Justia Agriculture Law Opinion Summaries

House owns an organic farm, adjacent to the Property, formerly owned by Moller. In 2002, House entered into a six-year lease with Moller for 35 farmable acres, containing a renewal option and a right of first refusal. House converted the Property to certified organic status. In 2007, Moller, with no notice to House, agreed to sell the Property to Foss. Foss, a licensed real estate agent, prepared the agreement, which did not contain a fixed closing date. House became aware of the agreement, notified Foss about the right of first refusal, and sued Moller. While the lease remained in effect, Foss entered the Property and sprayed nonorganic herbicides, cut down trees, and altered the fencing. House sued Foss. Moller filed for bankruptcy. The Property was foreclosed on and sold to a third party in 2015.The trial court found Foss liable for inducing a breach of contract, intentionally interfering with House’s prospective economic advantage, conversion, trespass, and negligence and awarded compensatory damages of $1,669,705 and $1,000 in punitive damages. House sought attorney fees and costs. The court denied the motion. The court of appeal remanded for a determination of reasonable attorney fees under Code of Civil Procedure 1021.9, which refers to “any action to recover damages to personal or real property resulting from trespassing on lands either under cultivation or intended or used for the raising of livestock.” The damages award is supported by substantial evidence. View "Kelly v. House" on Justia Law

The Supreme Court vacated the judgment of the intermediate court of appeals (ICA) affirming the order of the circuit court granting summary judgment in favor of Defendant and dismissing Plaintiff's complaint alleging that Defendant's cattle trespassed onto his property causing damage to his sweet potato crop, holding that the legislature intended to hold owners of livestock liable for the damage caused by the trespass of their animals on cultivated land whether the land is properly fenced or not.In granting summary judgment for Defendant, the circuit court concluded (1) Hawai'i's statutory law governing the trespass of livestock onto cultivated land did not apply to Plaintiff's property because the property was neither "properly fenced" nor "unfenced"; and (2) a provision in Plaintiff's lease making Plaintiff fully responsible for keeping cattle out of his cultivated land was not void against public policy. The ICA affirmed. The Supreme Court reversed, holding (1) livestock owners are liable for damages caused by their livestock trespassing onto cultivated land; and (2) the lease provision was contrary to statutory law and public policy and was thus invalid because it had the effect of absolving Defendant of liability for livestock damage to Plaintiff's cultivated land. View "Yin v. Aguiar" on Justia Law

The Grossens own but do not live on, Parcel A, adjacent to Parcel B, leased by Frank. The parcels are separated by a common fence. Frank has used Parcel B for pasturing cattle since 2009 and, under his lease is responsible for maintaining the fences on the parcel. When Frank repaired the fence he did not notify the Grossens. In 2011, Frank’s cattle escaped to a nearby road, where Raab collided with a cow. Raab sued, citing the Animals Running Act. Frank filed a third-party complaint against the Grossens under the Contribution Act, citing the Fence Act, negligence, and breach of contract. The cow that injured Raab escaped through a portion of the fence the Grossens were obligated to maintain under a contract between previous owners. The circuit court approved a $225,000 settlement agreement between Raab and Frank; determined that the Animals Running Act barred any contribution from nonowners or nonkeepers of livestock and that Frank’s failure to notify the Grossens of known deficiencies in the fence barred liability under the Fence Act; and held that a breach of the fence contract could not create that liability to Raab, so the contract could not be the basis for contribution. The appellate court reversed in part.The Illinois Supreme Court held that common law does not provide a basis to hold a nonowner or nonkeeper of livestock liable in tort for damage caused by a neighbor’s animals; the Animals Running Act is not a source of a duty for nonowners and nonkeepers to restrain neighboring cattle. Since Frank has not otherwise established potential tort liability, breach of contract does not give rise to liability under the Contribution Act. View "Raab v. Frank" on Justia Law

In the 1990s, Boucher cut down nine trees on his family farm in Indiana. The U.S. Department of Agriculture (USDA) claimed that the tree removal converted several acres of wetlands into croplands, rendering the Bouchers’ entire farm ineligible for USDA benefits that would otherwise be available under the “Swampbuster” provisions in the Food Security Act of 1985, 16 U.S.C. 3801, 3821–24. The Seventh Circuit reversed the district court. The USDA repeatedly failed to follow applicable law and agency standards. It disregarded compelling evidence showing that the acreage in question never qualified as wetlands that could have been converted illegally into croplands and has shifted its explanations for treating the acreage as converted wetlands, so its actions qualify as arbitrary, capricious, and an abuse of discretion. The agency experts did not attribute the alteration of hydrology to the removal of the nine trees; the agency presented no evidence that the tree removal altered the wetland hydrology. The USDA failed to engage meaningfully with this point, ignoring a crucial factor under the agency’s interpretation of its regulation. View "Boucher v. United States Department of Agriculture" on Justia Law

The Moodys leased Pine Ridge Indian Reservation parcels for agriculture. The government has a trust responsibility for Indian agricultural lands, 25 U.S.C. 3701(2). The Secretary of the Interior is authorized to participate in the management of such lands, with the participation of the beneficial owners and has delegated some responsibilities to the Bureau of Indian Affairs (BIA). BIA regulations generally allow Indian landowners to enter into agricultural leases with BIA approval. Each Moody lease defined “the Indian or Indians” as the “LESSOR.” The Claims Court concluded that the Oglala Sioux Tribe signed the leases. Other lease provisions distinguished between the lease parties and the Secretary of the Interior/United States. Issues arose in 2012. The BIA sent letters canceling the leases, noting that the Moodys could appeal the decision to the Regional Director. Within the 30-day appeal period, the Moodys returned with a cashier’s check in the proper amount, which the BIA accepted. The BIA informed the Moodys that they need not appeal, could continue farming, and did not require written confirmation. Subsequently, the Moodys received trespass notices and were instructed to vacate, which they did. The Moodys did not appeal within the BIA but sued the government. The Federal Circuit affirmed the Claims Court’s dismissal of the written contract claims for lack of jurisdiction because the government was not a party to the leases, for failure to state a claim upon which relief could be granted because the Moodys did not have implied-in-fact contracts with the government, and for failure to raise a cognizable takings claim because their claim was based on the government’s alleged violation of applicable regulations. View "Moody v. United States" on Justia Law

Plaintiffs challenged a Monterey County ordinance limiting to four the number of roosters that can be kept on a property without a permit. A permit application must include a plan describing the “method and frequency of manure and other solid waste removal,” and “such other information that the Animal Control Officer may deem necessary.” A permit cannot be issued to anyone who has a criminal conviction for illegal cockfighting or other crime of animal cruelty. The ordinance includes standards, such as maintaining structurally sound pens that protect roosters from cold and are properly cleaned and ventilated and includes exemptions for poultry operations; members of a recognized organization that promotes the breeding of poultry for show or sale; minors who keep roosters for an educational purpose; and minors who keep roosters for a Future Farmers of America project or 4-H project. The court of appeal upheld the ordinance, rejecting arguments that it takes property without compensation in violation of the Fifth Amendment; infringes on Congress’ authority to regulate interstate commerce; violates the Equal Protection Clause; is a prohibited bill of attainder; and violates the rights to privacy and to possess property guaranteed by the California Constitution. View "Perez v. County of Monterey" on Justia Law

In this case, at issue was whether the petitioner was entitled to a jury trial under Rule 38 of the Colorado Rules of Civil Procedure. Between 2008 and 2011, Zachary Mason (“Zach”) farmed several properties in Otero County, Colorado. During this time, Zach executed several loan agreements with Farm Credit of Southern Colorado, ACA, and Farm Credit of Southern Colorado, FLCA (collectively, “Farm Credit”). As part of the loan agreements, Farm Credit owned a perfected security interest in some of Zach’s crops, farm equipment, and other items of personal property. In May 2012, Zach defaulted on his loans. As a result, Farm Credit sued Zach for judgment on his notes, foreclosure of real property collateral, replevin of personal property collateral, conversion of insurance proceeds, civil theft, breach of contract, and fraud. The court of appeals held that the petitioner was not entitled to a jury trial because the claims in the respondents’ original complaint were primarily equitable. In reaching this conclusion, the court of appeals ignored the claims in the respondents’ amended complaint. The Colorado Supreme Court found that was in error: when a plaintiff amends its complaint and a party properly requests a jury trial, the trial court should determine whether the case may be tried to a jury based on the claims in the amended complaint, not the original complaint. If the claims against a particular defendant in a plaintiff’s amended complaint entitle that defendant to a jury trial, then “all issues of fact shall be tried by a jury,” upon a proper jury demand and payment of the requisite fee. Here, the claims against the petitioner in the respondents’ amended complaint were primarily legal, as opposed to equitable, meaning the petitioner was entitled to a jury trial under Rule 38. View "Mason v. Farm Credit S. Colo., ACA" on Justia Law

Dallas Schott, owner of Corson County Feeders, Inc., sued South Dakota Wheat Growers Association (SDWG), alleging its agronomist incorrectly prescribed a herbicide that Schott sprayed on his 2014 sunflower crop. The herbicide was not labeled for use on all of Schott’s sunflowers, and 1,200 acres were destroyed. The circuit court granted SDWG summary judgment, ruling that Schott assumed the risk. After review, the South Dakota Supreme Court reversed and remanded after finding there were disputed issues of fact concerning Schott’s knowledge and appreciation of the risk. View "Schott v. So. Dakota Wheat Growers Assn." on Justia Law

In 2009, plaintiff Nikola Vekic sought to buy three oyster leases which were jointly owned by Dragutin Popich and his daughters Mary Popich and Helen Popich Harris (collectively “the Popich family”). Although the parties disputed the content of the discussions which took place between them regarding the sale of the three oyster leases, it was undisputed that the Popichs’ lawyer, Roger Harris (husband of Helen), transmitted a letter stating that Popich was “unwilling to do a credit sale.” Instead, Harris drafted and submitted an agreement entitled “Sublease Agreement With Option to Purchase” along with a proposed act of sale to Vekic, who reviewed the documents along with his attorney. Vekic executed the sublease agreement on April 14, 2009, without raising any issues regarding its contents. The terms of the artfully-crafted agreement differed significantly from a typical lease or sublease in that the Popich family transferred all of the rights and responsibilities of ownership to Vekic without the benefit of a formal transfer of title between the parties. Vekic was bound to pay the full $90,000 in “rent” regardless of whether the leases were damaged or were even subject to a complete taking. Vekic could not under any condition terminate the lease and was responsible for fulfilling all of the legal requirements to maintain the leases, including paying the $2 per-acre lease fee to the Department of Wildlife and Fisheries. After paying $60,000 of the "rent" owed, the British Petroleum Deepwater Horizon well exploded, closing the area where the leases at issue here were located for a considerable amount of time. Vekic paid the Popich family the remaining $30,000 he owed under the agreement in May, 2011. On June 19, 2011, Mr. Vekic exercised his option to purchase, and the parties executed the act of sale, which had been prepared in 2009 along with the original agreement, without any modifications. In the wake of the spill, a class action lawsuit was filed against BP. Vekic filed a claim with the Deepwater Horizon Economic Claim Center (“DHECC”) which included the leases at issue. Helen Harris, also an attorney, prepared and filed claims for the Popich family, informing the DHECC of the 2009 agreement with Vekic and post-spill Act of Sale. A dispute arose regarding which party was entitled to the proceeds from the oil spill settlement for damages to certain oyster leases. The Louisiana Supreme Court disagreed with the Court of Appeal and found that the trial court did not err in accepting evidence beyond the four corners of the contract at issue and did not manifestly err in its factual findings and ultimate interpretation that the agreement at issue entitled the plaintiff to the settlement proceeds for property damage to the leases at issue. View "Vekic v. Popich" on Justia Law

La Verne Koenig appealed after a jury found no fault in his personal injury lawsuit against Kenneth Schuh and Jason Schuh. Koenig was injured on a farm owned by Patricia Schuh. Koenig bought hay bales located on the Schuh farm. While tightening a strap securing the hay bales to a trailer, Koenig fell resulting in injury. Koenig sued Kenneth, Jason, Patricia and Mary Schuh alleging their fault in strapping the bales to the trailer. Koenig specifically alleged Jason was negligent in assisting him strapping a bale to the trailer and was acting under the direction of Kenneth and Mary Schuh. He alleged Patricia was liable because she owned the land and had a business relationship with the other Schuh defendants. The district court granted summary judgment to Patricia and Mary Schuh before trial. A jury found no fault on the part of Kenneth and Jason Schuh. Koenig argued on appeal: (1) that the district court erred in granting partial summary judgment to Patricia and Mary; (2) the lack of a trial transcript denied him a fair and full review on appeal; and (3) he did not receive a fair and full jury trial. Finding no reversible error, the Supreme Court affirmed. View "Koenig v. Schuh" on Justia Law