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Curtis-Klure, Pllc v. Ada County Highway District

February 2, 2011

CURTIS-KLURE, PLLC, DBA MAPLE GROVE DENTISTRY, AND JACK D. KLURE, D.D.S., PLAINTIFFS-APPELLANTS,
v.
ADA COUNTY HIGHWAY DISTRICT, DEFENDANT-RESPONDENT.



Appeal from the District Court of the Fourth Judicial District of the State of Idaho, in and for Ada County. The Hon. Deborah A. Bail, District Judge.

The opinion of the court was delivered by: Eismann, Chief Justice.

Boise, January 2011 Term

2011 Opinion No. 13

Stephen W. Kenyon, Clerk

The judgment of the district court is affirmed.

I. FACTS AND PROCEDURAL HISTORY

This case arises out of a construction project to improve the intersection of Maple Grove Road and Ustick Road. Thomas Curtis, D.D.S., (Dr. Curtis) and his wife owned interests in three parcels of real property located in Block 1 in the Fairbanks Subdivision, which is the northeast quadrant of the intersection. They owned Lot 19, on which was constructed a dental office. In addition, they owned an undivided one-third interest in Maple Grove Parking LLC, which owned Lot 17, and an undivided one-third interest in Maple Grove Professional Center Owner's Association, Inc., which owned Lot 16. Lots 16 and 17 were common areas used primarily for parking.

Jack Klure, D.D.S., (Dr. Klure) and Dr. Curtis were co-owners of a professional limited liability company known as Curtis-Klure, PLLC, through which they did business as Maple Grove Dentistry. Dr. Curtis leased Lot 19, including the building located thereon, to CurtisKlure under a written, ten-year lease that ended on December 31, 2006. The lease also provided that Curtis-Klure could renew the lease for two additional five-year terms.

In late 2005, the Ada County Highway District (ACHD) desired to widen Ustick Road and Maple Grove Road. To do so it needed to obtain a strip of real property thirteen feet wide along the east side of Maple Grove Road and the north side of Ustick Road. The total length of the strip was one-thousand feet. It would cross Lots 16 and 17, but it would not encroach upon any portion of Lot 19. However, it would result in the public sidewalk along the north side of Ustick Road being within several feet of the south side of the building located on Lot 19.

In January 2006, ACHD contacted Dr. Curtis to negotiate the purchase of the portion of Lots 16 and 17 needed for the road widening. In May 2006, Dr. Curtis countered with an offer to sell ACHD all of his interest in Lots 16, 17, and 19. ACHD had the properties appraised and offered to purchase them. While Dr. Curtis and ACHD were negotiating the terms of an agreement between them, he agreed to give ACHD access to a portion of the properties. On November 20, 2006, they entered into a "Right of Entry Agreement" which allowed ACHD to begin construction on the strip of property it needed, but the agreement expressly provided that "ACHD warrants that it will make every effort reasonably possible to prevent disruption of the business operations on the Property during the term of this Agreement." The Agreement would terminate upon the closing of the purchase of the three properties.

Curtis-Klure did not renew its written lease with Dr. Curtis prior to its expiration on December 31, 2006, but it continued occupying the building under a month-to-month tenancy. In April 2007, Dr. Klure moved his dental practice out of the building. On June 22, 2007, Dr. Curtis, his wife, and Curtis-Klure entered into a "Settlement Agreement" with ACHD under which ACHD agreed to purchase the Curtises' interests in the three properties. It also provided that it settled all claims the Curtises may have against ACHD. Dr. Curtis and Curtis-Klure terminated the month-to-month tenancy in the building, and in June 2007, Dr. Curtis relocated his practice. The settlement agreement did not provide for any compensation to Dr. Klure.

On September 14, 2007, Curtis-Klure and Dr. Klure (herein both called "Dr. Klure") filed this action seeking damages from ACHD. Both sides moved for summary judgment, and the district court granted summary judgment in favor of ACHD. It entered judgment dismissing all of Dr. Klure's claims, and he appealed.

2

II. ISSUES ON ...


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