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Court Rules Grower Cannot Use Access Easement for Cannabis Purposes Without Servient Landowner’s Consent

While many Californians consider the legality of cannabis to be settled law, the ongoing conflict between California and federal laws on the subject continue to give rise to unexpected outcomes when it comes to real property...more

LLC Member Acting for LLC Without Authority Is Not “Protected Activity” Under California’s Anti-SLAPP Statute

California’s anti-SLAPP statute (Code of Civil Procedure section 425.16) aims to protect defendants from meritless lawsuits designed to chill “protected activity” — i.e., the exercise of rights of petition (litigation) or...more

Eviction After Foreclosure: Further Developments from the Courts

A foreclosure sale purchaser attempting to evict a tenant on the property can encounter pitfalls, as made clear in a series of court cases in recent years.  Here is a summary, capped by an update on a recently filed...more

Guarantor Liability: Assignment of Note Doesn’t Automatically Assign Guaranty Too

Obligations reduced to a promissory note are often accompanied by a written guaranty. The law treats the guaranty as an independent obligation. A case recently decided by California’s First District Court of Appeal —...more

A Lis Pendens Recorded Before a Trustee’s Sale is a “Cloud on Title” that Might Thwart an Unlawful Detainer Claim

In a December 2018 post, Money and Dirt covered a California Supreme Court case — Dr. Leevil, LLC v. Westlake Health Care Center — in which the Court held: “an owner that acquires title to property under a power of sale...more

Relying on a Void Quiet Title Judgment — Redux

In May 2021, Money and Dirt covered a case published by California’s Second Appellate District — Tsasu LLC v. U.S. Bank Trust, N.A. — holding that under Code of Civil Procedure section 764.060 (part of California’s Quiet...more

LLC is Not an “Indispensable Party” to Direct Claims Between LLC Members

In litigation, the plaintiff must include as parties to the action all persons or entities whose interests are so directly involved that the court cannot render a fair adjudication in their absence.  If the plaintiff fails to...more

Diversion of LLC Funds Is Not “Protected Activity” Under California’s Anti-SLAPP Statute

California’s anti-SLAPP statute (Code of Civil Procedure section 425.16) aims to protect defendants from meritless lawsuits designed to chill “protected activity” — i.e., the exercise of rights of petition or free speech on...more

A Receiver For Your LLC?

LLC disputes frequently lead to the court’s appointment of a receiver under California Code of Civil Procedure section 564.  The receiver effectively steps into the shoes of the LLC’s manager, and calls the shots regarding...more

“Reverse Veil Piercing” to Reach an LLC’s Assets

“Piercing the corporate veil” — also referred to as “alter ego” liability — is a familiar concept under California law. Ordinarily, a corporation or other entity (such as an LLC) is considered a legal entity separate and...more

California Court Clarifies Recovery of Goodwill in Eminent Domain Cases

Goodwill is one of the trickier areas of eminent domain law. When a governmental agency takes private property through the exercise of eminent domain powers, the agency generally must pay the property owner the fair market...more

When the Same Lender Has Both a Senior and Junior Deed of Trust (Revisited)

Almost two years ago, Money and Dirt covered a Fourth District California Court of Appeal opinion addressing an apparent split of authority regarding how a lender can enforce senior and junior deeds of trust on the same...more

Eviction After Foreclosure: California Supreme Court Weighs In

This week, the California Supreme Court issued its opinion in Dr. Leevil, LLC v. Westlake Health Care Center.  The case reviewed the decision of the California Court of Appeal from March 2017...more

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