Justia Real Estate & Property Law Opinion Summaries

Neely, acting as his own general contractor, hired Grosvold to perform excavation work on his property under an oral contract. Grosvold worked from April to October 2021, but their relationship deteriorated, and Neely refused to pay for an invoice amounting to $55,858. Neely sent Grosvold a notice of alleged defects in the work, which Grosvold disputed. Grosvold then filed a complaint for breach of contract and prejudgment interest, while Neely counterclaimed for breach of contract, negligence, and construction defect.The District Court of the Third Judicial District in Anaconda-Deer Lodge County tried the case before a jury. The court refused to instruct the jury on Neely’s construction defect and negligence claims, reasoning that the evidence did not substantiate the work was done to a residence and that the case was strictly a breach of contract matter. The jury found Neely had breached the contract and awarded Grosvold $60,512.60 in damages. The court denied Grosvold’s request for prejudgment interest, finding the damages were not certain until the jury’s determination.The Supreme Court of the State of Montana reviewed the case. It affirmed the District Court’s decision not to instruct the jury on the construction defect claim, holding that the residential construction defect statute did not create an independent cause of action beyond breach of contract or tort. The court also affirmed the refusal to instruct the jury on negligence, finding that Neely’s substantial rights were not affected as the breach of contract instructions adequately covered the disputed subject matter. Finally, the court upheld the denial of prejudgment interest, concluding the amount of recovery was not capable of being made certain until the jury’s verdict. View "Grosvold v. Neely" on Justia Law

Brownphil, LLC and Peter Kofi Amihere Cudjoe have competing claims to ownership of an undeveloped lot in Bibb County. Both parties possess deeds to the property, but Cudjoe's deed lacks a continuous chain of title. Cudjoe claims ownership through adverse possession under color of title, while Brownphil argues that Cudjoe's involvement with the land is insufficient for adverse possession and asserts ownership through its deed and unbroken chain of title.The trial court granted summary judgment in favor of Cudjoe and denied Brownphil's motion. Brownphil appealed, and the Court of Appeals affirmed the trial court's decision. Brownphil then sought certiorari from the Supreme Court of Georgia, which was granted. The case was argued orally in December 2024.The Supreme Court of Georgia reviewed whether possession of a recorded deed is sufficient to establish both the notice and land-possession requirements of adverse possession under color of title. The court concluded that a recorded deed alone cannot establish the land-possession requirement for adverse possession. The court vacated the Court of Appeals' decision, which had incorrectly held that a recorded deed could establish constructive possession without actual possession of any part of the property. The case was remanded for further proceedings to determine if Cudjoe actually possessed the property or any portion of it. View "BROWNPHIL, LLC v. CUDJOE" on Justia Law

In 2017, Gratiot County foreclosed on Donald Freed’s home due to unpaid taxes. Freed’s property, valued at $98,800, was sold for $42,000, although he owed just under $1,110. The county kept all proceeds from the sale, as Michigan’s General Property Tax Act (GPTA) did not require returning surplus proceeds to the property owner. Freed sued Gratiot County and its treasurer, Michelle Thomas, under 42 U.S.C. § 1983, claiming a violation of the Fifth and Fourteenth Amendments. Michigan intervened to defend the GPTA’s constitutionality.The United States District Court for the Eastern District of Michigan dismissed Freed’s complaint for lack of subject matter jurisdiction, citing Wayside Church v. Van Buren County. Freed appealed, and the Sixth Circuit reversed the dismissal, recognizing that the Supreme Court’s ruling in Knick v. Township of Scott partially abrogated Wayside Church. On remand, the district court granted partial summary judgment to Freed, affirming that the county had to pay Freed the difference between the foreclosure sale and his debt, but dismissed claims against Thomas due to qualified immunity.The United States Court of Appeals for the Sixth Circuit reviewed the case and affirmed Freed’s entitlement to attorneys’ fees from Gratiot County and Michigan. However, the court vacated the district court’s fee calculation and remanded for further proceedings. The Sixth Circuit held that Freed prevailed against both Gratiot County and Michigan, and Michigan’s intervention under 28 U.S.C. § 2403(b) subjected it to attorneys’ fee liability. The court found the district court’s explanation for reducing Freed’s hours and rate by 35% insufficient and required a more detailed justification for the fee award calculation. View "Freed v. Thomas" on Justia Law

James and Kim McCormick own a 128.75-acre tract in Bossier Parish, Louisiana, accessed by a private driveway from Modica Lott Road. The property was part of a larger tract subdivided without adhering to the Bossier Parish Subdivision Code, which requires a plat description for split-out tracts. The McCormicks' deed, recorded in 2014, did not comply with these regulations. After a fire damaged their home in 2018, they applied for a building permit in 2020, which was denied by the Bossier Parish Police Jury (BPPJ) due to non-compliance with subdivision regulations.The McCormicks filed a mandamus action against Joe E. Ford, the Parish Engineer, seeking a court order for the permit. The trial court ruled in favor of the McCormicks, requiring the BPPJ to issue the permit, subject to certain conditions regarding the driveway. The Court of Appeal affirmed the trial court's decision to issue the permit but removed the conditions, stating that the five-year prescriptive period for enforcing subdivision regulations had expired, making the property non-conforming.The Supreme Court of Louisiana reviewed the case to determine if the McCormick Tract enjoyed non-conforming status under La. R.S. 9:5625, which provides a five-year prescriptive period for enforcement actions. The Court held that the prescriptive period began when the deed was recorded in 2014, and since no action was taken within five years, the property attained non-conforming status. Consequently, the McCormicks were entitled to the building permit without additional conditions. The Court affirmed the Court of Appeal's decision, confirming that the McCormick Tract complied with relevant statutes and regulations. View "MCCORMICK VS. FORD" on Justia Law

Edgar Sepulveda, as Trustee of the 7 Half Mile Road Living Trust, claimed ownership of a disputed area of land through adverse possession. The land in question bordered his property at 7 Half Mile Road and the property of John Buffum and Angie Salem at 5 Half Mile Road. Sepulveda argued that he had maintained the disputed area exclusively for over ten years. Buffum and Salem, who purchased their property in 2018, disputed this claim and sought a declaratory judgment and damages for trespass.The Superior Court held a bench trial and found in favor of Buffum and Salem. The trial justice determined that Sepulveda's use of the disputed area began only when he installed a new driveway in 2016 or 2017, which did not meet the ten-year requirement for adverse possession. The court also found Sepulveda's testimony lacking in credibility and ruled that Buffum and Salem had proven their claims of trespass and were entitled to declaratory relief.The Rhode Island Supreme Court reviewed the case and affirmed the Superior Court's judgments. The Supreme Court agreed with the trial justice's credibility assessments and found no clear error in the determination that Sepulveda failed to prove the elements of adverse possession. The court upheld the injunctions requiring Sepulveda to remove the encroaching driveway and prohibiting him from entering the disputed area. View "Sepulveda v. Buffum" on Justia Law

Cindy Thompson, individually and as heir of Charles Thompson, and CC & T Investments, LLC, sought to void a default judgment and a subsequent purchaser’s deed, claiming the taxing authorities failed to properly serve her with suit papers, leading to foreclosure of tax liens. The subsequent purchaser, Mae Landry, argued that Thompson had notice of the property’s sale years before the collateral attack.The trial court sustained the collateral attack, setting aside the default judgment and tax sale. The Court of Appeals for the First District of Texas reversed, holding that fact issues exist regarding the adequacy of service in the underlying tax suit. The subsequent purchaser petitioned for review, asserting that the owner’s notice of the property’s sale years earlier defeats her claim as a matter of law.The Supreme Court of Texas held that a property owner may not set aside a subsequent property purchase on due process grounds if the owner obtained notice of the default judgment or the property’s sale during the statutory limitations and redemption period. Such an owner has notice of any due process violation in time to assert a legal remedy. Additionally, a subsequent purchaser may advance equitable defenses against a collateral attack if a prior owner unreasonably delays, to the current owner’s detriment, in suing to quiet title after obtaining notice of the judgment or the property’s sale. However, the evidence in this case fails to conclusively demonstrate the date of such notice.The Supreme Court of Texas affirmed the judgment of the court of appeals and remanded the case to the trial court for further proceedings. View "THOMPSON v. LANDRY" on Justia Law

Two property owners in the extraterritorial jurisdiction (ETJ) of College Station, Texas, challenged city ordinances regulating off-premise signage and driveway construction. They argued that these regulations, imposed without granting them the right to vote in city elections, violated the Texas Constitution's requirement for a "republican form of government." The plaintiffs sought a declaration that the ordinances were void and unenforceable.The trial court dismissed the case with prejudice, agreeing with the City that the form of local government is a political question for the legislature, not the courts. The plaintiffs appealed, but while the appeal was pending, the legislature amended the law to allow ETJ residents to unilaterally opt out of a city's ETJ. The Court of Appeals for the Sixth District of Texas affirmed the trial court's dismissal, not addressing the new statutory opt-out provision.The Supreme Court of Texas reviewed the case and determined that the legislative change provided a nonjudicial remedy that could moot the plaintiffs' constitutional claims. The court vacated the lower court judgments and remanded the case to the trial court with instructions to abate the proceedings, allowing the plaintiffs a reasonable opportunity to complete the opt-out process. The court emphasized the importance of judicial restraint and constitutional avoidance, noting that the new law offered a means of relief that should be pursued before addressing broader constitutional questions. View "ELLIOTT v. CITY OF COLLEGE STATION, TEXAS" on Justia Law

In February 2014, Clint Shalla entered into a debt settlement agreement with Greg and Heather Koch to prevent a foreclosure on his farm. The Kochs agreed to purchase the farm and give Clint an exclusive option to repurchase it by August 15, 2015, with written notice and financing commitment. Clint's wife, Michelle, was not a party to the agreement but conveyed her marital interest in the property. Clint sought financing from Christopher Goerdt, then president of Peoples Trust and Savings Bank, who allegedly agreed to secure financing. Clint missed the option deadline, and the Kochs later agreed to sell the farm for a higher price. Goerdt, who had moved to County Bank, secured financing for the Shallas, but was later found to be involved in fraudulent activities.The Iowa District Court for Washington County granted partial summary judgment in favor of Peoples Bank, dismissing Michelle's fraudulent misrepresentation claim. The court later reconsidered and dismissed the Shallas' negligence and fraudulent misrepresentation claims, citing Iowa Code section 535.17. The court ruled in favor of County Bank in the foreclosure action and found Goerdt liable for conversion. The Shallas appealed, and the Iowa Court of Appeals affirmed the district court's judgment, with a dissent on the application of the statute of frauds.The Iowa Supreme Court reviewed the case and affirmed the lower courts' decisions. The court held that Iowa Code section 535.17, the credit agreement statute of frauds, barred the Shallas' claims for negligence and fraudulent misrepresentation. The court concluded that the statute applies to all actions related to unwritten credit agreements, regardless of whether the claims are framed in contract or tort. The case was remanded to the district court for a determination of County Bank's attorney fees, including appellate attorney fees. View "County Bank v. Shalla" on Justia Law

Shanda Yates was bitten by a pit bull named Yurk while visiting her friend Neah Friar, who rented a property from TLM Investments, LLC. Friar's lease had a no-pet provision, which she disregarded by keeping Yurk and concealing his presence from TLM. Yates filed a personal injury claim against both Friar and TLM, alleging negligence on TLM's part for allowing Yurk on the property and claiming protections under the lease.The Prentiss County Circuit Court denied TLM's motion for summary judgment, leading to an interlocutory appeal. TLM argued that it had no knowledge of Yurk's presence or his dangerous propensities, as Friar had intentionally concealed the dog. TLM also contended that Yates failed to establish herself as an intended third-party beneficiary under the lease.The Supreme Court of Mississippi reviewed the case de novo and found that Yates did not provide evidence that TLM had actual or constructive knowledge of Yurk or his dangerous propensities. The court noted that the no-pet provision in the lease was not an admission that all dogs are dangerous but was intended to prevent property damage. Additionally, the court found that Yates did not have standing to claim protections under the lease as she was not a party to it and was not an intended third-party beneficiary.The Supreme Court of Mississippi reversed the trial court's denial of summary judgment, rendered summary judgment in favor of TLM, and remanded the case to the Prentiss County Circuit Court for any necessary further proceedings. The case against TLM was dismissed with prejudice. View "TLM Investments, LLC v. Yates" on Justia Law

In June 2020, the North Dakota Department of Health inspected ND Indoor RV Park, LLC and found several health, safety, and fire code violations. The Park was informed that its 2020 operating license would be revoked unless the violations were corrected. The Park did not address the violations, leading to the initiation of the license revocation process. The Park also requested a renewal of its license for 2021, which was denied due to the existing violations. The Park was allowed to operate until the hearing proceedings were final. The Park later withdrew its request for a hearing, and the Department of Health dismissed the renewal application and closed the case. Subsequently, the Park sold its property.The Park filed a complaint against the State of North Dakota, alleging regulatory taking, deprivation of substantive and procedural due process, inverse condemnation, unlawful interference with business relationships, systemic violation of due process, and estoppel. The State moved for judgment on the pleadings, claiming qualified immunity for individual defendants and lack of subject matter jurisdiction on the takings claims. The district court denied the State’s motion for summary judgment on the takings and due process claims but granted summary judgment on the unlawful interference claim. The remaining claims were dismissed by stipulation.The North Dakota Supreme Court reviewed the case. The court granted a writ of supervision, directing the district court to dismiss counts II and III because the individual defendants were entitled to qualified immunity. The court also directed the dismissal of counts I and IV for lack of subject matter jurisdiction, as the Park failed to exhaust administrative remedies. The court concluded that the Park could not prevail on its substantive and procedural due process claims and that the district court lacked jurisdiction over the takings claims. View "ND Indoor RV Park v. State" on Justia Law