Tag Archives: virginia supreme court
Client Alert: Canova Land and Investment Company v. Carolyn Lynn
This morning, the Supreme Court of Virginia interpreted a restriction contained within a 146-year-old deed as not being an unreasonable restraint on alienation. In Canova Land and Investment Company v. Carolyn Lynn, the Supreme Court analyzed whether ancient deed restrictions, undiscovered by a subsequent lender, vitiate the security for its loan. In 1875, Edna and Levi Lynn granted a deed to ... Read More
Virginia Supreme Court Suspends All Evictions For Rent Nonpayment Until September 7, 2020
A narrowly divided Court, in an order signed by Justice Mims, suspended all writs of eviction pursuant to unlawful detainer actions in Virginia, effective August 10, 2020, and continuing through September 7, 2020. The four-justice majority noted that the ongoing public health emergency limited the ability of tenants to avail themselves of the court system, and the Governor’s request for ... Read More
Virginia Supreme Court Adopts Partial Subordination Rule
The case of Futuri Real Estate, Inc. v. Atlantic Trustee Services, LLC involved a question of first impression in Virginia regarding what should happen when a first-priority position lien subordinates itself to a third-priority position lien. Under the complete subordination rule, the first-priority position lien becomes junior to the other two liens on the property, the second-priority lien moves ... Read More
Supreme Court of Virginia Holds That Insurer is Entitled to Equitable Contribution From Another Covering Insurer and that Consent to Settlement Conditions Are Waived by Denial of Coverage on Other Grounds
In a decision issued on July 18, 2019, the Supreme Court of Virginia vacated a judgment entered in favor of a liability insurer seeking contribution against another liability insurer and remanded the case to the trial court on the grounds that the complaint had stated a claim for equitable contribution. Nationwide Mut. Fire Ins. Co. v. Erie Ins. Exchange, 829 ... Read More
Virginia Supreme Court: Collateral Source Rule Can Apply To Contract Cases
In Dominion Resources, Inc. v. Alstom Power, Inc., the U.S. District Court for the District of Connecticut certified the following question to the Virginia Supreme Court: “Does Virginia law apply the collateral source rule to a breach of contract action where the plaintiff has been reimbursed by an insurer for the full amount it seeks in damages from the ... Read More
Virginia Supreme Court: Newly-Acquired Subsidiary Does Not Receive Coverage Under Owner’s Property Insurance
After EPC MD 15, LLC purchased commercial property fire insurance from Erie Insurance Exchange, it purchased another company that owned a separate building on another property. The new subsidiary was not a named insured under the original policy. When that building sustained fire damage, EPC submitted a claim, claiming that the purchase of the subsidiary made the subsidiary’s property “newly ... Read More
VA: Foreclosure Purchasers Face New Potential Hurdle In Virginia
In Parrish v. Federal National Mortgage Association, the Virginia Supreme Court ruled 5-2 that when a defendant raises a bona fide question of the plaintiff's title in an unlawful detainer/ejectment action before the General District Court, that court loses subject matter over the case and the plaintiff must vindicate its title in the Circuit Court, thereby creating another ... Read More
Virginia Supreme Court Rejects Role of Juries in Title Insurance Bad Faith Claims
In a new opinion that merits review by anyone who underwrites title or defends title insurers in Virginia, a 6-1 majority of the Virginia Supreme Court held that Virginia Code sec. 38.2-209 requires that judges, not juries, make the determination of whether an insurer has acted in bad faith under ... Read More
VA Supreme Court: Shevlin Smith v. McLaughlin
The opinion in Shevlin Smith v. McLaughlin provides a veritable cornucopia of rulings—15 assignments of error were considered!—that touch on important areas of legal malpractice and civil litigation that all practitioners should review. The case concerns a legal malpractice case by McLaughlin against his former firm of Shevlin Smith, ... Read More