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J. T. HOBBY & SON, INC. v. FAMILY HOMES, ETC.

No. 72.

274 S.E.2d 174 (1981)

J. T. HOBBY & SON, INC., a North Carolina Corporation (successor corporation to Hobco Building Company); Robert Montgomery Paynter and wife, Shirley L. Paynter; and, Thomas C. Bogle and wife, Sara M. Bogle, v. FAMILY HOMES OF WAKE COUNTY, INC., a North Carolina Corporation.

Supreme Court of North Carolina.

January 27, 1981.

Attorney(s) appearing for the Case

Seay, Rouse, Johnson, Harvey & Bolton by James L. Seay and Ronald H. Garber, Raleigh, for plaintiffs-appellees.

Theodore A. Nodell, Jr., Raleigh, and Smith, Moore, Smith, Schell & Hunter by McNeill Smith, Greensboro, for defendant-appellant.

Blanchard, Tucker, Twiggs, Denson & Earls by Charles F. Blanchard and Irvin B. Tucker, Jr., Raleigh, for the Ass'n for Retarded Citizens of North Carolina, Inc., amicus curiae.

Carolina Legal Assistance for Mental Health by Deborah Greenblatt, Raleigh, for the Governor's Advocacy Council for Persons with Disabilities, amicus curiae.

Merritt & Gaylor by Cecil P. Merritt, Goldsboro, for The Mental Health Ass'n in North Carolina, Inc., amicus curiae.

Van Camp, Gill & Crumpler, P.A., by Douglas R. Gill, Southern Pines, for Sandhills Mental Health Center, Inc., amicus curiae.

BRITT, Justice.

In deciding this appeal, we need to address only one issue: Did the Court of Appeals err in concluding that the restrictive covenant was violated by the "institutional" use of the property by defendant? We answer in the affirmative.

Our resolution of this issue turns upon our construction of two phrases contained in the restrictive covenant upon which plaintiffs rely: "residential purpose" and "single...

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