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THE DONAHUE PROJECT
SECTION EFGH, WINTER 2005
Zoning
Village of Euclid v. Ambler Realty Co.
Facts. P is a municipal corporation (the village of Euclid) and its building
inspector. D is Ambler Realty Co., owner of 68-acre tract of unimproved land at
the village's west end. P is an appellant from an earlier adverse judgment. D,
the appellee, had filed suit against P, seeking to enjoin P from enforcing a zoning
ordinance. This was granted by the lower court. D's land was unimproved but
was abutted to the east and west by built-up residential tracts. The village's
zoning system consisted of 'use districts,' 'height districts,' and 'area districts.'
These classes overlap. D's property is located in three use districts – U-2, U-3,
and U-6. It is alleged that the land's market value for industrial use is $10,000
per acre, but only $2,500 per acre for its permitted residential uses. A section of
this land along Euclid Av. is valued at $150 per front foot if unrestricted, and $50
otherwise. D claims that the reduction in value due to the zoning restrictions is a
deprivation of liberty and property without due process of law under the 14th
amendment.
Opinion. The decree enjoining P from enforcing the zoning ordinance was reversed.
The court uses the standard of rational basis review to assess the claim. The
particular question here is “Is the ordinance invalid in that it violates the
constitutional protection 'to the right of property in the appellee by attempted
regulations under the guise of the police power, which are unreasonable and
confiscatory?” No, it is not. This is a foundational case upholding municipal
zoning powers.
Rationale. The zoning restrictions have a rational relation to the health and safety
of the community, and hence, D's property has not suffered an injury that
violates D's 14th amendment rights.
oThe zoning ordinance is upheld in general terms, not as it specifically applies
to D's land. The court rejects the idea of an injunction against P's zoning
enforcement merely on the basis of D's fear of enforcement, noting that
relief must derive from “a present infringement or denial of a specific
right.”
o The zoning ordinance does not '[assume] the character of a merely arbitrary
fiat,' and it is within the “bounds of reason,” thus passing the rational
basis test.
oOrdinances must therefore “find their justification in some aspect of the
police power, asserted for the public welfare.” The court notes that
ordinances must be considered in the context of the “circumstances and
the locality.” This is likened to the law of nuisance, where alleged
nuisances are examined in terms of their particular surroundings.
oThe court describes zoning as a means of maintaining order while society
becomes more complex. This policy argument expresses the desire that
regulations ought to be able to keep pace with “new and different
conditions.” Other concerns include the court sees addressed by zoning
include fires, traffic, noise, the prevention of 'nervous disorders,' and the
prevention of bulky apartment buildings from blocking sunlight and
changing an area's “character.”
oHence, the exclusion of various sorts of land uses from residential areas
bears a rational relation to the community's health and safety.
oThe fact that Euclid is a suburb of Cleveland does not impinge upon its rights
THE DONAHUE PROJECT
SECTION EFGH, WINTER 2005
as a municipality to set local zoning rules.
oZoning laws are allowed to have “a reasonable margin” built into them, since
there is no clear line between what is 'good' and what is 'bad' in terms of
land usage.
Editors. GS 4/30/05.
State ex rel. Stoyanoff v. Berkeley (1970) (p. 1048)
Facts. The Architectural Board of Ladue refused to issue a building permit to construct a
proposed single family residence that was “unusual in design” but that complied with all
of the existing building and zoning regulations of the City of Ladue. City Ordinance 131,
as amended by Ordinance 281, sets up the Architectural Board which approves plans for
buildings erected within the city, and ensures that the buildings conform to certain
architectural standards of appearance and conformity with surrounding structures, and
that
o “unsightly, grotesque and unsuitable structures, detrimental to the stability of
value and the welfare of surrounding property, structures and residentsand to
the general welfare and happiness of the community be avoided” and that
standards of beauty be fostered.
The house to be built is pyramid-shaped, with a flat top, with triangular windows and
doors. The neighborhood in which they seek to build the house is filled with houses of
conventional design.
Issue. Are Ladue City Ordinances 131 and 281, which provide for certain aesthetic
standards for new construction, to be decided by an Architectural Board,
unconstitutional because they are too vague and an arbitrary and unreasonable exercise
of the police power?
Reasoning: The ‘Relators’ Argument: the relators (the ones who want to build the
house) allege that the ordinances are invalid and unconstitutional because they are
vague and do not provide a standard uniform rule to guide the Board, the city has
unlawfully delegated legislative powers to the Architectural Board, and the city has made
an unlawful and arbitrary use of its police power. They want the ordinances declared
void and a permit to build the house issued.
The City’s Argument: The city claims the city is zoned in such a way in order to
promote the health and general welfare of society, and Ordinances 131 and 281 were
passed in furtherance of that general welfare goal. It also claims that the ordinances
are in furtherance of the general welfare, and that the ordinances were a reasonable
exercise of the city’s powers. The city of Ladue is a rich suburb, and the city claims that
the ordinances are necessary to protect and maintain the property values. A developer
and a consultant for a city planning firm testified that the proposed pyramid house
would have an adverse affect on surrounding homes.
The Court: The court determines that the Ordinances are not arbitrary and
unreasonable if the city is acting with the purpose of promoting the general welfare.
Unusual structures such as the one proposed by relators can have an adverse affect on
property values. Lower property values would then affect the city tax base and the
general public. The aesthetic factor is not the only factor to be considered; the
Architectural Board must also look to the effect the proposed residence would have on
property values in the area. As such, the Ordinances have the purpose of promoting the
general welfare, and they are valid.
Class Discussion: Schneider’s hypo: Imagine that this is a covenant, not a zoning
ordinance. Is there any reason why we should/shouldn’t enforce this covenant as a
covenant?
o For: There was agreement by the community, which may give more
legitimacy to the architectural standards (you knew what you were signing up
THE DONAHUE PROJECT
SECTION EFGH, WINTER 2005
for). Why ask the government to intervene in an agreement between private
citizens? Why not say, it is a free country, and private landowners can make
such agreements?
o Against: Covenants are not objective: What is unsightly, grotesque and
unsuitable? Who makes that decision? BUT: Schneider asks, so what if the
covenant is not objective? Why does a private agreement between
landowners have to be objective?
o Back to zoning: Why does the government have the power to zone? It
is a coercive power, it severely limits power to use land, and we let the
government do it in an unconstricted way. Takings law is one of the
few constraints in zoning, and taking law does not pose a huge
restriction on zoning.
o Wrap-up: Schneider doesn’t think much of the idea of individual
diversity as an argument against restrictive covenants. America is a
pluralist society; that is, we have a diversity of groups of people here
in the U.S., and have an interest in making sure those groups stay
groups; otherwise, we run the risk of creating a standard ‘diverse’
society where no one has a choice to live differently. There seems to
be a sense that as long as the restriction is contained and there
remains plenty of choice, covenants such as those in his hypos should
be enforced.
Editors. AK 4/19/05.
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