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House Democrats plot to bypass Johnson on shutdown deal; Driven by financial incentives, Kentucky ICE arrests ramp up; IN mental health patients at risk of losing Medicaid; On 'America Recycles Day' turning in leftover paint is easy; Last chance to comment on WA's State Wildlife Action Plan.

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New Epstein documents put heat on Trump, as House Democrats try to force a vote on health insurance tax credits and federal incentives mean more local police are enforcing immigration, despite wrongful ICE arrests in Illinois.

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A voting shift by Virginia's rural Republicans helped Democrats win the November governor's race; Louisiana is adopting new projects to help rural residents adapt to climate change and as Thanksgiving approaches, Indiana is responding to more bird flu.

Court's 'home equity theft' ruling helps homeowners in NE, nationwide

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Tuesday, September 17, 2024   

A year-old U.S. Supreme Court case means relief for two Nebraskans who faced losing their homes and all the equity they had built, when investment firms bought their property for unpaid property taxes.

Legal Aid of Nebraska, with Pacific Legal Foundation as lead counsel, appealed a Nebraska State Supreme Court ruling saying the homeowners were not entitled to the equity in their homes.

In Pacific Legal's landmark 2023 case, Tyler v. Hennepin, the U.S. Supreme Court ruled homeowners in such a situation must be paid for any surplus equity, after taxes and fees. It vacated the decision of the Nebraska Supreme Court, which, upon revisiting the case, concluded the Nebraska homeowners must receive "just compensation" for their equity.

Christina Martin, senior attorney for the Pacific Legal Foundation, said the Tyler decision could open doors for others similarly affected.

"The bottom line is, people who think they have a claim should reach out to Legal Aid of Nebraska," Martin urged. "They could also reach out to property rights attorneys, eminent domain attorneys. And ultimately, this decision is going to protect Nebraska's weakest population the most."

Martin explained, subject to states' statutes of limitations, the Tyler decision is fully retroactive. She added tax foreclosures disproportionately affect older or low-income homeowners, or those with medical conditions.

Caitlin Cedfeldt, staff attorney of the Housing Justice Project for Legal Aid of Nebraska, said it's a victory for the two homeowners and all Nebraskans.

"It is still possible for someone to lose their home, but if they are going to lose the home, they are going to at least get the equity out of it," Cedfeldt explained. "It's kind of incredible that both of these elderly clients will have a chance maybe at keeping their homes."

Cedfeldt pointed out it was the first case Legal Aid of Nebraska filed before the U.S. Supreme Court.

In 2023, several years after these homeowners' cases were initiated, Nebraska law was changed to require that homeowners receive any surplus equity in property tax foreclosures.


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