Land use license stuck in slow lane

In the case Triumph Transport Inc. v. City of Bellflower, et al., Edwin Soto was in contract to buy a property to house his trucking company office and store the company's trucks. The property was located in an area zoned "light industrial." Soto notified the city of his intended use of the property and was advised that the use might or might not require a conditional use permit; later (but prior to Soto closing escrow on the property) the City Planning Commission voted to require Soto to obtain a conditional use permit.

The day after the commission voted, Soto submitted an application for a business license. More than a month later, Soto was told by city staffers that he should resubmit the application and that it would be granted (without a conditional use permit), as his proposed use had been determined to be allowed. In fact, the city never processed either application.

About a week after the second application was submitted, the City Council voted in an urgency ordinance imposing a moratorium to the effect that, for 45 days, "no application for a business license for a draying, freighting, or trucking yard and/or terminal would be processed without a conditional use permit."

The following day, the city wrote to advise Soto of the new moratorium. That same day, in reliance on city staff's earlier assurances that the intended use would be allowed without a conditional use permit, Soto closed escrow on the property. The following day, Soto received the city's notification regarding the moratorium.

Soto then filed suit against the city, asking the court to order the city to issue the business license on grounds that the city's own assurances that it would be issued should preclude the city from refusing the license.

The trial court ruled in favor of Soto, but did not order the city to issue the business license.

On appeal, the trial court's ruling was reversed. The city argued that Soto did not possess a vested, protectable right in the zoning of the property until he became the owner, so that the city was not required to make a decision on the two licensing applications Soto submitted until after escrow closed (which was also after the moratorium had been imposed). ...CONTINUED

All rights reserved. This article may not be used or reproduced in any manner whatsoever, in part or in whole, without written permission of Inman News. Use of this article without permission is a violation of federal copyright law.