OSMOND LANE
HOMEOWNERS ASSOCIATION,
Plaintiff and Appellee.
v.
George C. LANDRITH Jr.,
Defendant and Appellant. ![]()
2013 UT App 20 No.
20090157-CA
Court of Appeal of Utah
January 25, 2013
Fourth District,
Provo Department The Honorable Lynn W. Davis No. 060400414
Judge Gregory K.
Orme authored this Opinion, in which Judges William A. Thorne Jr. and J.
Frederic Voros Jr. concurred.
OPINION
ORME, Judge.
¶1 Among other
issues, George C. Landrith Jr. appeals the trial court's denial of his motion
for summary judgment and its grant of partial summary judgment in favor of the
Osmond Lane Home- owners Association. Additionally, Landrith appeals the trial
court's grant of the Association's motion for a directed verdict on several of
his defenses. We affirm.
BACKGROUND
¶2 In 1977, a
Declaration of Protective Covenants (the Declaration) was recorded against all
lots in the George Osmond Estates Subdivision (the Subdivision) in Provo, Utah.
The Declaration contemplated the organization at a future date of the "George
Osmond Estates Council," a nonprofit corporation that would be authorized
pursuant to the Declaration "to provide certain facilities and
services" to the Subdivision, its inhabitants, and its visitors.[1] No
entity by the name of the "George Osmond Estates Council" was ever
organized.
[1] Section 6.2 of the Declaration authorizes the
Council to levy general maintenance assessments to promote "the health,
safety, and welfare of the [Subdivision] residents" and to improve and
maintain the common area. In particular, these assessments may be used to pay
for taxes and insurance; for "general maintenance, repair, replacement,
and additions" to the common area; and for "the cost of labor,
equipment, materials, management, and supervision" related to maintenance
of the common area, but no assessments may ever be used for capital
improvements unless approved by a vote of two-thirds of Council members.
Section
6.4 of the Declaration reiterates that the Council may levy special assessments
for capital improvements to the common area, in addition to the Council's
authority to collect general maintenance assessments under Section 6.2. Such
special assessments are intended to "defray[], in whole or in part, the
cost of any construction or reconstruction, unexpected repair or replacement of
any capital improvements upon the Common Area, . . . provided that any [special] assessment shall have the assent of
two-thirds" of Council members. (Emphasis in original.)
Section
6.11 of the Declaration empowers the Council to "provide exterior
maintenance upon each Parcel which is subject to assessment, " including
the authority to "paint, repair, replace and care for roofs, gutters,
downspouts, exterior building surfaces, trees, shrubs, grass[, ] walks, and
other exterior improvements." The Council's authorization to provide
exterior maintenance, however, is tempered by Section 3.3 of the Declaration,
which cautions that
no
. . . fence, wall, or other improvements that are not already located on such
property shall be constructed, erected or maintained, nor shall any additions
thereto, or alteration therein, be made until plans and specifications . . .
shall have been submitted to and approved by the [George Osmond Estates
Architectural and Planning Control] Board in writing.
¶3 In 1979, an
unincorporated nonprofit association called the "Osmond Lane Homeowners
Association" (the Association) commenced acting as the governing body in
the Subdivision, conducting neighborhood meetings, resolving community
concerns, collecting dues and assessments, [2] maintaining common areas, and
paying common expenses. Although the Association's governance was somewhat
different from the contemplated "George Osmond Estates Council" (the
Council), the Association conducts regular meetings and elects a president and
a board of directors from among the Subdivision property owners. However, while
the Declaration contemplated two semi-annual payments from Subdivision property
owners to the Council for "annual assessments, " the Association
requires annual assessments to be paid in full once yearly. Moreover, the
Association collects unpaid homeowner association fees by filing mechanics'
liens rather than the "continuing lien[s]" contemplated by the
Declaration.
[2] Indeed, in a September 2002 district court
action, the Association was recognized as the appropriate entity to collect
annual dues in the Subdivision.
¶4 In 1992,
Landrith purchased a home (the Property), which is located within the
Subdivision. From the time of purchase until he sold the Property in 2007,
Landrith paid annual dues to the Association to cover his share of the common
expenses within the Subdivision.
¶5 At some point
during Landrith's first two years in the home, an irrigation pipe froze and
broke, causing water to flood the backyard and ultimately erode a hole at the
Property's rear border, which runs along the top of a deep ravine. Over the
next ten years, multiple sprinkler breaks and leaks permitted water to further
erode the area, thus increasing the size of the hole. Beginning in 1998, the
Association repeatedly requested that Landrith address the erosion in the
southeast corner of the Property by "filling the hole with dirt."
Landrith believed that the eroded area was merely an element of the ravine's
rough terrain and, therefore, he refused to comply with the Association's request
that he fill the hole.
¶6 In 2003, the
Association sent Landrith a letter, expressing concern about the hole on the
Property and reminding him of the Association's repeated requests over the
previous five years that he remedy the eroded area. During that same year,
Landrith vacated the Property; moved to Bountiful, Utah; and, apparently, left
the Property unattended. After moving, Landrith notified Nevan Anderson, then
president of the Association, of his intention to sell the Property. Still in
2003, Landrith and Anderson engaged in discussions regarding the erosion and
the hole, with Anderson stressing that the problem had to be fixed.
¶7 Finally, in
June 2004, Anderson informed Landrith that the hole on the Property needed to
be fixed within two months. A month later, when Anderson and Landrith met with
an independent contractor to discuss potential solutions for the eroded area,
Anderson told Landrith that Landrith's belated plan of "filling [the hole]
with dirt was no longer acceptable." Days later, Landrith listed the
Property for sale "as is" with a real estate agent. In August 2004,
Anderson advised Landrith that a permit and engineering services would be
necessary to fix the eroded area, and in November 2004, Anderson contacted and
contracted with Earthtec, an engineering firm, to remedy the erosion issues.
¶8 Over time,
the Property's soil beneath a set of concrete stairs and an existing railroad
tie retaining wall at the rear of the Property had eroded to the point that the
Association and neighbors became concerned with the safety of the area for
children, the structural integrity of a neighbor's adjacent retaining wall, and
the value of surrounding properties. Based on these concerns and without
Landrith's knowledge or consent, the Association paid Earthtec in excess of
$32, 000 to construct two retaining walls along the southeast corner of the
Property.
¶9 According to
Earthtec's studies, the soil conditions on the Property would be subject to
continued erosion, and therefore, Earthtec submitted plans to the Association
for the construction of an interlocking block retaining wall system and
corresponding drainage system. The Association never actually approved, in
writing, the plans provided by Earthtec. Nevertheless, Earthtec retained CKR
Engineers to design plans for the retaining walls, and the Association retained
Interlock Paving to construct the walls as called for in the Earthtec plans.
The construction involved extensive work on the Property, including the
erecting of a ramp along the side of the Property to permit heavy construction
equipment to access the rear portion of the Property. Following the
construction of the interlocking block walls, the Association paid Earthtec,
CKR Engineers, and Interlock Paving for their services, and then billed
Landrith for reimbursement of the more than $32, 000 cost.[3]Landrith did not
pay the bill or even respond to the Association's invoice.
[3]In
addition to sending Landrith an invoice upon final completion of the retaining
walls, the Association had previously sent Landrith an invoice for the partial
completion of the retaining walls.
¶10
Subsequently, in January 2006, the Association filed a Notice of Lien against
the Property for expenses incurred in constructing the walls and claiming an
intent to "hold and claim a lien pursuant to the Declaration." The
Association later filed a complaint in district court, seeking to foreclose on the
Property. Landrith filed a motion for summary judgment, arguing that the
Association was not authorized to act under the Declaration. The court denied
Landrith's motion, stating that Landrith had ratified the Association's
authority to act in the stead of the Council.
¶11 Thereafter,
the Association filed its own motion for summary judgment with respect to the
issue of whether it was authorized to act as the Council under the Declaration.
The court granted the Association's motion for partial summary judgment, again
stating that Landrith ratified the Association's authority to act with the
authority initially envisioned for the Council.
¶12 The
litigation ultimately culminated in a jury trial. At trial, Landrith tried to
present evidence through the use of an expert witness to show the existence of
much less expensive alternatives to an interlocking block retaining wall
system. The Association, however, objected to the testimony of Landrith's
expert on grounds of relevance and qualification under rule 702 of the Utah
Rules of Evidence. The court granted the Association's objection on both
grounds.
¶13 At the
conclusion of trial, the Association moved for a directed verdict as to
Landrith's defenses that the Association failed to mitigate its damages, materially
breached the Declaration, waived its right to recover the cost of the walls
from Landrith, and breached the implied covenant of good faith and fair
dealing. The trial court granted the Association's motion as to all four of
Landrith's defenses. Subsequently, the jury returned a verdict in favor of the
Association, awarding it more than $33, 000 in dam- ages. Additionally, the
Association was awarded prejudgment interest and attorney fees. Landrith
appeals.
ISSUES
AND STANDARDS OF REVIEW
¶14 Landrith's
appeal focuses on two principal issues. He argues that the trial court erred in
denying his motion for summary judgment and in granting the Association's
competing motion for summary judgment regarding whether the Association was authorized
to act as the Council pursuant to the Declaration. "We review the district
court's decision to grant summary judgment for correctness, granting no
deference to the [district] court." Swan
Creek Vill. Homeowners Ass'n v. Warne, 2006 UT 22, ¶ 16, 134 P.3d 1122
(alteration in original) (citation and internal quotation marks omitted).
"[S]ummary judgment is appropriate only when there is no genuine issue as
to any material fact and the moving party is entitled to a judgment as a matter
of law." Id. (citation and
internal quotation marks omitted). See Utah
R. Civ. P. 56(c).
¶15 Landrith
also claims that the trial court erred by granting the Association's motion for
directed verdict as to Landrith's various defenses. "We review a trial
court's grant of directed verdict for correctness. For a directed verdict to be
appropriate, the evidence must be such that reasonable minds could not differ
on the facts based on the evidence presented at trial." Goebel v. Salt Lake City S. R.R. Co.,
2004 UT 80, ¶ 10, 104 P.3d 1185 (citations omitted).
ANALYSIS
I.
Summary Judgment
¶16 We agree
with the Association that the trial court did not err in denying Landrith's
motion for summary judgment and in granting the Association's competing motion
for partial summary judgment. On appeal, both parties addressed the Utah
Supreme Court's decision in Swan Creek
Village Homeowners Ass'n v. Warne, 2006 UT 22, 134 P.3d 1122. We are
unpersuaded by Landrith's attempts to distinguish Swan Creek from the case before us.
¶17 In Swan Creek, after a development's
original homeowners association was dissolved for its failure to file an annual
report and pay the corresponding filing fee, a new homeowners association was
incorporated and began to act. See id.
¶¶ 2-5. An individual who acquired property in the development subsequent to
the formation of the new homeowners association refused to pay a special
assessment levied by the new homeowners association, which, in turn, brought
suit against the property owner to collect the assessment. See id. ¶¶ 6-11. The Utah Supreme Court stated that "[w]here
property owners have treated an association as one with authority to govern and
impose assessments contemplated under the terms of a duly recorded governing
declaration, they ratify its authority to act." Id. ¶ 32. In reaching its
decision, the Supreme Court relied on the facts that the new homeowners association had acted as such
for twenty years, in which time no
competing association emerged; lot owners collectively accepted the
new homeowners association's management
and paid dues to it; the new homeowners
association's authority to collect assessments was upheld in a prior
court action; and the new homeowners association's articles of incorporation
and governing declaration were on file for years before the new owner acquired
the property. See id. ¶ 38. Based on
those facts, the Court exercised its "equitable power to hold that the
[new homeowners association] possesses the authority delegated to the
homeowners association by the [d]eclaration." Id. ¶ 39.
¶18 Here, we see
no error in the trial court's analysis of, and application of the facts at hand
to the rule set forth in, Swan Creek.
First, it is undisputed that Subdivision property owners have regarded the
Association as having "authority to govern and impose assessments
contemplated under the terms of [the Declaration]." See id. ¶ 32. It is also undisputed that property owners in the
Subdivision, including Landrith, have consistently paid dues to the
Association. Landrith himself has repeatedly paid annual fees, special fees,
and assessments for repairs and maintenance under- taken by the Association.
Moreover, the Association has been operating and has undertaken property
management responsibilities pursuant to the terms of the Declaration for some
thirty years. In that time, no competing association has emerged and the
Association has been judicially recognized as authorized to levy assessments.
Finally, the Declaration under which the Association purported to act was
recorded many years prior to Landrith acquiring property in the Subdivision. We
conclude that these facts, in particular the "pattern of acquiescence by
the lot owners, " place this case squarely within the reasoning
articulated in Swan Creek. See id. ¶ 39. Thus, we see no error in
the trial court's decision, and we "exercise our equitable power to hold
that the [Association] possesses the authority delegated to the [Council] by
the Declaration." See id. Therefore,
as to the trial court's decision granting the Association summary judgment with
respect to whether it had authority to act as the Council pursuant to the
Declaration, we affirm.
II.
Directed Verdict
¶19 Having
determined that the Association could properly exercise the powers granted to
the Council by the Declaration, we next turn to the Declaration itself.
Specifically, we address Landrith's argument that the Association materially
breached the Declaration and, on that basis in particular, that the trial court
erred in granting the Association's motion for directed verdict. We begin by
emphasizing that the Association is a creature of contract, empowered as a
governing body of homeowners to serve the Subdivision through powers specifically
enumerated in the Declaration. Such powers, however, are qualified and
restricted by the Declaration's provisions and limitations. Thus, the
Declaration entitles the Association to freely make repairs and undertake
exterior maintenance even to individually owned units, but restricts the
authority to undertake capital improvements to the common area. It is
undisputed that the retaining walls were constructed on Landrith's property,
not the common area. Thus, the provisions authorizing the Association to
undertake capital improvements are not applicable.[4] Accordingly, we focus on
the Association's authority to undertake projects that qualify as repairs or
maintenance.
[4] It follows that there was no error in the
trial court's rejection of Landrith's proposed jury instruction defining
"capital improvement."
¶20 The
Association is authorized to conduct exterior maintenance on individual units
and the common area, with the costs being recouped through the assessment
process.[5] Thus, Landrith is entirely correct that if construction of the
retaining walls was not an act of repair or maintenance, the Association lacked
the authority to have them built.
[5] Section 6.11 of the Declaration states that
"[i]n addition to maintenance upon the Common Area, the Council may
provide exterior maintenance upon each Parcel[.]" Moreover, Section 6.12
explains that "[t]he cost of such exterior maintenance shall be assessed
against the Parcel upon which such maintenance is done and shall be added to
and become a part of the annual assessment[.]"
¶21
Consideration of the Declaration's provisions, several of which are summarized
in footnote 1 of this opinion, convinces us that the decision of whether to
classify the Association's construction of new retaining walls as a repair or
maintenance is, as Landrith insists, a question that properly should have gone
to the jury. Section 6.11 states that "[i]n addition to maintenance upon
the Common Area, the Council may provide exterior maintenance upon each Parcel
which is subject to assessment . . . as follows: paint, repair, replace and
care for roofs, gutters, downspouts, exterior building surfaces, trees, shrubs,
grass[, ] walks, and other exterior
improvements." (Emphasis added.)
¶22 As noted,
the Association may justify its actions in constructing retaining walls on
Landrith's property only if they constitute a "repair" or "other
exterior improvements" under Section 6.11. Landrith argues that the
installation of new interlocking block retaining walls goes beyond the
definition of a "repair." See
Webster's Third New Int'l Dictionary 1923 (1993) (defining
"repair" as "to restore by replacing a part or putting together
what is torn or broken"). But the question remains whether construction of
the retaining walls falls under "other exterior improvements" as that
term is used in Section 6.11. The term "other exterior improvements"
in Section 6.11 is, seemingly, a catchall phrase for any other maintenance the
Association may provide, in addition to "paint, repair, replace and care
for roofs, gutters, downspouts, exterior building surfaces, trees, shrubs,
grass[, and] walks."[6] As with
statutory construction, words in a contract must "be interpreted according
to their plain meaning unless the context justifies a different
interpretation." State v. Serpente,
768 P.2d 994, 997 (Utah. Ct. App. 1989). The words "other exterior
maintenance" are
not
subject to a plain meaning, but rather must [be interpreted] from the context
in which [they] appear[]. To this end, we resort to the doctrine of ejusdem
generis. This doctrine provides that "where general words follow the
enumeration of particular classes of things, the general words will be
construed as applying only to things of the same general class as those
enumerated."
Id. (quoting Black's Law Dictionary 464 (5th ed.
1979)).
[6] We see no error in the trial court's refusal
to instruct the jury on the meaning of "repair," "improvement,"
and "replace." These are common terms well within the understanding
of typical jurors.
¶23 Landrith
argues that the construction of retaining walls, which required the use of
heavy equipment, multiple workers, and substantial expense, is not maintenance
of the same caliber and quality as such things as painting or caring for trees
and shrubs - simple tasks that may typically be accomplished by one worker with
hand tools. But Section 6.11 is not limited to such minor work. The references
in Section 6.11 to roof repair and, indeed, roof replacement suggest that not
all acts of repair or maintenance will be as minor as Landrith contends. Thus,
a jury question was properly presented as to whether the Association's actions
qualified as exterior maintenance under Section 6.11. Landrith concedes as
much, of course, in arguing that the directed verdict was not in order. We
agree with Landrith that a question for the jury was presented, but we disagree
that the jury's consideration of his theory was foreclosed by the trial court's
directed verdict. Careful consideration of the record demonstrates that this
issue was presented to and decided by the jury notwithstanding the partial
directed verdict.
¶24 At the close
of evidence, the trial court granted the Association's motion for directed
verdict on several issues. One aspect of the trial court's ruling precluded
Landrith from arguing that the Association's replacement of an inadequate
retaining wall on his property with two new retaining walls constituted a
capital improvement in violation of the Declaration. As indicated previously,
this ruling was proper because the walls were constructed on Landrith's
property, not on the common area, making the capital improvement provisions
inapplicable. The directed verdict, however, did not preclude the jury from considering whether the retaining wall
project constituted exterior maintenance authorized under Section 6.11. To the
contrary, the trial court expressly allowed Landrith to argue that the
Association's actions did not constitute
exterior maintenance:
[LANDRITH'S
COUNSEL]: Have you ruled that this is general maintenance, or can I argue that
that's not - this is not general maintenance?
THE
COURT: Well, you can argue that he didn't breach, and you can argue, I guess,
that this is not general maintenance.
[LANDRITH'S
COUNSEL]: Thank you.
[THE
ASSOCIATION'S COUNSEL]: But it's not capital improvements. He can't argue that.
THE
COURT: It's not capital improvements.
¶25 The parties
then proceeded to make closing arguments, during which both Landrith's and the
Association's counsel argued their respective positions on whether the
Association's actions were permissible as exterior maintenance under Section
6.11. The Association's counsel referred the jury to Section 6.11 and argued
that Section 6.11 "lists a bunch of things. The ones that truly apply in
our case are repair and replace a whole bunch of things, including exterior
improvements. You remember, there's a number of pictures that show the old
retaining wall. What are we doing but replacing retaining walls?"
¶26 In his
closing argument, Landrith's counsel specifically asked the jury to
"circle [Section] 6.11, take a look at it, because that's the deal that
you'll be looking at," and then argued that the Association's actions were
not authorized as exterior maintenance under Section 6.11. Landrith's counsel
urged the jury to find that construction of the new retaining walls did not
constitute exterior maintenance because of the size of the "two huge
walls," and distinguished the scope of the Association's project from the
other items listed in Section 6.11. At the conclusion of his closing argument,
Landrith's counsel again invoked Section 6.11 as controlling the jury's award
of damages:
[S]hould
you have to pay that? Well, what was the agreement that you made? Go back and
take a look at [Section] 6.11, and I ask you - I think it's the right thing to
do. . . .
Before you enter a single dollar in [the Association's] favor, make sure you've read [Section] 6.11 and agree that what they did was part of the deal that was made between Mr. Landrith and the [Association]. It was not. It's not even close. This kind of thing, you just can't have somebody coming onto your property and building something like this without your permission and consent under the guise of maintenance, and turning around and billing you $32, 800.
¶27 The case
went to the jury with a Special Verdict form containing five questions. In
answering the third and fourth questions, [7] the jury found unanimously that
"[the] Association was entitled to provide exterior maintenance upon the
George Landrith, Jr. lot as follows: paint, repair, replace and care for roofs,
gutters, down spouts, exterior building surfaces, trees, shrubs, grass[, ]
walks, and other exterior improvements" and that "[the] Association
repaired the damage caused by erosion . . . by contracting with various
entities to replace the railroad tie retaining wall with new retaining
walls." The fifth question asked the amount of damages to be awarded,
which the jury answered in the exact amount claimed by the Association, $33,
143.62. Thus, in a Special Verdict patterned nearly word for word on Section
6.11, the jury found that the Association "was entitled to provide exterior
maintenance upon the [Landrith] lot, " including "repair[ing and]
replac[ing] . . . exterior improvements"; that it had "repaired the
damage caused by erosion . . . [by] replac[ing] the railroad tie retaining wall
with new retaining walls"; and that it was therefore entitled to damages
in the amount expended on the project.
[7] The first two Special Verdict questions asked
whether property owners belonging to the Association had a duty to maintain
their property in good repair and whether Landrith had breached the Declaration.
The jury unanimously answered these two questions in the affirmative.
¶28 In sum,
Landrith was entitled to have this question presented to and resolved by the
jury. And notwithstanding the partial directed verdict, it was - albeit in a
manner adverse to his position.[8]
[8] Other aspects of the trial court's directed
verdict are more easily resolved. The evidence was clear that, largely because
he vacated the property, Landrith had not taken reasonable steps to mitigate
his damages by prudently dealing with the erosion problem. Insofar as he
contended that there were more economical ways for the Association to have
dealt with the problem, his case rested on the testimony of his expert, which was
excluded as hereafter explained. Further, any breaches by the Association of
certain requirements concerning plan approval, notice to Landrith, approval of
the assessment to fund construction of the walls, and the absence of an
authorizing resolution for the construction were not so material as to excuse
Landrith's liability for his breaches.
III.
Other Issues
¶29 Landrith
raises a number of other issues in this appeal. First, he challenges the trial
court's exclusion of his proposed expert witness. This decision is reviewed
deferentially, under an abuse of discretion standard. See, e.g., State v. Brink, 2007 UT App 353, ¶ 4, 173 P.3d 183. We
see no such abuse of discretion here. While Landrith's intended witness was in
the business of constructing stone walls, he was not an engineer and conceded
that his company typically needed the help of an engineer to design the walls
it builds. And he did not visit the property until after the new walls were in
place and, thus, never saw the conditions that confronted the Association and
its contractors. See Utah R. Evid.
702(b)(2) (requiring that expert opinions be "based upon sufficient facts
or data"). Finally, he had no experience with interlocking block walls, as
were at issue in this case. Accordingly, we discern no error in the trial
court's performance of its role as "gatekeeper" in excluding the
proposed expert's testimony. See
generally Gunn Hill Dairy Props., LLC v. Los Angeles Dep't of Water & Power,
2012 UT App 20, ¶ 16, 269 P.3d 980 ("'The trial court has wide discretion
in determining the admissibility of expert testimony, ' and we will disturb a
court's exclusion of expert testimony only when it 'exceeds the limits of
reasonability.'") (quoting Eskelson
v. Davis Hosp., 2010 UT 59, ¶ 5, 242 P.3d 762).
¶30 Second,
Landrith complains about the trial court's calculation of prejudgment interest.
He has not persuaded us, however, that there was any significant error in this
regard, and the position of the Association - that any error was actually in
Landrith's favor - seems entirely plausible given the terms of Section 6.8 of
the Declaration, which establishes and defines a delinquency interest rate.
¶31 Third,
Landrith questions the amount of costs awarded. Under the broad terms of rule
54(d), we are not persuaded that the court erred in assessing the costs it did.
See Utah R. Civ. P. 54(d)(1)
(providing that "costs shall be allowed as of course to the prevailing
party unless the court otherwise directs").
¶32 Fourth,
Landrith challenges the amount of attorney fees awarded to the Association as
the prevailing party.[9] We see no error with the award of fees under the
principles explained in Dixie State Bank
v. Bracken, 764 P.2d 985 (Utah 1988).
[9] Anticipating success on appeal, Landrith
hoped to be characterized as the prevailing party and sought an award of his
fees on this basis. Landrith did not prevail, below or on appeal, and thus is
not entitled to an award of his attorney fees.
IV.
Fees on Appeal
¶33 The
Association requests an award of its fees incurred on appeal, and it does so in
a manner compliant with our rule 24. See Utah
R. App. P. 24(a)(9) ("A party seeking to recover attorney's fees incurred
on appeal shall state the request explicitly and set forth the legal basis for
such an award."). A party who is awarded fees below and prevails on appeal
is entitled to recover its attorney fees reasonably incurred on appeal. See Management Servs. Corp. v. Development
Assocs., 617 P.2d 406, 409 (Utah 1980). That is the case here, and the
Association is entitled to an award of the fees it reasonably incurred on
appeal.
CONCLUSION
¶34 The trial
court committed no error in denying Landrith's motion for summary judgment and
granting the Association's motion for summary judgment related to the
Association's authority to act in the stead of the Council pursuant to the
Declaration. It was a question for the jury whether the Association's actions
in constructing a retaining wall system on Landrith's property was a repair or
other act of exterior maintenance under the Declaration. Contrary to Landrith's
argument, the jury's consideration of this issue was not foreclosed by the
directed verdict, and the jury, properly instructed, decided the issue in the
Association's favor.
¶35 We see no
abuse of discretion in the trial court's exclusion of Landrith's proposed
expert witness. We are not convinced there was error in the trial court's award
of prejudgment interest, taxable costs, or attorney fees. And the Association
is entitled to an award of the fees it reasonably incurred on appeal.
¶36 The verdict
and ensuing judgment are affirmed. We remand for determination of an
appropriate award of the attorney fees incurred by the Association on appeal.