Justia Oklahoma Supreme Court Opinion Summaries

Two homeowners brought suit against their homeowners' association and its board members, claiming improper use of dues, unlawful sale of a storage unit, failure to hold proper meetings, and allowance of illegal activities on the premises. The plaintiffs communicated concerns to the board and demanded relevant documents, but ultimately filed a lawsuit soon after sending a demand that the board bring suit against certain directors. They later amended the petition to add an additional defendant. The board had responded to some allegations, including rescinding the contested sale and scheduling meetings, but plaintiffs argued the board failed to investigate or act in good faith.The Oklahoma County District Court granted summary judgment to all defendants. The court found that plaintiffs’ affidavits lacked evidentiary support and that the brief interval between the plaintiffs’ pre-suit demand and the filing of the lawsuit did not allow the board enough time to investigate and make a good faith decision. The district court also determined that plaintiffs had failed to meet their burden of proving the board breached fiduciary duties and did not make a pre-suit demand regarding one defendant. The Court of Civil Appeals affirmed, holding that the demand requirement was not met and that the business judgment rule protected the board's decisions.The Supreme Court of the State of Oklahoma granted certiorari and reviewed the case de novo. The Court vacated the opinion of the Court of Civil Appeals but affirmed the district court’s judgment. The Court held that plaintiffs’ pre-suit demand did not provide a reasonable time for the board to investigate, as required for a shareholder derivative claim. The Court also found plaintiffs failed to rebut the business judgment rule and did not provide material facts warranting trial. Thus, summary judgment for defendants was affirmed. View "HOWARD v. THE BARRINGTON HOMEOWNERS" on Justia Law

The case concerns a referendum petition submitted in Norman, Oklahoma, regarding a municipal ordinance that adopted the Rock Creek Entertainment District Project Plan. The ordinance created two tax increment financing districts to support the construction of a multipurpose arena, parking garage, and related infrastructure. The increments from local sales and ad valorem taxes were designated to fund the project up to certain financial limits or for a maximum period of twenty-five years. The ordinance was enacted without voter approval, prompting proponents to submit a referendum petition seeking a public vote on the ordinance.After the petition was filed, including 10,689 signatures, a protest was lodged in the District Court of Cleveland County, challenging both the legal sufficiency and signature count of Referendum Petition 2425-1. The protest focused on alleged inaccuracies and omissions in the petition’s gist, which is intended to briefly and accurately describe the purpose and effect of the proposed measure for potential signatories. The District Court, presided over by Judge Jeff Virgin, concluded that the gist was insufficient, specifically finding that it misrepresented the financial triggers and duration of the tax districts, and ordered the petition invalidated and stricken.On appeal, the Supreme Court of the State of Oklahoma reviewed the sufficiency of the gist de novo. The Court determined that the gist failed to accurately state the maximum amount of public assistance and omitted the fact that the tax districts would expire upon the earliest of three specified events, not necessarily after twenty-five years. These deficiencies rendered the gist misleading and legally insufficient. The Supreme Court affirmed the District Court’s order invalidating Referendum Petition 2425-1, holding that the petition’s gist was legally insufficient and therefore the petition could not proceed. View "Allison v. McCoy-Post" on Justia Law

Several homeowners initiated a lawsuit against an individual, alleging conversion, trespass, outrage, reformation of restrictive covenants, quiet title, and seeking injunctive relief to prevent interference with their use of common areas in a real estate development. The defendant retained counsel and filed a timely answer. However, when the homeowners moved for summary judgment, the defendant’s attorney failed to respond or inform his client about the motion. The district court granted summary judgment for the homeowners, awarding substantial actual and punitive damages, as well as attorney’s fees, far exceeding the amount requested in the motion.After more than 30 days had passed since judgment, the defendant moved to vacate the judgment in the District Court of Cherokee County, Oklahoma, arguing that unavoidable casualty or misfortune, fraud, and irregularity had prevented him from defending the action. The district court held an evidentiary hearing and denied the motion to vacate. The defendant appealed, and the Court of Civil Appeals, Division III, affirmed the district court’s decision, finding that the defendant had not properly pled a valid defense and that his attorney’s negligence was imputed to him.The Supreme Court of the State of Oklahoma reviewed the case on certiorari. It held that the attorney’s abandonment of the case without the client’s knowledge, combined with a breakdown in office procedures and lack of communication, constituted unavoidable casualty or misfortune under Oklahoma law. The court further found that the district court’s award of damages and attorney’s fees without a hearing or proper evidentiary support violated the defendant’s due process rights. The Supreme Court vacated the opinion of the Court of Civil Appeals, reversed the district court’s judgment, and remanded the case for further proceedings. It also vacated the appellate attorney fee award previously granted to the homeowners. View "Bjorkman v. Noble" on Justia Law

A limited partnership, owning an apartment complex in Norman, Oklahoma, transferred its general and limited partnership interests to new owners in 2022. The Cleveland County Assessor subsequently increased the fair cash value of the property from $18,437,401 in 2022 to $42,500,000 in 2023, exceeding the constitutionally allowed 5% annual increase for ad valorem taxation. The partnership, Icon, protested this increase, arguing that the transfer of partnership interests did not constitute a transfer of property title.The Cleveland County Board of Equalization denied Icon's protest, and the Oklahoma Court of Tax Review granted summary judgment in favor of the Assessor, concluding that the transfer of partnership interests was equivalent to a transfer of property title, thus lifting the 5% cap on valuation increases. Icon appealed this decision.The Supreme Court of the State of Oklahoma reviewed the case de novo, focusing on whether the transfer of partnership interests should be treated as a transfer of property title under Okla. Const. art. 10, §8B. The court held that the transfer of partnership interests was a transfer of personal property, not real property, and did not constitute a transfer, change, or conveyance of the property title. Therefore, the 5% cap on annual increases in property valuation for ad valorem taxation should not have been lifted. The court vacated the Oklahoma Court of Tax Review's order and remanded the case. View "THE ICON AT NORMAN APTS, LP v. DOUGLAS WARR, CLEVELAND COUNTY ASSESSOR" on Justia Law

A contractor, Flintco, LLC, entered into a subcontract with Total Installation Management Specialists, Inc. (Total) for flooring work on a construction project at Oklahoma State University. Total was required to secure a performance bond from Oklahoma Surety Company (OSC). Flintco later supplemented Total's workforce due to delays and performance issues but did not notify OSC until five weeks after taking over the work.The Tulsa County District Court ruled in favor of Flintco, awarding damages against Total and OSC. OSC appealed, arguing that Flintco failed to meet the performance bond's conditions requiring a declaration of default and reasonable notice before assuming control of the work. The Court of Civil Appeals reversed the district court's judgment, finding that the notice requirement was a mandatory condition precedent, and Flintco's failure to provide timely notice relieved OSC of liability.The Supreme Court of the State of Oklahoma reviewed the case and agreed with the Court of Civil Appeals. The court held that the performance bond's notice requirement constituted a mandatory condition precedent. Flintco's failure to provide timely notice to OSC so it could exercise its performance options under the bond relieved OSC from liability. The court vacated the Court of Civil Appeals' opinion, reversed the district court's judgment, and remanded the case with instructions to enter judgment consistent with this decision. The trial court's judgments against Total were not affected by this decision. View "Flintco, LLC v Total Installation Management Specialists, Inc." on Justia Law

Charter Oak Production Co., LLC paid to settle a property damage claim after a pipeline installed on its easement ruptured, causing a saltwater spill on the property of Jason and Melissa Mills. Charter Oak sought indemnity from JM Eagle, Inc., the manufacturer, and Rainmaker Sales, Inc., the distributor, alleging the pipe was defective. The district court granted summary judgment in favor of JM Eagle and Rainmaker, finding that Charter Oak lacked the necessary legal relationship to assert an indemnity claim and that the claim was barred by the economic loss rule.The Oklahoma Court of Civil Appeals, Division IV, reversed the district court's decision. It found that Charter Oak's non-delegable duty to the Millses created the legal relationship necessary to support an indemnity claim against JM Eagle and Rainmaker. Additionally, it held that Charter Oak's claim was not barred by the economic loss rule.The Supreme Court of the State of Oklahoma reviewed the case. It held that Charter Oak's non-delegable duty as the dominant tenant of the easement established the legal relationship necessary to seek indemnity from JM Eagle and Rainmaker. The court also held that the economic loss rule did not bar Charter Oak's indemnity claim, as it sought reimbursement for damage to property other than the defective product itself. Consequently, the Supreme Court vacated the Court of Civil Appeals' decision, reversed the district court's order, and remanded the case for further proceedings consistent with its opinion. View "Mills v. J-M Mfg. Co., Inc." on Justia Law

Melissa Evans was involved in a fatal car accident with Darrell D. Blaylock, resulting in the deaths of both Evans and George D. Blaylock, a passenger in Blaylock's car. Joshua Evans, Melissa's son, initiated probate proceedings and was named the personal representative of her estate. Joshua later sought a court order to declare Melissa's house as qualifying for the homestead exemption. The probate court denied this request, leading Joshua to file an interlocutory appeal.The District Court of Rogers County admitted Melissa's will to probate, named Joshua as the personal representative, and identified the heirs. Deborah Matlock, representing George Blaylock's estate, filed a wrongful death lawsuit against Melissa's estate and a creditor demand for inventory. Joshua's motion to declare the house as a homestead was denied after he failed to appear at the hearing. The probate court ruled that the property did not qualify for the homestead exemption as Melissa left no surviving spouse or minor children.The Supreme Court of the State of Oklahoma reviewed the case and affirmed the lower court's decision. The court held that the property did not qualify for either a constitutional or probate homestead exemption. The court clarified that the homestead exemption under Oklahoma law is limited to a surviving spouse and minor children, and does not extend to adult children or grandchildren. Consequently, Joshua Evans and his children were not entitled to the homestead exemption, and the property was available to satisfy the debts of Melissa Evans' estate. The case was remanded for further proceedings consistent with this opinion. View "IN THE MATTER OF THE ESTATE OF EVANS" on Justia Law

In this case, the Supreme Court of the State of Oklahoma addressed a claim brought by a mother seeking recovery for the loss of her minor child who had drowned in a neighbor's swimming pool. The mother alleged negligence against the property owner, claiming that the swimming pool was an "attractive nuisance." Initially, the district court granted summary judgment in favor of the property owner, arguing that the owner did not owe a duty to the child. The mother appealed the decision, leading the Court of Civil Appeals to reverse the district court's judgment, positing that whether the swimming pool was an attractive nuisance was a fact for the jury to decide.Upon review, the Supreme Court of the State of Oklahoma held that the swimming pool was not an attractive nuisance as a matter of law. The court observed that the pool did not contain any hidden or unusual element of danger. However, the court also determined that a question of fact remained regarding whether the owner could be held liable under ordinary premises liability law. This conclusion barred summary judgment in favor of the property owner.Thus, while the Court affirmed the district court's judgment concerning the attractive nuisance claim, it reversed the decision on the issue of ordinary premises liability. The case was remanded for further proceedings consistent with the Supreme Court's opinion. It was noted that these circumstances would allow a jury to evaluate all surrounding facts in determining liability under ordinary premises liability law. View "Brown v. Dempster" on Justia Law

The dispute revolves around which of two oil and gas leases controls the royalty payments for nine wells collectively called the Bernhardt Wells. The Supreme Court of the State of Oklahoma affirmed the trial court's summary judgment in favor of defendant, Devon Energy Production Company, L.P. The plaintiffs, trustees of The Eunice S. Justice Amended, Revised, and Restated 1990 Revocable Trust Agreement, argued that a 1978 Lease entitles them to a 3/16 royalty, while Devon maintained that a 1973 Lease, entitling the Trust to a 1/8 royalty, controls. The court found that the dispute over which lease controls is best characterized as a quiet title claim, subject to a 15-year statute of limitations, which began when the injury occurred in 1978. Thus, the Trust's quiet title claim, filed more than 15 years later, was time-barred. The court also held that the trial court did not err in denying the Trust's motion to compel the production of various title opinions in Devon's possession. View "BASE v. DEVON ENERGY PRODUCTION" on Justia Law

In this case heard before the Supreme Court of the State of Oklahoma, the plaintiffs, Mohammad Amoorpour and Maryam Amnifar, trustees of the Amoorpour Family Trust, sought to quiet title to a piece of property against Brenda J. Kirkham, a neighboring landowner who counterclaimed, alleging adverse possession. After a bench trial, the district court awarded title to the plaintiffs and denied their requests for money damages and a writ of assistance.Kirkham appealed the decision, asserting that she had proven adverse possession of the property. The plaintiffs counter-appealed, challenging the denial of their requests for financial compensation and a writ of assistance.The Supreme Court of the State of Oklahoma affirmed the district court's decision to quiet title to the plaintiffs, noting that Kirkham had failed to prove the necessary elements to claim adverse possession. Specifically, Kirkham had not continuously, exclusively, openly, notoriously, and hostilely possessed the land for the required 15 years. The court also affirmed the district court's denial of the plaintiffs' request for money damages, stating that a quiet title action does not inherently provide for a monetary award of damages.However, the Supreme Court reversed the district court's denial of the plaintiffs' request for a writ of assistance. The court held that the district court had jurisdiction over the property and the power to issue a writ of assistance after determining and settling the parties' title to the property. The case was remanded back to the district court with instructions to proceed in a manner consistent with the Supreme Court's opinion. View "AMOORPOUR v. KIRKHAM" on Justia Law