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Caulett v. Stanley Stilwell & Sons, Inc.

Superior Court of New Jersey, Appellate Division
170 A.2d 52 (1961)


Facts

Stanley Stillwell & Sons, Inc. (Stanley) (defendant) sold an acre of land to Caulett (plaintiff) for $4,000. The warranty deed to Caulett included a provision reserving Stanley’s right to be the contractor to build a home for Caulett on the property. The deed included this provision under “covenants running with the land.” When negotiations for building the home failed, Caulett sued to quiet title to the property. Caulett argued that no contract between the parties to construct a home ever existed. Stanley countered that the most important consideration in fixing the price of the property was the understanding that Stanley would act as the general contractor to build a home on the property. The trial court held that the home-building provision in the deed was unenforceable and found for Caulett. Stanley appealed. On appeal, Stanley argued that the provision was an ordinary property restriction. Caulett responded that the clause was too vague to be enforced, and, in any event, the provision was simply a personal covenant that did not affect the property.

Rule of Law

Issue

Holding and Reasoning (Freund, J.)

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