Justia Mississippi Supreme Court Opinion Summaries

Articles Posted in Real Estate & Property Law
by
The issue this case presented for the Mississippi Supreme Court's review centered on whether a purchaser of real property out of foreclosure was automatically assigned and thereby entitled to the developer’s exemption from assessments on the lots previously owned by the developer. Diamondhead Country Club and Property Owner’s Association (DPOA) contends that the foreclosing purchaser, Peoples Bank, is not automatically granted an assignment of the developer’s personal rights (i.e., the exemption from Property Owner Association (POA) Assessments) in addition to property rights and that the developing company did not expressly assign this exemption to the lender/foreclosing purchaser; therefore, the lender/foreclosing purchaser does not enjoy the exemption. The Supreme Court concluded the covenants provided that the developer’s exemption would be eliminated by conveyance of the property to a third party. Therefore, the exemption was a personal right requiring assignment to Peoples. A 2008 deed of trust conveyed both the real property rights and personal rights of the developer, but the 2012 deed of trust was void of any language granting the developer's right of exemption to Peoples. Therefore, the Court determined Peoples was entitled to the exemption from paying assessments in connection with the Glen Eagle lots, but it was liable for assessments levied on the Diamondhead lots. As to the Glen Eagle lots, the Supreme Court affirmed; the Court reversed and remanded as to the Diamondhead lots. View "Diamondhead Country Club and Property Owners Association, Inc. v. The Peoples Bank" on Justia Law

by
In 2016, Mario Holland parked his vehicle at Black’s Food Market and walked to West Lounge. Upon returning to his vehicle after patronizing West Lounge, Holland was shot and robbed in the Black’s Food parking lot. He alleged the assailant came from a vacant lot across the street from Black’s Food. Murphy Oil owned the vacant lot. Holland suffered serious injuries from the assault. The trial court granted summary judgment in favor of defendant Murphy Oil, finding that, as a landowner that owned land near the scene of an assault, it did not owe any legal duty to Holland. Holland appealed, arguing that the Mississippi Supreme Court should adopt Section 54 of the Restatement (Third) of Torts, which provided for instances when landowners might owe a duty to persons or property located off the landowner’s property. The Supreme Court determined it did not need to address the Restatement because it did not apply to the facts of this case. Further, the Court affirmed the trial court’s grant of summary judgment because the landowner did not owe any legal duty to Holland. View "Holland v. Murphy Oil USA, Inc." on Justia Law

by
G4, LLC, entered into a lease in 2009 with the City of Picayune, Mississippi, for land on the grounds of the Picayune Municipal Airport. After the Pearl River County Board of Supervisors assessed ad valorem taxes on the leased land, G4 paid the taxes under protest and petitioned the Board for a refund and for a refund of taxes it had paid on lots in the Tin Hill subdivision. The Board denied G4’s petition, and G4 appealed to the Circuit Court of Pearl River County, which affirmed. G4 appealed, asserting that, according to the Mississippi Supreme Court’s decision in Rankin County Board of Supervisors v. Lakeland Income Properties, LLC, 241 So. 3d 1279 (Miss. 2018), it was automatically exempt from paying ad valorem taxes on the airport property. The Supreme Court agreed, reversed and remanded the circuit court’s decision that affirmed the Board’s refusal to refund the airport property taxes. The Court affirmed the circuit court’s decision that G4 was not entitled to a refund of taxes paid on the Tin Hill subdivision lots. View "G4, LLC v. Pearl River County Board of Supervisors" on Justia Law

by
The lessee of commercially used Sixteenth Section Land sought to prevent the leasing school board from adjusting the annual rent outside the time constraints of the lease. While the terms of the lease appeared to contain a clear time restriction within which the Board did not act, the Mississippi Supreme Court determined the restriction could not be enforced. The restriction ran contrary to the statutory requirement that rent “shall be adjusted not less than once every ten (10) years . . . .” Miss. Code Ann. sec. 29-3-69 (Rev. 2010). Further, a school board’s duty as trustee to assure adequate consideration is received based on current fair market value of the Sixteenth Section Land cannot be waived, even by mutual agreement in a contract. For those reasons, the Supreme Court concluded the chancellor did not err by denying the lessee’s motion for a declaratory judgment that the school board was precluded from adjusting the rent based on the time restrictions in the lease. View "Oak Grove Marketplace, LLC v. Lamar County School District" on Justia Law

by
Following a heavy rain on April 2-3, 2017, several homes in the Mill Creek Place Subdivision in Rankin County, Mississippi flooded and were damaged. Several homeowners, whose homes had been damaged, sued the County for failing to properly maintain Mill Creek, which is adjacent to the Mill Creek Place Subdivision. Rankin County filed a Mississippi Rule of Civil Procedure 12(b)(6) motion to dismiss the complaint. The trial court granted Rankin County’s motion, finding that Rankin County was immune from liability—specifically discretionary function immunity—under the Mississippi Tort Claims Act. The homeowners appealed, arguing that Rankin County is not immune. The Mississippi Supreme Court reversed. Taking all of the allegations of the plaintiffs’ complaint as true, Rankin County’s alleged failure to maintain Mill Creek was a case of simple negligence, and "such maintenance decisions do not involve policy considerations." The Court therefore determined the trial court erred by dismissing the complaint based on discretionary function immunity. View "Moses v. Rankin County" on Justia Law

by
The Tippah County Board of Supervisors abandoned a public road, then rescinded its decision a year and a half later without giving notice to the owners of the land on which the road was located. The Mississippi Supreme Court concluded that doing so violated the landowners’ due-process rights, so it affirmed the circuit court’s order voiding the recision order. View "Tippah County v. Lerose" on Justia Law

by
From 2007 to 2014, the parties employed significant resources in litigating “the rights of the various parties as to Nicola Road, a [Mississippi] county road that allowed the various property owners access to Highway 603.” Jourdan River Estates (JRE) prevailed in that litigation, securing much-needed access to Nicola Road for the purpose of developing its 269-acre tract of land and constructing hundreds of condominiums. “[T]he seven year delay has been costly for” JRE and Jourdan River Resort and Yacht Club, LLC (Yacht Club). In December 2011, JRE and Yacht Club sued Scott Favre, Cindy Favre, and Jefferson Parker - neighboring property owners who opposed development - for damages, asserting fifteen different causes of action. All of the causes of action were based on the allegations that defendants delayed development of the condominium complex. After years of protracted proceedings, the circuit court granted partial summary judgment in favor of defendants. In its order, the circuit court divided its analysis between JRE and Yacht Club, disposing of each cause of action by: (1) applying the statute of limitations bar; (2) finding that plaintiffs lacked standing to bring the claim; or (3) utilizing the Noerr-Pennington doctrine, which immunized defendants from tort-based liability for having petitioned the government. The trial court denied defendants’ request to apply judicial estoppel to all of the remaining claims. JRE and Yacht Club appealed the order granting summary judgment, and defendants cross-appealed regarding the court’s application of judicial estoppel. During pendency of the appeal, the Mississippi Supreme Court sua sponte requested the parties address the issue that JRE, a foreign limited liability company, was not in good standing with the Mississippi Secretary of State prior to filing its complaint. The Court found that the parties waived the issue. Thereafter, the Supreme Court affirmed the circuit court’s grant of partial summary judgment in favor of defendants, but reversed and remanded the court’s application of judicial estoppel. View "Jourdan River Estates, LLC v. Favre" on Justia Law

by
This case arose from Hurricane Katrina insurance litigation. After the hurricane had destroyed many homes, policyholders and insurance companies began litigating whether the hurricane losses were caused by flood damage or wind damage. The distinction determined whether the insurance companies would pay claims on those polices that did not cover flood damage. This case is before the Court on interlocutory appeal. Safeco Insurance Company (Safeco) and Liberty Mutual Insurance Company individually challenged the circuit court’s reassignment of their respective cases and the appointment of a special master. The Mississippi Supreme Court found no abuse of discretion in reassigning judges, but vacated the order appointing the special master, finding an abuse of the trial court’s discretion. “The order itself acknowledged a blind-billing provision was “unusual.” But the Supreme Court found it was more than that: requiring both parties, one of which is the State of Mississippi, to pay an attorney in Louisiana to act as a judge, allowing either side to meet with him ex parte, and not requiring this special master to mention these meetings or even justify or detail his bill far exceeded the discretionary authority to appoint special masters.” View "Safeco Insurance Company of America v. Mississippi, ex rel. Hood" on Justia Law

by
Mississippi Sand Solutions (MSS) and its predecessors hauled gravel and sand off its property via a private road on property belonging to the Fisher heirs. At some point, any agreement between the parties ended, and MSS sued in chancery court, asking the chancery court to find that it had an easement over the Fisher property. The chancery court ruled that MSS did not have an easement, and MSS appealed that decision. The Mississippi Supreme Court unanimously affirmed the chancery court’s ruling that MSS did not have an easement over the Fisher heirs’ property. Settlement negotiations between the parties broke down, and the Fisher heirs demanded that MSS cease and desist traversing their property. The Fisher heirs placed “no trespassing” signs on their property and put up a gate. MSS ignored the signs and tore down the gate. The Fisher heirs reported that MSS was damaging their property by dumping trash and gravel on the property and in waterways on the property. Additionally, the Fisher heirs were cited by the Mississippi Department of Environmental Quality for the dumping and burning of household waste on the Fisher property and were required to clean the site. The Fisher heirs then sued MSS in chancery court alleging trespass, and asked for an Emergency Motion for Temporary Restraining Order and/or Preliminary Injunction. After the hearing on the emergency motion, the chancery court issued a decree on the merits of the trespass complaint in favor of the Fisher heirs and awarded the Fisher heirs damages and attorneys’ fees. However, because MSS did not receive notice the case was being tried or heard on the merits, the Mississippi Supreme Court reversed the chancery court decree on the merits and remanded for further proceedings. View "Mississippi Sand Solutions, LLC v. Otis" on Justia Law

by
Green Hills Development Company, LLC, forfeited property to the State for failure to pay taxes. Five years later, the State sold the property, following the statutory procedure under which the Secretary of State accepts written applications to purchase and, if an application is approved, issues a land patent. After learning of the sale, Green Hills sued the Secretary of State and the purchasers to have the land patents set aside. Green Hills argued it had been entitled to notice of the purchasers’ pending applications. Had it been properly notified, Green Hills claimed it would have filed its own application. And its application would have received priority based on Green Hills’ status as former owner. Green Hills also sued one of the purchasers for interfering with its rights as developer to enforce protective covenants and maintain common areas within the development. The Defendants successfully moved for summary judgment on Green Hills’ notice-based claims. The trial court ruled that the notice provision on which Green Hills relied was no longer in effect when the purchasers submitted their applications. And under the then-current administrative rules, Green Hills undisputedly received all required notice. The court further ruled the priority status for former owners’ applications was contingent on Green Hills’ filing an application, which Green Hills never did. After review, the Mississippi Supreme Court affirmed this part of the trial court’s judgment: the record confirmed the material facts were not in dispute, and Green Hills received all required notice, and never filed an application to purchase, despite multiple opportunities. So the Defendants were entitled to a judgment as a matter of law on Green Hills’ notice-based claims. However, the Supreme Court reversed the trial court’s ruling that Green Hills lacked standing to challenge the validity of the land patents issued. Because Green Hills’ claims based on the development’s protective covenants and common areas were still pending, Green Hills had a colorable interest in whether the purchasers held valid land patents. Green Hills also suffered an adverse effect from the purchasers’ countersuit to declare the protective covenants unenforceable and to divest Green Hills of its interest in the common areas. Thus, Green Hills had standing to challenge the land patents’ validity. View "Green Hills Development Company, LLC v. Mississippi Secretary of State" on Justia Law