Justia Real Estate & Property Law Opinion Summaries

Articles Posted in California Courts of Appeal
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In 2005, the Regents adopted a long-range development plan (LRDP) for UC Berkeley through the year 2020. An Environmental Impact Report (EIR, California Environmental Quality Act (Pub. Resources Code, 21000) noted the LRDP “represents a maximum amount of net new growth.” which the University could substantially exceed only by amending the LRDP. In 2018, the Regents approved a new development for additional academic space and campus housing and certified a Supplemental EIR, which established an updated population baseline.SBN challenged decisions to increase enrollment beyond the level described in the 2005 EIR without further CEQA review. On remand, the trial court found that parts of the SEIR did not comply with CEQA and ordered the Regents to revise the SEIR and suspend enrollment increases. The Regents cited its certification of a 2021 LRDP and related EIR and Senate Bill 118, which modifies section 21080.09 to clarify that “Enrollment or changes in enrollment, by themselves, do not constitute a project” under CEQA and limit the remedies available if a court finds deficiencies in an environmental review based on enrollment.The court of appeal vacated, holding that certification of the 2021 EIR and S.B. 118 moot SBN’s challenge to the enrollment increases and make unenforceable the orders suspending enrollment increases. The SEIR’s project description complied with CEQA and there was no error in the discussion of mitigation measures for historic resources. View "Save Berkeley's Neighborhoods v. Regents of the University of California" on Justia Law

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Plaintiff Niki-Alexander Shetty purchased a home that had been foreclosed upon by a homeowners association. The home, however, was still subject to a defaulted mortgage and deed of trust between the bank and the original borrower. Defendants, the bank and mortgage servicer, recorded a notice of default and scheduled a foreclosure sale. Shetty sought to cure the default and resume regular payments on the loan. Defendants, however, refused, insisting that, as a stranger to the loan, he was not entitled to reinstate it. Shetty sued for wrongful foreclosure, arguing he had the right to reinstate the loan pursuant to California Civil Code section 2924c. The trial court sustained a demurrer without leave to amend on the ground that Shetty did not have standing under the statute. The Court of Appeal disagreed with that interpretation of the statute and reversed the judgment as to all defendants except Mortgage Electronic Registration Services, Inc. (MERS), whom Shetty conceded had no liability. View "Shetty v. HSBC Bank USA, N.A." on Justia Law

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Plaintiff was injured by fellow fans at the Los Angeles Memorial Coliseum (Coliseum) near the end of a Los Angeles Rams football game. Plaintiff, his wife, and two daughters brought an action against Contemporary Services Corporation (CSC), the Los Angeles Rams (Rams) and the University of Southern California (USC), alleging causes of action for negligence, premises liability and related torts. All three Defendants obtained summary judgment in their favor. This appeal involves two of the defendants: CSC and the Rams. CSC is an entity hired to provide crowd management services at the Coliseum during certain events, including Rams football games. In granting CSC’s and the Rams’ motions for summary judgment, the trial court assumed that both Defendants had a duty to protect Plaintiff and his family and had failed to take the ameliorative steps proposed by Plaintiffs. Nevertheless, the court granted summary judgment on the ground that these failures were not the cause of the assault. Plaintiffs appealed.   The Second Appellate District affirmed. The court explained that Plaintiffs do not provide any record citation showing how response time was measured. Plaintiffs seem to assume that response time is measured from when a CSC employee first decides to seek assistance from APEX or LAPD to the time APEX or LAPD personnel arrives. However, the court explained that It is equally, if not more, likely that response time is measured from when APEX or LAPD receive the request for assistance from CSC command. Plaintiffs have not created a triable issue of fact concerning whether improving CSC communications would have prevented the assault View "Romero v. Los Angeles Rams" on Justia Law

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Samsara rented San Francisco office space from Rreef for a ten-year term, to be in “delivery condition” by November 1, 2019. Samsara provided an $11,384,368.00 letter of credit as “collateral for the full performance.” In 2021, Samsara sued, asserting that in July 2019, after Rreef had certified “delivery condition,” Samsara discovered that the premises were contaminated with lead and asbestos and that after Samsara conducted testing, Rreef cut off its access to the premises. The next day, Rreef served Samsara a 5-day notice to pay rent or quit based on Samsara’s alleged failure to pay rent for August-September 2021 ($1,826,697.95). Rreef subsequently filed an unlawful detainer complaint, alleging that Samsara stopped paying rent and had created a pretext to avoid its lease obligations. In October 2021, Rreef sought a writ of attachment in the unlawful detainer action, seeking $3,796,175.51: the amount demanded in the 5-day notice and $1,784,477.53 for October-November.The court granted Rreef’s application. The court of appeal reversed and remanded. The court rejected Samsara’s arguments that the amount that Rreef sought to attach must be reduced under Code of Civil Procedure 483.015(b)(4) by the amount remaining on the letter of credit and that the trial court erroneously refused to consider Samsara’s affirmative defenses of waiver and estoppel. However, the trial court declined to consider Samsara’s retaliatory eviction defense and whether Rreef sought attachment for an improper purpose. View "Rreef America Reit II Corp, YYYY v. Samsara, Inc." on Justia Law

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The eight-acre San Jose City View Plaza contained nine buildings, including the Bank, built in 1971, which later housed the County Family Court. The Bank was eligible for listing on the California Register of Historic Resources and National Register of Historic Places. The site development permit provided for the demolition of all structures, followed by the construction of three, 19-story office towers, 65,000 square feet of ground-floor retail, and five levels of underground parking.The city council certified the Downtown Strategy 2040 final environmental impact report under the California Environmental Quality Act (Pub. Resources Code 21000 (CEQA)), finding that the Plaza required a supplemental environmental impact report (SEIR). The draft SEIR identified the proposed demolition of the buildings as a “significant unavoidable impact” and presented mitigation measures, to document the structures, advertise their availability for relocation, and otherwise make the structures available for salvage. The city voted not to designate the Bank as a city landmark and approved the permit, certifying the Final SEIR and rejecting project alternatives as infeasible because the “anticipated economic, social, and other benefits” of the project outweighed its “significant and unavoidable impacts.”After the trial court denied a mandate petition filed by opponents, the Bank was demolished. The court of appeal affirmed. The Final SEIR’s discussion of mitigation for the unavoidable loss of significant historic resources complied with CEQA. San Jose did not abuse its discretion by briefly considering and rejecting additional mitigation measures. View "Preservation Action Council of San Jose v. City of San Jose" on Justia Law

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Moses attended a gathering at a condominium Roger-McKeever rented. Two years later, Moses filed suit for injuries. Moses alleged that, upon her arrival, she mentioned to Roger-McKeever that the entryway was dark. Roger-McKeever “was apologetic indicating that there was an electrical problem” and explained that her landlord had not been responsive in repairing the light. A photograph depicted three steps leading up from a street sidewalk, to a short walkway that ended at a door to Roger-McKeever’s condominium. Moses stated that when she was leaving, she could not see the second step and fell. She provided a declaration from a mechanical engineer that the steps were non-compliant with the building code and that the absence of a handrail and the riser heights were probable causes of the accident. Roger-McKeever submitted a declaration and the depositions of two individuals who attended the meeting, indicating that the walkway was not noticeably dark that night.The court granted Roger-McKeever summary judgment, finding that Roger-McKeever was a tenant who did not have control over the steps or the outside lighting and had no duty to maintain or repair that area. Roger-McKeever did not have a duty to warn Moses because she did not have prior notice that the steps were a “non-obvious” dangerous condition. The court of appeal affirmed. Moses did not raise a triable issue of material fact as to whether Roger-McKeever owed her a duty of care to protect her against the allegedly dangerous condition of the walkway. View "Moses v. Roger-McKeever" on Justia Law

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The landlord is a four-member LLC with a single asset--a building in downtown Napa. The tenant, Stone Brewing, a large beer brewing and retail corporation, operates a brewpub in the building. Stone Brewing did not pay rent for several months during the pandemic. The landlord sued for unlawful detainer. Stone argued it was excused from paying rent because COVID-19 regulations and business interruptions triggered a force majeure provision in its lease.The trial court granted the landlord summary judgment, finding that the force majeure provision only excused performance if the claiming party was unable to meet its obligations due to factors outside its control; the tenant admitted during discovery it had the financial resources to pay rent during the period of the COVID-19 regulations but simply refused to do so. The court of appeal affirmed. The force majeure provision does not apply where the tenant had the ability to meet its contractual obligations but chooses not to perform due to financial constraints. The plain meaning of the force majeure provision does not support an interpretation that ties a party’s obligation to pay rent to its profitability or revenue stream instead of a delay or interruption caused by the force majeure event itself. View "West Pueblo Partners, LLC v. Stone Brewing Co., LLC" on Justia Law

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Plaintiff Manuel Hernandez appealed the judgment entered after the trial court granted summary judgment in favor of defendant City of Stockton (City) based on his failure to comply with the claims presentation requirement of the Government Claims Act. Plaintiff sued for damages arising out of an allegedly defective public sidewalk. Plaintiff filed a government claim with the City, alleging that it negligently maintained public property by failing to correct a dangerous condition along a sidewalk. Plaintiff claimed that he sustained severe injuries when he tripped and fell due to a “dangerous condition” on the City-owned “sidewalk surface” that he identified only as an “uplifted sidewalk.” After his government claim was rejected, plaintiff filed this personal injury action, complaining broadly that the “sidewalk surface” harbored a “dangerous condition” that created an unspecified hazard. He later disclosed during his deposition that he tripped and fell when he stepped into a hole, specifically a tree well with no tree in it. When specifically asked whether it was “fair to say that [his] fall was not caused by an uplifted sidewalk,” he responded: “Correct.” The Court of Appeal concurred with the trial court that this action was barred because the factual basis for recovery was not “fairly reflected” in plaintiff’s government claim. View "Hernandez v. City of Stockton" on Justia Law

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Plaintiff-appellant Jayde Downey appealed the dismissal of her case after a trial court sustained without leave to amend the demurrers of defendants-respondents Ara and Vahram Sevacherian (collectively, Sevacherian) and the City of Riverside (City) to Downey’s operative complaint. Downey alleged causes of action for dangerous condition of property and negligence arising out of an automobile collision involving Downey’s daughter, Vance. In that pleading, Downey alleged the collision occurred “because [City] created or permitted to exist, a dangerous condition of public property” and because Sevacherian maintained vegetation and trees on their property so as to cause an unsafe obstruction to the view of vehicular traffic. She alleged that because she was on the phone with Vance and heard the sounds of the crash and its aftermath, she was “present, or virtually present” at the scene when the collision happened, thereby causing Downey "serious emotional injuries and damages." The trial court ruled Downey’s allegations were “insufficient to show that Downey had a contemporaneous awareness of the injury-producing event—not just the harm Vance suffered, but also the causal connection between defendants’ tortious conduct and the injuries Vance suffered.” Downey contended the court erred; that because she contemporaneously perceived the event causing injury to Vance, she adequately alleged a claim for negligent infliction of emotional distress as a bystander. The Court of Appeal reversed the trial court, finding that under the circumstances, Downey should be given an opportunity to allege facts establishing she had the requisite “‘contemporaneous sensory awareness of the causal connection between the negligent conduct and the resulting injury.’” View "Downey v. City of Riverside" on Justia Law

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Venetian Condominiums Maintenance Corporation was a condominium project with 368 condominium units in the University Town Center area of San Diego. It was a nonprofit mutual benefit corporation governed by the California Nonprofit Mutual Benefit Corporation Law. Ali Ghorbanzadeh owned 18 units at the Venetian. He was elected to Venetian’s board of directors in 2008. In 2009, Ghorbanzadeh appointed his son Sean Gorban to the board. They controlled the three-member board continuously from 2009 through at least 2021. Guy Takiguchi was elected as the third director in 2015. From 2009 to 2021, the board repeatedly failed to hold annual elections, either due to the absence of a quorum or for other reasons. Ghorbanzadeh’s seat was up for re-election at the 2020 annual meeting, and there were two other candidates for the seat, including Nishime. The Ballot Box, Inc. contracted as the Venetian's inspector of elections, declaring there was no quorum for the meeting because Ballot Box had only received 166 ballots, and the quorum was 188. Nishime participated in the January 20, 2021 meeting remotely by computer and took multiple screenshots of the participants. Nishime was able to identify eight members who were present (representing 37 units). Had those units been counted with written ballots, there would have been a quorum of 203 present at the meeting. The eight participating members who represented units for which no ballot had been submitted included Ghorbanzadeh (representing 18 units), his son Sean Gorban (representing one unit), his other son Brian Gorban (representing three units), and an ally of Ghorbanzadeh’s who was also running for the director’s seat (representing one unit). An allegation asserted Ghorbanzadeh and his allies did not submit their ballots “in a deliberate and tactical effort to not reach quorum so they could remain in power another year or two.” Venetian submitted no evidence refuting this accusation. The Court of Appeal concluded the trial court properly ordered Venetian to hold a meeting for the purpose of counting the 166 written ballots cast for its January 20, 2021 annual member meeting and election. Substantial evidence supported the trial court’s finding that there was a quorum present for that meeting. By adjourning the meeting based on the purported absence of a quorum, Venetian failed to conduct the scheduled meeting or cover the noticed agenda items, which included counting the ballots and determining the results. View "Takiguchi v. Venetian Condominiums Maintenance Corp." on Justia Law