Morgan v. Ygrene Energy Fund, Inc.

Summary

The court held that homeowners challenging PACE assessments through relief that would invalidate, cancel, refund, or prevent collection of the assessments must use the statutory tax-relief procedures, including paying the assessments and seeking refunds from local tax authorities. That requirement applies even though the defendants are private PACE administrators, because PACE assessments are collected in the same manner and at the same time as property taxes. The court nevertheless held that claims addressing only the administrators’ manner of operating the program, without challenging the underlying assessment obligation, are not subject to the tax-relief procedures, and it remanded for consideration of leave to amend.