State Supreme Court Rules In Favor of Perdido Dunes Over Phoenix Rentals

OBA Staff • June 11, 2024

State Court used "Squatters' Rights" in awarding sliver of land


Perdido Dunes Lawsuit

Orange Beach, Ala. – (OBA) – Hidden between Phoenix East and Phoenix VIII is a slender building named Perdido Dunes. For many years Perdido Dunes has been using a two-and-a-half-foot strip of land owned by Phoenix Rentals. The long beachfront battle between Orange Beach condominiums has been settled, with the Alabama Supreme Court confirming a new tower is entitled to squatter's rights.


The Perdido Dunes condominium association in Orange Beach, Alabama, claimed squatting rights on a section of beachfront property. This case revolved around the principle of adverse possession, where the association maintained and used the property over an extended period without the owner's permission.


The case escalated through the legal system, eventually reaching the Alabama Supreme Court. The primary legal question was whether the condominium association's long-term use and improvement of the property constituted adverse possession under Alabama law.


The Alabama Supreme Court affirmed the condominium association's rights, upholding the lower court's decision. The ruling confirmed that the association had met the criteria for adverse possession, including continuous and exclusive use of the property for the statutory period.


Does Alabama have squatters' rights? According to Hemlane Property Management, In Alabama, for a squatter to make an adverse possession claim on a property, they must occupy the land continuously for 20 years. The possession must also be actual, open, notorious, exclusive, hostile, and under claim of right. This means the squatter must physically live on or make regular use of the property, in an obvious and public way, preventing the owner or others from using it themselves. The squatter's use should clearly indicate they are claiming ownership and not trying to hide their occupation.


If the squatter meets all the requirements of adverse possession for 20 years, they can gain legal title to the property, even without the original owner's permission. At that point, the squatter becomes the rightful owner in the eyes of Alabama law.


In this case, the Alabama Supreme Court upheld the judgment granting Perdido Dunes a prescriptive easement over the disputed property. This decision may have significant implications for property rights in Alabama, particularly concerning beachfront properties. It underscores the importance of property owners actively monitoring and maintaining their properties to prevent adverse possession claims.


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