Justia Landlord - Tenant Opinion Summaries

A corporation (Infodisc) and one of its subsidiaries (M-TX) defaulted on a loan from a bank. A California court placed the borrowers in receivership to liquidate their assets securing the loan, and an ancillary receivership was opened in Texas. Meanwhile, another Infodisc subsidiary, a California corporation (M-CA), declared bankruptcy. The receiver claimed and sold property in a Texas warehouse that the Landlord alleged was not leased to Infodisc or M-TX but to M-CA. The parties disputed who the tenant was and who owned the property and fixtures in the warehouse. After the trial court rejected almost all of the Landlord's claims, the Landlord appealed. The court vacated the trial court's judgment and dismissed the case, holding that the proceedings violated the automatic stay even though M-CA was not a party to the case. The Supreme Court granted review and reversed, holding that the court of appeals should have abated the appeal to allow the application of the automatic stay to be determined by the trial court in the first instance. Remanded. View "Evans v. Unit 82 Joint Venture" on Justia Law

Developer and Tenant had done business for many years and had established a template for future transactions. A dispute arose when Tenant forwarded to Developer a commercial lease containing a material term that deviated from the parties' previous leases without specifically drawing Developer's attention to the change. Developer signed the lease without reading the proffered lease line by line. Years later, when Developer discovered the new term, it filed suit against Tenant. The district court, without passing on the merits of the dispute, entered summary judgment against Developer on the ground that the action was time-barred. The First Circuit Court of Appeals affirmed, holding that the district court appropriately determined that Developer's action was brought too late. View "Rared Manchester NH, LLC v. Rite Aid of N.H., Inc." on Justia Law

Under Kentucky's dog-bite liability statutes, the owner of a dog is strictly liable for damages caused by the dog. This case presented the questions whether a landlord can be liable under the statutory scheme's broad definition of "owner" and whether that liability can extend to injuries caused by a tenant's dog off the leased premises. In this case the attack occurred across the street from the rented property. The trial court granted summary judgment for the landlords under Ireland v. Raymond, which held that a landlord's liability for attacks by a tenant's dog does not extend to attacks that occur off the leased premises. The court of appeals affirmed, also relying on Ireland. The Supreme Court affirmed, holding (1) a landlord can be an "owner" of a tenant's dog for the purposes of liability under certain circumstances; (2) any such liability extends only to injuries caused on or immediately adjacent to the premises; and (3) for that reason, the landlord in this case was not liable under the statutes. View "Benningfield v. Zinsmeister" on Justia Law

Tenant rented her residence from Landlord, who defaulted on the mortgage on that property. U.S. Bank National Association (USBNA), as trustee for a mortgage-backed security that owned that debt, foreclosed on Landlord's deed of trust and terminated Tenant's lease. In doing so, it sent conflicting notices to Tenant about her right under the Protecting Tenants at Foreclosure Act (PTFA) to remain on the property temporarily and filed a premature motion for immediate possession of the property. The circuit court granted USBNA's motion for possession. The Court of Appeals reversed, holding (1) misleading and contradictory notices concerning a tenant's right to remain in a residence temporarily are ineffective to satisfy the purchaser's obligation under the PTFA; and (2) a motion for possession is premature when it is filed prior to the expiration of the period that the PTFA permits a bona fide tenant to remain in a residential property subject to foreclosure. Remanded. View "Curtis v. US Bank Nat'l Ass'n" on Justia Law

Landlord leased commercial real property to Tenant. Landlord granted Tenant permission to renovate the property on the condition that Tenant would pay for the renovations. Tenant thereafter contracted with Contractor to perform the work. When Tenant defaulted on its payments to Contractor, Contractor filed a lien against Landlord's property. Contractor thereafter filed a complaint against Landlord and Tenant, asserting various claims and seeking to foreclose on its lien. The district court granted Landlord's motion for summary judgment, concluding that, pursuant to Wyoming's lien statutes, a valid mechanic's lien did not exist because Landlord did not agree to pay for the renovations to the property and that Tenant was not acting as Landlord's agent in contracting for the improvements. The Supreme Court affirmed, holding (1) the district court correctly interpreted Wyo. Stat. Ann. 29-2-105(a)(ii) to require a finding of agency between the landlord and tenant before a mechanic's lien may attach to the landlord's property for work performed at the tenant's behest; and (2) in this case, that relationship did not exist.View "Redco Constr. v. Profile Props., LLC " on Justia Law

This case arose when defendant, landlord, without giving notice to or receiving permission from plaintiff, entered the demised premises at issue and installed cross-bracing between two existing steel support columns on both of plaintiff's leased floors causing a change in the flow of patron foot traffic on the first floor and slight diminution of the second floor waiting area. At issue was whether a minimal and inconsequential retaking of space that had been leased to a commercial tenant constituted an actual partial eviction relieving the tenant from all obligation to pay rent. The court concluded, under the circumstances of the case, where such inference by a landlord was small and had no demonstrable effect on the tenant's use and enjoyment of the space, total rent abatement was not warranted.View "Eastside Exhibition Corp. v 210 E. 86th St. Corp." on Justia Law

Plaintiff rented commercial property to AGC under a lease to expire February 28, 2007. In 2006, AGC stopped paying rent and plaintiff obtained a warrant of eviction in state court. On February 2, 2007, before plaintiff could execute the warrant, AGC filed for Chapter 7 bankruptcy; the automatic stay halted eviction efforts. Plaintiff successfully moved to lift the stay and executed the warrant on April 24, 2007. Plaintiff sought, under Section 365(d)(3) of the Bankruptcy Code, post-petition rent, attorneys’ fees, and interest for the period between the Chapter 7 filing date and the date the warrant of eviction was executed. The Bankruptcy Court denied the motion, concluding that the pre-petition issuance of the warrant of eviction terminated the relationship such that there was no “unexpired” lease, the presence of which is necessary to obtain administrative expenses under Section 365(d)(3). The district court affirmed. The Second Circuit vacated. A lease is “unexpired” for purposes of the Code where the tenant has the power to revive the lease under applicable state law. In New York it is the execution, and not the issuance, of the warrant of eviction that extinguishes the tenant’s interest in a lease, so, until the warrant is executed, the lease is “unexpired.” View "In re: Assoc. of Graphic Commc'n, Inc." on Justia Law

Tenant brought claims against her landlord, the City of Dubuque, and a City official (Defendants), asserting that they unlawfully caused her eviction from her apartment. Tenant alleged, among other things, that the conduct of Defendants violated a number of her statutory rights under the Iowa Uniform Residential Landlord and Tenant Act (IURLTA). To the extent the Dubuque ordinance authorized the action of Defendants, Tenant argued the ordinance was preempted by the IURLTA. The district court concluded that Tenant was entitled to the return of her security deposit but denied all other relief. The Supreme Court affirmed in part and reversed in part, holding (1) the ordinance was not preempted by the IURLTA and there was no violation of federal law in this case; (2) the ordinance was not unconstitutionally vague and any procedural due process claim was moot; (3) the landlord violated the IURLTA when he removed the belongings of Tenant from the apartment, and landlord's withholding of Tenant's security deposit was a bad faith violation of IURLTA. Remanded. View "Lewis v. Jaeger" on Justia Law

At issue in this appeal was the Privilege Tax Statute, which provides that an entity may be taxed on the privilege of beneficially using or possessing property in connection with a for-profit business when the owner of that property is exempt from taxation. But the tax may not be imposed unless the entity using or possessing the exempt property has "exclusive possession" of that property. Alliant Techsystems (ATK) challenged the imposition of a privilege tax on its use of government property. The district court granted summary judgment against ATK, concluding that ATK had "exclusive possession" of federal government property because there was no evidence that anyone other than the government, the landowner, had any possession, use, management or control of the property. The Supreme Court reversed, holding (1) under the Statute, "exclusive possession" means exclusive as to all parties, including the property owner, and thus, exclusive possession exists when an entity has the present right to occupy and control property akin to that of an owner or lessee; and (2) because the record indicated disputed material facts regarding ATK's authority to control the government property, summary judgment was inappropriate in this case.View "Alliant Techsystems, Inc. v. Salt Lake Bd. of Equalization" on Justia Law

Defendant-Appellant Robert Shipley appealed a district court order which granted summary judgment in favor of Plaintiff-Appellee BNSF Railway Company. BNSF leased commercial property in Miles City, Montana, to Shipley. The lease provided that either party could terminate the lease upon 30 days written notice. Shipley failed to pay rent to BNSF for a number of years. This failure by Shipley resulted in overdue rent payments of $17,700. BNSF notified Shipley on January 7, 2011, that the Lease Agreement would be cancelled and terminated in 30 days, effective on February 10, 2011. The Lease Agreement also required that Shipley remove all improvements and personal property from the leased premises within the 30 days of the lease termination. Shipley failed to remove the items. BNSF provided Shipley with a 60 day extension to remove the items. Shipley again refused to remove the items. Shipley’s refusal prompted BNSF to file a complaint to quiet title to the improvements and personal property, a declaratory judgment that BNSF had terminated the lease validly, trespass, unlawful detainer, and claim for reasonable rent. Shipley acknowledged that he owed $17,700 in rent. Upon review, the Supreme Court concluded that no genuine issue of material fact existed and that the district court correctly granted summary judgment. View "BNSF v. Shipley" on Justia Law