East Camp L.L.C. v Scuppernong Farms, et. al.
Jun 02, 2009OUTCOME: The trial court's judgment dismissing Defendants' counterclaims was error and is reversed.
East Camp (Plaintiff) owner of real property in Tyrrell County, NC. Plaintiff verbally agreed to allow Scuppernong Farm, (Defendants) to farm the tillable acreage on Plaintiff's property beginning i ... n the spring of 2000. In September 2000, Defendants requested that Plaintiff provide a written statement regarding the parties' lease agreement to the Tyrrell Co Farm Service Agency. Plaintiff provided a letter dated 9 Sept. 2000 (the Letter) to the Farm Service Agency, that stated: "... Scuppernong Farms, is renting all the tillable acreage owned by [Plaintiff] for ... 10 years beginning Jan 1, 2000. The lease is on an all cash basis and subject to an operating agreement...." The Member/ Manager for Plaintiff, signed the Letter. Plaintiff also provided a statement entitled "CASH LEASE AGREEMENT" (the Agreement) which states: "H. and S. Spruill has [sic] rented my farm for cash for the crop year(s) 10 yrs. Farm [#] 1191 Tract [#] 34 & 1335." The Agreement was signed by the Member/Manager under the words "EAST CAMP LLC BY:" and above "Owner Signature." Defendants recorded the Letter and the Agreement in the Tyrrell County Register of Deeds on 21 December 2004. Plaintiff granted NRCS a conservation easement on a portion of Plaintiff's property on 23 March 2007. Defendants contacted the NRCS that Defendants had a ten-year lease on Plaintiff's property. Plaintiff filed an action against Defendants for slander of title and trespass. Plaintiff attached to its complaint the Letter and the Agreement. Defendants filed an answer and counterclaims on 14 January 2008 pleading several defenses including the defense of license based on Defendants' purported lease to farm Plaintiff's land. Defendants' counterclaims were to quiet title, and breach of contract. Plaintiff filed a reply and denied the material allegations of Defendants' counterclaims pled the statute of frauds as a defense to Defendants' counterclaims to quiet title and for breach of contract, alleging the lease between Plaintiff and Defendants was not in writing as required by statute. Plaintiff filed a motion for judgment on the pleadings and the trial court granted judgment on the pleadings for Plaintiff and dismissed Defendants' counterclaims. Defendants appeal.
