Mayor And City Council Of Ocean City, Maryland v. Taber

367 A.2d 1233 (1977)

Facts

On 15 January 1869 Stephen Taber and Hepburn S. Benson obtained a patent from the State of Maryland. The patent gave Taber and Benson 'The Lady's Resort to the Ocean,' a 280-acre tract of land along the Atlantic Ocean in Worcester County. Taber acquired Benson's interest by deed dated 9 October 1871. Taber created Ocean City as a sea-side Summer Resort and the promotion of the growth of the same.' Fifty acres of 'The Lady's Resort to the Sea', with his acquiescence and approval, were 'laid off into a town, with lots, streets and avenues, as is called and known as Ocean City', and he granted the fifty acres to P by the deed of 1876, appending a plat of the proposed town. Ps were to hold the property and were authorized and empowered to sell and convey the same to such persons as they think proper or to make any other disposition of said lots they think proper and appropriate the proceeds thereof in such manner as they shall deem most advantageous to the interest of said Ocean City. A deed of 1878 conveyed a part of lot no. 3 to the United States of America. The habendum clause read: 'to have and to hold the said lot of land and privileges, unto the United States from this date for the purpose aforesaid. And it is further stipulated, that when the United  States shall fail to use the said Life Saving Station, the land hereby conveyed for the purpose aforesaid, shall, without any legal proceedings, suit or otherwise, revert to P, their successors and assigns, absolutely, and they shall be entitled to re-enter upon and take possession thereof free from all encumbrances of every nature or kind.' The 1967 deed was designated a 'Quitclaim Deed.' The United States of America was 'Grantor,' and D was 'Grantee.' The Grantor quitclaimed any and all right, title and interest which it may have, on an 'as is, where is' basis' to two parcels of land and designated improvements thereon. The first parcel described was the lot conveyed by the 1878 deed. The habendum clause read:   'TO HAVE AND TO HOLD the premises herein granted unto the Grantee, its successors and assigns forever.' The deed expressly declared that it was 'executed and delivered to the Grantee without representations, warranties or covenants, either express or implied.' On 17 July 1973, an equity action for a declaratory judgment was instituted by P against D. P contends that once the United States stop using the land for a Life-Saving Station, it reverted back to them. D would have the 1878 deed be ineffective. D claims that the United States acquired legal title to the property by adverse possession.  The court ruled for P and D appealed.