Justia Nebraska Supreme Court Opinion Summaries

A couple owned a parcel of land in a Nebraska subdivision and believed they also owned a strip of adjacent land, which later surveys showed was actually part of the neighboring lot owned by another couple. The couple claiming adverse possession had purchased their lot in 1990 and, over the years, maintained the disputed strip by mowing, weeding, and trimming, and in 2003, made substantial improvements such as installing a flower garden, a retaining wall, a fence, and a decorative arch. In 2009 or 2010, they began renting the neighboring lot and continued to do so after the lot was sold to new owners in 2018. A dispute arose when surveys in 2021 clarified the true boundary, leading to conflicting claims of ownership over the disputed strip.The District Court for Seward County found that while the claimants began making improvements in 2003, their use of the disputed property became permissive, rather than adverse, when they began renting the neighboring lot in 2010. Because Nebraska law requires that adverse possession be actual, continuous, exclusive, notorious, and adverse for a statutory period of 10 years, the court found the claimants failed to meet this requirement. The court dismissed the quiet title action and granted the counterclaim to quiet title in favor of the current lot owners.The Nebraska Court of Appeals affirmed, agreeing that the claimants’ acts before 2003 were only routine maintenance and not sufficiently notorious, and that their subsequent rental relationship rendered their possession permissive. On further review, the Nebraska Supreme Court affirmed the Court of Appeals. The Supreme Court held that the claimants did not establish all the elements of adverse possession for the required 10-year period, as their possession was not notorious before 2003 and became permissive by 2010. Thus, the claimants were not entitled to quiet title to the disputed property. View "Kortmeyer v. Hendrix" on Justia Law

A family purchased two parcels of land by warranty deed from a trust, through its successor trustee. After the purchase, the buyers adjusted fence lines to match the legal descriptions in the deed. A third party then sued the buyers, seeking to quiet title to portions of the land based on adverse possession. The buyers notified the trust and trustee and requested a defense against the claim, asserting a duty under the warranty deed, but the trust and trustee refused.The third-party action was heard in the District Court for Douglas County. The buyers moved for partial summary judgment, and the court quieted title in their favor. Their counterclaims for slander and attorney fees were denied. The court found the third party had a colorable claim but lacked legal expertise. The buyers subsequently sued the trust and trustee, seeking reimbursement for attorney fees incurred in defending the title, alleging anticipatory repudiation and breach of the warranty deed. After a stipulated bench trial, the district court ruled that Nebraska law does not allow recovery of attorney fees from a grantor when the grantee successfully defends title; a breach of the covenant of warranty only occurs upon an unsuccessful defense resulting in eviction or surrender. The buyers appealed.The Nebraska Supreme Court reviewed the matter de novo as a question of law. The court held that the covenant of warranty in Nebraska does not impose a separate duty to defend against third-party claims, and attorney fees are compensable only if the grantee suffers eviction or surrender under a paramount title. Because the buyers successfully defended their title and were not evicted, there was no breach, and neither the trust nor its trustee was liable. The judgment of the district court was affirmed. View "Morris v. Dall" on Justia Law

A husband and wife disputed the division of assets as part of their divorce proceedings. Before their marriage, the husband purchased two lots of land, Lot 14 and Lot 15, with separate funds and took out loans to build improvements on each. The house and shed on Lot 14, and a barn on Lot 15, were completed before the marriage. After marriage, marital funds were used to pay down the loans, and the husband later paid off remaining balances with his separate, inherited funds. The couple jointly owned and operated the barn on Lot 15 through an LLC.The District Court for Washington County initially classified the land and improvements as the husband’s separate property but credited the marital estate with the payments made from marital funds. The court found the increase in value during the marriage was passive appreciation and thus separate property. The Nebraska Court of Appeals affirmed this treatment for the land but concluded the barn was marital property. Upon further review, the Nebraska Supreme Court adopted the “source of funds” rule, remanded for consideration of this rule, and affirmed the barn’s marital classification.On remand, a different district judge, relying on the existing record, applied the source of funds rule to the land and improvements and again divided the marital estate equally. The husband appealed, arguing for an evidentiary hearing and contesting the application of the source of funds rule.The Nebraska Supreme Court held that the district court was not required to hold an evidentiary hearing, as its mandate did not specify one. The Court clarified that the land remained the husband’s separate property, as it was acquired before marriage and marital funds were not used for its acquisition. The Court applied the source of funds rule to the improvements, recalculated the marital interest, and modified the equalization payment accordingly. The decree of dissolution was affirmed as modified. View "Stava v. Stava" on Justia Law

A nonprofit boating club owned property in Cass County, Nebraska, with access provided by a road known as Dock Road. This road extended from Main Street, past a public boat ramp owned by the city, and terminated at the club’s gate. In 2019, flooding washed out a portion of Dock Road, severing road access to the club’s property, though river access remained available. The city repaired Dock Road to restore access to its public boat ramp but did not repair the road up to the club’s property. The club sought to compel the city to restore road access, arguing the city had a mandatory duty to repair Dock Road under Nebraska law.Following the city’s refusal, the club filed for a writ of mandamus in the District Court for Cass County. The parties filed competing motions for summary judgment. The district court granted summary judgment in favor of the city, concluding that the city’s duty under Nebraska statutes was discretionary rather than ministerial, and that the club had not shown Dock Road (particularly the portion past the public boat ramp) was a public street. The court dismissed the club’s complaint and denied its motion for summary judgment.On appeal, the Nebraska Supreme Court affirmed the district court’s ruling. The Court held that the club failed to demonstrate the portion of Dock Road it sought to have repaired was a public street, either by formal dedication or by prescription. Evidence showed that only members and invitees of the club used the disputed section, not the general public. Therefore, the statutory duty cited by the club did not apply, and the city was not obligated to repair the road as requested. The judgment for summary dismissal was affirmed. View "Plattsmouth Boat Club v. City of Plattsmouth" on Justia Law

This case involves two individuals who guaranteed loans for their business by executing promissory notes and trust deeds, which conveyed several real properties as security to a bank. After the business defaulted on the loans and entered bankruptcy, the bank sold both the business and the individuals’ properties through judicial foreclosure and trustee sales. The bank subsequently sought a deficiency judgment against the guarantors for the remaining debt, asserting that they owed over $3 million, while the guarantors argued that they should receive credit for the fair market value of the properties sold, in accordance with Nebraska’s antideficiency statute.The District Court for Johnson County granted summary judgment to the bank, finding the guarantors liable under their guarantees without credit for the property values. The court relied on a waiver provision in the guarantees, which stated that the guarantors waived any defense based on the bank not obtaining the fair market value of the collateral. The court also denied the guarantors’ motion for reconsideration or new trial, prompting the guarantors to appeal.The Nebraska Supreme Court reviewed the case de novo. It held that the antideficiency statute, Neb. Rev. Stat. § 76-1013, applies not only to borrowers but also to guarantors when their obligation is secured by a trust deed and a trustee sale occurs. The court determined that the waiver provision in the guarantees was unenforceable as a matter of public policy, given the legislative mandate of § 76-1013. Furthermore, the court found that evidence such as assessed values and appraisals raised a genuine issue of material fact regarding the fair market value of the properties at the time of the trustee sales. The court reversed the district court’s grant of summary judgment and remanded for further proceedings. View "American Exch. Bank v. Topp" on Justia Law

A property owner initiated a forcible entry and detainer action in county court against tenants who allegedly failed to pay rent on a commercial lease. The lease included options for the tenants to purchase the property during future terms, granted credits for rent paid toward the purchase price, and restricted the owner's ability to sell the property without giving the tenants an opportunity to exercise their purchase option. The owner sought possession, past due rent, and other costs. The tenants argued that the lease provisions created an equitable interest, thereby raising a title dispute that deprived the county court of jurisdiction.The county court rejected the tenants’ argument, finding that it had jurisdiction and ordering restitution of the premises to the owner. On appeal, the tenants failed to include the county court’s judgment in the transcript, which led the District Court for Douglas County to affirm the county court’s order without addressing the jurisdictional issue. The tenants then moved to alter or amend the judgment and supplement the record with the omitted judgment, but the district court denied this motion.The Nebraska Supreme Court reviewed the case. It determined that when a lease includes provisions that arguably create an equitable interest and restrict the owner’s rights, a title dispute is present. In such circumstances, a county court lacks subject matter jurisdiction to decide a forcible entry and detainer action. The Supreme Court also held that the district court abused its discretion by refusing to allow supplementation of the record when it was necessary to determine jurisdiction. The Nebraska Supreme Court vacated the district court’s judgment and remanded with directions to vacate the county court’s judgment and dismiss the complaint for lack of subject matter jurisdiction. View "Martens v. BB's Childcare" on Justia Law

A married couple purchased a residential property in Omaha, Nebraska, in 1988. Their lot bordered land owned by a company and its predecessor entities. After moving in, the couple began using and improving a portion of the neighboring company’s land—referred to as the Disputed Property. They cleared debris, treated weeds, planted grass, installed a fence (beyond their lot line), built a treehouse, and used the area for family activities. Over the years, they continued to maintain and landscape the Disputed Property, planting trees and a garden, and mowing it regularly. The couple had no permission from the legal owners for this use and believed the area was neglected and unmaintained by anyone else.In 2022, the couple and their family trust filed a lawsuit in the District Court for Douglas County to quiet title to the Disputed Property, claiming ownership by adverse possession. The defendant companies argued that the couple’s use had been permissive since 1997, citing letters sent to adjacent property owners offering permission for limited use until development began. The couple denied receiving any such letters. The district court found in favor of the couple and their trust, concluding that they had proven adverse possession for the statutory period of at least ten years.On appeal, the Nebraska Supreme Court reviewed the facts and legal findings de novo. It determined that the couple’s use of the land was actual, continuous, exclusive, notorious, and adverse under a claim of ownership for the required period. The court found the couple’s testimony more credible regarding non-receipt of any permission letters. The Nebraska Supreme Court affirmed the district court’s order, quieting title to the Disputed Property in the couple’s trust. The main holding is that the couple acquired title to the Disputed Property by adverse possession. View "Goldie v. McNeil & Co. Builders" on Justia Law

An individual entered into a lease to reside in an apartment within an assisted living community. The lease required the tenant to keep the apartment tidy and free of clutter, incorporating provisions from a resident handbook. After the landlord became concerned about the tenant’s compliance—specifically, the presence of unpacked boxes and general clutter—the parties executed a Negotiated Risk Agreement to address these issues. When conditions did not improve, the landlord issued written notices culminating in a 14-day discharge notice and ultimately filed a complaint for restitution of the premises when the tenant did not vacate.Initially, the County Court for Douglas County dismissed the landlord’s first complaint for restitution. Afterward, the landlord issued a new notice based on ongoing violations and filed a second complaint. Following a trial, the county court found the tenant had materially breached the lease and Nebraska law by failing to keep the apartment clean and safe, and entered judgment in favor of the landlord. The tenant appealed to the District Court for Douglas County, which affirmed the county court’s decision. The district court held that the landlord’s pleadings and notice were sufficient, waiver and res judicata did not bar relief, and although the supersedeas bond had been set too high, the issue was moot because the tenant had already been evicted following the failure to post the bond.Before the Nebraska Supreme Court, the tenant argued that various errors warranted reversal, including pleading defects, waiver, res judicata, and improper bond setting. The Nebraska Supreme Court held that the appeal was moot because the tenant had been removed from the apartment and no effective relief could be granted. The court also found that the public interest exception to the mootness doctrine did not apply to any of the issues raised. Accordingly, the Nebraska Supreme Court dismissed the appeal. View "Saint Joseph Tower Assisted Living v. Royce" on Justia Law

A Nebraska limited liability company owned by Michael Perkins hired RMR Building Group, LLC, managed and solely owned by Robert M. Ryan II, as a general contractor to redevelop a shopping center. Their contract used a cost-plus billing arrangement, where Perkins paid RMR in advance for specific construction costs, including a substantial sum for HVAC equipment and RMR’s fee. RMR deposited the funds into its general operating account but did not pay for the HVAC equipment; instead, it used the money to cover other business obligations. Perkins terminated the contract after RMR failed to provide proof of payment for the equipment and then sued RMR and Ryan for breach of contract, unjust enrichment, conversion, and fraudulent misrepresentation, also seeking to pierce the corporate veil and hold Ryan personally liable.The District Court for Douglas County found that RMR breached the contract and was liable under theories of money had and received and unjust enrichment, but not for conversion or fraudulent misrepresentation. The court declined to disregard RMR’s corporate entity, finding no sufficient evidence that Ryan diverted funds for personal use or that RMR was a mere facade for Ryan’s dealings. Perkins appealed these findings.The Nebraska Court of Appeals reversed in part, concluding that the corporate veil should be pierced and Ryan held jointly and severally liable for the misappropriated funds, relying on factors from United States Nat. Bank of Omaha v. Rupe. On further review, the Nebraska Supreme Court reversed the Court of Appeals, holding that the evidence did not establish by a preponderance that RMR’s entity should be disregarded, nor did it support fraud or conversion claims against Ryan. The Supreme Court remanded with direction to affirm the district court’s judgment. View "Perkins v. RMR Building Group" on Justia Law

During the COVID-19 pandemic, a university in Nebraska instituted a policy requiring all students to be vaccinated against COVID-19 by a specified deadline, with the only exemptions allowed for medical reasons or until a vaccine received full FDA approval. Religious exemptions were not permitted. Students who failed to comply were unenrolled and barred from campus, and some had holds placed on their accounts, preventing access to transcripts. One student complied with the mandate but suffered adverse effects and was medically exempted from further doses. Another student withdrew voluntarily before the deadline.After the university enforced the mandate, several students sought injunctive relief in the District Court for Douglas County to prevent their unenrollment, alleging breach of contract and unjust enrichment. The court denied relief, finding that any contract included the Emergency Use Authorization waiver agreements and that the students breached the contract by not being vaccinated after FDA approval. An initial appeal was dismissed by the Nebraska Supreme Court for lack of a final, appealable order. The students then consolidated their actions and filed an operative complaint alleging breach of implied contract, denial of due process, conversion, negligence, and violations of the Nebraska Consumer Protection Act (NCPA). The district court dismissed the complaint with prejudice and denied leave to amend.The Nebraska Supreme Court reviewed the district court’s dismissal de novo and found that the students plausibly alleged claims for breach of an implied contract and conversion, based on the university’s unilateral modification of conditions mid-semester and the withholding of transcripts. The court affirmed the dismissal of the negligence and NCPA claims, finding them preempted by the federal Public Readiness and Emergency Preparedness Act, and held that the due process claim was abandoned on appeal. The case was affirmed in part, reversed in part, and remanded for further proceedings on the breach of contract and conversion claims. View "Ramaekers v. Creighton University" on Justia Law