Justia Vermont Supreme Court Opinion Summaries

Articles Posted in Real Estate & Property Law
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Applicants Cynthia and Charles Burns wanted to make modifications to a two-unit residential building they owned in Burlington. A group of nineteen Burlington residents (neighbors) appealed a Superior Court, Environmental Division decision declining to reach the merits of neighbors’ claim that applicants converted their home into a duplex without a zoning permit on the grounds that the challenge was precluded by a prior decision under 24 V.S.A. 4472(d) or to consider whether a permit was required for applicants’ other modifications. On appeal to the Vermont Supreme Court, neighbors argued: (1) that their challenge was not precluded under section 4472(d) because the prior decision had not been rendered by the Burlington Zoning Administrator as the statute requires; (2) that preventing an appeal without affording notice and opportunity to be heard violated their due process rights; and (3) that they were entitled to a determination by the Environmental Division of whether applicants’ other modifications violated the zoning ordinance because they were done without a permit. The Supreme Court agreed, reversed and remanded for further proceedings. View "In re Burns Two-Unit Residential Building (Long, et al. Appellants)" on Justia Law

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Defendant Dylan Stinson appealed a judgment finding him liable to plaintiffs Kevin and Linda Flanagan for damage to their vacation home from a fire started in an outdoor fireplace on their deck by a group of teenagers who were there without their permission. Stinson contended that: (1) there was insufficient evidence to find him liable for the damage under a concerted-action theory; (2) it was improper for the trial court to admit and rely on evidence of the actual cash value of the lost personal property; and (3) the pre and postjudgment interest rate awarded by the trial court was unconstitutional under the U.S. and Vermont Constitutions. Finding no reversible error, the Supreme Court affirmed. View "Concord General Mutual Insurance Company v. Gritman" on Justia Law

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Plaintiff Matthew Burgess appealed decisions of the superior court’s civil division which dismissed certain defendants and granting summary judgment to another defendant with respect to plaintiff’s claim that he was entitled to either a tax collector’s deed conveying him property he redeemed from foreclosure or damages compensating him for not being conveyed the deed. Plaintiff’s parents, John and Virginia Burgess, mortgaged property located in defendant Town of Morristown through defendant Lamoille Housing Partnership, Inc. (LHP), a nonprofit corporation that assisted people in finding affordable housing. The Burgesses purchased the property through LHP’s Home Land Program, by which ownership of the underlying land was severed from ownership of the house in which the Burgesses resided. Under the arrangement, a warranty deed from the U.S. Department of Agriculture Rural Development conveyed the land and improvements to the Burgesses, who granted a mortgage deed to the USDA Rural Development encumbering both the land and improvements. The Burgesses then conveyed the land to LHP, retaining only the title to the improvements. LHP and the Burgesses then entered into a ground lease granting the Burgesses a leasehold interest in the land for a ninety-nine-year term subject to certain terms and conditions, including that the Burgesses pay the property taxes on the entire property. The Burgesses later disputed their obligation to pay property taxes, which ultimately resulted in their son attempting to redeem the property through foreclosure. The Supreme Court affirmed the superior court: "a simple review of the governing statutes reveals that redemption of property sold at a tax sale does not entitle the redeeming party to a collector’s deed." View "Burgess v. Lamoille Housing Partnership" on Justia Law

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This case arose out of a struggle Vermont towns have had with taxing parcels of land that lie in more than one tax district. Taxpayer owned three units in a condominium community that was in both the Town of Sudbury and its neighbor, Hubbardton. Taxpayer objected to Sudbury’s tax assessment of the portion within its boundaries, arguing that the trial court erred in upholding: (1) the state law through which Sudbury made its tax assessment; (2) Sudbury’s valuation of the portion within its boundaries; and (3) Sudbury’s method of apportioning the tax burden among the owners of the condominium community. Finding no error to any of these issues, the Supreme Court affirmed. View "Adams v. Town of Sudbury" on Justia Law

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Taxpayer owned real property in the Town of Fair Haven. In 2014, the town listers assessed the value of the parcel at $585,800. Taxpayer appealed to the Board of Civil Authority (BCA). Taxpayer would not allow the BCA members to inspect the main house, however, and the BCA therefore considered the appeal withdrawn. At the hearing, taxpayer argued that that the BCA erred in considering his appeal withdrawn. He stated that he had appealed only a portion of the listers’ valuation to the BCA (the value of the improvements concerning two rental properties and not the main house on a separate lot) and therefore he was not obligated to allow the BCA to inspect the main house. The town responded that because the properties were contiguous and in common ownership, by statute, all of the property was treated as one parcel for purposes of assessment and the grand list. In a written order, the hearing officer concluded that the BCA had correctly dismissed taxpayer’s appeal, and that there was no avenue for further appeal to the hearing officer. Taxpayer acting pro se, appealed the Town's assessment of his property for the 2014 grand list. Finding no reversible error, the Supreme Court affirmed. View "Rasmussen v. Town of Fair Haven" on Justia Law

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The parties to this appeal were co-lessees in a thirty-year ground lease for a ten-acre parcel of land owned by Star Meadows Farm, Inc. and located in Walden. The parties constructed improvements on the land and shared the parcel as unmarried cohabitants prior to the events that gave rise to this action. Upon termination of their relationship, plaintiff Karen Wynkoop sought a declaratory judgment to partition the property and compensation for ouster. Defendant Gerard Stratthaus appealed the trial court’s property division and compensation to plaintiff. After review, the Supreme Court affirmed with respect to the determination that partition of the leasehold was authorized by law, that plaintiff should have received credit in determining her share of the value of the property for her services as general contractor of the joint construction project, and that plaintiff was ousted by defendant from the property. The judgment was reversed and remanded for the trial court to correct errors in its final calculation of the percentage share of the value of the property held by each party consistent with this opinion and is remanded for the court to determine the value of the property and the appropriate partition remedy. View "Wynkoop v. Stratthaus" on Justia Law

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The Town of Underhill appealed a trial court order that affirmed a decision of the County Road Commissioners requiring the Town to maintain a segment of Town Highway 26 (TH 26), a Class 4 highway. TH 26 has existed, in some form, for nearly 150 years. In 2001, the Town sought to reclassify a segment of TH 26 between Irish Settlement Road and Pleasant Valley Road as a legal trail, and the remainder of the roadway as a Class 4 highway. Following protracted litigation, these changes became effective in June 2010, and TH 26 became part of the Town’s six miles of Class 4 highways. Prior to the reclassification of TH 26, the Town performed periodic maintenance and repair work to both the roadway and the twenty-two culverts that were installed along and under TH 26 over the past thirty years. Although the ditches along TH 26 do not appear to have been maintained since 2010, the Town has continued to do some work, primarily the addition of base material to the roadway. Appellees David Demarest, Jeffrey Moulton, and Jonathan Fuller owned property on TH 26 in the Town of Underhill. Appellees Fuller and Demarest resided at their properties full time, while two additional residents along the road were part-time residents. In 2012, appellees filed a notice of insufficiency pursuant to 19 V.S.A. 971 requesting maintenance of TH 26, which had been largely deferred following the roadway reclassification. The Town denied appellees’ allegations, asserting that TH 26 was being maintained to the extent required by the necessity of the Town, the public good, and the convenience of the inhabitants of the Town. Appellees then brought an action for the appointment of County Road Commissioners pursuant to 19 V.S.A. 971 et seq. to compel the Town to undertake repairs of TH 26. Specifically, appellees sought repairs and maintenance to drainage, culverts, and the road surface, so as to make it reasonably safe and accessible for appellees’ use as residents of the Town. The Town contended on appeal that the trial court misconstrued and incorrectly applied the statutory provisions for the maintenance of Class 4 roads and erroneously established its own maintenance standard. After review, the Supreme Court agreed with the Town and reversed. View "Demarest v. Town of Underhill" on Justia Law

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Defendants-counterclaimants Jeanmarie Leonard and Carol Sayour appealed the grant of summary judgment on their counterclaims in favor of plaintiff Jennifer Weinstein and third-party defendants, Lloyd Weinstein, plaintiff’s husband, and his law firm, The Weinstein Group, P.C. This case started in an application for a permit to construct a barn made by defendants in May 2012. Defendants received a zoning permit from Manchester’s zoning administrator allowing them to construct a barn on Lot #10. Pursuant to the Declaration for Rocking Stone Farm, defendants received a waiver from the Homeowner’s Association. Plaintiff appealed the permit to the Manchester Development Review Board (the “DRB”). The DRB affirmed the grant of the permit. Defendant Leonard and her husband were walking along Lot #10 with a landscape contractor when plaintiff began yelling at them from her upstairs window. Plaintiff then left her home and entered Lot #10, accompanied by a “very large dog.” Despite being asked to leave, she physically confronted the Leonards, who eventually left the lot. Two days later, plaintiff filed an appeal of the DRB’s decision to the Environmental Division of the Superior Court. Plaintiff, a trained attorney, initially represented herself, but Mr. Weinstein and his law firm, The Weinstein Group, P.C., entered an appearance as counsel for her. Both the Association and counsel for defendants advised plaintiff by letter that her opposition to the barn permit constituted a violation of the Non-Interference Clause of the Declaration, which provided that each owner of a lot in Rocking Stone Farm agreed “not [to] take any action to contest or interfere with any development in the Community so long as such development is consistent with the Land Use Approvals.” The Environmental Division rendered judgment in favor of defendants. Plaintiff appealed that decision to the Supreme Court. Shortly thereafter, Plaintiff also filed suit against defendants in superior court with a ten-count complaint, alleging, among other things, that the Declaration had been breached by defendants’ construction of the barn. Defendants filed counterclaims against plaintiff for trespass, civil assault, breach of contract, tortious invasion of privacy, as well as abuse of process and third-party claims against Mr. Weinstein and his law firm for abuse of process and breach of contract. Finding no reason to disturb the trial court’s grant of summary judgment as it did in plaintiff’s favor, the Supreme Court affirmed. View "Weinstein v. Leonard" on Justia Law

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Defendant-landlords appealed a jury verdict and post-judgment order involving warranty-of-habitability and consumer-protection claims. Landlords William and Susan O’Brien purchased the subject property in the 1980s, which included a two-story house and brick building (referred to as the creamery) with a common wall to the rear of the house. In December 2002, following foreclosure proceedings on their home, plaintiff-tenants, Timothy and Penny Terry, along with their two children, accepted landlords’ offer to occupy the house rent-free for a short period. After their first year in the house, tenants began paying rent. There was no written rental agreement, but from at least December 2005, six years before tenants filed this lawsuit, there was an oral agreement to pay monthly rent in an amount that varied over the years. Eventually, the parties’ relationship deteriorated. In March 2005, Burlington Code Enforcement (BCE) inspected the house and cited landlords for multiple problems that required repair. A follow-up inspection in January 2006 confirmed that most of the repairs had been completed. BCE inspected the property again later in 2006 and found additional items that required repair, most of which were completed soon thereafter. In 2008, BCE performed several more inspections and issued notices of violations, many of which concerned the creamery. In May 2008, Vermont Gas inspected the house’s furnace and determined that it needed to be repaired or replaced because it was in extremely poor condition. In November 2008, landlords had space heater installed on the first floor of the house, but it was insufficient to heat the second floor. As a result, tenants began using space heaters on the second floor at night. In late 2008, a fire broke out in the attic of the house above one of the bedrooms. The state fire investigator determined that the fire had begun at an electrical splice located in the attic. The investigator also noted tenants’ use of multiple extension cords and supplemental wiring due to the insufficient number of functioning outlets. The investigator concluded that the fire was caused by a combination of the load on the older electrical system, moisture from the cellulose insulation, and the inability of the knob-and-tube wiring to shed heat due to it being buried in the insulation. In 2011, the Terrys filed suit against landlords, alleging: (1) breach of the oral rental agreement; (2) breach of the warranty of habitability; (3) breach of the covenant of quiet enjoyment (with respect to public health hazards); (4) violation of the Consumer Protection Act (CPA); (5) negligence; and (6) negligent infliction of emotional distress. Tenants sought, among other things, compensatory, consequential, punitive, and exemplary damages, as well as attorney’s fees. Landlords counterclaimed for unpaid rent. Landlords’ arguments on appeal of the jury verdict were: (1) the trial court’s jury instructions misled the jury on tenants’ habitability and CPA claims, resulting in prejudice to landlords; (2) the court erred by vacating the jury’s unpaid-rent award in its post-judgment order; and (3) the court abused its discretion by awarding tenants attorney’s fees on their habitability and CPA claims and by denying landlords’ attorney’s fees based on tenants’ contributory negligence. The Supreme Court found that the trial court’s CPA instruction was overly broad and prejudicial to the landlords, and therefore the verdict was vacated with respect to the CPA claim. Absent their habitability claim, there was no basis for tenants to withhold rent. Therefore, the jury’s verdict regarding unpaid rent must stand. The Court also vacated the award of attorney fees, and remanded the matter back to the trial court for further proceedings. View "Terry v. O'Brien" on Justia Law

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This appeal stemmed from a superior court decision to grant summary judgment in favor of defendant Caroline Marini on plaintiff EverBank’s complaint for foreclosure on a mortgage that Caroline signed in 2009 together with her co-defendant and then-husband Gary Marini. In ruling on cross-motions for summary judgment, following a hearing, the trial court concluded that Caroline was entitled to judgment as a matter of law on EverBank’s foreclosure complaint because the undisputed material facts established that Caroline signed the mortgage under the threat of physical violence from Gary and thus the mortgage was void as to her. The trial court also concluded that regardless of whether the mortgage was void as to Caroline, EverBank was not a bona fide purchaser. EverBank subsequently moved to alter or amend the judgment on the ground that the grant of summary judgment as to Caroline unjustly enriched her. The trial court denied the motion, explaining that EverBank had not raised the issue of unjust enrichment in response to Caroline’s cross-motion for summary judgment. EverBank appealed both decisions. After review, the Supreme Court reversed the decision granting summary judgment in favor of Caroline on the issue of whether the mortgage was void, and directed the trial court to enter judgment for EverBank on that issue. The Court remanded for trial the issues of whether the mortgage was voidable and, if so, whether it was enforceable because it was ratified by Caroline, but affirmed the trial court’s decision that the bona fide purchaser doctrine was not available to EverBank. View "Everbank v. Marini" on Justia Law