Justia U.S. 10th Circuit Court of Appeals Opinion Summaries

The Court consolidated two cases in this opinion. Plaintiffs in both cases complained they were denied due process when the Board of County Commissioners of Elbert County (the Board) required them to rezone their properties before they could subdivide them. They argued that after the Board lost the documents reflecting the prior comprehensive zoning ordinance, it created new documents without following proper procedures for enacting an ordinance and covered up their misconduct. "Perhaps these allegations state a claim under Colorado law." After review, the Tenth Circuit Court of Appeals found that were not deprived of their right to due process under the United States Constitution. View "Onyx Properties v. Elbert Board of County Commissioners" on Justia Law

Richard George, Steven Leavitt, Sandra Leavitt, and Darrell Dalton appealed the district court’s dismissal of their putative class action against Urban Settlement Services, d/b/a Urban Lending Solutions (Urban) and Bank of America, N.A. (BOA). Plaintiffs asserted a claim under the Racketeer Influenced and Corrupt Organizations Act (RICO) against BOA and Urban. Plaintiffs also brought a promissory estoppel claim against BOA. Both claims arose from the defendants’ allegedly fraudulent administration of the Home Affordable Modification Program (HAMP). The district court granted the defendants’ Fed. R. Civ. P. 12(b)(6) motions to dismiss both claims, denied the plaintiffs’ request for leave to amend their first amended complaint, and dismissed the case. After review, the Tenth Circuit concluded that plaintiffs’ first amended complaint stated a facially plausible RICO claim against BOA and Urban and a facially plausible promissory estoppel claim against BOA. As such, the Court reversed and remanded for further proceedings. This reversal mooted plaintiffs’ challenge to the district court’s denial of their request to further amend the complaint. View "George v. Urban Settlement Services" on Justia Law

Thirty years ago, the Tenth Circuit decided all boundary disputes between the Ute Indian Tribe, the State of Utah, and its subdivisions. The only thing that remained was for the district court to memorialize that mandate in a permanent injunction. Twenty years ago, the Court modified its mandate in one respect, but stressed that in all others, the Court's earlier decision remained in place. The matter came before the Tenth Circuit again: the State of Utah, one of its cities, and several of its counties sought to relitigate the same boundaries. "Over the last forty years the questions haven’t changed - and neither have our answers." This case and all related matters were reassigned to a different district judge. The court and parties were directed to proceed to a final disposition both promptly and consistently with the Tenth Circuit's mandates in "Ute V," "Ute VI," and this case. View "Ute Indian Tribe of the Uintah v. Myton" on Justia Law

At issue in this case were two provisions of a title insurance policy underwritten by Fidelity National Title Insurance Company. One provision insured against unmarketability of title, and the other insured against a lack of access to property. The owner of the policy, Woody Creek Ventures, LLC, contended that both provisions covered losses it sustained when it learned, after purchasing two parcels of land, that one parcel lacked permanent access. And although Fidelity obtained a 30-year right-of-way grant to that parcel, Woody Creek argued Fidelity failed to cure the lack of access and the title remained unmarketable. After review, the Tenth Circuit agreed with the district court’s conclusions that: (1) the policy did not insure a permanent right of access; (2) the right-of-way cured the lack of access to the parcel; and (3) the lack of permanent access did not render Woody Creek’s title unmarketable. View "Fidelity National Title v. Woody Creek Ventures" on Justia Law

At the heart of this appeal was the dispute over the scope of an insurance policy. The insureds, BV Jordanelle, LLC and BV Lending, LLC (collectively, "BV") obtained a mortgage on real property as security for a loan and acquired a title-insurance policy from Old Republic National Title Insurance Company. When the borrower defaulted, BV foreclosed on the property. But when a municipal assessment went unpaid, the municipality foreclosed, too. BV and the municipality litigated in state court; the municipality prevailed and obtained title to the property. After losing title to the property, BV sued Old Republic in federal district court, alleging that Old Republic had breached the title insurance policy by: (1) refusing to compensate BV for its loss of the property; and (2) failing to defend BV in the state-court litigation. The district court granted judgment on the pleadings to Old Republic, concluding that the policy did not entitle BV to either payment for its loss of the property or a defense in the state-court suit. BV appealed, but finding no reversible error, the Tenth Circuit affirmed. View "BV Jordanelle v. Old Republic National" on Justia Law

Zia Shadows, LLC operated a mobile-home park in Las Cruces, New Mexico, under a special-use permit from the City. In late 2000, a dispute over water-rights fees arose between Zia Shadows and the City, and principal Alex Garth protested these fees and lodged written and oral complaints with the City Council. This appeal arose out of that zoning dispute. Zia Shadows and its principals, Alex and William Garth (collectively, Zia Shadows), filed suit in federal district court, alleging the City’s delays in approval of a zoning request (and the conditions ultimately attached to the approval) violated Zia Shadows’ rights to due process and equal protection. Zia Shadows also alleged the City’s actions were taken in retaliation for Zia Shadows’ public criticisms of the City. The district court granted summary judgment to the City on Zia Shadows’ due-process and equal-protection claims, and a jury found in favor of the City on Zia Shadows’ First Amendment retaliation claim. Zia Shadows argued on appeal to the Tenth Circuit: (1) that the district court erred in granting summary judgment; (2) the district court abused its discretion both in its instruction of the jury and its refusal to strike a juror; and (3) the jury’s verdict was against the clear weight of the evidence. After review, the Tenth Circuit affirmed the district court’s judgment, concluding Zia Shadows failed to establish the requisite elements of its due-process and equal-protection claims and did not demonstrate reversible error in either the proceedings or verdict at trial. View "Zia Shadows, LLC v. City of Las Cruces" on Justia Law

In June 2012, a hailstorm damaged Plaintiff KCOM’s motel. Soon a dispute arose between KCOM and its insurer, defendant Employers Mutual Casualty (EMC), over the extent of the damage. In October 2012, following receipt of an inspection report, KCOM submitted a proof of loss of $631,726.87. EMC admitted coverage but not the amount of loss. Dissatisfied, KCOM invoked the insurance contract’s appraisal provision. KCOM claimed there were issues with the appraisal process, prompting it to ultimately file suit against EMC, alleging breach of contract, unreasonable delay and denial of benefits, and bad faith breach of the insurance contract. The threshold question presented for the Tenth Circuit's review in this state law diversity action was whether the Court had appellate jurisdiction over the district court’s non-final order denying confirmation of a property loss appraisal. The Court concluded it did not, and dismissed the appeal. View "KCOM, Inc. v. Employers Mutual Casualty Co." on Justia Law

James Nelson was seriously injured bike riding when he encountered a sinkhole on a bike path on United States Air Force Academy land. He sued under the Federal Tort Claims Act for damages and was awarded over $7 million. The government appealed, contending that it was immune from liability under the Colorado Recreational Use Act, limited the liability of landowners who allow the use of their property for recreational purposes. The Tenth Circuit agreed that under the Recreational Use Act Nelson was a permissive user of the bike path and the Academy was therefore not liable for its negligent maintenance of the path. View "Nelson v. United States" on Justia Law

This case spanned 140 years of land surveys and transfers. Pertinent to this matter, in 1907, federal lands within "Section 33" (a portion of the land at issue here) were made part of the San Juan National Forest. In 1925, the BLM issued an oil and gas permit in "Lot 6" of that section. The BLM later issued oil and gas permits for Lot 6 in 1964 and 1977. From 1893 until 1951, each time the property described in the "Overocker patent" was conveyed, the deeds used the original land description ("aliquot," dating back to the 1880s): the “south half of the north-east quarter and the north half of the south-east quarter of section thirty three” of Township 36. In 1951, James and Lois Heidelberg conveyed the Overocker land to Angelo Dallabetta by warranty deed with the same aliquot description. In 1967, Dallabetta conveyed the land to defendant-appellant Laverne St. Clair and his first wife by warranty deed, which described the land by metes and bounds. In 1976, St. Clair conveyed the property to himself and his second wife by warranty deed using the metes and bounds description (Mr. St. Clair passed away in late 2015; his estate was named a party to this action). In 1984, St. Clair purchased land from Dallabetta’s estate that was not included in the Overocker patent description. The First National Bank represented Dallabetta’s estate in the transaction. In conveying the land, the First National Bank also agreed to include a quit claim deed to Lot 6. In 2000, Forest Service personnel discovered road construction, fence posts, brush hogging, and vegetation clearance in Lot 6. In 2011, the Government sued Mr. St. Clair for trespass on Lot 6. The complaint requested that he be ejected and pay for the damage he caused by constructing a road and making the other alterations to Lot 6 land. Following a bench trial, the district court held St. Clair liable for trespass, ordered him ejected, and imposed damages for alterations he had made upon the land. St. Clair appealed. Finding no reversible error, the Tenth Circuit affirmed. View "United States v. St. Clair" on Justia Law

Boardwalk Apartments, L.C. sued State Auto Property and Casualty Insurance Co. for breach of an insurance policy, contending that State Auto had underpaid on the policy after one of Boardwalk’s eight apartment buildings (Building 1) was destroyed in a fire. In district court, State Auto contended that Boardwalk was underinsured under the policy’s coinsurance provision. Under this provision, Boardwalk’s insurance benefits were reduced if the value of the Boardwalk apartment complex exceeded the policy limit. Before trial, the district court issued two rulings: (1) for purposes of the policy’s coinsurance provision, the value of the apartment complex did not include the cost of complying with laws and ordinances regulating the construction and repair of buildings ("law-and-ordinance costs"); and (2) the district court excluded reference at trial to either the coinsurance provision or the possibility that Boardwalk was underinsured. At trial, the jury valued the Boardwalk complex below the policy limit. Based on this valuation, the district court concluded that Boardwalk was not underinsured under the coinsurance provision. In addition to valuing the apartment complex, the jury found that State Auto had underpaid for the loss of Building 1. As a result, the court awarded damages to Boardwalk. State Auto appealed. After review, the Tenth Circuit concluded: (1) the district court abused its discretion by excluding reference to the coinsurance provision; and (2) incorrectly construed the coinsurance provision. In light of these errors, the Court reversed and remanded for a new trial. View "Boardwalk Apartments v. State Auto Property" on Justia Law