Humphrey v. C.G. Jung Educational Center

Facts

The disputed property is divided into six lots of approximately equal size, which were sold by the owners, the Trustees of the Hermann Hospital Estate, on March 20, 1919. Each deed contained various restrictions, which expired by their terms on January 1, 1935. Lot F was conveyed to Herbert Humphrey and Robert Caldwell. Herbert and Blanche Humphrey also purchased Lot D, while Robert and Edith Caldwell also purchased Lot A. On February 11, 1920, the Humphreys and Caldwells conveyed Lot F to Tom Randolph. The deed contained the following: 

It is agreed by the vendee herein, as part of the consideration herein and as a covenant running with the land hereby conveyed, that the said land should be used for residence purposes only, and that no dwelling house shall ever be erected thereon, the original cost of which shall be less than $ 10,000.00 and that no portion of same, other than galleries and steps, shall be erected nearer than 28 feet to the property line on Montrose Blvd., nor nearer than 15 feet to the property line on 16th Street and that no outhouses shall be erected nearer than 35 feet to any street or avenue line, and no part of same shall ever be conveyed, transferred or demised to any person other than of the Caucasian race, and the vendee convenants that he will not use or permit to be used the property hereby conveyed for the purpose of erecting, establishing or conducting thereon any store or shop for the sale of merchandise or any other commodity, and should the owner of the land hereby conveyed at any time fail to comply with any of the provisions of this covenant, Grantors herein, or any owner of property in Block 8, Turner Addition, may be instituting suit, enforce a compliance therewith, or restrain the further violation thereof, or said land shall revert to the Grantors herein, should they so elect.

The Caldwells sold Lot A in 1941. The Humphreys sold Lot D in 1942. Neither deed placed any restrictions on the use of the property. Lot F was conveyed to Jasper Galleries, Inc. in 1972. Jasper Galleries demolished the existing residence and built an art gallery building on Lots F and E. The gallery grandly opened in May 1973. In July 1975, Jasper Galleries conveyed Lots F and E to Carolyn Grant Fay. No other lot of the 6 original is still being used for residential purposes. Lots A, B, and C are the site of the contemporary Arts Museum, while Lot D is the site of the offices of an architectural firm. Ps and D agree that Lot F is being used for nonresidential purposes, in violation of the restrictions contained in the 1920 deed. Ps want to enforce those restrictions as conditions subsequent so they can reenter the property. D claims it is a covenant subject to injunctive relief and damages which Ps did not claim. The court ruled for D and Ps appealed. 

Issues

Rule of Law

Holding and Decision

Legal Analysis

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