Waterfall Hill Condominium Assn v. Great Lakes Custom Builder LLC

CourtMichigan Court of Appeals
DecidedDecember 5, 2019
Docket343673
StatusUnpublished

This text of Waterfall Hill Condominium Assn v. Great Lakes Custom Builder LLC (Waterfall Hill Condominium Assn v. Great Lakes Custom Builder LLC) is published on Counsel Stack Legal Research, covering Michigan Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Waterfall Hill Condominium Assn v. Great Lakes Custom Builder LLC, (Mich. Ct. App. 2019).

Opinion

If this opinion indicates that it is “FOR PUBLICATION,” it is subject to revision until final publication in the Michigan Appeals Reports.

STATE OF MICHIGAN

COURT OF APPEALS

WATERFALL HILL CONDOMINIUM UNPUBLISHED ASSOCIATION, December 5, 2019

Plaintiff-Counterdefendant- Appellee,

v No. 343673 Oakland Circuit Court GREAT LAKES CUSTOM BUILDER, LLC, LC No. 2017-157021-CH

Defendant-Counterplaintiff- Appellant.

Before: JANSEN, P.J., and BOONSTRA and LETICA, JJ.

PER CURIAM.

In this property dispute, defendant appeals as of right following a bench trial. After determining that defendant exceeded the terms of an easement and trespassed on plaintiff’s property, the trial court ordered defendant to remove the driveway overage and electronic gate on plaintiff’s property. Pretrial, the trial court granted plaintiff partial summary disposition based on its determination that the amendment of the easement superseded the original easement. Defendant challenges the trial court’s rulings. We affirm.

I. BACKGROUND

A. FACTUAL HISTORY

Defendant owns a parcel of property in the city of Birmingham, Michigan at 118 Waterfall Lane (Lot 4). Contiguous to Lot 4 to the south is the Waterfall Hill Condominium (WHC), a six-unit condominium project located on Waterfall Court, a circular drive. Plaintiff is responsible for the administration of the WHC. To the south of the WHC is Maple Road, which connects with Waterfall Court. To the west of the WHC is Waterfall Lane, a gravel road which also connects to Maple Road, on which Lot 4 is addressed. At issue here are defendant’s rights under a recorded easement provided to Lot 4 by plaintiff and the original developer of WHC and how to interpret those rights based on a 2005 recorded amendment to the easement.

-1- Waterfall Hill, LLC (Waterfall Hill) was the owner and developer of the WHC, and Ronald Hughes was the managing member of Waterfall Hill and the plaintiff’s initial president. On August 16, 2000, Waterfall Hill acquired an interest in Lot 4 with a purchase agreement and addendum from then-owner Daisy Scott. Waterfall Hill and plaintiff conveyed an easement to Scott (the Original Easement), which was recorded on April 27, 2004. The Original Easement granted Lot 4 certain rights to and over areas of the WHC property. On July 23, 2004, Waterfall Hill executed a quit claim deed, transferring its interest in Lot 4 to Hughes and his wife. Scott simultaneously provided the Hugheses with a warranty deed to Lot 4. The couple demolished the existing home and made plans to build their own home on it. Waterfall Hill also constructed a continuous brick privacy wall between Lot 4 and the WHC. Ronald Hughes did not procure a survey before the brick wall was installed as he owned both parcels. Until this litigation, he was unaware that the wall was on the WHC’s property. Waterfall Hill also installed a 12-foot-wide brick paver stubbed driveway and erected the brick wall before any of the WHC units were sold. Directly north of the brick paver stubbed driveway were two breakaway columns in the brick wall that were intended to come down to create the exclusive driveway for Lot 4.

In January 2005, Dr. Stuart Stoller and his wife were the first to purchase a unit in the WHC. Around April 20, 2005, Waterfall Hill, LLC and plaintiff, Waterfall Hill Condominium Association, executed an amendment to the easement (2005 Amendment). Hughes signed the 2005 Amendment in his representative capacities as a member of Waterfall Hill, LLC and as the president of plaintiff association. Both Hugheses also signed the 2005 Amendment in their individual capacities as the “Grantee,” being the current owners of Lot 4 and Scott’s successors. The 2005 Amendment contained some provisions identical to those in the Original Easement, some altered, and some brand new to the amendment.

For a time, the Hugheses lived in the WHC’s Unit 4. They sold their unit in 2010, when there were issues between Hughes and the other condo owners. At that point, Stoller was plaintiff’s president. In April 2013, defendant, through its sole member, James Wiese, purchased Lot 4 from the Hugheses. An exhibit attached to the warranty deed executed reflected that Lot 4 was subject to the easement described in the 2005 Amendment, “which supersedes in its entirety” the Original Easement. There was also a “Private Road Acknowledgment” that likewise described the 2005 Amendment as superseding in its entirety the Original Easement.

When defendant purchased Lot 4, a patch of dirt still sat between the end of the brick paver driveway and the brick wall. Although the driveway could not be used, Lot 4 had access to Maple Drive from Waterfall Lane. Wiese had intended to close off Lot 4 from Waterfall Lane and for the driveway off Waterfall Court to be the only entrance to Lot 4. Wiese had also initially planned to install a mailbox on the Waterfall Court driveway despite his knowledge of the prohibition against tradespeople and trailers, including landscapers and repair persons, on the easement and that “by having that be the only entrance, it would by necessity mean that all of those people would have to transverse Waterfall Court.”1

1 A gate was subsequently placed on the western side of Lot 4 to provide ingress and egress to Waterfall Lane, where the mailbox was also installed.

-2- In June 2016, defendant removed the “breakaway” portion of the brick wall to put in a driveway for the new home on Lot 4 and connect it to the brick paver driveway in the easement on the WHC’s property because the city would not issue a certificate of occupancy until he did. Defendant’s unilateral removal of the brick wall in front of the brick paver driveway instigated the instant dispute with plaintiff. The board reviewed the 2005 Easement and concluded that defendant was required to provide notice to it and obtain a certificate of occupancy first. The board also discovered defendant’s plans to construct a mailbox, to install a gate with a keypad and other necessary equipment, and to put in brick pavers to widen the driveway from the original 12-foot width to the 16-foot-wide opening in the brick wall. Plaintiff disputed the construction of all of these items and ordered defendant to cease construction until it received approval. Defendant stopped construction, but maintained that it received approval to continue roughly a week later. Defendant then completed the driveway and gate installation. On August 2, 2016, defendant received the certificate of occupancy for the home on Lot 4.

B. PROCEDURAL HISTORY

On January 26, 2017, plaintiff filed a complaint against defendant, alleging breach of the 2005 Amendment and multiple instances of trespass. It requested a declaratory judgment ordering defendant to pay 1/7th of the costs and expenses related to upkeep of Waterfall Court, services that render Waterfall Court passable, and all expenses related to use and upkeep of the water pump. Plaintiff also requested a declaratory judgment that the installation of the gate and keypad and possible installation of a mailbox anywhere on the WHC property exceeded the scope of the easement. Defendant answered and filed multiple counterclaims.

On September 1, 2017, defendant filed a motion for summary disposition. Plaintiff opposed the motion and asked the court to grant summary disposition in its favor. The trial court denied summary disposition on all issues except for plaintiff’s stipulation that it was not affiliated with Lot 4 and plaintiff’s argument that the 2005 Amendment governed the other questions.

A three-day bench trial followed. Multiple witnesses, including Hughes, Wiese, and Stoller, testified. On March 7, 2018, the trial court issued its opinion.

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Waterfall Hill Condominium Assn v. Great Lakes Custom Builder LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/waterfall-hill-condominium-assn-v-great-lakes-custom-builder-llc-michctapp-2019.