Village of Wagon Mound v. Mora Trust

2003 NMCA 035, 62 P.3d 1255, 133 N.M. 373
CourtNew Mexico Court of Appeals
DecidedDecember 18, 2002
DocketNos. 21,827, 21,917
StatusPublished
Cited by19 cases

This text of 2003 NMCA 035 (Village of Wagon Mound v. Mora Trust) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Village of Wagon Mound v. Mora Trust, 2003 NMCA 035, 62 P.3d 1255, 133 N.M. 373 (N.M. Ct. App. 2002).

Opinion

OPINION

BUSTAMANTE, Judge.

{1} For a period of at least sixty-five years the Santa Clara Spring (the Spring) has been the sole source of water for the Village of Wagon Mound (the Village), the Mora Trust (the Trust) properties, and the lands owned by Earl and Glenda Berber and their Wagon Mound Ranch, L.L.C. (the Berbers). A dispute arose between the Village, the Trust, and the Berbers as to the ownership and use of, as well as access to, the Spring waters. Following litigation, which we will describe in more detail hereafter, the district court entered summary judgment against the Trust and in favor of the Village and the Berbers as to their respective claims. The district court also entered summary judgment in favor of the Village and against the Berbers. The Berbers have not appealed this judgment.

{2} The Trust appeals from both judgments. As to the Vihage, the Trust argues that (1) as a matter of law the Village does not have any water rights in the Spring, (2) the district court improperly relied on the doctrine of laches to grant summary judgment to the Village, and (3) the pipeline easement across Trust lands is void and unenforceable as a matter of law. We affirm as to the Village, but in doing so, we clarify the reach and meaning of the judgment in favor of the Village. As to the Berbers, the Trust asserts there are disputed issues of material fact as to abandonment of water rights, the percentage of rights owned by the parties, slander of the Trust’s title, and the Trust’s counterclaim of water rights ownership. We affirm in part and reverse in part as to the Berbers.

BACKGROUND

A. Parties

{3} The Village was incorporated as a municipality in 1918. The Trust is a private trust established by Clyde and Marie Berber for the benefit of Irene Daniels, who is the life beneficiary of the Trust. The Trust is administered by Irene’s husband, Troy Daniels. The “remaindermen and contingent beneficiaries” of the Trust are Irene and Troy’s children. Irene Berber Daniels and Earl Berber are the children of Clyde and Marie Berber.

B. History

{4} The Spring surfaces in the Santa Clara Canyon which is located about two miles northwest of the Vibage limits on land now owned by the Trust. The Spring is the only source in the area proven capable of producing a sustained and reliable flow of water. As a result, the inhabitants of the Village have relied on the Spring for domestic water consumption since before incorporation.

{5} Sim Calley (Calley) acquired the lands on which the Spring is located shortly after 1900. In 1913 the County of Mora granted Calley the franchise to provide water from the Spring to the Village inhabitants. Calley continued to supply water to the Village either pursuant to the County franchise or a franchise with the Village through the mid-1980s. At some point in the mid-1980s, the Village decided to build its own water utility. Apparently with the backing of a Public Works Administration grant, the Village approached Calley with the notion of acquiring a right in the name of the Village to divert use of some portion of the water flow from the Spring for its purposes.

{6} On October 3, 1935, Calley and the Village signed a contract (the Contract) detailing their agreement. The recitals include Calley’s representation that he is the sole owner of all the water flowing from the Spring as well as the diversion works then supplying water to the Village. The recitals generally speak of the Village’s desire to “purchase and acquire [from Calley] the water and perpetual right to the use of said waters” to be more specifically described later in the Contract, along with the current distribution system, Calley’s franchise rights, and necessary right-of-way over Calley’s land for the Village’s new waterworks.

{7} In the operative portions of the Contract, Calley purports to “sell, transfer and convey” to the Village: “(a) The perpetual right to take and divert from his said spring ... and to use all of the waters thereof necessary for the use of said Village ... and the inhabitants thereof at any time therein residing ____” (b) the “present diversion works,” and “(c) [a] perpetual right of way and easement over [Calley’s] lands from the said ... Spring to the Village ... for the construction and proper maintenance of the necessary diversion works ... as said works, water intake and pipe line may be located by the engineers of said Village.” The Village paid Calley $35,000, a sum equal to approximately $400,000 in today’s dollars, as a part of this transaction.

{8} On October 21, 1936, Calley and his wife Irene executed an “Indenture” conveying, in the structure of a deed, the property interests described in the 1935 Contract. The Indenture used the same language as the Contract to describe the property being conveyed. The only material addition to the parties’ arrangement found in the Indenture is the Calleys’ obligation to execute and deliver a second deed to the Village containing the definite location of the right of way easement once it was determined. The Indenture provided that upon execution of the second deed, the “floating rights-of-way ... hereby conveyed shall become definitely located and merged in said definitely located and described rights-of-way so conveyed.”

{9} It is undisputed that the second deed contemplated by the Indenture was never prepared or executed. It is also undisputed that a new water line was built from the Spring to the Village, and that it was built by Calley following a construction bid process. The water line has been in continuous use by the Village since its construction.

{10} It is undisputed that Calley never sought to clarify the nature of his water rights in the Spring. The record does not reveal any filing by him with the State Engineer, nor is there any indication of any judicial decree addressing the nature or extent of his water rights in the Spring. It is also undisputed that prior to filing this action the Village never filed any document with the State Engineer asserting an ownership or other interest in the waters of the Spring. And, prior to filing this action the Village never sought a judicial declaration of its interest in the Spring.

{11} In 1948 or 1949 Clyde Berber purchased the land on which the Spring is located from Calley. Mr. J.R. Modrab, Clyde Berber’s attorney, provided a title opinion discussing the Village/Calley Contract and Indenture. Mr. Modrall advised Clyde Berber that the property would have to be purchased subject to the obligations inherent in the Contract and Indenture. On July 20, 1949, Clyde Berber signed a Declaration of Ownership of Water Right Perfected Prior to March 19, 1907, though it was not filed with the State Engineer until May 1950. In the Declaration, Mr. Berber asserted he was the owner of a right to use water from the Spring for the beneficial use of 655.44 specifically identified acres of land, at the rate of 1.5 acre-feet per irrigated acre. Also in this Declaration, Mr. Berber stated that the Village used a “large part” of the water from the Spring. The parties agree that work on this declaration was never completed.

{12} On March 12, 1951, Clyde and Marie Berber filed an Application for Permit to Appropriate Surface Waters with the State Engineer.

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

Related

Cordova v. Cordova
New Mexico Court of Appeals, 2024
Citizens Bank v. Burnworth
New Mexico Court of Appeals, 2021
Behrens v. Gateway Court, LLC
2013 NMCA 097 (New Mexico Court of Appeals, 2013)
Jaramillo v. Romero
New Mexico Court of Appeals, 2013
American Federation of State v. City of Albuquerque
2013 NMCA 012 (New Mexico Court of Appeals, 2013)
AFSCME Council 18 v. City of Albuquerque
2013 NMCA 12 (New Mexico Court of Appeals, 2012)
Dethlefsen v. Weddle
2012 NMCA 77 (New Mexico Court of Appeals, 2012)
Questa Independent School v. Artesanos
New Mexico Court of Appeals, 2011
D'Antonio v. Crowder
2011 NMCA 017 (New Mexico Court of Appeals, 2010)
Gilmore v. Gilmore
2010 NMCA 013 (New Mexico Court of Appeals, 2009)
Chapman v. Varela
2008 NMCA 108 (New Mexico Court of Appeals, 2008)
Gregory Rockhouse Ranch, L.L.C. v. Glenn's Water Well Service, Inc.
2008 NMCA 101 (New Mexico Court of Appeals, 2008)
Moriarty Mun. School Dist. v. Thunder Mtn.
145 P.3d 92 (New Mexico Court of Appeals, 2006)
Wood v. Cunningham
2006 NMCA 139 (New Mexico Court of Appeals, 2006)
Moriarty Municipal School District v. Thunder Mountain Water Co.
2006 NMCA 135 (New Mexico Court of Appeals, 2006)

Cite This Page — Counsel Stack

Bluebook (online)
2003 NMCA 035, 62 P.3d 1255, 133 N.M. 373, Counsel Stack Legal Research, https://law.counselstack.com/opinion/village-of-wagon-mound-v-mora-trust-nmctapp-2002.