J. Andrew Lunsford Props. LLC v. Davis

A provision in a real estate sales contract which provided for the reservation of a right-of-way did not survive the closing where the seller deeded the entire lot to the defendant without reservation and did not seek reformation of the deed.

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J. Andrew Lunsford Properties, LLC Lunsford sold a house and lot to Melodie Copeland located in Watson’s Ridge subdivision, a Lunsford development. Lunsford claims a stipulation in the sales contract gave it a contractual right to a portion of the lot sold to Copeland for the purpose of establishing a road right-of-way across one side of the lot, and that this portion of the lot was mistakenly conveyed to Copeland at the closing. After attempts by Lunsford and Copeland to negotiate a post-closing agreement to reconvey this portion of the lot failed, Copeland sold the portion of the lot at issue to other nearby landowners, John and Diane Davis. Lunsford1 sued Copeland for breach of the sales contract and fraud related to the post-closing agreement, and sued Copeland and the Davises for fraudulent conveyance, tortious interference with business relations and contract, and sought the award of attorney fees and punitive damages. Lunsford appeals from the grant of summary judgment to Copeland and the Davises on all of these claims. For the following reasons, we affirm.

The sales contract provided that Lunsford was to sell Copeland all of the property known as lot 8 in Watson’s Ridge subdivision, along with the Lunsford built house located thereon, as described in a plat of the subdivision recorded in the Gwinnett County property records. The recorded plat showed no road right-of-way across lot 8 but did show a retention pond which occupied an area on the northern side of lot 8 and the southern side of adjoining lot 7. A stipulation attached to the contract prepared by Lunsford’s real estate agent provided that

J. Andrew Lunsford Props. LLC v. Davis

A provision in a real estate sales contract which provided for the reservation of a right-of-way did not survive the closing where the seller deeded the entire lot to the defendant without reservation and did not seek reformation of the deed.

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