Justia Real Estate & Property Law Opinion Summaries

Articles Posted in U.S. 4th Circuit Court of Appeals
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Plaintiffs filed suit against Chesapeake seeking an injunction and damages based on claims arising from the drilling and operation by Chesapeake of three natural gas wells on surface property owned by plaintiffs. Chesapeake owns lease rights to minerals beneath plaintiffs' surface property and the property rights of both parties ultimately flowed from two severance deeds that originally split the surface and mineral estates of the 101 acres of land plaintiffs owned. The only issue on appeal was whether the district court erred when it granted summary judgment for Chesapeake on plaintiffs' claim for common law trespass. The court concluded that the district court was correct to hold that creating drill waste pits was reasonably necessary for recovery of natural gas and did not impose a substantial burden on plaintiffs' surface property, that creation of the pits was consistent with Chesapeake's rights under its lease, was a practice common to natural gas wells in West Virginia, and consistent with requirements of applicable rules and regulations for the protection of the environment. Accordingly, the court affirmed the judgment of the district court. View "Whiteman v. Chesapeake Appalachia, LLC" on Justia Law

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This case concerned efforts by the Town of Nags Head, North Carolina, to declare beachfront properties that encroach onto "public trust lands" a nuisance, and regulate them accordingly. In the related appeal of Sansotta v. Town of Nags Head, the district court adjudicated the claims but concluded that it was inappropriate for a "federal court to intervene in such delicate state-law matters," and abstained from decision under Burford v. Sun Oil Co. The court reversed the district court's decision to abstain in this case where resolving the claims in this case was not sufficiently difficult or disruptive of that policy to free the district court from its "unflagging obligation to exercise its jurisdiction." Accordingly, the court remanded for further proceedings. View "Town of Nags Head v. Toloczko" on Justia Law

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Plaintiffs filed suit against the Town after the Town declared plaintiffs' cottages to be in violation of its nuisance ordinance. The cottages were considered nuisances as a result of storm or erosion damage. The court affirmed the district court's grant of summary judgment on plaintiffs' procedural due process claims because plaintiffs' procedural due process rights were not violated where the Town never deprived plaintiffs of any property interest; affirmed the grant of summary judgment on plaintiffs' equal protection claims because plaintiffs' equal protection rights were not violated where the Town had a rational basis for its decision to declare plaintiffs' cottages nuisances under the Town's ordinance; and remanded the takings claims based on the court's conclusion that a state and its political subdivisions waived the state-litigation requirement by removing a case to federal court. View "Sansotta v. Town of Nags Head" on Justia Law

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Plaintiffs brought a nuisance action against CTS because their well water contained solvents that had carcinogenic effects. The district court dismissed under Rule 12(b)(6), concluding that North Carolina's ten-year limitation on the accrual of real property claims barred the suit. The court reversed and remanded, holding that the Comprehensive Environmental Response, Liability, and Compensation Act (CERCLA), 42 U.S.C. 9601-9675, preempted North Carolina's ten-year limitation. In so holding, the court furthered Congress's intent that victims of toxic waste not be hindered in their attempts to hold accountable those who have strewn such waste in their land. View "Waldburger v. CTS Corp." on Justia Law

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Plaintiffs and their son appealed the district court's summary judgment holding that they were not entitled under the Fair Housing Amendments Act of 1988, 42 U.S.C. 3601-3631, to an accommodation and a modification that they requested from the HOA. Plaintiffs had requested a modification to add a ramp leading to the front door of their home for use by their son, who required the use of a wheelchair. Plaintiffs also requested an accommodation to an HOA policy prohibiting the use of certain types of vehicles to allow the son to use an ATV within the community. The court vacated the district court's holding on the merits of the modification request for the wheelchair access ramp because that claim was not ripe; affirmed the district court's holding with respect to the accommodation request for permission to use an ATV because that request was not "reasonable" within the meaning of the Act; and affirmed the district court's denial of defendants' request for attorneys' fees and costs. View "Scoggins v. Lee's Crossing Homeowners Assoc." on Justia Law

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Debtors filed a Chapter 7 bankruptcy petition and sought to discharge their unsecured debt, strip down liens on their primary residence and a rental property, and obtain a loan modification to address mortgage arrears on the properties. The Trustee subsequently challenged confirmation orders entered by the bankruptcy court and affirmed by the district court, stripping off junior liens against debtors' residences. The Trustee argued that the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 created a per se rule barring lien-stripping in so-called "Chapter 20" cases. The Act, however, dd not bar the orders entered by the bankruptcy court, and the stripping off of valueless liens - liens secured by collateral without a single penny of value to support it - was otherwise consistent with the Bankruptcy Code. Accordingly, the court affirmed the judgment. View "Branigan v. Davis" on Justia Law

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In this case, a federal jury found that the defendant properties were subject to civil forfeiture. The jury found that each property derived from the proceeds of a health care fraud and money laundering scheme committed by Dr. Mert Kivanc - the son of Turan and Duygu Kivanc (Claimants). The court concluded that the district court correctly denied Claimants' motion to dismiss based on the statute of limitations; the district court did not err in denying Claimants' motions to permit Turan and Dr. Kivanc to testify remotely from Turkey; the district court did not abuse its discretion by admitting Dr. Kivanc's statements and two documents at issue; the district court did not abuse its discretion in declining to give Claimants' proposed jury instructions; and Dr. Kivanc's statements and transfer of defendant properties to Claimants and money to Turan were sufficient evidence of his intent to conceal his unlawful activities to withstand Claimants' Rule 50 motion. Accordingly, the court affirmed the judgment. View "United States v. Kivanc" on Justia Law

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Plaintiffs filed suit against Wells Fargo after plaintiffs' application for a mortgage modification under the Home Affordable Modification Program (HAMP) was denied. The district court concluded that plaintiffs had failed to state a claim upon which relief could be granted and therefore granted Wells Fargo's motion to dismiss. The court concluded that plaintiffs have not plausibly stated a breach of contract claim; plaintiffs' negligence claim failed because there was no express or implied contract and therefore, no tort duty could arise as a matter of law; plaintiffs' Maryland Consumer Protection Act, Md. Code Ann., Com. Law 13-301(1), claim failed because Wells Fargo did not make misrepresentations when it stated that it needed more information to process plaintiffs' HAMP application; and the district court court properly dismissed the negligent misrepresentation and common law fraud claim. Accordingly, the court affirmed the judgment. View "Spaulding v. Wells Fargo Bank, N.A." on Justia Law

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This appeal arose from the district court's dismissal of plaintiff's complaint against Home Loan and Deutsche Bank, alleging state law claims based on a mortgage contract. The district court determined that plaintiff's claims were preempted by the Home Owner's Loan Act (HOLA), 12 U.S.C. 1461 et seq., and its implementing regulation, 12 C.F.R. 560.2. The court concluded that plaintiff's allegations supporting her first count - that the mortgage contract was unconscionable - fell under section 560.2(b) and therefore, the court concluded that her claim was preempted and affirmed the dismissal of that claim. However, because plaintiff's state tort claim for fraud only incidentally affected lending, it was not preempted by HOLA or its implementing regulation. Therefore, dismissal of that claim on preemption grounds was unwarranted. Further, the court found no basis for dismissal of plaintiff's fraud count on Rule 12(b)(6) grounds and plaintiff's complaint met the requirements of Rule 9(b). Accordingly, the court affirmed in part and reversed in part, remanding for further proceedings. View "McCauley v. Home Loan Investment Bank, F.S" on Justia Law

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Plaintiffs, prospective luxury home buyers, alleged that Toll Brothers, a real estate development company, unlawfully refused to return deposits when plaintiffs could not obtain mortgage financing. The district court denied Toll Brothers' motion to dismiss or stay the suit pending arbitration, finding that the Agreement of Sale's arbitration provision lacked mutuality of consideration under Maryland law because it required only the buyer - but not the seller - to submit disputes to arbitration. The court held that the appeal was properly before it under 9 U.S.C. 16(a), and that the Agreement of Sale's arbitration provision was unenforceable for lack of mutual consideration under Maryland law. Accordingly, the court affirmed the judgment. View "Noohi v. Toll Bros., Inc." on Justia Law