Justia Real Estate & Property Law Opinion Summaries

In 2003, JCJIC proposed a 312-unit apartment complex on 15.45 acres of vacant land along the Petaluma River. In 2008, after starting a draft environmental impact report (DEIR), for compliance with the California Environmental Quality Act (CEQA) (Pub. Resources Code 21000), Petaluma adopted General Plan 2025. In response, JCJIC submitted an application for a 278-unit complex. After conducting site visits, the California Department of Fish and Wildlife, the Regional Water Quality Control Board, and the National Oceanic and Atmospheric Administration Fisheries Service identified the issues the EIR should address. A “Habitat Mitigation Monitoring Plan” was incorporated. In 2018, the DEIR was published. JCJIC provided consultant studies regarding environmental impacts, including on “Special Status Species.” The Planning Commission considered traffic impacts, floodplain impacts, and decreased quality of neighborhood life. City Council members requested supplemental documentation and authorized the preparation of a final EIR. JCJIC further reduced the proposal to 205 units; reduced the height of buildings; increased setbacks from the River; and implement a “Traffic Calming Plan.” The Final EIR concluded the revisions eliminated or reduced several potential significant impacts. In 2020, JCJIC submitted another plan with 180 units.Objectors disputed the adequacy of the EIR’s special status species analysis and failure to analyze emergency evacuations. The City Council certified the EIR and approved zoning amendments. The trial court and court of appeal upheld the approvals. View "Save North Petaluma River and Wetlands v. City of Petaluma" on Justia Law

The school's athletic stadium seats 2,008 persons and is surrounded by single-family homes. The school sought approval to add four permanent 90-foot tall outdoor light standards to enable its nighttime use. The planning department determined that the project was categorically exempt from review under the California Environmental Quality Act (CEQA) (Pub. Resources Code 21000). The planning commission approved a permit, limiting the hours during which the lights could be used, and prohibiting use by groups unaffiliated with the school. The permit required the distribution of a large-event management plan and a code of conduct for students and others attending events. The board of supervisors affirmed, further restricting the hours that the lights could be used, requiring the school to report the dates and times the lights are turned on, dimmed, and turned off, requiring that for certain events, the school provide off-site parking, and requiring that trees be installed for screening.The court of appeal reversed. The project is not exempt from CEQA under the class 1 exemption for “existing facilities.” The project will significantly expand the nighttime use of the stadium. Nor does the class 3 exemption, entitled “New Construction or Conversion of Small Structures,” apply. View "Saint Ignatius Neighborhood Association v. City & County of San.Francisco" on Justia Law

O’Brien submitted an application in March 2011 for approval of a 315-unit residential apartment development. O’Brien’s application was deemed complete in July 2011, including 14 residential buildings, a clubhouse, a leasing office, parking in carports and garages, and internal roadways on a 22.27-acre site. The site was then designated Administrative/Professional/Multi-Family Residential on the city’s general-plan land-use map and was zoned Administrative/Professional. The city certified an environmental impact report (EIR) in 2013. Before the project was approved, O’Brien and the city suspended processing the original project while O’Brien pursued an alternative, smaller proposal.In 2018, when it proved impossible to proceed with the alternative project, O’Brien and the city revived the original proposal, with some modifications. The city finally approved the resumed project in 2020, after the preparation of an addendum to the original EIR. A citizen’s group claimed that the project conflicted with the city’s general plan as it existed when the project was revived in 2018, that the EIR was inadequate, and that a supplemental EIR is required. The court of appeal affirmed the trial court’s denial of the mandamus petition. Despite the lengthy delay between certification of the EIR and project approval, the city properly applied the general plan standards in effect when the application was deemed complete. The court rejected challenges to the EIR. View "Save Lafayette v. City of Lafayette" on Justia Law

In a partition action, a trial court appointed defendant Charles Brock, a real estate broker, to determine the listing price and sell the property. Plaintiff Darrell Holt, one of the real property’s owners, brought this action contending Brock violated fiduciary duties and committed other torts in the performance of his court-appointed role. The trial court granted summary judgment in favor of Brock, concluding he was protected under quasi-judicial immunity. Finding no reversible error, the Court of Appeal affirmed that conclusion. View "Holt v. Brock" on Justia Law

In 2010, Pacific Grove authorized “transient use of residential property for remuneration,” subject to licensing. One-year “STR” Licenses were subject to revocation for cause. In 2016, the city capped the number of short-term rental licenses citywide at 250 and established a density cap of “15 [percent] per block.” In 2017, the city prohibited more than one license per parcel and required a 55-foot buffer zone between licensed properties. The changes provided that a license could be withdrawn, suspended, or revoked for any reason and that renewal was not guaranteed. The city resolved to “sunset” certain licenses using a random lottery. In 2018, Pacific Grove voters approved Measure M, to prohibit and phase out, over an 18-month sunset period, all existing short-term rentals in residential districts, except in the “Coastal Zone,” as defined by the California Coastal Act. Measure M did not restrict short-term rentals in nonresidential districts or otherwise modify existing rules.The court of appeal affirmed the dismissal of a suit by licensees. The Plaintiffs’ economic interest in renting their homes for transient visitors was not an entitlement subject to state or federal constitutional protection. The curtailment of short-term rental licenses is related to legitimate state interests. View "Hobbs v. City of Pacific Grove" on Justia Law

Ramirez, a self-employed contractor, was hired by a shopping center’s tenant to remove an exterior sign after the tenant vacated its space. While searching for the sign’s electrical box, he entered a cupola on the shopping center’s roof and fell through an opening built into the cupola’s floor, sustaining serious injuries. In a suit against Kimco, which owns and operates the shopping center, the trial court granted Kimco summary judgment based on the Privette doctrine, which creates “a strong presumption under California law that a hirer of an independent contractor delegates to the contractor all responsibility for workplace safety[,] . . . mean[ing] that a hirer is typically not liable for injuries sustained by an independent contractor or its workers while on the job.”The court of appeal reversed and remanded. Kimco did not hire its tenant or Ramirez to perform the work. Kimco did not delegate its own responsibility for the roof’s condition to Ramirez through an employment relationship, as contemplated by Privette. Nor did Kimco delegate such responsibility by virtue of its landlord-tenant relationship. The court acknowledged “the strong possibility that Kimco will prevail under general principles of premises liability. “ View "Ramirez v. PK I Plaza 580 SC LP" on Justia Law

In 2008, California enacted a Property Assessed Clean Energy program (PACE) as a method for homeowners to finance energy and water conservation improvements. A PACE debt was created by contract and secured by the improved property. But like a tax, the installment payments were billed and paid as a special assessment on the improved property, resulting in a first-priority tax lien in the event of default. The named plaintiffs in these putative class actions were over 65 years old and entered into PACE contracts. The defendants were private companies who either made PACE loans to plaintiffs, were assigned rights to payment, and/or administered PACE programs for municipalities. The gravamen of the complaint in each case was that PACE financing was actually, and should have been treated as, a secured home improvement loan. Plaintiffs alleged that defendants engaged in unfair and deceptive business practices by violating consumer protection laws, including Civil Code section 1804.1(j), which prohibited taking a security interest in a senior citizen’s residence to secure a home improvement loan. Generally, a taxpayer could not pursue a court action for a refund of property taxes without first applying to the local board of equalization for a reduction and then filing an administrative claim for a refund. Here, defendants demurred to the complaints on the sole ground that plaintiffs failed to allege they first exhausted administrative remedies. The trial court agreed, sustained the demurrers without leave to amend, and entered a judgment of dismissal in each case. On appeal, plaintiffs primarily contend they were not required to pursue administrative remedies because they have sued only private companies and do not challenge “any aspect of the municipal tax process involved.” The Court of Appeal found that despite their assertions to the contrary, plaintiffs did challenge their property tax assessments. And although they did not sue any government entity, the “consumer protection statutes under which plaintiffs brought their action cannot be employed to avoid the limitations and procedures set out by the Revenue and Taxation Code.” Thus, the Court concluded plaintiffs were required to submit their claims through the administrative appeals process in the first instance. "Their failure to do so requires the judgments to be affirmed." View "Morgan v. Ygrene Energy Fund, Inc." on Justia Law

Defendant owned a parcel of land until 2011, when he defaulted on a secured loan. Over the next decade, Defendant frustrated the attempts of all new owners to renovate or occupy the property. He would physically block access to the home by locking the driveway gate and blocking the drive with various objects. Plaintiffs sued and obtained a preliminary injunction prohibiting Defendant from obstructing the easement pending trial. The court twice found Defendant in contempt. After trial, the court declared the easement valid and permanently enjoined Mack from obstructing respondents from accessing their property.On appeal, Defendant claimed that the doctrine of merger extinguished the easement as a matter of law. The trial court properly considered the evidence, which showed that Defendant never had unity of title. Regardless, the appellate court determined that the equities of the case favored the plaintiff's position. Thus, the Second Appellate District affirmed. View "Tariwala v. Mack" on Justia Law

Plaintiffs’ operated a mobilehome park owned by one of Plaintiff’s clients. The Department of Real Estate filed an accusation alleging Plaintiff violated various provisions of the Real Estate Law. The administrative law judge issued a proposed order revoking Plaintiffs’ licenses which the Department adopted. Plaintiffs’ filed a petition for a writ of administrative mandate, contending they did not receive a fair hearing because the administrative law judge considered improper evidence, including expert testimony from several witnesses the Department did not designate as experts. Plaintiffs also contended the administrative law judge erred in ruling they violated statutes in the Business and Professions Code.   The trial court denied the petition and Plaintiffs’ appealed. The Second Appellate District affirmed. The court wrote that Plaintiffs’ contend they did not receive a fair hearing because, while the Department “did not properly identify any expert witnesses” prior to the hearing and represented at the hearing that “no expert opinion testimony would be offered,” the testimony of all three witnesses went far beyond permissible lay witness opinion.” The court explained that Plaintiffs’ cite the wrong legal standard governing their contentions. As the trial court correctly observed, a hearing under the Administrative Procedure Act “need not be conducted according to technical rules relating to evidence and witnesses,” unless expressly required by the Act. Further, the court held that even if the Department’s decision to revoke Nijjar’s and Miller’s licenses was partially motivated by its belief Plaintiffs had some responsibility for the fire, Plaintiffs would still not be entitled to reversal of the judgment. View "Miller v. Dept. of Real Estate" on Justia Law

Borrower took out a $5.6 million dollar bridge loan, with 8.5% interest per annum, secured by a deed of trust on real property. They defaulted on a monthly payment of $39,667, triggering late fee provisions: a one-time 10% fee assessed against the overdue payment ($3,967) and a default interest charge of 9.99% per annum assessed against the total unpaid principal balance. Borrower filed a demand for arbitration, alleging the loan was in violation of Business & Professions Code 10240 and the late fee was an unlawful penalty in violation of section 1671. The arbitrator rejected both claims and denied the demand for arbitration. Borrower petitioned to vacate the decision, arguing that the arbitrator exceeded their authority by denying claims in violation of “nonwaivable statutory rights and/or contravention of explicit legislative expressions of public policy.”The court of appeal reversed the denial of that petition. The trial court erroneously failed to vacate an award that constitutes an unlawful penalty in contravention of public policy set forth in section 1671. Liquidated damages in the form of a penalty assessed during the lifetime of a partially matured note against the entire outstanding loan amount are unlawful penalties. There is no precedent upholding a liquidated damages provision where a borrower missed a single installment and then was penalized pursuant to such a provision. View "Honchariw v. FJM Private Mortgage Fund, LLC" on Justia Law