Justia Civil Procedure Opinion Summaries
Articles Posted in Real Estate & Property Law
Pinkham v. Plate
The case involves Scott and Natalie Pinkham, who contracted with Three Peaks Homes, LLC, for the construction of a custom home. The construction did not go as planned and the contract was terminated before the home was completed. Three Peaks subsequently filed two $600,000 mechanics’ liens against the Pinkhams’ home. The Pinkhams then filed a complaint against David Plate, Rebeccah Jensen, Three Peaks, Rebel Crew Construction, LLC, and Legacy Management Enterprises, LLC, asserting several causes of action.The district court denied the Pinkhams’ motion for summary judgment. Later, the Pinkhams’ attorney, Lance Schuster, filed a motion to withdraw as counsel for Plate, Jensen, Three Peaks, and Legacy, which the court granted. The court ordered Appellants to appoint another attorney or appear in person within twenty-one days of service of the order, failing which, the court may enter default judgment against them. The court clerk served a copy of the withdrawal order on Appellants via first class mail.The Pinkhams moved for the entry of default and default judgment against Appellants and for dismissal of Appellants’ counterclaims with prejudice. The district court granted the Pinkhams’ motion without a hearing. Appellants later secured new counsel and filed a motion to set aside the default and default judgment under Idaho Rule of Civil Procedure 60(b)(1), (4), and (6). The district court denied Appellants’ motion.On appeal, the Supreme Court of the State of Idaho affirmed the district court’s decision denying the motion to set aside the default and default judgment. The court held that the district court did not err in concluding that Appellants failed to demonstrate good cause to set aside the entry of default. The court also held that Appellants have failed to establish a right to relief under Rule 60(b). The court declined to award attorney fees on appeal. View "Pinkham v. Plate" 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
Mohnen v. Estate of Mohnen
The case revolves around a dispute over the ownership of five parcels of land in Aurora County, South Dakota. The plaintiff, Edward Mohnen, initiated a quiet title action to determine the ownership of these parcels, which were titled in his father's name after his father died intestate in 1969. The defendants included the estate of Edward's late brother, John Mohnen, and the John J. Mohnen Trust. John's Estate counterclaimed, asserting that it held a complete fee interest in all the disputed parcels through adverse possession and also asserted the affirmative defense of laches.The Circuit Court of the First Judicial Circuit in Aurora County, South Dakota, rejected both the laches defense and adverse possession theory. It determined ownership for the five tracts at issue, applying intestacy laws to evidence concerning the current state of record title.Upon review, the Supreme Court of the State of South Dakota reversed the lower court's decision. The Supreme Court held that the lower court erred in its interpretation of the adverse possession claim under South Dakota Codified Laws (SDCL) 15-3-15. The Supreme Court clarified that SDCL 15-3-15 requires only proof of “(1) claim and color of title made in good faith, (2) ten successive years in possession, and (3) payment of all taxes legally assessed.” The court found that John's Estate met these requirements and thus, reversed the lower court's decision denying John’s Estate’s adverse possession claim under SDCL 15-3-15. The case was remanded for further proceedings consistent with the Supreme Court's opinion. View "Mohnen v. Estate of Mohnen" on Justia Law
Honoipu Hideaway, LLC v. State
The case revolves around Honoipu Hideaway, LLC's (Honoipu) appeal of the Land Use Commission’s (LUC) order denying its petition for a declaratory order to change the boundary location between the conservation and agricultural districts on a district boundary map. The appeal was initially filed with the Circuit Court of the Third Circuit. However, following a decision in another case, In re Kanahele, it was determined that appeals of LUC declaratory orders should have been filed with the Supreme Court of Hawai‘i in the first instance. This led to a question of whether the circuit court had the authority to transfer the appeal to the Supreme Court of Hawai‘i.The Circuit Court of the Third Circuit had initially accepted the appeal. However, following the decision in In re Kanahele, it was determined that the Supreme Court of Hawai‘i was the correct court for such appeals. This led to a dispute between Honoipu and the LUC, with Honoipu arguing for the transfer of the case to the Supreme Court, and the LUC arguing for dismissal due to lack of jurisdiction.The Supreme Court of Hawai‘i held that the Circuit Court of the Third Circuit had both inherent and statutory authority to transfer the appeal to the Supreme Court. The court reasoned that the power to "do such other acts and take such other steps as may be necessary to carry into full effect the powers which are or shall be given to them by law or for the promotion of justice" gave the circuit court the power to correct a jurisdictional mistake that was no party’s or court’s fault. The court also noted that transferring the case would further the judiciary’s policy of permitting litigants to appeal and hear the case on its merits. View "Honoipu Hideaway, LLC v. State" on Justia Law
State v. Schaffer
The case revolves around a dispute over attorney fees awarded under Minnesota Statutes section 117.031(a) in an eminent domain proceeding. The State of Minnesota, through the Department of Transportation (MnDOT), seized a portion of Joseph Hamlin's property under the "quick take" provision of Minnesota eminent domain law. Hamlin was awarded attorney fees after the compensation he received was more than 40% greater than MnDOT's final offer. The attorney fees awarded exceeded the amount Hamlin owed his attorney under a contingent fee agreement.MnDOT appealed the district court's decision, arguing that the term "reasonable" in section 117.031(a) should limit the attorney fee award to the amount owed in the contingent fee agreement. The district court had applied the lodestar method (a method for calculating attorney fees based on the number of hours reasonably expended on the litigation multiplied by a reasonable hourly rate) and awarded Hamlin $63,228 in attorney fees. The court of appeals affirmed the district court's decision, holding that "reasonable attorney fees" in section 117.031(a) are calculated under the lodestar method and are not limited by any existing agreement between the landowner and his attorney.The Minnesota Supreme Court affirmed the decision of the court of appeals. The court reiterated its previous holding in County of Dakota v. Cameron that "reasonable attorney fees" in section 117.031(a) refers to attorney fees calculated by the lodestar method. Therefore, an award of reasonable attorney fees is not capped by a contingent fee agreement. The court concluded that a landowner's fee agreement with their attorney does not limit an award of attorney fees because "reasonable attorney fees" under section 117.031(a) means attorney fees calculated using the lodestar method. View "State v. Schaffer" on Justia Law
Sellers v. Claudson
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
TEXAS DISPOSAL SYSTEMS LANDFILL, INC. v. TRAVIS CENTRAL APPRAISAL DISTRICT
The case revolves around a tax appraisal dispute involving Texas Disposal Systems Landfill, Inc. (the Landfill) and Travis Central Appraisal District (the District). The Landfill owns 344 acres of land in Travis County, which it operates as a landfill. In 2019, the District appraised the market value of the landfill at $21,714,939. The Landfill protested this amount under the Tax Code provision requiring equal and uniform taxation but did not claim that the District’s appraised value was higher than the market value of the property. The appraisal review board reduced the appraised value of the subject property by nearly ninety percent. The District appealed to the trial court, claiming that the board erred in concluding that the District’s appraised value was not equal and uniform when compared with similarly situated properties. The District also claimed that the board’s appraised value was lower than the subject property’s true market value.The trial court granted the Landfill’s plea to the jurisdiction, arguing that the challenge it made before the appraisal review board was an equal-and-uniform challenge, not one based on market value. Thus, the trial court lacked jurisdiction to consider market value. However, the court of appeals reversed this decision, holding that a trial court’s review of an appraisal review board’s decision is not confined to the grounds the taxpayer asserted before the board.The Supreme Court of Texas affirmed the court of appeals' judgment. The court concluded that the Tax Code limits judicial review to conducting a de novo trial of the taxpayer’s protest. In deciding the taxpayer’s protest in this case, the trial court is to determine the equal and uniform appraised value for the property subject to taxation. This limit, though mandatory, is not jurisdictional. The case was remanded to the trial court for further proceedings. View "TEXAS DISPOSAL SYSTEMS LANDFILL, INC. v. TRAVIS CENTRAL APPRAISAL DISTRICT" on Justia Law
Coprich v. Jones
The case revolves around a dispute over a property deed. Earnest Coprich and Bessie Elizabeth Jones, who have known each other for about 50 years, disagreed over the terms of a property sale. Coprich claimed that he sold his residence to Jones for $15,000, while Jones contended that the sale price was $10,000. After Jones moved into the property and made several improvements, Coprich filed a complaint seeking to set aside the deed. He alleged that he was mentally incompetent at the time of signing the deed and that he was coerced and defrauded by Jones. Jones denied these allegations and asserted that she had purchased the property and occupied it since the transaction.The Montgomery Circuit Court, after a bench trial, ruled in favor of Jones. The court found that Coprich failed to present sufficient evidence to prove his incompetence or that Jones had committed fraud or misrepresentation. Coprich's postjudgment motion to vacate the order was summarily denied by the court. Coprich then appealed to the Court of Civil Appeals, which transferred the appeal to the Supreme Court of Alabama due to lack of appellate jurisdiction.The Supreme Court of Alabama, however, determined that the Court of Civil Appeals should have jurisdiction over the case. The court noted that the case is a "civil case" as defined by § 12-3-10 and that the "amount involved" does not exceed the jurisdictional threshold of $50,000. Therefore, the Supreme Court transferred the appeal back to the Court of Civil Appeals. View "Coprich v. Jones" on Justia Law
Llanes v. Bank of America, N.A.
The case involves plaintiffs Ronnie and Sharon Llanes and Michael and Lauren Codie (collectively, Borrowers) who purchased homes with mortgages from Bank of America, N.A. (Lender). After the Borrowers defaulted on their mortgages, the properties were foreclosed upon and sold in nonjudicial foreclosure sales. The Borrowers then sued the Lender for wrongful foreclosure, alleging that the Lender's foreclosures did not comply with Hawai‘i Revised Statutes (HRS) § 667-5 (2008) (since repealed).The case was initially heard in the Circuit Court of the Third Circuit, where the Lender moved for summary judgment, arguing that the Borrowers did not prove damages. The circuit court denied the motion due to factual disputes and lack of clarity in existing law. However, after the Supreme Court of Hawai‘i issued its decision in Lima v. Deutsche Bank Nat’l Tr. Co., the Lender renewed its summary judgment motion, arguing that under Lima, the Borrowers’ claims failed as a matter of law because they did not provide evidence of damages that accounted for their pre-foreclosure mortgage debts. The circuit court granted the Lender's renewed motion for summary judgment, concluding that the Borrowers had not proven their damages after accounting for their debts under Lima.On appeal to the Supreme Court of the State of Hawai‘i, the Borrowers argued that the circuit court erred by concluding that they bore the burden of proving their damages and did not meet that burden. The Supreme Court affirmed the circuit court's decision, holding that outstanding debt may not be counted as damages in wrongful foreclosure cases. The court concluded that the Borrowers did not prove the damages element of their wrongful foreclosure claims, and therefore, the circuit court properly granted summary judgment to the Lender. View "Llanes v. Bank of America, N.A." on Justia Law
Cohen v. Super. Ct.
This case involves a dispute between neighbors over alleged violations of the Los Angeles Municipal Code (LAMC) related to landscaping and hedges. The plaintiffs, Thomas and Lisa Schwartz, claimed that their neighbors, Charles and Katyna Cohen, maintained landscaping and hedges on their property in violation of certain provisions of the LAMC. The Schwartzes sought redress for these alleged violations based on section 36900, subdivision (a) of the California Government Code, which states that a violation of a city ordinance may be redressed by civil action. The Schwartzes relied on a prior court decision, Riley v. Hilton Hotels Corp., which interpreted this provision as allowing any private citizen to sue to redress violations of municipal ordinances.The trial court overruled the Cohens' demurrer to the second and third causes of action, which were based on the alleged LAMC violations. The court applied the Riley decision and concluded that the Schwartzes could assert private causes of action for violations of the LAMC. The Cohens petitioned the Court of Appeal for a writ of mandate, arguing that the Riley decision was wrongly decided and that section 36900, subdivision (a) does not create a private right of action.The Court of Appeal of the State of California Second Appellate District Division Four agreed with the Cohens. The court found that the language of section 36900, subdivision (a) is ambiguous and that its legislative history shows that the Legislature did not intend to afford members of the public the right to bring suit to redress violations of local ordinances. The court concluded that the trial court erred by overruling the Cohens' demurrer to the second and third causes of action. The court issued a peremptory writ of mandate ordering the trial court to vacate the portion of its order overruling the Cohens' demurrer to these causes of action and to enter an order sustaining their demurrer without leave to amend. The court also overruled the Riley decision to the extent that it recognized a private right of action under section 36900, subdivision (a). View "Cohen v. Super. Ct." on Justia Law