Justia Real Estate & Property Law Opinion Summaries

The Supreme Court affirmed the judgment of the district court dismissing K&J Investments, LLC's petition and complaint for judicial review, rescission, and unjust enrichment against the Flathead County Board of Commissioners and Flathead County Treasurer, holding that the district court properly dismissed all claims for want of jurisdiction.K&J, an investment company, purchased a tax sale certificate from Flathead County for the property at issue for $1,512. K&J later filed an application for refund and abatement due to alleged erroneous property assessments. The Flathead County Board of Commissioners denied the application. K&J filed a petition for judicial review seeking to reverse the Commissioners' denial of tax refund and abatement and including a complaint for rescission of the tax sale certificate and seeking relief for all taxes paid under a theory of unjust enrichment. The district court dismissed the petition and complaint, ruling that it lacked subject matter jurisdiction because K&J did not follow the required process for seeking reassessment and exhausting administrative remedies. The Supreme Court affirmed, holding that Mont. Code Ann. 15-16-604 did not grant the district court authority to consider K&J's claims. View "K & J Investments, LLC v. Flathead County" on Justia Law

RFM-TREI Jefferson Apartments, LLC; RFM-TREI Lincoln Apartments, LLC; Dickinson Homestay, LLC; and Lodgepros Dickinson, LLC (together “the Taxpayers”) appealed district court judgments affirming the Stark County Board of Commissioners’ (“the Board”) denials of their applications for tax abatements or refunds. The Taxpayers collectively owned two apartment complexes and two hotels located in the City of Dickinson. The Taxpayers filed applications for abatement or refund of their 2016 property taxes. The Taxpayers’ opinions of value for each property differed from the City’s valuations by a range of roughly $1.8 million to $20.3 million. After holding a hearing, the City recommended the Board deny each application. The Board indeed denied the abatement applications in four separate written decisions. Using the same language in each, the Board concluded the assessor’s valuations were not “in error, invalid, inequitable, unjust, or arrived at in an arbitrary, capricious, or unreasonable manner.” The decisions also explained the Board did not believe the Taxpayers provided “sufficient enough information relating to the subject properties, or the local market for competing properties, to lead us to the same value conclusions requested by the applicant.” The district court affirmed each denial in separate, written orders and judgments. After review, the North Dakota Supreme Court concluded the Board acted arbitrarily and unreasonably in adopting assessments exceeding the true and full value of the property. The Court reversed the district court judgments and the Board’s decisions denying the Taxpayers’ abatement applications. The matters were remanded for a new hearing to determine the “true and full value” of the properties and reconsideration of the abatement applications. View "RFM-TREI Jefferson Apartments v. Stark County Board of Comm'rs" on Justia Law

National Butterfly Center, a 100-acre wildlife sanctuary and botanical garden owned by the nonprofit North American Butterfly Association, lies along the border with Mexico. The U.S. Department of Homeland Security (DHS) planned to build a segment of the border wall through the Center. The Association sued, citing the Fourth and Fifth Amendments and two environmental statutes. DHS has not analyzed the environmental impact of border wall-related activities at the Center (42 U.S.C. 4332(2)(C)), nor consulted with other federal agencies about how to minimize the impact of those activities on endangered species. An appropriation act subsequently prohibited funding for border fencing at the Center.The district court dismissed all claims, citing the Illegal Immigration Reform and Immigrant Responsibility Act of 1996, 8 U.S.C. 1103, as stripping jurisdiction over the statutory claims because the DHS Secretary waived the application of environmental laws with respect to the construction of roads and physical barriers at the Center.The D.C. Circuit affirmed in part, first holding that the claims were not moot and that jurisdiction over the statutory claims was not stripped by IIRIRA, nor was review channeled directly to the Supreme Court. The court held that DHS’s waiver determination defeats the statutory claims, that the Association failed to state a Fourth Amendment claim of unreasonable seizure of property it acknowledges to be “open fields,” but that the Association stated a procedural due process claim under the Fifth Amendment. View "North American Butterfly Association v. Wolf" on Justia Law

Quail's 47,480-square-foot unincorporated Sonoma County property contained two houses, garages, and several outbuildings. In 2013, a building with hazardous and unpermitted electrical wiring, hazardous decking and stairs, unpermitted kitchens and plumbing, broken windows, and lacking power, was destroyed in a fire. Two outbuildings, unlawfully being used as dwellings, were also damaged. One report stated: “The [p]roperty . . . exists as a makeshift, illegal mobile home park and junkyard.” After many unsuccessful attempts to compel Quail to abate the conditions, the county obtained the appointment of a receiver under Health and Safety Code section 17980.7 and Code of Civil Procedure section 564 to oversee abatement work. The banks challenged a superior court order authorizing the receiver to finance its rehabilitation efforts through a loan secured by a “super-priority” lien on the property and a subsequent order authorizing the sale of the property free and clear of U.S. Bank’s lien.The court of appeal affirmed in part. Trial courts enjoy broad discretion in matters subject to a receivership, including the power to issue a receiver’s certificate with priority over pre-existing liens when warranted. The trial court did not abuse its discretion in subordinating U.S. Bank’s lien and confirming the sale of the property free and clear of liens so that the receiver could remediate the nuisance conditions promptly and effectively, but prioritizing the county’s enforcement fees and costs on equal footing with the receiver had no basis in the statutes. View "County of Sonoma v. U.S. Bank N.A." on Justia Law

Appellant Derrick Lingnaw, a registered sex offender, sought declaratory relief from the district court asking whether he could legally reside on his property. The district court found Lingnaw’s residence was within five hundred feet of property on which a school was located, as that term was used in Idaho Code section 18-8329(1)(d). The court thus denied Lingnaw’s request to enjoin the Custer County Sheriff, Stuart Lumpkin, from interfering with Lingnaw’s ability to reside on his property. The court also denied Sheriff Lumpkin’s request for attorney fees and costs. On appeal, the parties mainly disputed the district court’s finding that Lingnaw’s residence was within five hundred feet of a school. After review, the Idaho Supreme Court affirmed the district court's ruling that Lingnaw's property was within five hundred feet of property on which a school was located. Lingnaw raised a question of fact as to whether the building, ruled as a "school," was simply a gymnasium and building leased by the Bureau of Land Management (“BLM”); Lingnaw argued the plain meaning of “school” required some form of traditional educational instruction. The trial court found “that the gymnasium, as contemplated by the statute, is a school building utilized by the school for school functions on a regular basis . . . for sporting events and other school activities. And children are coming and going from that building on a regular basis.” Because it was “clear from the evidence” that Lingnaw’s property fell “well within” five hundred feet or the buildings’ property line, the district court found that Lingnaw lived within five hundred feet of a school. To this, the Supreme Court concurred. The district court's judgment was affirmed in all other respects. View "Lingnaw v. Lumpkin" on Justia Law

Appellant operating company, Stephens & Johnson Operating Company (Operator), requested an award of attorney fees and costs in this case brought under the Oklahoma Surface Damages Act. Operator claimed it was entitled to the fees and costs as the prevailing party in the underlying suit since the State of Oklahoma ex rel. the Commissioners of the Land Office (Surface Owner) did not recover a jury verdict greater than the appraisers' award. The Oklahoma Supreme Court found the statutes in question did not provide for fees and costs to the prevailing party but instead imposed specific conditions which were not satisfied in this case. View "Oklahoma, ex rel. Comm'rs of Land Office v. Stephens & Johnson Operating Co., Inc." on Justia Law

Petitioners and respondents owned real property in McClain County, Oklahoma, containing and abutting Colbert Lake (the Lake). Petitioners also owned real property containing Colbert Creek, which was the sole source of water that fed the Lake. Respondents sought a permit from the Oklahoma Water Resources Board (OWRB), to sell water from the Lake to oil companies for use in fracking operations. The only notice that the OWRB provided to petitioners of the respondents' permit application was by publication in newspapers. The permits were issued, and petitioners subsequently filed suit at the district court, arguing that they were not given proper and sufficient notice of the permit proceedings. The district court dismissed the lawsuit in a certified interlocutory order, and petitioners appealed. The Oklahoma Supreme Court granted certiorari to address the proper, constitutionally required notice to landowners in such proceedings. The Court held that the notice given was inadequate, therefore judgment was reversed and the matter remanded for for further proceedings. View "Purcell v. Parker" on Justia Law

The appellant property owners (“Taxpayers”) allowed billboards to be placed their lands. The appellee local taxing authorities, Chester-Upland School District and Chichester School District (the “School Districts”), filed 22 assessment appeals relating to the subject properties for tax years 2014 and forward. In their appeals, the School Districts sought to increase the assessed value based on the presence of the billboards. After relief was denied by the county assessment board, the School Districts appealed to the Court of Common Pleas. Separately, four property owners also appealed to that court after their properties were reassessed due to the presence of billboards. The issue presented for the Pennsylvania Supreme Court's review was whether the presence of a billboard on a property could affect the valuation of that property, such as where the landowner was entitled to ongoing payments pursuant to a lease with the billboard company. The Supreme Court found the Pennsylvania General Assembly has directed that billboards and their supporting structures were not real estate for tax assessment purposes. Here, the Court concluded the Commonwealth Court appropriately concluded that, although a billboard’s value may not itself be considered when assessing the underlying real property’s value, any increase in such value attributable to the billboard’s presence could be considered. View "In Re: Consol Apl of Chester-Upland SD, et al -" on Justia Law

Appellants Fred and Jolene Fouse owned two parcels of land in Huntingdon County, Pennsylvania, identified which they used as their primary residence from the time they acquired the two parcels in 1976 and 1987, respectively. Eventually, the Fouses fell behind in paying their property taxes. As mandated by the Real Estate Tax Sale Law (RETSL), the Huntington County Tax Claim Bureau scheduled an upset tax sale. Appellees Saratoga Partners, LP submitted the highest bid. Three months later, in December 2016, the Fouses filed a “petition to redeem property sold at tax sale,” even though Huntington County, a sixth class county, prohibited post-sale redemptions. Instead, the Fouses asserted, inter alia, a right to redeem under section 7293 of the Municipal Claims and Tax Liens Act (MCTLA), by paying the amount paid by Saratoga at the tax sale. In their brief, the Fouses acknowledged that the MCTLA applied only to first and second class counties, but the absence of a right of redemption provision in the RETSL resulted in citizens of second class A through eighth class counties being treated less favorably than citizens of first and second class counties, in violation of the equal protection provisions of the federal and state constitutions. After review, the Pennsylvania Supreme Court concluded the General Assembly’s decision to omit the right of post-sale redemption from the RETSL was constitutional because it was rationally related to a legitimate state interest. Accordingly, the Court affirmed the Commonwealth Court's order upholding the denial of the Fouses' petition for redemption. View "Fouse v. Saratoga Partners, et al" on Justia Law

Freed owed $735.43 in taxes ($1,109.06 with penalties) on his property valued at about $97,000. Freed claims he did not know about the debt because he cannot read well. Gratiot County’s treasurer filed an in-rem action under Michigan's General Property Tax Act (GPTA), In a court-ordered foreclosure, the treasurer sold the property to a third party for $42,000. Freed lost his home and all its equity. Freed sued, 42 U.S.C. 1983, citing the Takings Clause and the Eighth Amendment.The district court first held that Michigan’s inverse condemnation process did not provide “reasonable, certain, and adequate” remedies and declined to dismiss the suit under the Tax Injunction Act, which tells district courts not to “enjoin, suspend or restrain the assessment, levy or collection of any tax under State law where a plain, speedy and efficient remedy may be had" in state court, 28 U.S.C. 1341. The court reasoned that the TIA did not apply to claims seeking to enjoin defendants from keeping the surplus equity and that Freed was not challenging his tax liability nor trying to stop the state from collecting. The TIA applied to claims seeking to enjoin enforcement of the GPTA and declare it unconstitutional but no adequate state court remedy existed. The court used the same reasoning to reject arguments that comity principles compelled dismissal. After discovery, the district court sua sponte dismissed Freed’s case for lack of subject matter jurisdiction, despite recognizing that it was “doubtful” Freed could win in state court. The Supreme Court subsequently overturned the "exhaustion of state remedies" requirement for takings claims.The Sixth Circuit reversed without addressing the merits of Freed’s claims. Neither the TIA nor comity principles forestall Freed’s suit from proceeding in federal court. View "Freed v. Thomas" on Justia Law