Justia Real Estate & Property Law Opinion Summaries
Articles Posted in California Courts of Appeal
Church Mutual Ins. Co. v. GuideOne Specialty Mutual Ins. Co.
A congregation of the hierarchical Church of God purchased an insurance policy from GuideOne Specialty Mutual Insurance Company (GuideOne) covering the risk of fire damage to a church building that was held by the congregation, as agent of the greater church, in trust for the benefit of the larger church body. After the local congregation voted to sever its relationship with the Church of God, a regional oversight authority took over as the agent/trustee holding the property on behalf of the greater church, after which the previously affiliated local congregation moved out, and the new agent added the property to its own insurance policy, with Church Mutual Insurance Company (Church Mutual), covering the same risk. Fire destroyed the building while both policies were in effect. Church Mutual paid the claim. GuideOne denied coverage on the ground that the former local congregation no longer had an insurable interest in the property. The issue this case presented for the Court of Appeal was whether Church Mutual was entitled to contribution from GuideOne. The trial court concluded the answer was no. While the appellate court disagreed with certain aspects of the trial court’s statement of decision, it concluded the trial court reached the correct result. The Court of Appeal also concluded the trial court correctly determined Church Mutual was not entitled to prevail against GuideOne on a separate subrogation cause of action. View "Church Mutual Ins. Co. v. GuideOne Specialty Mutual Ins. Co." on Justia Law
Wall v. California Coastal Commission
The Court of Appeal concluded that Public Resources Code section 30610.8 requires payment of an in-lieu public access fee for each coastal development permit (CDP) applicable to Hollister Ranch. In this case, after the California Coastal Commission denied a CDP request from Jack Wall and the Wall Family Trust to build a pool and spa on their Hollister Ranch property, plaintiffs challenged the Commission's denial in a petition for writ of administrative mandate.The court concluded that plaintiffs have not shown that the Commission required public access to their property; the trial court correctly concluded that the California Coastal Act of 1976 requires payment of an in-lieu public access fee for approval of plaintiffs' CDP; and plaintiffs' alternative contention -- that even if the Coastal Act requires them to pay a $5,000 in-lieu public access fee for their CDP, imposing that requirement would be unconstitutional -- is waived. View "Wall v. California Coastal Commission" on Justia Law
Foley Investments v. Alisal Water Corp.
Foley Investments, LP (Owner) asserted inverse condemnation and tort claims against Alisal Water Corporation dba Alco Water Service (Alco) after an Alco-owned water main that ran through a portion of Owner’s apartment complex repeatedly ruptured. In the first phase of a bifurcated bench trial, the court ruled against Owner on its inverse condemnation claim, finding the water main did not serve a “public use” for inverse condemnation purposes because Alco installed the main under a private contract with Owner’s predecessor for the sole benefit of the subject property. In the second phase, the court found the tort claims were barred by “fire protection” immunity because Alco constructed and maintained the main on the subject property in a particular way to meet the property’s particular fire protection needs. The court therefore entered judgment in Alco’s favor. On appeal, Owner contended the trial court erred by finding the water main did not serve a public use for purposes of the inverse condemnation claim, and by finding fire protection immunity barred the tort claims. Finding no reversible error, the Court of Appeal affirmed the trial court's judgment. View "Foley Investments v. Alisal Water Corp." on Justia Law
Award Homes, Inc. v. County of San Benito
Tax sharing agreements between the County of San Benito and the City of Hollister require the city to pay the county a fixed fee (the “Additional Amount”) for each residential unit constructed on land that is annexed into the city from the county. Plaintiff entered into development agreements with the city to build residential units on land subject to the city-county tax sharing agreements, and agreed to satisfy certain obligations from the tax sharing agreements, but sued the city and the county seeking a declaration that payment of the Additional Amount is not among plaintiff’s obligations.The court of appeal affirmed a defense judgment. The plaintiff agreed to pay the city the Additional Amount fees as part of the development agreements. Nothing in the tax sharing agreement suggests that obligations created by it would cease to exist merely because a project annexed during its effective period was not constructed until after the agreement expired. The court rejected the plaintiff’s argument that because the Additional Amount is an obligation of the city to the county under the tax sharing agreement, it cannot be a “Developer’s obligation.” The reference to “Developer’s obligations” in the development agreement did not mean only the capital improvement and drainage fees discussed in the tax sharing agreement; the term includes the Additional Amount. View "Award Homes, Inc. v. County of San Benito" on Justia Law
BMC Promise Way, LLC v. County of San Benito
A tax-sharing agreement between the County of San Benito and the City of Hollister requires the city to pay the county a fixed fee (Additional Amount) per residential unit constructed on land annexed into the city from the county during the period covered by that agreement. Plaintiff’s predecessor entered into an annexation agreement with the city, agreeing to comply with “all applicable provisions” of that tax sharing agreement. When the plaintiff purchased the annexed land and sought to develop it into subdivisions, the city informed the plaintiff that it was liable for the Additional Amount fees. Plaintiff paid the fees under protest, then sued, seeking a declaration of its rights and duties under various written instruments.The court of appeal affirmed a defense judgment. Plaintiff is contractually liable for the Additional Amount by the terms of the annexation agreement. Any challenge to the calculation of the Additional Amount is beyond the scope of a declaratory relief action and time-barred. The court rejected the plaintiff’s arguments that neither the annexation agreement nor the tax sharing agreement requires the plaintiff to pay the Additional Amount and that the fees violate the Mitigation Fee Act and federal constitutional constraints on development fees as monetary exactions. View "BMC Promise Way, LLC v. County of San Benito" on Justia Law
People v. Venice Suites, LLC
The People filed suit against Venice Suites for violation of the Los Angeles Municipal Code (LAMC) and for public nuisance, among other causes of action, alleging that Venice Suites illegally operates a hotel or transient occupancy residential structure (TORS).The Court of Appeal affirmed the trial court's grant of summary adjudication in favor of Venice Suites. As a preliminary matter, the court concluded that the People did not raise the issue of permissive zoning in their briefing but the court exercised its discretion to consider the issue on its merits. On the merits, the court concluded that the LAMC did not prohibit the length of occupancy of an apartment house in an R3 zone. Furthermore, the court concluded that the permissive zoning scheme does not apply to the length of occupancy, and the Rent Stabilization Ordinance and Transient Occupancy Tax Ordinance do not regulate the use of an apartment house. View "People v. Venice Suites, LLC" on Justia Law
Chase v. Wizmann
The parties have owned adjacent residential properties in the Hollywood Hills for approximately 25 years. In 2015, Wizmann installed pool and air conditioning equipment between the wall of his house and a retaining wall close to the property line underneath Chase’s bedroom window. The hard surfaces of the walls amplify the equipment's noise. Wizmann began operating his property as a short-term rental and was unresponsive to Chase’s noise concerns after moving out. Chase sometimes called the police, who would determine that the noise was excessive and instruct the tenants to turn off the equipment. In 2016, Los Angeles ordered Wizmann to move the equipment at least five feet from the retaining wall. In 2018, the city cited Wizmann’s property as a public nuisance due to repeated large, unruly parties, illegal parking, burglary, refuse in the street, and neighbor complaints of public urination, public intoxication, fistfights, and other illegal activity. In 2020, Chase obtained a personal sound level meter and measured as high as 73.5 decibels during the day.The court of appeal affirmed the entry of a preliminary injunction. Chase was likely to prevail on a private nuisance claim and the balance of harms favored moving the noisy equipment. The court rejected arguments that only equipment noise that violates the Los Angeles Municipal Code can be the basis for a nuisance action and that there was no substantial evidence that the interference was substantial or caused unreasonable damage. View "Chase v. Wizmann" on Justia Law
McMillin v. Eare
The Court of Appeal reversed in part and vacated in part in a dispute over ownership of two parcels of real property between wife, her husband, and the husband's mother. The court concluded that the trial court abused its discretion when it amended husband's mother's complaint to include a cause of action for breach of fiduciary duty. Therefore, the court reversed the judgment on the third cause of action. The court also concluded that the trial court erroneously determined that conditional delivery of the deed was valid. Accordingly, the court reversed the judgment on the causes of action for slander of title, quiet title, declaratory relief, and cancellation of deeds. Finally, the court concluded that the trial court's findings and orders interfered with issues under the jurisdiction of the family law court; the trial court did not err when it admitted impeachment evidence about wife's financial circumstances in 2009; and the trial court did not deprive wife of a fair trial by cutting off her trial time unexpectedly. The court remanded with instructions to the trial court to amend the language of the judgment to provide that its orders do not preclude wife from raising proper claims for community property interests, Epstein credits, Watts charges, or other similar claims in the family law court. View "McMillin v. Eare" on Justia Law
Patterson v. Superior Court
In this California Fair Employment and Housing Act (FEHA) case, the Court of Appeal granted the petition for writ of mandate and directed respondent Los Angeles Superior Court to vacate its order awarding attorney fees to Charter and to conduct a new hearing to reconsider Charter's motion for attorney fees. At issue is whether an employer's arbitration agreement authorizes the recovery of attorney fees for a successful motion to compel arbitration of a FEHA lawsuit even if the plaintiff's opposition to arbitration was not frivolous, unreasonable or groundless.The court concluded that, because a fee-shifting clause directed to a motion to compel arbitration, like a general prevailing party fee provision, risks chilling an employee's access to court in a FEHA case absent Government Code section 12965(b)'s asymmetric standard for an award of fees, a prevailing defendant may recover fees in this situation only if it demonstrates the plaintiff's opposition was groundless. In this case, no such finding was made by the superior court in the underlying action before awarding real party in interest Charter its attorney fees after granting Charter's motion to compel petitioner to arbitrate his FEHA claims. View "Patterson v. Superior Court" on Justia Law
Weeden v. Hoffman
Plaintiffs Ryan and Genevieve Weeden appealed a judgment entered in favor of defendant William Hoffman after the trial court granted Hoffman’s anti-SLAPP motion with respect to the Weedens’ complaint against Hoffman for quiet title, slander of title, and cancellation of an instrument. According to the allegations in the complaint, Hoffman sent the Weedens a letter threatening a forced sale of real property that the Weedens had purchased, based on a judgment lien created when Hoffman recorded an abstract of judgment that he obtained in a long-standing divorce proceeding between Hoffman and his former wife, Pamela Mitchell. The Weedens sought to quiet title to the property by filing this action. In response, Hoffman filed an anti-SLAPP motion, arguing that the conduct underlying the Weedens’ claims against him was protected activity under the anti-SLAPP law and the Weedens were unable to demonstrate a probability of prevailing on their claims. The Court of Appeal concluded the Weedens’ claims arose from protected activity, and that the trial court therefore properly shifted the burden to the Weedens to demonstrate a probability of prevailing on their claims. However, the Court further concluded the litigation privilege provided a defense to only one of the three pleaded causes of action. “The litigation privilege shields a defendant from liability only for tort damages that are based on litigation-related communications; the Weedens’ causes of action for quiet title and cancellation of an instrument do not seek to hold Hoffman liable for tort damages but, rather, seek to ascertain the interests of the parties with respect to a parcel of real property and to determine the validity of an instrument. The litigation privilege does not shield Hoffman from these claims.” Furthermore, the Court found the Weedens sufficiently demonstrated a probability of prevailing on the merits; the documents attached as exhibits to the complaint demonstrated that the abstract of judgment that Hoffman recorded with the county clerk did not accurately reflect the terms of the judgment entered in the divorce proceeding, thereby undermining the validity of the abstract of judgment. The trial court therefore erred in granting Hoffman’s anti-SLAPP motion with respect to the causes of action for quiet title and cancellation of an instrument. Judgment was reversed and the matter remanded for further proceedings. View "Weeden v. Hoffman" on Justia Law