Justia Idaho Supreme Court Opinion Summaries

Articles Posted in Real Estate & Property Law
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A large, dead tree near a mobile home rented by Tammy and Thomas Sankey fell and damaged the Sankeys’ vehicles, killed one of their cats and traumatized the other, and caused Tammy Sankey to experience emotional distress. Proceeding pro se, the Sankeys filed a small claims action against the owner of the mobile home park where they lived and the owner and managers of their mobile home. After losing in small claims court because they failed to prove on whose land the offending tree was located, the Sankeys filed for a trial de novo in magistrate court and paid for a land survey. The Sankeys submitted both documents attached to a joint declaration from them in opposition to motions for summary judgment filed by the owners and managers, along with a declaration from the Sankeys’ neighbor setting forth the neighbor’s lay testimony that the tree was located on the lot occupied by the Sankeys. The owners and managers of the mobile home and the mobile home park filed motions to strike the declaration from the neighbor as well as portions of the Sankeys’ declaration and the attached Record of Survey and Tree Exhibit. The magistrate court granted the motions, holding that no foundation had been laid for the Record of Survey and Tree Exhibit and that they were inadmissible hearsay. The magistrate court also struck the declaration of the neighbor because her testimony about the location of the fallen tree was not based on her personal knowledge. Without admissible evidence of who owned the land where the fallen tree was located, the magistrate court granted summary judgment in favor of the owners and managers. The magistrate court denied the Sankeys’ motion for reconsideration. The district court, sitting in its appellate capacity, affirmed the magistrate court’s decision. Finding no reversible error, the Idaho Supreme Court affirmed the decision of the district court. View "Sankey v. Ivey" 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 Day family and Trust B of the Donald M. Day and Marjorie D. Day Family Trust appealed a district court’s decision to grant the Idaho Transportation Department’s (“ITD”) motion for involuntary dismissal. ITD cross-appealed, arguing that the district court erred in denying its request for attorney fees under Idaho Code section 12-120(3). In 1961, the Days learned that access to their property via public highways would be affected when the state highway converted to a controlled-access federal interstate highway, then known as Interstate 80. The Days entered into a preliminary agreement with the Idaho Department of Highways (“IDH,” predecessor to ITD) that allowed IDH to take possession of approximately nine acres of the Day Property for construction of the interstate. In 1967, the Days entered into a right-of-way contract with IDH in furtherance of the 1961 Agreement. The 1967 Contract included an agreement for IDH to provide access to a future frontage road from I-80 to the Day Property. In the 1990s, the State began construction on the Isaacs Canyon Interchange near the Day Property. The Interchange Project eliminated a portion of the original 50-foot right of way that provided access to the Day Property under the 1967 Contract. Because of this, ITD provided replacement access easements to the Day Property. These replacement access easements were located southwest of the Interstate. The Days informed ITD the family was dissatisfied with the replacement easements and did not think they afforded the Days equivalent access to what they had prior to the construction of the Interchange. The Days sold the property to Edmonds Groves Land Holdings Inc. (“Groves”) in 2005, with the purchase price secured by a mortgage held by the Day Family. Groves later defaulted in its mortgage agreement with the Days during the recession in December of 2008. As a result, ownership of the Day Property reverted to the Day Family by way of deed in lieu of foreclosure. After the Days reacquired the property, they had difficulty obtaining title insurance because of concerns that “the access easement was owned by ITD and [the Days] did not have any statement that the easement was for the benefit of the Days.” They sued alleging inverse condemnation, and breach of contract. Finding no reversible error in the district court's dismissal, the Idaho Supreme Court affirmed. View "Day v. Idaho Transportation Department" on Justia Law

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This case stemmed from a 2019 lease by Respondents the City of Sandpoint (“the City”) to The Festival at Sandpoint (“The Festival”), a nonprofit corporation, to operate a multi-day music concert series in War Memorial Field Park. The Festival had a long-standing policy of prohibiting festival patrons from bringing weapons, including firearms, into the event. On August 9, 2019, Scott Herndon and Jeff Avery purchased tickets to the festival and attempted to enter. Avery openly carried a firearm and Herndon possessed a firearm either on his person or in a bag (the record was unclear on this point). Security personnel for the event denied entry to both. After discussions with a City police officer and the City’s attorney, who was coincidentally attending the same event in his private capacity, Herndon and Avery eventually left the music festival and received a refund for their tickets. Appellants Herndon, Avery, the Idaho Second Amendment Alliance, Inc., and the Second Amendment Foundation, Inc. subsequently sued the City and The Festival, asserting several claims, including seeking injunctive relief prohibiting the Respondents from violating the Idaho and United States Constitutions, particularly the Second Amendment and the Idaho Constitution’s provision securing the right to keep and bear arms in public for all lawful purposes. The district court ultimately granted the Respondents’ motions for summary judgment, awarded both the City and The Festival attorney fees and costs, and dismissed all the Appellants’ claims with prejudice. The issue raised on appeal was whether a private party who leased public property from a municipality may govern those who come and go from the property during the lease. The Idaho Supreme Court responded in the affirmative, and affirmed the district court's judgment. View "Herndon v. City of Sandpoint" on Justia Law

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Jay Wright appealed the district court’s grant of summary judgment to his ex-wife, Kristie Parish. Wright and Parish were married in 2002 and divorced in 2019. Before they were married, Wright and Parish, as single persons, purchased two adjacent parcels of real property in Island Park, and their ownership of the property did not change following their marriage. A magistrate court presided over their divorce proceedings and the distribution of their community property. The magistrate court classified as community property certain loan payments and improvements that had been made for the benefit of the Island Park Properties but specifically declined to divide the properties because the court concluded the properties were separate property and that it “lack[ed] authority to divide the property.” The magistrate court concluded that Wright and Parish “apparently” owned the properties as tenants-in-common, each with a fifty percent interest, though it never made a definitive ruling on each party’s interest, concluding only that they were “joint owners[.]” Roughly one year after the magistrate court entered its final judgment for the divorce, Wright filed suit seeking a partition of the Island Park Properties and for Parish to deed them to him, arguing in part that his ownership interest in the properties exceeded the fifty percent determination that the magistrate court had ostensibly made. In response, Parish moved for summary judgment, arguing that Wright’s claim that he was entitled to a greater ownership interest was precluded by the doctrines of res judicata and collateral estoppel. The district court granted Parish’s motion for summary judgment after determining that the issues in Wright’s complaint had already been litigated in the prior divorce proceedings. As a result, the district court concluded that the proceeds from the sale of the properties should be equally divided between Wright and Parish. Wright appealed. The Idaho Supreme Court determined the district court erred in granting summary judgment to Parish, and remanded the case for the trial court to consider whether Wright could produce evidence to overcome the rebuttable presumption of equal ownership in the properties. View "Wright v. Parish" on Justia Law

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Petitioners-appellants the Reeses and their neighbors challenged the Blackfoot City Council’s decision to approve a Planned Unit Development (“PUD”) in a “Residential Ranchette” zoning district. The district court dismissed their petition for judicial review after holding the Reeses did not demonstrate prejudice to a substantial right. After review, the Idaho Supreme Court found no reversible error and affirmed the district court's decision. View "Reese v. City of Blackfoot" on Justia Law

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Taunton Properties, LLC owned 63 townhomes and 3.8 acres of adjacent land in Eagle, Idaho. In 2020, Commercial Northwest, Taunton’s property manager and agent, provided Geringer Capital with documents regarding the property. The documents identified the townhomes as “Woodside Villas,” and included financial statements and tenant information. Geringer sent a written offer (“Offer Letter”) to Taunton Properties, proposing to purchase the 63 townhomes; the Offer Letter identified the Seller only as “Title Holder.” The Offer Letter also stated that, “Buyer and Seller agree to execute a more formal Agreement of Purchase and Sale within thirty (30) days containing market specific terms and the items set forth in this Agreement.” The Offer Letter contained sections for “Title Insurance,” “Proration’s [sic] and Closing Costs,” and “Seller’s Deliveries,” but stated those terms were “to be specified in the Agreement of Purchase and Sale.” Peter Taunton, the manager of Taunton Properties, electronically signed the Offer Letter through DocuSign, which presumably returned it to Geringer. One day after signing and returning the Offer Letter, Taunton Properties received a different purchase offer from LCA-CA I, LLC (“LCA”), with a proposed sale price that was $400,000 more than Geringer’s offer. That same day, Peter Taunton advised Geringer that Taunton Properties considered Geringer’s Offer Letter unenforceable and that Taunton Properties would be selling the properties to LCA. Geringer filed a complaint for specific performance, breach of contract, and breach of preliminary agreement against Taunton Properties. The district court granted Respondents’ motions to dismiss. The district court determined: (1) the Offer Letter lacked material terms and represented an agreement to agree; (2) the property description was insufficient under the statute of frauds; and (3) Geringer’s claims for breach of preliminary agreement, tortious interference with contract, and civil conspiracy failed to state claims upon which relief could be granted. The Idaho Supreme Court concurred with the district court: the Offer Letter failed to satisfy the statute of frauds and was so vague, uncertain, and indefinite that it was unenforceable. As a result, there was no enforceable contract with which to tortiously interfere. View "Geringer Capital v. Taunton Properties, LLC" on Justia Law

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Redginald Laren appealed the district court’s denial of his motion for reconsideration following the grant of summary judgment in favor of Krystal Demoney-Hendrickson and the Estate of Cynthia K. Juker. In 1994, Larsen purchased unimproved property in Twin Falls County, Idaho. In 2014, Larsen and Cynthia Juker were in a romantic relationship. Despite participating in an unofficial ceremony resembling a wedding in 2018, the two were never legally married. Shortly after the relationship began, Larsen and Juker moved into a home Juker owned. In 2019, Larsen and Juker entered into a contract to develop his Twin Falls property. About a month later, Juker unexpectedly died. According to Larsen, he and Juker entered into a series of oral agreements around the time they sought financing to improve the Twin Falls property: she would sell her property and they would use the proceeds to pay down the loan for the Twin Falls improvement. In contrast, the Estate contended Juker died intestate and never indicated her wishes for what was to become of her real property. The Estate sold Juker’s property and the proceeds were not applied to the Twin Falls property loan. Both the Estate and Larsen moved for summary judgment on their claims for partition by sale and declaratory judgment. The district court granted the Estate’s motion and denied Larsen’s motion. The Idaho Supreme Court determined the trial court erred in granting summary judgment to the Estate. After ascertaining the parties ownership interests, the Supreme Court determined the trial court had to determine whether partition by sale was warranted. View "Demoney-Hendrickson v. Larsen" on Justia Law

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This case concerned a partition action: the district court determined that a physical partition of the property would result in great prejudice and ordered the parties to sell the property and split the proceeds equally. Kay Kiebert appealed the district court’s order, arguing that the district court utilized the wrong standard for determining whether “great prejudice” would result from a physical partition and that it also relied on inappropriate considerations in determining that great prejudice would result. Finding no reversible error, the Idaho Supreme Court affirmed the district court’s order. View "Nordgaarden v. Kiebert" on Justia Law

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Appellants Brett and Jenny Terrell appealed a district court’s decision to grant Respondent Paradis de Golf Holding, LLC attorney fees under Idaho Code section 12-120(3). In February 2020, the “Terrells”) sued Paradis for an alleged violation of a recreational easement. In early 2004, Prairie Golf, LLC conveyed to BRMC, LLC a “perpetual, nonexclusive ‘recreational easement’ upon, over, through and across [Prairie Golf’s] property[.]” The easement was appurtenant to and ran with BRMC’s property, which was to be subdivided into 52 single-family residential lots (“the Grayling Estates subdivision”). The easement instrument stated that “each purchaser/owner of a Lot shall be entitled to the benefit of this easement,” which included the ability to play golf for free at a nearby golf course owned at the time by Prairie Golf. In early 2006, the Terrells purchased a home in the Grayling Estates subdivision, which benefitted from the recreational easement. In April 2014, Paradis acquired the golf course subject to the recreational easement. In 2019, Paradis began developing property within the golf course boundary area, which included converting a par five hole to a par three hole and removing a driving range. Paradis then developed residential lots on the excess property where the driving range and part of the par five golf hole used to be. Believing that these developments infringed upon their easement rights, the Terrells sued Paradis. The parties proceeded to arbitration for resolution of their dispute. The arbitrator rendered a decision in Paradis’ favor, finding that none of Paradis’ alterations to the golf course infringed upon the Terrells’ easement rights. Following the arbitration proceedings, Paradis moved for attorney fees under Idaho Code section 12-120(3). The Idaho Supreme Court found the district court erred in concluding that an award of fees was appropriate under section 12-120(3): "Our caselaw is clear that transactions for personal or household purposes do not constitute a commercial transaction for purposes of section 12-120(3)." View "Terrell v. Paradis de Golf Holding, LLC" on Justia Law