Justia Real Estate & Property Law Opinion Summaries

Articles Posted in Real Estate & Property Law
by
In the case heard by the United States Court of Appeals for the Ninth Circuit, Peace Ranch LLC challenged the constitutionality of California AB 978, a mobilehome-rent-control statute. Peace Ranch alleged that if it increases mobilehome rents more than AB 978 permits, the California Attorney General would enforce AB 978 against it. However, Peace Ranch also alleged that AB 978 does not apply to its mobilehome park. The Court of Appeals concluded that Peace Ranch had adequately established standing based on a pre-enforcement injury. The court reasoned that Peace Ranch was trapped between complying with a law that it believes does not apply to it or risking enforcement proceedings by raising rents. This dilemma, the court ruled, is the precise predicament that supports pre-enforcement standing. As such, the court reversed the district court's dismissal for lack of standing. View "PEACE RANCH, LLC V. BONTA" on Justia Law

by
The case involves a plaintiff, Joni Fraser, who was attacked by two pit bulls owned by a tenant, Hebe Crocker, who rented a single-family residence from landlords Ali Farvid and Lilyana Amezcua. Fraser sued both Crocker and the landlords. After settling with Crocker, the case proceeded against the landlords. A jury found that the landlords had actual knowledge of the dangerous propensity of the dogs and could have prevented foreseeable harm to Fraser, awarding her damages exceeding $600,000. However, the trial court granted the landlords' motion for judgment notwithstanding the verdict (JNOV), finding no substantial evidence to demonstrate the landlords' knowledge of the dogs' dangerous propensities.Under California law, a landlord who lacks actual knowledge of a tenant's dog's vicious nature cannot be held liable when the dog attacks a third person. The Court of Appeal affirmed the trial court's ruling. The Court held that the email from a neighbor mentioning "guard dogs" did not constitute substantial evidence that the landlords knew or must have known the dogs were dangerous. The Court also rejected the plaintiff's argument that the landlords' alleged false statements denying knowledge of the dogs constituted evidence of their knowledge of the dogs' dangerous nature. The Court concluded that there was no direct or circumstantial evidence that the landlords knew or should have known the dogs were dangerous. View "Fraser v. Farvid" on Justia Law

by
In this case decided by the Indiana Supreme Court, plaintiff Dux North LLC, the owner of a landlocked property in rural Hamilton County, Indiana, sought an implied easement over adjacent property owned by defendants Jason and Sarah Morehouse. Dux North claimed either an implied easement by prior use or an implied easement of necessity over the Morehouse property. The court clarified that these two types of implied easements are conceptually different. For an implied easement by prior use, the claimed servitude must predate the severance creating the separate parcels. For an implied easement of necessity, the claimed necessity need to arise only at severance and not before. Thus, Dux North could seek relief under either implied easement, and the failure of one such easement does not necessarily defeat the other. Furthermore, the court held that an implied easement of necessity requires a showing that access to the property by another means is not just impractical but impossible. The court then reversed the trial court's judgment granting Dux North's motion for summary judgment on the easement-by-prior-use claim and denying the Morehouses' motion for partial summary judgment on the easement-of-necessity claim. The case was remanded for further proceedings to decide whether Dux North has an easement by prior use over the Morehouse property. View "Morehouse v. Dux North LLC" on Justia Law

by
This case concerns the dissolution of a marriage between Diana and Andreas Lietz. The primary point of contention was the valuation of the family home. Diana presented an appraisal report valuing the home at $1.1 million, while Andreas's appraisal report valued it at $1,020,000. Both appraisal reports stated the home was on a 9,000 square feet lot. However, Diana attempted to argue that the lot size was more than 9,000 square feet. The trial court found Andreas's appraiser more credible and accepted his valuation. On appeal, Diana argued that the court erred by preventing her from presenting evidence and testimony suggesting that the lot size was larger than 9,000 square feet. The Court of Appeal of the State of California Fourth Appellate District Division Three affirmed the trial court's decision. The appellate court concluded that the trial court followed the correct procedure when it sustained objections to Diana's attempts to present evidence about the larger lot size due to the lack of competent evidence supporting her claim. The court emphasized that an expert witness could not assert case-specific facts in hearsay statements unless they were independently proven by competent evidence or covered by a hearsay exception. View "In re Marriage of Lietz" on Justia Law

by
In South Dakota, Emily Bialota sought to gain title to a property previously owned by Lakota Lakes, LLC, which was sold at a tax sale due to unpaid property taxes. Bialota argued that she had properly served Lakota Lakes with a notice of intent to take tax deed, while Lakota Lakes claimed it had not been validly served, rendering the tax deed void. The circuit court granted Lakota Lakes' motion for summary judgment, determining that Bialota had not properly served the notice. Bialota appealed this decision. The Supreme Court of South Dakota reversed and remanded the lower court's decision. It held that under Minnesota law, which Lakota Lakes operated under, the Minnesota Secretary of State was the valid agent for service of process as Lakota Lakes had been administratively terminated and failed to maintain a registered agent for service of process. The court further held that Bialota had personally served the notice on the Minnesota Secretary of State, which was deemed proper under South Dakota law. Therefore, the court concluded that Bialota had correctly served Lakota Lakes and was entitled to the tax deed to the property. View "Bialota V. Lakota Lakes" on Justia Law

by
In South Dakota, realtor Joshua Uhre, who owns Uhre Realty Corporation (URC) and Uhre Property Management Corporation (UPM), had a dispute with Benjamin and Leslie Tronnes over the sale of their property. The Tronneses had contracted with Uhre to sell their property and entered into a property management agreement that authorized Uhre to lease and manage the property if it did not sell. After the property was leased to a tenant, the Tronneses sold the property directly to the tenant after the listing agreement expired. Uhre claimed that his realty company was entitled to a sales commission and that his property management company was entitled to a management fee for the entire lease agreement, despite its early termination. Uhre sued the Tronneses for breach of the listing agreement, breach of the management agreement, and civil conspiracy. The Tronneses counterclaimed, alleging that Uhre and his companies had interfered with their business expectation with the tenant.The Supreme Court of the State of South Dakota held that Uhre was not entitled to a sales commission because he did not procure a ready, willing, and able buyer during the term of the listing agreement. The court also rejected Uhre's argument that the lease agreement gave him an option to buy the property, finding that it did not contain the necessary terms for a valid option contract. Additionally, the court found that the Tronneses did not breach the implied covenant of good faith and fair dealing. Regarding the management agreement, the court ruled in favor of the Tronneses, stating that Uhre was only entitled to 10% of the monthly rent that had accrued through June 3, 2021, which he had already received. Finally, the court reversed the lower court's determination that the Tronneses were entitled to attorney fees, finding that the listing agreement only authorized fees in the event of a breach of contract. View "Uhre Realty V. Tronnes" on Justia Law

by
This case concerns a foreclosure proceeding related to a property in Bristol, Rhode Island. The plaintiff, Steven Serenska, obtained a mortgage from Wells Fargo Bank, N.A. and defaulted on his payments. Wells Fargo and HSBC Bank USA, National Association as Trustee, initiated foreclosure proceedings. The plaintiff filed a complaint, alleging that there was an ambiguity in the mortgage document and that he had not received proper notice before the foreclosure.The Supreme Court of Rhode Island held that there was no ambiguity in the mortgage contract. The court found that the notice of default sent to the plaintiff strictly complied with the requirements of the mortgage agreement. The court noted that the plaintiff's alleged prejudice (claiming he would have paid the sum due had he received notice of the deadline for reinstating the mortgage) was irrelevant in this context. The court also found that an issue raised by the plaintiff on appeal (concerning additional language in the notice of default) was not properly presented before the lower court and was therefore waived.The court thus affirmed the order of the Superior Court granting the defendants' motions to dismiss the plaintiff's complaint. View "Serenska v. Wells Fargo Bank, N.A." on Justia Law

by
In this case from the Supreme Court of North Dakota, Ryan Kratz, who had entered into a purchase agreement to buy a business and building from Donald and Carol McIlravy, failed to make the agreed-upon payments. The McIlravys initiated two eviction actions, and a separate action seeking damages, cancellation of the contract, and release of funds held in a trust account. The district court initially dismissed one of the eviction actions, but eventually ruled in favor of the McIlravys, awarding them damages and ordering release of the trust funds. Several years later, Kratz filed a motion under Rule 60(b), alleging the district court lacked subject matter jurisdiction over the eviction actions and seeking to vacate or void all findings, conclusions, and orders, except the dismissals of the eviction actions. The district court denied this motion and awarded attorney’s fees to the McIlravys.On appeal, the Supreme Court of North Dakota held that Kratz's appeal was limited to the judgment denying his Rule 60(b) motion and that the motion was timely. The court determined that the district court had jurisdiction over the eviction cases and that any violation of N.D.R.Ct. 7.1(b)(1) was harmless error. The court also held that the district court did not abuse its discretion in awarding attorney’s fees. Consequently, the court affirmed the decision of the lower court. View "Don's Garden Center v. The Garden District" on Justia Law

by
In this case, GayLe Schleve, the personal representative of the estates of Viola J. Heath and Caleb C. Heath, appealed orders from the District Court of Dunn County, North Dakota, that granted Wells Fargo Bank's motions to vacate previous orders establishing the authority of domiciliary foreign personal representatives and letters testamentary related to the estate of Viola J. Heath, and determining heirs and successors in the estate of Caleb C. Heath.Viola and Caleb Heath were residents of Montana who owned mineral rights in Dunn County, North Dakota. After their deaths, litigation ensued over the distribution of these mineral rights. The orders being challenged in this appeal had resulted in the mineral rights being transferred to the heirs of Viola Heath.Wells Fargo, as successor to Norwest Capital Management & Trust Co., the trustee appointed in Caleb Heath's will, claimed an ownership interest in the mineral rights and challenged the transfer of those rights to the heirs of Viola Heath. Wells Fargo argued that the district court had lacked jurisdiction to issue the orders, and that the orders should be vacated because they were manifestly unjust and based on incorrect applications of the law.The Supreme Court of North Dakota held that Wells Fargo had standing to challenge the orders. The court also held that the district court had erred in ruling that it lacked subject matter jurisdiction to issue the order in the Estate of Viola J. Heath. However, the Supreme Court remanded for further determination of whether the district court had personal jurisdiction over the parties in the Estate of Viola J. Heath, and whether relief should be granted under Rule 60(b)(4) or Rule 60(b)(6).Finally, the Supreme Court held that the district court had abused its discretion in granting Wells Fargo's Rule 60(b)(6) motion to vacate the order in the Estate of Caleb C. Heath without sufficient findings related to timeliness. The Supreme Court therefore affirmed in part, reversed in part, and remanded the case for further proceedings. View "In re Estate of Heath" on Justia Law

by
In a legal malpractice case in North Dakota, a couple, Kenneth and Carol Pinks, sued attorney Alexander Kelsch and his professional corporation, along with associated partners, alleging negligence in representing them in a quiet title action against the State of North Dakota. The District Court, South Central Judicial District, bifurcated the malpractice action to first determine the element of causation, specifically whether the Pinks would have achieved a more favorable outcome in the quiet title action but for the alleged negligence of the defendants. The court denied cross-motions for summary judgment, finding there were genuine issues of material fact.Following a bench trial on the causation element, the district court concluded that had the evidence of the Pinks’ ownership of the disputed land been presented in the quiet title action, they would have established their ownership claim was prior and superior to the State’s claim of title. The court concluded the Pinks proved the element of causation and ordered a jury trial be set on the remaining issues of the legal malpractice claim. The defendants appealed this decision.The Supreme Court of North Dakota, however, dismissed the appeal, ruling that the defendants were attempting to appeal from an interlocutory order, and the defendants did not seek certification under Rule 54(b) of the North Dakota Rules of Civil Procedure. The rule requires that, in cases with more than one claim or multiple parties, a final judgment on one or more, but fewer than all, claims or parties can only be directed if the court expressly determines there is no just reason for delay. The court found that the district court only ruled on the causation element of the legal malpractice claim, and other elements, such as the existence of an attorney-client relationship, a duty by the attorney to the client, a breach of that duty by the attorney, and damages were still left to be adjudicated. The defendants' failure to comply with Rule 54(b) led to the dismissal of the appeal. The court also denied the Pinks' request for costs and attorney’s fees, determining that the defendants' appeal was not frivolously made. View "Pinks v. Kelsch" on Justia Law