Opinion ID: 2570567
Heading Depth: 1
Heading Rank: 9

Heading: Club Use Rights

Text: [¶ 46] When the Marksteins purchased both Parcels 1 and 2 of the Fish Creek Meadows Property, they were also granted certain club use rights regarding the Crescent H Ranch amenities and facilities in customary and usual form offered to all Crescent H Homeowners apparently in the form of an Interim Club Agreement. [8] Upon our review of the language utilized in the club use agreement, we again determine that the agreement is not ambiguous, but conclude that this agreement must be designated a revocable license. [¶ 47] While it is true that the agreement creates the rights indicated by virtue of the purchase and ownership of specifically delineated land, contrary to the fishing rights agreements, this document specifies that participation in horseback rides and utilization of the cross-country ski trails and the dining facilities are limited. Indeed, it is stated within the agreement that during certain brief periods throughout the summer certain groups or corporations may reserve the Crescent H Ranch for their exclusive use, during which time it may not be possible to schedule a horseback ride and that reservations for horseback rides must be made a day in advance. These rights may also only be exercised during the normal Crescent H Ranch summer season and usual riding hours. Dining privileges are extended solely during the summer and winter seasons of operation, on a reasonable `as available' basis, with twenty-four hours notice. [9] The club use agreement also states that the cross-country ski trails may be used each winter ski season only in those areas designated each year by the licensor and that any of the rights granted are subject to regulations and policies set solely by the licensor. These granted rights are further only transferable to subsequent owners of the land. [¶ 48] Additionally, the agreement requires that an annual fee to enjoy these rights of use be paid in the amount of $1,000.00 and that this amount may be adjusted in the future on a reasonable basis. Separate fees for breakfast, lunch, dinner, and barbecues shall also be set each year by the licensor on a reasonable basis. The licensor also reserved the right to impose regulations and policies that must be followed as a condition of continued enjoyment of the various rights of use. No duration of the rights granted is expressed within the agreement, but no reservation of the power to revoke such rights is maintained. [¶ 49] Upon review of each of the expressed terms and surrounding circumstances, we hold that the language utilized by the parties in the club use agreement evidences the intent of the parties to grant the rights inferred on a terminable basis and not in perpetuity. As such, we classify the club use agreement as a revocable license. Simply put, this agreement granted rights that were temporary in nature and could be unilaterally revoked at the will of the licensor.