Appellant owns land in appellee city that, when purchased as a
possible site for a nuclear power plant, was mostly zoned for
industrial or agricultural use. The city rezoned parts of the
property, reducing the acreage for industrial use, and also
established an open-space plan that included appellant's property
and proposed that the city acquire the property to preserve it as a
parkland. A bond issue to provide funds for this acquisition was
not approved by the voters, and the property remained in
appellant's hands, subject to the new zoning ordinance and the
open-space plan. Thereafter, appellant brought an action in
California Superior Court, alleging that the city had taken its
property without just compensation in violation of the Federal and
State Constitutions on the theory that the city had deprived it of
the beneficial use of the property through the rezoning and
adoption of the open-space plan. Appellant sought damages for
inverse condemnation, as well as mandamus and declaratory relief.
The Superior Court awarded damages but dismissed the mandamus
claim, and the California Court of Appeal affirmed. The California
Supreme Court vacated the Court of Appeal's judgment and
retransferred the case to that court for reconsideration in light
of the intervening holding in
Agins v. City of
Tiburon, 24 Cal. 3d
266, 598 P.2d 25,
aff'd on other grounds, 447 U. S. 447 U.S.
255, that an owner deprived of the beneficial use of his land by a
zoning regulation is not entitled to damages for inverse
condemnation, but that his exclusive remedy is invalidation of the
regulation in an action for mandamus or declaratory relief. On
reconsideration, the Court of Appeal then reversed the Superior
Court's judgment, holding that appellant could not recover
compensation through inverse condemnation and that, because the
record presented factual disputes not covered by the trial court,
mandamus and declaratory relief would be available if appellant
desired to retry the case. The California Supreme Court denied
further review. Appellant appealed to this Court, claiming that the
Fifth and Fourteenth Amendments required that compensation be paid
whenever private property is taken for public use.
Held: Since 28 U.S.C. § 1257 permits this Court to
review only "[f]inal
Page 450 U. S. 622
judgments or decrees" of a state court, the appeal must be
dismissed because of the absence of a final judgment. While the
Court of Appeal decided that monetary compensation is not an
appropriate remedy, it did not decide whether any other remedy is
available, because it has not decided whether any taking, in fact,
occurred, but appeared to have contemplated further proceedings in
the trial court on remand to resolve the disputed factual issues.
Pp.
450 U. S.
631-633.
Appeal dismissed.
BLACKMUN, J., delivered the opinion of the Court, in which
BURGER, C.J., and WHITE, REHNQUIST, and STEVENS, JJ., joined.
REHNQUIST, J., filed a concurring opinion,
post, p.
450 U. S. 633.
BRENNAN, J., filed a dissenting opinion, in which STEWART,
MARSHALL, and POWELL, JJ., joined,
post, p.
450 U. S.
636.
Page 450 U. S. 623
JUSTICE BLACKMUN delivered the opinion of the Court.
Appellant San Diego Gas & Electric Company, a California
corporation, ask this Court to rule that a Sate must provide a
monetary remedy to a landowner whose property allegedly has been
"taken" by a regulatory ordinance claimed to violate the Just
Compensation Clause of the Fifth Amendment. [
Footnote 1] This question was left open last Term
in
Agins v. City of Tiburon, 447 U.
S. 255,
447 U. S. 263
(1980). Because we conclude that we lack jurisdiction in this case,
we again must leave the issue undecided.
Page 450 U. S. 624
Appellant owns a 412-acre parcel of land in Sorrento Valley, an
area in the northwest part of the city of San Diego, Cal. It
assembled and acquired the acreage in 1966, at a cost of about
$1,770,000, as a possible site for a nuclear power plant to be
constructed in the 1980's. Approximately 214 acres of the parcel
lie within or near an estuary known as the Los Penasquitos Lagoon.
[
Footnote 2] These acres are
low-lying land which serves as a drainage basin for three river
systems. About a third of the land is subject to tidal action from
the nearby Pacific Ocean. The 214 acres are unimproved, except for
sewer and utility lines. [
Footnote
3]
When appellant acquired the 214 acres, most of the land was
zoned either for industrial use or in an agricultural "holding"
category. [
Footnote 4] The
city's master plan, adopted in 1967, designated nearly all the area
for industrial use.
Several events that occurred in 1973 gave rise to this
litigation. First, the San Diego City Council rezoned parts of the
property. It changed 39 acres from industrial to agricultural, and
increased the minimum lot size in some of the agricultural areas
from 1 acre to 10 acres. The Council
Page 450 U. S. 625
recommended, however, that 50 acres of the agricultural land be
considered for industrial development upon the submission of
specific development plans.
Second, the city, pursuant to Cal.Gov't Code Ann. § 65563
(West Supp. 1981), established an open-space plan. This statute
required each California city and county to adopt a plan "for the
comprehensive and long-range preservation and conservation of
open-space land within its jurisdiction." The plan adopted by the
city of San Diego placed appellant's property among the city's
open-space areas, which it defined as
"any urban land or water surface that is essentially open or
natural in character, and which has appreciable utility for park
and recreation purposes, conservation of land, water or other
natural resources or historic or scenic purposes."
App. 159. The plan acknowledged appellant's intention to
construct a nuclear power plant on the property, stating that such
a plant would not necessarily be incompatible with the open-space
designation. [
Footnote 5] The
plan proposed, however, that the city acquire the property to
preserve it as parkland.
Third, the City Council proposed a bond issue in order to obtain
funds to acquire open-space lands. The Council identified
appellant's land as among those properties to be acquired with the
proceeds of the bond issue. The proposition, however, failed to win
the voters' approval. The open-space plan has remained in effect,
but the city has made no attempt to acquire appellant's
property.
On August 15, 1974, appellant instituted this action in the
Superior Court for the County of San Diego against the city and a
number of its officials. It alleged that the city had
Page 450 U. S. 626
taken its property without just compensation, in violation of
the Constitutions of the United States and California. Appellant's
theory was that the city had deprived it of the entire beneficial
use of the property through the rezoning and the adoption of the
open-space plan. It alleged that the city followed a policy of
refusing to approve any development that was inconsistent with the
plan, and that the only beneficial use of the property was as an
industrial park, a use that would be inconsistent with the
open-space designation. [
Footnote
6] The city disputed this allegation, arguing that appellant
had never asked its approval for any development plan for the
property. It also contended that, as a charter city, it was not
bound by the open-space plan, even if appellant's proposed
development would be inconsistent with the plan, citing Cal.Gov't
Code Ann. §§ 65700, 65803 (West 1966 and Supp. 1981).
Appellant sought damages of $6,150,000 in inverse condemnation,
as well as mandamus and declaratory relief. Prior to trial, the
court dismissed the mandamus claim, holding that "mandamus is not
the proper remedy to challenge the validity of a legislative act."
Clerk's Tr. 42. After a nonjury trial on the issue of liability,
the court granted judgment for appellant, finding that:
"29. [Due to the] continuing course of conduct of the defendant
City culminating in June of 1973, and, in particular, the
designation of substantially all of the subject property as open
space . . . , plaintiff has been deprived of all practical,
beneficial or economic use of the property designated as open
space, and has further suffered severance damage with respect to
the balance of the subject property. "
Page 450 U. S. 627
"30. No development could proceed on the property designated as
open space unless it was consistent with open space. In light of
the particular characteristics of the said property, there exists
no practical, beneficial or economic use of the said property
designated as open space which is consistent with open space."
"31. Since June 19, 1973, the property designated as open space
has been devoted to use by the public as open space."
"32. Following the actions of the defendant City in June of
1973, it would have been totally impractical and futile for
plaintiff to have applied to defendant City for the approval of any
development of the property designated as open space or the
remainder of the subject property."
"33. Since the actions of the defendant City in June of 1973,
the property designated as open space and the remainder of the
larger parcel is unmarketable in that no other person would be
willing to purchase the property, and the property has, at most, a
nominal fair market value."
App. 41-42.
The court concluded that these findings established that the
city had taken the property and that just compensation was required
by the Constitutions of both the United States and California. A
subsequent jury trial on the question of damages resulted in a
judgment for appellant for over $3 million.
On appeal, the California Court of Appeal, Fourth District,
affirmed. App. to Juris.Statement 1;
see 146 Cal. Rptr.
103 (1978). It held that neither a change in zoning nor the
adoption of an open-space plan automatically entitled a property
owner to compensation for any resulting diminution in the value of
the property. In this case, however, the record revealed that the
city followed the policy of enacting and enforcing zoning ordinance
that were consistent with its
Page 450 U. S. 628
open-space plan. The Court of Appeal also found that the
evidence supported the conclusion that industrial use was the only
feasible use for the property, and that the city would have denied
any application for industrial development because it would be
incompatible with the open-space designation. Appellant's failure
to present a plan for developing the property therefore did not
preclude an award of damages in its favor. The Court of Appeal,
with one judge dissenting, denied the city's petition for
rehearing.
See 146 Cal. Rptr. at 118.
The Supreme Court of California, however, on July 13, 1978,
granted the city's petition for a hearing. This action
automatically vacated the Court of Appeal's decision, depriving it
of all effect.
Knouse v. Nimocks, 8 Cal. 2d 482,
483-484,
66 P.2d 43
(1937).
See also Cal.Rules of Court 976(d) and 977 (West
1981). Before the hearing, the Supreme Court, in June, 1979,
retransferred the case to the Court of Appeal for reconsideration
in light of the intervening decision in
Agins v. City of
Tiburon, 24 Cal. 3d
266, 598 P.2d 25 (1979),
aff'd, 447 U. S. 447 U.S.
255 (1980). [
Footnote 7] The
California court, in
Agins, held that an owner who is
deprived of substantially all beneficial use of his land by a
zoning regulation is not entitled to an award of damages in an
inverse condemnation proceeding. Rather, his exclusive remedy is
invalidation of the regulation in an action for mandamus or
declaratory relief. [
Footnote
8]
Agins also
Page 450 U. S. 629
held that the plaintiffs in that case were not entitled to such
relief because the zoning ordinance at issue permitted the building
of up to five residences on their property. Therefore, the court
held, it did not deprive those plaintiffs of substantially all
reasonable use of their land. [
Footnote 9]
When the present case was retransferred, the Court of Appeal, in
an unpublished opinion, reversed the judgment of the Superior
Court. App. 63. It relied upon the California decision in
Agins and held that appellant could not recover
compensation through inverse condemnation. It, however,
Page 450 U. S. 630
did not invalidate either the zoning ordinance or the open-space
plan. Instead, it held that factual disputes precluded such relief
on the present state of the record:
"[Appellant] complains it has been denied all use of its land
which is zoned for agriculture and manufacturing but lies within
the open space area of the general plan. It has not made
application to use or improve the property, nor has it asked [the]
City what development might be permitted. Even assuming no use is
acceptable to the City, [appellant's] complaint deals with the
alleged overzealous use of the police power by [the] City. Its
remedy is mandamus or declaratory relief, not inverse condemnation.
[Appellant] did in its complaint seek these remedies, asserting
that [the] City had arbitrarily exercised its police power by
enacting an unconstitutional zoning law and general plan element or
by applying the zoning and general plan unconstitutionally.
However, on the present record, these are disputed fact issues not
covered by the trial court in its findings and conclusions. They
can be dealt with anew should [appellant] elect to retry the
case."
App. 66.
The Supreme Court of California denied further review. App. to
Juris.Statement I-1. Appellant appealed to this Court, arguing that
the Fifth and Fourteenth Amendments require that compensation be
paid whenever private property is taken for public use. Appellant
takes issue with the California Supreme Court's holding in
Agins that its remedy is limited to invalidation of the
ordinance in a proceeding for mandamus or declaratory relief. We
postponed consideration of our jurisdiction until the hearing on
the merits. 447 U.S. 919 (1980). We now conclude that the appeal
must be dismissed because of the absence of a final judgment.
[
Footnote 10]
Page 450 U. S. 631
II
In
Agins, the California Supreme Court held that
mandamus or declaratory relief is available whenever a zoning
regulation is claimed to effect an uncompensated taking in
violation of the Fifth and Fourteenth Amendments. The Court of
Appeal's failure, therefore, to award such relief in this case
clearly indicates its conclusion that the record does not support
appellant's claim that an uncompensated taking has occurred.
[
Footnote 11] Because the
court found that the record presented "disputed fact issues not
covered by the trial court in its findings and conclusions," App.
66, [
Footnote 12] it held
that mandamus
Page 450 U. S. 632
and declaratory relief would be available "should [appellant]
elect to retry the case."
Ibid. While this phrase appears
to us to be somewhat ambiguous, we read it as meaning that
appellant is to have an opportunity on remand to convince the trial
court to resolve the disputed issues in its favor. We do not
believe that the Court of Appeal was holding that judgment must be
entered for the city. It certainly did not so direct. This
indicates that appellant is free to pursue its quest for relief in
the Superior Court. The logical course of action for an appellate
court that finds unresolved factual disputes in the record is to
remand the case for the resolution of those disputes. We therefore
conclude that the Court of Appeal's decision contemplates further
proceedings in the trial court. [
Footnote 13]
III
Ever since this Court's decision in
Grays Harbor Co. v.
Coats-Fordney Co., 243 U. S. 251
(1917), a state court's
Page 450 U. S. 633
holding that private property has been taken in violation of the
Fifth and Fourteenth Amendments and that further proceedings are
necessary to determine the compensation that must be paid has been
regarded as a classic example of a decision not reviewable in this
Court because it is not "final." In such a case, "the remaining
litigation may raise other federal questions that may later come
here."
Radio Station WOW, Inc. v. Johnson, 326 U.
S. 120,
326 U. S. 127
(1945). This is because
"the federal constitutional question embraces not only a taking,
but a taking on payment of just compensation. A state judgment is
not final unless it covers both aspects of that integral
problem."
North Dakota Board of Pharmacy v. Snyder's Drug Stores,
Inc., 414 U. S. 156,
414 U. S. 163
(1973).
This case presents the reverse aspect of that situation. The
Court of Appeal has decided that monetary compensation is not an
appropriate remedy for any taking of appellant's property that may
have occurred, but it has not decided whether any other remedy is
available, because it has not decided whether any taking in fact
has occurred. Thus, however we might rule with respect to the Court
of Appeal's decision that appellant is not entitled to a monetary
remedy -- and we are frank to say that the federal constitutional
aspects of that issue are not to be cast aside lightly -- further
proceedings are necessary to resolve the federal question whether
there has been a taking at all. The court's decision, therefore, is
not final, and we are without jurisdiction to review it.
Because § 1257 permits us to review only "[f]inal judgments
or decrees" of a state court, the appeal must be, and is,
dismissed.
It is so ordered.
[
Footnote 1]
"[N]or shall private property be taken for public use, without
just compensation."
The Fifth Amendment's prohibition applies against the States
through the Fourteenth Amendment.
Chicago, B. & Q. R. Co.
v. Chicago, 166 U. S. 226,
166 U. S. 239
(1897);
Webb's Fabulous Pharmacies, Inc. v. Beckwith,
449 U. S. 155,
449 U. S. 160
(1980).
[
Footnote 2]
Appellant claims that only the 214 acres have been taken by the
city of San Diego. Throughout this opinion, "the property" and any
similar phrase refers to this smaller portion of the 412 acres
owned by appellant.
[
Footnote 3]
Apparently other portions of the 412-acre parcel have been
developed to some extent, and some parts sold.
[
Footnote 4]
The city had classified 116 acres as M-1A (industrial) and 112
acres as A-1-1 (agricultural). The latter classification was
reserved for "undeveloped areas not yet ready for urbanization and
awaiting development, those areas where agricultural usage may be
reasonably expected to persist or areas designated as open space in
the general plan." San Diego Ordinance No. 8706 (New Series)
101.0404 (1962), reproduced in Brief for Appellees C-1. A small
amount of the land was zoned for residential development. (These
figures total more than 214 acres. When the California courts
described the zoning of the property, they did not distinguish
between the 214 acres that allegedly were taken and 15 other acres
that the trial court found had been damaged by the severance.)
[
Footnote 5]
The portion of the plan that discussed the Los Penasquitos
Lagoon area stated:
"[T]he San Diego Gas & Electric Company has a large
(240-acre) ownership which it intends to utilize as the location of
a nuclear power plant sometime in the 1980's. . . . [S]uch a
facility, if sensitively designed and sited, could be compatible
with open-space preservation in this subsystem; however, a number
of approvals and clearances must be obtained prior to the plant's
construction's becoming a reality."
App. 160.
[
Footnote 6]
Appellant abandoned its plan to construct a nuclear power plant
after the discovery of an off-shore fault that rendered the project
unfeasible. Tr. 73. Its witnesses acknowledged that only about 150
acres were usable as an industrial park, and that 1.25 million
cubic yards of fill would be needed to undertake such a
development.
Id. at 711, 906.
[
Footnote 7]
The retransfer order cited
Agins as
23 Cal. 3d
605. App. to Juris.Statement 1. The courts opinion, however,
later was modified and reprinted with the citations noted in the
text.
[
Footnote 8]
Contrary to the dissent's argument, the California Supreme
Court's
Agins decision did not hold that a zoning
ordinance never could be a "taking," and thus never could violate
the Just Compensation Clause. It simply limited the remedy
available for any such violation to nonmonetary relief. Immediately
following the passage quoted by the dissent,
post at
450 U. S.
640-641, that court stated:
"This conclusion is supported by a leading authority (1 Nichols,
Eminent Domain (3d rev. ed.1978) Nature and Origin of Power, §
1.42 (1), pp. l-116 21), who expresses his view in this manner:
'Not only is an actual physical appropriation, under an attempted
exercise of the police power, in practical effect an exercise of
the power of eminent domain, but if regulative legislation is so
unreasonable or arbitrary as virtually to deprive a person of the
complete use and enjoyment of his property, it comes within the
purview of the law of eminent domain.
Such legislation is an
invalid exercise of the police power, since it is clearly
unreasonable and arbitrary. It is invalid as an exercise of the
power of eminent domain, since no provision is made for
compensation.'"
24 Cal. 3d at 272, 598 P.2d at 28. (Emphasis added by the
California court.)
See also id. at 273-274, 598 P.2d at
29:
"While acknowledging the power of government to preserve and
improve the quality of life for its citizens through the regulation
of the use of private land, we cannot countenance the service of
this legitimate need through the uncompensated destruction of
private property rights."
And
see id. at 276, 598 P.2d at 30:
"'Determining that a particular land use control requires
compensation is an appropriate function of the judiciary. . . . But
it seems a usurpation of legislative power for a court to force
compensation,'"
quoting Note, Inverse Condemnation: Its Availability in
Challenging the Validity of a Zoning Ordinance, 26 Stan.L.Rev.
1439, 1451 (1974).
When
Agins was appealed here, we unanimously agreed
that
"[t]he State Supreme Court determined that the appellants could
not recover damages for inverse condemnation even if the zoning
ordinances constituted a taking. The court stated that only
mandamus and declaratory judgment are remedies available to such a
landowner."
447 U.S. at
447 U. S. 263.
We believe, therefore, that it is the dissent that "fundamentally
mischaracterizes,"
post at
450 U. S. 637,
the California ruling.
[
Footnote 9]
This Court's affirmance of the California court's judgment in
Agins was on the ground that there was no taking. 447 U.S.
at
447 U. S.
263.
[
Footnote 10]
Title 28 U.S.C. § 1257 grants jurisdiction to this Court to
review only "[f]inal judgments or decrees rendered by the highest
court of a State in which a decision could be had." Because the
finality requirement of § 1257 applies to this Court's review
of state court judgments both by appeal and by certiorari, we do
not address the city's contention that, inasmuch as the Court of
Appeal did not uphold any statute against a constitutional
challenge, this is not a proper appeal under § 1257(2).
[
Footnote 11]
We recognize that this is inconsistent with the Court of
Appeal's first ruling in this case, but, as has been noted, that
decision was deprived of all effect by the Supreme Court's order
granting a hearing.
The dissent's statement that the Court of Appeal "concluded as a
matter of law that no Fifth Amendment
taking' had occurred,"
post at 450 U. S. 645,
is premised upon its misreading of the Agins opinion.
See n 8,
supra. The Court of Appeal simply refused to award
appellant the only remedy held to be available for a "taking"
because there were disputed factual issues to be resolved.
[
Footnote 12]
Although its initial opinion affirmed the trial court's finding
that any application by appellant to develop the property would
have been rejected, it is clear that the Court of Appeal
reconsidered that finding in the light of
Agins. In
Agins, the California Supreme Court held that landowners
who had not "made application to use or improve their property"
following the passage of a zoning ordinance, and had not "sought or
received any definitive statement as to how many dwelling units
they could build on their land," 24 Cal. 3d at 271, 598 P.2d at 27,
had not shown that the ordinance took their property without just
compensation, since it permitted up to five residences to be built
on the plaintiffs' property. We agreed that no violation of the
Fifth and Fourteenth Amendments had been shown, since the
landowners were "free to pursue their reasonable investment
expectations by submitting a development plan to local officials."
447 U.S. at
447 U. S.
262.
In this case, city witnesses testified that some development of
appellant's property would be consistent with the open-space plan.
App. 134-135, 140, 149-150. Indeed, the plan holds out the
possibility that a nuclear power plant could be built on the site,
see n 5,
supra, and the witnesses testified that other forms of
industrial development might be permitted as well. App. 140,
149-150. The trial court's opinion does not explain why it
concluded in light of this evidence that any attempt to obtain the
city's permission for development of the property would be
futile.
When the Court of Appeal reconsidered its decision in light of
Agins, we believe that its reference to "disputed fact
issues not covered by the trial court in its findings," App. 66,
referred to this controversy. Its opinion states that damages would
be unavailable "[e]ven assuming no use is acceptable to the City."
Ibid. The Court of Appeal declined to award mandamus or
declaratory relief because it could not make this "assumption" in
light of the factual disputes.
[
Footnote 13]
Appellant's counsel shares this view:
"QUESTION: Mr. Goebel, your second and third cause of action in
your complaint were petitions for mandate, and the relief prayed in
paragraph 3 of your complaint was that the Court order the City of
San Diego to set aside the rezoning and to set aside the adoption
of the open space element of its general plan. As I understand it,
on remand, the trial court may grant that relief,
theoretically."
"MR. GOEBEL: That's correct, Your Honor."
Tr. of Oral Arg. 18.
JUSTICE REHNQUIST, concurring.
If I were satisfied that this appeal was from a "final judgment
or decree" of the California Court of Appeal, as that term is used
in 28 U.S.C. § 1257, I would have little difficulty in
agreeing with much of what is said in the dissenting
Page 450 U. S. 634
opinion of JUSTICE BRENNAN. Indeed, the Court's opinion notes
that "the federal constitutional aspects of that issue are not to
be cast aside lightly. . . ."
Ante at
450 U. S.
633.
But "the judicial Power of the United States" which is vested in
this Court by Art. III of the Constitution is divided by that
article into original jurisdiction and appellate jurisdiction. With
respect to appellate jurisdiction, Art. III provides:
"In all the other Cases before mentioned, the supreme Court
shall have appellate Jurisdiction, both as to Law and Fact, with
such Exceptions, and under such Regulations as the Congress shall
make."
The particular "regulation" of our appellate jurisdiction here
relevant is found in 28 U.S.C. § 1257, which provides:
"Final judgments or decrees rendered by the highest court of a
State in which a decision could be had, may be reviewed by the
Supreme Court as follows:"
"
* * * *"
"(2) By appeal, where is drawn in question the validity of a
statute of any state on the ground of its being repugnant to the
Constitution, treaties or laws of the United States, and the
decision is in favor of its validity."
The principal case construing § 1257 is
Cox
Broadcasting Corp. v. Cohn, 420 U. S. 469
(1975), from which I dissented on the issue of finality. In
Cox, the Court said:
"The Court has noted that '[c]onsiderations of English usage as
well as those of judicial policy' would justify an interpretation
of the final judgment rule to preclude review 'where anything
further remains to be determined by a State court, no matter how
dissociated from the only federal issue that has finally been
adjudicated by the highest court of the State.'
Radio Station
WOW, Inc. v. Johnson, 326 U. S. 120,
326 U. S.
124 (1945). But
Page 450 U. S. 635
the Court there observed that the rule had not been administered
in such a mechanical fashion, and that there were circumstances in
which there had been 'a departure from this requirement of finality
for federal appellate jurisdiction.'"
Ibid.
"These circumstances were said to be 'very few,'
ibid.;
but as the cases have unfolded, the Court has recurringly
encountered situations in which the highest court of a State has
finally determined the federal issue present in a particular case,
but in which there are further proceedings in the lower state
courts to come. There are now at least four categories of such
cases in which the Court has treated the decision of the federal
issue as a final judgment for the purposes of 28 U.S.C. § 1257
and has taken jurisdiction without awaiting the completion of the
additional proceedings anticipated in the lower state courts."
Id. at
420 U. S.
477.
In
Cox, the Court stated that the fourth category of
cases which fell within the ambit of § 1257 finality were
"those situations where the federal issue has been finally
decided in the state courts with further proceedings pending in
which the party seeking review here might prevail on the merits on
nonfederal grounds, thus rendering unnecessary review of the
federal issue by this Court, and where reversal of the state court
on the federal issue would be preclusive of any further litigation
on the relevant cause of action, rather than merely controlling the
nature and character of, or determining the admissibility of
evidence in, the state proceedings still to come. In these
circumstances, if a refusal to immediately review the state court
decision might seriously erode federal policy, the Court has
entertained and decided the federal issue, which itself has been
finally determined by the state courts for purposes of the state
litigation."
Id. at
420 U. S.
482-483.
I am not sure under how many of the four exceptions of
Page 450 U. S. 636
Cox JUSTICE BRENNAN may view this case as falling, but
it seems to me that this case illustrates the problems which arise
from a less than literal reading of the language "final judgment or
decree." The procedural history of this case in the state courts is
anomalous, to say the least, and it has resulted in a majority of
this Court concluding that the California courts have not decided
whether any taking in fact has occurred,
ante at
450 U. S. 631,
n. 11, and JUSTICE BRENNAN concluding that the Court of Appeal has
held that the city of San Diego's course of conduct could not
effect a "taking" of appellant's property.
Post at
450 U. S. 661,
n. 27. Having read the characterization of the California court
proceedings in the opinion of this Court and in the opinion of
JUSTICE BRENNAN as carefully as I can, I can only conclude that
they disagree as to what issues remain open on remand from the
State Court of Appeal to the Superior Court, but agree that such
proceedings may occur.
Under these circumstances, it seems to me to be entirely in
accord with the language of 28 U.S.C. § 1257, though perhaps
not entirely in accord with the above-quoted portion of the opinion
in
Cox Broadcasting Corp. v. Cohn, supra, to conclude that
this appeal is not from a "final judgment or decree." I would feel
much better able to formulate federal constitutional principles of
damages for land use regulation which amounts to a taking of land
under the Eminent Domain Clause of the Fifth Amendment if I knew
what disposition the California courts finally made of this case.
Because I do not, and cannot, at this stage of the litigation, know
that, I join the opinion of the Court today in which the appeal is
dismissed for want of a final judgment.
JUSTICE BRENNAN, with whom JUSTICE STEWART, JUSTICE MARSHALL,
and JUSTICE POWELL join, dissenting.
Title 28 U.S.C. § 1257 limits this Court's jurisdiction to
review judgments of state courts to "[f]inal judgments or
Page 450 U. S. 637
decrees rendered by the highest court of a State in which a
decision could be had." The Court today dismisses this appeal on
the ground that the Court of Appeal of California, Fourth District,
failed to decide the federal question whether a "taking" of
appellant's property had occurred, and therefore had not entered a
final judgment or decree on that question appealable under §
1257. Because the Court's conclusion fundamentally mischaracterizes
the holding and judgment of the Court of Appeal, I respectfully
dissent from the Court's dismissal and reach the merits of
appellant's claim.
I
In 1966, appellant assembled a 412-acre parcel of land as a
potential site for a nuclear power plant. At that time,
approximately 116 acres of the property were zoned for industrial
use, with most of the balance zoned in an agricultural holding
category. In 1967, appellee city of San Diego adopted its general
plan designating most of appellant's property for industrial use.
In 1973, the city took three critical actions which, together, form
the predicate of the instant litigation: it down-zoned some of
appellant's property from industrial to agricultural; it
incorporated a new open-space element in its plan that designated
about 233 acres of appellant's land for open-space use; [
Footnote 2/1] and it prepared a report
mapping appellant's property for purchase by the city for
open-space use, contingent on passage of a bond issue. App. 49.
Appellant filed suit in California Superior Court alleging,
inter alia, a "taking" of its property by "inverse
condemnation" in violation of the United States and California
Constitutions, [
Footnote 2/2]
Page 450 U. S. 638
and seeking compensation of over $6 million. After a nonjury
trial on liability, the court held that appellee city had taken a
portion of appellant's property without just compensation, thereby
violating the United States and California Constitutions.
Id. at 42-43. A subsequent jury trial on damages resulted
in a judgment of over $3 million, plus interest as of the date of
the "taking," and appraisal, engineering, and attorney's fees.
Id. at 46.
The California Court of Appeal, Fourth District, affirmed,
holding that there was "substantial evidence to support the court's
conclusion [that] there was inverse condemnation."
Id. at
54. The California Supreme Court granted the city's petition for a
hearing, App. to Juris.Statement 1, but later transferred the case
back to the Court of Appeal for reconsideration in light of
Agins v. City of Tiburon, 24 Cal. 3d
266, 598 P.2d 25 (1979),
aff'd, 447 U.
S. 255 (1980). App. to Juris.Statement E-1. Expressly
relying on
Agins, the
Page 450 U. S. 639
Court of Appeal this time reversed the Superior Court,
holding:
"Unlike the person whose property is taken in eminent domain,
the individual who is deprived of his property due to the state's
exercise of its police power is not entitled to compensation. . . .
A local entity's arbitrary unconstitutional exercise of the police
power which deprives the owner of the beneficial use of his land
does not require compensation; rather the party's remedy is
administrative mandamus. . . ."
App. 65-66. The California Supreme Court denied further review.
App. to Juris.Statement I-1.
II
The Court today holds that the judgment below is not "final"
within the meaning of 28 U.S.C. § 1257 because, although the
California Court of Appeal "has decided that monetary compensation
is not an appropriate remedy for any taking of appellant's property
that may have occurred, . . . it has not decided whether any other
remedy is available because
it has not decided whether any
taking in fact has occurred."
Ante at
450 U. S. 633
(emphasis added). With all due respect, this conclusion misreads
the holding of the Court of Appeal. In faithful compliance with the
instructions of the California Supreme Court's opinion in
Agins
v. City of Tiburon, supra, the Court of Appeal held that the
city's exercise of its police power, however arbitrary or
excessive, could not,
as a matter of federal constitutional
law, constitute a "taking" under the Fifth and Fourteenth
Amendments, and therefore that there was no "taking" without just
compensation in the instant case.
Examination of the Court of Appeal's opinion and the California
Supreme Court's
Agins opinion confirms this reading. As
indicated above, the Court of Appeal noted that,
"[u]nlike the person whose property is
taken in eminent
domain, the individual who is
deprived of his property
due
Page 450 U. S. 640
to the state's exercise of its police power is not entitled to
compensation."
App. 65-66 (emphasis added). Under the Court of Appeal's view,
there can be no Fifth Amendment "taking" outside of the eminent
domain context. Thus, a
"local entity's arbitrary unconstitutional exercise of the
police power which deprives the owner of the beneficial use of his
land does not require compensation; rather, the party's remedy is
administrative mandamus."
Id. at 66 (emphasis added). [
Footnote 2/3]
The Court of Appeal's analysis was required by the California
Supreme Court's opinion in
Agins v. City of Tiburon,
supra. There the court stated:
"Plaintiffs contend that the limitations on the use of their
land imposed by the ordinance constitute an unconstitutional
'taking of [plaintiff's] property without payment of just
compensation' for which an action in inverse condemnation will lie.
Inherent in the contention is the argument that a local
entity's exercise of its police power which, in a given case, may
exceed constitutional limits is equivalent to the lawful taking of
property by eminent domain, thereby necessitating the payment of
compensation. We are unable to accept this argument, believing
the preferable view to be that, while such governmental action is
invalid because of its excess,
Page 450 U. S. 641
remedy by way of damages in eminent domain is not thereby made
available."
24 Cal. 3d at 272, 598 P.2d at 28 (brackets in original)
(emphasis added). [
Footnote 2/4] A
landowner may not
"elect to sue in inverse condemnation, and thereby
transmute
an excessive use of the police power
Page 450 U. S. 642
into a lawful taking for which compensation in eminent
domain must be paid."
Id. at 273, 598 P.2d at 28 (emphasis added). [
Footnote 2/5]
This Court therefore errs, I respectfully submit, when it
concludes that the Court of Appeal "has not decided whether any
taking in fact has occurred."
Ante at
450 U. S. 633.
For whatever the merits of the California courts' substantive
rulings on the federal constitutional issue,
see infra at
450 U. S.
646-661, it is clear that the California Supreme Court
has held that California courts in a challenge, as here, to a
police power regulation, are barred from holding that a Fifth
Amendment "\taking\" requiring just compensation has occurred.
[
Footnote 2/6] No set of
factual
Page 450 U. S. 643
circumstances, no matter how severe, can "transmute" an
arbitrary exercise of the city's police power into a Fifth
Amendment "taking."
Agins v. City of Tiburon, supra at
273, 598 P.2d at 28. This Court's focus on the last full paragraph
of the Court of Appeal decision,
ante at
450 U. S. 630,
to support its conclusion is misplaced, because that paragraph
merely raises the possibility that appellant may "elect to retry
the case" on a different constitutional theory -- an allegation of
"overzealous use of the police power," App. 66. Whatever factual
findings of the trial court might be relevant to that inquiry, they
would have no bearing on a Fifth Amendment "taking" claim.
[
Footnote 2/7] Therefore, the
Court's suggestion
Page 450 U. S. 644
that "further proceedings are necessary to resolve the federal
question whether there has been a taking at all" is plainly wrong.
Ante at
450 U. S. 633.
[
Footnote 2/8]
The trial court has held expressly that the
"actions of defendant City . . . taken as a whole, constitute a
taking of the portion of plaintiff's property designated
as open space without due process of law and just compensation
within the meaning of the California and United States
constitutions. "
Page 450 U. S. 645
App. 42-43 (emphasis added). The Court of Appeal reversed this
holding and concluded as a matter of law that no Fifth Amendment
"taking" had occurred. This is indistinguishable, then, from a
dismissal of appellant's case for legal insufficiency. In any such
dismissal, factual questions are necessarily left unresolved. But
when a litigant is denied relief as a matter of law, the judgment
is necessarily final within the meaning of § 1257.
See,
e.g., Allenberg Cotton Co. v. Pittman, 419 U. S.
20,
419 U. S. 24-25
(1974);
Windward Shipping v. American Radio Assn.,
415 U. S. 104,
415 U. S. 108
(1974). [
Footnote 2/9]
Page 450 U. S. 646
Since the Court of Appeal held that no Fifth Amendment "taking"
had occurred, no just compensation was required. This is a classic
final judgment.
See North Dakota Pharmacy Bd. v. Snyder's Drug
Stores, Inc., 414 U. S. 156,
414 U. S. 163
(1973);
Grays Harbor Logging Co. v. Coats-Fordney Logging
Co., 243 U. S. 251,
243 U. S. 256
(1917). I therefore dissent from the dismissal of this appeal, and
address the merits of the question presented. [
Footnote 2/10]
III
The Just Compensation Clause of the Fifth Amendment, made
applicable to the States through the Fourteenth Amendment,
Webb's Fabulous Pharmacies, Inc. v. Beckwith, 449 U.
S. 155,
449 U. S. 160
(1980);
see Chicago, B. & Q. R. Co. v. Chicago,
166 U. S. 226,
166 U. S. 239,
166 U. S. 241
(1897), states in clear and unequivocal terms: "[N]or shall private
property be taken for public use, without just compensation." The
question presented on the merits in this case is whether a
government entity must pay just compensation when a police power
regulation has effected a "taking" of "private property" for
"public use" within the meaning of that constitutional provision.
[
Footnote 2/11] Implicit in this
question is the corollary issue
Page 450 U. S. 647
whether a government entity's exercise of its regulatory police
power can ever effect a "taking" within the meaning of the Just
Compensation Clause. [
Footnote
2/12]
A
As explained in
450 U. S.
supra, the California courts have held that a city's
exercise of its police power, however arbitrary or excessive,
cannot, as a matter of federal constitutional law, constitute a
"taking" within the meaning of the Fifth Amendment. This holding
flatly contradicts clear precedents of this Court. For example, in
last Term's
Agins v. City of Tiburon, 447 U.
S. 255,
447 U. S. 260
(1980), the Court noted that
"[t]he application of a general zoning law to particular
property effects a taking if the ordinance does not substantially
advance legitimate state interests . . . or [if it] denies an owner
economically viable use of his land. . . . [
Footnote 2/13]"
Applying that principle, the Court examined whether the Tiburon
zoning
Page 450 U. S. 648
ordinance effected a "taking" of the Agins' property, concluding
that it did not have such an effect.
Id. at
447 U. S.
262-263.
In
Penn Central Transp. Co. v. New York City,
438 U. S. 104
(1978), the Court analyzed
"whether the restrictions imposed by New York City's [Landmarks
Preservation] law upon appellants' exploitation of the [Grand
Central] Terminal site effect a 'taking' of appellants' property .
. . within the meaning of the Fifth Amendment."
Id. at
438 U. S. 122.
Canvassing the appropriate inquiries necessary to determine whether
a particular restriction effected a "taking," the Court identified
the "economic impact of the regulation on the claimant" and the
"character of the governmental action" as particularly relevant
considerations.
Id. at
438 U. S. 124;
see id. at
438 U. S.
130-131. Although the Court ultimately concluded that
application of New York's Landmarks Law did not effect a "taking"
of the railroad property, it did so only after deciding that
"[t]he restrictions imposed are substantially related to the
promotion of the general welfare, and not only permit reasonable
beneficial use of the landmark site, but also afford appellants
opportunities further to enhance not only the Terminal site proper,
but also other properties."
Id. at
438 U. S. 138
(footnote omitted).
The constitutionality of a local ordinance regulating dredging
and pit excavating on a property was addressed in
Goldblatt v.
Town of Hempstead, 369 U. S. 590
(1962), After observing that an otherwise valid zoning ordinance
that deprives the owner of the most beneficial use of his property
would not be unconstitutional,
id. at
369 U. S. 592,
the Court cautioned:
"That is not to say, however, that governmental action in the
form of regulation cannot be so onerous as to constitute a taking
which constitutionally requires compensation,"
id. at
369 U. S. 594.
On many other occasions, the Court has recognized in passing the
vitality of the general principle that a regulation can effect a
Fifth Amendment "taking."
See, e.g., PruneYard Shopping Center
v. Robins, 447 U. S. 74,
447 U. S. 83
(1980);
Kaiser Aetna v. United States, 444 U.
S. 164,
Page 450 U. S. 649
444 U. S. 174
(1979);
Andrus v. Allard, 444 U. S.
51,
444 U. S. 65-66
(1979);
United States v. Central Eureka Mining Co.,
357 U. S. 155,
357 U. S. 168
(1958).
The principle applied in all these cases has it source in
Justice Holmes' opinion for the Court in
Pennsylvania Coal Co.
v. Mahon, 260 U. S. 393,
260 U. S. 415
(1922), in which he stated:
"The general rule, at least, is that while property may be
regulated to a certain extent, if regulation goes too far, it will
be recognized as a taking. [
Footnote
2/14]"
The determination of a "taking" is "a question of degree -- and
therefore cannot be disposed of by general propositions."
Id. at
260 U. S. 416.
[
Footnote 2/15] While
acknowledging
Page 450 U. S. 650
that
\ hardly could go on if to some extent values incident to
property could not be diminished without paying for every such
change in the general law,
id. at
260 U. S. 413,
the Court rejected the proposition that police power restrictions
could never be recognized as a Fifth Amendment "taking." [
Footnote 2/16] Indeed, the Court
concluded that the Pennsylvania statute forbidding the mining of
coal that would cause the subsidence of any house effected a
"taking."
Id. at
260 U. S.
414-416. [
Footnote
2/17]
Page 450 U. S. 651
B
Not only does the holding of the California Court of Appeal
contradict precedents of this Court, but it also fails to recognize
the essential similarity of regulatory "takings" and other
"takings." The typical "taking" occurs when a government entity
formally condemns a landowner's property and obtains the fee simple
pursuant to its sovereign power of eminent domain.
See, e.g.,
Berman v. Parker, 348 U. S. 26,
348 U. S. 33
(1954). However, a "taking" may also occur without a formal
condemnation proceeding or transfer of fee imple. This Court long
ago recognized that
"[i]t would be a very curious and unsatisfactory result if, in
construing [the Just Compensation Clause] . . . , it shall be held
that, if the government refrains from the absolute conversion of
real property to the uses of the public, it can destroy its value
entirely, can inflict irreparable and permanent injury to any
extent, can, in effect, subject it to total destruction without
making any compensation, because, in the narrowest sense of that
word, it is not
taken for the public use."
Pumpelly v. Green Bay
Co., 13 Wall. 166,
80 U. S.
177-178 (1872) (emphasis in original).
See Chicago,
R.I. & P. R. Co. v. United States, 284 U. S.
80,
284 U. S. 96
(1931).
In service of this principle, the Court frequently has found
"taking" outside the context of formal condemnation proceedings
Page 450 U. S. 652
or transfer of fee simple, in cases where government action
benefiting the public resulted in destruction of the use and
enjoyment of private property.
E.g.,Kaiser Aetna v. United
States, 444 U.S. at
444 U. S.
178-180 (navigational servitude allowing public right of
access);
United States v. Dickinson, 331 U.
S. 745,
331 U. S.
750-751 (1947) (property flooded because of Government
dam project);
United States v. Causby, 328 U.
S. 256,
328 U. S.
261-262 (1946) (frequent low altitude flights of Army
and Navy aircraft over property);
Pennsylvania Coal Co. v.
Mahon, 260 U.S. at
260 U. S.
414-416 (state regulation forbidding mining of
coal).
Police power regulations such as zoning ordinances and other
land use restrictions can destroy the use and enjoyment of property
in order to promote the public good just as effectively as formal
condemnation or physical invasion of property. [
Footnote 2/18] From the property owner's point of
view, it may matter little whether his land is condemned or
flooded, or whether it is restricted by regulation to use in its
natural state, if the effect in both cases is to deprive him of all
beneficial use of it. From the government's point of view, the
benefits flowing to the public from preservation of open space
through regulation may be equally great as from creating a wildlife
refuge through formal condemnation or increasing electricity
production through a dam project that floods private property.
Appellees implicitly posit the distinction that the government
intends to take property through condemnation or physical
invasion, whereas it does not through police power regulations.
See Brief for Appellees 43. But "the
Page 450 U. S. 653
Constitution measures a taking of property not by what a State
says, or by what it intends, but by what it
does."
Hughes v. Washington, 389 U. S. 290,
389 U. S. 298
(1967) (STEWART, J., concurring) (emphasis in original);
see
Davis v. Newton Coal Co., 267 U. S. 292,
267 U. S. 301
(1925). It is only logical, then, that government action other than
acquisition of title, occupancy, or physical invasion can be a
"taking," and therefore a
de facto exercise of the power
of eminent domain, where the effects completely deprive the owner
of all or most of his interest in the property.
United States
v. Dickinson, supra at
331 U. S. 748;
United States v. General Motors Corp., 323 U.
S. 373,
323 U. S. 378
(1945)
IV
Having determined that property may be "taken for public use" by
police power regulation within the meaning of the Just Compensation
Clause of the Fifth Amendment, the question remains whether a
government entity may constitutionally deny payment of just
compensation to the property owner and limit his remedy to mere
invalidation of the regulation instead. Appellant argues that it is
entitled to the full fair market value of the property. Appellees
argue that invalidation of the regulation is sufficient, without
payment of monetary compensation. In my view, once a court
establishes that there was a regulatory "taking," the Constitution
demands that the government entity pay just compensation for the
period commencing on the date the regulation first effected the
"taking," and ending on the date the government entity chooses to
rescind or otherwise amend [
Footnote
2/19] the regulation. [
Footnote
2/20] This interpretation, I believe, is supported
Page 450 U. S. 654
by the express words and purpose of the Just Compensation
Clause, as well as by cases of this Court construing it.
The language of the Fifth Amendment prohibits,the "tak[ing]" of
private property for "public use" without payment of "just
compensation." As soon as private property has been taken, whether
through formal condemnation proceedings, occupancy, physical
invasion, or regulation, the landowner has
already
suffered a constitutional violation, and "
the self-executing
character of the constitutional provision with respect to
compensation,'" United States v. Clarke, 445 U.
S. 253, 445 U. S. 257
(1980), quoting 6 J. Sackman, Nichols' Law of Eminent Domain §
25.41 (rev. 3d ed.1980), is triggered. This Court has consistently
recognized that the just compensation requirement in the Fifth
Amendment is not precatory: once there is a "taking," compensation
must be awarded. In Jacobs v. United States,
290 U. S. 13
(1933), for example, a Government dam project creating intermittent
overflows onto petitioners' property resulted in the "taking" of a
servitude. Petitioners brought suit against the Government to
recover just compensation for the partial "taking." Commenting on
the nature of the landowners' action, the Court observed:
"The suits were based on the right to recover just compensation
for property taken by the United States for public use in the
exercise of its power of eminent domain. That right was guaranteed
by the Constitution. The fact that condemnation proceedings were
not instituted and that the right was asserted in suits by the
owners did not change the essential nature of the claim. The form
of the remedy did not qualify the right. It rested upon the Fifth
Amendment. Statutory recognition was not necessary. A promise to
pay was not necessary.
Page 450 U. S. 655
Such a promise was implied because of the duty to pay imposed by
the Amendment."
Id. at
290 U. S. 16.
See also Griggs v. Allegheny County, 369 U. S.
84,
369 U. S. 84-85,
369 U. S. 88-90
(1962);
United States v. Causby, 328 U.S. at
328 U. S. 268.
[
Footnote 2/21] Invalidation
unaccompanied by payment of damages would hardly compensate the
landowner for any economic loss suffered during the time his
property was taken. [
Footnote
2/22]
Page 450 U. S. 656
Moreover, mere invalidation would fall far short of fulfilling
the fundamental purpose of the Just Compensation Clause. That
guarantee was designed to bar the government from forcing some
individuals to bear burdens which, in all fairness, should be borne
by the public as a whole.
Armstrong v. United States,
364 U. S. 40,
364 U. S. 49
(1960).
See Agins v. City of Tiburon, 447 U.S. at
447 U. S. 260;
Andrus v. Allard, 444 U.S. at
444 U. S. 65.
When one person is asked to assume more than a fair share of the
public burden, the payment of just compensation operates to
redistribute that economic cost from the individual to the public
at large.
See United States v. Willow River Co.,
324 U. S. 499,
324 U. S. 502
(1945);
Monongahela Navigation Co. v. United States,
148 U. S. 312,
148 U. S. 325
(1893). Because police power regulations must be substantially
related to the advancement of the public health, safety, morals, or
general welfare,
see Village of Euclid v. Ambler Realty
Co., 272 U. S. 365,
272 U. S. 395
(1926), it is axiomatic that the public receives a benefit while
the offending regulation is in effect. [
Footnote 2/23] If the regulation denies the private
property owner the use and enjoyment of his land and is found to
effect a "taking," it is only fair that the public bear the cost of
benefits received during the interim period between application of
the
Page 450 U. S. 657
regulation and.the government entity's rescision of it. The
payment of just compensation serves to place the landowner in the
same position monetarily as he would have occupied if his property
had not been taken.
Almota Farmers Elevator & Warehouse Co.
v. United States, 409 U. S. 470,
409 U. S.
473-474 (1973);
United States v. Reynolds,
397 U. S. 14,
397 U. S. 16
(1970).
The fact that a regulatory "taking" may be temporary, by virtue
of the government's power to rescind or amend the regulation, does
not make it any less of a constitutional "taking." Nothing in the
Just Compensation Clause suggests that "takings" must be permanent
and irrevocable. Nor does the temporary reversible quality of a
regulatory "taking" render compensation for the time of the
"taking" any less obligatory. This Court more than once has
recognized that temporary reversible "takings" should be analyzed
according to the same constitutional framework applied to permanent
irreversible "takings." For example, in
United States v.
Causby, supra at
328 U. S.
258-259, the United States had executed a lease to use
an airport for a one-year term
"ending June 30, 1942, with a provision for renewals until June
30, 1967, or six months after the end of the national emergency,
whichever [was] the earlier."
The Court held that the frequent low-level flights of Army and
Navy airplanes over respondents' chicken farm, located near the
airport, effected a "taking" of an easement on respondents'
property.
328 U.S. at
328 U. S.
266-267. However, because the flights could be
discontinued by the Government at any time, the Court remanded the
case to the Court of Claims:
"Since, on this record,
it is not clear whether the easement
taken is a permanent or a temporary one, it would be premature
for us to consider whether the amount of the award made by the
Court of Claims was proper."
Id. at
328 U. S. 268
(emphasis added). In other cases where the Government has taken
only temporary use of a building, land, or equipment, the Court has
not hesitated to determine the appropriate measure of just
compensation.
See Kimball Laundry Co. v. United
States, 338
Page 450 U. S. 658
U.S. 1,
338 U. S. 6
(1949);
United States v. Petty Motor Co., 327 U.
S. 372,
327 U. S.
374-375 (1946);
United States v. General Motors
Corp., 323 U.S. at
323 U. S.
374-375.
But contrary to appellant's claim that San Diego must formally
condemn its property and pay full fair market value, nothing in the
Just Compensation Clause empowers a court to order a government
entity to condemn the property and pay its full fair market value
where the "taking" already effected is temporary and reversible and
the government wants to halt the "taking." Just as the government
may cancel condemnation proceedings before passage of title,
see 6 J. Sackman, Nichols' Law of Eminent Domain §
24.113, p. 24-21 (rev. 3d ed.1980), or abandon property it has
temporarily occupied or invaded,
see United States v. Dow,
357 U. S. 17,
357 U. S. 26
(1958), it must have the same power to rescind a regulatory
"taking." As the Court has noted:
"[A]n abandonment does not prejudice the property owner. It
merely results in an alteration of the property interest taken --
from full ownership to one of temporary use and occupation. . . .
In such cases, compensation would be measured by the principles
normally governing the taking of a right to use property
temporarily."
Ibid.; see Danforth v. United States, 308 U.
S. 271,
308 U. S. 284
(1939).
The constitutional rule I propose requires that, once a court
finds that a police power regulation has effected a "taking," the
government entity must pay just compensation for the period
commencing on the date the regulation first effected the "taking"
and ending on the date the government entity chooses to rescind or
otherwise amend the regulation. [
Footnote 2/24] Ordinary principles determining the
proper measure of just compensation, regularly applied in cases of
permanent and
Page 450 U. S. 659
temporary "takings" involving formal condemnation proceedings,
occupations, and physical invasions, should provide guidance to the
courts in the award of compensation for a regulatory "taking." As a
starting point, the value of the property taken may be ascertained
as of the date of the "taking."
United States v. Clarke,
445 U.S. at
445 U. S. 258;
Almota Farmers Elevator & Warehouse Co. v. United States,
supra at
409 U. S. 474;
United States v. Miller, 317 U. S. 369,
317 U. S. 374
(1943);
Olson v. United States, 292 U.
S. 246,
292 U. S. 255
(1934). The government must inform the court of its intentions
vis-a-vis the regulation with sufficient clarity to guarantee a
correct assessment of the just compensation award. Should the
government decide immediately to revoke or otherwise amend the
regulation, it would be liable for payment of compensation only for
the interim during which the regulation effected a "taking."
[
Footnote 2/25] Rules of
valuation already developed for temporary "takings" may be
particularly useful to the courts in their quest for assessing the
proper measure of monetary relief in cases of revocation or
amendment,
see generally Kimball Laundry Co. v. United States,
supra; United States v. Petty Motor Co., supra; United States v.
General Motors Corp., supra, although additional rules may
need to be developed,
see Kimball Laundry Co. v. United States,
supra at
338 U. S. 21-22
(Rutledge, J., concurring);
United States v. Miller, supra
at
317 U. S.
373-374. Alternatively, the government may choose
Page 450 U. S. 660
formally to condemn the property, or otherwise to continue the
offending regulation: in either case, the action must be sustained
by proper measures of just compensation.
See generally United
States v. Fuller, 409 U. S. 488,
409 U. S. 490
492 (1973);
United States ex rel. TVA v. Powelson,
319 U. S. 266,
319 U. S.
281-285 (1943).
It should be noted that the Constitution does not embody any
specific procedure or form of remedy that the States must
adopt:
"The Fifth Amendment expresses a principle of fairness, and not
a technical rule of procedure enshrining old or new niceties
regarding 'causes of action' -- when they are born, whether they
proliferate, and when they die."
United States v. Dickinson, 331 U.S. at
331 U. S. 748.
Cf. United States v. Memphis Cotton Oil Co., 288 U. S.
62,
288 U. S. 67-69
(1933). The States should be free to experiment in the
implementation of this rule, provided that their chosen procedures
and remedies comport with the fundamental constitutional command.
See generally Hill, The Bill of Rights and the Supervisory
Power, 69 Colum.L.Rev. 181, 191-193 (1969). The only constitutional
requirement is that the landowner must be able meaningfully to
challenge a regulation that allegedly effects a "taking," and
recover just compensation if it does so. He may not be forced to
resort to piecemeal litigation or otherwise unfair procedures in
order to receive his due.
See United States v. Dickinson,
supra at
331 U. S.
749.
V
In
Agins v. City of Tiburon, 24 Cal. 3d at 275, 598
P.2d at 29, the California Supreme Court was
"persuaded by various policy considerations to the view that
inverse condemnation is an inappropriate and undesirable remedy in
cases in which unconstitutional regulation is alleged."
In particular, the court cited
"the need for preserving a degree of freedom in land use
planning function, and the inhibiting financial force which inheres
in the inverse condemnation remedy,"
in reaching its conclusion.
Id. at 276, 598 P.2d at 31.
But
Page 450 U. S. 661
the applicability of express constitutional guarantees is not a
matter to be determined on the basis of policy judgments made by
the legislative, executive, or judicial branches. [
Footnote 2/26] Nor can the vindication of those
rights depend on the expense in doing so.
See Watson v.
Memphis, 373 U. S. 526,
373 U. S.
537-538 (1963).
Because I believe that the Just Compensation Clause requires the
constitutional rule outlined
supra, I would vacate the
judgment of the California Court of Appeal, Fourth District, and
remand for further proceedings not inconsistent with this opinion.
[
Footnote 2/27]
[
Footnote 2/1]
The city's plan defined "open space" as
"any urban land or water surface that is essentially open or
natural in character, and which has appreciable utility for park
and recreation purposes, conservation of land, water or other
natural resources or historic or scenic purposes."
App. 5, n. 3.
[
Footnote 2/2]
The phrase "inverse condemnation" generally describes a cause of
action against a government defendant in which a landowner may
recover just compensation for a "taking" of his property under the
Fifth Amendment, even though formal condemnation proceedings in
exercise of the sovereign's power of eminent domain have not been
instituted by the government entity.
Agins v. City of
Tiburon, 447 U. S. 255,
447 U. S. 258,
n. 2 (1980);
United States v. Clarke, 445 U.
S. 253,
445 U. S. 257
(1980).
See, e.g., Cal.Civ.Proc.Code Ann. § 1245.260
(West Supp. 1981). In the typical condemnation proceeding, the
government brings a judicial or administrative action against the
property owner to "take" the fee simple or an interest in his
property; the judicial or administrative body enters a decree of
condemnation, and just compensation is awarded.
See ibid.
See generally 6 J. Sackman, Nichols' Law of Eminent Domain
§ 24.1 (rev. 3d ed.1980). In an "inverse condemnation" action,
the condemnation is "inverse" because it is the landowner, not the
government entity, who institutes the proceeding.
"Eminent domain" is the "power of the sovereign to take property
for public use without the owner's consent."
Id. §
1.11, at 1-7. Formal proceedings initiated by the government are
loosely referred to as either "eminent domain" or "condemnation"
proceedings.
See Agins v. City of Tiburon, supra, at
447 U. S. 258,
n. 2.
[
Footnote 2/3]
One law review article, cited twice by the California Supreme
Court in
Agins, typifies this mode of analysis:
"[T]raditionally, eminent domain and the police power have been
treated as disjunctive. . . . The Constitution requires that just
compensation be paid to landowners whose property has been
condemned or taken by a government exercising its eminent domain
power; if property is taken and no compensation awarded, the
landowner is entitled to bring a so-called inverse condemnation
action to compel payment. In contrast, under the police power,
constitutional requirements relate to the reasonableness of the
relation between the means used and the ends sought; a landowner
affected by an unreasonable regulation is entitled to bring an
action challenging its validity."
Note,
Eldridge v. City of Palo Alto: Aberration or New
Direction in Land Use Law?, 28 Hastings L.J. 1569, 1570 (1977)
(footnotes omitted).
[
Footnote 2/4]
It is not merely linguistic coincidence that the California
Supreme Court, in
Agins, never analyzed the Tiburon zoning
ordinance to determine whether a Fifth Amendment "
taking"
without just compensation had occurred. Instead, the court noted
that
"a zoning ordinance may be unconstitutional and subject to
invalidation only when its effect is to
deprive the
landowner of substantially all reasonable use of his property,"
and that "[t]he ordinance before us had no such effect." 24 Cal.
3d at 277, 598 P.2d at 31 (emphasis added). Throughout the
Agins opinion as well as the Court of Appeal decision
below are references to actions which "deprive" the landowner of
property use, indicating that the California courts were proceeding
under the Due Process Clauses of the Fifth and Fourteenth
Amendments, and not the Just Compensation Clause.
Id. at
273, 277, 598 P.2d at 28, 31; App. 66. Indeed the California courts
are not alone in concluding that a government's exercise of its
regulatory police powers can never effect a "taking." Five years
ago, the Court of Appeals of New York reached the same conclusion.
See Fred F. French Investing Co. v. City of New York, 39
N.Y.2d 587, 594-596, 350 N.E.2d 381, 384-386,
cert. denied and
appeal dism'd, 429 U.S. 990 (1976). This Court described a
subsequent New York Court of Appeals decision on review here as
"summarily reject[ing] any claim that the [New York City]
Landmarks Law had 'taken' property without 'just compensation,' . .
. indicating that there could be no 'taking,' since the law had not
transferred control of the property to the city, but only
restricted appellants' exploitation of it. In that circumstance,
the Court of Appeals held that appellants' attack on the law could
prevail only if the law deprived appellants of their property in
violation of the Due Process Clause of the Fourteenth
Amendment."
Penn Central Transp. Co. v. New York City, 438 U.
S. 104,
438 U. S.
120-121 (1978).
See Marcus, The Grand Slam
Grand Central Terminal Decision: A
Euclid for Landmarks,
Favorable Notice for TDR and A Resolution of the Regulatory/Taking
Impasse, 7 Ecology Law Quarterly 731, 749, n. 97 (1978).
See
generally Comment, Balancing Private Loss Against Public Gain
to Test for a Violation of Due Process or a Taking without Just
Compensation, 54 Wash.L.Rev. 316, 319-327 (1979).
[
Footnote 2/5]
In so ruling, the California Supreme Court expressly disapproved
Eldridge v. City of Palo Alto, 57 Cal. App. 3d
613, 621, 129 Cal. Rptr. 575, 579 (1976), a Court of Appeal
decision holding that
"a valid zoning ordinance may nevertheless operate so
oppressively as to amount to a taking, thus giving an aggrieved
landowner a right to damages in inverse condemnation."
[
Footnote 2/6]
Appellees agreed with this interpretation at oral argument:
"QUESTION: Well, suppose the California Supreme Court or all the
courts in California declare the zoning statute unconstitutional as
applied to this piece of property, that the City has
unconstitutionally interfered with the use of this property."
"MR. SUMPTION: Yes, Your Honor."
"QUESTION: Now, has the California Supreme Court or the Court of
Appeal precluded damages in that situation?"
"MR. SUMPTION: Under those facts, without any actual use,
without the other factors, denial of access or any direct and
special interference with the landowner's attempt to use the
property, I think that's a correct assessment, that the California
Supreme Court would say, no, your remedy is to set aside the
regulations."
"QUESTION: Well, they get set aside, but meanwhile the landowner
has not been able to use it for the purpose he wanted. The zoning
ordinance has effectively precluded his use of the property and the
Supreme Court has said so. No damages?"
"MR. SUMPTION: No damages, Your Honor."
"QUESTION:
You say that's police power, not Fifth Amendment
taking?"
"MR. SUMPTION:
In California, that's the rule --"
Tr. of Oral Arg. 54-55 (emphasis added).
This understanding is likewise shared by appellant and
amici. See, e.g., Brief for Appellant 17, 31, 36;
Brief for National Association of Home Builders and California
Building Industry as
Amici Curiae 5, 7.
[
Footnote 2/7]
The Court concludes from the last paragraph of the Court of
Appeal's opinion that
"appellant is free to pursue its quest for relief in the
Superior Court. The logical course of action for an appellate court
that finds unresolved factual disputes in the record is to remand
the case for the resolution of those disputes."
Ante at
450 U. S.
632.
It is true that, under California law, an unqualified reversal
generally operates to remand the cause for a new trial on all
remaining issues.
McDonough Power Equipment Co. v. Superior
Court, 8 Cal. 3d 527,
532, 503 P.2d 1338, 1341 (1972);
De Hart v.
Allen, 26 Cal. 2d
829,
833, 161 P.2d
453, 455-456 (1945); 5 Cal.Jur. 3d Appellate Review § 587, pp.
303-304 (1973);
see Gospel Army v. Los Angeles,
331 U. S. 543,
331 U. S. 546
(1947). However, a reviewing court may qualify its reversal, and
its intent must be divined from its opinion as a whole.
Stromer
v. Browning, 268 Cal. App.
2d 513, 518-519, 74 Cal. Rptr. 155, 158 (1968); 5 Cal.Jur. 3d,
supra, § 588, at 304.
Here, the Court of Appeal suggested that, if appellee elected to
retry the case, "disputed fact issues
not covered by the trial
court in its findings and conclusions" could be "dealt with
anew." App. 66 (emphasis added). In the original "Findings of Fact
and Conclusions of Law," the trial court unequivocally found a
Fifth Amendment "taking" without just compensation:
"The actions of defendant City against plaintiff's property were
motivated to achieve a public purpose, namely, preservation of open
space, without payment of just compensation, and were so burdensome
and oppressive as to deprive plaintiff of any practical, beneficial
or economic use of the property designated as open space, and,
therefore, taken as a whole, constitute a
taking of the
portion of plaintiff's property designated as open space without
due process of law and just compensation within the meaning of the
California and United States constitutions. . . ."
Id. at 42-43 (emphasis added). By limiting any possible
retrial to "disputed fact issues not covered by the trial court in
its findings and conclusions," the Court of Appeal plainly
indicated that the Fifth Amendment "taking" issue had been finally
resolved. This is perfectly consistent, then, with the Court of
Appeal's holding that there is no Fifth Amendment "taking" when
excessive use of the police power is proved. Therefore, the Court's
belief that the "disputed factual issues" involve appellant's
failure to apply for a permit,
ante at
450 U. S. 631,
n. 11, is beside the point, since under no set of factual
circumstances may the court find a Fifth Amendment "taking."
[
Footnote 2/8]
The Court of Appeal's first opinion unequivocally affirmed the
Superior Court's finding of a "taking" on the facts of this case.
App. 49-50, 60. It is no doubt true that the first opinion was
deprived of all legal effect under California law once the
California Supreme Court granted the city's petition for a hearing.
Knouse v. Nimocks, 8 Cal. 2d 482,
48384,
66 P.2d 438,
438 (1937). Nevertheless, under this Court's view that the second
Court of Appeal's opinion left open the "taking" question, this
Court must admit, as it does, that the second opinion is
inconsistent with the finding of a "taking" in the first.
Ante at
450 U. S. 631,
n. 11. Under my reading, the second is easily reconcilable with the
first: because the Court of Appeal was obligated by the terms of
the California Supreme Court's transfer order to hold that no
regulatory action could effect a "taking," it was forced in its
second opinion to abandon its original agreement with the Superior
Court's finding of a "taking."
[
Footnote 2/9]
In his concurring opinion, my Brother REHNQUIST, who dissented
in
Cox Broadcasting Corp. v. Cohn, 420 U.
S. 469 (1975), writes:
"I am not sure under how many of the four exceptions of
Cox JUSTICE BRENNAN may view this case as falling, but it
seems to me that this case illustrates the problems which arise
from a less than literal reading of the language 'final judgment or
decree.'"
Ante at
450 U. S.
635-636. Then, he assumes that I agree with the Court
that further proceedings will occur on remand to the Superior
Court, and concludes that this appeal is therefore not final within
the literal language of 28 U.S.C. § 1257, even if it may be
treated as final under
Cox. Ante at
450 U. S.
636.
With all respect, my Brother REHNQUIST misreads my position. I
view the judgment as final within the literal meaning of §
1257, and therefore do not find it necessary to rely on any
"exception" to the finality rule. Appellant alleged and proved a
"taking" of its property without just compensation under the Just
Compensation Clause of the Fifth Amendment. On review, the
California Court of Appeal reversed, holding as a matter of federal
law that there was no "taking." Since that time, appellant has
continued to press its federal just compensation claim in a
petition for rehearing before the Court of Appeal, a petition for
hearing before the California Supreme Court, and an appeal to this
Court. The Court of Appeal did not direct further proceedings in
the Superior Court on appellant's claim. What the Court of Appeal
indicated was that appellant was not precluded from "elect[ing] to
retry the case," App. 66, on an alternative constitutional theory
not based on the Just Compensation Clause. In other words, the
Court of Appeal refused to recognize an alleged and proved
constitutional violation, and proposed that appellant try another
and different constitutional theory. But obviously the judgment is
final as to the rejected constitutional theory under even the
strictest reading of § 1257. I can see no possible reason for
refusing to decide appellant's claim solely on the basis that the
Court of Appeal proposed its own constitutional theory and strategy
for retrying the case.
In sum, the accurate statement of my view is that appellant has
received a final judgment. That judgment is
"subject to no further review or correction in any other state
tribunal; it [is] final as an effective determination of the
litigation, and not of merely interlocutory or intermediate steps
therein. It [is] the final word of a final court."
Market Street R. Co. v. Railroad Comm'n, 324 U.
S. 548,
324 U. S. 551
(1945).
[
Footnote 2/10]
Appellees also argue that we may not exercise our appellate
jurisdiction under 28 U.S.C. § 1257(2), because appellant has
not drawn in question the validity of a statute. Brief for
Appellees 1-3. Even if I were to agree with appellees' contentions,
I would treat the jurisdictional statement as a petition for writ
of certiorari, and grant the petition. 28 U.S.C. §§
1257(3), 2103.
[
Footnote 2/11]
This Court failed to reach this question in last Term's
Agins v. City of Tiburon. In that case, as an alternative
holding, the California Supreme Court had found on the facts of the
case that the Tiburon ordinance "did not unconstitutionally
interfere with plaintiffs' entire use of the land or impermissibly
decrease its value." 24 Cal. 3d at 277, 598 P.2d at 31. This Court
affirmed on that ground, thereby not reaching the broader ground
that constitutes the sole basis for the opinion of the Court of
Appeal in the instant case. 447 U.S. at
447 U. S.
262-263.
[
Footnote 2/12]
The question presented in appellant's jurisdictional statement
states in pertinent part:
"Can a state court with impunity deny an aggrieved property
owner its constitutionally mandated remedy of just compensation
when a local government entity has (a) imposed arbitrary,
excessive, and unconstitutional land use regulations; (b)
commenced, but later abandoned, direct acquisitive efforts under
its power of eminent domain when its public purpose was satisfied
by the restraints of the purported regulations; and (c) through a
continuing course of conduct, acted so as to deprive the property
owner of all practical, beneficial or economic use of its property;
and the property owner has so established as a matter of fact after
full trial of the issues?"
Juris.Statement 4-5.
[
Footnote 2/13]
The Court of Appeal below rendered its decision almost one year
before this Court's decision in
Agins v. City of Tiburon,
supra.
[
Footnote 2/14]
One interpretation of the
Pennsylvania Coal opinion
insists that the word "taking" was used "metaphorically," and that
the
"gravamen of the constitutional challenge to the regulatory
measure was that it was an invalid exercise of the police power
under the due process clause, and the [case was] decided under that
rubric."
Fred F. French Investing Co. v. City of New York, 39
N.Y.2d at 594, 350 N.E.2d at 385;
see also Brief for
Appellees 37-38. In addition to tampering with the express language
of the opinion, this view ignores the coal company's repeated claim
before the Court that the Pennsylvania statute took its property
without just compensation. Brief for Pennsylvania Coal Company, at
7-8, 16, 19-20, 21, 24, 28-33; Brief for the Mahons at 73.
[
Footnote 2/15]
More recent Supreme Court cases have emphasized this aspect of
"taking" analysis, commenting that the Court has been unable to
develop any "set formula to determine where regulation ends and
taking begins,"
Goldblatt v. Town of Hempstead,
369 U. S. 590,
369 U. S. 594
(1962), and that "[it] calls as much for the exercise of judgment
as for the application of logic,"
Andrus v. Allard,
444 U. S. 51,
444 U. S. 65
(1979).
See Penn Central Transp. Co. v. New York City, 438
U.S. at 124 ("
ad hoc, factual inquiries");
United
States v. Central Eureka Mining Co., 357 U.
S. 155,
357 U. S. 168
(1958) ("question properly turning upon the particular
circumstances of each case").
One distinguished commentator has characterized the attempt to
differentiate "regulation" from "taking" as
"the most haunting jurisprudential problem in the field of
contemporary land use law . . . one that may be the lawyer's
equivalent of the physicist's hunt for the quark."
C. Haar, Land-Use Planning 766 (3d ed.1976).
See generally
id. at 766-777; Berger, A Policy Analysis of the Taking
Problem, 49 N.Y.U.L.Rev. 165 (1974); Michelman, Property, Utility,
and Fairness: Comments on the Ethical Foundations of "Just
Compensation" Law, 80 Harv.L.Rev. 1165 (1967); Sax, Takings and the
Police Power, 74 Yale L.J. 36 (1964). Another has described a
30-year series of Court opinions resulting from this case-by-case
approach as a "crazy-quilt pattern." Dunham,
Griggs v.
Allegheny County in Perspective: Thirty Years of Supreme Court
Expropriation Law, 1962 S.Ct.Rev. 63.
[
Footnote 2/16]
Justice Brandeis, in dissent, argued the absolute position that
a "restriction imposed to protect the public health, safety or
morals from dangers threatened is not a taking." 260 U.S. at
260 U. S. 417.
In partial reliance on Justice Brandeis' dissent, one report urges
that the Court overrule the
Pennsylvania Coal case and
hold that "a regulation of the use of land, if reasonably related
to a valid public purpose, can never constitute a taking." F.
Bosselman, D. Callies, & J. Banta, The Taking Issue 238-255
(1973) .
[
Footnote 2/17]
The California Supreme Court, in its opinion in
Agins v.
City of Tiburon, 24 Cal. 3d at 274, 598 P.2d at 29,
interpreted Justice Holmes' use of the word "taking" to "indicate
the
limit by which the acknowledged social goal of land
control could be achieved by regulation rather than by eminent
domain." (Emphasis added.) I find such a reading unpersuasive. The
Court specifically indicated that a "regulation [that] goes too far
. . .
will be recognized as a taking," and that this
determination is "
a question of degree."
Pennsylvania
Coal Co. v. Mahon, 260 U.S. at 415-416 (emphasis added).
Clearly, then, the Court contemplated that a regulation could cross
the boundary surrounding valid police power exercise and become a
Fifth Amendment "taking."
The California court further argued that the Court in
Pennsylvania Coal
"did not attempt . . . to transmute the illegal governmental
infringement into an exercise of eminent domain, and the
possibility of compensation was not even considered."
Agins v. City of Tiburon, supra at 274, 598 P.2d at 29.
This overlooks the factual posture in
Pennsylvania Coal,
where the homeowner, not the coal company, brought an injunction
action to prevent the company "from mining under their property in
such a way as to remove the support and cause a subsidence of the
surface and of their house."
Pennsylvania Coal Co. v. Mahon,
supra, at
260 U. S. 412.
Because no one asked for an award of just compensation, there was
no reason for the Court to consider it. The company only sought
reversal of the Pennsylvania Supreme Court's decree that enjoined
it from mining coal, and this Court granted that request.
[
Footnote 2/18]
In the instant case, for example, appellant contended that the
city's actions "denied in all practical effect any possible
beneficial or economical use of the subject property." Complaint
� 15, App. 11. Although the Court of Appeal's first opinion
has no legal effect,
see 450
U.S. 621fn2/8|>n. 8,
supra, the court did observe
that the city's objective was
"to have the property remain unused, undisturbed and in its
natural state so open space and scenic vistas may be preserved. In
this sense, the property is being 'used' by the public. . . ."
App. 60.
[
Footnote 2/19]
Under this rule, a government entity is entitled to amend the
offending regulation so that it no longer effects a "taking." It
may also choose formally to condemn the property.
[
Footnote 2/20]
Amicus suggests that the California Supreme Court has
not conclusively decided the issue whether interim damages might be
awarded to compensate a landowner for economic loss sustained prior
to invalidation of the zoning ordinance. Brief for United States as
Amicus Curiae 23, and n. 24. But since the California
courts fail to concede that a regulation can effect a "taking," any
award of interim damages would not be justified or determined, as
constitutionally required, under the Just Compensation Clause.
[
Footnote 2/21]
Amici suggest that the Court's awards of just
compensation in cases involving the United States were premised
either on a "theory of implied promise to pay . . . or [on]
congressional authorization [to pay] under the Tucker Act, 28
U.S.C. 1346 (a)." Brief for United States as
Amicus Curiae
27;
see Brief for the National Trust for Historic
Preservation
et al. as
Amici Curiae 7-8. This
suggestion mischaracterizes the import of our cases. As the Court
has noted:
"But whether the theory . . . be that there was a taking under
the Fifth Amendment, and that therefore the Tucker Act may be
invoked because it is a claim founded upon the Constitution, or
that there was an implied promise by the Government to pay for it,
is immaterial. In either event, the claim traces back to the
prohibition of the Fifth Amendment, 'nor shall private property be
taken for public use, without just compensation.' The Constitution
is 'intended to preserve practical and substantial rights, not to
maintain theories.'"
United States v. Dickinson, 331 U.
S. 745,
331 U. S. 748
(1947).
[
Footnote 2/22]
The instant litigation is a good case in point. The trial court,
on April 9, 1976, found that the city's actions effected a "taking"
of appellant's property on June 19, 1973. If true, then appellant
has been deprived of all beneficial use of its property in
violation of the Just Compensation Clause for the past seven
years.
Invalidation hardly prevents enactment of subsequent
unconstitutional regulations by the government entity. At the 1974
annual conference of the National Institute of Municipal Law
Officers in California, a California City Attorney gave fellow City
Attorneys the following advice:
"
IF ALL ELSE FAILS, MERELY AMEND THE REGULATION AND START
OVER AGAIN."
"If legal preventive maintenance does not work, and you still
receive a claim attacking the land use regulation, or if you try
the case and lose, don't worry about it. All is not lost. One of
the extra 'goodies' contained in the recent [California] Supreme
Court case of
Selb v. City of San Buenaventura, 10 C.3d
110, appears to allow the City to change the regulation in
question, even after trial and judgment, make it more reasonable,
more restrictive, or whatever, and everybody starts over
again."
"
* * * *"
"See how easy it is to be a City Attorney. Sometimes you can
lose the battle and still win the war. Good luck."
Longtin, Avoiding and Defending Constitutional Attacks on Land
Use Regulations (Including Inverse Condemnation), in 38B NIMLO
Municipal Law Review 192-193 (1975) (emphasis in original).
[
Footnote 2/23]
A different case may arise where a police power regulation is
not enacted in furtherance of the public health, safety, morals, or
general welfare, so that there may be no "public use." Although the
government entity may not be forced to pay just compensation under
the Fifth Amendment, the landowner may nevertheless have a damages
cause of action under 42 U.S.C. § 1983 for a Fourteenth
Amendment due process violation.
[
Footnote 2/24]
Contrary to the suggestion of
amici, see, e.g., Brief
for the National Trust for Historic Preservation
et al. as
Amici Curiae 11, this is not a case involving implication
of a damages remedy -- the words of the Just Compensation Clause
are express.
[
Footnote 2/25]
See generally D. Hagman D. Misczynski, Windfalls for
Wipeouts 296-297 (1978); Bosselman, The Third Alternative in Zoning
Litigation, 17 Zoning Digest 113, 114-119 (1965). The general
notion of compensating landowners for regulations which go too far
has received much attention in land use planning literature.
See, e.g., Costonis, "Fair" Compensation and the
Accommodation Power: Antidotes for the Taking Impasse in Land Use
Controversies, 75 Colum.L.Rev. 1021 (1975); R. Babcock, The Zoning
Game 168-172 (1966); Krasnowiecki & Paul, The Preservation of
Open pace in Metropolitan Areas, 110 U. Pa.L.Rev. 179, 198-239
(1961).
See also American Law Institute, A Model Land
Development Code §§ 5-303, 5-30, pp. 202-207 (1975); Town
and Country Planning Act, 1947, 10 & 11 Geo. 6, ch. 51, §
19.
[
Footnote 2/26]
Even if I were to concede a role for policy considerations, I am
not so sure that they would militate against requiring payment of
just compensation. Indeed, land use planning commentators have
suggested that the threat of financial liability for
unconstitutional police power regulations would help to produce a
more rational basis of decisionmaking that weighs the costs of
restrictions against their benefits. Dunham, From Rural Enclosure
to Re-Enclosure of Urban Land, 35 N.Y.U.L.Rev. 1238, 1253-1254
(1960). Such liability might also encourage municipalities to err
on the constitutional side of police power regulations, and to
develop internal rules and operating procedures to minimize
overzealous regulatory attempts.
Cf. Owen v. City of
Independence, 445 U. S. 622,
445 U. S.
651-652 (1980). After all, if a policeman must know the
Constitution, then why not a planner? In any event, one may wonder
as an empirical matter whether the threat of just compensation will
greatly impede the efforts of planners.
Cf. id. at
445 U. S.
656.
[
Footnote 2/27]
Because the California Court of Appeal, Fourth District,
followed the instructions of the California Supreme Court and held
that the city's regulation, however arbitrary or excessive, could
not effect a "taking," the Court of Appeal did not address the
issue whether San Diego's course of conduct in fact effected a
"taking" of appellant's property. I would not reach that issue
here, but leave it open for the Court of Appeal on remand initially
to decide that question on it review of the Superior Court's
judgment.