Justia Real Estate & Property Law Opinion Summaries

Articles Posted in July, 2012
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This case concerned the ownership status of Coolwater Ridge Road in Idaho County. The predecessors in interest of appellant Paddison Scenic Properties, Family Trust, L.C. granted rights of way to the United States for a road which became Coolwater Ridge Road. In the district court, Paddison sought a declaratory judgment that the rights of way did not constitute a public road or highway under Idaho law. That court held that the rights of way were public because the criteria for common law dedication were met. Upon review, the Idaho Supreme Court vacated the district court's judgment because it concluded this case was not ripe for adjudication. View "Paddison Scenic Properties Family Trust v. Idaho County" on Justia Law

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This case concerned an appeal by Frank and Gayle Marek (the Mareks) of the district court's decision and judgment decreeing the locations of two boundary lines in dispute between the Mareks and Earl and Sandra Lawrence. Because the deed at issue in this appeal was unambiguous, the Supreme Court found that the district court impermissibly consulted evidence outside of the language of the deed. The Court remanded the case for further proceedings. View "Frank Ronald Marek v. Earl A. Lawrence" on Justia Law

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This appeal arose from a dispute between two competing creditors, DAFCO, LLC, and New Phase Investments, LLC. DAFCO appealed the district court's determination on summary judgment that DAFCO's deed of trust, although first recorded, was void under I.C. 32-912 because it encumbered community real property but was not signed by both spouses. Because I.C. 32-912 was enacted for the protection of the community rather than third-party creditors, the Supreme Court found that New Phase could not invoke that statute to void DAFCO's competing encumbrance. Accordingly, the Court reversed: the district court erred in declaring DAFCO's trust deed void under that statute at New Phase's request. View "New Phase Investments v. Jarvis" on Justia Law

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Plaintiffs Paul Trunell and Bill Lomu appealed a district court's ruling against them in their request for injunctive relief. Plaintiffs' complaint alleged the existence of a public road across Defendant Verna Fergel's property, and that she denied access to the road causing damage to Plaintiffs. The district court held that Defendant was a bona fide purchaser for value, and that she did not have actual or constructive notice of the public nature of the road when she purchased the property. Upon review of the trial court record, the Supreme Court found that the "bona fide purchaser for value" defense was not available to Defendant as it would have constituted an abandonment of the road in contravention to Idaho law. The Court therefore reversed the district court's holding and remanded the case for further proceedings. View "Trunnell v. Fergel" on Justia Law

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Defendants Jay and Theresa Knowlton appealed the grant of summary judgment in favor of Plaintiffs-Appellants Tapadeera, LLC and Cary Hamilton (d/b/a C&J Construction) on their claim that Defendants prevented Plaintiffs from performing a settlement agreement to resolve a lawsuit between the parties. Tapadeera owned a parcel of property that had been platted as one lot. Tapadeera sold the property as two parcels -a two-acre parcel and a six-acre parcel purchased apparently under a real estate contract. The purchasers had a modular home placed on the two-acre parcel, but they failed to make the payments due in both transactions. As a result, the lender foreclosed on the two-acre parcel, and Tapadeera regained title to the six-acre parcel. Defendants desired both parcels to construct a home. They purchased the two-acre parcel from the bank, and contracted with Tapadeera to purchase the six-acre parcel. After making several payments under the contract, Mr. Knowlton contacted Cary Hamilton, Tapadeera's president, to determine the amount necessary to pay the contract in full. Mrs. Knowlton recorded the deed, and the Knowltons stopped payment on the check when they discovered that they could not obtain a building permit for the six-acre parcel because it had been wrongly divided from the two-acre parcel. For over four years, neither party took any action regarding this transaction. Eventually the parties sought to finish the deal, and it headed to court. Mr. Hamilton agreed to fix the subdivision problem and the Knowltons agreed to pay the balance owing. However, when notice of the subdivision was mailed to adjacent and affected property owners, the Knowltons were omitted from the notice. They learned of the hearing regarding the subdivision after it was over; they gave notice that they were withdrawing their subdivision application. The court held that the county's approval of the subdivision application was a condition precedent to the Knowltons' obligation to pay the balance, but that they had wrongfully prevented performance of that condition by withdrawing the subdivision application. The Knowltons moved for reconsideration which was denied. Upon review, the Supreme Court affirmed: "This case illustrates the time and expense that can be wasted when the parties fail to exercise common sense to resolve an issue. Clearly, Tapadeera should have had the lot subdivided in connection with the first sale. When the issue arose after the sale of the six-acre parcel to the Knowltons, the parties should have met and agreed to the resolution they reached six years later. Once they did so, they both should have been reasonable in doing whatever was necessary to effectuate the replatting of the lot." View "Tapadeera v. Knowlton" on Justia Law

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This matter arose out of a dispute between Silver Eagle Mining Co. (Silver Eagle) and the State of Idaho (State) regarding ownership of property in Shoshone County on which Silver Eagle had located sixteen mining claims. After Silver Eagle filed an action against the State to quiet title in the mining claims, the district court granted summary judgment in favor of the State on the ground of claim preclusion because the Department of the Interior Board of Land Appeals (IBLA) had previously found Silver Eagle's mining claims void ab initio. Silver Eagle appealed, arguing that claim preclusion did not apply because the IBLA decision did not address the same claim as Silver Eagle's action against the State. Additionally, Silver Eagle contended that the State was collaterally estopped from asserting title to the subject property and asked the Supreme Court to vacate the judgment of the district court and enter judgment in its favor. Upon review, the Supreme Court concluded that res judicata indeed precluded Silver Eagle from relitigating its interest in the subject mining claims. The Court affirmed the district court's judgment. View "Silver Eagle Mining Co v. Idaho" on Justia Law

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Town Creek Water Management District of Lee, Pontotoc, Prentiss, and Union Counties ("Town Creek") appealed a decision of the Lee County Chancery Court that awarded compensatory and punitive damages, attorney fees, and prejudgment interest to the Webbs for Town Creek's wrongful taking of the their property. The case was before the trial court on remand from the Supreme Court's reversal of an earlier grant of summary judgment for Town Creek, with an instruction to conduct a trial on all issues. Upon review, the Supreme Court found that the trial court erred by limiting the trial to damages alone, rather than holding a trial on all issues. Accordingly, the Court reversed the trial court's judgment and remanded the case to the Lee County Chancery Court for a trial on all issues. View "Town Creek Master Water Mgmt. Dist. of Lee, Pontotoc, Prentiss, and Union Counties v. Webb" on Justia Law

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John Miller and J.D. Miller Farming Association (collectively "Miller") appealed an order that affirmed the Walsh County Water Resource District's decision requiring Miller to remove unpermitted dikes from his property located in Forest River Township. Upon review of the matter, the Supreme Court affirmed, concluding Miller failed to establish that the District acted arbitrarily, capriciously or unreasonably, that there was not substantial evidence to support its decision, or that the District was estopped from requiring removal of the dikes. View "Miller v. Walsh County Water Resource District" on Justia Law

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In 2008, Stearns County changed the tax classification of property co-owned by Respondent from residential nonhomestead to commercial. Respondent filed a petition under Minn. Stat. 278.01, claiming the property was misclassified, unequally assessed, and undervalued. The tax court dismissed the petition as untimely. Respondent did not appeal from the tax court's dismissal of its petition and instead filed a verified claim under Minn. Stat. 278.14 for a refund of taxes paid in 2009, claiming the property was misclassified for taxes payable in 2009. The County denied the refund claim. The tax court denied the County's motion to dismiss the section 278.14 appeal (Matter A11-1479). In the meantime, Respondent filed a timely petition under Minn. Stat. 278.01 with respect to property taxes assessed in 2009. The tax court ruled the property was properly classified as residential nonhomestead, its original classification (Matter A11-1480). The County petitioned for writ of certiorari in both matters. The Supreme Court dismissed the writs of certiorari, concluding that it lacked jurisdiction in each case. View "Beuning Family LP v. County of Stearns" on Justia Law

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Plaintiffs, successors in title to land located in Arkansas, brought a declaratory judgment action in Arkansas state court against AgriBank, FCB, seeking to quiet title to oil and gas rights that AgriBank held in Plaintiffs' land. AgriBank removed the case to federal district court. The district court granted AgriBank's motion to dismiss, identifying two bases on which to do so: (1) that a regulation promulgated by the Farm Credit Administration (FCA) specifically approved the sort of ownership interests held by AgriBank that Plaintiffs now attacked; and (2) that the challenge to AgriBank's oil and gas rights was based on a repealed act of Congress. The Eighth Circuit Court of Appeals affirmed, holding that the district court correctly dismissed the case under its first rationale, as the reservations at issue enjoyed the FCA's approval. View "Nixon v. AgriBank, FCB" on Justia Law