 226, 680 P.2d 603, 607 (Ct.App.1983), cert. quashed, 101 N.M. 11, 677 P.2d 624 (1984); see also Kaiser Steel Corp. v. W.S. Ranch Co., 81 N.M. 414, 421, 467 P.2d 986, 993 (1970) (reaffirming that inverse condemnation is an ex-elusive remedy to recover damages when property is taken for public use). Thus, the trial court properly dismissed Townsend’s trespass and conversion claims because there was no waiver of sovereign immunity and inverse condemnation was the appropriate and exclusive remedy.

The trial court should not have dismissed the entire inverse condemnation claim. The trial court dismissed Townsend’s inverse condemnation claim because it found that the claim was barred by the statute of limitations. On appeal, Townsend argues that the trial court applied the wrong statute or, in the alternative, that the trial court misapplied the statute it used.

—The applicable statute of limitations. In Section 42A-1-31, the legislature established two statutes of limitations relating to property taken or damaged by state agencies or political subdivisions. Section 42A-1-31(A) refers to property acquired or held by the state and requires that a person seeking to reclaim an interest in the property commence an action “within three years from the date such person was first entitled to reclaim his interest.” Section 42A-1-31(B) requires actions brought under NMSA 1978, Section 42A-1-29 (Cum.Supp.1993) (inverse condemnation statute) 1 to be instituted within three years from the date property is taken or damaged by a state agency.

Townsend argues that Section 42A-1-31(A) is the applicable statute of limitations and that he was not able to reclaim his interest until the second lease expired in 1986.

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

Related

Price v. Whitten
D. New Mexico, 2021
Hendrickson v. AFSCME Council 18
992 F.3d 950 (Tenth Circuit, 2021)
Moongate Water Co., Inc. v. City of Las Cruces
2013 NMSC 18 (New Mexico Supreme Court, 2013)
Romero v. Bernell
603 F. Supp. 2d 1333 (D. New Mexico, 2009)
Peabody Natural Res. Co. v. Comm'r
126 T.C. No. 14 (U.S. Tax Court, 2006)
Leigh v. Village of Los Lunas
2005 NMCA 025 (New Mexico Court of Appeals, 2004)
Montano v. Los Alamos County
926 P.2d 307 (New Mexico Court of Appeals, 1996)
City of Las Cruces v. El Paso Electric Co.
904 F. Supp. 1238 (D. New Mexico, 1995)
Archunde v. International Surplus Lines Insurance
905 P.2d 1128 (New Mexico Court of Appeals, 1995)
State Farm Mutual Automobile Insurance v. Valencia Ex Rel. Medina
905 P.2d 202 (New Mexico Court of Appeals, 1995)

Cite This Page — Counsel Stack

Bluebook (online)
871 P.2d 958, 117 N.M. 302, Counsel Stack Legal Research, https://law.counselstack.com/opinion/townsend-v-state-ex-rel-state-highway-department-nm-1994.