Volume 1, Number 7  Join the Real Property Section Contact Us

May, 2006

Recent Cases

-Inverse Condemnation-
Blockage occurring in sewer main owned and operated by city, causing damage to real property, constituted a failure of a public improvement to function as intended, rendering city liable for the damage under inverse condemnation without regard to "how and why" the blockage occurred.
     California State Automobile Association Inter-Insurance Bureau v. City of Palo Alto - filed April 10, 2006, Sixth District
     Cite as 2006 SOS 1839
      Full text

-Land Use-
Zoning ordinance prohibiting development of "big box" retail stores containing a full-service grocery department was a valid exercise of municipal police power where designed to control and organize development within municipal boundaries as a means of serving the general welfare, was result of legitimate policy choice to organize development using neighborhood shopping centers dispersed throughout the city, was reasonably related to protecting that development choice, and was not shown to have significantly affected residents of surrounding communities. Full environmental review under CEQA was not a precondition to enactment of "big box" zoning amendments where the amendments were consistent with general plan and were covered adequately by the prior environmental impact report prepared for the general plan since there were no reasonably foreseeable project-specific changes in the environment that were significant and peculiar to the zoning amendments or their site, and detailed environmental analysis that might be necessary with regard to possible future impacts could be deferred.
     Wal-Mart Stores, Inc. v. City of Turlock - filed April 5, 2006, Fifth District
     Cite as 2006 SOS 1715
     Full text

Quimby Act, which generally authorizes local governments to require by ordinance parkland dedication or in lieu fees as a condition to the approval of a tentative or parcel map, did not impose on city a duty to provide a private open space credit against park and recreation fees. City retains discretion under the act to decide whether to include a private open space credit in its park fee ordinance.
     Branciforte Heights, LLC v. City of Santa Cruz - filed April 19, 2006, Sixth District
     Cite as 2006 2012
     Full text

Requirement of conditional use permit for activation of well, limiting amount of water that property owner could extract from aquifer underlying its property, was neither a physical nor a regulatory taking of the property where owner was left with an economically viable use of its property, and permit condition served legitimate public interest in conserving groundwaters and preventing their undue waste.
     Allegretti & Company v. County of Imperial - filed March 28, 2006; publication ordered April 26, 2006, Fourth District, Div. One
     Cite as 2006 SOS 2119
      Full text 

-Landlord-Tenant-

Property owner prevented from charging increased rent by a rent control ordinance that is subsequently determined to be unconstitutional is not entitled to recover the lost rental income either from its tenants or from the city that imposed the limit unless the ordinance denied the owner a fair return on its investment. 
    Hillsboro Properties v. City of Rohnert Park - filed April 6, 2006, First District, Div. Three    
    Cite as 2006 SOS 1793
    Full text 

-Property Taxation-
When mailed notice of a tax sale is returned unclaimed, Due Process Clause requires state to take additional reasonable steps to attempt to provide notice to the property owner before selling the property if it is practicable to do so. Where notice sent by certified mail was returned unclaimed, state should have taken reasonable measures to afford actual notice such as resending by regular mail and/or posting on the front door.
     Jones v. Flowers - filed April 26, 2006
     Cite as No. 04-1477
     Full text 

-Truth-in-Lending Act-
Borrowers are not precluded from rescinding a consumer credit transaction that is secured by their residence and subject to Truth in Lending Act merely because they have already refinanced that loan.
     Pacific Shore Funding v. Lozo - filed April 27, 2006, Second District, Div. Three
     Cite as 2006 SOS 2131
      Full text 

Upcoming Events

No time to drive downtown?
Try attending by audio-conference
Available for all programs meeting at LACBA/LexisNexis Conference Center.


5/16/06
SPONSORING SUBSECTION:  Title Insurance
Non-Policy Theories of Liability - Escrow, Sub-Escrow, Closing Protection Letters and More
The speakers will explore the various theories wherein the liability of an escrow company, or a title company, is not based upon the title insurance policy itself or the escrow instructions, including, but not limited to, bad faith, breach of the covenant of good faith and fair dealing, breach of fiduciary duties, negligence, negligent breach of contract, escrow and sub-escrow liability, closing protection letters and much more. The speakers will provide "in the trenches" examples of matters they have handled that correspond with the topics enumerated.  SPEAKERS: Terry Kaplan, Billet Kaplan & Dawley; Mark L. Share, DeCastro, West, Chodorow, Glickfeld & Nass, Inc.
PLACE: Omni Los Angeles Hotel, 251 South Olive Street , Los Angeles
REGISTRATION: 11:45 a.m.-12:30 p.m.; LUNCH: 12:00 p.m.; PROGRAM: 12:30-1:30 p.m. 
Register Online
AUDIO CD: Unable to attend in person? Purchase the audio CD in advance.  Contact Member Services at 213-896-6560. 

5/17/06
SPONSORING SUBSECTION: Real Estate Finance
The Expanding Universe of Nonrecourse Carveouts and Other Deal Structures in a (Supposedly) Nonrecourse World
What is behind the trend toward the ever expanding list of nonrecourse carveouts and how are these provisions negotiated - and enforced? This panel will explore the reasons (logical or otherwise) behind the expansion of nonrecourse carveouts in portfolio and CMBS lending transactions, as well as the enforceability issues presented by the particular structure of the carveouts and the presence of a guarantor. Other potential lender strategies available to maximize the potential for recourse to personal assets of a borrower or guarantor upon the failure to repay a real estate secured (or mezzanine ) loan before or following foreclosure will also be explored.
SPEAKERS: Dennis B. Arnold , Gibson Dunn & Crutcher LLP; Ira J. Waldman , Cox Castle & Nicholson LLP  
PLACE: LACBA Conference Center, 281 S. Figueroa St., Los Angeles
REGISTRATION: 11:45 a.m.-12:30 p.m.; LUNCH: 12:00 p.m.; PROGRAM: 12:30-1:30 p.m. Register Online
AUDIO CD: Unable to attend in person? Purchase the audio CD in advance.  Contact Member Services at 213-896-6560. 

5/23/06
SPONSORING SUBSECTION: Construction Law
Copyright Law in Design and Construction: The Evolution of the Doctrine of Implied License
This program will examine recent court decisions adjudicating and balancing the rights of owners to use copyrighted architectural and engineering designs without the presence and involvement of the design professionals who created the designs. Who owns the right to the use of the design documents — the owner who paid for them or the design professional who authored them? Is the owner (or design/builder) free to use the design documents in the project for which they were prepared after the design professional has been terminated or is no longer involved in the Project?
SPEAKERS: Mehrdad Farivar , Morris Polich & Purdy LLP; Other Speakers TBA
PLACE: LACBA Conference Center, 281 S. Figueroa St., Los Angeles
REGISTRATION: 11:45 a.m.-12:30 p.m.; LUNCH: 12:00 p.m.; PROGRAM: 12:30-1:30 p.m. Register Online
AUDIO CD: Unable to attend in person? Purchase the audio CD in advance.  Contact Member Services at 213-896-6560.

5/25/06
SPONSORING SUBSECTION: Commercial Development and Leasing
Arbitration Clauses in Leases and Purchase and Sale Agreements
This program will review the variety of issues concerning arbitration clauses in leases and purchase and sale agreements and provide samples of arbitration provisions drafted for such agreements, as well as provide the audience with a litigation perspective on these topics.
SPEAKERS: Steven M. Goldberg, Russ, August & Kabat; Marcia Z. Gordon, Buchalter Nemer Fields & Younger; Arthur Mazirow, Freeman Freeman & Smiley; Michael R. Powell, American Arbitration Assoc.
PLACE: LACBA Conference Center, 281 S. Figueroa St., Los Angeles
REGISTRATION: 11:45 a.m.-12:30 p.m.; LUNCH: 12:00 p.m.; PROGRAM: 12:30-1:30 p.m.  Register Online
AUDIO CD: Unable to attend in person? Purchase the audio CD in advance.  Contact Member Services at 213-896-6560. 

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Los Angeles County Bar Association
2006 Real Property Section Newsletter

REAL PROPERTY SECTION REVIEW
Daniel L. Goodkin, Editor    *   Norman A. Chernin, Co-Editor

SECTION OFFICERS
Chair 
Paula K. Reddish Zinnemann

First Vice-Chair 
Norma J. Williams

Second Vice-Chair 
Timothy M. Truax 

Treasurer
Donald C. Nanney

Secretary
Michael S. Klein

Immediate Past-Chair
Bryan C. Jackson

Hugo Vital,
Section Administrator
EXECUTIVE COMMITTEE MEMBERS

Norman A. Chernin
Daniel L. Goodkin
John E. Hatherley
Trudi J. Lesser
Rebecca H. Lessley
Gregg J. Loubier
Thomas F. Quilling
D. Eric Remensperger
Alexander Shipman

Alice Chen,
Barristers Liaison     

Michael G. Smooke
Linda E. Spiegel
Sarah J. Spyksma
Theresa C. Tate
Pamela L. Westhoff
John W. Whitaker
Valerie Wisot
Andrew J. Yamamoto
Sharon Yarber

David Fu,
State Bar Liaison

SUB-SECTION CHAIRS
Commercial Development & Leasing, Marcia Z. Gordon
Construction Law, Candace Matson
Land Use Planning & Environmental Law, Peter J. Niemiec
Real Estate Finance, Bruce Fischer & Diane Hvolka
General Real Estate Law, Eric A. Altoon
Title Insurance, Michael S. Robinson