Lott v. Muldoon Road Baptist Church, Inc.

466 P.2d 815 (1970)

Facts

P married Burnie B. Garland. In September of 1952, P acquired in her own name, Leo L. Garland, real property described as the northernmost 75 feet of tract 48 in section 13. Tract 48 was an earlier designation for lot 92. In 1955, P and Burnie Garland were divorced. As part of the property settlement, P obtained by a recorded deed an additional 60 feet of lot 92 from Burnie. The result of this settlement was to divide the lot which is 330 feet long into two parcels: the north 135 feet belonging to appellant and the south 195 feet belonging to Burnie Garland. In 1955 P left the State of Alaska. Burnie Garland caused a survey to be made and a plat prepared in which the south 270 feet of the lot was subdivided into three lots. Burnie Garland only owned the south 195 feet of the lot and the platted land extended 75 feet on to the portion of the lot owned by P. This encroachment included the 60-foot parcel which Burnie had deeded to P in the divorce settlement, and a small part of the 75-foot parcel P had acquired in her own name. The platted land was designated 'Homesite Park Subdivision.' Burnie Garland certified that he owned all of the property described in the plat. The plat was dated June 7, 1958, and filed on August 21, 1958. On August 8, 1958, Burnie purported to convey the property described in the plat to the Title Insurance and Trust Company, as trustee, under a recorded deed of trust. The deed of trust was to secure a loan to Garland of $3,612 from the City National Bank of Anchorage. On September 12, 1959, Title Insurance and Trust, by a deed of reconveyance conveyed the platted land back to Burnie Garland. This deed was recorded on September 14, 1959, and described the property as Lot 92, of Section 13, Township 13 North, Range 3 West, Seward Meridian except the north sixty feet. At this time actual title to the north 135 feet was still held by P. In 1959 Burnie rented the property for use as a Sunday school. On July 7, 1960, Burnie entered, with the Eagle River First Baptist Church, into a recorded one-year lease with option to purchase. The property described in the lease was the same as had been described in the deed of trust, deed of reconveyance, and the plat, that is, the entire lot 92 except the north 60 feet. The church was to pay $150 per month for one year at which time $900 would be applied to the purchase price of $25,000. The church took possession immediately, and the church has held services on the property every week since it took possession. Burnie died in California on June 7, 1961. On February 27, 1962, the National Bank of Alaska executed an administrator's deed which purported to convey the same property which was the subject of the 'lease with option to purchase.' The deed was issued to D, successor to the Eagle River First Baptist Church. On July 27, 1967, P filed suit to eject D from the property and to quiet title to that portion (75 feet) of Homesite Subdivision which is included in the north 135 feet of lot 92. The court held that P had no right to or interest in the property. P appealed claiming that color of title was not established by the lease with the option to purchase, or any other instrument, and that the statute of limitations applying to actions for ejectment of persons without color of title had not run.