McLeod v. Clements
326 Ga. App. 840
Ga. Ct. App.2014Background
- McLeod appeals the grant of partial summary judgment in favor of Clements in a dispute over water from a well on Clements's property.
- Two water agreements are at issue: the 1971 water agreement granting water free of charges to McLeod and his family during their lives, and the 1996 water agreement requiring McLeod to pay electricity and maintenance costs.
- The 1971 agreement was recorded in 1996; McLeod remains the successor-in-interest of the home occupants, while Clements purchased the well property in 2007 and knew of the 1996 agreement but claims no notice of the 1971 agreement.
- Clements argues the 1971 agreement is unenforceable against him because it was outside his chain of title and he had no notice; McLeod argues it runs with the land.
- The trial court granted partial summary judgment for Clements on the 1971 agreement; the remaining 1996 agreement issue was not resolved in this appeal.
- The appellate court affirmed, holding the 1971 agreement is not enforceable against Clements for lack of notice, and that the 1996 agreement issue remains open for future equitable consideration.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Is the 1971 water agreement binding on Clements? | McLeod: covenant runs with land; binding on Clements. | Clements: no actual or constructive notice; recorded outside his chain of title, not binding. | Not binding due to lack of notice; outside chain of title. |
| What is the status of the 1996 water agreement against Clements? | McLeod: 1996 applies and may be inconsistent with 1971; enforceable obligations on Clements. | Clements: not decided here; focus was on 1971; 1996 remains for potential equitable remedies. | Not decided on enforceability of 1996; remains available for later consideration. |
| Was the grant of partial summary judgment on the 1971 issue proper? | McLeod contends trial court erred by not enforcing 1971 against Clements. | Clements contends summary judgment was correct since 1971 is not binding. | Affirmed the judgment; 1971 not binding. |
Key Cases Cited
- Farris v. Nationsbanc Mortg. Corp., 268 Ga. 769 (1997) (unrecorded deed not enforceable against bona fide purchaser without notice)
- Brock v. Yale Mortgage Corp., 287 Ga. 849 (2010) (bona fide purchaser protected without notice; chain of title notice rule)
- Virginia Highland Civic Ass'n v. Paces Properties, 250 Ga. App. 72 (2001) (constructive notice limited to contents within chain of title)
- Wardlaw v. Southern R. Co., 199 Ga. 97 (1945) (covenants running with land binding with notice claim; historical use)
- Rosen v. Wolff, 152 Ga. 578 (1922) (covenants concerning land enforceable with notice)
- Hayes v. Lakeside Village Owners Ass'n, 282 Ga. App. 866 (2006) (notice required for covenants affecting land use)