Opinion ID: 1704302
Heading Depth: 1
Heading Rank: 3

Heading: Trespass and Conspiracy.

Text: The overriding issue on appeal is whether the state-authorized lease granted Roberts an exclusive interest in the portion of the riverbed adjacent to Leach Park, absent access to the river front property. Roberts argues that it is entitled to damages because Steamboat, with the City's consent, trespassed on its leasehold and profited from use of the docking facilities and improvements. Roberts claims that although it could not have loaded or unloaded passengers from shore after December 30, 1990, it could have docked its vessels above the riverbed adjacent to Leach Park. While Roberts admits it did not attempt to occupy the disputed area after removing its riverboat and barges, it continued to pay rent and to claim a property interest in the leased area. The district court determined that Roberts' interpretation of the lease would be contrary to the purpose of the lease program, the express language of the authorizing statute and the lease conditions, and the City's riparian rights. To resolve this basic issue we must determine what rights Roberts acquired through the DNR lease. This, in turn, requires us first to determine what rights the State possessed as to the bed of the river.
In general, the State of Iowa exercises concurrent jurisdiction and authority with the federal government over navigable waters. See Iowa Code §§ 1.1, 1.2 (1991). The Mississippi River is of course a navigable river. McManus v. Carmichael, 3 Iowa 1, 56-57 (1856). The State owns the bed of the river from the ordinary high-water mark to the center of the stream. State v. Sorensen, 436 N.W.2d 358, 361 (Iowa 1989). Such ownership, however, is not proprietary but is in the nature of a trusteeship, which confers upon the state a burden rather than a benefit.... Peck v. Alfred Olsen Constr. Co., 216 Iowa 519, 522, 245 N.W. 131, 132-33 (1932); accord Sorensen, 436 N.W.2d at 361-62. When Iowa was admitted to statehood, Congress declared that the state holds title to navigable waters in its sovereign capacity and in trust for all of its citizens. Sorensen, 436 N.W.2d at 361. Although the public trust doctrine was originally intended to protect commercial navigation, Peck, 216 Iowa at 525-26, 245 N.W. at 134-35, it has been expanded to safeguard the public's use of navigable waters for purely recreational and non-pecuniary purposes. See Sorensen, 436 N.W.2d at 363; McCauley v. Salmon, 234 Iowa 1020, 1022-23, 14 N.W.2d 715, 716 (1944). Owners of land adjacent to navigable waters possess certain common law rights, apart from those of the general public, which are incidents of riparian ownership. See generally 78 Am.Jur.2d Waters § 265, at 710 (1975); 65 C.J.S. Navigable Waters § 61, at 212-13 (1966). We have recognized that a riparian owner's right of access to the water is a property right. Peck, 216 Iowa at 527, 245 N.W. at 135. Yet this right is also subject to the right of the government to maintain and promote navigation by whatever reasonable means .... Id. at 525, 245 N.W. at 135-36; see also Lakeside Boating & Bathing Inc. v. State, 344 N.W.2d 217, 221-22 (Iowa 1984). Under its trusteeship the State's power to dispose of lands under navigable waters is closely circumscribed. Sorensen, 436 N.W.2d at 362. Today the DNR has jurisdiction over all meandered streams and lakes. Iowa Code § 111.18 (Iowa Code chapter 111 is now codified at Iowa Code ch. 461A (1993)). Pursuant to its police power the State requires permits for construction on or over state-owned land or water or to operate commercial concessions on public lands. Id. § 111.4. Applications to lease riverbed areas are usually requested to accommodate facilities to load and unload commercial vessels or to improve access to the river from riparian land. Iowa Code section 111.25 provides in part: The commission may recommend that the executive council lease property under the commission's jurisdiction. All leases shall reserve to the public of the state the right to enter upon the property leased for any lawful purpose. The council may, if it approves the recommendation and the lease to be entered into is for five years or less, execute the lease in behalf of the state and commission. Rental fees have been established for the commercial and industrial use of riverbed, lakebed, and waterfront land according to the size of the area. See 571 Iowa Admin.Code § 18.2 (1990).
Roberts' initial lease of the riverbed adjacent to Leach Park was subject to a number of provisions and conditions. The lease was designated commercial and approved use of the described area for excursion boats, a gift shop, and a ticket office. The lease incorporated the language of the statute relating to the public trust doctrine. The DNR reserved the right to terminate the lease upon any of the grounds specified in Section 648.1 of the Code of Iowa or for violation of any terms of this lease. The renewed lease was identical. Roberts argues that the lease granted it a superior right to possession over all other commercial ventures for that portion of the riverbed, during the entire lease term. Roberts further argues that the State had no basis to terminate the lease. We believe this issue can be resolved by determining whether the DNR lease is a true lease or whether it is in effect a license. See generally Lee v. North Dakota Park Serv., 262 N.W.2d 467 (N.D.1977). It is often difficult to distinguish between a lease, an easement, and a license. See 49 Am.Jur.2d Landlord and Tenant § 5, at 45-47 (1970); 25 Am.Jur.2d Easements and Licenses § 2, at 417-19, § 3, at 419, § 123, at 525-26 (1966). The title of an instrument is not controlling; the intent of the parties is the determining factor. Paul v. Blakely, 243 Iowa 355, 358, 51 N.W.2d 405, 407 (1952). A lease on the one hand conveys a present interest in real property for the period specified. W. Page Keeton, Prosser and Keeton on the Law of Torts § 13, at 67 (5th ed. 1984) [hereinafter Prosser & Keeton ]. Black's Law Dictionary defines a lease as [a] contract for exclusive possession of lands... for terms of years ..., usually for a specified rent or compensation. Black's Law Dictionary 889 (6th ed. 1990); see, e.g., State v. Mann, 463 N.W.2d 883, 884 (Iowa 1990). [T]he criterion seems to be the right to the possession of the land, and if such right is not conferred, the transaction is to be deemed a license, profit, or easement. 49 Am.Jur.2d Landlord and Tenant § 5, at 46. On the other hand, a license in real property is an authority or permission to do a particular act or series of acts upon the land of another. Resnick v. City of Ft. Madison, 259 Iowa 578, 583, 145 N.W.2d 11, 14 (1966); see also Black's Law Dictionary 920. A license also involves the exclusive occupation of the property, but only so far as is necessary to do the act, and no further, whereas a lease gives the right of possession of the land, and the exclusive occupation of it for all purposes not prohibited by its terms. 49 Am.Jur.2d Landlord and Tenant § 5, at 46; see also 25 Am.Jur.2d Easements and Licenses § 123, at 525-26, § 125, at 528; Lee, 262 N.W.2d at 470-73. Thus, a license is merely a privilege to use land in the possession of another. Resnick, 259 Iowa at 583, 145 N.W.2d at 14. It is generally personal, revocable, and unassignable. Paul, 243 Iowa at 358, 51 N.W.2d at 407. Applying the foregoing principles of law to the instrument executed by the DNR and Roberts, we conclude the lease is in fact a license, and not a true lease. In accordance with Iowa Code sections 111.4 and 111.25 and the public trust doctrine the State has the authority to permit the use of the bed of a river for certain specified purposes, subject to the paramount right of navigation vested in the federal government for the benefit of all the public. Roberts' lease permitted occupation of the riverbed to accommodate excursion boat operations from the City-owned park. We believe the agreement in this context must be construed so as to limit Roberts' commercial operations to those activities consistent with and for the specified purpose for which consent was given. To hold otherwise would yield a result which is contrary to the limitations imposed by the public trust doctrine and inconsistent with the purposes of the State lease program. Moreover, the State may not interfere with riparian rights unless the purpose has a reasonable and substantial relationship to... navigational or other public purpose to which the riparian owner's right of access is made subservient by law. Lakeside Boating & Bathing, 344 N.W.2d at 221. Accordingly, we conclude that Roberts' right to use the riverbed was conditioned upon access to the City's frontage property. The record does not bear out Roberts' contentions of alternate uses for the riverbed area which would reasonably fall within these bounds. Further, we find that Roberts voluntarily relinquished its right of use when it vacated the premises. We therefore hold that Roberts did not acquire a property interest in the riverbed area under the lease agreement. For all practical purposes Roberts' license to use the area terminated when the lease with the City expired. Having determined that Roberts acquired only the rights of a licensee we turn now to the trespass claim.
The gist of a claim for trespass on land is the wrongful interference with one's possessory rights in property. Ryan v. City of Emmetsburg, 232 Iowa 600, 603, 4 N.W.2d 435, 438 (1942). One is subject to liability to another for trespass, irrespective of whether he thereby causes harm to any legally protected interest of the other, if he intentionally (a) enters land in the possession of the other, or causes a thing or a third person to do so, or (b) remains on the land.... Restatement (Second) of Torts § 158 (1964). For purposes of a trespass claim a person who is in possession of land is defined as one who (a) is in occupancy of land with intent to control it, or (b) has been but no longer is in occupancy of land with intent to control it, if, after he has ceased his occupancy without abandoning the land, no other person has obtained possession as stated in Clause (a), or (c) has the right as against all persons to immediate occupancy of land, if no other person is in possession as stated in Clauses (a) and (b). Id. § 157. Even if Roberts possessed a right to exclusive possession of the leased area as against Steamboat, it still must establish that at the time of the alleged interference it was in either actual or constructive possession of the property. Id.; see also Prosser & Keeton § 13, at 77-78; 75 Am.Jur.2d Trespass § 37, at 35-36 (1991); 87 C.J.S. Trespass § 22(a), at 972-73 (1954). Actual possession or occupancy of land may be shown by [public] acts of ownership or dominion. 75 Am.Jur.2d Trespass § 38, at 36-37; see also 87 C.J.S. Trespass § 22(b), at 973-74; Restatement (Second) of Torts § 157 cmt. a. Here Roberts vacated the leased property in March 1991 when it removed its riverboat and barges. After Roberts had vacated the area, Steamboat began construction on the docking facilities and began operating excursions from Leach Park. We believe that Roberts' payment of rent, without other indicia of physical dominion, is insufficient to establish actual possession. Similarly, we conclude Roberts was not in constructive possession of the property. Constructive possession is that possession which the law presumes the owner has, in the absence of evidence of exclusive possession in another.... If defendant is in actual possession, constructive possession is excluded. 87 C.J.S. Trespass § 22(c), at 974; see also Restatement (Second) of Torts § 157(b), (c); Prosser & Keeton § 13, at 78. There is no presumption of possession on the part of a licensee because a license gives the licensee merely a right to use land in the possession of another. See Resnick, 259 Iowa at 583, 145 N.W.2d at 14. Because Roberts cannot establish that it was in possession of the property on which the acts of trespass allegedly occurred, its claims must fail.
Likewise, Roberts cannot maintain conspiracy to trespass claims against Steamboat and the City if its trespass claims fail. We have recognized that [c]ivil conspiracy is not in itself actionable; rather it is the acts causing injury undertaken in furtherance of the conspiracy which give rise to the action. Basic Chemicals, Inc. v. Benson, 251 N.W.2d 220, 233 (Iowa 1977); accord Lindaman v. Bode, 478 N.W.2d 312, 317 (Iowa App.1991). Consequently, the district court properly entered summary judgment for defendants on the trespass and conspiracy claims.