Majority
Plaintiff Atlas Terminals, Inc., brought this action for declaratory relief and quiet title, having as its objective an adjudication that restrictions imposed upon lots in tract No. 5542, commonly known as Carthay Circle Tract, in the City of Los Angeles, are not binding upon lots 63 to 69, inclusive, which are owned by plaintiff and front on the north side of Warner Drive in said tract. Plaintiff also owns lots 14 to 18 fronting on Wilshire Boulevard and plans to erect a 27-story office building thereon with a two-story garage, 400 feet long, situated on lots 63-68, which adjoin 14 to 18 on the south. The Wilshire frontage was adjudged in 1938 to be no longer bound by the restrictions confining use to first-class family residences; the properties adjoining that tier of lots on the south, i.e., lots on the north side of Warner Drive, have never been so relieved except lot 63 and 40 feet of lot 64 which were also cleared by a court decree. In its major aspects the judgment went against plaintiff though it declares unenforceable certain minor[1] Plaintiff appeals.
The tract, consisting of 134 acres and comprising more than 490 lots, is situated at the southwest corner of the intersection of Wilshire Boulevard and Fairfax Avenue, extending thence to the Beverly Hills city limit on the west and to Olympic Boulevard on the south. Warner Drive parallels Wilshire and is one block south of it. McCarthy Vista runs approximately north and south and is the next street west of Fairfax. However, there is a passageway (apparently for pedestrians only) which runs north and south approximately half way between Fairfax and McCarthy Vista; it bears the name San Diego Way. Lots 63-69 lie between McCarthy Vista and San Diego Way and front south on Warner Drive.
The rapid growth of Wilshire and Fairfax as major traffic arteries and business frontage has substantially impaired the desirability of lots bordering on the street for first class residential purposes. The trial judge, after months of taking evidence and a careful inspection of the properties involved in the action, concluded that the Warner Drive frontage in
Major restrictions around which this case revolves are these: “That said lot or lots facing or fronting upon Warner Drive east of McCarthy Vista and on Del Valle Drive shall be used for residence purposes only; That no apartment house, flat, lodging house, hotel or any building or structure whatever other than one first-class single private residence of one-story only on Del Valle Drive, and of two-stories only on Warner Drive, with the customary outbuildings, including a private garage, shall be erected, placed or permitted on said lots.” The restrictions were imposed pursuant to a general and uniform plan of improvement and are molded in the form of conditions and covenants inuring to the benefit of all lot owners in the tract and constitute equitable servitudes upon each lot for the benefit of all others, binding upon and inuring to the benefit of the successors in interest of each lot owner.
Plaintiff’s contention is that the neighborhood has so changed that the lots in question are no longer suited to
The guiding principle here applicable is thus stated in Fairchild v. Raines, 24 Cal.2d 818 , 828 [ 151 P.2d 260 ] : “Even if restrictions are not enforcible as to every lot in an area originally covered by an agreement they may be upheld as to a part of that area if such part is of sufficient extent and so located that the original purpose of the restrictions can be accomplished.”
Volume 7, Hastings Law Journal, page 210: “California and other states have taken the view that restrictive covenants will be enforced if they are of ‘substantial value’ to remaining lot owners and if no ‘radical’ changes have occurred.” Volume 2, Witkin, Summary of California Law (7th ed.) section 221, page 1052: “But the change must be such that the original purpose of the restriction can no longer be realized.” Volume 16, California Law Review, page 60: “The change must be such as practically to defeat the purpose of the restriction. ’ ’
Mr. Justice Spence’s dissent in Wolff v. Fallon, 44 Cal.2d 695 , 699 [ 283 P.2d 802 ], says this: “ [O]ne of the main cases upon which the majority relies clearly indicates that the changed conditions in the neighborhood must have ‘rendered the purpose of the restrictions obsolete. ’ (Marra v. Aetna Const. Co., 15 Cal.2d 375 , 378 [ 101 P.2d 490 ].) This court further said: ‘But, if the original purpose of the covenant can still be realized, it will be enforced even though the unrestricted use of the property would be more profitable to its owner. ’ (Pp. 378-379.) ...
“There is no finding by the trial court that any alleged changes in the neighborhood have rendered the purposes of the restrictions ‘obsolete’ or that the original purpose of such restrictions cannot be realized; and if any of the trial court’s findings may be said to be to that effect, I find no evidence to support such findings.
“It seems clear that a line must be drawn somewhere dividing residential and commercial development in any tract
The question of the effect upon a second tier of lots of breaking restrictions upon a first tier of business frontage seems not to have received specific discussion in the California decisions. But they enunciate principles which fully sustain the trial judge's views. Robertson v. Nichols, 92 Cal.App.2d 201 [ 206 P.2d 898 ], is pertinent. The plaintiff there sought unsuccessfully to break residential restrictions because that had been done with respect to Wilshire Boulevard frontage. The factual situation is stated at page 207: “The tract as originally subdivided contained 117 lots. One hundred of the lots are improved with single-family residences, all of them 25 or more years old, except one built in 1939. At the northeast corner of Wilshire and Bronson (the southwest corner of the tract) there is located a seven-story apartment house; immediately to the east of the apartment building is a public market, and then a parking lot. Behind the apartment building, three lots on Bronson contain a tennis court and a garage. The five lots of plaintiffs are immediately to the north of the garage, front to the west on Bronson, and extend to Sixth Street, having a total frontage of approximately 240 feet.” At page 208 the court said: “It is true that the restrictions have been broken along Wilshire Boulevard, but as stated in Fairchild v. Raines, 24 Cal.2d 818 , 828 [ 151 P.2d 260 ], The fact that all the lots in the tract are not subject to the covenant is not conclusive of the issue. Even if restrictions are not enforcible as to every lot in an area originally covered by an agreement they may be upheld as to a part of that area if such part is of sufficient extent and so located that the original purpose of the restrictions can be accomplished.’ (See also Downs v. Kroeger, 200 Cal. 743 , 749 [ 254 P. 1101 ].) With respect to the Wilshire frontage, the situation created by the growth of the city and the development of the boulevard could be said to have rendered enforcement of the restrictions impracticable and inequitable. But as to the remainder of the tract, the purpose of the restrictions has been achieved and can continue to be main
The persuasive pertinence of this decision at bar will become readily apparent when the facts are fully appreciated.
Defendant Bank of America National Trust and Savings Association is successor in interest, by consolidation and otherwise, to Heilman Commercial Trust and Savings Bank which caused recordation of the subdivision map on October 24, 1922. As previously stated, the tract is bounded on the north by Wilshire Boulevard, on the east by Fairfax Avenue, on the west by a line 150 feet west of Schumacher Drive (the Beverly Hills city limit) and south by Olympic Boulevard. It comprises 134 acres and is divided into more than 490 lots. Warner Drive parallels Wilshire and is one block south of it. All lots on Warner Drive between McCarthy Vista and San Diego Way were improved, at the time of suit, with two-story single-family residences except lot 63 and the west 40 feet of lot 64, which have never been improved.
Defendants and respondents Sokol, Deutsch, et al., are owners of lots fronting on the south side of Warner Drive. There are two sets of interveners-respondents. Rejto, Zeesman, et al., own lots 97, 88, 139 and 140; the first two mentioned front on the south side of Warner Drive and the
The court found: “That since the execution of said deeds originally imposing said restrictions, owing to the general growth of the city of Los Angeles, Wilshire Boulevard has been widened and improved with the highest type of paving, extending from the central business district of the City of Los Angeles to the Pacific Ocean, and traffic control signals of the latest type have been installed thereon from said central business district to, in front of, and beyond said Tract 5542, and lanes and markings have been designated thereon for the handling of heavy high-speed traffic according to the most modern traffic engineering methods. That said Wilshire Boulevard is a part of the major traffic system of the City of Los Angeles. . . . That Fairfax Avenue has since said time been improved as a major traffic artery. . . . That said Wilshire Boulevard and Fairfax Avenue abutting upon and along said Tract 5542, and for a considerable distance in each direction from and beyond said Tract 5542, have since said times definitely changed in character and have been improved generally with business structures, and prior to the commencement of this action had become, and ever since have been, definitely and essentially business streets, and the property fronting and abutting thereon has, prior to the commencement of this action, become and ever since has been definitely and essentially business property; that contemporaneously with this action, Fairfax Avenue between Wilshire Boulevard and Del Valle Drive, which is Eighth Street east of Fairfax Avenue, is being improved for a department store and automobile parking purposes.” It was also found that the following changes have taken place in the vicinity of the subject property: May’s department store and parking facilities have been erected at the northeast corner of Wilshire and Fairfax;
The court further found: “That upon the subdivision of said Tract 5542 in 1922 the 490 lots therein were almost immediately developed and improved by the construction of residences in keeping with the residential restrictions imposed thereon, except on the Wilshire Boulevard frontage. That with few exceptions, at the date of commencement of this action the physical structure of said homes was generally subject to ordinary obsolescence and deterioration from age; that in addition many homes within the tract became outmoded and would not now be designated in their price
Pursuing this thesis appellant’s counsel seize upon the following findings: VI. “. . . That it is true that plaintiff’s Lots 66, 67 and 68 in said Tract as acquired by plaintiff were suitable for residential uses, but it is true that said Lots 63, 64, 65, 66, 67 and 68 at all times immediately prior to and since their acquisition by the plaintiff have not been and are not desirable for first-class single family residential use, and have not been first-class single family residential property, in either an improved or unimproved state, but are suitable and desirable only for business or commercial uses as an adjunct to said Wilshire property.”[2] Without explanation
2 “ In view of the circumstances herein found to he true, the enforcement of the conditions and restrictions pertaining to exclusive use of the plaintiff’s properties northerly of Warner Drive for first class.single *202 family residences will not restore Tract 5542 to such uses and purposes as originally contemplated.” “ [Plaintiff's lots 63 to 69 inclusive are not well situated for single family residences, but that upon the contrary finds that they are neither suitable nor desirable for first-class single family residential purposes.” “ [T]hat it is not true that the entire Tract 5542, with the exceptions stated, is modern, nor that its single family residences are predominately first class, but finds in fact that the same are generally depreciated due to their age of from 20 to 30 years, and that they are, by architecture and construction, generally so designed, constructed and equipped in a manner which is now obsolete, or obsolescent, under present day standards applicable to first class single family residences of like floor space; and that the residences in proximity to Wilshire Boulevard, Fairfax Avenue, San Vicente Boulevard and Olympic Boulevard, and by the use and development of said thoroughfares have lost isolation, seclusion and insulation from noises, gasses, lights, views and crowds of people, generally appertaining to commercial districts and pursuits, and heavily travelled traffic arteries. ”
“To paraphrase the language of the case I have referred to, the fact that there are sources of discomfort outside the tract, particularly upon its northern, southern and eastern boundaries, should not permit the plaintiff to violate the boundary and to add to the discomfort from within.
“It would be error to overemphasize the proximity of the business enterprises and to fail to recognize that no substantial inroads haye been made within the area in question. If changed conditions outside of a restricted area become such as to make certain property in a restricted area less valuable for the purpose and the use for which it was sold, no good reason exists for the violation of those restrictions if to do so other property owners in the restricted district would be forced to suffer great damages to their property. Certainly the property immediately adjacent to that upon which the restrictions were violated would suffer first, and perhaps most. In such circumstances the adjacent owner could, with like propriety violate the restrictions; then the next one to him in equity would have an equal right, and so on throughout the entire tract.
“By such a process of reasoning, the entire purpose and intention originally expressed to create a restricted first-class residential district could be thwarted, and all property owners who did not wish to accept the changed situation and convert their homes into business property would be penalized without fault on their part.’’
Again: “Now we come to grips with the main question. The rule in relation to whether or not restrictive covenants shall be enforced or declared cancelled, as I have studied it and as these cases I have read to you declare it, is a two-fold rule. In order for conditions to be no longer applicable to the plaintiff’s property, it must be shown that the plaintiff’s property is no longer of a character, because of the changes, that it can be used for the purpose intended in the creation of the tract, and that it would be inequitable to enforce the restriction upon the plaintiff’s property.
[1] ‘ That last clause, however, is defined in terms of the other element more eloquently in these out-of-state cases, I believe, than in our own. The real question is whether the continued enforcement of the restrictions would be of substantial benefit to the remaining properties in the tract.
“When we pass, however, to the south side of Warner. Drive, there is considerable though proportional insulation from these external influences. There has been the rehabilitation of which counsel have spoken in many instances, and the Court has observed the condition of those houses. There can be no question but what they are doomed as single family ■ residences, suitable and desirable for the purposes, if on the. north side there is a further intrusion of commercial uses, and particularly if there were a garage building constructed on the corner between 300 and 400 feet in length and 20 or more feet in height.
“It is at this point, I think, the Court must declare that while the plaintiff abundantly has established the first half of. the equation, that it has failed to establish the second. The continued enforcement of the restrictions will protect for some considerable period of time, the exact length of which is unpredictable, the single family residential characteristics of those residences, and those which lie behind them in the tract....
“The fact that the plaintiff purchased these properties with full knowledge of restrictions, although in a bona fide belief that they were not enforceable, precludes the application of any overriding equity in favor of a plaintiff who has property which is not residential but is limited to it as against the owners whose properties still may be protected.”
These thoughts are reflected in Finding XIV: ‘ ‘ The Court
[1] ‘ That the construction of a two-story parking garage as proposed by plaintiff would inequitably damage and depreciate the property values of defendants and cross-complainants, and impair in varying degrees the enjoyment of those properties on the south side of Warner Drive between McCarthy Vista Drive and Fairfax Avenue; and that they have no plain, speedy and adequate remedy at law; and that it is equitable and proper that said plaintiff be restrained from so doing, subject to the further order of the Court and its continuing jurisdiction in this cause.”
There are over 400 lots within the tract which do not abut upon perimeter lots and which are protected by this enforcement of the restrictions as to the Warner Drive frontage.
Not only does the philosophy of Robertson v. Nichols, supra, 92 Cal.App.2d 201 , and other authorities above quoted, sustain the position taken by the trial court, but cases decided in other States, which meet our problem head-on, give further and highly persuasive support to the trial judge.
Rombauer v. Compton Heights Christian Church, 328 Mo. 1 [ 40 S.W.2d 545 ] reaches our specific problem. At page 553 [40 S.W.2d], the court says: “No hard and fast rule can be laid down as to when changed conditions have defeated the purpose of restrictions, but it can be safely asserted the changes must be so radical as practically to destroy the essential objects and purposes of the agreement. Thus an urban tract may be dedicated to residential use under certain restrictions indicating an intention to establish a secluded district for high-class homes. It is inevitable that with the lapse of time the march of progress and the shifting and growth of the city the forces of disintegration will be at work, the houses architecturally and otherwise will become more and more out of date, other residential districts still more pretentious may be
1 These relate to: 1. Building less than 4 feet from the side line of a lot; 2. Selling to or occupation by any person not belonging to the white race; 3. Requiring submission of all building plans to a building committee; 4. Holding all planting to a distance of 5 feet from the front of the house. The court held 2 to be void and the others to have been waived by nonobservance.
“It is claimed that because the defendants consented to, acquiesced in, and did not resist the use of some of the lots in that square for non-residential purposes, they cannot now insist upon the observance of the restriction in the use of any of the lots in that square.
“The conclusion would be justified only in the event the use of those few lots for non-residential purposes so affected the property within the entire subdivision as to render the enforcement of the covenant of no substantial value to any property owner in the subdivision for the purpose for which the covenant was imposed, that is, to preserve the property exclusively for residential purposes, with the attendant comforts and conveniences. The record presents no such case.
“On the contrary, the record shows that with the exception of these few lots on the border of the subdivision all the other lots have been improved by the building of substantial dwellings thereon with one exception, and that is occupied by a church edifice. The residences and the yards are all kept in good condition, so that they constitute a very desirable and attractive suburban residence community. The use of these few lots on the margin for business purposes has not to any great extent detracted from the desirability of any of the subdivision for residence purposes except a few adjoining lots. . . .
“The very purpose of this restrictive covenant was to east a burden upon each lot for the benefit of all the other lots. In equity it created easements upon each lot in favor of every other lot. The fact that the servient estate could be used more extensively if it were free of the burden, or would have a greater value, is no basis for removing the burden. It is the absence of substantial value to the dominant estate that creates the equity in favor of quieting the title, and so long as substantial value remains, no equity arises in favor of the servient owners.”
Note in 4 American Law Reports 2d, pages 1111,1115: “The apparent weight of authority supports the proposition that
Now we reach appellant’s claim of irreconcilable inconsistency in the findings. Counsel stress, among others, the finding above quoted to the effect that appellant’s lots 63-69 are not now desirable for first-class single-family residential use and are suitable and desirable only for business and commercial uses as an adjunct to appellant’s Wilshire property. Of course, findings are to be construed together and, if possible, so harmonized as to support the judgment. (48 Cal. Jur.2d, § 314, pp. 317-318; Banner Metals, Inc. v. Lockwood, 178 Cal.App.2d 643 , 655 [ 3 Cal.Rptr. 421 ].) But we need no rules of construction to apply here. The findings under consideration blend into an harmonious whole and reflect a carefully considered and well-balanced judicial conclusion that the residential restrictions are enforceable with respect to the lots in question. For the same reasons there is no merit in appellant’s second point, that the probative findings do not support the conclusionary findings.
Lastly, it is argued that the court erred in awarding money judgments to cross-complainant-respondents as damages for violation of the following restriction: “That he or they will keep said premises in a clean and sightly condition by removing therefrom dead grass, weeds, rubbish, or any other thing which may render said lot unsightly, or in any undesirable condition.” There are nine such awards ranging from $10 to $200 in amount. That this remedy will lie for breach of a restrictive covenant is established by such cases as Joyce v. Krupp, 83 Cal.App. 391 , 397-398 [257 P.124]; Barrows v. Jackson, 112 Cal.App.2d 534 , 548 [ 247 P.2d 99 ].
Appellant’s assertion that there was no evidence to support the awards is too broad and general to raise the question. “Appellant submits that there has been no evidence whatsoever of any condition existing on Appellant’s property other than an alleged condition of unsightliness. . . . [T]hat there is no evidence whatever of any dust being carried over to the properties owned by the said respondents. Nor, was
Moreover, the court viewed the premises involved in the action and this is evidence in itself. (McCarthy v. City of Manhattan Beach, 41 Cal.2d 879 , 889 [ 264 P.2d 932 ]; Key v. McCabe, 54 Cal.2d 736 , 739 [ 8 Cal.Rptr. 425 , 356 P.2d 169 ].) Also, the transcript contains many pages of testimony upon this subject. There is no merit in this assignment of error.
The last point raised in appellant’s opening brief is denial of due process of law. After asserting this, counsel devote no more attention to it, thus waiving the point. ( 4 Cal. Jur.2d, § 484, p. 318.) In the reply brief counsel seek in a mild way to revive the claim, but there is nothing in it. Even if the judgment were erroneous, that would not constitute a denial of due process of law. As said in Worcester County Trust Co. v. Riley, 302 U.S. 292 , 299 [ 58 S.Ct. 185 , 82 L.Ed. 268 ] : ‘‘In any case the Constitution of the United States does not guarantee that the decisions of state courts shall be free from error, Central Land Co. v. Laidley, 159 U.S. 103 [ 40 L.Ed. 91 , 16 S.Ct. 80 ]; Tracy v. Ginzberg, 205 U.S. 170
Datta v. Staab, 173 Cal.App.2d 613 , 621 [ 343 P.2d 977 ] : “Due process does not guarantee either a correct decision or consistency in decision. ’ ’
The judgment is affirmed.
Fox, P. J., and Herndon, J., concurred.
A petition for a rehearing was denied May 29, 1962, and appellant’s petition for a hearing by the Supreme Court was denied June 27, 1962.
Cases cited
- Fairchild v. Raines 24 Cal.2d 818 at 828 p. 195, p. 196
- Wolff v. Fallon 44 Cal.2d 695 at 699 p. 195
- Marra v. Aetna Construction Co. 15 Cal.2d 375 at 378 p. 195
- Robertson v. Nichols 92 Cal.App.2d 201 p. 196, p. 205
- Downs v. Kroeger 200 Cal. 743 at 749 p. 196
- Banner Metals, Inc. v. Lockwood 178 Cal.App.2d 643 at 655 p. 208
- Joyce v. Krupp 83 Cal.App. 391 at 397-398 p. 208
- Barrows v. Jackson 112 Cal.App.2d 534 at 548 p. 208
- Davis v. Lucas 180 Cal.App.2d 407 at 409 p. 209
- Young v. Trump 146 Cal.App.2d 704 at 706 p. 209
- McCarthy v. City of Manhattan Beach 41 Cal.2d 879 at 889 p. 209
- Key v. McCabe 54 Cal.2d 736 at 739 p. 209
- Worcester County Trust Co. v. Riley 302 U.S. 292 at 299 p. 209
- Central Land Co. v. Laidley 159 U.S. 103 p. 209
- Tracy v. Ginzberg 205 U.S. 170 p. 209, p. 210
- Milwaukee Electric Railway & Light Co. v. Wisconsin ex rel. City of Milwaukee 252 U.S. 100 at 106 p. 210
- Datta v. Staab 173 Cal.App.2d 613 at 621 p. 210