Jefferson v. McCauley Ranches

• Decision Date: 29 December 1999
• Docket Number: No. 98-663.,98-663.
• Parties: JEFFERSON COUNTY, a political subdivision of the State of Montana, By and Through its BOARD OF COMMISSIONERS, Plaintiff and Respondent, v. McCAULEY RANCHES, a Limited Liability Partnership, Defendant and Appellant,
• Court: Montana Supreme Court

994 P.2d 11

1999 MT 333

297 Mont. 392

JEFFERSON COUNTY, a political subdivision of the State of Montana, By and Through its BOARD OF COMMISSIONERS, Plaintiff and Respondent, v. McCAULEY RANCHES, a Limited Liability Partnership, Defendant and Appellant,

No. 98-663.

Supreme Court of Montana.

Submitted on Briefs August 12, 1999.

Decided December 29, 1999.

Rehearing Denied January 27, 2000.

Gregory W. Duncan; Harrison, Loendorf, Poston & Duncan, Helena, Montana, For Appellant.

Valerie D. Wilson, Jefferson County Attorney, Boulder, Montana, For Respondent.

Justice W. WILLIAM LEAPHART delivered the Opinion of the Court.

¶ 1 Appellant McCauley Ranches (hereafter, McCauley) appeals from the judgment and order of the Fifth Judicial District, Jefferson County.

¶ 2 We affirm.

¶ 3 We restate the issues as follows:

¶ 4 1. Whether the District Court abused its discretion in enjoining McCauley from interfering with public access on McCarty Creek Road.

¶ 5 2. Whether there was sufficient credible evidence in support of the District Court's determination that McCarty Creek Road is a county road.

Standard of Review

¶ 6 We review a district court's findings of fact to determine whether they are clearly erroneous. Rule 52(a), M.R.Civ.P. In Interstate Production Credit v. DeSaye (1991), 250 Mont. 320, 820 P.2d 1285, we adopted the following three-part inquiry:

First, the Court will review the record to see if the findings are supported by substantial evidence. Second, if the findings are supported by substantial evidence we will determine if the trial court has misapprehended the effect of evidence. Third, if substantial evidence exists and the effect of the evidence has not been misapprehended, the Court may still find that "[A] finding is `clearly erroneous' when, although there is evidence to support it, a review of the record leaves the court with the definite and firm conviction that a mistake has been committed."

Interstate Production Credit, 250 Mont. at 323, 820 P.2d at 1287 (citations omitted). We review a district court's conclusions of law de novo to determine whether they are correct. See Steer, Inc. v. Dept. of Revenue(1990), 245 Mont. 470, 474-75, 803 P.2d 601, 603. Further, we review a district court's grant of injunctive relief for abuse of discretion. See Butler v. Germann (1991), 251 Mont. 107, 114, 822 P.2d 1067, 1072

(citation omitted) (concluding "issuance or refusal of injunction is addressed to the discretion of the trial court").

Factual and Procedural Background

¶ 7 On August 17, 1998 Jefferson County (hereafter, the County) filed a complaint for a temporary injunction and orders allowing entry upon land for survey and setting a show cause hearing. On the same date, the District Court issued a "Temporary injunction; Restraining Order and Order to Show Cause" prohibiting McCauley from obstructing ingress and egress on McCarty Creek Road. The District Court further ordered McCauley to allow the County's officials, "the surveyor and any and all of said surveyor's employees and/or agents entry upon Section 35, T6N, R4W, and any other portion of surrounding land necessary to locate and survey McCarty Creek Road." The District Court set a show cause hearing for August 31, 1998.

¶ 8 On August 31, 1998 the District Court held an evidentiary hearing and both parties introduced evidence. McCauley filed a motion to dismiss the County's action. In late September, 1998, the District Court issued its findings, conclusions, and order and in October, 1998 the District Court issued its "order Granting Injunction & Survey."

¶ 9 The District Court determined that the issue was whether a road partly located on McCauley's property in Section 35, T6N, R4W "as access to the public domain," was a County road known as McCarty Creek Road. The District Court found that there was extensive documentary evidence confirming the existence of McCarty Creek Road, including two petitions, in 1883 and 1924, and a deed, from McCauley's predecessor, Northern Railroad, to one Jones Miller, in which the railroad "reserv[ed] an easement for a public road or roads heretofore laid out and now existing over and across any part of the described land."

¶ 10 The District Court noted that in June, 1997 McCauley, "apparently conceding the existence of the McCarty Creek Road, petitioned the present [County] Commissioners to abandon it." That petition was denied. In January, 1998 McCauley's agents denied the County and the United States Forest Service access to the McCarty Creek Road in the "NE¼ of Sec. 35." The County served McCauley with notice that he was obstructing use of McCarty Creek Road. In June, 1998 McCauley again denied "State, Federal and County agents access to the adjoining State and Federal land."

¶ 11 The District Court further found that McCauley's only evidence that McCarty Creek Road was not a County road was McCauley's own testimony and that of one County Commissioner. In contrast, the District Court found that the County introduced evidence from disinterested witnesses concerning the long-time use of McCarty Creek Road as a public road to access the adjoining State and Federal lands. Moreover, McCauley conceded that he had used McCarty Creek Road as an access to the public domain.

¶ 12 The District Court found that McCauley had wrongfully denied the County "the proper utilization of and dedicated use of an established public road, i.e., the McCarty Creek Road as it traverses the property of Defendant." The District Court denied McCauley's motions to dismiss and his motions for sanctions and attorney fees.

¶ 13 Having concluded that the McCarty Creek Road as it crosses McCauley's property is a dedicated and established public road, the District Court enjoined McCauley, its agents and employees from "interfering with access and/or obstructing the ingress and egress on the McCarty Creek Road, a county road." The District Court further ordered that the County and its agents "are permitted entry on the E ½ section 35, T6N, R4W, as necessary to survey McCarty Creek Road." Finally, the District Court noted that "[t]he Court assumes that all the evidence in this case is in and that this order is final subject only to appeal. If the Court is mistaken, counsel should advise."

Discussion

¶ 14 1. Whether the District Court abused its discretion in enjoining McCauley from interfering with public access on McCarty Creek Road.

¶ 15 McCauley argues that the District Court erred in making "a complete and final determination," determining title, and issuing an injunction at the show cause hearing when the only issue at the show cause hearing was whether the temporary injunction and restraining order should remain in effect until the matter could be heard on the merits. Further, McCauley contends that the District Court's issuance of a permanent order without allowing McCauley the benefit of trial was a denial of due process under Article II, Section 17 of Montana's Constitution in essence because McCauley was not allowed to conduct discovery or to have a "final hearing."

¶ 16 The County responds that it did not claim a right to title or possession of McCauley's property but rather acted to protect the right of the public to use McCarty Creek Road. The County argues that the show cause hearing was not meant to continue the restraining order but rather to allow McCauley to show cause why a permanent injunction should not be granted. The County argues that the District Court's injunction maintains the status quo and that the injunction is proper under §§ 27-19-301 and -303, MCA. The County argues further that there is no "underlying action" that would make injunctive relief inappropriate because the County does not have title to McCarty Creek Road. Further, the County argues that McCauley did not raise its due process claim below and therefore is barred from raising it on appeal.

¶ 17 McCauley correctly asserts that title should not be determined in actions for injunction. In National Bank v. Bingham (1928), 83 Mont. 21, 35, 269 P. 162, 167 (citation omitted), we concluded that "[t]itle to or right of possession of real estate is not triable by injunction." We have further concluded that in granting temporary relief by injunction, "it is not the province of the district court to determine matters that may arise during a trial on the merits." Knudson v. McDunn (1995), 271 Mont. 61, 65, 894 P.2d 295, 298.

¶ 18 However, McCauley has misconstrued both the nature of the proceedings in District Court and the nature of the County's interest in McCarty Creek Road. Although McCauley asserts that the "show cause hearing ... was a hearing to ascertain title to the road in question," the record belies his assertion. As previously discussed, the County did not initiate a quiet title action but moved the District Court to enjoin McCauley from interfering with the public's use of McCarty Creek Road and to order McCauley to allow people on his land as necessary to survey McCarty Creek Road.

¶ 19 We turn to the County's interest in McCarty Creek Road. In Bolinger v. City of Bozeman (1972), 158 Mont. 507, 510-11, 493 P.2d 1062, 1064, we concluded that the interest "[in a common-law dedication of a road] vested in the public is an easement." We further concluded that "[t]he grant of an easement is the grant of a use and not a grant of title to the land." Bolinger, 158 Mont. at 511, 493 P.2d at 1064 (citation omitted). Similarly, in Bailey v. Ravalli County (1982), 201 Mont. 138, 146, 653 P.2d 139, 143, we concluded that "the interest the public acquired by the original dedication had the effect of an easement for road purpose, not a fee simple transfer." In Bailey, the Court noted § 70-17-101, MCA, which provides in part that "[t]he following land burdens or servitudes upon land may be attached to other land as incidents or appurtenances and are then called easements: ... (4) the right of way." Thus, in the present case, we conclude that the...