Justia Real Estate & Property Law Opinion Summaries

Articles Posted in March, 2013
by
El Dorado Land Company sold property to the City of McKinney for use as a park. El Dorado's special warranty deed provided that the conveyance was subject to the restriction that the community only be used for that purpose. If the City decided not to use the property as a community park, the deed granted El Dorado the right to purchase the property. Ten years after acquiring the property, the City built a public library on part of the land. El Dorado notified the City it intended to exercise its option to purchase, but after the City failed to acknowledge El Dorado's rights under the deed, El Dorado sued for inverse condemnation. The trial court sustained the City's plea to the jurisdiction, finding that El Dorado's claim did not involve a compensable taking of property but, rather, a breach of contract for which the City's governmental immunity had not been waived. The court of appeals affirmed. The Supreme Court reversed, holding that, in its deed to the City, El Dorado retained a reversionary interest in the property that was a property interest capable of being taken by condemnation. Remanded. View "El Dorado Land Co., LP v. City of McKinney" on Justia Law

by
In 2001, Plaintiff offered to purchase a commercial property. Defendant was the real estate agent who prepared the offer. The sellers accepted the offer to purchase and prepared a property disclosure statement in compliance with the contract requirement. Plaintiff became the sole owner of the property in 2004. Two years later, Plaintiff discovered three inches of water in the building basement that had leaked through the west wall of the foundation of the building. In 2012, Plaintiff filed a complaint against Defendant, alleging he was negligent in failing to provide the property disclosure statement. The district court dismissed the action on account of the two-year statute of limitations having expired. Plaintiff appealed, arguing that the district court erred in ruling that Defendant had no duty to disclose or provide the property disclosure statement. The Supreme Court dismissed the case due to Plaintiff's failure to challenge the statute of limitations ruling by the district court. The Court also noted that the district court acknowledged that Defendant owed Plaintiff a duty to deliver the disclosure statement. View "Ferrell v. Knighten" on Justia Law

by
The Lloyds owned property abutting property owned by the Bardorfs. Both properties were zoned R-10. The Bardorfs filed an application for a special-use permit proposing the removal of a deck and an existing two-story addition on the rear of their home and the construction of an addition and a deck. The Lloyds objected to the application. The city's zoning board of review (board) granted the special-use permit. The superior court affirmed the board's decision. The Supreme Court affirmed, holding (1) the board and trial justice did not err in applying the standard governing a special-use permit to the Bardorfs' application, as the appropriate form of relief for a party seeking to expand a dimensionally noncomforming structure is a special-use permit; (2) neither the superior court nor the board erred in allowing the Bardorfs to utilize expanded lot coverage authorized by a 1992 dimensional variance; (3) because the zoning ordinance does not contemplate a calculation of building mass or three-dimensional spaces in the criteria for alterations of dimensionally noncomforming structures, the trial justice did not err in finding the addition would intensify the nonconformity associated with lot building coverage; and (4) legally competent evidence supported the trial justice's findings. View "Lloyd v. Zoning Bd. of Review for City of Newport" on Justia Law

by
United States Cold Storage (Cold Storage) and Sanitary and Improvement District No. 59 of Sarpy County (SID 59) filed complaints challenging separate annexation ordinances enacted by the City of La Vista. The ordinances at issue were ordinance 1142 and ordinance 1107, together which purported to annex SID 59 in its entirety, including an industrial area. The district court found in favor of La Vista on all claims. The Supreme Court affirmed, holding that the district court did not err in upholding the validity of both ordinance 1007 and ordinance 1142 adopted by La Vista for the annexation of SID 59. View "U.S. Cold Storage, Inc. v. City of La Vista" on Justia Law

by
Property owners (Owners) had a lengthy dispute with Linn County over whether houses they had built were subject to the County's zoning and subdivision ordinances. In two separate decisions, the Linn County Board of Adjustment (Board) (1) denied an agricultural exemption for a six-acre parcel that included Owners' residence, and (2) denied an agricultural exemption for a second house on a forty-three-acre parcel that Owners argued was an additional farmhouse. The district court found that substantial evidence support both decisions of the Board and denied Owners' petitioners for writ of certiorari. The court of appeals affirmed. The Supreme Court affirmed, holding that substantial evidence supported the Board's determinations that the houses at issue were not "primarily adopted, by reason of nature and area, for use for agricultural purposes." View "Lang v. Linn County Bd. of Adjustment" on Justia Law

by
This was an appeal of an order setting aside a sheriff's sale of real property. The respondents, Earline Chance and Leon Phillips who were deed of trust beneficiaries and judgment creditors, failed to attend or bid at the sheriff's sale but claimed the successful bidder, appellant Roy Jacobson, obtained the property for a grossly inadequate price. The district court agreed and set the sale aside. Upon review, the Supreme Court found that the district court indeed erred in setting aside the sheriff's sale, and reversed. View "Phillips v. Jacobson" on Justia Law

by
The plaintiffs in this case appealed the grant of summary judgment upholding the validity of a bank's mortgage in real property that the plaintiffs had sold to a mortgagor in exchange for an interest in an investment account that turned out to be a Ponzi scheme. Plaintiffs filed an action against other parties to their transaction including the Bank of Commerce arguing, among other things, that they were entitled to rescind the sale of a portion of their property for lack or failure of consideration and mutual mistake ("They argue[d] that they did not receive any consideration because the . . . interest in their investment account with the Trigon Group turned out to be worthless. Mr. Harris testified that he 'assumed that was real money, which it later proved out not to be.'"). Finding no error in the district court's judgment, the Supreme Court affirmed the lower court. View "Harris v. Bank of Commerce" on Justia Law

by
Subdivision developers Buckskin Properties, Inc. and Timberline Development, LLC (collectively Buckskin) brought suit against Valley County seeking recovery of monies paid to the County for road development, and declaratory relief from payment of any further monies. The district court granted summary judgment to the County and Buckskin appealed. Upon review, the Supreme Court concluded that a governing board may lawfully make a voluntary agreement with a land developer for the funding and construction of new infrastructure. Accordingly, the Court affirmed the grant of summary judgment to the County. View "Buckskin Prop v. Valley County" on Justia Law

by
Two couples owned adjoining lots in Anchorage, located directly north and south of each other. Title to the southern lot originated from a federal land patent, which reserved a right-of-way across the northern boundary of the lot. A road ran through the right-of-way. The owners of this lot proposed to build a fence with a locked gate along the northern boundary of their lot. The fence would have impeded access to a cleared area on the northern neighbors' lot that the neighbors used for parking and storage. The northern neighbors obtained a permanent injunction preventing this limitation on access to the southern part of their lot. The southern neighbors appealed, arguing that the superior court denied them due process or, alternatively, erred in finding that their lot was subject to a public right-of-way. Because the superior court made no findings whether the federal land patent's right-of-way offer of a common law dedication was accepted, the Supreme Court remanded the case back to the superior court to determine whether there has been acceptance of the offer of dedication. View "McCarrey v. Kaylor" on Justia Law

by
The State of Alaska Department of Natural Resources, Oil and Gas Division (DNR), petitioned the Supreme Court for review of a superior court decision that under AS 38.05.035, the lack of continuing best interest findings (BIF) at each phase of an oil and gas project violated article VIII of the Alaska Constitution and that the DNR must issue a written best interest finding at each step of a phased project to satisfy the constitution. Because best interest findings after the lease sale phase are not required under the Alaska Constitution or AS 38.05.035, the Supreme Court reversed the superior court's ruling. Furthermore, the Court held that the State was constitutionally required to consider the cumulative impacts of an oil and gas project at its later phases. View "Sullivan v. Resisting Environmental Destruction on Indigenous Lands" on Justia Law