Justia North Dakota Supreme Court Opinion Summaries

Articles Posted in Real Estate & Property Law
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Patricia Capps and others appealed, and Colleen Weflen and others cross-appealed a judgment quieting title to certain Mountrail County mineral interests in the Capps and the heirs of Ruth Nelson's estate. Because the district court erred as a matter of law in ruling the Weflens did not comply with the notice requirements in the abandoned mineral statutes, and because those requirements were constitutional, the Supreme Court reversed and remanded the case for entry of judgment quieting title to the subject mineral interests in the Weflens. View "Capps v. Weflen" on Justia Law

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Desert Partners IV, L.P., and Family Tree Corporation ("Desert Partners") sued to quiet title to certain mineral interests in McKenzie County to Desert Partners. Numerous parties were included in the action. Self-represented litigants John Benson and Brian Benson answered, counterclaiming ownership of the disputed mineral interests. Desert Partners and Benson both moved for summary judgment. No other parties responded to the motions for summary judgment. Desert Partners did not request a hearing on its motion. Benson requested a hearing on the summary judgment motions and then filed a notice of hearing. Benson's notice of hearing stated oral arguments would be heard "on October 30, 2013 at 10:00 am, or as soon as counsel may be heard." On December 3, 2013, the district court ordered summary judgment in favor of Desert Partners, noting there was no dispute as to material facts and no one had appeared for the hearing on November 1, 2013. The judgment was entered December 5, 2013. Benson emailed an unsigned notice of appeal and faxed a signed notice of appeal on February 3, 2014. The next day, the clerk of district court sent Benson an email stating the clerks' offices are unable to file documents submitted by email or fax. Further, the email stated the original documents could be mailed to the office. Benson mailed the notice of appeal on February 4, 2014. According to documentation submitted by Benson, the clerk of district court received the mailed noticed of appeal on February 7, 2014, and recorded the notice of appeal as filed on February 12, 2014. Upon receiving the notice of appeal from the district court, the Chief Deputy Clerk of the Supreme Court emailed Benson informing him the timeliness of his appeal was in question, as the deadline for filing was February 6, 2014. Further, the Chief Deputy Clerk advised Benson he may seek an extension of time from the district court to file the notice of appeal under N.D.R.App.P. 4(a)(4), if he could show excusable neglect or good cause. Benson did not move for an extension to file the notice of appeal. Desert Partners petitioned the Supreme Court to dismiss the appeal as untimely and Benson responded. In response, Benson argued his appeal should be treated as timely, and that summary judgment was improperly granted because he requested a hearing on the motions for summary judgment, but did not receive one. Desert Partners did not file a brief in response. The Supreme Court denied Desert Partners' motion to dismiss. Further, the Court reversed the district court's grant of summary judgment against Benson and remanded for a hearing on the motions, concluding the district court did not properly notice the hearing it held. View "Desert Partners IV, L.P. v. Benson" on Justia Law

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Rita Sue Rasnic, (f/k/a Johnson) appealed the grant of summary judgment quieting title to disputed mineral interests in McKenzie County to Norris and Beverly Hildre. Rasnic argues she was entitled to the disputed mineral interests because those mineral interests were subject to a mortgage held by her predecessor in interest, American State Bank. Upon review, the North Dakota Supreme Court concluded the plain language of the Hildres' 1988 mortgage applied only to mineral interests owned by them when the mortgage was executed and title to the disputed mineral interests, which was acquired by the Hildres after the mortgage was executed, did not inure to American State Bank as security for the Hildres' debt under N.D.C.C. section 35-03-01.2(4). Accordingly, the Court affirmed the judgment quieting title in the disputed mineral interests to the Hildres. View "Rasnic v. ConocoPhillips Co." on Justia Law

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John and Lori Finstad owned 80 acres of a section of land in Ransom County and leased 240 adjacent acres in the same section from Willis and Doris Olson. The Ranson-Sargent Water Users District was considering this tract of land as a potential site to drill water wells. In 1997, the Finstads and the Olsons granted to the District options to purchase the land. The options also allowed the Finstads and the Olsons to lease back the property for five years, after which they had a nonassignable right of first refusal to lease back the property for an additional five years. The Finstads appealed from a judgment awarding them $53,000.99 in damages and interest in their action against the District for breach of the lease-back provisions of an option agreement between the parties. The District cross-appealed. After review, the Supreme Court concluded the district court erred as a matter of law in ruling the economic duress doctrine relieved the Finstads of their obligations under a subsequent agreement and release they had entered into with the District. Because the agreement and release is valid and enforceable, the Court reversed the judgment. View "Finstad v. Ransom-Sargent Water Users, Inc." on Justia Law

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Carolyn Vizenor and Leonard Vizenor were married and lived most of their lives together in Minnesota. Ragna Mesling, a widow and Carolyn Vizenor's mother, owned real estate outside of New England, in Hettinger County. The Stechers were long-time renters of the Mesling farmland. The Vizenors sued Mesling and the Stechers, seeking to avoid a deed executed in 2006, in which Mesling, as Carolyn Vizenor's attorney-in-fact, transferred certain real estate to the Stechers. The Vizenors alleged the transaction directly resulted from improper conduct by the Stechers. The Estates of Carolyn Vizenor and Leonard Vizenor appealed a judgment dismissing their action against Clifford and Linda Stecher and orders denying their post-judgment motions. The Stechers cross-appealed the judgment. The Supreme Court concluded Ragna Mesling, as her daughter Carolyn Vizenor's attorney-in-fact, was authorized under a power of attorney to transfer real estate to the Stechers and sufficient evidence supported the district court's findings the transfer was not the product of undue influence. Because the court did not err in dismissing the action and denying the post-judgment motions, the Court therefore affirmed. View "Estates of Vizenor and Vizenor v. Mesling" on Justia Law

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Willard and Christi Pankonin owned real property in Logan County, which was mortgaged with Dakota Heritage Bank. The Bank brought a foreclosure action and a judgment was entered. Before the Pankonins' redemption period expired, Willard Pankonin filed for bankruptcy protection in federal court, his interest in the property was transferred to his bankruptcy estate and Michael Iaccone was appointed bankruptcy trustee. Pankonin and Iaccone (defendants), on behalf of Willard Pankonin's bankruptcy estate, moved for relief from the judgment. Attorney Timothy Lamb represented the defendants. The district court denied the motion for relief and awarded the Bank costs and disbursements without prejudice to any subsequent claim for attorney's fees. Christi Pankonin appealed award of attorney's fees to the Bank. Finding no abuse of the district court's discretion, the Supreme Court affirmed. View "Dakota Heritage Bank v. Pankonin" on Justia Law

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Defendants Citation Oil & Gas Corp., Petro-Hunt LLC, and other working interest owners appealed a district court summary judgment quieting title to an oil and gas lease in Greggory Tank. In 1982, George and Phyllis Tank executed an oil and gas lease in favor of Petro-Lewis Funds, Inc. The parties agreed to extend the primary term of the lease for three more years, ending July 15, 1989. In May 1983, the Tank 3-10 well was spudded in the northwest quarter. The well produced until October 1996. In June 1998, the Tank 3-10R well was spudded and replaced the Tank 3-10 well. The Tank 3-10R well continues to produce oil or gas. In June 1988, the Tank 13-10 well was spudded in the southwest quarter. The well continuously produced oil or gas until October 2008, and intermittently produced oil or gas until January 2012. Tank was the successor in interest to George and Phyllis Tank and was the owner of minerals in the southwest quarter of section 10. In September 2011, Tank sued the defendants, seeking to cancel the oil and gas lease to the extent it covered the southwest quarter. The defendants moved for summary judgment, seeking dismissal of all of Tank's claims. The defendants argued the continued drilling and operation of oil and gas wells on the leased property maintained the lease beyond the primary term and the lease remained in full force and effect. The district court denied the defendants' motion for summary judgment, ruling the lease had expired and was no longer valid on the southwest quarter. The court determined summary judgment was appropriate because there were only issues of law to resolve, including the interpretation of an unambiguous contract and the application of undisputed facts. Finding no reversible error in the district court's decision, the Supreme Court affirmed. View "Tank v. Citation Oil & Gas Corp." on Justia Law

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Robert Hale, individually and on behalf of the State of North Dakota, and Susan Hale appealed a summary judgment dismissing their public nuisance claim against Ward County and the City of Minot. The Hales had a house on agricultural land about one mile southeast of a shooting range in Ward County, which was used to train local, state, and federal law enforcement officers. Several other farms and homes are located near the Hales' property and the law enforcement shooting range, and County Road 12 runs adjacent to the west side of that shooting range. In "Gowan v. Ward Cnty. Comm.," (764 N.W.2d 425), the Supreme Court affirmed a Ward County Commission zoning decision denying an application to rezone neighboring land, which is about one-quarter mile downrange from the law enforcement shooting range, from agricultural to residential for construction of a residential subdivision. The Ward County Commission denied Gowan's application, citing safety concerns resulting from the proximity of his land to the law enforcement shooting range. In "Hale v. Ward Cnty.", the Supreme Court affirmed the summary judgment in part, reversed in part, and remanded for further proceedings on the Hales' public nuisance claim. The Court discussed the differences between a private and a public nuisance and explained different evidence was relevant to the Hales' claims for a private and a public nuisance. The Court affirmed the summary judgment dismissing the Hales' private nuisance claim, concluding they failed to present competent evidence supporting their claim the law enforcement shooting range posed a danger to their property. The Court reversed the summary judgment on the Hales' public nuisance claim about use of County Road 12 and remanded for further proceedings on that claim. The Court recognized, however, that Ward County and Minot had not argued the Hales failed to meet the "specially injurious" requirement for a public nuisance claim under N.D.C.C. 42-01-08, and neither the parties nor the district court had addressed the propriety of the Hales bringing an action to abate the law enforcement shooting range under N.D.C.C. ch. 42-02. On remand, the district court concluded "private citizens can bring an action 'ex rel.', but as a threshold matter, such citizens must first satisfy the special injury showing of N.D.C.C. § 42-01-08 or their public nuisance claim must be dismissed." The court granted Ward County and Minot summary judgment on the remanded claim for public nuisance regarding the Hales' use of County Road 12, concluding as a matter of law they failed to meet the "specially injurious" requirement for a private person to maintain a public nuisance claim under N.D.C.C. § 42-01-08. The court also denied the Hales' request to join additional neighbors as parties to their action. The Hales argue the district court erred in granting summary judgment on their public nuisance claim, and in denying their joinder request. Finding no reversible error, the Supreme Court affirmed the district court. View "Hale v. Ward County" on Justia Law

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American General Contractors, Inc. ("AGC"), appealed a judgment assessing liability and awarding damages and interest for the cost of delays in the construction of the Williams County Law Enforcement Center in Williston. C&C Plumbing and Heating, LLP ("C&C"), the successful bidder for the mechanical prime contract, filed suit when construction the center was delayed approximately two years after "substantial completion" was supposed to have happened. The district court concluded it was appropriate for the County and AGC to share responsibility for providing temporary shelter and heat on the project. The court apportioned 47 percent of the liability for the costs of the delay for the three and one-half months of active interference to the County and 53 percent to AGC, for the four months delay inherent to the industry. The court awarded C&C approximately $73,000 on its claim against the County. After offsetting amounts owed between the parties, the court awarded AGC approximately $424,000 on its claim against the County. The court awarded Davis Masonry approximately $96,000 from AGC for masonry work completed under its subcontract with AGC, and rejected AGC's claimed offsets to that amount. Davis had provided heat, cover and shelter for the project during cold weather and sought $649,000 from the County and AGC for that expense including prompt payment interest. Davis had settled with the County for $530,000, and the court ruled AGC was responsible for 53 percent of the remaining $119,000, or $63,070. AGC argues the district court erred in determining AGC was liable for any of the costs incurred from the delay under its contract with the County. Finding no reversible error, the Supreme Court affirmed the district court. View "C&C Plumbing and Heating, LLP v. Williams County" on Justia Law

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Monica Clark, as the personal representative of the estate of Lester Jasmanka, appealed a district court order denying her motion to vacate a 1990 default judgment quieting title to certain mineral interests in Jack and Eugene Peterson. Upon careful consideration of the facts of this case, the Supreme Court affirmed, concluding: (1) the 1990 judgment was not void and therefore could not be vacated; and (2) the motion to vacate the judgment for fraud and misrepresentation was untimely. View "Peterson v. Jasmanka" on Justia Law