Justia Real Estate & Property Law Opinion Summaries

Articles Posted in Government & Administrative Law
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Plaintiff Olen Properties Corp. owned commercial property in the City of Newport Beach (the City) within an area known as the Koll Center. The Koll Center was a mixed-use development area, near the John Wayne Airport, San Joaquin Freshwater Marsh Reserve, and the University of California, Irvine. It was located within the “Airport Area,” a portion of the City adjacent to John Wayne Airport, governed by the City’s Airport Business Area Integrated Conceptual Development Plan. In 2020 and 2021, the City considered and approved the request of Real Party in Interest TPG (KCN) Acquisition, LLC (TPG) to develop a five-story, 312-unit residential housing project (the Project) on an existing surface parking lot serving the Koll Center’s existing commercial tenants. In an effort to comply with the California Environmental Quality Act (CEQA), the City obtained an addendum (the Addendum) to an existing environmental impact report prepared in 2006 (the 2006 EIR) as part of its general plan update. The Addendum considered a wide range of possible environmental impacts but concluded the Project’s impacts “would either be the same or not substantially greater than those described by the [2006 EIR].” Plaintiff opposed approval of the Project before the City. Among other things, plaintiff argued the City could not rely upon an addendum to the 2006 EIR and was legally required to obtain a subsequent EIR. After the City’s approval of the Project, plaintiff filed suit, seeking a writ of mandate compelling the City to void its approval for violation of CEQA, and for injunctive relief, barring construction at the site. The trial court explained its denial in an extensive written ruling, addressing and rejecting each of plaintiff's arguments. The Court of Appeal concurred with the trial court's judgment and affirmed. View "Olen Properties Corp. v. City of Newport Beach" on Justia Law

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Jones Lang LaSalle Brokerage, Inc. (JLL) represented both parties to an agreement to lease property in northwest Washington, D.C. Because dual representations of that kind pose inherent conflicts of interest, the District of Columbia’s Brokerage Act required JLL to obtain the written consent of all clients on both sides. JLL’s client on the landlord side of the transaction, 1441 L Associates, LLC, declined to pay JLL’s commission. JLL then brought this action to recover the commission. In defending against the suit, 1441 L argued that JLL, when disclosing its dual representation, failed to adhere to certain formatting specifications set out in the Brokerage Act that aim to highlight such a disclosure. The district court granted summary judgment to 1441 L.   The DC Circuit vacated and remand for further proceedings. The court concluded that that the Act does not invariably require adherence to those formatting specifications. Rather, the specifications go to whether the broker can gain an optional presumption that it secured the required written consent for its dual representation. Even without the benefit of that presumption, a broker can still demonstrate that it obtained the requisite written consent. View "Jones Lang Lasalle Brokerage, Inc. v. 1441 L Associates, LLC" on Justia Law

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Plaintiffs Richard Lauckhart and Sharon and Ronald Baumgartner as trustees of the Baumgartner Family Revocable Trust filed suit to prevent defendant El Macero Homeowners Association, a California nonprofit mutual benefit corporation (the Association), from acquiring property as common area and subjecting the plaintiffs’ residential subdivision to the requirements of the Davis-Stirling Common Interest Development Act, including the levy of assessments to maintain the common area. In their second amended complaint, plaintiffs sought to cancel due to fraud a recorded declaration of covenants, conditions, and restrictions (CC&Rs) under which the Association acts, enjoin the Association from accepting real property as common area or using assessments to fund its maintenance, and receive a judicial declaration that the declaration of CC&Rs was void and that the subdivision was not subject to the Davis-Stirling Act. The trial court sustained a general demurrer to the second amended complaint without leave to amend, finding the cancelation cause of action was time barred and did not plead fraud with particularity, the Association’s acquisition of the land was protected under the business judgment rule and could not be enjoined, and the request for declaratory relief was derivative of the other dismissed causes of action. Finding no reversible error in this judgment, the Court of Appeal affirmed. View "Lauckhart v. El Macero Homeowners Assn." on Justia Law

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In these two consolidated cases involving claims brought against the Electric Reliability Council of Texas, Inc. (ERCOT) the Supreme Court answered, among other questions, that ERCOT is a governmental unit as defined in the Texas Tort Claims Act and is thereby entitled to pursue an interlocutory appeal from the denial of a plea to the jurisdiction.CPS Energy sued ERCOT and several of its officers for, inter alia, breach of contract. The trial court denied ERCOT'S plea to the jurisdiction. Ultimately, the court of appeals held that ERCOT was a governmental unit entitled to take an interlocutory appeal. In the second case, Panda sued ERCOT for, inter alia, fraud. The trial court denied ERCOT's pleas to the jurisdiction. The court of appeals ultimately held that ERCOT was not entitled to sovereign immunity. The Supreme Court affirmed in the first case and reversed in the other, holding (1) ERCOT was entitled to pursue an interlocutory appeal from the denial of a plea to the jurisdiction; (2) the Public Utility Commission of Texas has exclusive jurisdiction over the parties' claims against ERCOT; and (3) ERCOT was entitled to sovereign immunity. View "CPS Energy v. Electric Reliability Council of Texas" on Justia Law

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The Supreme Court affirmed the order of the Nebraska Tax Equalization and Review Commission (TERC) reversing three decisions made by the Lincoln County Board of Equalization upholding the assessed value of certain property for tax years 2018 through 2020, holding that TERC did not err in finding the Board's decision to uphold the valuations was arbitrary and unreasonable.The property at issue was subject to rent restrictions under the Internal Revenue Code. Appellant protested the 2018, 2019, and 2020 valuations of the property, and the Board of affirmed the county assessor's valuation for each year. After a hearing, TERC reversed. The Supreme Court affirmed, holding (1) TERC correctly determined that the property's assessed value was arbitrary and unreasonable for each year; and (2) TERC was permitted to consider all evidence of actual value on appeal and was not limited to the income approach. View "Lincoln County Bd. of Equalization v. Western Tabor Ranch Apartments, LLC" on Justia Law

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The Monte Vista Villas Project, on the site of the former Leona Quarry, has been in development since the early 2000s. The developers planned to close the 128-acre quarry site, reclaim it, and develop the land into a residential neighborhood with over 400 residential units, a community center, a park, pedestrian trails, and other recreational areas. In 2005, the developers entered into an agreement with Oakland to pay certain fees to cover the costs of its project oversight. The agreement provided that the fees set forth in the agreement satisfied “all of the Developer’s obligations for fees due to the City for the Project.” In 2016, Oakland adopted ordinances that imposed new impact fees on development projects, intended to address the effects of development on affordable housing, transportation, and capital improvements, and assessed the new impact fees on the Project, then more than a decade into development, when the developers sought new building permits.The trial court vacated the imposition of the fees and directed Oakland to refrain from assessing any fee not specified in the agreement. The court of appeal reversed, finding that any provision in, or construction of, the parties’ agreement that prevents Oakland from imposing the impact fees on the instant development project constitutes an impermissible infringement of the city’s police power and is therefore invalid. View "Discovery Builders, Inc. v. City of Oakland" on Justia Law

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According to allegations in the complaint, for over forty years, Monsanto was the only U.S. manufacturer of polychlorinated biphenyls (“PCBs”). The federal government and states spent enormous sums cleaning up PCB environmental contamination. The State of Delaware alleged Monsanto knew that the PCBs it produced and sold to industry and to consumers would eventually be released into the environment and would cause lasting damage to public health and the State’s lands and waters. The State brought this action to hold Monsanto responsible for its cleanup costs, asserting claims for public nuisance, trespass, and unjust enrichment. A Delaware superior court dismissed the complaint, reasoning that even though the State alleged Monsanto knew for decades PCBs that were toxic and would contaminate the environment for generations, the State: (1) could not assert a public nuisance claim or trespass claim because Monsanto manufactured PCB products, which entered the environment after sale to third parties; (2) State did not have standing to bring a trespass claim because it held public lands in trust rather than outright and therefore did not have the exclusive possession of land needed to assert a trespass claim; (3) the superior court held it lacked subject matter jurisdiction to hear the unjust enrichment claim as a standalone claim; and (4) the State could not use an unjust enrichment claim to recover future cleanup costs. The Delaware Supreme Court found the State pled sufficiently that even though Monsanto did not control the PCBs after sale it substantially participated in creating the public nuisance and causing the trespass by actively misleading the public and continuing to supply PCBs to industry and consumers knowing that PCBs were hazardous, would escape into the environment after sale to third parties, and would lead to widespread and lasting contamination of Delaware’s lands and waters. Further, the Supreme Court found the State alleged that it owned some land directly and therefore had exclusive possession of that land needed to assert a trespass claim. The Court affirmed in all other respects, and remanded the case for further proceedings. View "Delaware v. Monsanto Company" on Justia Law

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This case stemmed from a 2019 lease by Respondents the City of Sandpoint (“the City”) to The Festival at Sandpoint (“The Festival”), a nonprofit corporation, to operate a multi-day music concert series in War Memorial Field Park. The Festival had a long-standing policy of prohibiting festival patrons from bringing weapons, including firearms, into the event. On August 9, 2019, Scott Herndon and Jeff Avery purchased tickets to the festival and attempted to enter. Avery openly carried a firearm and Herndon possessed a firearm either on his person or in a bag (the record was unclear on this point). Security personnel for the event denied entry to both. After discussions with a City police officer and the City’s attorney, who was coincidentally attending the same event in his private capacity, Herndon and Avery eventually left the music festival and received a refund for their tickets. Appellants Herndon, Avery, the Idaho Second Amendment Alliance, Inc., and the Second Amendment Foundation, Inc. subsequently sued the City and The Festival, asserting several claims, including seeking injunctive relief prohibiting the Respondents from violating the Idaho and United States Constitutions, particularly the Second Amendment and the Idaho Constitution’s provision securing the right to keep and bear arms in public for all lawful purposes. The district court ultimately granted the Respondents’ motions for summary judgment, awarded both the City and The Festival attorney fees and costs, and dismissed all the Appellants’ claims with prejudice. The issue raised on appeal was whether a private party who leased public property from a municipality may govern those who come and go from the property during the lease. The Idaho Supreme Court responded in the affirmative, and affirmed the district court's judgment. View "Herndon v. City of Sandpoint" on Justia Law

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The Supreme Court affirmed the decision of the district court denying Hamilton Southside Historic Preservation Association's (HSHPA) petition for a writ of certiorari challenging four decisions of the Hamilton Zoning Board of Adjustment (ZBA), holding that the district court did not err.Specifically, the Supreme Court held that the district court did not err in determining that the ZBA did not abuse its discretion when it (1) issued a conditional use permit to the Roman Catholic Bishop of Helena to construct and use a new church structure after demolition of the St. Francis Catholic Church; (2) approved a rear-yard setback variance; (3) approved a steeple height variance; and (4) upheld the zoning administrator's approval of a joint use parking agreement for the new structure. View "Hamilton Historic Preservation Ass'n v. Zoning Bd. of Adjustment" on Justia Law

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The Court of Appeals affirmed the judgment of the appellate court concluding that the circuit court erred in determining that there was no public road over the parcel of real property in St. Mary's County at issue in this case but did not err in determining that the County owned the property in fee simple absolute, holding that the appellate court did not err.The trustee of the Wilkinson Family Trust sued the Board of County Commissioners of St. Mary's County asserting ownership of the property at issue. The circuit court found that the County owned the property in fee simple absolute and that no public road existed on the property. The appellate court vacated the judgment and remanded the case. The Court of Appeals affirmed, holding that the appellate court (1) did not err in concluding that the County owned the property in fee simple absolute; and (2) did not err in holding that, as a matter of law, a public road was established on the property by dedication. View "Bd. of County Commissioners v. Aiken" on Justia Law