Justia Real Estate & Property Law Opinion Summaries
Articles Posted in Constitutional Law
Erda Community Association v. Baugh
A group of individuals who were instrumental in the campaign to incorporate the City of Erda sought to prevent approximately 8,000 acres from being annexed out of Erda and into Grantsville City. The controversy arose after an entity, Six Mile Ranch, initiated and amended an annexation petition to move land from Erda’s boundaries into Grantsville, during and after Erda’s incorporation process. The Grantsville City Recorder determined that the annexation petition met statutory requirements and certified it, which was followed by Grantsville approving the annexation by ordinance and entering a development agreement for the property. The sponsors challenged the annexation, alleging it violated both statutory requirements and constitutional provisions, and sought to invalidate the annexation ordinance and prevent the Lieutenant Governor from certifying it.In the Third District Court, Tooele County, the sponsors filed a petition for extraordinary relief under rule 65B of the Utah Rules of Civil Procedure. The district court dismissed the petition, concluding that the sponsors lacked statutory, traditional, and alternative standing to challenge the annexation, and denied related motions.On direct appeal, the Supreme Court of the State of Utah affirmed the dismissal but on alternative grounds. The court held that the sponsors, lacking statutory standing, had no other remedy for their statutory claims but failed to demonstrate that rule 65B(d)(2)(B) or the judiciary’s constitutional writ authority permitted relief where a public official had performed their statutory duty, albeit allegedly incorrectly. Regarding the constitutional claims, the court found that a plain, speedy, and adequate remedy was available through declaratory judgment actions, as clarified by recent appellate decisions. Therefore, the sponsors could not obtain extraordinary relief under rule 65B for either set of claims, and the dismissal was affirmed. View "Erda Community Association v. Baugh" on Justia Law
Alford v. Walton County
Several landowners in Walton County, Florida, owned beachfront properties that were affected by a county ordinance enacted during the early stages of the COVID-19 pandemic. In March and April 2020, the county first closed public beaches, then issued a new ordinance that closed all beaches—public and private—making it a criminal offense for anyone, including private owners, to access or use their own beachfront property. The ordinance was enforced by law enforcement officers who entered private property, excluded owners, and threatened arrest for violations. The ordinance remained in effect for about a month, after which it expired and was not renewed.The landowners filed suit in the United States District Court for the Northern District of Florida, raising several claims, including a Takings Clause claim under the Fifth Amendment, and seeking both damages and prospective relief. The district court dismissed the claims for prospective relief as moot, finding the ordinance had expired and was unlikely to recur. On the merits, the district court granted summary judgment to the county on all damages claims, holding that the ordinance was not a per se physical taking but rather a use restriction, and that the government’s actions during a public health emergency were entitled to deference.The United States Court of Appeals for the Eleventh Circuit reviewed the case. It affirmed the dismissal of the claims for prospective relief, agreeing that the ordinance’s expiration rendered those claims moot. However, the court reversed the district court’s judgment on the Takings Clause claim, holding that the ordinance constituted a per se physical taking because it barred owners from their property and allowed government officials to physically occupy and control access. The court remanded for a determination of just compensation, holding that no public emergency, including COVID-19, creates an exception to the Takings Clause. View "Alford v. Walton County" on Justia Law
Newark Property Association v. State
A group of nonprofit associations representing non-residential property owners in New Castle County, Delaware, challenged a temporary state law enacted in response to a recent county-wide property reassessment. The reassessment, ordered by the Delaware Court of Chancery in a prior case, updated decades-old property valuations to reflect current fair market values, resulting in significant tax increases for many residential homeowners and shifting the overall tax burden toward residential properties. In reaction to public outcry, the Delaware General Assembly passed House Bill 242 (HB242), which authorized school districts in New Castle County to implement a one-year split-rate property tax system for the 2025-2026 tax year, imposing higher rates on non-residential properties and lower rates on residential ones.After the reassessment, school boards set new tax rates and issued tax warrants, and the County mailed revised tax bills. The plaintiffs filed suit in the Delaware Court of Chancery against the State, county officials, and school boards, arguing that HB242 and its implementation were unconstitutional and violated state law on several grounds, including the Uniformity Clause of the Delaware Constitution, statutory requirements for tax referenda, fair market value assessment, due process, and HB242’s own revenue neutrality provision.The Court of Chancery reviewed the plaintiffs’ constitutional and statutory claims. It held that HB242’s temporary split-rate system did not violate the Uniformity Clause, as reasonable classification between residential and non-residential properties is permitted. The court found that HB242 did not constitute a retroactive personal income tax, nor did it violate due process, given the availability of post-deprivation remedies for property reclassification. Statutory claims regarding referenda, fair market value, and revenue neutrality were also rejected, as HB242’s specific provisions and timing superseded general statutory requirements. Judgment was entered for the defendants on all counts. View "Newark Property Association v. State" on Justia Law
Newark Property Association v. State
The dispute centers on a Delaware law, House Bill 242 (HB242), which permits New Castle County school districts to set different property tax rates for residential and non-residential properties for the 2025-2026 school year. This legislation was enacted after a county-wide property reassessment revealed a significant shift in the tax base, resulting in higher taxes for residential properties. In response to public concern, HB242 allowed school districts to implement a split-rate system, reducing residential rates and increasing non-residential rates, with the stipulation that non-residential rates could not exceed twice the residential rate and that total projected revenue could not surpass the amount projected under the original tax warrant. Subsequent corrections to property classifications led to a net increase in projected tax revenue.The plaintiffs, four property-related associations, challenged HB242 in the Court of Chancery, arguing that it violated the Uniformity Clause of the Delaware Constitution and a “revenue neutrality” requirement in the statute. The Court of Chancery rejected these claims, finding that the General Assembly has the authority to create reasonable property classifications for tax purposes and that the statute’s use of “projected” rather than “actual” revenue allowed for adjustments due to classification corrections.On appeal, the Supreme Court of Delaware reviewed the constitutionality of HB242 and the statutory interpretation issues de novo. The Court held that the Uniformity Clause does not prohibit reasonable legislative classifications of property for taxation, provided tax rates are uniform within each class. The Court also determined that HB242’s revenue limitation applies to projected, not actual, revenue, and that corrections to property classifications do not violate the statute. The Supreme Court of Delaware affirmed the judgment of the Court of Chancery. View "Newark Property Association v. State" on Justia Law
New South Media Group, LLC v. City of Rainbow City
New South Media Group, LLC, along with other plaintiffs, sought to construct four types of signs—flags, artwork, political messages, and event notices—on private property in Rainbow City, Alabama. The city denied their permit applications, determining that the proposed signs were billboards, which are prohibited under Section 214 of the city’s sign ordinance. The plaintiffs believed their signs qualified for exemptions under Section 213, but the city’s definition of “billboard” encompassed their proposed signs. After receiving the denial, New South requested variances, which were also denied by the city’s zoning board.Following these denials, New South appealed in state court and brought federal and state constitutional challenges, which were dismissed in state court and then refiled in federal court. In the United States District Court for the Northern District of Alabama, New South alleged that several city sign regulations violated the First Amendment and the Alabama Constitution by imposing content-based restrictions, lacking time limits for permit decisions, and granting unbridled discretion to city officials. The district court granted summary judgment to Rainbow City, finding that New South lacked standing because the injury—the denial of the applications—was caused by the unchallenged billboard prohibition, not the provisions New South contested.On appeal, the United States Court of Appeals for the Eleventh Circuit reviewed the district court’s decision de novo. The Eleventh Circuit held that New South lacked standing to challenge the constitutionality of the non-billboard regulations because the injury was not traceable to those provisions and a favorable decision would not redress the harm caused by the billboard prohibition. The court affirmed the district court’s order granting summary judgment to Rainbow City and dismissing the case without prejudice for lack of jurisdiction. View "New South Media Group, LLC v. City of Rainbow City" on Justia Law
Daniel Grand v. City of University Heights, Ohio
A resident of University Heights, Ohio, who practices Orthodox Judaism, sought to use his home for group prayer sessions due to religious obligations and restrictions on travel during the Sabbath. After inviting neighbors to participate in these gatherings, a neighbor complained to city officials, prompting the city’s law director to send a cease-and-desist letter, warning that using the home as a place of religious assembly violated local zoning laws. The resident then applied for a special use permit to operate a house of worship but withdrew his application before the city’s Planning Commission could reach a decision, stating he did not wish to operate a house of worship as defined by the ordinance. Despite withdrawing, he later filed a federal lawsuit against the city and several officials, alleging violations of federal and state law, including constitutional and statutory claims.The United States District Court for the Northern District of Ohio granted summary judgment for the city and its officials. The court found that the plaintiff’s claims under the Religious Land Use and Institutionalized Persons Act (RLUIPA), the First and Fourteenth Amendments, and the Ohio Constitution were unripe because there was no final decision by the relevant local authorities regarding the application of the zoning ordinance to his property. The court also rejected his Fourth Amendment and Freedom of Access to Clinic Entrances Act (FACE Act) claims on the merits and declined supplemental jurisdiction over a state public records claim.The United States Court of Appeals for the Sixth Circuit affirmed. The court held that most of the plaintiff’s claims were unripe because he withdrew his application before any final decision was made by the city’s zoning authorities, and thus there was no concrete dispute for federal review. The court also held that his facial challenges to the ordinance were forfeited and, in any event, failed as a matter of law. The court further concluded that the Fourth Amendment and FACE Act claims failed on the merits and found no abuse of discretion in declining supplemental jurisdiction over the state law claim. View "Daniel Grand v. City of University Heights, Ohio" on Justia Law
State ex rel. Boggs v. Cleveland
Susan Boggs and Fouad Rachid reside in a home owned by Fouad, Inc., located in Olmsted Township near the Cleveland-Hopkins International Airport. Boggs alleges that increased air traffic and airport operations, particularly following a runway expansion project, have caused significant noise, vibrations, and emissions, rendering the property unsuitable for residential use and amounting to a governmental taking. Boggs declined Cleveland’s offer to purchase an avigation easement and subsequently filed a mandamus action against the City of Cleveland, seeking to compel the city to initiate appropriation proceedings to determine compensation for the alleged taking.The case was initially removed to federal court, where Boggs pursued administrative remedies with the Federal Aviation Administration (FAA), but her claims were rejected. After further federal litigation, the district court granted summary judgment to Cleveland on federal claims and remanded the state-law claims to the Cuyahoga County Court of Common Pleas. In state court, both parties moved for summary judgment. The trial court granted summary judgment to Cleveland, finding that Boggs lacked standing because Cleveland, as a municipality, lacked authority to appropriate property outside its boundaries. The Eighth District Court of Appeals affirmed, holding that Boggs’s injury was not redressable since Cleveland could not be compelled to initiate appropriation proceedings for property outside its jurisdiction.The Supreme Court of Ohio reviewed the case and reversed the judgment of the Eighth District Court of Appeals. The court held that under Article I, Section 19 of the Ohio Constitution, a landowner whose property has been taken by a foreign municipality has standing to pursue a mandamus action to force the municipality to institute appropriation proceedings for compensation, regardless of whether the property is located within the municipality’s boundaries. The case was remanded for further proceedings, including consideration of the statute-of-limitations issue. View "State ex rel. Boggs v. Cleveland" on Justia Law
Anderson v. Bates
A group of landowners in Summit County, Utah, challenged a proposed ballot measure to incorporate a new municipality called West Hills. The sponsor of the incorporation, Derek Anderson, had modified the proposed boundaries after the statutory deadline for landowners to request exclusion from the new municipality had passed. As a result, certain landowners whose properties were added late were unable to seek exclusion, even though similarly situated landowners had previously been allowed to do so.The landowners filed suit in the Third District Court, Silver Summit, arguing that the Municipal Incorporation Code, as applied, violated the Uniform Operation of Laws Clause of the Utah Constitution. The district court granted summary judgment for the landowners, finding the code unconstitutional as applied and invalidating the certification of the West Hills ballot measure. The court determined that the plaintiffs were “specified landowners” who would have been entitled to exclusion if their properties had been added earlier, and that the legislature’s interest in certainty did not justify the disparate treatment.The sponsor then filed an emergency petition for extraordinary relief with the Supreme Court of the State of Utah, seeking to overturn the district court’s order before the upcoming election. The Utah Supreme Court, after expedited briefing and oral argument, denied the petition for extraordinary relief. The court held that, under the unique circumstances, it would not exercise its discretion to issue a writ due to the potential disruption and confusion in the election process, including the risk of voter suppression and interference with electioneering efforts. The denial was without prejudice to the sponsor’s ability to pursue an appeal or interlocutory review of the district court’s order. View "Anderson v. Bates" on Justia Law
Clark v. City of Pasadena
The plaintiff resided at an apartment complex with his son, who was arrested for aggravated armed robbery by the local police department. After the arrest, the police informed the apartment management, which then evicted both the plaintiff and his son based on a lease provision prohibiting criminal conduct. The plaintiff sought information about his son’s arrest from the city and police department under the Texas Public Information Act, but his request was denied after the city consulted the Texas Attorney General and invoked a law-enforcement exception.In the United States District Court for the Southern District of Texas, the plaintiff filed suit against the city, the police department, the apartment complex, a debt collection agency, and the Texas Attorney General, alleging violations of the U.S. Constitution, the Fair Debt Collection Practices Act, and Texas law. All defendants either appeared, filed answers, or moved to dismiss. The plaintiff moved for default judgment against each defendant, but the district court denied those motions and granted the defendants’ motions to dismiss. On appeal, the plaintiff only challenged the denial of default judgment, as he did not brief arguments regarding the dismissals and thus forfeited them.The United States Court of Appeals for the Fifth Circuit reviewed only the denial of default judgment for abuse of discretion. The court held that default judgment was not warranted because the city, police department, and debt collector had all appeared or answered, and the Attorney General had not been properly served. The court also found that arguments regarding attorney conflict and judicial bias were either forfeited or unsupported. The Fifth Circuit affirmed the district court’s denial of default judgment. View "Clark v. City of Pasadena" on Justia Law
Legacy Hsing v. City of Horseshoe Bay
Legacy Housing Corporation purchased several hundred vacant lots in Horseshoe Bay, Texas, intending to develop manufactured housing. The lots were subject to zoning restrictions, including a cap on speculative housing permits, contractor requirements, utility hookup fees, and setback rules. Legacy also acquired adjacent land in the city’s extraterritorial jurisdiction (ETJ) to build a road connecting the lots to a nearby highway, but this land was restricted to agricultural and residential use. Despite these limitations, Legacy constructed a road over the ETJ property, a greenbelt strip, and some development lots, advertising it as a shortcut and access to planned amenities. The City and other defendants opposed the road, citing violations of existing restrictions. Legacy alleged a conspiracy among the City, the property owners’ association (POA), and developers to prevent its development.The United States District Court for the Western District of Texas addressed multiple claims and counterclaims. It denied Legacy’s motion to dismiss the City’s counterclaims, granted the City’s motion to dismiss most claims against it, and granted summary judgment to all defendants on the remaining claims, including regulatory takings, Section 1983 violations, civil conspiracy, breach of fiduciary duty, negligence, and a strips and gores claim. Legacy’s own motion for partial summary judgment was denied, and final judgment was entered.On appeal, the United States Court of Appeals for the Fifth Circuit affirmed the district court’s rulings, with one modification. The appellate court held that Legacy’s regulatory takings claim regarding the two-permit cap was not prudentially ripe and should be dismissed without prejudice. The court otherwise affirmed summary judgment for the defendants, finding no genuine dispute of material fact and concluding that Legacy did not have property rights to build the road, nor did the defendants breach any legal duties or restrictive covenants. View "Legacy Hsing v. City of Horseshoe Bay" on Justia Law