Justia Real Estate & Property Law Opinion Summaries

Joan Hallin, John Hallin and Susan Bradford (collectively Hallin and Bradford) appeal from a judgment in favor of Inland Oil & Gas Corporation. In 2007, Hallin and Bradford each leased to Inland mineral interests they owned in 160 acres of land in Mountrail County. The leases provided Hallin and Bradford leased to Inland "all that certain tract of land situated in Mountrail County." Hallin and Bradford, along with members of their extended family, owned a fraction of the minerals in the entire 160 acres. On the basis of irregularities in the chain of title, it was unclear whether Hallin and Bradford collectively owned sixty net mineral acres or eighty net mineral acres when the parties executed the leases. Hallin and Bradford believed they owned sixty net mineral acres and their relatives owned sixty acres. When Hallin and Bradford executed the leases, they also received payment drafts for a rental bonus showing they each leased thirty acres to Inland. The leases provide royalty compensation based upon the number of net mineral acres. The North Dakota Supreme Court decided Hallin and Bradford collectively owned eighty net mineral acres and their relatives owned forty net mineral acres. Inland and Hallin and Bradford disagreed whether the leases covered all of Hallin and Bradford's mineral interests. Hallin and Bradford sued Inland, arguing they leased sixty acres and the remaining twenty acres were not leased. Inland argued Hallin and Bradford leased eighty acres because the leases cover all of their mineral interests. The district court granted summary judgment to Inland, concluding the leases were unambiguous and that "as a matter of law, the Hallins and Bradford leased to Inland whatever interest they had in the subject property at the time the leases were executed." Finding no reversible error in that judgment, the North Dakota Supreme Court affirmed. View "Hallin v. Inland Oil & Gas Corporation" on Justia Law

In 2015, Beach Railport, LLC commenced this action against the Donnell and Jeanne Michels, for the partition of real property in Golden Valley County. Beach Railport and the Michels each owned an undivided one-half interest in the subject property, consisting of two tracts of land totaling eighty acres: the "North Forty" and the "South Forty." Donnell Michels used the property for agricultural purposes. Beach Railport acquired its interest in the North Forty and various other tracts of land around the subject property as part of its planned construction of a rail trans-load facility. It sought and obtained changes in zoning for certain property parcels. Beach Railport's construction plan did not include development on the South Forty acres. The Michels appealed the ultimate judgment partitioning real property between the Michels and Beach Railport. After review, the North Dakota Supreme Court concluded the district court erred by applying an incorrect legal standard to review and adopt the partition referee's report, and that the court erred by not holding an evidentiary hearing. The Court therefore reversed and remanded for further proceedings. View "Beach Railport, LLC v. Michels" on Justia Law

William Wilkinson and the other plaintiffs appeal and Statoil & Gas, LP and EOG Resources, Inc. cross-appeal from a summary judgment determining the Board of University and School Lands of the State of North Dakota ("Land Board") owns certain property below the ordinary high watermark of the Missouri River. Wilkinson argues the district court erred in determining ownership of the mineral interests. Chapter 61-33.1, N.D.C.C., became effective on April 21, 2017. The proceedings in this case began in 2012, and the trial court granted summary judgment in May 2016. Chapter 61-33.1, N.D.C.C., only applied to this case if it applied retroactively. The North Dakota Supreme Court concluded N.D.C.C. ch. 61-33.1 applied retroactively, and that the district court did not have an opportunity to consider this statutory provisions when it decided ownership of the disputed minerals. The Supreme Court, therefore, remanded this case for the district court to determine whether N.D.C.C. ch. 61-33.1 applied and governs ownership of the minerals at issue in this case. View "Wilkinson v. Board of University and School Lands of the State of N.D." on Justia Law

Connie Welker and Vicki Ostrem appealed a district court judgment deciding ownership of mineral interests in Mountrail County. Welker and Ostrem argued the court erred in finding that a resulting trust exists and that the trust was not repudiated. The North Dakota Supreme Court concluded the district court did not err in finding a resulting trust existed, and Welker and Ostrem failed to establish the trustee's repudiation of the trust. View "Markgraf v. Welker" on Justia Law

William and Rhonda Kulczyk appealed a district court judgment dismissing their complaint seeking to foreclose a mortgage against Tioga Ready Mix Co. The court held res judicata barred the Kulczyks' foreclosure action on the basis of previous litigation between the parties. After review, the North Dakota Supreme Court reversed and remanded, concluding res judicata did not bar the Kulczyks' foreclosure action against Tioga Ready Mix. View "Kulczyk v. Tioga Ready Mix Co." on Justia Law

Stephen Zundel appealed a district court judgment declaring Loren and Richard Zundel complied with a lease relating to grain and farm equipment storage, declaring the lease remained in effect, and dismissing Stephen's eviction action against Loren and Richard Zundel. Loren and Richard Zundel cross-appealed the judgment awarding them $21,182 in attorney's fees and costs. Edwin Zundel and his sons, Loren, Richard, Stephen, and Donald, used the bin site at issue in this appeal in varying amounts. Edwin leased the bin site to his sons at an annual rate of $400. The lease also included provisions regarding the use of the property, repairs, and default. The lease provided the bin site was to be used primarily for storing crops, farming equipment, and farming supplies. The lease provided the term of the agreement was the life of all tenants. The family partnership subsequently conveyed the bin site to Stephen and he became the landlord under the lease. A dispute arose in 2014 after Stephen demanded additional rent of $400 from each tenant. Loren and Richard refused to pay and expressed their position that the total annual rent was $400 from all tenants. Stephen also demanded that repairs be made to the bin site. The district court ruled the bin site lease did not violate N.D.C.C. 47-16-02, finding the bin site lease was not a lease of agricultural land in part because "[i]n the lease . . . the parties agree that this land is not suitable for farming." The court also decided the use of the leased property was not for agricultural purposes. The North Dakota Supreme Court agreed with the district court's conclusion that the property covered by the bin site lease was not agricultural land; the bin site lease plainly stated the leased property was not suitable for farming. The lease also excluded pasture land from the property covered by the lease. The district court made numerous findings relating to repairs on the bin site. Those findings were supported by the record on the basis of Loren and Richard's testimony. The Court concluded the trial court did not clearly err in finding Loren and Richard maintained the bin site in good condition and did not breach the bin site lease. However, the Court concluded the trial judge abused his discretion in finding Stephen's counterclaim relating to N.D.C.C. 47-16-02 was frivolous, therefore that part of the judgment awarding Loren and Richard attorney's fees was reversed. The case was remanded to the district court to redetermine the award of attorney's fees related to the frivolous counterclaims disposed of on the motion for judgment on the pleadings. View "Zundel v. Zundel" on Justia Law

Landowners from the Buffalo area appealed a district court judgment affirming the Department of Health's decision to issue Rolling Green Family Farms an animal feeding operation (AFO) permit. The landowners argued the Department erred by issuing Rolling Green an AFO permit and by failing to reopen the public comment period after Rolling Green provided further information to supplement its permit application. Finding no reversible error, the North Dakota Supreme Court affirmed. View "Coon v. N.D. Dep't of Health" on Justia Law

Kari Conrad appealed an order dismissing without prejudice her application for an order requiring the Ward County recorder to remove a lis pendens filed by Wilbur Wilkinson against a tract of land in Minot and from an order denying her motion for reconsideration. The North Dakota Supreme Court concluded Wilkinson was not authorized to file the lis pendens in an action that did not raise a claim affecting the title to real property and Conrad was entitled to have the Ward County recorder cancel the lis pendens under N.D.C.C. 32-04-24. View "Conrad v. Wilkinson" on Justia Law

A person dealing with a personal representative does not receive the protections of N.D.C.C. 30.1-18-14 unless the person obtains the personal representative's letters of appointment or any other court order giving the personal representative authority to act in this state. Dudley Stuber, trustee of the D.J. Stuber Land and Royalty Trust, and Rocky Svihl, trustee of the RGKH Mineral & Royalty Trust (collectively "Plaintiffs") appealed a judgment deciding ownership of certain mineral interests in favor of the estates of Victoria Davis and Helen Jaumotte. Plaintiffs moved for summary judgment, arguing there were no genuine issues of material fact and they were entitled to judgment as a matter of law. They claimed Jay Jaumotte, as personal representative of the estates, was authorized to sell property in North Dakota as a foreign personal representative, and Northland Royalty Corp. (to whom Jay Jaumotte first conveyed the interests) was a good-faith purchaser and was entitled to statutory protections under N.D.C.C. 30.1-18-14, and the statute of limitations had expired, precluding the heirs' claims. The heirs also moved for summary judgment. The heirs argued the deeds transferring the minerals to Northland were void because Jay Jaumotte lacked any authority to act on behalf of the Davis or Helen Jaumotte estates when dealing with North Dakota property, the Plaintiffs were not good-faith purchasers, and there were genuine issues of material fact about whether Northland was a good-faith purchaser. EOG Resources intervened and responded to the motions, arguing the Plaintiffs had no interest in the mineral estate, the Plaintiffs' predecessor-in-interest had notice of the heirs' potential interests in the property and failed to investigate, and the Plaintiffs and Northland were not good-faith purchasers. The North Dakota Supreme Court affirmed the district court's decision quieting title, but reversed its decision awarding damages to the Victoria Davis and Helen Jaumotte heirs. View "Stuber v. Engel" on Justia Law

Under an installment sales contract for patent from the State Board of University and School Lands, the State retains the legal title to the property and holds it in trust for the purchaser and as security for the purchaser's compliance with the contract. The purchaser of such land holds equitable title until the terms of the installment sales contract have been completed and a patent has been issued, at which time the legal title merges with the equitable title. Completion of the terms of the installment sales contract for patent perfects title relating back to the date of the contract. In 2014, Curtis and Joan Hokanson ("Hokansons") initiated a quiet title action naming Corrine Zeigler, Charles Zeigler, Bonnie Scharback, Terry Scharback, Bruce Bibler, Beverly Bibler, Delton R. Bibler, Lee Bibler, Curtis D. Bibler, Carol M. Bibler, Gerald Bibler, Alice Bibler, Trudy Mathae, Bruce Mathae, Howard L. Bibler, Continental Resources, Inc., and all other persons unknown ("Biblers") claiming any estate or interest in, or lien or encumbrance upon, the property described in the complaint as defendants. In 1957, the Board of University and School Lands of the State of North Dakota and Edson and June Bibler entered into an installment sale contract for the purchase of the land at issue here. Prior to the initiation of the quiet title action by the Hokansons, the Biblers entered into oil and gas leases in 2013. The Biblers were named as the lessors, and the lessee in all the leases was Continental Resources. All leases were dated July 9, 2013. The Hokansons claimed they had title to an undivided 50% mineral interest under the property. The Hokansons argued they received this interest because the subject property was conveyed to them from Hans Hanson (the Hokansons' predecessor-in-interest) with no reservations of mineral interest appearing in a 1971 Warranty Deed. The Hokansons argued the predecessor in interest to Hans Hanson was the State of North Dakota who conveyed to Hans Hanson the surface and 50% of the mineral interest by a 1971 Patent. The district court entered an order granting the Biblers' motion for summary judgment. After review, and finding no reversible error in that judgment, the North Dakota Supreme Court affirmed. View "Hokanson v. Zeigler" on Justia Law