West Harbour, LLC v. Orleans Harbour Homeowners Association, Inc.

CourtCourt of Appeals of Texas
DecidedNovember 21, 2024
Docket14-23-00249-CV
StatusPublished

This text of West Harbour, LLC v. Orleans Harbour Homeowners Association, Inc. (West Harbour, LLC v. Orleans Harbour Homeowners Association, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
West Harbour, LLC v. Orleans Harbour Homeowners Association, Inc., (Tex. Ct. App. 2024).

Opinion

Reversed and Rendered in Part, Reversed and Remanded in Part, and Memorandum Opinion filed November 21, 2024

In The

Fourteenth Court of Appeals

NO. 14-23-00249-CV

WEST HARBOUR, LLC, Appellant V. ORLEANS HARBOUR HOMEOWNERS ASSOCIATION, INC., Appellee

On Appeal from the 459th District Court Travis County, Texas Trial Court Cause No. D-1-GN-21-002835

MEMORANDUM OPINION

Appellant West Harbour, LLC appeals the judgment in favor of appellee Orleans Harbour Homeowners Association, Inc. (the Association).1 In three issues, West Harbour contends that: (1) the evidence is legally and factually insufficient to

1 This case is before this court as a transfer case from the Third Court of Appeals in Austin pursuant to a docket-equalization order issued by the Supreme Court of Texas. See Tex. Gov’t Code §73.001(a). Because this is a transfer case, we apply the precedent of the Third Court of Appeals to the extent it differs from our own. See Tex. R. App. P. 41.3. support the jury’s finding of an easement by estoppel in favor of the Association; (2) the evidence is legally and factually insufficient to support the jury’s finding that the Association adversely possessed a part of West Harbour’s property; and (3) the trial court erred in granting the Association’s plea to the jurisdiction. We reverse and render in part and reverse and remand in part.

BACKGROUND

West Harbour and the Association are neighbors with a common boundary line. West Harbour owns the property referred to herein as Lot 35, while the Association owns the property referred to as Lot 34. In the 1950s, the prior owners of Lot 34 built a peninsula extending into the Colorado River. By the 1980s, the peninsula was largely underwater, and the Association sought to repair the peninsula and its wooden bulkhead. The Association considered two options. The first would involve significant excavation to remove existing concrete behind the visible wooden bulkhead on Lot 34. Though this option would be more costly, the entire peninsula would remain on Lot 34. The second was to build a new wall to the north of the existing wooden bulkhead, but because this would encroach upon Lot 35, the Association decided it needed permission from the owners of Lot 35. The second option would also save the Association money in construction costs and result in a more substantial peninsula.

The then-owners of Lot 35 and the Association agreed the second option was the best course of action, and a “Memo of Meeting” drafted by the Association’s engineer was filed in the Travis County property records. According to the memo, the then-owners of Lot 35 “agreed that the most reasonable course of action was to build the new wall to the north of the existing wood bulkhead and that [they] would be concerned if [the Association] began excavation behind the wood bulkhead to

2 remove concrete debris.” The Lot 35 owners also indicated that the Association “could construct [the new bulkhead] without resistance or obstruction from them.”

With the new bulkhead, the Association “reclaimed a substantial portion of land that had been underwater for both Lots 34 and 35.” After completing construction, the Association enjoyed use of the entire peninsula for recreation, fishing, and launching kayaks and canoes. Over time, the Association added landscaping, furniture, crushed granite, and a firepit to the peninsula.

In the 1990s, the Association built a cinderblock fence along what it believed to be the property line between Lot 34 and Lot 35. In 2014, the Association built a new wooden fence, “slightly moved due to a new survey.” Though the Association did not intend to encroach upon Lot 35 with the construction of either fence, it acknowledges that a portion of the property enclosed by the new fence (referred to herein as “the Driveway Tract”) does cross the Lot 35 boundary line.

In 2018, West Harbour purchased Lot 35, intending to develop the property into five single-home villas. To obtain municipal approval, West Harbour needed to plant vegetation and trees on Lot 35 to improve the “impervious cover ratio” in accordance with City of Austin regulations. West Harbour began landscaping its portion of the peninsula and sought to add “mitigation plants to the reclaimed surface at Lot 35’s south boundary with the Association’s property running along the peninsula, none of which would interfere with the Association[’s] access to and enjoyment of its peninsula.” West Harbour also removed old cinderblocks on Lot 35’s side of the Association’s wooden fence and installed planter boxes.

Additionally, West Harbour sought to install a low-profile ornamental fence on Lot 35’s boundary along the peninsula “envisioned as a one-to-two-foot-high fence––to discourage use (and potential liability for West Harbour) by persons trespassing on the reclaimed surface directly from the [Colorado River].” 3 The Association disapproved of West Harbour’s plan to make changes to the Lot 35 portion of the peninsula (Tract 1 in the survey below) and the Driveway Tract (Tract 2 in the below survey)2 and filed suit.

2 Tract 2 is a very narrow triangular tract.

4 The Association’s lawsuit asserted claims for declaratory relief, to quiet title, and for trespass. Specifically, concerning the peninsula, the Association sought a declaration that (1) the Association possessed an easement by estoppel or prescription providing exclusive easement rights to access and use the portion of the peninsula encroaching onto West Harbour’s property (Tract 1) and (2) West Harbour has no legal right to interfere with or exclude the Association or its members from the use of any portion of the peninsula. Alternatively, the Association argued that it had acquired title to the peninsula via adverse possession and sought a judgment removing the cloud on the Association’s title and quieting title to the peninsula. The Association likewise claimed that it had adversely possessed the Driveway Tract and sought a judgment removing the cloud on the Association’s title and quieting title to the Driveway Tract. Lastly, the Association’s petition sought (1) a declaration that the Association has title to and a fee simple interest in land south of the Holt Carson boundary line “undisputedly owned by [the Association]” and (2) an injunction ordering West Harbour to remove all encroachments installed south of the boundary line.3 West Harbour answered the Association’s suit, asserting a general denial, specific denials, specific admissions, and affirmative defenses, and claiming that the Association lacked standing because it was not a party, successor-in-interest, or third-party beneficiary to the original agreement memorialized in the memo of meeting. The answer also asserted a counterclaim, seeking numerous declarations and reasonable and necessary attorney’s fees and expenses. West Harbour later amended its counterclaim to seek the following declarations:

3 The Association also sought and received a temporary restraining order prohibiting West Harbour from entering or accessing the disputed section of the peninsula or adding, removing, damaging, or otherwise disturbing any fixtures or property on the peninsula.

5 1. The true and correct location of the boundary between Lot 35 . . . and Lot 34 . . . is the stated and called boundary . . . as specifically shown on the Holt Carson survey . . . .

2. West Harbour is entitled to the right to access and to use its land known as Lot 35, as specifically shown on the Holt Carson survey . . . to the exclusion of [the Association] . . . .

3. [The Association] holds no easement over any part of Lot 35, as specifically shown on the Holt Carson survey . . . .

4. [The Association] does not own any portion of “Lot 34.”

5.

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West Harbour, LLC v. Orleans Harbour Homeowners Association, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/west-harbour-llc-v-orleans-harbour-homeowners-association-inc-texapp-2024.