Justia Real Estate & Property Law Opinion Summaries

After Swan Ranch was annexed by the City of Cheyenne in 2009, Appellants, neighbors to the land being annexed, filed a declaratory judgment action against the City alleging that the annexation was invalid under Wyo. Stat. Ann. 15-1-402(a). Ultimately, the district court granted the City's responding summary judgment argument on two claims and conducted trial on the third and final claim. Following trial, the district court found the annexation was proper. The Supreme Court affirmed, holding that the district court's decision upholding the Swan Ranch annexation was not clearly erroneous, as "the degree of contact, the location, and the character of the annexed parcel" were sufficient to satisfy the statutory requirements for annexation under section 15-1-402. View "Hough v. City of Cheyenne" on Justia Law

In July 2008, Appellant-Plaintiff Monica Claman purchased a house in Rock Springs, Wyoming, from Appellee-Defendant Jean Popp. In September 2008, Appellant filed an action against Popp based on subsidence-caused defects in the house. The district court entered summary judgment against Appellant on her breach of contract and negligent misrepresentation claims, and following a bench trial, it entered judgment against her on her fraudulent inducement claim. The issues on appeal were: (1) whether the trial court appropriately entered summary judgment against Appellant as to her breach of contract claim; (2) whether the trial court appropriately entered summary judgment against Appellant as to her claim for negligence/negligent misrepresentation; and, (3) whether the district court erred in its conclusions relating to the Department of Environmental Quality. Finding that the district court's summary judgment against Appellant's breach of contract and negligent misrepresentation claims were in accordance with law and undisputed facts, and that the court's findings of fact on the fraudulent inducement claim were not clearly erroneous, the Supreme Court affirmed the district court's decision. View "Claman v. Popp" on Justia Law

Bowers Oil and Gas, Inc. (BOG) entered into a Gas Purchase Contract with Kinder Morgan Operating, L.P. (Kinder Morgan), pursuant to which Kinder Morgan agreed to purchase coal bed methane gas from certain of BOG's wells. Kinder Morgan transferred its interest in the Contract, and Kinder Morgan's successor eventually terminated the Contract pursuant to a provision that allowed either party to terminate if in the terminating party's sole opinion, the sale or purchase of the gas became unprofitable or uneconomical. BOG thereafter filed suit asserting claims for breach of contract and breach of the covenant of good faith and fair dealing. Following a bench trial, the district court found no contract breach or covenant breach and ruled in favor of Kinder Morgan and its successor. Upon review, the Supreme Court affirmed. The Court found no breach of contract in the successor's removal of the pipelines connecting BOG to the gas gathering system and that the Gas Purchase Contract was properly terminated for economic cause. Furthermore, the Court found no clear error in the district court's rejection of BOG's claim for breach of the implied covenant and fair dealing. View "Bowers Oil & Gas, Inc. v. DCP Douglas, LLC" on Justia Law

Appellants James and Barbara Henry, and Appellees George and Lucille Borushko, own adjoining properties in Fremont County, Wyoming. An irrigation canal separates the properties. In 2009, a dispute developed over the boundary between their properties. The Borushkos asserted that the boundary was the centerline of the irrigation canal. The Henrys claimed that it was at the fence along the north bank of the canal. The district court reviewed the dispute and ruled in favor of the Borushkos. The Henrys appealed. Upon review of the district court record, the Supreme Court affirmed. View "Henry v. Borushko" on Justia Law

The South Wilderness Ranch Homeowners Association (HOA) filed an action against William Fix to recover $2,500 in assessments he allegedly owed as a lot owner in the South Wilderness Ranches Subdivision. The HOA also sought interest and attorney fees. Mr. Fix denied that he owed the assessments and filed a counterclaim seeking a judicial determination that the covenants pursuant to which the assessments were to be paid were null and void. In the alternative, he sought damages for injuries he allegedly sustained when the HOA failed to enforce the covenants and allowed his neighbor to build a fence that violated the covenants. The district court granted summary judgment in favor of the HOA on its claim for the assessments, interest and attorney fees. Subsequently, the court severed Mr. Fix’s counterclaim from the rest of the case and entered judgment for the HOA on its complaint in the amount of the $2,500 assessments, plus pre-judgment interest, attorney fees and costs, for a total judgment of $22,077.38. Mr. Fix appealed, claiming the district court erred in granting summary judgment against him on the HOA’s complaint and severing his counterclaim. He also claimed the attorney fees and costs award was excessive. Upon review, the Supreme Court affirmed the district court’s order and judgment with the exception that it vacated the costs awarded for legal research.

Applicants Wagonhound Land and Livestock Company, LLC, VenJohn Oil, Inc., and Steven M. VenJohn filed a petition with the Wyoming State Board of Control seeking to change the place of use, point of diversion and means of conveyance for water appropriations attached to 174.8 acres. VenJohn owned the appropriations from the North Platte River and requested that the point of diversion and place of use of the rights be moved upstream to Wagonhound’s land. Vic and Jane Garber and several others who were intervening water right holders, objected to the petition, and the Board held a contested case hearing. The Board granted the Applicants’ petition but reduced the transferred rights to 152.5 acres. The Objectors unsuccessfully petitioned the district court for review of the Board decision. On appeal to the Supreme Court, they challenged: the sufficiency of the evidence presented in the Board's record; and whether the final decision was in violation of Wyo. Stats. 41-3-104 and 41-3-114. Although the Objectors claimed the defects in the original petition required reversal of the Board’s decision, the Supreme Court found that they did not sufficiently explain why the amendment process was inappropriate or how it violated statute or board rules. The Objectors also did not demonstrate how the other landowners were injured by the petition or the process employed by the Board. Without further explanation, the Court could not accept their argument, and affirmed the Board's decision.

KM Upstream, LLC and Newpoint, Inc. entered into a contract whereby Newport would construct for KM's amine plant. Newpoint subcontracted with Elkorn Construction, Inc. to build the foundation and perform other work. Elkhorn subsequently filed a lien statement with the county clerk. Elkhorn later filed a complaint against KM for, inter alia, foreclosure of the lien as a mechanic's lien. Newpoint was later added as a defendant. The district court granted summary judgment to Elkhorn to allow foreclosure on the mechanic's lien. The Supreme Court (1) affirmed the grant of summary judgment; but (2) reversed and remanded the district court's determination that $181,369 of Elkhorn's lien claim was disputed and its subsequent order subtracting that amount from Elkhorn's judgment.

After the owner of a construction project defaulted on its obligations to various creditors, mortgage holder Pinnacle Bank foreclosed on the real property securing its mortgage. Junior mortgage holder American National Bank (ANB) and construction lienholder Michael's Construction, Inc. (Michael's) both sought payment from the surplus funds resulting from the foreclosure proceeding. The district court declared that ANB's mortgage was superior to Michael's lien, but denied ANB's request for contractual interest from the date of foreclosure through the date of final judgment. The Supreme Court (1) affirmed the district court's order regarding the priority of liens; but (2) reversed the order regarding interest, holding that the district court did not have the discretion to limit ANB's recovery by denying it interest at the contractual rate from the time of foreclosure through final judgment. Remanded to determine the amount of interest due ANB under the promissory note for that time period.

John and Minerva Sutherland entered into a mining lease granting Meridian Granite Company the right to conduct mining operations on the Sutherlands' property. A dispute developed between the Sutherlands and Meridian regarding the Sutherlands' obligation to pay taxes relating to the mineral production. The dispute led to litigation. The district court granted Meridian's motion for summary judgment, ruling that the Sutherlands were obligated to pay the disputed taxes. The Supreme Court affirmed, holding that the district court did not err in allowing Meridian to deduct ad valorem and severance taxes from payments to the Sutherlands when such tax payments were not required by the State, as the Sutherlands and Meridian agreed in the mining lease that the Sutherlands would pay the taxes.

This case concerned a petition for the establishment of a private road filed by Merlin and Lori Zowada. In the first appeal, the Supreme Court remanded the case to the district court for further remand to the county board of county commissioners (the Commission) to make adequate findings of fact on specific issues. While the case was pending before the Court, the legislature amended Wyo. Stat. Ann. 24-9-101, which governs the procedure used when petitioning for the establishment of a private road. On remand, the Commission and its hearing officer chose to apply the statute as amended in 2008 and 2009, although the case had originally proceeded under the statute as it existed in 2005. Mullinax filed a petition for writ of review, arguing that the 2005 version of the statute should apply to the proceedings. The district court denied the petition. The Supreme Court reversed, holding that the hearing officer's decision to apply the statute as it existed in 2009 was in error, as, while the amendments to the statute were procedural in nature, the general rule against retroactive application of the amendment applied. Remanded.