Justia Real Estate & Property Law Opinion Summaries
Articles Posted in Constitutional Law
Chesapeake Bay Found. v. DCW Dutchship
In 2000, DCW Dutchship Island, LLC (DCW), a corporation wholly owned by Daryl Wagner, purchased the Little Island in the Magothy River. At that time, the Island measured approximately 1.92 acres in area and was improved by a single-family house and related structures built in the 1920s. Wagner demolished the house and built a new one. In November 2004, the County authorities discovered the construction activities on the Island and notified DCW of numerous violations. In December, DCW sought variances from the unobserved requirements of the Critical Area Law for each of the structures and improvements on the Island. DCW sought also an amendment to the critical area buffer map, which prohibited most development activity within 100 feet of the shoreline. A County Administrative Hearing Officer heard the evidence for and against the requests for variances. The Magothy River Association (MRA) appeared at the variance hearings to oppose DCW’s requests. The Hearing Officer granted some of the variances. Wagner administratively appealed the denials, and the MRA, the Chesapeake Bay Foundation (CBF), and the Maryland Critical Area Commission for the Chesapeake and Atlantic Coastal Bays appealed the decision to grant the variances, all to the County Board of Appeals. At the Anne Arundel County Board of Appeals (the “Board”) hearing, Wagner moved to dismiss MRA and CBF as parties to the administrative proceedings. The Board ultimately concluded that CBF did not have standing to appeal the granted variances because it did not participate in the hearing before the Administrative Hearing Officer (“AHO”). After 24 evenings of hearings on the subject, the Board revised the decision of the AHO to include certain conditions on the variances.The Maryland Critical Area Commission for the Chesapeake and Atlantic Coastal Bays (the Commission), MRA, CBF, and Wagner all sought judicial review of the Board’s decision at the Circuit Court. In addition, CBF filed a Motion for Summary Judgment limited to the issue of whether the Board improperly excluded CBF from the variance portion of the proceedings. The court denied all motions relevant to the variance matter. The Circuit Court then affirmed the decision of the Board. The Commission and CBF appealed the Circuit Court’s decision to the Court of Special Appeals, arguing that the Critical Area Act applied to the variance proceedings, that the Board erred in refusing to allow CBF to participate as a party in the administrative process, and that the Board did not base its decision on substantial evidence in the record. In an unreported opinion, the Court of Special Appeals rejected these arguments and affirmed the Circuit Court. MRA and CBF then petitioned the Court of Appeals for certiorari. The issues this case presented for the Court's review were: (1) whether CBF had standing to participate in the variance proceedings before the Board of Appeals on the grounds that MRA, which advocated the same position, had standing; (2) whether AACC 3-1-104(a) violated the Express Powers Act, thus making the Board’s denial of standing to CBF on the basis of it erroneous; (3) whether the Board of Appeals violated its own rules when it held that CBF could not cross-examine witnesses, resulting in CBF being denied due process; and (4) whether the Board of Appeals erred in granting Wagner after-the-fact variances. The Court answered the first three questions in the negative and the fourth in the affirmative, but only in part.
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1256 Hertel Avenue Associates v. Calloway
The New York State Legislature amended N.Y. C.P.L.R. 5206 in 2005, increasing the state's homestead exemption from $10,000 to $50,000. At issue was whether the 2005 Amendment's increased homestead exemption applied to judgment liens perfected prior to the amendment's effective date and, if so, whether application of the law to pre-enactment judgment liens violates the Takings Clause of the Fifth Amendment. The court held that the 2005 Amendment applies to all creditors and all obligations, including pre-existing obligations, regardless of whether the debt was reduced to a judgment lien prior to the statute's enactment; and (2) that retroactive application of the exemption does not constitute an uncompensated taking of pre-enactment judgment liens in violation of the Takings Clause. Accordingly, the court affirmed the judgment of the district court affirming the bankruptcy court's conclusion that there was been no taking of claimant's property. View "1256 Hertel Avenue Associates v. Calloway" on Justia Law
Olive Lake Industrial Park v. Co. of San Diego
Olive Lane Industrial Park owned real property that was taken by eminent domain. Within four years after the eminent domain order, Olive Lane acquired another parcel of property. About five years after the eminent domain order, for purposes of calculating property taxes on its new property, Olive Lane filed a request with the San Diego County tax assessor to transfer the condemned property's base year value to the replacement property, as permitted by California Constitution, article XIIIA. The County denied Olive Lane's request as untimely. After evaluating the constitutional and statutory provisions as a whole, the Court of Appeal concluded the Legislature did not intend to deprive a taxpayer who loses property through eminent domain of the right to obtain prospective application of the base year value transfer in the event the replacement property is acquired within the four-year statutory period but the claim is filed after the four-year period. Accordingly, the Court reversed the judgment and remanded the matter for further proceedings.
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Kinney v. Catholic Diocese of Biloxi, Inc.
Plaintiffs Frank Schmidt Sr. and other former parishioners of the St. Paul Catholic Church in Pass Christian appealed the second dismissal with prejudice of their claims against the Catholic Diocese of Biloxi, Inc., Most Reverend Thomas J. Rodi, and Rev. Dennis Carver. In 2005, Hurricane Katrina ravaged the Mississippi Gulf Coast. The storm caused extensive damage to the St. Paul Catholic Church and its ancillary properties. The actual church building was also damaged, although the extent of the damage is disputed by the parties. Plaintiffs insisted that the church remains structurally sound, that many of its sacred articles were unharmed, and that repair costs should be less than $2.5 million. Church Defendants maintain that the church and its most sacred places were “destroyed in large part.” Bishop Rodi issued a decree merging the St. Paul and Our Lady of Lourdes Parishes to form a new parish called the Holy Family Parish. The decree stated that the Holy Family Parish would maintain two church edifices, St. Paul Church and Our Lady of Lourdes Church. A number of St. Paul’s former parishioners, including some of the Plaintiffs in this case, filed a canonical appeal through the Roman Catholic Church’s ecclesiastical tribunals. In 2007, the Vatican issued a decree which stated that Bishop Rodi had acted in accordance with the requirements and procedures set forth under canon law. While the canonical appeal was pending, 157 former parishioners filed suit asserting, in part, that Bishop Rodi held the St. Paul Church property in trust for the members, that any financial contributions designated for reconstruction of the church were held in trust for that particular purpose, that Church Defendants had violated said trusts, and that Father Carver had made misrepresentations in soliciting donations for the rebuilding efforts. The Mississippi Supreme Court affirmed in part, finding that Plaintiffs lacked standing to assert the St. Paul property was held in trust for their benefit. However, the Court reversed and remanded the chancellor’s dismissal of the diversion-of-designated funds claim, as well as the claim against Father Carver for intentional misrepresentation, finding subject-matter jurisdiction existed over these claims. On remand, the chancellor denied Plaintiffs’ motions for additional discovery and granted Church Defendants’ motion for summary judgment, dismissing Plaintiffs’ claims with prejudice. Plaintiffs argued on appeal that the chancellor erred in dismissing their claims for diversion of designated funds and intentional misrepresentation. Because none of the Plaintiffs established the requisite elements for a diversion of designated funds, the Supreme Court affirmed the grant of summary judgment on this issue. In addition, because no Plaintiffs could establish a claim for intentional misrepresentation, the Court affirmed the grant of summary judgment on this issue. Therefore, the Court affirmed the Chancery Court's judgment.
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Kurtz v. Verizon New York, Inc.
Plaintiffs filed a putative class action alleging that Verizon installed multi-unit terminal boxes on their property without just compensation and violated their due process rights. The court concluded that Williamson Cnty. Reg'l Planning Comm'n v. Hamilton Bank of Johnson City applied to physical takings, with the recognition that the finality requirement was satisfied by a physical taking; in regards to plaintiffs' due process claims, Williamson County applies to such claims arising from the same circumstances as a takings claim; and plaintiffs have failed to exhaust their state remedies through an inverse condemnation proceeding. Accordingly, the court affirmed the judgment of the district court. View "Kurtz v. Verizon New York, Inc." on Justia Law
State ex rel. Wasserman v. City of Fremont
Stanley and Kathryn Wasserman are the successors in interest to an easement created in 1915 for the purpose of draining what is now their farmland over land now owned by the City of Freemont. After the City unilaterally replaced plastic drainage tiles across the easement with a single drainage pipe and rerouted the drainage pathway, the Wassermans sued in mandamus, alleging an unconstitutional taking. The court of appeals concluded that the City violated the easement and that the Wassermans were entitled to a determination of whether a taking had actually occurred. The Supreme Court reversed, holding (1) the express easement language gave the owner of the original servient estate the right to determine the lines by which the drainage system should run through the land, and as the current owner of the servient estate, the City retained the right to change the route of the drainage tile as long as it continued to drain the Wassermans’ land; and (2) under the facts of this case, the City did not violate the easement. View "State ex rel. Wasserman v. City of Fremont" on Justia Law
Porretto v. Tex. Gen. Land Office
The Porretto family owned several acres of property between the Galveston Seawall and the Gulf of Mexico. Due to the State’s repeated recharacterization of the Porretto’s property as public property, the Porrettos had difficulty selling the property. The Porrettos sued the State, arguing that the State’s claims made it impossible for them to sell their property and therefore amounted to a compensable taking. The trial court held that the State’s actions had resulted in a compensable taking and awarded the Porrettos $5.012 million as damages for the lost market value of the property taken. The court of appeals reversed, concluding that the State’s actions did not constitute a taking. The Supreme Court agreed with the court of appeals' conclusion that the State’s conduct did not constitute a taking and affirmed. View "Porretto v. Tex. Gen. Land Office" on Justia Law
Hescott v. City of Saginaw
Hescott, a U.S. Army pilot, has been routinely deployed to the Middle East. He and his son own a rental property in Saginaw, Michigan. When the property became vacant and they were unable to sell it in 2008, they planned to remodel it. In 2009 Hescott found that the basement wall had given way. He hired contractors to repair the foundation and returned to his post. Before the contractors could begin work, a police officer noticed children playing at the house and contacted the Dangerous Buildings Inspector. The Inspector and the Fire Marshal, determined that the house should be demolished immediately due to the threat to public safety. The city did not notify Hescott before or after the demolition. The house was demolished and all fixtures and materials were taken to a landfill. The city did not take an inventory or consider whether any salvageable items remained. When Hescott returned to assist his contractors with purchasing supplies, he realized his house was gone. The Hescotts sued under 42 U.S.C. 1983. Partial summary judgment left a viable claim under the Fourth Amendment for unlawful seizure of aluminum siding following demolition. Before trial, the Hescotts rejected an FRCP rule 68 offer of judgment of $15,000. The jury rejected inverse-condemnation and punitive damages claims, based on exigent circumstances, but awarded $5,000 for the aluminum. The court awarded costs to the Hescotts as “prevailing parties” on their Fourth Amendment claim, but denied attorney fees based on “the degree of success obtained,” and denied the city sanctions under Rule 68. The Sixth circuit reversed in part, holding that no special circumstances warranted denial of the Hescotts’ attorneys’ fees, but that attorneys’ fees are not awardable to a losing party, even one otherwise entitled to post-settlement-offer costs under Rule 68.View "Hescott v. City of Saginaw" on Justia Law
Rajamin v. Deutsche Bank Nat’l Trust Co.
Plaintiffs appealed the district court's dismissal of their claims against four trusts to which their loans and mortgages were assigned in transactions involving the mortgagee bank, and against those trusts' trustee. The district court granted defendants' motion to dismiss for failure to state a claim, finding that plaintiffs were neither parties to nor third-party beneficiaries of the assignment agreements and therefore lacked standing to pursue the claims. It is undisputed that in 2009 or 2010, each plaintiff was declared to be in default of his mortgage, and foreclosure proceedings were instituted in connection with the institution of said foreclosure proceedings, the trustee claimed to own each of plaintiff's mortgage and that plaintiffs are not seeking to enjoin foreclosure proceedings. Assuming that these concessions have not rendered plaintiffs' claims moot, the court affirmed the district court's ruling that plaintiffs lacked standing to pursue their challenges to defendants' ownership of the loans and entitlement to payments. Plaintiffs neither established constitutional nor prudential standing to pursue the claims they asserted. View "Rajamin v. Deutsche Bank Nat'l Trust Co." on Justia Law
Hale v. Ward County
Robert Hale, individually and on behalf of the State of North Dakota, and Susan Hale appealed a summary judgment dismissing their public nuisance claim against Ward County and the City of Minot. The Hales had a house on agricultural land about one mile southeast of a shooting range in Ward County, which was used to train local, state, and federal law enforcement officers. Several other farms and homes are located near the Hales' property and the law enforcement shooting range, and County Road 12 runs adjacent to the west side of that shooting range. In "Gowan v. Ward Cnty. Comm.," (764 N.W.2d 425), the Supreme Court affirmed a Ward County Commission zoning decision denying an application to rezone neighboring land, which is about one-quarter mile downrange from the law enforcement shooting range, from agricultural to residential for construction of a residential subdivision. The Ward County Commission denied Gowan's application, citing safety concerns resulting from the proximity of his land to the law enforcement shooting range. In "Hale v. Ward Cnty.", the Supreme Court affirmed the summary judgment in part, reversed in part, and remanded for further proceedings on the Hales' public nuisance claim. The Court discussed the differences between a private and a public nuisance and explained different evidence was relevant to the Hales' claims for a private and a public nuisance. The Court affirmed the summary judgment dismissing the Hales' private nuisance claim, concluding they failed to present competent evidence supporting their claim the law enforcement shooting range posed a danger to their property. The Court reversed the summary judgment on the Hales' public nuisance claim about use of County Road 12 and remanded for further proceedings on that claim. The Court recognized, however, that Ward County and Minot had not argued the Hales failed to meet the "specially injurious" requirement for a public nuisance claim under N.D.C.C. 42-01-08, and neither the parties nor the district court had addressed the propriety of the Hales bringing an action to abate the law enforcement shooting range under N.D.C.C. ch. 42-02. On remand, the district court concluded "private citizens can bring an action 'ex rel.', but as a threshold matter, such citizens must first satisfy the special injury showing of N.D.C.C. § 42-01-08 or their public nuisance claim must be dismissed." The court granted Ward County and Minot summary judgment on the remanded claim for public nuisance regarding the Hales' use of County Road 12, concluding as a matter of law they failed to meet the "specially injurious" requirement for a private person to maintain a public nuisance claim under N.D.C.C. § 42-01-08. The court also denied the Hales' request to join additional neighbors as parties to their action. The Hales argue the district court erred in granting summary judgment on their public nuisance claim, and in denying their joinder request. Finding no reversible error, the Supreme Court affirmed the district court.
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