Justia Real Estate & Property Law Opinion Summaries

Articles Posted in Government & Administrative Law
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Property owners sued the Matanuska-Susitna Borough, challenging the validity of easements that cross their property to give access to neighboring residences. The superior court dismissed most of the property owners’ claims on res judicata grounds, reasoning that the claims had been brought or could have been brought in two earlier suits over the same easements. The court also granted the Borough’s motions for summary judgment or judgment on the pleadings on the property owners’ claims involving the validity of construction permits, redactions in public records, and whether the Borough had acquired a recent easement through the appropriate process. One claim remained to be tried: whether the Borough violated the property owners’ due process rights by towing their truck from the disputed roadway. The court found in favor of the Borough on this claim and awarded the Borough enhanced attorney’s fees, finding that the property owners had pursued their claims vexatiously and in bad faith. The property owners appealed. The Alaska Supreme Court concluded the superior court correctly applied the law and did not clearly err in its findings of fact. Therefore, the superior court’s judgment was affirmed. View "Windel v Matanuska-Susitna Borough" on Justia Law

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Cathy Mixon sued the Georgia Department of Transportation (“GDOT,” or “the State”), claiming nuisance and inverse condemnation based on alleged flooding on her property following a road-widening project. Mixon claimed GDOT’s failure to maintain its storm water drainage systems resulted in regular flooding, drainage, and erosion problems “within and around” her property. Her complaint sought “just and adequate compensation” for the alleged taking, other money damages, attorney fees, and a permanent injunction “to prevent future nuisance and continual trespass[.]” GDOT moved to dismiss, which the trial court granted in part and denied in part. In particular, the trial court dismissed any claims arising from professional negligence (due to the lack of an expert affidavit, as required by OCGA 9-11-9.1) and any claims arising more than four years prior to the filing of the complaint (due to the applicable statute of limitations). The trial court otherwise denied GDOT’s motion. Among other things, the trial court rejected GDOT’s argument that sovereign immunity barred Mixon’s claims. The Court of Appeals granted GDOT’s application for interlocutory appeal and then affirmed, holding in relevant part that the trial court did not err in ruling that sovereign immunity is waived for Mixon’s claims for damages and injunctive relief. The Georgia Supreme Court affirmed: because Mixon’s claim for injunctive relief ... fell into at least one of the two categories of situations in which the Just Compensation Provision acted as a waiver of sovereign immunity for injunctive relief. View "Dept. of Transportation v. Mixon" on Justia Law

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The City of Gulf Shores ("the City") petitioned the Alabama Supreme Court for a writ of mandamus to direct the Baldwin Circuit Court to dismiss tort claims brought against the City. The City contended the claims were barred by the recreational-use statutes found at 35-15-1 et seq., Ala. Code 1975. In June 2018, Sophia Paulinelli (minor) was injured while walking on a wooden boardwalk owned by the City. The boardwalk ran over beach property and allowed pedestrians to access the public beach. In addition to owning the boardwalk, the City owned the beach property on which the boardwalk sat. Sophia was walking on the boardwalk behind a man when the man stepped on a board, causing the board to spring up from the boardwalk. The dislodged board had a screw protruding from it, and the board and screw fell on Sophia's foot, impaling the screw in her big toe. In May 2019, Sophia's father, Ronald Paulinelli, sued the City and fictitiously named defendants claiming negligence and wantonness. The City moved for summary judgment, arguing it was entitled to immunity under the recreational-use statues. Two precedential cases were central to Ronald's argument the City was not entitled to immunity. The Supreme Court found nothing in the record that the City ever presented to the circuit court the arguments that it presented to the Supreme Court regarding the applicability of those decisions. Accordingly, the Court did not consider those arguments, and denied the City's petition. The Court expressed no opinion regarding the merits of Ronald's claims; rather the Court's decision was based on the City's failure to preserve key arguments before the circuit court. View "Ex parte City of Gulf Shores." on Justia Law

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Government Code 65915 requires that municipalities allow increased building density, and grant concessions and waivers of permit requirements, in exchange for an applicant’s agreement to dedicate a specified number of dwelling units to low-income or very low-income households. Neman proposed a Los Angeles mixed-use development, with retail space on the ground floor and 54 residential units above, including five very low-income units and five moderate-income units. The application included a Financial Feasibility Analysis, calculating the cost per unit as $1,106,847 without requested incentives, and $487,857 with incentives. At the City Planning Commission (CPC) hearing, a city planner stated that as a result of A.B. 2501, “financial pro formas, or financial analyses can no longer be considered as part of the density-bonus application.” The CPC approved the project including the requested density bonus plus increased floor area and maximum height, and two waivers (transitional height and rear yard setback requirements). Neighboring owners sued.The court of appeal upheld the approvals. Neither the statute nor the implementing ordinance requires the applicant to provide financial documentation to prove that the requested concessions will render the development “economically feasible.” CPC was required to grant the incentives unless it made a finding that they did not result in cost reductions. It did not make such a finding. It was not required to make an affirmative finding that the incentives would result in cost reductions. View "Schreiber v. City of Los Angeles" on Justia Law

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The City of Oakland sued under the Fair Housing Act, claiming that Wells Fargo’s discriminatory lending practices caused higher default rates, which triggered higher foreclosure rates that drove down the assessed value of properties, ultimately resulting in lost property tax revenue and increased municipal expenditures. In 2020, the Ninth Circuit affirmed the denial of Wells Fargo's motion to dismiss claims for lost property-tax revenues and affirmed the dismissal of Oakland's claims for increased municipal expenses.On rehearing, en banc, the Ninth Circuit concluded that all of the claims should be dismissed. Under the Supreme Court’s 2017 holding, Bank of America Corp. v. City of Miami, foreseeability alone is not sufficient to establish proximate cause under the Act; there must be “some direct relation between the injury asserted and the injurious conduct alleged.” The downstream “ripples of harm” from the alleged lending practices were too attenuated and traveled too far beyond the alleged misconduct to establish proximate cause. The Fair Housing Act is not a statute that supports proximate cause for injuries further downstream from the injured borrowers; the extension of proximate cause beyond that first step was not administratively possible and convenient. Oakland also failed sufficiently to plead proximate cause for its increased municipal expenses claim. View "City of Oakland v. Wells Fargo & Co." on Justia Law

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In 2014, Seven Hills LLC began developing a cannabis production and processing business in Chelan County, Washington. After Seven Hills procured the relevant permits and began building on its property, Chelan County (County) passed Resolution 2015-94, which placed a moratorium on siting new cannabis-related businesses. While the moratorium was in place, Seven Hills received the necessary state licenses and began operating its cannabis production and processing business. Shortly thereafter, the County passed Resolution 2016-14, which changed the relevant ordinances resulting in the barring of new cannabis-related businesses. Seven Hills received a notice and order to abate zoning from the County Department of Community Development, containing four allegations: that Seven Hills had (1) produced and processed cannabis in violation of Resolution 2016-14; (2) constructed and operated unpermitted structures; (3) operated unpermitted propane tanks; and (4) created a public nuisance. A hearing examiner found Seven Hills committed all four violations; the trial court and the Court of Appeals affirmed. The Washington Supreme Court held the County’s resolution declaring a moratorium on siting new cannabis production and processing activities did not amend or replace existing zoning ordinances, and that Seven Hills established a nonconforming use prior to adoption of Resolution 2016-14. Further, the Court held that Resolution 2016-14 did amend the County’s ordinances defining agricultural use, but did not retroactively extinguish vested rights. Accordingly, the Court of Appeals was reversed in part and the matter remanded for further proceedings. View "Seven Hills, LLC v. Chelan County" on Justia Law

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The School Board sought equitable relief from Crest Hill ordinances creating a real property tax increment financing (TIF) district and attendant redevelopment plan and project, pursuant to the Tax Increment Allocation Redevelopment Act (65 ILCS 5/11-74.4-1). The Board complained that Crest Hill violated the TIF Act by including parcels of realty in the redevelopment project area that were not contiguous. An excluded parcel is owned by the utility company, is located outside the incorporated boundaries of the municipality and the boundaries of the redevelopment project area, and physically separates the parcels the municipality found to be contiguous for purposes of including them in the redevelopment project area.The circuit court granted Crest Hill summary judgment. The Appellate Court reversed. The Illinois Supreme Court affirmed the reversal. A public-utility-right-of-way exception to the contiguity requirement for annexation, found in the Municipal Code (65 ILCS 5/7-1-1), does not apply as an exception to contiguity required by the TIF Act. This case does not involve contiguous properties running parallel and adjacent to each other in a reasonably substantial physical sense, wherein a public utility owns a right-of-way, or easement, to pass through one or both of the physically adjacent properties. View "Board of Education of Richland School District No. 88A v. City of Crest Hill" on Justia Law

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The Supreme Court denied as moot the writ of mandamus sought by Malcolm and Mary Wood seeking to compel Rocky River Board of Zoning and Building Appeals and its members (collectively, the zoning board) to stay their approval of a development plan and hear their appeals, holding that subsequent events had rendered the case moot.After the planning commission approved a proposed real estate development in Rocky River the Woods, who lived next to the site, filed an appeal. The zoning board declared the notice of appeal void on the grounds that the appeal was not completed or perfected within a timely fashion. The Woods subsequently filed a complaint for a writ of mandamus. The Supreme Court denied the writ of mandamus as moot because the construction of the project was substantially underway. View "State ex rel. Wood v. Rocky River" on Justia Law

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The City of Birmingham ("the City") appealed a circuit court's denial of its motion to vacate a quiet-title judgment in favor of Metropolitan Management of Alabama, LLC ("Metropolitan"). In 1999, the State of Alabama purchased a parcel of property at a tax sale. The City's Director of Finance conducted a public sale, selling and conveying a delinquent demolition assessment against the property. The City purchased that assessment interest and, in February 2007, recorded a deed showing the conveyance. In 2017, the property was sold by the State, and Michael Froelich, who was the managing member of Metropolitan, obtained title to the property by a tax deed. Froelich conveyed the property to Metropolitan by quitclaim deed. In 2018, Metropolitan commenced a quiet title action, naming Constance Wambo as a defendant possessing an interest in the property, and identified as fictitiously named defendants "any individuals and/or entities who may claim an interest now or in the future in the property ..., whose true identity is currently unknown to [the] Plaintiff." Metropolitan filed an affidavit in which Froelich averred that he, after a diligent search with the assistance of an attorney, had been unable to identify any other interest holders. In November 2019, the court entered a judgment quieting title to the property in Metropolitan, conveying to Metropolitan fee-simple title to the exclusion of all others, voiding any claims of the defendants, and making Metropolitan's claim of interest superior to any other. In early 2020, Metropolitan's attorney contacted counsel for the City regarding the City's recorded assessment interest. In June 2020, the City filed a motion to intervene in the quiet-title action and a motion to vacate the judgment as void under Rule 60(b)(4). The court denied the City's motion to vacate without stating grounds. The Alabama Supreme Court reversed, finding the law imputes to purchasers knowledge of the contents of recorded documents, and that such constructive notice of a defendant's residence generally suffices for "know[ledge]" of that residence under Rule 4.3(b). Metropolitan did not provide any reason why a reasonable probate-records search would not have disclosed the City's deed. Because Metropolitan had knowledge of the City's residence, Metropolitan's service by publication without first attempting another means of service failed to comply with Rule 4.3(b). View "City of Birmingham v. Metropolitan Management of Alabama, LLC" on Justia Law

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Petitioners, the Towns of Chester and Hudson (collectively, Towns), appealed a Board of Tax and Land Appeals (BTLA) order granting respondent Public Service Company of New Hampshire d/b/a Eversource Energy (PSNH) abatements of taxes assessed against its property located in Chester for tax years 2014 and 2016 and in Hudson for tax years 2014, 2015, and 2016. PSNH submitted an appraisal report prepared by its expert, Concentric Energy Advisors, Inc., setting forth the expert’s opinion of the aggregate fair market value of PSNH’s taxable property located in each municipality for each tax year. Two appraisers employed by the Towns’ expert, George E. Sansoucy, P.E., LLC (GES), used a substantially similar methodology in appraising the fair market value of the land interests. The BTLA compared the equalized market value to the aggregate assessed value for each municipality for each tax year. The BTLA concluded that an assessment was unreasonable and granted an abatement when it determined that the difference between the equalized market value and the aggregate assessed value was greater than five percent. The Towns argued that because both GES and Concentric relied upon the assessed value of PSNH’s land interests in reaching their opinions of fair market value, the values that the BTLA incorporated into its analysis “were already proportionate” and “should not have had the equalization ratio[s] applied to them.” The BTLA denied the Towns’ motion for reconsideration, noting that it based its calculations upon values that “were supplied by the [Towns] themselves in the stipulations agreed to by them” and adopting the arguments PSNH raised in its objection. Finding no reversible error in the BTLA's order, the New Hampshire Supreme Court affirmed. View "Appeal of Town of Chester et al." on Justia Law