A California court just confirmed that groundwater rights pass with the land in foreclosure, settling a major question for commercial mortgage professionals statewide. … The dispute began in 2017, when 4-S Ranch Partners, LLC secured a $33 million loan from Sandton Credit Solutions. … However, by 2019, 4-S Ranch had defaulted on the loan. … Sandton sought a court declaration that all rights to the groundwater passed with the land at foreclosure. 4-S Ranch continued to argue that the groundwater was personal property and should not have transferred with the land. The trial court ruled in Sandton’s favor. … On August 8, 2025, the Fifth District Court of Appeal affirmed the trial court’s decision. 

Other groundwater news:

• Bakersfield Californian: University researchers team up with nonprofit to make the most of groundwater recharge
• Visalia Times-Delta (Calif.): Sinking home prices linked to sinking ground in California’s Central Valley
• The Mercury News (San Jose, Calif.): Opinion: The Earth is drying — sparing no sector and creating cascades of chaos
• California Department of Fish and Wildlife: News release: CDFW issues permit to advance key groundwater quality improvement project in Yucca Valley