Keith Howard, The Howard Company etc. v. Roger Murray and K&H Development etc.
184 So. 3d 1155
Fla. Dist. Ct. App.2015Background
- Tract 3 (1.453 acres) lies within the Sandestin DRI (Parcel 208/308) where aggregate commercial intensity was allocated to the larger parcel, not to individual subparcels.
- Over time the DRI ownership and assigned development rights fragmented; deeds conveying portions (including the 1985 conveyance of a 16-acre parcel containing Tract 3) made no express transfer or allocation of commercial development rights.
- Howard obtained an option to purchase Tract 3; Murray later acquired title to Tract 3 via mortgage foreclosure and Bla-Lock received the foreclosure certificate.
- Murray sought a declaration and permit asserting development intensity rights passed with the fee title; Howard contended development rights are distinct and were not conveyed to Murray/Bla-Lock.
- The trial court quieted development rights in Bla-Lock and entered mixed summary-judgment rulings; this appeal addresses (a) whether unallocated DRI intensity rights automatically run with conveyances of subparcels and (b) competing summary-judgment rulings on tort and takings claims.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Do DRI development intensity rights automatically pass with conveyance of a subparcel (fee title) absent an express allocation? | Murray: acquiring fee title to Tract 3 conveys a proportionate share of Parcel 208/308’s aggregate intensity, so Bla-Lock has vested intensity rights. | Howard/County: intensity is a separate, administratively controlled right and does not transfer by a deed that does not expressly allocate intensity. | Held: Development rights do not automatically pass with a deed; no automatic proportionate allocation when rights were unallocated. |
| Was summary judgment proper for Howard on Murray’s tortious interference, fraud, negligent misrepresentation, and civil theft claims? | Murray: Howard’s statements and conduct deprived K & H of the ability to sell/develop Tract 3 and induced contract cancellations. | Howard: its statements that title did not confer intensity were true; no actionable misrepresentation or theft. | Held: Affirmed for Howard on these claims — Murray’s claims failed because Howard’s assertions about intensity were not false/actionable. |
| Was summary judgment proper for Murray on Howard’s tortious interference with the option to buy Tract 3? | Howard: Murray knew of the option and intentionally/ unjustifiably interfered (via mortgages/foreclosure) damaging Howard’s contractual interest. | Murray: denied knowledge or claims justification in protecting its financial interests. | Held: Reversed — genuine factual disputes exist about Murray’s knowledge, intent and justification; summary judgment for Murray was improper. |
| Were inverse condemnation/ takings claims against Walton County ripe? | Murray: County’s actions/effectively denying development deprived K & H of property rights. | County: No final agency decision; Murray’s pending application and failure to supply needed information prevent ripeness. | Held: Affirmed — inverse condemnation claims not ripe; any delay was attributable in part to Murray’s failure to supply required information. |
Key Cases Cited
- Keith v. Mountain Resorts Dev., L.L.C., 337 P.3d 213 (Utah 2014) (land development rights governed by county approval do not automatically transfer with a deed)
- Tamiami Trail Tours, Inc. v. Cotton, 463 So. 2d 1126 (Fla. 1985) (elements of tortious interference)
- Dianne v. Wingate, 84 So. 3d 427 (Fla. 1st DCA 2012) (summary judgment standard on appeal)
- Moore v. Morris, 475 So. 2d 666 (Fla. 1985) (summary judgment improper if factual issues remain)
- Williamson Cnty. Reg’l Planning Comm’n v. Hamilton Bank of Johnson City, 473 U.S. 172 (U.S. 1985) (ripeness requirement for inverse condemnation — final agency decision)
- Feizi v. Dep’t of Mgmt. Servs., State of Fla., 988 So. 2d 1192 (Fla. 1st DCA 2008) (summary judgment preclusion when issues of fact are unresolved)