Jamison L. Beetz and Leah J. Beetz v. Joe D. Bryant and Anne E. Bryant Revocable Trust, Joe D. Bryant and Anne E. Bryant, Stephen A. Legan and Jenifer A. Legan, and Ron Zimmerman (mem. dec.)
MEMORANDUM DECISION
Pursuant to Ind. Appellate Rule 65(D), this FILED
Memorandum Decision shall not be regarded as Jul 28 2017, 6:23 am
precedent or cited before any court except for the
purpose of establishing the defense of res judicata, CLERK
Indiana Supreme Court
collateral estoppel, or the law of the case. Court of Appeals
and Tax Court
ATTORNEYS FOR APPELLANTS ATTORNEYS FOR APPELLEES
Jacqueline B. Ponder Kevin D. Koons
Felson Bowman Kroger, Gardis & Regas, LLP
Indianapolis, Indiana Indianapolis, Indiana
Mary M. Runnells Peter G. Gundy
Bloomington, Indiana Indianapolis, Indiana
IN THE
COURT OF APPEALS OF INDIANA
Jamison L. Beetz and Leah J. July 28, 2017
Beetz, Court of Appeals Case No.
41A04-1612-PL-2755
Appellants-Plaintiffs,
Appeal from the Johnson Superior
v. Court.
The Honorable Marla K. Clark,
Judge.
Joe D. Bryant and Anne E. Trial Court Cause No.
Bryant Revocable Trust, Joe D. 41D04-1601-PL-15
Bryant and Anne E. Bryant,
Stephen A. Legan and Jenifer A.
Legan, and Ron Zimmerman and
Donna Zimmerman,
Appellees-Defendants.
Shepard, Senior Judge
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[1] In this dispute over the applicability of an easement, Jamison L. Beetz and
Leah J. Beetz appeal the trial court’s dismissal of their complaint. We reverse
and remand.
[2] Prior to 1978, the Gluff family owned property bordering Stones Crossing Road
in Johnson County. A small creek runs along the road, and the Gluffs used a
small bridge for road access. The Gluffs divided their land into four parcels and
sold them over time. Only one of the four parcels, Parcel D, borders Stones
Crossing Road. The other three, Parcels A, B, and C, are on the opposite side
of Parcel D from the road and are landlocked.
[3] In 1978, Joe D. Bryant and Anne E. Bryant bought Parcel C from the Gluffs.
In 1979, Gail Gluff and Mary Jo Gluff granted an easement to the Bryants,
allowing the Bryants the right of “ingress and egress and for utilities over, under
and across the easement premises.” Appellants’ App. Vol. III, p. 17. The
easement included the bridge and ran south along the western border of Parcel
D to a point where Parcels A, B, and C could access it.
[4] The Bryants later sued the Gluffs for reasons not stated in the record, and the
case was litigated in the Brown Circuit Court. At that point, the Gluffs still
owned Parcels A and D. The Bryants owned Parcel C, and John F. Wright had
purchased Parcel B. On March 12, 1982, the court issued an Agreed Judgment
(the 1982 Judgment) that applied to Gail Gluff, the Bryants, Wright, and their
successors in interest. Among other terms, the 1982 Judgment included a new
easement, which applied to all three landlocked parcels. The new easement
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retained the same boundaries as the 1979 easement, but the new easement was
described as “exclusive.” Id. at 22. The Bryants recorded the 1982 Judgment in
Johnson County in their chain of title for Parcel C, but Gluff did not do the
1
same for Parcel D.
[5] Later, the Bryants conveyed their interest to a trust, of which they were the
trustees. Gluff sold Parcel A to Ron and Donna Zimmerman, and Stephen A.
Legan and Jenifer A. Legan purchased Parcel B. Gluff sold Parcel D, the non-
landlocked parcel, to another person, who in turn sold it to the Beetzes in 2013.
[6] At the time of the 2013 purchase, the Beetzes were aware of the 1979 easement
but not the easement contained in the 1982 Judgment. Over the years, they
mowed the grass along the easement, paid property taxes on the easement, and
included the easement in their homeowners’ insurance. None of the other
property owners contributed to the taxes or insurance. The Beetzes use the
bridge to access their home on Parcel D.
[7] The current case began after a fire truck struck and damaged the bridge.
Disputes arose among the property owners about who had the authority to
accept payment from the fire department for damages, hire a contractor, and
pay for bridge repairs.
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The record does not reflect whether Gluff recorded the 1982 Judgment in Parcel A’s chain of title.
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[8] On January 29, 2016, the Beetzes sued the Bryant Trust, the Bryants, the
Legans, and the Zimmermans, seeking declaratory judgment. The defendants
filed a motion to dismiss, citing Indiana Trial Rule 12(B)(6). The court granted
the motion and dismissed the complaint without prejudice.
[9] Next, the Beetzes filed an amended complaint asking the court to determine:
(1) if the easement contained in the 1982 Judgment applies to the Beetzes; (2)
whether, if the 1982 Judgment applies to the Beetzes, they have the right and
the duty to repair and maintain the easement along with the owners of the other
parcels; (3) if the Beetzes have the exclusive right to receive the fire
department’s payment; and (4) if the defendants’ failure to maintain the
easement has damaged the Beetzes. The defendants again moved to dismiss
under Rule 12(B)(6). The court dismissed the complaint with prejudice and this
appeal followed. On appeal the Beetzes pursue the same four claims.
[10] Pursuant to Indiana Trial Rule 12(B)(6), a defendant may move to dismiss a
complaint for “failure to state a claim upon which relief may be granted.” Our
standard of review is:
A motion to dismiss for failure to state a claim tests the legal
sufficiency of the claim, not the facts supporting it. When ruling
on a motion to dismiss, the court must view the pleadings in the
light most favorable to the nonmoving party, with every
reasonable inference construed in the non-movant’s favor. We
review a trial court’s grant or denial of a Trial Rule 12(B)(6)
motion de novo. We will not affirm such a dismissal unless it is
apparent that the facts alleged in the challenged pleading are
incapable of supporting relief under any set of circumstances.
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Thornton v. State, 43 N.E.3d 585, 587 (Ind. 2015) (citations and quotations
omitted).
[11] The Beetzes first argue they are not bound by the 1982 Judgment, and the
easement contained therein, because they had no notice of its existence.
[12] In State v. Anderson, 241 Ind. 184, 170 N.E.2d 812 (1960), the State sought to
condemn a piece of property, claiming it had acquired an easement over most
of the land from the landowner’s predecessor in interest. The landowner noted
the document granting the easement had not been recorded in the county where
the property was located and further claimed she had no actual notice of the
easement. The State lost in the trial court and appealed.
[13] The Indiana Supreme Court explained, “‘The purchaser of a land subject to an
easement expressly created by grant or reservation in an unrecorded deed is not
affected by it if he had no notice of the servitude.’” 170 N.E.2d at 814 (quoting
Thompson on Real Property, Vol. 1, § 384, p. 623). The Court determined the
landowner was not bound by the easement because the grant of the easement
was not recorded in the property’s chain of title. Further, the landowner had no
actual notice of the easement because she had asked the seller about easements
and was told the State had no interest in the land other than a narrow, openly-
marked strip of land along the road. In addition, the landowner had obtained
an abstract of title that did not disclose the existence of the easement. The
Court concluded, “We therefore hold that appellee did all that the law required
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of her to do and that appellee’s title cannot be defeated by a prior, unrecorded
interest of the state in the land.” Id. at 815-16.
[14] Likewise, in State v. Cinko, 155 Ind. App. 357, 292 N.E.2d 847 (1973), the State
sought to remove an advertising sign from a landowner’s property, claiming it
encroached upon a right of way it had acquired from the landowner’s
predecessor in interest. The document granting the right of way was never
recorded in the county where the property was located. A panel of this Court,
following Anderson, concluded the landowner had no notice, either actual (in
the form of markers on the property) or constructive (in the form of a recorded
easement), and was not bound by the grant of the right of way.
[15] In the current case, the 1982 Judgment was not recorded in Johnson County in
the chain of title for the Beetzes’ land. Further, the Beetzes’ complaint alleges
they had no actual notice of the judgment’s existence, asserting they were aware
of only the 1979 easement. Per our standard of review, we accept the allegation
as true. Following Anderson, we conclude the Beetzes have alleged facts
pursuant to which they would be entitled to declaratory relief on their claim
that they are not bound by the 1982 Judgment and easement.
[16] The other property owners claim the Beetzes, as successors in interest to the
Gluffs, are bound by the 1982 Judgment pursuant to res judicata even if they
had no notice. The doctrine of res judicata serves to prevent the litigation of
matters that have already been litigated. TacCo Falcon Point, Inc. v. Atlantic Ltd.
Partnership XII, 937 N.E.2d 1212 (Ind. Ct. App. 2010). They cite Skelton v.
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Sharp, 161 Ind. 383, 67 N.E. 535 (Ind. 1903), in which an owner of land in
Pulaski County filed a quiet title action against Moore, who also claimed to
own the land. The Pulaski Circuit Court found in favor of the landowner.
Moore did not appeal but later deeded the land to a third party, who sold it to
Skelton. Skelton was unaware of the prior court judgment, which was not
recorded.
[17] The landowner sued Skelton, seeking again to quiet title to the land. The
appellees prevailed. On appeal, Skelton claimed the decree did not bind him
because he had no notice of it. The Indiana Supreme Court stated, “Our cases
have steadily maintained that such a decree is a conclusive adjudication of title,
not only as against the grantee, but as against all claiming under him.” 67 N.E.
at 536. The Court concluded Skelton had no title to the land unless derived
through Moore and was bound by the judgment as a successor to Moore.
[18] Skelton presents different circumstances than the current case because it did not
involve an easement. In any event, we choose to follow the Indiana Supreme
Court’s holding in Anderson, which directly addresses the issue presented here.
[19] The Beetzes’ remaining three claims are all contingent to some extent upon
resolution of the Beetzes’ argument that they are not subject to the 1982
Judgment. That issue, and the three claims, must be addressed on remand.
[20] For the reasons stated above, we reverse the judgment of the trial court and
remand for further proceedings.
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[21] Reversed and remanded.
Riley, J., and Crone, J., concur.
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