Justia Washington Supreme Court Opinion Summaries

Articles Posted in Real Estate & Property Law
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After years of negotiation and lawsuits, Snohomish County agreed to let King County build a sewage treatment plant in south Snohomish County. As part of the settlement, King County agreed to provide a substantial mitigation package for the local Snohomish County community near the plant. The cost of the mitigation was included in the capital cost of the plant. Two local utility districts that contract with King County for sewage treatment filed suit, arguing that the mitigation package was excessive, among many other claims. The trial judge largely rejected the districts' claims. After careful consideration of the record, the Supreme Court largely affirmed. View "Cedar River Water & Sewer Dist. v. King County" on Justia Law

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The issue before the Supreme Court in this case involved the validity of an amended rule from the Department of Ecology that reserved water from the Skagit River system for future year-round out-of-stream uses, despite the fact that in times of low stream flows these uses would impair established minimum in-stream flows necessary for fish, wildlife, recreation, navigation, scenic and aesthetic values. The Swinomish Indian Tribal Community (Tribe) sued, challenging the validity of Ecology's amended rule reserving the water. The trial court upheld the amended rule and dismissed the Tribe's petition. After its review, the Supreme Court concluded that Ecology erroneously interpreted the statutory exception as broad authority to reallocate water for new beneficial uses when the requirements for appropriating water for these uses otherwise cannot be met. "The exception is very narrow, however, and requires extraordinary circumstances before the minimum flow water right can be impaired." Because the amended rule exceeded Ecology's authority under the statute, the amended rule reserving the water was invalid under the Administrative Procedure Act (APA). View "Swinomish Indian Tribal Comm'y v. Dep't of Ecology" on Justia Law

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Stewart Title Guaranty Company hired the law firm Witherspoon, Kelley, Davenport & Toole, PS to defend its insured, Sterling Savings Bank, from a claim of lien priority on real property by a construction company. The claim was resolved in favor of the construction company, and Stewart Title sued the firm for malpractice. Witherspoon moved for summary judgment arguing it owed a duty to the client Sterling Bank and not Stewart Title, and that the alleged malfeasance (not arguing equitable subrogation) was not a viable argument in the lien priority suit. The trial court ruled against Witherspoon on the first, no-duty, ground but agreed with it on the second, no-breach, ground. The court therefore granted summary judgment in favor of Witherspoon. Stewart Title appealed. Upon review, the Supreme Court affirmed the trial court in dismissing Stewart Title's malpractice case on the basis that Witherspoon owed Stewart Title no duty. The Court did not address the subrogation issue. View "Stewart Title Guar. Co. v. Sterling Sav. Bank" on Justia Law

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Applicants challenged a Department of Development and Environmental Services order declaring the use of the property at issue here was not compliant with King County zoning ordinances. The assertion was that the use was established before the ordinances were revised and characterized as non-conforming. The hearing examiner found for the landowner (and county) on all relevant issues, but the superior court reversed. The appellate court reversed the superior court, and the Supreme Court reversed the appellate court. The Supreme Court held that the landowner's use was not established within the meaning of the county code. View "King County Dep't of Dev. & Envtl. Servs. v. King County" on Justia Law

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Petitioner Patrick Kofmehl bought a piece of land from Baseline Lake, LLC. By closing, the parties disputed the amount of land to be covered by their sales contract. Petitioner was willing to close only if the disputed parcel was included; the sale ultimately failed to close. The trial court invalidated the contract for failing to comply with the statute of frauds and denied specific performance to either party. The issue on appeal to the Supreme Court was whether Petitioner was entitled to recover his down payment before the dispute arise. Upon review, the Court concluded that because neither party breached the contract. The Court affirmed the appellate court which reversed the grant of summary judgment that granted restitution. View "Kofmehl v. Baseline Lake, LLC" on Justia Law

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In 2007, Respondents John Karpinski, Clark County Natural Resources Council and Futurewise (challengers) filed a petition with the Growth Management Hearings Board alleging Clark County was not in compliance with the Growth Management Act (GMA). The Challengers specifically argued that under the Act's requirements, the various lands affected by a 2007 local zoning ordinance designated as agricultural land of long-term commercial significance (ALLTCS) could not be designated as an urban growth area (UGA) by the ordinance. The cities of Camas and Ridgefield began proceedings to annex certain parcels of the disputed lands designated UGA by the 2007 ordinance. The Challengers did not contest the annexations, nor did any party bring the annexation proceedings to the attention of the Board. The Board ultimately found that Clark County was not in compliance with the GMA, specifically finding that certain land designations from the 2007 ordinance were clearly erroneous, including designation of the annexed lands as UGA. Multiple parties were permitted to intervene, and the Board's decision was appealed. The superior court entered an order that resolved various claims on appeal, including claims related to the annexed lands. The court reversed the Board's finding that Clark County's designation of a portion of the annexed lands as UGA was erroneous. The Challengers thereafter appealed the superior court's order. The ultimate issue before the Supreme Court in this case was one of appellate procedure: whether the court of appeals erred by reviewing separate and district claims that had been resolved but were not actually raised on appeal. THe parties did not challenge the disposition of those claims, thus those claims were finally adjudicated. However, the appellate court addressed the abandoned claims sua sponte and reversed the lower court's unchallenged rulings. The Supreme Court vacated the appellate court's opinion reversing the superior court's unchallenged rulings. View "Clark County v. W. Wash. Growth Mgmt. Hearings Review Bd." on Justia Law

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The issue before the Supreme Court in this case concerned the adjudication of water rights in the Yakima River Basin. The parties brought various challenges to the conditional final order of the trial court determining their water rights. The Court of appeals transferred the case to the Supreme Court for direct appeal. Upon review, the Court reversed the trial court's decision concerning the quantification of irrigable land on the Yakama reservation, and reversed the trial court's determinations regarding the Nation's right to store water. The Court affirmed the trial court's conclusions regarding the rights of nontribal claimants to excess water, but reversed the application of the "future development excuse" under RCW 90.14.140(2)(c) for nonuse of a water right. Finally, the Supreme Court affirmed the trial court's denial of several individual water rights claims. View "In re Rights to Waters of Yakima River Drainage Basin (Acquavella)" on Justia Law

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Appellant Catherine Lakey and twelve other homeowners owned property that bordered a parcel owned by Puget Sound Energy, Inc. (PSE) on which there was an electrical substation. The homeowners sued PSE and the City of Kirkland after PSE constructed a new substation on PSE property. The homeowners sought review of the trial court's decision to exclude testimony of their expert under the "Frye" rule, and the court's ultimate decision to grant summary judgment on behalf of PSE. Upon review, the Supreme Court concluded that the trial court improperly excluded the expert's testimony under the "Frye" rule but properly excluded it under the Rules of Evidence ER702. Furthermore, the Court reversed the trial court's decision with respect to their Land Use Petition Act (LUPA) claims, finding that LUPA did not apply to the homeowners' inverse condemnation claim. The Court affirmed the trial court in all other respects. View "Lakey v. Puget Sound Energy" on Justia Law

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In 2009, Philip Haberthur nonjudicially foreclosed on Petitioner Steven Schreoder's property. Petitioner attempted to restrain the sale on grounds that his land was agricultural and not subject to nonjudicial foreclosure. The issue before the Supreme Court in this case was whether the parties to a deed of trust may waive the statutory requirement that agricultural land must be foreclosed judicially. Upon review, the Supreme Court concluded that "although the procedure here was admittedly convoluted," the trial court abused its discretion in failing to restrain the sale of Petitioner's property without first determining whether the land was agricultural, and for dismissing Petitioner's other claims on summary judgment. The Court held that agricultural land must be foreclosed judicially; parties may not waive the statute. The Court reversed the trial court's decision and remanded the case for further proceedings. View "Schroeder v. Excelsior Mgmt. Grp., LLC" on Justia Law

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Dorothy Halstein suffered from dementia. She owned a home worth between $235,000 and $320,000. While suffering demential, she owed approximately $75,000 to Washington Mutual Bank (WaMu), secured by a deed of trust on her home. Because of the cost of her care, her guardian did not have the funds to pay her mortgage. Quality Loan Services, acting as trustee of the deed of trust, foreclosed on her home. Quality sold the home for $83,087.67, one dollar more than Ms. Halstein owed. A notary falsely notarized the notice of sale by predating the notary acknowledgement. The falsification permitted the sale to take place earlier than it could have had the notice of sale been dated when it was actually signed. Before the foreclosure sale, Halstein's court-appointed guardian secured a buyer for her house willing to pay $235,000. There was not enough time before the scheduled foreclosure to close the sale with the buyer. Despite numerous requests, WaMu did not postpone the sale. A jury found that the trustee was negligent, and that the trustee's acts violated the Consumer Protection Act (CPA), and that the trustee breached its contractual obligations. The Court of Appeals reversed all but the negligence claim. Upon review, the Supreme Court reversed the Court of Appeals in part, and restored the award based on the CPA. View "Klem v. Wash. Mut. Bank" on Justia Law