Justia Real Estate & Property Law Opinion Summaries

Articles Posted in Supreme Court of Nevada
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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

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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

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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

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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

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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

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In 2005, Lance and Eva Posner purchased a property with an outstanding loan secured by a deed of trust, which they assumed responsibility for. The deed of trust was later assigned to U.S. Bank. In 2012, U.S. Bank filed a judicial foreclosure action against the Posners, alleging that the amount owing under the note had become accelerated. However, U.S. Bank did not pursue the judicial foreclosure and voluntarily dismissed its lawsuit without prejudice in 2013. The Posners remained in default on the loan through 2019.U.S. Bank's dismissal of its judicial foreclosure action led to a dispute in 2022. The Posners filed a state-court action asserting a claim for quiet title, alleging that the 10-year period in NRS 106.240 was triggered in 2012 when U.S. Bank filed its judicial foreclosure action, such that by 2022, the deed of trust had been extinguished as a matter of law. They sought a preliminary injunction to prevent U.S. Bank's scheduled nonjudicial foreclosure sale.The district court denied the request for an injunction, finding the Posners' claims had no likelihood of success. The Posners appealed, arguing that the district court erred in relying on NRS 107.550, which only applies to judicial foreclosure actions commenced on or after October 1, 2013.The Supreme Court of Nevada affirmed the district court's decision. The court clarified that instituting judicial foreclosure proceedings does not trigger the 10-year time frame in NRS 106.240. The court concluded that the Posners' quiet title claim had no likelihood of success on the merits because the judicial foreclosure action did not trigger the 10-year time frame in NRS 106.240. Therefore, the lien on the subject property was not discharged as a matter of law in 2022. View "Posner v. U.S. Bank Nat'l Ass'n" on Justia Law

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In this case, the Supreme Court of Nevada was tasked with determining whether a government entity, in this case Clark County, qualifies as a "person" under Nevada's anti-SLAPP (Strategic Lawsuit Against Public Participation) statute. This arose from a dispute where a property owner, 6635 W Oquendo LLC, claimed Clark County lacked the authority to impose civil penalties and to record liens against its property. Clark County, in response, filed an anti-SLAPP motion arguing that the actions forming the basis of Oquendo's claims were protected speech under the anti-SLAPP statute. The district court ruled in favor of Oquendo, stating that Clark County was not a "person" for the purposes of the anti-SLAPP statute.The Supreme Court of Nevada affirmed this decision, concluding that a government entity is not a "person" under the anti-SLAPP statute. The court rejected Clark County's arguments, stating that the statutory definition of "person" in Nevada law does not include a government, governmental agency or political subdivision of a government. The court also clarified that an earlier decision, John v. Douglas County School District, did not establish that a governmental entity is a "person" for the purpose of anti-SLAPP protections. The court concluded that Clark County was not entitled to file an anti-SLAPP motion, affirming the lower court's decision. View "Clark County v. 6635 W Oquenda LLC" on Justia Law

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The Supreme Court reversed the judgment of the district court granting summary judgment by substituting other remedies in place of an equitable lien placed by the bankruptcy court on real property located at 10512 Loma Portal Avenue, holding that, based on the preclusive effect of prior court orders, an equitable lien was the only available remedy to satisfy Respondent's interest concerning the property.At issue before the Supreme Court was the preclusive effect of the multiple court orders in this case and the equitable remedies available under those orders. The Supreme Court remanded the case for further proceedings, holding (1) an equitable lien placed on property to satisfy a debt permits the lien holder to enforce the value of the equitable lien against the debtor's property even where that property has been subsequently transferred to a nondebtor spouse during divorce proceedings; (2) the district court erred by substituting other remedies in place of the equitable lien; and (3) genuine issues of material fact remained as to the value of the equitable lien placed on the property, as well as the value of the property itself. View "Holland v. Barney" on Justia Law

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The Supreme Court affirmed the judgment of the district court dismissing the complaint brought by a first deed of trust holder against its title insurance company for breach of contract and related claims, holding that there was no error.The insurer in this case denied coverage to a first deed of trust holder for its loss of interest in property following a foreclosed upon a "superpriority piece." At issue was whether the first deed of trust holder could recover for its loss of interest in the subject property by making a claim on its title insurance policy. The district court granted the title insurance company's motion to dismiss as to all claims, concluding that no coverage existed under the policy. The Supreme Court affirmed, holding (1) the claims for declaratory judgment, breach of contract, and breach of the covenant of good faith and fair dealing were properly dismissed; and (2) the first deed of trust holder was not entitled to relief on its remaining allegations of error. View "Deutsche Bank National Trust v. Fidelity National Title Insurance Co." on Justia Law

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The Supreme Court affirmed the decision of the district court granting summary judgment in favor of the Administrator of the Division of State Lands of the State Department of Conservation and Natural Resources and dismissing Appellants' petition under Nev. Rev. Stat. 233B.110 for a declaratory judgment that a fee-setting regulation was invalid, holding that there was no error.At issue was NAC 322.190, a regulation that sets permit fees for the residential use of piers and buoys on navigable waters in Nevada. Appellants petitioned for a declaratory judgment that the fee-setting regulation was invalid. The district court granted summary judgment in favor of the Division. The Supreme Court affirmed, holding that the Division did not exceed its statutory authority in promulgating NAC 322.195, and Appellants failed to overcome the presumption that the regulation is valid. View "Killebrew v. Donohue" on Justia Law