Supreme Court Reverses Laches Ruling in Shon v. Choo

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Saipan, CNMI – The Supreme Court issued its opinion in Shon v. Choo, reversing the Superior Court’s decision to bar a quiet title action on the basis of laches, a doctrine which prevents a plaintiff from bringing suit after too much time has passed. The case concerns a disputed transfer of leasehold property in As Matuis, Saipan, that occurred after forged documents conveyed the leasehold without the leaseholder’s knowledge.

The Superior Court found that although the transfers were forged and void, plaintiff Won Bae Shon delayed too long in filing the lawsuit, and the delay unfairly prejudiced the subsequent purchasers. On that basis, the trial court applied laches and entered judgment for the defendants. The laches doctrine encourages people to assert their rights promptly. Unlike how legislatively created statute of limitations (“SOL”) sets a fixed deadline, whether laches applies depends on the unique facts of the case.

The Supreme Court held that applying laches in this instance was a legal error. Because Shon filed his quiet title action well within the SOL period, the claim was timely. The Court explained that laches, an equitable doctrine, may not override the legislature’s chosen SOL of twenty years absent “extraordinary circumstances.” Those circumstances require actual knowledge of the claim and an intentional, inequitable delay that causes concrete prejudice.

After reviewing the full record, the Court determined that no such extraordinary circumstances existed. Shon did not learn of the forged transfers until early 2014, when he discovered that someone was living in the As Matuis property. He immediately investigated and filed a lawsuit the following year, well within the SOL. The Court held that constructive notice—such as publicly recorded documents or renovations visible from the road—does not meet the requirement of actual knowledge necessary to justify laches within a statutory deadline.

The Supreme Court reversed the judgment and remanded the case for entry of judgment quieting title to Shon.

The full opinion can be read on the Law Revision Commission website:

https://cnmilaw.org/pdf/supreme/2025-MP-12.pdf

2025-PR-027

FOR IMMEDIATE RELEASE

December 12, 2025

This press release has been prepared by court staff for the convenience of the public. For further information, contact the Supreme Court at Supreme.Court@NMIJudiciary.gov