Justia California Court of Appeals Opinion Summaries

Articles Posted in Real Estate & Property Law
by
Vallejo’s zoning code does not recognize medical marijuana dispensaries as a permitted land use. An unpermitted use is “a public nuisance.” Vallejo recently adopted Ordinance No. 1715 granting limited immunity to medical marijuana dispensaries that meet various requirements, including the past payment of local business taxes. NCORP4, a nonprofit corporation, operates a Vallejo medical marijuana dispensary. Vallejo denied NCORP4’s application for limited immunity for failure to pay taxes, among other reasons, but the dispensary continues to operate. The city sought to enjoin the dispensary as a public nuisance. The trial court denied the city a preliminary injunction, concluding that the ordinance improperly conditioned immunity upon past payment of business taxes. The court of appeal reversed. State law permitting medicinal marijuana use and distribution does not preempt “the authority of California cities and counties, under their traditional land use and police powers, to allow, restrict, limit, or entirely exclude facilities that distribute medical marijuana, and to enforce such policies by nuisance actions.” Local governments may rationally limit medical marijuana dispensaries to those already in operation and compliant with prior law as past compliance shows a willingness to follow the law, which suggests future lawful behavior. View "City of Vallejo v. NCORP4, Inc." on Justia Law

by
RSB purchased a vineyard jointly owned by the defendants, including a residence that defendants had renovated and converted into a wine tasting room. RSB later learned that the renovated residence was structurally unsound for commercial use and was forced to demolish it. In response to RSB’s lawsuit claiming misrepresentations and omissions in connection with the sale of the residence, defendants moved for summary judgment, offering evidence they had no knowledge of the buildings' deficiencies. While RSB provided no evidence to suggest defendants had actual knowledge of the problems, it did demonstrate that the deficiencies were so severe that defendants’ construction professionals should have been aware of them and argued that this knowledge was imputed to defendants. The trial court granted summary judgment, reasoning that defendants could not be held liable for nondisclosure in the absence of evidence they had actual knowledge. The court of appeal affirmed. That a property is being used for a particular activity does not necessarily imply that the property satisfies all regulatory requirements for the activity. In any event, a cause of action for misrepresentation requires an affirmative statement, not an implied assertion. View "RSB Vineyards, LLC v. Orsi" on Justia Law

by
Plaintiffs and appellants Luz Solar Partners Ltd., III; Luz Solar Partners Ltd., IV; Luz Solar Partners Ltd., V; Luz Solar Partners Ltd., VI; Luz Solar Partners Ltd., VII; Luz Solar Partners Ltd., VIII and Harper Lake Company VIII; and Luz Solar Partners Ltd., IX and HLC IX (collectively “Luz Partners”) challenged the assessment of real property improved with solar energy generating systems (SEGS units) for tax years 2011-2012 and 2012-2013. They contended that defendants-respondents San Bernardino County (County) and the Assessment Appeals Board of San Bernardino County (Appeals Board) erroneously relied on the State of California Board of Equalization’s (Board) incorrect interpretation of the applicable statutes governing the method of assessing the value of the property. Finding that the Board correctly interpreted the applicable law in setting forth the method of assessing the value of the solar properties, the Court of Appeal affirmed. View "Luz Solar Partners Ltd. v. San Bernardino County" on Justia Law

by
Two cases consolidated for review involved a property where a shooting range had been operated for decades (the Property), its remediation by Plaintiffs Otay Land Company, LLC (OLC) and Flat Rock Land Company, LLC (FRLC) (collectively, Plaintiffs), and their efforts to recover remediation costs from former owners under the Carpenter Presley-Tanner Hazardous Substances Account Act. Defendants were former owner United Enterprises, Inc. (UEI) and its successors, including United Enterprises, Ltd. (UEL) (together, UE Defendants or UE), and former owner Baldwin Vista Associates, L.P. (now The Otay Ranch, L.P.) and certain of its general partners. Plaintiffs also asserted common law claims for continuing nuisance and continuing trespass. The case proceeded to a bench trial. The trial court's Statement of Decision addressed issues regarding whether Plaintiffs had a private right of action, liability, defenses, the allocation of costs, and cost reductions, each in the alternative, and held Plaintiffs should take nothing. The court entered judgment for Defendants. Defendants moved for attorney fees and costs, which the court denied. Plaintiffs appealed, arguing the trial court erred in its interpretation and application of the Carpenter Presley-Tanner Hazardous Substances Account Act. After review, the Court of Appeal affirmed certain rulings, reversed the judgment in all other respects, and remanded with directions. In light of this decision, the Court held defendants’ appeal of fees was moot. View "Otay Land Co. v. U.E. Limited" on Justia Law

by
The 4.75-acre Laurel Way site is in a hillside canyon, is steeply sloped, and contains a private, dead end street that is only partially paved. Redwood City divided its proposed development into a first phase, involving paving the roadway, installing utilities and sewer connections, landscaping, and drainage infrastructure, and a second phase, involving the construction of residences on the lots. The second phase is not to commence until the first phase is complete and approved. In 2006, the developer sought a planned development permit (PDP). The city held several workshops and public meetings then circulated a draft environmental impact report (EIR). In 2010, the planning commission certified a final EIR, adopting findings for mitigation measures, including a mitigation monitoring program. In 2013, the commission approved the PDP for the infrastructure improvements with 63 conditions. The approved project contemplates up to 16 new houses; there are two existing houses. The appeals court reinstated the PDP approval. The trial court abused its discretion by failing to evaluate the legal status of the 18 lots under the Subdivision Map Act (Gov. Code 66410). The PDP does not cover the development of individual lots, so issues regarding the legal status of the individual lots under the SMA are not ripe for judicial review. View "Save Laurel Way v. City of Redwood City" on Justia Law

by
South San Francisco approved a conditional-use permit allowing an office building to be converted to a medical clinic for use by Planned Parenthood Mar Monte. The city determined that its consideration of the permit was categorically exempt from the California Environmental Quality Act, Public Resources Code section 21000 (CEQA). Respect Life challenged the determination. The trial court and court of appeal upheld the determination, rejecting arguments that the permit’s consideration is not exempt from CEQA because the unusual circumstances exception to CEQA’s categorical exemptions applies. By pointing only to evidence that the permit will lead to protests, Respect Life failed to establish that the city prejudicially abused its discretion by making an implied determination that there are no unusual circumstances justifying further CEQA review. View "Respect Life South San Francisco v. City of South San Francisco" on Justia Law

by
The Court of Appeal reversed the trial court's order setting aside a planned development permit (PDP) issued by the City. The court held that issues regarding the legal status of the individual lots under the Subdivision Map Act were not ripe for judicial review. In this case, the approval of the PDP in Phase 1 of the Project involved only the development of an infrastructure for the land involved, and the SMA was not implicated in Phase 1. View "Save Laurel Way v. City of Redwood City" on Justia Law

by
After a shopping center tenant defaulted on a secured loan, the lender took possession of the premises through foreclosure and transferred its interest to a third party. The third party then surrendered the premises and the landord filed suit against the lender to enforce the lease obligations. The Court of Appeal reversed the grant of summary adjudication for the landlord, holding that the purchase of the leasehold estate in this case—identified in the deed of trust by reference to the lease—did not constitute an express agreement to assume the obligations of the lease. In this case, the record showed that the lender did not expressly assume the lease. View "BRE DDR BR Whittwood CA, LLC v. Farmers & Merchants Bank" on Justia Law

by
The Attards own an undeveloped 5-acre parcel in unincorporated Contra Costa County (Fish Ranch Road) on the north side of Highway 24, near the east portal of the Caldecott Tunnel, approximately one mile west of Orinda. The property is designated open space in the county’s general plan, its zoning allows the construction of one single family home. They also own two parcels constituting the 3-acre Old Tunnel Road property near the tunnel's east portal, on the opposite side of Highway 24. The chief barrier to the development of the properties was sewage treatment. In 2005, the Attards contracted with the state Department of Transportation, agreeing to reconstruct the tunnel’s sewage disposal system and pay for upkeep, in return for the right to connect the properties. The tunnel then had a single restroom, served by a septic system. Although they failed to obtain the necessary regulatory approvals, the county issued a permit for construction of an 8400-square-foot home. Before the county discovered its error and notified the Attards, they made substantial progress toward installing a foundation. The county revoked the permits. The court of appeal affirmed the rejection of their petition for mandamus, rejecting claims of vested rights and equitable estoppel; that the Attards were exempt from local regulatory authority because of sovereign immunity; and that they were denied due process by the evident bias of one Board member. View "Attard v. Board of Supervisors of Contra Costa County" on Justia Law

by
In 2010, Omni, the landowner and developer, sought approval for construction of a shopping center on 11 acres of property zoned commercial, to consist of 10 retail buildings. Monterey County approved the project. An association of community members challenged the approval under the California Environmental Quality Act, Public Resources Code 21000 (CEQA). The trial court denied the petition as to the claimed CEQA violations but ordered an interlocutory remand to allow the county to clarify whether the project was consistent with the county’s general plan requirement that the project have a long-term, sustainable water supply. On remand, the Board of Supervisors clarified that the project “has a long-term sustainable water supply, both in quality and quantity to serve the development in accordance with the 2010 Monterey County General Plan Policies. The court entered judgment in favor of the county and Omni. The court of appeal affirmed, rejecting claims that the county violated the association’s right to procedural due process on interlocutory remand and violated CEQA because the water supply analysis was inadequate, the analysis of the project’s consistency with the general plan was inadequate, the environmental impact report’s traffic analysis was inadequate, and environmental review of Omni’s project was improperly segmented. View "Highway 68 Coalition v. County of Monterey" on Justia Law