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425 P.3d 990
Wyo.
2018
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Background

  • Forest and Jennifer Reichert own Lot 8 and Jeff and Debra Daugherty own adjacent Lot 7 in the Western Tanager Subdivision; both deeds reference Plat No. 701 recorded Sept. 12, 1990.
  • Plat 701 marks a strip of Lot 8 west of Juniper Lane as a “restricted use area” and assigns private use and maintenance responsibility for that area to Lots 4, 5, and 7 (i.e., Lot 7 receives exclusive use/maintenance of the strip on Lot 8).
  • A fence existed on the restricted strip when Reicherts purchased Lot 8; both parties have at times maintained the fence and later disagreed over control, maintenance, and Reicherts’ storage of plowed snow.
  • Reicherts sued to quiet title to the restricted strip and sought an order requiring removal of the fence from Lot 8’s restricted area.
  • The district court granted summary judgment for the Daughertys, concluding the plat restriction is clear, unambiguous, and binding on the Reicherts; the Reicherts appealed.

Issues

Issue Plaintiff's Argument (Reichert) Defendant's Argument (Daugherty) Held
Whether the Plat 701 restriction is an enforceable covenant appurtenant The terms “private use” and “maintenance” are vague/illusory and therefore unenforceable The plat language is clear: Lot 7 has exclusive private use and maintenance duty; Lot 8 has no use or maintenance duty Plat language is clear and creates an enforceable covenant running with the land; affirmed
Vagueness / Illusory promise Language is too indefinite to enforce specific limitations or obligations Words have ordinary meanings; obligation to maintain is not optional Terms “private use” and “maintenance” have plain meanings; not illusory or void for vagueness
Need for parol evidence / proportionality of burden and benefit Court should consider parol evidence and Restatement principle to measure whether burden on Lot 8 is disproportionate to benefit on Lot 7 No need; covenant facially clear and Reicherts did not raise this below Argument based on Restatement was not raised below; appellate court declines to consider it
Public policy (fencing and staking) Restriction prevents Reicherts from fencing to fence out livestock and from staking their property, conflicting with public policy Restriction does not bar fencing of the remainder of Lot 8; no authority showing covenant violates public policy No persuasive public-policy violation shown; claim rejected
Conflict with existing access easement (Watkins Easement) Easement grants all lot owners maintenance/access across Juniper Lane; plat’s exclusive assignment conflicts with easement Plat defines restricted area as portion of right-of-way on the northwest side of the actual road; if road moves, restricted area shrinks — no inherent conflict No inherent or shown conflict between the Watkins Easement and Plat 701; restriction remains enforceable

Key Cases Cited

  • Sonnett v. First Am. Title Ins. Co., 309 P.3d 799 (Wyo. 2013) (defining restrictive covenant and burden/benefit concept)
  • Jacobs Ranch Coal Co. v. Thunder Basin Coal Co., LLC, 191 P.3d 125 (Wyo. 2008) (elements required for covenant to run with the land)
  • Mathisen v. Thunder Basin Coal Co., LLC, 169 P.3d 61 (Wyo. 2007) (privity and covenants running with land requirements)
  • Gumpel v. Copperleaf Homeowners Ass'n, Inc., 393 P.3d 1279 (Wyo. 2017) (contract principles govern covenant interpretation; plain-meaning rule)
  • Thornock v. PacifiCorp, 379 P.3d 175 (Wyo. 2016) (summary judgment standard and contract interpretation)
  • Jackson Hole Builders v. Piros, 654 P.2d 120 (Wyo. 1982) (illusory promise doctrine)
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Case Details

Case Name: Reichert v. Daugherty
Court Name: Wyoming Supreme Court
Date Published: Aug 31, 2018
Citations: 425 P.3d 990; 2018 WY 103; S-18-0011
Docket Number: S-18-0011
Court Abbreviation: Wyo.
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    Reichert v. Daugherty, 425 P.3d 990