Justia Hawaii Supreme Court Opinion Summaries
Articles Posted in Real Estate & Property Law
U.S. Bank Nat’l Ass’n v. Castro
Respondents, the Castro family, executed a mortgage encumbering their property that was assigned to Petitioner, U.S. Bank. When the Castros defaulted on their loan, U.S. Bank purchased the property at a foreclosure auction. Because the Castros failed to vacate the property as instructed, U.S. bank filed a two complaints for summary possession and ejectment against the Castros. The district court entered a judgment for possession and a writ of possession in favor of U.S. Bank and a separate order granting summary judgment for U.S. Bank. The intermediate court of appeals vacated the district court's judgment, concluding that the district court lacked jurisdiction over the case because the action was one in which title to real estate would come into question. The Supreme Court reversed, holding that the district court properly exercised subject matter jurisdiction over the case because the Castros failed to demonstrate the action was one in which title to the subject property would come into question. View "U.S. Bank Nat'l Ass'n v. Castro" on Justia Law
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Banking, Real Estate & Property Law
In re Application of Honolulu Constr. & Draying Co., Ltd.
Aloha Tower Development Corporation filed a petition to expunge a deed restriction on a park requiring that it be preserved as a public park. Scenic Hawaii, Inc. subsequently intervened in the litigation. After a non-jury trial, the land court denied the petition. Scenic Hawaii filed a motion for attorneys' fees and costs under the private attorney general doctrine. The land court granted the request. The intermediate court of appeals (ICA) reversed the award of attorneys' fees. The Supreme Court vacated the judgment of the ICA and affirmed the final judgment of the land court, holding that the land court was correct in awarding attorneys' fees and costs to Scenic Hawaii under the private attorney general doctrine inasmuch as the three prongs of the private attorney general doctrine were satisfied in this case. View "In re Application of Honolulu Constr. & Draying Co., Ltd." on Justia Law
Kanahele v. Maui County Council
Petitioners, residents of Maui, challenged the Maui County Council's (MCC) passage of two bills related to the development of a residential community on 670 acres of land in Wailea (Wailea 670 project), arguing that MCC and its committee, the Land Use Committee (LUC) failed to satisfy the requirements of the State open meetings law, known as the Sunshine Law. Specifically, Petitioners claimed (1) the recessing and reconvening of two meetings without providing additional notice and opportunity for public oral testimony violated the Sunshine Law; and (2) the circulation of memoranda among the board membership outside a duly noticed meeting violated the Sunshine Law. The circuit court granted judgment in favor of Respondents, MCC, County of Maui, and the land developer. The intermediate court of appeals (ICA) affirmed. The Supreme Court affirmed, holding (1) the LUC and MCC did not violate the Sunshine Law by reconvening the two meetings beyond a single continuance without posting a new agenda and without accepting public oral testimony at every reconvened meeting; and (2) the MCC violated the Sunshine Law by distributing written memoranda among its members outside of a duly noticed meeting, but the violation did not require invalidation of MCC's passage of the Wailea 670 bills. View "Kanahele v. Maui County Council" on Justia Law
Kutkowski v. Princeville Prince Golf Course, LLC
In 1971, Plaintiff began subleasing a half-acre parcel of land that was part of an undivided 1040-acre parcel of property (master parcel). Plaintiff and the master parcel's owner, Princeville Development Corporation, subsequently entered into a license agreement effective until 2003 that included an option to purchase and a right of first refusal. The agreement also contained a provision stating that any holding over after the expiration of the term of the agreement should be on the terms and conditions specified in the agreement. In 2005, the Corporation sold the master parcel to Princeville Prince Golf Course (PPGC). Plaintiff filed a complaint against the Corporation in 2005, praying for specific performance of the option to purchase clause. PPGC was substituted as Defendant. The circuit court dismissed Plaintiff's claim for specific performance, holding that the sale of the master parcel did not constitute a "decision to sell" the premises which would trigger Defendant's right of first refusal. The intermediate court of appeals (ICA) affirmed. The Supreme Court reversed, holding (1) Plaintiff's right of first refusal continued into the holdover period; and (2) the right of first refusal was triggered by the Corporation's decision to sell the master parcel in 2005. Remanded. View "Kutkowski v. Princeville Prince Golf Course, LLC" on Justia Law
Kaleikini v. Yoshioka
Plaintiff brought this suit against the City and County of Honolulu and the State, challenging the approval of a rail project and arguing that state law required that an archaeological inventory survey be completed prior to any approval or commencement of the project. The circuit court granted summary judgment in favor of the City and State on all of Plaintiff's claims. The Supreme Court vacated the circuit court's judgment on Plaintiff's claims that challenged the rail project under Haw. Rev. Stat. 6E and remanded. Plaintiff subsequently requested that the Supreme Court award $255,158 in attorney's fees and $2,510 in costs against the City and State for work performed in the trial court. The Supreme Court (1) granted Plaintiff's request for appellate attorney's fees and costs against the City in the amount of $41,192 in attorney's fees and $343 in costs; (2) and denied Plaintiff's request for trial level fees and costs without prejudice, as Plaintiff's request for fees and costs attributable to work performed at the trial level was more properly within the trial court's discretion. View "Kaleikini v. Yoshioka" on Justia Law
E. Savings Bank, FSB v. Esteban
Plaintiffs granted Eastern Savings Bank, FSB (Eastern) a mortgage on property as security for a loan. Plaintiffs defaulted on the loan, and Eastern filed an action to foreclose the mortgage. The circuit court foreclosed on the mortgage, and a public auction was held to sell the property. Eastern purchased the property and filed a motion for confirmation of sale. Plaintiffs subsequently filed a complaint in the U.S. district court seeking a declaratory judgment that the promissory note and mortgage had been timely cancelled pursuant to the federal Trust-in-Lending Act (TILA). The circuit court took judicial notice of Plaintiffs' pending federal case but declined to stay confirmation of the foreclosure sale in the meantime. Thereafter, the circuit court concluded Plaintiffs' pending TILA case did not bar confirmation of the sale of the property, confirmed the sale of the property to Eastern, and entered a deficiency judgment against Plaintiffs. The Supreme Court affirmed, holding that res judicata principles prohibit a debtor from asserting TILA rescission rights after a foreclosure judgment has become final, despite the rescission attempt being held within the time limit provided by TILA. View "E. Savings Bank, FSB v. Esteban" on Justia Law
In re ‘Iao Ground Water Management Area High-Level Source Water Use Permit Applications
In June 2004, Petitioners-Appellants Hui O Na Wai 'Eha and Maui Tomorrow Foundation, Inc. (Hui/MTF), through Earthjustice, petitioned Appellee Commission on Water Resource Management to amend the Interim Instream Flow Standards (IIFS) for Na Wai 'Eha, which had been in place since 1988. Around the same time, several parties, including Appellee Maui County Department of Water Supply (MDWS), and Appellees Hawaiian Commercial & Sugar Company (HC&S) and Wailuku Water Company (WWC), filed Water Use Permit Applications (WUPA) for the same area. The Commission held a combined case hearing to resolve the IIFS and WUPA; in addition to the petitioner and applicants, the Office of Hawaiian Affairs (OHA) applied to participate in the hearing. The appeal before the Supreme Court sought review of the Commission's resulting Findings of Fact, Conclusions of Law (FOF/COL), and Decision and Order (D&O), in which the Commission amended the IIFS for two of the four streams, and substantially retained the existing IIFS for the two remaining streams as measured above diversions. The FOF/COL and D&O also resolved several WUPA. Hui/MTF and OHA appealed on related grounds: their primary complaint was that the Commission erred in balancing instream and noninstream uses, and therefore the IIFS does not properly protect traditional and customary native Hawaiian rights, appurtenant water rights, or the public trust. Both parties also contested the Commission’s treatment of diversions, including an alternative source on HC&S’s plantation that could have been used to irrigate HC&S’s cane fields. The parties contested the Commission’s determination that HC&S would not be required to pump the alternate source to its full capacity, a decision that resulted in a higher estimated allowable diversion for HC&S, and lower IIFS for the streams. Upon review, the Supreme Court reversed and remanded the case for further proceedings. First, in considering the effect of the IIFS on native Hawaiian practices in Na Wai 'Eha, the Commission failed to enter findings of fact and conclusions of law regarding the effect of the amended IIFS on traditional and customary native Hawaiian practices regarding the feasibility of protecting any affected practices. Second, the Commission’s analysis of instream uses was incomplete. Third, the Commission erred in its consideration of alternative water sources and in its calculation of diverting parties’ acreage and reasonable system losses. View "In re 'Iao Ground Water Management Area High-Level Source Water Use Permit Applications" on Justia Law
Nelson v. Hawaiian Homes Comm’n
In this case the Supreme Court was presented with the question of whether the political question doctrine barred Hawaiian Homes Commission Act (HHCA) beneficiaries from using the Hawaiian Constitution's "sufficient sums" provision to demand more legislative funding of the Department of Hawaiian Home Lands (DHHL) when that provision provided no guidance as to how quickly homesteads must be developed. The Supreme Court held (1) judicial determination of "sufficient sums" as to the purpose of DHHL's administrative and operating expenses is not barred as a nonjusticiable political question, and the intermediate court of appeals (ICA) did not err in so holding; but (2) the political question bars judicial determination of what would constitute "sufficient sums" for the purposes of (a) development of home, agriculture, farm and ranch lots, (b) home, agriculture, aquaculture, farm and ranch loans, and (c) rehabilitation projects, and the ICA erred in concluding otherwise. View "Nelson v. Hawaiian Homes Comm'n" on Justia Law
Marvin v. Pflueger
Landowners brought this lawsuit against their neighbor, seeking compensation for property damage caused by the neighbor, and seeking a determination of access and water rights. The application before the Supreme Court, however, raised questions concerning procedural aspects of the hearings before the trial court and of the appeal to the intermediate court of appeals (ICA). The first question concerned pleading standards of appellate briefs, and the remaining questions addressed the trial court's determination of which parties must participate in a lawsuit, and the procedure an appellate court should follow when reviewing that determination. The Court reversed the decision of the ICA and reinstated the trial court's order, holding (1) the ICA did not err in reviewing the defendants' points of error on appeal; but (2) the ICA erred in vacating the trial court's final judgment. View "Marvin v. Pflueger" on Justia Law
Hart v. TICOR Title Ins. Co.
Charles and Lisa Hart filed a complaint against TICOR Title Insurance Company for breach of contract after TICOR refused to defend the Harts under their title insurance policy against an escheat claim asserted by the State. The district court entered judgment in favor of TICOR and awarded TICOR attorneys' fees and costs. The Intermediate Court of Appeals (ICA) affirmed. The Supreme Court vacated the ICA's judgment and reversed the judgment of the district court in favor of TICOR and vacated the district court's award of attorneys' fees and costs to TICOR, holding that TICOR owed a duty to defend the Harts under the policy against the State's claim and prayer for affirmative relief. Remanded to the district court with instructions (1) to enter judgment in favor of the Harts, and (2) to determine an award of attorneys fees and costs to the Harts.
View "Hart v. TICOR Title Ins. Co." on Justia Law