Justia Landlord - Tenant Opinion Summaries

Articles Posted in Real Estate & Property Law
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Between 2015 and 2019, BitterSweet Ranch and its managers (“BitterSweet”) leased three parcels of farmland from Frank Sullivan and two of his business entities, The Green Desert, LLC, and The Sullivan Limited Partnership (collectively, “Sullivan”). The parties signed three identical five-year leases (“the Leases”) involving three separate parcels of real property, each owned by one of the three Sullivan parties. The Leases specified that Sullivan was to be responsible for payment of the property taxes, but that those parties were to be reimbursed by BitterSweet, and that BitterSweet was to be responsible for bi-annual rent payments, utilities, and water assessments. For a variety of reasons, the parties purportedly orally agreed to modify the Leases to offset amounts owed to each other throughout the terms of the Leases. Shortly before the Leases were set to expire at the end of their five-year terms, Sullivan claimed that BitterSweet was in breach of the Leases for its alleged failure to make timely rent payments, to pay all property taxes, and to pay the water assessments pursuant to the terms of the Leases. Sullivan then filed three lawsuits (one for each of the Leases and in the names of each of the three parties) in district court. The district court ordered the cases consolidated and then granted summary judgment in favor of BitterSweet, concluding that a genuine issue of material fact had not been created as to whether BitterSweet had breached the Leases. Sullivan appealed the adverse order. Finding no reversible error, the Idaho Supreme Court affirmed. View "Sullivan v. BitterSweet Ranch, LLC" on Justia Law

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This consolidated appeal arose from a dispute regarding a purchase option within a lease agreement. Bronco Elite Arts & Athletics, LLC, and its manager and registered agent, Brandon Paine (collectively “Bronco Elite”), operated a gymnastics facility in Garden City, Idaho. The gymnastics facility was located on property that Bronco Elite leased from 106 Garden City, LLC (“106 Garden City”), and Tricon Properties, LLC (“Tricon”). The lease agreement provided Bronco Elite the option to purchase the Property five years into the initial ten-year lease term. However, when Bronco Elite attempted to exercise its option, 106 Garden City and Tricon refused to honor the option. Bronco Elite sued 106 Garden City and Tricon, seeking specific performance. 106 Garden City and Tricon argued that Bronco Elite was precluded from exercising its purchase option because Bronco Elite had breached the lease agreement by consistently failing to pay rent on time and the lease terms only permitted Bronco Elite to exercise the purchase option if it was not in breach. The district court granted summary judgment in favor of Bronco Elite and ordered 106 Garden City and Tricon to convey the Property to Bronco Elite. The specific performance ordered by the district court was stayed pending appeal. After review, the Idaho Supreme Court concluded the district court did not err in granting summary judgment to Bronco Elite, however, the Court found the trial court erred in setting the purchase price of the Property in the way that it did. The case was remanded for further proceedings. View "Bronco Elite Arts & Athletics, LLC v. 106 Garden City, LLC" on Justia Law

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The Supreme Court affirmed the summary judgment granted by the district court in favor of a non-shareholder officer and a non-shareholder former director in this suit brought by Landlord seeking to pierce the corporate veil of a commercial tenant (Tenant), who failed or refused to pay a judgment against it, holding that the district court did not err.Landlord sued Tenant for nonpayment of rent and recovered a judgment. When Landlord was unable to recover on its judgment it commenced the instant action seeking to pierce Tenant's corporate veil and hold a non-shareholder officer and a non-shareholder former director personally liable for the judgment against Tenant. The district court entered summary judgment in favor of Defendants and dismissed the case with prejudice. The Supreme Court affirmed, holding the factors did not weigh in favor of veil piercing. View "407 N 117 Street v. Harper" on Justia Law

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The Supreme Court affirmed the judgment of the court of appeals denying a writ of prohibition preventing Judge Peter J. Corrigan from proceeding in a declaratory judgment and preliminary injunction action, holding that Judge Corrigan did not lack jurisdiction to proceed in the case.United Twenty-Fifth Building, LLC sued Jessica Maron, a party to a pending divorce case, alleging that Jessica was interfering with an easement involving a multistory building in Cleveland. Specifically, United argued that Jessica was preventing access to the building's elevator, lobby, and stairwell and delaying the construction of a restaurant in the building. Jessica filed a prohibition petition seeking to prevent Judge Corrigan from exercising jurisdiction in United's case because, under the jurisdictional-priority rule, Judge Corrigan patently and unambiguously lacked jurisdiction to proceed because the case involved property that may be subject to equitable division in her divorce case. The court of appeals denied the writ. The Supreme Court affirmed, holding that Jessica failed to show that the jurisdictional-priority rule applied under the circumstances of this case. View "State ex rel. Maron v. Corrigan" on Justia Law

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The LLC, managed by Kountze, owns the four-unit building. Kountze lives in one unit. When the LLC acquired the property in 2017, the tenants lived in unit 3. In 2020, the LLC served them with a “Notice of Termination of Tenancy” (NOT), stating that the landlord was withdrawing the property from the residential rental market under the Ellis Act and the San Francisco Residential Rent Stabilization and Arbitration Ordinance. The landlord also filed with the Residential Rent Stabilization and Arbitration Board a “Notice of Intent to Withdraw Residential Units from the Rental Market.” Counsel for the landlord testified that she sent the NOT to the tenants’ address with checks for $3,492.62 relocation payments. The postal service returned them due to the overflow of mail in the tenants’ mailboxes. The landlord and tenants had been engaged in protracted litigation, so counsel sent the NOT and checks to their counsel, who responded that he was “not authorized to accept” the payments.The landlord filed this unlawful detainer action. The tenants asserted affirmative defenses relating to the landlord’s lack of intent to withdraw the unit from the market and non-compliance with the Ellis Act. The court of appeal affirmed summary judgment against the tenants, sustaining relevance objections to the tenants’ evidence. The tenants failed to raise a triable issue of material fact as to compliance with the Ellis Act and Rent Ordinance. View "640 Octavia LLC v. Pieper" on Justia Law

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The Supreme Court dismissed the appeal of the underlying eviction proceedings brought under Nebraska's Uniform Residential Landlord and Tenant Act (the NURLTA), Neb. Rev. Stat. 76-1401, holding that this case was moot.After Defendant allegedly breached the terms of her residential lease agreement Plaintiff, Defendant's landlord, terminated the lease. When Defendant refused to leave the property Plaintiff initiated eviction proceedings. The county court found in favor of Plaintiff and issued a writ of restitution. Defendant appealed, holding that section 76-1446, which mandates a bench trial for a possession action under the NURLTA, violated her constitutional right to a jury trial. The Supreme Court dismissed Defendant's appeal, holding that Defendant's arguments on appeal were moot, and none of the mootness exceptions applied. View "NP Dodge Management Co. v. Holcomb" on Justia Law

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Jones Lang LaSalle Brokerage, Inc. (JLL) represented both parties to an agreement to lease property in northwest Washington, D.C. Because dual representations of that kind pose inherent conflicts of interest, the District of Columbia’s Brokerage Act required JLL to obtain the written consent of all clients on both sides. JLL’s client on the landlord side of the transaction, 1441 L Associates, LLC, declined to pay JLL’s commission. JLL then brought this action to recover the commission. In defending against the suit, 1441 L argued that JLL, when disclosing its dual representation, failed to adhere to certain formatting specifications set out in the Brokerage Act that aim to highlight such a disclosure. The district court granted summary judgment to 1441 L.   The DC Circuit vacated and remand for further proceedings. The court concluded that that the Act does not invariably require adherence to those formatting specifications. Rather, the specifications go to whether the broker can gain an optional presumption that it secured the required written consent for its dual representation. Even without the benefit of that presumption, a broker can still demonstrate that it obtained the requisite written consent. View "Jones Lang Lasalle Brokerage, Inc. v. 1441 L Associates, LLC" on Justia Law

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The Supreme Court affirmed the decision of the court of appeals affirming the district court's ruling in this eminent domain case between Tenants and City involving the requirement that a condemning authority provide certain relocation benefits and assistance to those displaced by the government's exercise of eminent domain, holding that the district court lacked subject matter jurisdiction over Tenants' petition to recover relocation expenses.Specifically, the Supreme Court held (1) the district court lacked subject matter jurisdiction over Tenants' petition because the Kansas Eminent Domain Procedure Act (EDPA), Kan. Stat. Ann. 26-501 et seq., neither provides a private right of action to recover relocation benefits nor authorizes judicial review of relocation-benefit determinations in eminent-domain appeals; (2) while the Kansas Relocation Assistance for Persons Displayed by Acquisition of Real Property Act (KRA), Kan. Stat. Ann. 58-3501 et seq., does provide an administrative remedy to vindicate the statutory right to relocation benefits, Tenants' failure to exhaust this administrative remedy deprived the district court of subject matter jurisdiction under the KRA; and (3) while Kan. Stat. Ann. 60-2101(d) authorizes appeals to the district court from certain final judgments and orders of a political subdivision, the statute did not apply in this case. View "Kan. Fire & Safety Equipment v. City of Topeka" on Justia Law

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Through an Asset Purchase Agreement, seller Huntcole, LLC (Huntcole), transferred to buyer 4-Way Electric Services, LLC (4-Way), all property necessary to conduct the refurbishment business. The Asset Purchase Agreement did not include the building where the refurbishment business was located. Instead, Huntcole leased that building to 4-Way through a separate Lease. Three years after buying the business, 4-Way announced it was moving to a new building in a different city. It began removing large pieces of commercial equipment it believed it had purchased from Huntcole to conduct the refurbishment business. Huntcole protested and argued that because the equipment was affixed to the building, it was not transferred to 4-Way through the Asset Purchase Agreement. The trial court ruled in favor of Huntcole, finding the affixed equipment had been excluded from the Asset Purchase Agreement. After its review, the Mississippi Supreme Court affirmed in part and reversed in part the trial court's judgment. The Supreme Court found that based on the plain language of the Asset Purchase Agreement, 4-Way, by purchasing all assets necessary to conduct the refurbishment business, did in fact purchase the very equipment needed to conduct the business. The Asset Purchase Agreement also clearly designated the equipment as personal property and not as building improvements or fixtures. The Supreme Court concurred with the trial court that 4-Way did not have the right to cause damage to the building in a way that breached the Lease. The case was remanded to the trial court to determine the appropriate amount of damages to repair the building in accordance with the Lease, and to recalculate Huntcole's attorney fees' awards. View "4-Way Electric Services, LLC v. Huntcole, LLC, et al." on Justia Law

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The Supreme Judicial Court reversed the decision of the district court granting a partial summary judgment construing a long-term written lease between Owner and Tenant and, after a trial, entering a judgment regarding the parties dispute over minimum rent, holding that a factual issue existed precluding summary judgment.Owner sued Tenant for breach of contract after the parties could not agree when renegotiating minimum rent, alleging express breach of contract, declaratory judgment, and breach of the implied duty of good faith and fair dealing. The district court entered partial summary judgment in favor of Owner construing the lease but held that there were material facts in dispute as to whether Owner violated the implied duty of good faith and fair dealing when renegotiating. After a trial, the court entered judgment for Owner. The Supreme Court reversed, holding that the provision in the lease regarding minimum rent is ambiguous, and therefore, the court's entry of partial summary judgment on the issue must be reversed. The Court remanded the case for further proceedings. View "Brush & Co. v. W. O. Zangger & Son, Inc." on Justia Law