History
  • No items yet
midpage
Choice Homes v. Donner
311 Neb. 835
Neb.
2022
Read the full case

Background

  • Choice Homes (nonlicensee contractor) entered simultaneous purchase agreements to buy property from owners for $750,000 and sell it to buyers for $1.3M, expecting profit.
  • Choice showed the property, negotiated terms, and obtained an oral agreement with the owners that it would be able to purchase if it found a buyer.
  • Choice failed to deliver a current title commitment and its own seller disclosure; buyers refused to close citing undisclosed erosion history; owners later sold directly to buyers for $825,000.
  • Donner (buyer) posted an online Google review criticizing Choice/Gillman and saying he wanted to ‘‘sue the widow … hoping to cash in.’'
  • Choice sued Donner for contract-related claims and defamation; district court granted summary judgment for Donner, holding the Nebraska Real Estate License Act barred Choice’s nondefamation claims and the online review conveyed nonactionable opinion/truth; Supreme Court affirmed.

Issues

Issue Plaintiff's Argument (Choice) Defendant's Argument (Donner) Held
Applicability of Nebraska Real Estate License Act to Choice’s nondefamation claims Choice: It acted in its own interest (as purchaser/reseller) and thus did not perform prohibited acts "for another," or is excepted as owner under §81-885.04(1) Donner: Choice performed broker-like prohibited acts with expectation of compensation while unlicensed; Act bars recovery Held: Act applies — Choice performed prohibited acts (procured buyer, negotiated sale, solicited sale) expecting compensation; exception did not save it because most acts occurred before/after its fleeting equitable ownership
Defamation: whether Donner’s online review states provably false facts Choice: The review implies false factual assertions (e.g., that Gillman would sue a widow to ‘‘cash in’’) and invites readers to contact Donner for verification, implying more defamatory facts Donner: Statements are truthful or nonactionable opinion/hyperbole; no evidence of actual malice Held: Review expresssions are opinion/hyperbolic and did not state or imply provably false facts; truthful factual statements are a defense absent proof of malice; defamation claim fails

Key Cases Cited

  • Momsen v. Nebraska Methodist Hospital, 210 Neb. 45 (1981) (court may discredit after‑the‑fact affidavit that alters testimony)
  • In re Estate of Ronan, 277 Neb. 516 (2009) (nonlicensees cannot recover compensation for acts covered by the Real Estate License Act)
  • Steinhausen v. HomeServices of Neb., 289 Neb. 927 (2015) (tests for distinguishing opinion from provable fact in defamation claims)
  • JB & Assocs. v. Nebraska Cancer Coalition, 303 Neb. 855 (2019) (elements of defamation under Nebraska law)
  • Milkovich v. Lorain Journal Co., 497 U.S. 1 (1990) (opinion/fact analysis; opinions may imply false factual assertions)
  • DeBoer v. Oakbrook Home Assn., 218 Neb. 813 (1984) (equitable title vests in purchaser upon contract of sale)
Read the full case

Case Details

Case Name: Choice Homes v. Donner
Court Name: Nebraska Supreme Court
Date Published: Jun 24, 2022
Citation: 311 Neb. 835
Docket Number: S-21-572
Court Abbreviation: Neb.