Cash v. Granite Springs Retreat Ass’n, Inc

Facts

Lorenz and Miller entered into a 'handshake' agreement for Miller to purchase the property with the intention of subdividing it. The property was conveyed in two parcels at different times. The first parcel, the property was conveyed by warranty deed on August 14, 1972. That property became Granite Springs Retreat, First Filing, and included lots one through eight. The rest of the property became Granite Springs Retreat, Second Filing, was conveyed to Miller in March 1977. Miller recorded a preliminary plat dated August 1, 1975, which included the land in both filings. An application for subdivision of land was filed with Laramie County on August 4, 1975, and indicated the subdivision would be known as the Granite Springs Retreat and would include sixty lots. On October 1, 1976, Miller filed a plat for Granite Springs Retreat, First Filing. A few days later, on October 4, 1976, Miller filed a Declaration of Protective Covenants for the Granite Spring Retreat at Happy Jack Road and Curt Gowdy State Park. The declaration did not include a legal description but referred to the affected property as the Granite Springs Retreat. Miller obtained legal title to the property included in the second filing approximately five months after he filed the declaration of covenants. He filed the plat for the Granite Springs Retreat, Second Filing, on August 11, 1977. In a deed recorded September 15, 1977, Miller conveyed the tracts within the Granite Springs Retreat, both filings, to Happy Jack Stable & Lounge, Inc., a corporation he and Lorenz formed. On February 23, 1978, Miller filed an Amended Declaration of Protective Covenants. The amended covenants specifically allowed tracts four and five to be used for commercial purposes. Miller signed the amended covenants on behalf of the Granite Springs Retreat, but did not, in any way, acknowledge that the Happy Jack Stable & Lounge, Inc. held legal title to the property. On July 29, 1983, Miller filed an Affidavit of Intention which was recorded against all of the Granite Springs Retreat properties in both filings and stated that he intended the covenants to apply to both filings. Miller convened a meeting of the owners of the lots to form a homeowner's association, as contemplated by the covenants. The lot owners agreed to form the Granite Springs Retreat Association (D), for the purposes of administering the common areas and working with the Architectural Control Committee (ACC). The GSRA thereafter filed articles of incorporation with the Wyoming Secretary of State and adopted bylaws. In Granite Springs Retreat Association, Inc., v. Manning in small claims court, seeking recovery of past due association fees, Manning defended by arguing the covenants did not encumber their lot in the second filing. Eventually, the circuit court concluded that the covenants were enforceable against the Mannings' property under the doctrine of equitable servitude. P now seeks a ruling that the covenants did not encumber Granite Springs Estates, Second Filing lots. The court ruled for Granite Springs (D), and P appealed. 

Issues

Rule of Law

Holding and Decision

Legal Analysis

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