Justia Real Estate & Property Law Opinion Summaries

Articles Posted in Government & Administrative Law
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The Supreme Court reversed the decision of the Missouri Mining Commission awarding attorney fees and expenses in favor of Fowler Land Company and the Margaret Leist Revocable Trust (collectively, Landowners) after Landowners prevailed in litigation concerning the creation of water impoundments on their property, holding that the Commission erred in awarding fees and expenses.Alternative Fuels, Inc. (AFI) leased land from Landowners, who consented to AFI's creation of water impoundments on their property, but AFI constructed additional impoundments without consent. Missouri Department of Natural Resources (DNR) initiated enforcement actions against AFI, after which AFI received approval for a permit revision. The Commission upheld the approval. The circuit court reversed. On remand, the Commission denied the permit revision application. Thereafter, Landowners filed an application for attorney fees and expenses arguing that they were the prevailing party and were entitled to attorney fees. The Commission granted the application. The Supreme Court reversed, holding that Landowners' fee application was untimely, and therefore, the Commission erred in awarding Landowners attorney fees and expenses. View "State ex rel. Dep't of Natural Resources v. Fowler Land Co." on Justia Law

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Show Me State Premium Homes wants its purchase of a foreclosed property to be free and clear of all other interests, including those belonging to the United States. Getting what it wants would require a “judicial sale.” After removing the case the United States filed a motion to dismiss. Its position was that there could be no foreclosure without a judicial sale. The district court agreed, declined to exercise supplemental jurisdiction over what remained, and remanded to state court.   The Eighth Circuit affirmed the judgment of the district court but modified the dismissal of the ejectment and damages claims to be without prejudice. The court explained that a buyer’s interest is only “inchoate” before it gets a valid deed, not after. And here, title vested once the bond company “exercised its right to have the legal title transferred.” No “judicial sale” ever took place, and it is too late to hold one now, meaning that the interests held by the United States have never been foreclosed. View "Show Me State Premium Homes, LLC v. George McDonnell" on Justia Law

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The Supreme Court vacated the judgment of the court of appeals determining that the Mill Creek Metropolitan Park District Board of Commissioners failed to comply with Ohio Rev. Code 1545.11 when it initiated appropriation proceedings to take private property owed by Landowner, holding that the trial court's orders denying Landowner's motions for summary judgment were not final, appealable orders.The Park District initiated appropriation proceedings against Landowner. Landowner answered by denying the necessity of the appropriation and the Park District's authority to appropriate the property. The trial court denied Landowner's motions for summary judgment. The court of appeals reversed and remanded with instructions to enter summary judgment for Landowner. The Supreme Court vacated the court of appeals' judgment, holding that the court erred in determining that the trial court's orders denying Landowner's motions for summary judgment were final, appealable orders. View "Mill Creek Metropolitan Park District Bd. of Commissioners v. Less" on Justia 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