Justia Real Estate & Property Law Opinion Summaries
Articles Posted in Supreme Court of Nevada
KOSOR VS. S. HIGHLANDS CMTY. ASS’N
Michael Kosor, Jr., a homeowner in Southern Highlands, a Las Vegas residential common-interest community, sued the Southern Highlands Community Association (HOA) and its developer, Southern Highlands Development Corporation (SHDC), for declaratory and injunctive relief regarding the homeowners' right to elect the HOA's board of directors. Kosor claimed that the community had surpassed the 75% home-sale threshold, ending the declarant control period, yet SHDC continued to appoint three of the five board members, violating homeowners' voting rights. The HOA and SHDC disputed Kosor's interpretation and calculations.The Eighth Judicial District Court of Clark County denied Kosor's motion for a temporary restraining order, largely denied the HOA's and SHDC's motion to dismiss, and denied Kosor's motion for summary judgment. Kosor then sought to voluntarily dismiss the action without prejudice, but the court dismissed it with prejudice and awarded fees and costs to the HOA and SHDC. Kosor appealed but later withdrew his appeal, acknowledging that he could not reinstate it or raise the same issues again. Subsequently, the HOA and SHDC sought additional fees and costs incurred on appeal, prompting Kosor to file a motion under NRCP 60(b)(4), arguing that the district court lacked subject matter jurisdiction due to noncompliance with NRS 38.310's pre-suit ADR requirement.The Supreme Court of Nevada reviewed the case and held that NRS 38.310, which mandates pre-suit mediation or arbitration for certain HOA-related claims, is a procedural claim-processing rule, not a jurisdictional requirement. The court determined that the district court had jurisdiction despite the parties' noncompliance with NRS 38.310 and properly denied Kosor's motion to vacate its judgment and fee-award orders as jurisdictionally void. The Supreme Court of Nevada affirmed the district court's decision. View "KOSOR VS. S. HIGHLANDS CMTY. ASS'N" on Justia Law
VAUGHN VS. STATE
Kenneth Vaughn, a self-described Moorish National, was convicted by a jury of six counts of offering a false instrument for filing or record, two counts of simulation of summons, complaint, judgment, order, or other legal process, and two counts of intimidating a public officer. Vaughn sent documents to his landlords and the Clark County Recorder's office, claiming ownership of properties he did not own and threatening public officers when his documents were not recorded. He was sentenced as a habitual criminal to an aggregate prison term of 5-20 years and ordered to pay $19,600 in restitution.The Eighth Judicial District Court in Clark County adjudicated Vaughn as a habitual criminal and denied his motion to dismiss the indictment on speedy trial grounds. Vaughn represented himself at trial with standby counsel and was convicted on all counts. He appealed his conviction and sentence, arguing several grounds including the denial of his motion to dismiss, insufficient evidence, prejudicial witness testimony, misleading jury instructions, improper habitual criminal adjudication, and an unsupported restitution award.The Supreme Court of Nevada reviewed the case and held that the State failed to prove the elements of the charges under NRS 239.330(1) because the documents Vaughn attempted to record were not of a type that could be recorded under state or federal law. Consequently, the court reversed Vaughn's conviction on the six counts of offering a false instrument for filing or record. The court also reversed the restitution award, finding that the district court relied on impalpable or highly suspect evidence. However, the court affirmed Vaughn's conviction on the remaining counts and upheld the habitual criminal adjudication and the sentence imposed for those counts. View "VAUGHN VS. STATE" on Justia Law
Saticoy Bay LLC Series 3580 Lost Hills v. Foreclosure Recovery Services, LLC
Mable Hrynchuk named Bryan Kenton as the sole beneficiary of her estate, which included her residential property. After her death, the homeowner’s association foreclosed on the property and sold it to Saticoy Bay LLC Series 3580 Lost Hills. Kenton, through his attorney-in-fact, Foreclosure Recovery Services, sought to redeem the property as a successor in interest. Saticoy Bay refused, asserting that Kenton was not the successor in interest and had no rights of redemption under Nevada law.The Eighth Judicial District Court of Clark County granted summary judgment in favor of Foreclosure Recovery Services, holding that Kenton was the successor in interest and had the right to redeem the property. Saticoy Bay appealed the decision.The Supreme Court of Nevada reviewed the case and affirmed the district court’s decision. The court held that a will beneficiary is immediately vested with a beneficial interest in devised property upon the testator’s death and is therefore the testator’s successor in interest for the purposes of NRS 116.31166. The court concluded that Kenton, as the sole beneficiary of Hrynchuk’s will, was her successor in interest and had the right to redeem the property. The court also determined that Foreclosure Recovery Services provided all necessary documentation to Saticoy Bay to establish its right to act on behalf of Kenton in redeeming the property. View "Saticoy Bay LLC Series 3580 Lost Hills v. Foreclosure Recovery Services, LLC" on Justia Law
MASS LAND ACQUISITION, LLC VS. DISTRICT COURT
A Nevada limited liability company, Mass Land Acquisition, LLC, challenged the use of eminent domain by Sierra Pacific Power Company, d/b/a NV Energy, to take an easement across its property for a natural gas pipeline. NV Energy sought immediate occupancy of the property, while Mass Land argued that such a taking by a private entity violated the Nevada Constitution and requested a jury determination on whether the taking was for a public use.The First Judicial District Court of Nevada denied Mass Land's motion to dismiss and granted NV Energy's motion for immediate occupancy. The court concluded that NV Energy, as a regulated public utility, was exercising delegated eminent domain powers and acting as the government, not as a private party. The court also found that the taking was for a natural gas pipeline, a statutorily recognized public use, and thus did not require a jury determination on public use before granting occupancy.The Supreme Court of Nevada reviewed the case and denied Mass Land's petition for a writ of mandamus or prohibition. The court held that the Nevada Constitution's prohibition on transferring property taken by eminent domain to another private party did not apply to NV Energy's taking for a natural gas pipeline, as it was a public use. The court also determined that there were no genuine issues of material fact requiring a jury determination on whether the taking was actually for a public use. The court concluded that NV Energy's actions were lawful and consistent with the statutory and constitutional provisions governing eminent domain in Nevada. View "MASS LAND ACQUISITION, LLC VS. DISTRICT COURT" on Justia Law
PHWLV, LLC VS. HOUSE OF CB USA, LLC
Retailers House of CB USA, LLC, and Chinese Laundry Lifestyle, LLC, leased commercial space at the Miracle Mile Shops, operated by PHWLV, LLC, which also runs the Planet Hollywood Resort and Casino. On July 8, 2017, a fire-suppression pipe burst, causing significant water damage to the retailers' stores and inventory. The retailers sued PHWLV for negligence in maintaining the fire-suppression system.The Eighth Judicial District Court in Clark County granted partial summary judgment in favor of the retailers on the elements of duty and breach, concluding that PHWLV had a duty to prevent items on its property from damaging others' property and had breached this duty. The case proceeded to a jury trial on causation and damages, resulting in a verdict awarding House of CB $3,133,755.56 and Chinese Laundry $411,581.41. The district court denied PHWLV's motion for a new trial and entered judgment on the jury verdict, also awarding attorney fees and prejudgment interest to House of CB.The Supreme Court of Nevada reviewed the case and found that the district court erred in its formulation of PHWLV's duty. The appropriate standard of care was the duty to use reasonable care in servicing and inspecting the fire-suppression system and responding to issues arising from failures within the system. The court reversed the district court's judgment on the jury verdict, vacated the post-judgment orders awarding attorney fees and prejudgment interest, and remanded the case for a new trial. The court also denied PHWLV's request to reassign the case to a different judicial department. View "PHWLV, LLC VS. HOUSE OF CB USA, LLC" on Justia Law
Deutsche Bank Trust Company Americas v. SFR Investments Pool 1, LLC
This case involves a dispute between Deutsche Bank Trust Company Americas as Trustee Rali 2006QA5 (Deutsche Bank), the holder of the first deed of trust, and SFR Investments Pool 1, LLC (SFR), the purchaser of a property at a homeowners’ association (HOA) lien foreclosure sale. The dispute centers around whether the homeowner's partial payments to the HOA satisfied the superpriority lien, which would mean that the HOA foreclosure did not extinguish the first deed of trust.The district court initially granted summary judgment in favor of Deutsche Bank, finding that the homeowner's pre-foreclosure payments satisfied the superpriority lien. However, on appeal, the Supreme Court of Nevada vacated and remanded the case, instructing the district court to consider the analysis in the then recently decided case 9352 Cranesbill Trust v. Wells Fargo Bank, N.A. On remand, the district court ruled in favor of SFR, concluding that a portion of the superpriority lien remained unsatisfied, so the HOA foreclosure extinguished Deutsche Bank’s deed of trust.The Supreme Court of Nevada disagreed with the district court's conclusion. The court held that, unless expressly authorized by the homeowner, the HOA may not allocate a payment in a way that results in a forfeiture of the first deed of trust holder’s interest and deprives the homeowner of the security on the homeowner’s mortgage. Applying this principle to the case at hand, the court found that the homeowner's partial payments to the HOA satisfied the HOA’s superpriority lien, so the foreclosure did not extinguish Deutsche Bank’s first deed of trust. Therefore, SFR took possession of the property subject to the deed of trust. The court reversed the judgment of the district court and remanded for entry of judgment for Deutsche Bank consistent with this opinion. View "Deutsche Bank Trust Company Americas v. SFR Investments Pool 1, LLC" on Justia Law
The Redevelopment Agency of the City of Sparks v. Nevada Labor Commissioner
The case revolves around a transaction between the Redevelopment Agency of the City of Sparks (RDA) and a developer. The RDA transferred property to the developer for the construction of an apartment project. In exchange, the developer agreed to maintain free public parking on the property for the next 50 years. The Labor Commissioner considered this transaction as the RDA providing a "financial incentive" worth more than $100,000 to the developer, thus requiring the developer to pay prevailing wages on the project. The Labor Commissioner assessed a penalty against the RDA for not requiring the developer to pay prevailing wages.The Labor Commissioner's decision was upheld by the district court, which led to the RDA's appeal. The RDA argued that the Labor Commissioner had neither the expertise nor the statutory authority to address a dispute arising under Nevada’s Community Redevelopment Law over the valuation of interests in real property. The RDA also contended that the Labor Commissioner's interpretation of the law was incorrect.The Supreme Court of Nevada reversed the lower court's decision. The court found that the Labor Commissioner's interpretation of the law was incorrect and expanded its reach. The court held that the statute does not reference "future compensation," nor does it equate its receipt with a redevelopment agency giving a developer "financial incentives [worth] more than $100,000." The court concluded that the Labor Commissioner's decision that the RDA provided a financial incentive exceeding $100,000 to the developer lacked substantial evidence and must be reversed. The case was remanded to the district court with instructions to grant the RDA’s petition for judicial review. View "The Redevelopment Agency of the City of Sparks v. Nevada Labor Commissioner" on Justia Law
City of Las Vegas v. 180 Land Co., LLC
The case involves a dispute between the City of Las Vegas and 180 Land Co., LLC over a 35-acre parcel of land. 180 Land Co. purchased the land, which was part of a larger 250-acre golf course, with the intention of developing it for residential use. The land was zoned for residential development, but was also designated as "Parks/Schools/Recreation/Open Space" in the city's General Plan. The City of Las Vegas denied 180 Land Co.'s applications to develop the property, citing public opposition and concerns about piecemeal development.In response, 180 Land Co. sued the City for inverse condemnation, arguing that the City's actions had deprived it of all economically beneficial use of the property. The district court agreed, finding that the City's handling of 180 Land Co.'s development efforts rendered any future attempts to develop the property futile. The court also ruled that the residential zoning of the property took precedence over the open space designation in the General Plan. The court awarded 180 Land Co. $48 million in compensation, including the value of the property, property taxes, prejudgment interest, and attorney fees.The City appealed the decision, arguing that the lower court erred in determining that a regulatory taking had occurred and in its calculation of the compensation award. 180 Land Co. also appealed, challenging the amount of prejudgment interest awarded by the district court.The Supreme Court of the State of Nevada affirmed the district court's decision in its entirety. The court agreed that the City's actions constituted a per se regulatory taking and that 180 Land Co. was entitled to just compensation. The court also upheld the district court's calculation of the compensation award, including the amount of prejudgment interest. View "City of Las Vegas v. 180 Land Co., LLC" on Justia Law
Ene v. Graham
The case revolves around a personal injury claim filed by Laura Graham against International Property Holdings, LLC (IPH) and its sole member, Ovidiu Ene. Graham sustained injuries when she tripped and fell over a sprinkler box on IPH's property. During the trial, Graham moved to assert that Ene was the alter ego of IPH, meaning he should be held personally liable for the injuries she sustained on the company's property.The district court found that Ene, as the sole member and manager of IPH, was indeed the alter ego of the company. The court based its decision on several factors: Ene had his own personal gate code to the property and used it for personal reasons without paying IPH or the property management company; Ene's father maintained a garden and a chicken coop on the property; the property's insurance was in Ene's name; and Ene remained the guarantor on the mortgage loan for the property.The Supreme Court of Nevada, however, disagreed with the district court's findings. The court clarified that the alter ego analysis for a limited liability company is the same as the analysis applied to a corporation. The court found that substantial evidence did not support the district court's determination that Ene was the alter ego of IPH. The court concluded that while Ene did influence and govern IPH, there was not a unity of interest and ownership such that Ene and IPH were inseparable. Furthermore, the court found no evidence that recognizing IPH as a separate entity from Ene would sanction fraud or promote injustice. As a result, the Supreme Court of Nevada reversed the district court's judgment and remanded for further proceedings. View "Ene v. Graham" on Justia Law
Jones v. Ghadiri
The case revolves around a property dispute between two neighboring parties, Bo and Dan Jones (appellants), and Hamed Ghadiri (respondent). A block wall, erected before either party owned their respective properties, did not follow the property line, resulting in Ghadiri being denied use of a portion of his property. When Ghadiri sought to remove the wall and build a new one on the property line, the Joneses filed a complaint in the district court for a prescriptive easement or adverse possession.The district court granted summary judgment in favor of Ghadiri. It found that the Joneses could not claim adverse possession as they had not paid property taxes on the disputed property. It also ruled that a prescriptive easement was unavailable as it would result in Ghadiri's complete exclusion from the subject property. The Joneses appealed this decision.The Supreme Court of the State of Nevada affirmed the district court's decision. The court clarified the distinction between adverse possession and prescriptive easements, noting that the former results in the acquisition of title and the right to exclusively control the subject property, while the latter results in the right to a limited use of the subject property. The court acknowledged that comprehensive prescriptive easements, which result in the owner of the servient estate being completely excluded from the subject property, may be warranted in exceptional circumstances. However, it found that the Joneses had not demonstrated such exceptional circumstances. Therefore, the court upheld the district court's grant of summary judgment in favor of Ghadiri. View "Jones v. Ghadiri" on Justia Law