Winecellar Farm, Inc. v. Hibbard
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Petitioner Winecellar Farm ("Winecellar") appealed a superior court order that found it was not entitled to: (1) a decree pro confesso awarding it specific performance to purchase the Bedard Farm ("Bedard"); (2) specific performance to purchase the farm under the part performance doctrine; and (3) continued haying in perpetuity under a lease agreement. Craig and Jennifer Rief purchased Winecellar, a working farm adjacent to the Bedard Farm. Bedard was owned by two siblings who until 2006, had lived there all their lives. The Riefs had enjoyed a close, friendly relationship with the Bedards until the Bedards died in 2006. The Riefs informed the Bedards on multiple occasions of their interest in buying the Bedard Farm when the Bedards were ready to sell. Until that time, the Riefs were content with farming the two properties together. In 2004, the Riefs and the Bedards signed a "memorandum of understanding" to harvest hay. In exchange, Winecellar/Riefs would maintain certain access ways and roadways to a shared driveway. In 2004, the Riefs wanted to lease the Bedard land to raise a small herd of buffalo to which the Bedards declined. In January 2006, the Bedards acquiesced to the Riefs' proposal to lease the land for buffalo. They drafted a "letter of understanding" for which the Riefs would lease the land, and later be given the opportunity to purchase the land should the Bedards sell. When the Bedards died, the land passed to their family. The Riefs filed a preliminary injunction in an attempt to preclude the Bedards' estate from evicting its buffalo and removing fencing equipment maintained on two leased pastures. Although the Bedard heirs filed responses in the case, their answer was untimely. The Riefs moved for a decree pro confesso for the right to purchase the Bedard land. The trial court denied the motion, but ordered a voluntary nonsuit as to the Bedard estate. On appeal, the Riefs argued that the sum of the various memoranda/letters of understanding constituted contracts for which specific performance was the only remedy. According to the Riefs, the monthly lease payments were in consideration for the right to purchase the land. Upon review, the Supreme Court held that the record adequately supported the trial court's decisions to deny the Riefs specific performance for the Bedard Farm. Additionally, the Court found that the haying arrangement between the parties was not sufficient to constitute an "interest in land" consistent with "the ultimate intent that Winecellar Farm would own the Bedard Farm." As such, the Court affirmed the lower court's decisions.
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