Nisbet v. Watson

• Decision Date: 23 January 1979
• Docket Number: No. 13803,13803
• Citation: 251 S.E.2d 774,162 W.Va. 522
• Court: West Virginia Supreme Court
• Parties: James NISBET et al. v. Billy Jarrell WATSON et al. Frank FLOYD et al. v. Billy J. WATSON et al.

Page 774

251 S.E.2d 774

162 W.Va. 522

James NISBET et al. v. Billy Jarrell WATSON et al.

Frank FLOYD et al. v. Billy J. WATSON et al.

No. 13803.

Supreme Court of Appeals of West Virginia.

Jan. 23, 1979.

Syllabus by the Court

1. A dedication of Protective Covenants executed and placed on record by the owner of a subdivision, from which lots are sold, becomes an agreement between said owner and the purchasers of lots and when such agreement is plain and unambiguous it will be applied, not construed.

2. In a declaratory judgment proceeding instituted by owners of certain lots in a subdivision against the owner of the subdivision, it is not necessary to include as parties all property owners in said subdivision, so long as the judgment entered therein would have no prejudicial effect upon the rights of those not made parties.

3. "It is essential to the application of the principles of equitable estoppel that the one claiming the benefit thereof establish that he relied, to his disadvantage or detriment, on the acts, conduct or representation of the one alleged to be estopped." Point 2, Syllabus, Helmick v. Broll, 150 W.Va. 285, 144 S.E.2d 779 (1965).

E. Dennis White, Jr. and Bernard T. Nibert, II, Huntington, for appellants.

George L. Partain, Logan, for appellees.

CAPLAN, Chief Justice:

The two captioned cases were consolidated for trial in the Circuit Court of Logan County and are so treated upon this appeal. Judgment was entered for all the plaintiffs and, upon the denial of the defendant's motion to set aside the verdict and grant a new trial, this appeal was prosecuted. We affirm the judgment of the trial court.

Plaintiffs James Nisbet and Kay Nisbet, his wife, are the owners of a residence on a lot purchased from the defendants, Billy Jarrell Watson and Nola Watson, his wife. The lot is situate in Sunset Addition to the Town of McConnell in Logan County which subdivision is owned by the defendants. Plaintiffs Frank Floyd and Jo Ann Floyd, his wife, likewise own a residence on a lot in said subdivision. The ultimate purpose of the actions in the trial court was to obtain a workable sewage system for their properties; also, the Floyds sought an injunction which will be discussed in greater detail.

Prior to the sale of these lots to the plaintiffs, the defendants, on July 7, 1969, executed and caused to be recorded in the office of the Clerk of the County Court of Logan County a certain instrument designated, "Declaration and Dedication of Protective Covenants of Sunset Addition to McConnell, Logan District, Logan County." (Hereinafter referred to as "Declaration and Dedication") This instrument, which ran in favor of any and all purchasers of lots in Sunset Addition, contained the following language:

Whereas, it is the intention of the Watsons to provide a sewage system for the benefits of any and all purchasers and interest holders in the said property and whereas it is necessary that the Watsons will maintain and offer for the benefits of said property certain outlets and also,

Whereas, it is the intention and desire of said Watsons to place against all of said realty certain protective covenants, in addition to those drafted June 12, 1969 . . .

Now therefore this deed, declaration and dedication is hereby made in consideration of the premises and in consideration of the sum of at least one dollar cash in hand paid to the Watsons by purchaser or purchasers of said lot or lots or interest as said realty is described on the map attached to the Deed of June 12, 1969. The Watsons, in consideration of the supra payment and the assumption of the cost and maintance (sic) of the sewage system to be installed on said property, do intend to place on said property an aerobic digestion sewage treatment plant of a sufficient size to provide sewage to the area described in the map attached . . .

It being the intention of the Watsons to sell and convey unto the property and interest holders in the said Sunset Addition . . . this certain sewage system so that each of the individual home owners and property interest holders will assume the obligation of the maintance (sic) and repair of such sewage system so long as said property holders have an interest in said Sunset Addition.

The purpose of this Declaration is to gradually pass the title to this certain sewage system to the home owners and property interest holders in said property, so that by the time the Watsons have sold all of the lots in said addition that they will no longer own any interest or have any obligation to maintain this certain sewage system . . .

On February 16, 1971 the defendants filed an application with the State Health Department seeking permission to construct a sewage treatment plant to service lots Nos. 1-7 in Sunset Addition. Upon inspection of the plans by the County and State Health Departments the defendants were advised of needed modifications in the proposed sewage system which would have to be made before the defendants could proceed with such construction. The defendants took no action in relation to the required modification.

The County Health Department, in 1974, learned of work being done in the subdivision and inquired about the sewage treatment plant. A second application for approval of the proposed sewage system was then prepared. This plan proposed service for lots Nos. 1-16. Upon inspection of this application, several deficiencies were noted and changes were required before the plan could be approved. Again, no action was taken by the defendants and in March, 1975 notice was served on the defendants that they were in violation of health department rules and regulations as they related to plaintiffs Floyd and Ellis, other residents of the subdivision. The Nisbets and the Fortners were likewise notified that their sewage systems did not meet the requirements of the aforesaid rules and regulations.

By reason of the inadequacies of the sewage system serving the subdivision, some of the residents thereof met for the purpose of forming an association. The express purpose of such association was to obtain an approved sewage system to serve all property owners in Sunset Addition. The formation of the association was never consummated but during the meetings it was learned that the defendants had designed a sewage disposal plant that would serve only four houses in the subdivision.

Thereafter, on August 1, 1975, the plaintiffs, seeking a declaration and adjudication of their rights and duties and those of the defendants under the "Declaration and Dedication", filed an action for a declaratory judgment. The plaintiffs further requested that the defendants be required, at defendants' expense, to install an aerobic digestion sewage treatment plant of a sufficient size to provide adequate sewage treatment for each of the plaintiffs, pursuant to the various provisions of the "Declaration and Dedication".

Alleging that certain residents of the subdivision were not made parties to the action and that others had not authorized the use of their names therein the defendants moved to dismiss for failure to join indispensable parties. The court overruled that motion but required that notice be given to all property owners in the subdivision of the time and place of the hearing so that they could appear and protect their interests if they desired. In their answer the defendants admitted that the property owners were entitled to a sewage system when the "Dedication and Declaration" was recorded but that they were relieved of this obligation when they were denied by the state a permit to construct the system and the law was changed so that the proposed system could not be built in 1975. The defendants also claimed that the plaintiffs were estopped by reason of the alleged formation of the aforementioned association.

Prior to a decision in the declaratory judgment action, plaintiffs Floyd filed an action against the defendants alleging that they had failed to install a centralized aerobic digestion sewage treatment plant as covenanted in the "Dedication and Declaration". They sought a mandatory injunction to require the defendants to install such system and a temporary injunction, enjoining the defendants from preventing a plumber from going onto the Watson property which was necessary for the purpose of repairing a clogged sewer line belonging to the Floyds.

By order entered December 22, 1975, the temporary injunction was granted and the order further provided that "this injunction shall remain in effect until January 13, 1976, at 11:00 o'clock a. m. when this matter will be further considered along with all other issues and relief sought in the plaintiffs' complaint". On January 10, 1976, three days before the scheduled hearing, the defendants conveyed to their two children for One Dollar cash "and other good and valuable consideration", certain properties including those involved in the declaratory judgment and injunction proceedings.

The court, upon consideration of the pleadings, testimony and exhibits, entered an order and an opinion, as a part thereof, which set out findings of fact and conclusions of law. The court concluded that the "Declaration and Dedication" obligates the defendants to install an aerobic digestion sewage treatment plant to service each...