Justia Real Estate & Property Law Opinion Summaries
Articles Posted in California Courts of Appeal
The Regents of the University of California v. Superior Court
The Regents of the University of California (Regents) approved the construction of a new hospital at the University of California San Francisco (UCSF) Parnassus Heights campus. The proposed hospital was alleged to exceed local building height and bulk restrictions. The Parnassus Neighborhood Coalition (the Coalition), a group of property owners residing near the proposed hospital, sued to halt the construction, claiming it was a “threatened nuisance per se.” The Regents argued that as a state entity, they were immune from complying with local building and zoning regulations when engaging in a governmental activity such as constructing university buildings.The trial court disagreed with the Regents, concluding that their immunity depended on whether the proposed construction constituted a governmental or proprietary activity, a question of fact that could not be resolved on a demurrer. The Regents petitioned for a writ of mandate to vacate the trial court’s order.The Court of Appeal of the State of California First Appellate District Division Three reviewed the case. The court concluded that the proposed hospital would facilitate the provision of clinical services, thereby advancing UCSF’s academic mission and the Regents’ educational purpose, which is a governmental activity. The court held that the Regents are exempt from the local regulations at issue, and the demurrer should have been sustained. The court issued the writ of mandate, directing the trial court to vacate its order denying the Regents’ demurrer and to enter a new order sustaining the demurrer. View "The Regents of the University of California v. Superior Court" on Justia Law
Cohen v. Superior Court
This case involves a dispute between neighbors over alleged violations of the Los Angeles Municipal Code (LAMC) related to landscaping and hedges. The plaintiffs, Thomas and Lisa Schwartz, claimed that their neighbors, Charles and Katyna Cohen, violated certain provisions of the LAMC by maintaining landscaping and hedges on their property that exceeded height limits and were non-compliant with the Residential Parkway Landscaping Guidelines. The Schwartzes sought redress for these alleged violations under Government Code section 36900, subdivision (a), which provides that a violation of a city ordinance may be redressed by civil action.The trial court sustained the Cohens' demurrer to the Schwartzes' first and fourth causes of action, but overruled the demurrer to the second and third causes of action, which were based on alleged violations of the LAMC. The trial court relied on a previous decision, Riley v. Hilton Hotels Corp., which held that anyone can sue to redress violations of municipal ordinances under section 36900. The Cohens petitioned for a writ of mandate to direct the trial court to vacate its order overruling their demurrer to the second and third causes of action and to enter an order sustaining their demurrer to these causes of action without leave to amend.The Court of Appeal of the State of California, Second Appellate District, Division Four, granted the Cohens' petition. The court disagreed with the interpretation of section 36900 in Riley, finding that the statute only grants city authorities, not private parties, the right to redress violations of municipal ordinances via either criminal prosecution or civil action. The court overruled Riley and held that section 36900 does not authorize private parties to bring civil suits to enforce local ordinances. The court clarified that its holding does not disturb caselaw recognizing that a defendant's violation of a local ordinance may be relevant to, or provide an element of, some other cause of action by a private party, such as nuisance or public nuisance. The court directed the trial court to vacate its order overruling the Cohens' demurrer to the second and third causes of action and to enter an order sustaining their demurrer to these causes of action without leave to amend. View "Cohen v. Superior Court" on Justia Law
CBRE v. Superior Court
Jake Johnson, an electrician, was injured while working on a construction project in a building owned by Property Reserve, Inc. (PRI) and managed by CBRE. Johnson was employed by PCF Electric, a subcontractor hired by Crew Builders, the general contractor for the project. Johnson filed a complaint against PRI, CBRE, Crew, and PCF for damages. PRI and CBRE moved for summary judgment based on the Privette doctrine, which generally protects entities that hire independent contractors from liability for injuries sustained by the employees of the independent contractor. The trial court denied the motion, finding a triable issue of fact as to when PRI and CBRE hired Crew for the project.The trial court's decision was based on the execution date of the written contract between PRI, CBRE, and Crew. The court found that there was a triable issue of fact as to when PRI and CBRE hired Crew for the project. The court also granted Crew’s and PCF’s motions for summary judgment, concluding that the Privette doctrine barred Johnson’s claims against them.The Court of Appeal, Fourth Appellate District Division One, disagreed with the trial court's decision. The appellate court found that a written contract is not required to invoke the Privette doctrine, and the undisputed facts established that PRI and CBRE delegated control over the tenant improvements to Crew prior to Johnson’s injury. The court also found that no exception to the Privette doctrine applied. The court concluded that no triable issues of material fact precluded summary judgment and granted PRI and CBRE’s requested relief. View "CBRE v. Superior Court" on Justia Law
Simple Avo Paradise Ranch, LLC v. Southern Cal. Edison Co.
This case involves a dispute between Simple Avo Paradise Ranch, LLC (Simple Avo), an avocado farm, and Southern California Edison Company (SCE), a utility company. Simple Avo claimed that SCE was responsible for damages caused by the 2017 Thomas Fire in Southern California due to SCE's alleged negligence in maintaining its electrical infrastructure. The case was part of a larger coordinated proceeding involving hundreds of similar lawsuits against SCE.Before Simple Avo filed its lawsuit, the trial court had overruled SCE's demurrer to the cause of action for inverse condemnation in the master complaints filed by each of the plaintiff groups. Simple Avo did not participate in the briefing or argument on SCE’s demurrer before the trial court. Instead, Simple Avo and SCE settled for an undisclosed amount and entered into a stipulated judgment whereby SCE would pay $1.75 million to Simple Avo on the inverse condemnation claim, subject to SCE’s appeal of the demurrer ruling.The Court of Appeal of the State of California, Second Appellate District, Division Seven, affirmed the lower court's decision. The court held that the stipulated judgment was appealable and justiciable, and that the trial court correctly overruled the demurrer. The court found that SCE could be liable for inverse condemnation as a public entity, and that the master complaint sufficiently alleged a cause of action for inverse condemnation. View "Simple Avo Paradise Ranch, LLC v. Southern Cal. Edison Co." on Justia Law
California Specialty Insulation, Inc. v. Allied World Surplus Lines Insurance Co.
This case revolves around a dispute between California Specialty Insulation, Inc. (CSI) and Allied World Surplus Lines Insurance Company (Allied World) over a commercial general liability insurance policy. The policy was issued by Allied World to CSI. The dispute arose when Allied World refused to defend and indemnify CSI against a negligence claim following a construction site accident. The parties disagreed on whether one of the policy’s exclusions for bodily injury liability applied in this situation. The policy excluded coverage for bodily injury to the employees of any “contractor,” but the term “contractor” was not defined in the policy. Allied World argued that the term was unambiguous and the exclusion precluded coverage for the negligence claim, while CSI argued that the term was ambiguous and the exclusion did not apply to the negligence claim.The trial court ruled in favor of CSI, granting its motion for summary judgment and denying Allied World’s. The court found that the term “contractor” in the disputed exclusion was ambiguous and interpreted the term in favor of CSI.The Court of Appeal of the State of California Second Appellate District Division Seven affirmed the trial court's decision. The appellate court agreed with the trial court that the term “contractor” in the disputed exclusion was ambiguous. The court interpreted the term based on CSI’s objectively reasonable expectations and concluded that the exclusion did not apply to the negligence claim in question. Therefore, Allied World was obligated to defend and indemnify CSI against the negligence claim. View "California Specialty Insulation, Inc. v. Allied World Surplus Lines Insurance Co." on Justia Law
Malmquist v. City of Folsom
The case involves a class action lawsuit filed by plaintiff Harold Malmquist against the City of Folsom (City). The plaintiff alleged that the City failed to maintain proper corrosion control measures at its water treatment plant, causing the pH level of its water to rise and become corrosive. This, in turn, led to pinhole leaks in copper pipes receiving the water, damaging persons and property. The plaintiff sought class certification, defining the class as all individuals and entities who have owned or leased real property in the City, plumbed with copper piping receiving water from the City’s plant since February 23, 2015.The trial court denied the plaintiff's motion for class certification. The court found that the plaintiff had not shown that common issues predominated over individual ones. The court reasoned that the existence, cause, and extent of damage to copper piping required individual proof. The court also overruled the plaintiff's objections to the City's expert witness, concluding that the expert was qualified and his opinion was founded on reliable information.On appeal, the Court of Appeal of the State of California Third Appellate District affirmed the trial court's decision. The appellate court found that the trial court did not abuse its discretion in denying class certification. The court agreed with the trial court's conclusion that individual issues predominated over common ones. The court also found no error in the trial court's decision to overrule the plaintiff's objections to the City's expert witness. The court concluded that the expert was qualified and his opinion was founded on reliable information. View "Malmquist v. City of Folsom" on Justia Law
Equinix LLC v. County of Los Angeles
In 2015, GPT Maple Avenue Owner, LP (GPT) purchased a property that was subject to a lease to Equinix, LLC (Equinix). At the time of GPT’s acquisition, the remaining term of the lease was 26 years. The Los Angeles County Assessor’s Office (Assessor) determined that GPT’s acquisition resulted in a “change in ownership” permitting reassessment for property tax purposes because, at the time of the sale, the remaining term of the lease was under 35 years. This was based on the statutes implementing Proposition 13, which state that whether the transfer of a lessor’s interest in taxable real property results in a change in ownership generally depends on the length of the remaining lease term at the time of the transfer.Equinix appealed the Assessor’s 2015 change in ownership determination to the Los Angeles County Assessment Appeals Board, which found in favor of the county. Equinix and GPT then presented a refund claim to the county, which the county denied. Equinix and GPT filed a lawsuit, and the trial court ruled in favor of the county, concluding that, under the “express language” of the relevant statutes, the sale of the Property to GPT in March 2015 resulted in a change in ownership because at the time of sale the remaining term of Equinix’s lease was less than 35 years.In the Court of Appeal of the State of California Second Appellate District Division One, the court affirmed the trial court’s decision. The court found that under the unambiguous language of the relevant statute, the 2015 transaction is a change in ownership permitting reassessment. The court rejected the appellants' arguments that the statute is inconsistent with Proposition 13 and another section in the statutory scheme. The court also rejected the appellants' argument that the statute is inconsistent with the overarching rules set forth in another section of the law. The court concluded that the Legislature was not required to adhere to the task force’s recommendations and that the statute as enacted did not render the law illogical. View "Equinix LLC v. County of Los Angeles" on Justia Law
Sam v. Kwan
The case revolves around a dispute between Anthony Sam and Renee Kwan, who formed a limited liability company (LLC) and purchased a parking lot. Sam alleged that Kwan, without his knowledge, sold the lot for a significant profit, fabricated documents, and pocketed the money without giving him anything. Sam sued Kwan, her entities, the company providing title and escrow services for the sale, and the parking lot buyer. The trial court ruled against Sam, denying him any remedy.The trial court's decisions were largely unfavorable for Sam. It denied First American's motion for summary judgment but granted the Board's motion for summary judgment. The court also granted judgment on the pleadings to various defendants, including Fidelity, First American, Kwan, Vibrant, Asset, 600 LLC, and Holdings. The court sustained Fidelity's demurrer in part with leave to amend and in part without leave to amend. Sam appealed these decisions.The Court of Appeal of the State of California Second Appellate District Division Eight affirmed some of the trial court's rulings but reversed others. The appellate court reversed the denial of Sam's leave to amend his claims on behalf of 2013 LLC and remanded to permit Sam to bring these claims on behalf of the member entities. The court also reversed the remainder of the grants of judgment on the pleadings, except as to the breach of contract claims based on the operating agreements of 600 LLC and Holdings against 600 LLC and Holdings. The court affirmed the ruling that the breach of contract claims based on the operating agreements of 600 LLC and Holdings against 600 LLC and Holdings cannot be amended to state viable claims. The court reversed the sustaining of Fidelity's demurrer as to the civil conspiracy cause of action. Finally, the court reversed the grant of the Board's summary judgment motion. View "Sam v. Kwan" on Justia Law
Mission Springs Water Dist. v. Desert Water Agency
The case revolves around a dispute between two local water management agencies, Mission Springs Water District (Mission Springs) and Desert Water Agency (Desert Water), over who should be the regional groundwater sustainability agency (GSA) responsible for managing groundwater in the Coachella Valley region of Riverside County, California. The dispute arose from the implementation of the Sustainable Groundwater Management Act, which requires the creation of GSAs to manage groundwater basins. Desert Water claimed to be the exclusive GSA within its statutory boundaries, which encompass most of Mission Springs' boundaries. Mission Springs challenged this claim and also sought resolution of competing claims to GSA authority for an additional three-square-mile area outside of Desert Water’s statutory boundaries.The Superior Court of Riverside County ruled in favor of Desert Water and the California Department of Water Resources (the Department), denying Mission Springs' petition for a writ of mandamus. Mission Springs appealed the decision.The Court of Appeal, Fourth Appellate District Division One State of California, affirmed the lower court's decision. The court found that Desert Water did not violate any provisions of the Water Code by becoming a GSA. It also found that Desert Water did not form a new public corporation or public agency within Mission Springs’ jurisdiction by becoming a GSA, and therefore did not violate section 30065 of the Water Code. The court further held that the Department did not err in posting Desert Water’s notice of intent to become a GSA, as Desert Water had complied with all notice requirements. Finally, the court found that the Department was not responsible for resolving the overlapping claims to the three-square-mile area, as the Act requires the agencies to resolve this dispute themselves. View "Mission Springs Water Dist. v. Desert Water Agency" on Justia Law
Howard v. Accor Management US
In March 2017, Monique Howard, the plaintiff, stayed at a hotel operated by the defendant, Accor Management US, Inc. During her stay, the handheld shower head in her room fell apart, cutting her and causing her to fall. Howard subsequently sued the hotel for negligence and premises liability. The defendant moved for summary judgment, arguing that the plaintiff could not establish that the hotel had actual or constructive notice of any problem with the handheld shower head. The Superior Court of Los Angeles County granted summary judgment, concluding that the plaintiff did not provide evidence to establish a triable issue of material fact regarding the hotel's notice of the shower head's unsafe condition.On appeal to the Court of Appeal of the State of California Second Appellate District Division Eight, the plaintiff argued that summary judgment was inappropriate because her evidence raised triable issues regarding the hotel's knowledge of the unsafe shower wand. She also argued that the doctrine of res ipsa loquitur applied. However, the appellate court affirmed the trial court's decision, stating that the plaintiff's evidence was insufficient to raise a triable issue on notice. The court also rejected the application of the doctrine of res ipsa loquitur. Regarding the plaintiff's reliance on an expert's declaration, the court sustained most of the defendant's evidentiary objections, finding the expert's conclusions speculative and lacking foundation. Therefore, the court concluded that the evidence did not establish a triable issue of material fact as to the hotel’s notice of a flaw in the shower wand, thus affirming the trial court's decision.
View "Howard v. Accor Management US" on Justia Law