ARTHUR E CHAMBERS V PAOLA LUPTAK
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STATE OF MICHIGAN
COURT OF APPEALS
ARTHUR E. CHAMBERS,
UNPUBLISHED
May 8, 1998
Plaintiff/Counter-Defendant
Appellant/Cross-Appellee,
v
GORDON B. HALL, JR., TRUSTEE OF THE
JERRY D. LUPTAK IRREVOCABLE TRUST,
JERRY D. LUPTAK, AND PAOLA M. LUPTAK,
TRUSTEE OF THE PAOLA M. LUPTAK
REVOCABLE TRUST,
No. 196482
Wayne Circuit Court
LC No. 95-509975 CH;
95-512098
Defendants/Counter-Plaintiffs
Appellees/Cross-Appellants,
Before: Cavanagh, P.J., and Doctoroff and Saad, JJ.
PER CURIAM.
Plaintiff/counter-defendant Arthur Chambers appeals as of right from the trial court’s March 13,
1996, order granting summary disposition in favor of defendants/counter-plaintiffs Hall1 and Jerry D.
Luptak with respect to defendants’ quiet title action against Chambers. Chambers also appeals as of
right from a bench trial verdict of $15,620.16 in favor of defendant Jerry D. Luptak . We affirm both
the March 13, 1996, order and the bench trial verdict.
Defendants/counter-plaintiffs Hall and Jerry D. Luptak (Luptak) appeal as of right from that
portion of the trial court’s June 10, 1996, order2 granting summary disposition holding that Luptak’s
February 17, 1995, option contract was also entered in on behalf of Chambers as a tenant-in-common.
We affirm the trial court’s June 10, 1996, order, but remand this case to the trial court for further
proceedings as explained infra.
I
Chambers argues that the trial court erred in concluding that he had no valid interest in the
southernmost twenty-acre parcel and granting summary disposition for Luptak. We disagree. It was
undisputed that Chambers failed to pay the property taxes on the parcel, received notice that the land
was tax-deeded to the state, then failed to redeem the land from the state. The state received absolute
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title to the land when the redemption period ran, extinguishing Chambers’ interest as a tenant-in
common. See MCL 211.67; MSA 7.112; Grand Rapids v Green, 187 Mich App 131, 138; 466
NW2d 388 (1991). The state owned this parcel free and clear, and a new chain of title began. Id.
When Luptak purchased the property from the state almost two years later, he received title free of any
interest Chambers previously had as a tenant-in-common. See Rolland v Rolland, 314 Mich 619,
622-624; 23 NW2d 104 (1946). There was no issue of material fact, so defendants were entitled to
judgment as a matter of law pursuant to MCR 2.116(C)(10).
II
The trial court’s verdict in the accounting action was supported by the evidence presented at
trial. The evidence did not clearly preponderate in favor of Chambers. See Nogueras v Maisel &
Associates, 142 Mich App 71, 81; 369 NW2d 492 (1985).
The trial court did not err by finding Arthur Chambers liable for the $30,000 missing from
Thomas Chambers’ client trust account. It is undisputed that Thomas Chambers was acting as Arthur
Chambers’ agent when he accepted the $30,000 deposit from Danou. Arthur Chambers is liable for his
agent’s actions committed within the scope of his agency. See Renda v Int’l Union, UAW, 366 Mich
58, 95; 114 NW2d 343 (1962); Parmet Homes, Inc v Republic Ins Co, 111 Mich App 140, 148;
314 NW2d 453 (1981).
III
The trial court did not err by holding that Luptak’s February 17, 1995, option contract was also
entered into on behalf of Chambers as a tenant-in-common. Due to the special relationship between
tenants-in-common, “any interest obtained by one tenant in common in or appertaining to the commonly
owned property generally inures to the benefit of all.” 1 Cameron, Michigan Real Property Law (2d
ed), § 9.5, p 295. However, the remaining cotenants are not automatically entitled to assert a common
right to this interest: they themselves must do equity by promptly paying their fair share of the purchase
price for that interest. Reed v Reed, 122 Mich 77, 78-79; 80 NW 996 (1899); Fick v Fick, 38 Mich
App 226, 228-229; 196 NW2d 18 (1972). Where a cotenant fails to pay his fair share within a
reasonable time, he loses any right to that interest. Id. We therefore remand the case to the trial court
to determine the entire amount Luptak paid to obtain and exercise his option, including the property
taxes, legal fees, and costs paid to or on behalf of the Paulls. After determining this amount, the trial
court shall set a reasonable, definite time within which Chambers must pay one-half that amount or lose
any interest in the subject property.
Affirmed and remanded for proceedings consistent with this opinion. We do not retain
jurisdiction. No taxable costs pursuant to MCR 7.219, neither party having prevailed in full.
/s/ Mark J. Cavanagh
/s/ Martin M. Doctoroff
/s/ Henry William Saad
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1
Defendants Gordon B. Hall, Trustee of the Jerry D. Luptak Irrevocable Trust, and Jerry D. Luptak
are listed on the March 13, 1996, order and on the July 9, 1996, final judgment, which incorporates
that order. Paola M. Luptak, Trustee of the Paola M. Luptak Revocable Trust, is successor-in-interest
to the property at issue in Chambers’ appeal.
2
The June 10, 1996, order is also incorporated into the trial court’s July 9, 1996, final judgment.
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