Runyon v. Paley

Facts

On May 1937, Mrs. Gaskins acquired a four-acre tract of land located in the village of Ocracoke bounded on the west by the Pamlico Sound and on the east by Silver Lake. One and one-half acres of the sound-front property were conveyed by Mrs. Gaskins to plaintiff Runyon on May 1, 1954. On January 6, 1960, the Runyons reconveyed the one and one-half acre tract along with a second one-eighth acre tract to Mrs. Gaskins. By two separate deeds dated January 8, 1960, Mrs. Gaskins conveyed the Runyons a lake-front lot and a fifteen-foot-wide strip of land that runs to the shore of Pamlico Sound from the roadway separating lake-front and sound-front lots. The fifteen-foot strip was part of the one and one-half acre parcel that the Runyons reconveyed to Mrs. Gakins. January 9, 1960, Mrs. Gaskins conveyed the remainder of the one and one-half acre parcel subject to a restrictive covenant providing the land may only be used for residential purposes, until such time as adjacent or nearby properties are turned to commercial use. “Nearby” was defined as within 450 feet thereof. Mrs. Gaskins remained on her land, where she had constructed a residential dwelling before the aforementioned conveyance, until her death in August 1961. The defendant, Paley, acquired the one and one-half acre tract Mrs. Gaskins conveyed on January 9, 1960. The plaintiff Williams acquired the property Mrs. Gaskins retained and resided on. Paley entered into a real-estate partnership and began constructing condominium units on his property. Williams and Runyon sued to enforce the restrictive covenant and prevent constructions of these condominiums.