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Walters v. Colford
297 Neb. 302
| Neb. | 2017
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Background

  • Adamy platted and recorded the 14-lot Adamy subdivision in 1976 with a recorded plat and restrictive covenants applying to lots inside that subdivision.
  • Adamy retained and later sold adjacent acreage (including a 5-acre parcel) outside the recorded subdivision; that parcel was sold to Steven and Sara Colford in 2013 and was not made subject to the Adamy subdivision covenants when sold.
  • Promotional brochures prepared by real estate agents advertising sales showed the subdivision lots and adjacent parcels together and referenced covenants, but Adamy disclaimed approving those materials; the Colfords knew subdivision covenants existed but not their details.
  • After purchase, the Colfords erected a large metal building on their 5-acre parcel; neighboring lot owners (Walters et al.) sued seeking injunction, nuisance, and conspiracy claims based on alleged violation of the subdivision covenants.
  • The district court granted summary judgment for defendants (Colfords and Adamy) finding the subdivision covenants did not apply to the Colford Property via implied reciprocal negative servitudes; the Nebraska Supreme Court affirmed.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Adamy subdivision covenants expressly bind the Colford Property Walters: covenants should apply to Colford Property Colford/Adamy: Colford Property is outside the platted subdivision and not expressly subject to those covenants Not expressly bound — covenants apply only to lots within the recorded subdivision
Whether an implied reciprocal negative servitude binds the Colford Property Walters: developer’s conduct and sales materials show a general plan; implied servitude should fill the gap and bind Colford Colford/Adamy: no common plan including Colford Property; recorded declaration/plat shows scope, so no implication Court: doctrine does not apply — no reasonable expectation because restrictions were imposed by recorded plat/declaration limited to subdivision
Whether promotional materials and common ownership give constructive notice of an implied plan Walters: brochures and common grantor support inference of inclusion Defendants: brochures insufficient; Adamy disavowed them and recorded documents controlled Held: recorded plat/declaration prevails; buyer should rely on records, not unrecorded brochures
Whether nuisance and conspiracy claims premised on covenant violation survive if covenants don’t apply Walters: claims stand if covenants effectively apply Defendants: if covenants don’t apply, related tort claims fail Held: nuisance and conspiracy claims fail as a matter of law because covenants do not bind Colford Property

Key Cases Cited

  • Pierce v. Landmark Mgmt. Group, Inc., 293 Neb. 890 (2016) (summary judgment standards and appellate review principles)
  • Skyline Woods Homeowners Assn. v. Broekemeier, 276 Neb. 792 (2008) (doctrine of implied reciprocal negative servitudes and proof of common plan)
  • Egan v. Catholic Bishop, 219 Neb. 365 (1985) (application of restrictive covenants by common grantor and requirement of notice)
  • Evans v. Pollock, 796 S.W.2d 465 (Tex. 1990) (discussion of implied reciprocal negative servitude doctrine and its historical gap-filling role)
Read the full case

Case Details

Case Name: Walters v. Colford
Court Name: Nebraska Supreme Court
Date Published: Jul 28, 2017
Citation: 297 Neb. 302
Docket Number: S-16-641
Court Abbreviation: Neb.