Justia Real Estate & Property Law Opinion Summaries

Articles Posted in Wyoming Supreme Court
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Stage Stop, Inc. purchased a lot in the Rafter J Ranch Subdivision in Teton County, Wyoming, intending to convert an existing building into workforce housing apartments. The Rafter J Ranch Homeowner’s Association (HOA) sought a declaratory judgment that this proposed use violated the subdivision’s covenants, conditions, and restrictions (CCRs). The district court granted summary judgment in favor of Stage Stop, determining that the proposed use was permitted under the CCRs, and the HOA appealed.The district court found that the CCRs allowed for "any commercial purpose" on Lot 333, which included Stage Stop’s proposed use of the building for workforce housing. The court reasoned that renting out apartments as a for-profit enterprise fell within the definition of a commercial purpose. The HOA argued that the CCRs, when read as a whole, intended to maintain the residential character of the subdivision and that the proposed use was inconsistent with this intent. The HOA also contended that Stage Stop should be judicially estopped from asserting that the CCRs permitted the proposed use because Stage Stop had previously indicated it would seek to amend the CCRs.The Wyoming Supreme Court affirmed the district court’s decision. The court held that the term "commercial" in the CCRs was clear and unambiguous and included the proposed use of the property for workforce housing. The court rejected the HOA’s argument that the CCRs, when read in their entirety, prohibited the proposed use, noting that the CCRs expressly allowed for "any commercial purpose" on Lot 333. The court also found that the Master Plan referenced by the HOA was inadmissible extrinsic evidence and that the argument related to the "local commercial" designation in the Plat Notes was not properly raised before the district court. Finally, the court concluded that judicial estoppel did not apply because the statements made by Stage Stop in a letter to the County Commissioners were not judicial declarations and did not involve the same issues or parties as the current case. View "Rafter J Ranch Homeowner's Association v. Stage Stop, Inc." on Justia Law

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Casey and Janae Ruppert entered into a contract to purchase ranch property from Judith Merrill. Before closing, Merrill indicated she would not proceed with the sale. The Rupperts filed a complaint seeking specific performance and damages. The district court found Merrill breached the contract and denied her affirmative defenses. It awarded the Rupperts damages and attorneys’ fees but declined to order specific performance. The Rupperts appealed the denial of specific performance, and Merrill cross-appealed the attorneys’ fees award.The District Court of Laramie County found Merrill breached the contract but declined to order specific performance, citing Merrill’s personal circumstances and misunderstandings about the contract. It awarded the Rupperts $22,342 in damages and granted their motion for attorneys’ fees without explanation, awarding $55,258.50 in fees and $3,082.60 in costs.The Wyoming Supreme Court reviewed the case and found the district court abused its discretion by denying specific performance. The court noted the district court’s findings contradicted its decision, as it found the contract valid, the price reasonable, and no undue influence or unconscionability. The Supreme Court held that specific performance was the appropriate remedy given the circumstances and the equities involved.Regarding attorneys’ fees, the Supreme Court agreed with both parties that the district court erred by awarding fees without explanation. The Supreme Court independently assessed the reasonableness of the fees, concluding that the rates charged were excessive for the local market. It reduced the hourly rate to $250, resulting in a total fee award of $28,425.00, plus the previously awarded costs of $3,082.60.The Wyoming Supreme Court reversed the district court’s orders denying specific performance and awarding attorneys’ fees, remanding the case for entry of an order consistent with its opinion. View "Merrill v. Ruppert" on Justia Law

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Phoenix Capital Group Holdings, LLC (Phoenix Capital) sought to recover mineral royalties as a life tenant and alternatively to reform the deed that established its life estate. The dispute arose from a series of property transfers beginning in 1977, when Mr. and Mrs. Peterson transferred a parcel of real property to Alva and Velma Woods, retaining a life estate in the mineral estate. In 2003, Alva and Velma deeded the property to their son Paul and his wife Cheryl, intending to retain a life estate in the mineral estate. However, the 2003 deed did not reserve this life estate, leading to a 2006 deed that conveyed a life estate in one-half of the mineral estate to Alva and Velma. Subsequent leases were executed, and in 2021, Velma sold her life estate to Phoenix Capital.The District Court of Laramie County dismissed Phoenix Capital’s claims. It concluded that under the doctrine of waste, a life tenant does not have the right to receive royalties unless expressly stated in the deed or agreed upon with the remainderman. The court also found that the claim to reform the deed was barred by the statute of limitations, which began when the deed was recorded in 2006.The Wyoming Supreme Court reviewed the case and affirmed the lower court’s decisions. The court held that the doctrine of waste precludes a life tenant from receiving royalties without an agreement with the remainderman or express language in the deed. The court also held that the statute of limitations for reformation claims begins when the deed is recorded, making Phoenix Capital’s 2022 reformation claim untimely. The court found no error in the district court’s application of settled law and affirmed the dismissal of Phoenix Capital’s claims. View "Phoenix Capital Group Holdings, LLC v. Woods" on Justia Law

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A group of property owners and entities challenged the Albany County Board of County Commissioners' amendments to zoning regulations known as the Aquifer Protection Overlay Zone (APOZ). The amendments aimed to protect the Casper Aquifer, which supplies drinking water to many residents in Albany County, including those in the City of Laramie. The property owners argued that the Board's adoption of the amendments was arbitrary, capricious, and exceeded its authority.The District Court of Albany County dismissed the petitions for review, concluding that it lacked jurisdiction because the amendments were legislative acts and not reviewable under the Wyoming Administrative Procedure Act (WAPA). The property owners and entities appealed, arguing that the Board's actions were reviewable and that the Board lacked the authority to adopt the amendments.The Wyoming Supreme Court reviewed the case and clarified that there is no common law or general statutory exception to judicial review of agency legislative actions. The court held that the characterization of the Board’s action as legislative or adjudicatory dictates the scope and nature of the review. The court concluded that the district court has jurisdiction to review the APOZ amendments and remanded the case to the district court to conduct an analysis in conformance with the opinion. The court emphasized that judicial review of agency legislative actions is limited by the separation of powers doctrine and should focus on whether the actions were contrary to constitutional rights, not in accordance with the law, in excess of statutory authority, or divergent from the agency's own rules. View "Warren Livestock, LLC v. Board of County Commissions" on Justia Law

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In 2014, a woman and her two children from a previous relationship moved in with a man. They had a child together in 2018 and married in 2019. The man ran a trucking business, and the woman assisted with bookkeeping. She also worked briefly at a mental health facility and later as a secretary at a hospital. The couple separated in March 2022, and the woman filed for divorce shortly thereafter.The District Court of Weston County entered a stipulated decree of divorce in January 2023, settling child custody, visitation, and child support. However, the division of marital property was disputed. A bench trial was held in April, and the court issued its final order in November, dividing the marital property. The court considered the equitable value of the marital home, rental property, livestock, personal vehicles, personal property, and debts. The man was assigned the marital home, while the woman received her retirement funds and an equalization payment from the man.The man appealed to the Supreme Court of Wyoming, arguing that the district court abused its discretion in dividing the marital property. He contended that the court failed to allocate a portion of an IRS debt to the woman and improperly valued his trucking business. The Supreme Court reviewed the district court’s findings for an abuse of discretion and found no clear error. The court noted that the district court had appropriately considered the statutory factors under Wyo. Stat. Ann. § 20-2-114(a) and had made a just and equitable division of the property.The Supreme Court of Wyoming affirmed the district court’s decision, concluding that the property division was not so unfair and inequitable that reasonable people could not abide by it. The court also found that the district court had reasonably considered each of the statutory factors and that its ruling did not shock the conscience. View "Regan v. Regan" on Justia Law

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Donald and Mary Fuger own forty acres of land in Wyoming. Larry Wagoner began using a five-acre section of this land for his oilfield business around 2008. The Fugers and Wagoner agreed to construct two buildings on the site, with Wagoner handling construction and the Fugers securing financing. They did not formalize this agreement in writing. A lease agreement was signed, giving Wagoner exclusive use of the buildings for five years. Wagoner claimed there was an oral agreement to transfer ownership of one building and the land to him in exchange for his construction work and loan payments, which the Fugers denied.The District Court of Sweetwater County initially found in favor of Wagoner, awarding him damages for breach of the oral contract. However, the Wyoming Supreme Court reversed this decision in Fuger v. Wagoner, 2020 WY 154, ruling the oral contract void because Mrs. Fuger did not join the agreement. The case was remanded to consider Wagoner’s equitable claims. On remand, the district court found the Fugers were unjustly enriched by Wagoner’s construction work and awarded him damages, offsetting some of these due to his use of the buildings. The court also awarded prejudgment interest on a portion of the damages.The Wyoming Supreme Court reviewed the case and affirmed the district court’s decisions. The court held that the district court did not err in offsetting Wagoner’s damages by the actual rent he received rather than the fair rental value of the second building. The court also upheld the award of prejudgment interest, finding that a portion of Wagoner’s damages were liquidated and thus subject to such interest. The court concluded that the district court acted within its discretion in its equitable determinations regarding offset and prejudgment interest. View "Fuger v. Wagoner" on Justia Law

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This case involves a dispute over a parcel of land between two neighboring property owners in Park County, Wyoming. The appellants, Michael and Michelle Sellers, purchased a 12-acre property that was adjacent to a 4-acre parcel owned by the appellees, Phyllis Claudson, William Pond, Pamela Pond, and Peggy Lou Pond Paul. During the purchase, the Sellers discovered that a portion of their property was located on the Ponds' side of a boundary fence. The Ponds filed a lawsuit to claim ownership of this portion of land based on adverse possession.The District Court of Park County initially heard the case. The Ponds and the Sellers filed cross-motions for summary judgment. The district court ruled in favor of the Ponds, finding that they had adversely possessed the disputed property. The Sellers appealed this decision.The Supreme Court of Wyoming reviewed the case and affirmed the lower court's decision. The court found that the Ponds had established a prima facie case for adverse possession. They had shown actual, open, notorious, exclusive, and continuous possession of the disputed property, which was hostile and under claim of right or color of title. The Sellers failed to rebut this claim by showing permissive use of the property through neighborly accommodation. The court also rejected the Sellers' argument that the Ponds could only have adversely possessed the areas of the property containing buildings, as the Sellers had not raised this issue in the lower court. View "Sellers v. Claudson" on Justia Law

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Summit Construction filed a lawsuit against Jay Koontz and Jennie L. Kennette for breach of contract and unjust enrichment, alleging nonpayment for work performed on Mr. Koontz’s home based on an oral agreement. The work included an addition to the home and extensive renovations to the existing structure. The District Court rejected both claims, determining that there was no enforceable oral contract between the parties and that Summit did not sufficiently prove its damages for the unjust enrichment claim.The District Court found that the parties had not mutually agreed to sufficiently definite terms for an oral contract. The court noted that the project progressed without a clear understanding of the scope of work, how it would be paid for, and who would be responsible for payment. The court also found that Summit's invoices did not clearly define the terms of the contract. Furthermore, the court concluded that Summit had failed to prove the amount by which Mr. Koontz was unjustly enriched, i.e., its damages.Upon appeal, the Supreme Court of Wyoming affirmed the District Court's decision. The Supreme Court agreed that Summit had failed to show the existence of an enforceable oral contract with either Mr. Koontz or Ms. Kennette. The court also agreed with the lower court's finding that Summit had failed to establish its damages to a reasonable degree of certainty, which is necessary for an unjust enrichment claim. View "Summit Construction v. Koontz" on Justia Law

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This case involves a divorce dispute between Randall Thomas Bailey and Sara Elizabeth Bailey, now known as Ms. Larson. The couple married in 2005 and have three minor children. Ms. Larson filed for divorce in December 2022. The main issues in the case revolve around the district court's decisions on child custody, child support, and property division.The district court granted joint legal custody of the children, with the children's primary residence set with Ms. Larson. The court also calculated child support, imputing income to Mr. Bailey, and divided the couple's property, which was valued at approximately $2.2 million. The division required an equalization payment of $475,000 from Mr. Bailey to Ms. Larson.Mr. Bailey appealed the district court's decisions, arguing that the court abused its discretion in determining custody, calculating child support, and dividing the parties' property. He also contested the valuation of his gun collection, the valuation of accounts at the date of separation, and whether two properties in South Carolina should have been included in the marital estate.The Supreme Court of Wyoming affirmed the district court's decisions. The court found that the district court did not abuse its discretion in deciding the issues of custody, child support, and property division. The court also found that the evidence presented supported the district court's findings and conclusions, and that the property division was not so unfair or unreasonable as to shock the conscience. View "Bailey v. Bailey" on Justia Law

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The case revolves around a dispute between Sharon Ann Koch, a member of the Buffalo Trail Ranch subdivision, and Melissa R. Gray, who was purchasing a tract in the subdivision. Koch, along with other members and the developer of the subdivision, Rocky Mountain Timberlands, Inc. (RMT), sued Gray for allegedly violating the subdivision's restrictive covenants by placing garbage, junk, and other prohibited items on her property. The covenants, filed by RMT in 2008, also required the formation of a road maintenance association, which was never established.The District Court of Albany County dismissed all claims against Gray, applying the contractual "first to breach" doctrine. The court reasoned that RMT, by failing to form the road maintenance association, was the first to breach the covenants. Therefore, it was impossible to hold Gray to the covenants. Koch appealed this decision, arguing that she had no contractual relationship with Gray, and thus the "first to breach" doctrine should not apply to her claim.The Supreme Court of Wyoming agreed with Koch. It found that the "first to breach" doctrine, which is based on a contractual relationship, could not be applied as there was no contract between Koch and Gray. The court also rejected the lower court's conclusion that RMT's breach of the covenants rendered them inapplicable to Gray. The court found no legal basis for applying the "first to breach" doctrine to a third party's enforcement of covenants. Consequently, the Supreme Court reversed the lower court's decision and remanded the case for further proceedings. View "Koch v. Gray" on Justia Law