Fleetwood Corp. v. Dorothy Towne Trust

Full title: FLEETWOOD CORPORATION, A NEVADA CORPORATION, Appellant, v. THE DOROTHY

Court: SUPREME COURT OF THE STATE OF NEVADA

No. 60866

Date published: Jan 29, 2014

Fact:

  • The case involves a dispute over the terms of a geothermal lease between Fleetwood Corporation and Dorothy Towne, concerning properties divided into Westside and Eastside parcels.
  • Fleetwood claimed an oral modification to the lease, allowing Towne to pay taxes on the Eastside properties.
  • Towne passed away, and the respondent on appeal is the Dorothy Towne Trust (the Trust).
  • The district court found Fleetwood in breach of the lease for failing to pay all taxes but ruled against terminating the lease due to Towne’s previous payment of Eastside property taxes.
  • The court ordered Fleetwood to reimburse the Trust for Eastside property taxes paid since 2004 but denied Fleetwood’s request for income from Eastside property uses.
  • Fleetwood appealed a post-judgment order denying its motion to enforce the judgment, arguing that the court’s interpretation of “surface resources” was inconsistent with the final judgment.

Issue:

  • Whether the post-judgment order, which denied Fleetwood income from surface resources based on the district court’s interpretation, deviates from the final judgment and alters rights previously granted to Fleetwood.

Decision:

  • The court reversed the post-judgment order and remanded the case to the district court to reconcile the contradictory conclusions between the final judgment and the post-judgment order regarding Fleetwood’s entitlement to income from surface resources.
  • The district court was instructed to clarify the interpretation of “surface resources” in the lease consistent with the final judgment.

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