Justia Real Estate & Property Law Opinion Summaries

The case revolves around a dispute between a condominium association and the owner of two commercial units over parking and storage space. The commercial owner, Cooper Leasing, claimed ownership of certain parking spots and a storage area within the condominium property. The condominium association, Woronzof Condominium Association, disputed this claim.The Superior Court of the State of Alaska ruled that the condominium’s governing documents did not grant the commercial owner ownership of any parking spots. However, it ruled in favor of the commercial owner on the storage dispute, finding that the association had agreed decades earlier to swap the condominium’s general storage area with the area designated for commercial storage.Cooper Leasing appealed the ruling on parking, and the association cross-appealed the ruling on storage. The Supreme Court of the State of Alaska affirmed the ruling on parking, but vacated the ruling on storage. The court held that the terms of the declaration, in light of relevant extrinsic evidence, were ambiguous as to whether it was intended to give the commercial units the exclusive rights to use certain parking spots. The court also held that owners of condominiums have a property interest in both their own units and in the common areas of the condominium. Because a special test for when the doctrine of quasi-estoppel can be used to defeat record title to real property was not applied to the commercial owner’s quasi-estoppel claim to the storage space, the court vacated and remanded for further proceedings. View "Cooper Leasing, LLC v. The Woronzof Condominium Association" on Justia Law

The United States Court of Appeals for the Eighth Circuit reviewed a case involving a group of plaintiffs who owned properties near proposed wind turbine sites in Page County, Iowa. The plaintiffs sued the county, its board of supervisors, and county officials after the board issued a commercial wind energy permit to Shenandoah Hills Wind Project, LLC (SHW). The plaintiffs claimed that the issuance of the permit violated the Due Process Clause of the Fourteenth Amendment, the Iowa Constitution, Iowa Code, and county ordinances. They also claimed that county officials violated the Iowa Open Meetings Act by holding nonpublic meetings on SHW's application. The defendants removed the case to federal court based on the federal due process claim.The district court dismissed the federal due process claim for lack of prudential standing and as implausibly pleaded under Federal Rule of Civil Procedure 12(b)(6). It also dismissed the state claims as time-barred under Iowa law and implausibly pleaded under Rule 12(b)(6). After the district court's decision, the county revoked the permit. Despite the revocation, the plaintiffs appealed the district court's order.The Court of Appeals held that the county's revocation of SHW's permit mooted the plaintiffs' claims, except for their claims under the Iowa Open Meetings Act. The court affirmed the district court's exercise of supplemental jurisdiction over these remaining claims and its dismissal of them. The court vacated the remainder of the district court's order and remanded the case to the district court with instructions to dismiss the non-Open Meetings claims as moot. View "Hunter v. Page County, Iowa" on Justia Law

Westwood Motorcars, LLC leased commercial property in Dallas to operate an automobile dealership. The lease was set to expire in 2013, but an addendum allowed Westwood to extend the lease for two additional 24-month terms. In 2015, ownership of the property changed hands and Virtuolotry, LLC became the new landlord. Westwood sought to exercise its option to extend the lease for the second additional term, but Virtuolotry’s lawyers refused, asserting that Westwood had breached the lease in numerous ways. Amidst this dispute, Westwood claimed that Virtuolotry and its manager, Richard Boyd, harassed Westwood at the premises, interfering with its business operations. Westwood sued Virtuolotry in district court, seeking a declaratory judgment that it had not breached the lease and that it had properly extended the lease for another two years. Virtuolotry sued in justice court to evict Westwood for unpaid rent, lease violations, and holding over unlawfully.The justice court ruled in favor of Virtuolotry, awarding it "possession only." Westwood appealed the judgment to the county court at law. However, a few weeks before the trial date, Westwood formally withdrew its appeal in county court, and the county court entered a “stipulate[d] and agree[d]” judgment ordering “that possession of the Premises is awarded” to Virtuolotry. Westwood fully vacated the property, but continued its pending suit in district court, adding claims for breach of contract (against Virtuolotry) and constructive eviction (against Virtuolotry and Boyd). The district court ruled in favor of Westwood, awarding damages and attorney’s fees.Virtuolotry and Boyd appealed, and the court of appeals reversed the district court's decision, ruling that by agreeing to the eviction-suit judgment in county court, Westwood “voluntarily abandoned the premises” and thus “extinguish[ed] any claim for damages.” Westwood then petitioned the Supreme Court of Texas for review.The Supreme Court of Texas reversed the court of appeals' decision, ruling that the court of appeals erred by giving a judgment of possession from a court of limited jurisdiction preclusive effect over Westwood’s claim for damages in district court. The Supreme Court of Texas held that Westwood’s agreement to entry of the county-court judgment cannot reflect assent to anything more than what that judgment resolves—i.e., who receives immediate possession of the property. The court remanded the case to the court of appeals for further proceedings. View "WESTWOOD MOTORCARS, LLC v. VIRTUOLOTRY, LLC" on Justia Law

Mark and Birgit Self owned a tract of rural land that adjoined a portion of Farm-to-Market Road 677 in Montague County, Texas. The Texas Department of Transportation (TxDOT) had a right-of-way easement that reached fifty feet from the centerline of the road in each direction, which burdened part of the Selfs’ property. As part of a highway maintenance project, TxDOT contracted with T.F.R. Enterprises, Inc. (TFR) to remove brush and trees from the right-of-way. TFR subcontracted with Lyellco Inc. to remove the trees. Following TxDOT’s instruction to TFR to “clear everything between the fences,” Lyellco workers cut all trees up to the Selfs’ fence line, including trees that were outside the State’s right-of-way easement. The Selfs sued TxDOT for negligence and inverse condemnation.The trial court denied TxDOT’s plea to the jurisdiction, asserting immunity from both causes of action. On appeal, the court of appeals affirmed in part and reversed in part. It held that there was a fact issue on whether the Texas Tort Claims Act waived immunity for the negligence cause of action, but reversed the trial court’s judgment on the cause of action for inverse condemnation, holding there was no evidence that TxDOT intentionally destroyed the Selfs’ property.The Supreme Court of Texas disagreed with the court of appeals. It held that the Selfs had not shown either that the subcontractor’s employees were in TxDOT’s paid service or that other TxDOT employees operated or used the motor-driven equipment that cut down the trees, as required to waive immunity under the Tort Claims Act. Therefore, the negligence cause of action was dismissed. However, regarding inverse condemnation, the court found that the Selfs had alleged and offered evidence that TxDOT intentionally directed the destruction of the trees as part of clearing the right-of-way for public use. Therefore, the cause of action for inverse condemnation was remanded to the trial court for further proceedings. View "TEXAS DEPARTMENT OF TRANSPORTATION v. SELF" on Justia Law

An elderly woman, Janice Geerdes, and her long-time friend, Albert Gomez Cruz, had a partnership raising hogs on a piece of land. Initially, Janice deeded half of her interest in the land to Albert. Over a decade later, she deeded the rest of her interest in the land to Albert, receiving nothing in return. About six months later, Janice’s adult daughters were appointed her conservator and guardian. The conservator challenged the validity of the quitclaim deed based on undue influence and lack of capacity.The district court set aside the deed, finding that there was undue influence through a confidential relationship and that Janice lacked the necessary capacity to deed her interest in the land. The court of appeals affirmed the decision on the basis of lack of capacity.The Supreme Court of Iowa, however, disagreed with the lower courts. The Supreme Court found that the conservator did not establish by clear, convincing, and satisfactory evidence that there was undue influence or that Janice lacked capacity at the time of the gift. The court found that the lower courts gave too much weight to the perceived improvidence of the transaction and too little weight to the testimony of the third-party accountant who witnessed the transaction. Therefore, the Supreme Court vacated the decision of the court of appeals, reversed the district court judgment, and remanded for further proceedings. View "Conservatorship of Janice Geerdes v. Cruz" on Justia Law

The Supreme Court of Alabama reviewed a case involving a dispute over an undeveloped island ("the island") located within a canal system on Ono Island, a residential subdivision. The island was created during the development of the canal system and was later sold in a tax sale. F Family South, LLC ("FFS") acquired the island and sought to construct a boat shelter on it. The Property Owners Association of Ono Island, Inc. ("the POA") objected, arguing that the island was subject to certain covenants restricting its use.The Baldwin Circuit Court ruled in favor of the POA, finding that the island was subject to both express and implied covenants restricting its use. The court also invalidated the 1995 tax sale through which FFS had obtained ownership of the island, and declared the POA as the island's owner.FFS appealed, arguing that the trial court erred in voiding the 1995 tax sale and in concluding that the island was subject to the covenants. The Supreme Court of Alabama reversed the trial court's decision to void the tax sale, but affirmed the finding that the island was subject to implied restrictive covenants governing its use. The case was remanded for further proceedings consistent with the Supreme Court's opinion. View "F Family South, LLC v. Property Owners Association of Ono Island, Inc." on Justia Law

The case involves a dispute between a landlord, Daniel Johnson, and his tenant, Tina Vosberg. Johnson filed a complaint under Nebraska’s Uniform Residential Landlord and Tenant Act (URLTA) seeking restitution of the premises, unpaid rent, and statutory damages for willful holdover. The primary disagreement was over the duration of the lease agreement. Johnson presented a 90-day lease, while Vosberg claimed she had signed a 1-year lease. The county court held an expedited trial on the claim for possession and ruled in favor of Johnson. Vosberg appealed this decision.Vosberg's appeal was heard by the District Court for Douglas County, which affirmed the county court's decision. Vosberg then appealed to the Nebraska Supreme Court. During the pendency of the appeal, the alleged 1-year lease period passed, Vosberg vacated the premises, and she stopped paying monthly rent pursuant to the supersedeas bond.The Nebraska Supreme Court found that it had appellate jurisdiction over the case. However, it ruled that the appeal was moot because the term of the alleged 1-year lease had expired, Vosberg had vacated the premises, and she was no longer paying the monthly rent under the terms of the supersedeas bond. The court also rejected Vosberg's argument that she suffered collateral consequences from the writ because a judgment of eviction on her record made it harder for her to find landlords willing to rent to her. The court dismissed Vosberg's appeal as moot. View "Johnson v. Vosberg" on Justia Law

Weston Bennion was injured when his apartment deck collapsed and subsequently sued his landlord, Dale Stolrow, for negligence. The parties settled, with Bennion agreeing to release Stolrow and his insurer from all claims in exchange for $150,000. The settlement was subject to related subrogation claims and healthcare liens, and Bennion promised to indemnify Stolrow from liability for any such claims and liens. Before making the payment, Stolrow informed Bennion that he intended to distribute the payment in two checks: one payable to Bennion and the other payable to a collection agency that had a healthcare lien on the settlement funds. Bennion objected and filed a motion to enforce the parties’ agreement, arguing that its terms did not allow Stolrow to issue a portion of the settlement funds to a third party.The district court disagreed with Bennion and suggested that Stolrow issue two checks: one jointly to Bennion and the third party for the amount of the lien, and another to Bennion for the remainder of the funds. The court of appeals affirmed the district court’s decision. Bennion then petitioned for certiorari.The Supreme Court of the State of Utah granted certiorari to address whether the court of appeals erred in concluding that the parties’ agreement permitted Stolrow to issue a portion of the settlement funds jointly to Bennion and the third-party collection agency. The court agreed with Bennion, stating that the plain language of the release provides for payment to Bennion in exchange for his release of claims against Stolrow and his assumption of responsibility for third-party liens. Therefore, the court reversed the decision of the lower courts. View "Bennion v. Stolrow" on Justia Law

This case involves a dispute over a real estate development project in Beaufort County, South Carolina. The developer, Road, LLC, purchased a 229-acre peninsula with plans to develop it. However, the project was contingent on resolving two disputes concerning the only access road to the peninsula. The first dispute involved neighboring landowners who claimed ownership of a parcel of land the access road crossed. The second dispute involved Beaufort County's denial of the developer's request for a zoning variance to relocate and improve the access road. The developer, the neighboring landowners, and Beaufort County settled both disputes in a written "Settlement Agreement." However, the developer eventually defaulted on its loan and the lender took title to the peninsula. After the developer's options to repurchase the peninsula expired, Beaufort County purchased the peninsula to prevent its development. Road, LLC argued that Beaufort County breached the implied covenant of good faith and fair dealing in the Settlement Agreement by purchasing the peninsula, thereby extinguishing any opportunity Road might later gain to sell the parcel to another developer.The trial court initially ruled in favor of Road, LLC, but later granted Beaufort County's motion for judgment notwithstanding the verdict, arguing that there was no breach of the Settlement Agreement and that Road presented no evidence to support the jury's $5 million award. The court of appeals affirmed the trial court's decision on the grounds that there was no evidence Beaufort County was the proximate cause of Road's damages and that the evidence showed Road did not suffer $5 million in damages because the property was still worth $5 million after the County purchased the peninsula.The Supreme Court of South Carolina affirmed the court of appeals' decision in result. The court held that the implied covenant of good faith and fair dealing cannot create new contractual duties not expressly stated or fairly implied in the contract itself. The court found that the Settlement Agreement did not prohibit Beaufort County from purchasing the peninsula once the developer's option expired. Therefore, the court concluded that Beaufort County could not have breached the implied covenant of good faith and fair dealing in the Settlement Agreement. View "Road, LLC and Pinckney Point, LLC v. Beaufort County" on Justia Law

The case involves a class action lawsuit filed by plaintiff Harold Malmquist against the City of Folsom (City). The plaintiff alleged that the City failed to maintain proper corrosion control measures at its water treatment plant, causing the pH level of its water to rise and become corrosive. This, in turn, led to pinhole leaks in copper pipes receiving the water, damaging persons and property. The plaintiff sought class certification, defining the class as all individuals and entities who have owned or leased real property in the City, plumbed with copper piping receiving water from the City’s plant since February 23, 2015.The trial court denied the plaintiff's motion for class certification. The court found that the plaintiff had not shown that common issues predominated over individual ones. The court reasoned that the existence, cause, and extent of damage to copper piping required individual proof. The court also overruled the plaintiff's objections to the City's expert witness, concluding that the expert was qualified and his opinion was founded on reliable information.On appeal, the Court of Appeal of the State of California Third Appellate District affirmed the trial court's decision. The appellate court found that the trial court did not abuse its discretion in denying class certification. The court agreed with the trial court's conclusion that individual issues predominated over common ones. The court also found no error in the trial court's decision to overrule the plaintiff's objections to the City's expert witness. The court concluded that the expert was qualified and his opinion was founded on reliable information. View "Malmquist v. City of Folsom" on Justia Law