Smedley v. City of Waldron United States Court of Appeals for the Eighth Circuit, 1984. Facts: In 1940, Hannah Smedley donated a portion of her land to the City of Waldron for its use as a reservoir site. The grant was subject to an agreement that the City would never “sell, transfer, convey, lease, rent or otherwise dispose of the lands…” In 1981, the City began to lease the land to Texas Oil and Gas Company. As result, Harry Smedley (plaintiff) brought suit for reconveyance and damages for the amount of money the City earned from the lease. Procedural History: Both parties filed motions for SJ. The district court granted D’s motion, holding that the agreement was an unenforceable restriction on the City’s ability to alienate its property interest. Issue: Is a restriction on the alienability of a property interest permissible when the grantee is a governmental unit and the grant is made for a public purpose? Holding: Yes, such a grant is permissible if it is necessary to ensure that the land is used subject to the grantor’s intent. The district court’s holding is overturned, and the case is remanded for a factual finding as to Hannah Smedley’s intent for the land.