Hideaway Hills residents asking South Dakota Supreme Court to rehear case

RAPID CITY, S.D. (KOTA) - A group of homeowners in the Hideaway Hills neighborhood are asking the South Dakota Supreme Court to rehear a ruling that said they could not hold the state responsible for instability that has forced some residents of the subdivision out of their homes. A sinkhole opened in the development back in 2020, revealing an abandoned gypsum mine below the area.Some of the homeowners have been in legal and financial limbo ever since. The State Supreme Court ruled on July 9th that the state could not be held liable for damages caused by the sinkhole. Attorneys for the homeowners argued that the state had operated a gypsum mine at the site for the South Dakota State Cement Plant earlier. In the latest filing, attorneys for the firm Fox Rothschild says the July Supreme Court opinion is inconsistent with its own prior opinions and the South Dakota Constitution.

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Scoop News DeskSouth Dakota Supreme · Published Saturday, August 1, 2026 at 1:04 AM UTCUpdated Saturday, August 1, 2026 at 9:16 AM UTC

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Attorney Kathleen Barrow said in a statement, “Not only does this opinion fail the residents of this endangered subdivision, it overlooks the need to establish consequences for the action of the state and accountability to all citizens of South Dakota.” See a spelling or grammatical error in our story?

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