Category Archives: Ozarks economy

Widow gives it away and still gets to keep real estate


Sharon and Ron married in 1986, but couldn’t live together. After several separations, in 2005 they split for good, and Sharon had another guy. Sharon signed a deed at Ron’s request, apparently giving up her interest in a piece of real estate that they owned as husband and wife. But they never Read the rest of this entry

A real estate sub-agent can’t sue the seller for a commission


It’s a bitter lesson. A real estate agent spends money advertising and showing property. But when the deal closes, no commission is paid.

To prove the right to a commission, the agent must prove only two things:

  • that the agent was the “procuring cause of the sale”
  • that an employment relationship existed between the seller and the agent.

The case Deer Run Properties v Keys to the Lake illustrates that the second point Read the rest of this entry

Laws relating to use of Missouri’s streams


It’s that time of year again. People are floating on Missouri streams and testing the water temperature for swimming. I’ve revised my primer on Missouri stream law. You can read it online here, or you can have a pdf version. I’m still collecting information for a piece on Missouri’s laws relating to lakes.

Stimulus or business as usual?


It’s hard to argue with a new bridge.

The view of the existing bridge between Branson and Hollister is now a historical relic. A new bridge is being constructed now, as you can see below. Once the new bridge is completed, the old bridge (built in 1931) will be closed for major repairs before reopening in a couple of years.

The $7.4 million new bridge project is being paid for largely by so-called stimulus funding, appropriated under the American Recovery and Reinvestment Act. The rehabilitation of the old bridge is is financed from an $4.8 million earmark arranged by Read the rest of this entry

Happy belated April Fools Day


Due to my involvement in a trial last week, I didn’t get around to posting a spoof that’s been rattling around in my head for many years. I’ve posted it in the Diversions section of Ozarks Law  & Economy and will be anxious to see how it’s received. Here’s the link: Unexpected discovery challenges Intelligent Design at Ozarks college

City of Sullivan must charge everyone the same tap fee


This post has been removed because the Missouri Supreme Court’s opinion in City of Sullivan v. Sites overruled the Court of Appeals’ opinion in  City of Sullivan v. Sites and affirmed the trial court’s decision upholding different tap fees for different parts of town.

Missouri law in federal court: how does it work?


Federal courts apply state law, but not state procedural rules. The long but clearly written opinion by the U. S. Court of Appeals in Cole v. Homier Distributing  Company provides good examples of how federal courts apply state law, but use federal procedural rules to do so. Read the rest of this entry

Branson lakefront deal goes from good to bad. Not what you’re thinking, though.


You know the story. The City of Branson gives a great deal to a private business to create an attraction on the Taneycomo lakefront. A few years later, the City doesn’t think the deal is working well for the City. The political winds have changed. Now there’s a lawsuit. Here’s how it went down, more than a half-century ago.

Jim Owen–not to be confused with the singer–played a major role in putting Branson on the tourism map. A consummate promoter of float fishing on the James and White rivers and tourism and commerce in the Branson area, he was unstoppable. Born in Webster County, Missouri (east of Springfield), he came to Branson in 1933, already experienced with public relations.

Soon Jim had built a movie theatre and started a float fishing business that got national attention and was also a banker and farmer. Some fine person posted this promotional silent film of one of his trips (11 minutes long) Read the rest of this entry

Missouri judge rewrites non-compete agreement, but won’t enforce what’s left


You pay a lawyer to write a bulletproof contract.  Then you have to pay a lawyer to go to court to make it stick. Then the judge rewrites it to the point that it doesn’t do what the parties agreed. Look at Paradise v. Midwest Asphalt Coatings, issued March 16, 2010 by the Missouri Court of Appeals for the Western District of Missouri.

Bob Paradise signed an employment contract with a “non-compete clause,” promising that Read the rest of this entry

Reformation, or when may a court change a deed?


When Rocky Lawrence saw the rig move onto his property to drill a gas well, he checked his deed. Sure enough, nothing on the deed indicated that the seller of the property reserved the mineral rights.

Patsy Barnes saw the same drilling rig and went to Conway Title Company to make sure that she had reserved the mineral rights when she signed the deed conveying that property to Lawrence.   She was certain that the contract for sale stated that the mineral rights would not be conveyed to Lawrence.

Sarah at Conway Title had one of those awful moments, realizing that the reservation of mineral rights was not in the deed that Patsy signed, though the purchase contract stated that the mineral rights would be reserved to the seller. Sarah asked Lawrence to sign a correction deed, but he refused. Then Lawrence filed a quiet title suit, hoping to affirm that he and his wife owned the mineral rights and would receive royalties from natural gas produced from the well on their land.

People ought to be bound by what they sign, especially when it comes to real estate. Otherwise, what would be the point of putting the contract or deed in writing or reading a contract before signing it?

Mistakes are inevitable, and it would be unfair to allow someone to benefit from a mistake at the expense of another. Courts have developed the equitable remedy of reformation for the correction of mistakes and have also developed some strict rules for determining whether to reform a contract or a deed. Though the exact rules vary a bit from state to state, the basic rules are these: Read the rest of this entry