Articles Posted in Real Estate & Property Law

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The Supreme Court affirmed the decision of the district court ruling that the parties in this case were joint tenants with equal ownership interests in certain property, taking the opportunity of this case to clarify that the presumptions from Sack v. Tomlin, 871 P.2d 298 (Nev. 1994), concerning tenants in common apply to joint tenants. Elizabeth Howard and Shaughnan Hughes jointly applied for credit in anticipation of purchasing a home. Howard used the proceeds from a third-party settlement award to purchase the property and then executed a quitclaim deed naming herself and Hughes as joint tenants. During their ownership, Howard contributed in excess of $100,000 to the property, while Hughes contributed approximately $20,000. Hughes later filed a complaint to partition the property. The district court concluded that Howard and Hughes were joint tenants with equal ownership interests in the property. The Supreme Court agreed, holding (1) the district court correctly interpreted and applied the presumptions from Sack and Langevin v. York, 907 P.2d 981 (Nev. 1995); and (2) Hughes presented sufficient evidence of Howard’s donative intent at trial, thereby rebutting the secondary presumption that the parties did not own the property equally. View "Howard v. Hughes" on Justia Law

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In this appeal and cross-appeal from a final judgment in an action arising from the purchase of real property, the Supreme Court affirmed in part and reversed in part the judgment of the district court, holding that Nevada law has not recognized implied restrictive covenants based on a common development scheme, and the Court declines to adopt the doctrine based on the record. Appellant purchased a residential lot adjoining Respondent’s residential lot (the Lot). The Lot also adjoined a golf course and included a small parcel of land that had previously been an out-of-bounds area between the golf course and the property. The Supreme Court (1) affirmed the district court’s determination that Appellant cannot maintain an implied restrictive covenant upon the out-of-bounds parcel because the Court declines to recognize implied restrictive easements; (2) reversed the judgment of the district court that Appellant waived any claims it may have had against a real estate company, real estate agent, and developer for misrepresentations or failure to disclose information in the purchase process of the property; and (3) reversed the award of attorney fees and costs. View "Rosenberg Living Trust v. MacDonald Highlands Realty" on Justia Law

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In this quiet title dispute between the buyer at a homeowners association (HOA) lien foreclosure sale and the holder of the first deed of trust on the subject property, the Supreme Court reversed the district court’s grant of summary judgment for the buyer of the property, holding that the buyer took title subject to the first deed of trust. Following the HOA lien foreclosure sale, the district court denied summary judgment to the first deed of trust holder in this quiet title action. The Supreme Court reversed, holding that a first deed of trust holder’s unconditional tender of the superpriority amount due results in the buyer at foreclosure taking the property subject to the deed of trust. View "Bank of America, N.A. v. SFR Investments Pool 1, LLC" on Justia Law

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The Supreme Court affirmed the district court’s determination that Appellant’s deed of trust was extinguished by a valid foreclosure sale, holding that the district court properly concluded that the foreclosure sale should not be invalidated on equitable grounds, the sale did not constitute a fraudulent transfer, and the foreclosure should not be invalidated due to an irregularity in the foreclosure deed. The case concerned the competing rights to property that was purchased at a homeowners’ association foreclosure sale. Appellant was the beneficiary of a deed of trust on that property at the time of the sale. Respondent was the winning bidder at the sale. After a bench trial to determine whether Respondent or Appellant had superior title to the property, the district court quieted title in favor of Respondent, holding that Appellant’s deed of trust was extinguished pursuant to SFR Investments Pool 1, LLC v. U.S. Bank, N.A., 334 P.3d 408 (Nev. 2014). The Supreme Court affirmed, holding (1) there was no unfairness or irregularity in the foreclosure process, and therefore, the district court correctly rejected Appellant’s equitable argument; (2) the foreclosure sale did not constitute a fraudulent transfer under the Uniform Fraudulent Transfer Act; and (3) an irregularity in the foreclosure deed upon sale does not invalidate the foreclosure as a whole. View "Wells Fargo Bank, N.A. v. Radecki" on Justia Law

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At issue in this eminent domain proceeding was whether HQ Metro, LLC or Clark County was entitled to compensation for a permanent easement to the installation of electrical transmission lines on property that was owned by HQ Metro when the easement was obtained by Nevada Energy (NV Energy) but sold to Clark County before NV Energy physically entered the property to begin construction. The district court concluded that HQ Metro, as the property’s owner at the time of the taking, was entitled to compensation for the permanent easement and apportioned $775,000 to HQ Metro as damages for the permanent easement. The Supreme Court affirmed, holding that the right to compensation vested when the district court entered the order granting immediate occupancy, which permitted NV Energy to permanently occupy the easement area and enjoined HQ Metro from interfering with that occupancy. View "Clark County v. HQ Metro, LLC" on Justia Law

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The Supreme Court answered in the affirmative a certified question from the United States District Court for the District of Nevada, holding that, even before the October 1, 2015 amendment to Nev. Rev. Stat. 116.31168, the statute incorporated Nev. Rev. Stat. 107.090’s requirement that a homeowner’s association (HOA) provide notices of default and/or sale to persons or entities holding subordinate interests, even when such persons or entities did not request notice. Respondent-Bank filed a complaint in the federal district court of Nevada, naming as defendants an HOA and the current owner of property that was sold at a nonjudicial foreclosure sale. Respondent requested that the foreclosure sale did not extinguish its deed of trust and alleged that the sale violated due process because Nev. Rev. Stat. Chapter 116 lacked any pre-deprivation notice requirements. The federal district court then filed its order certifying the question of law above. The Supreme Court held that section 107.090, which governs trustee sales under a deed of trust, mandates notice to those holding subordinate interests, and by requiring application of section 107.090 during the HOA foreclosure process, section 116.31168(1) required notice to be provided to all holders of subordinate security interests prior to a HOA foreclosure sale. View "SFR Investments Pool 1, LLC v. Bank of New York Mellon" on Justia Law

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The Supreme Court affirmed the district court’s order awarding attorney fees and costs to Defendant on its counterclaim after the court determined Defendant to be the “prevailing party” following bifurcated trials, in which the parties settled as to damages on Plaintiff’s claims in an amount that exceeded Defendant’s damages judgment on its counterclaim. Specifically, the Court held that the district court did not abuse its discretion by failing to aggregate the settlement recovery and damages award in this case because (1) there is no Nevada statute or court rule that requires the trial court to offset a damages judgment on one party’s counterclaim by the amount recovered by another party in settling its claim to determine which side is the prevailing party; and (2) the most reasonable interpretation of Nev. Rev. Stat. 18.010(2)(a) and 18.020(3) precludes the use of settlement recovery for this purpose. View "Northern Nevada Homes, LLC v. GL Construction, Inc." on Justia Law

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The Supreme Court reversed the judgment of the district court in favor of Wynn Las Vegas, LLC in its breach of contract action to collect $1 million in unpaid casino markers from Appellant, holding that the district court erred when it precluded Appellant from testifying at trial by video conference from Italy and excluded evidence of his intoxication. The Supreme Court remanded this case for a new trial, holding (1) the district court abused its discretion under the Nevada Supreme Court Rules Part IX-B(B) when it summarily denied Appellant’s request to testify at trial via video conference and an interpreter; and (2) the district court abused its discretion when it applied an incorrect standard to exclude any evidence of intoxication. View "LaBarbera v. Wynn Las Vegas, LLC" on Justia Law

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The foreclosure sale in this case was not invalid due to a lack of notice. At issue was the competing interests of the purchase of property at a homeowners association (HOA) foreclosure sale and the beneficiary of a deed of trust on that property at the time of the sale. The district court determined that Respondent’s deed of trust survived the HOA foreclosure sale where the HOA failed to provide the statutorily required preforeclosure notice. The Supreme Court reversed, holding that because Respondent’s rights were not prejudiced by the HOA’s failure to provide the preforeclosure notice, the district court erred in holding that the defective notice allowed Respondent’s deed of trust to survive the foreclosure sale. View "West Sunset 2050 Trust v. Nationstar Mortgage, LLC" on Justia Law

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The district court erred in awarding Respondent costs and attorney fees pursuant to Nev. Rev. Stat. 116.3116(8) after Respondent successfully obtained a judgment quieting title against Appellant. After acquiring interest in a property pursuant to a homeowners’ association foreclosure sale Respondent filed an action to quiet title pursuant to Nev. Rev. Stat. 30.010, claiming that the section 116.3116 foreclosure sale at which it acquired title extinguished all junior liens. The district court granted summary judgment for Respondent. Thereafter, Respondent requested costs and attorney fees pursuant to section 116.3116(8). The district court granted Respondent’s request on the basis that Respondent’s claims were brought under section 116.3116. The Supreme Court reversed, holding that Respondent was not entitled to costs and attorney fees pursuant to section 116.3116(8) because Respondent’s action was not brought under section 116.3116. Rather, Respondent’s action was brought under Nev. Rev. Stat. 30.010 et seq., which authorizes actions to quiet title. View "Carrington Mortgage Holdings LLC v. R Ventures VIII, LLC" on Justia Law