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861 N.W.2d 797
Wis. Ct. App.
2015
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Background

  • Two Cedarburg homeowners (Radmanns and Desjardin) rented their houses short-term and received city notices (Sept–Oct 2012) asserting violations of Cedarburg Zoning Code §13-1-46 (RS-5 single-family residential district).
  • The City Board of Appeals denied their appeals, ruling short-term rentals were not permitted in single-family districts.
  • Owners sought certiorari review in circuit court; the circuit court found the dwellings are single-family and reversed the Board as a matter of law.
  • The Board appealed to the court of appeals; the core question was whether the zoning ordinance unambiguously prohibits short-term rentals in single-family zones.
  • The ordinance listed "single-family dwellings" as a permitted use and defined "dwelling" as a building designed or used exclusively as a residence (excluding boarding houses, motels, etc.), but did not include any minimum-occupancy-duration requirement.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether short-term rentals are a permitted use in an RS-5 single-family district Owners: Plain language permits single-family dwellings; no time-duration limit; ambiguities construed for free use of property Board: A dwelling must be an occupant's established residence; transient rentals are commercial, not residential; residency informed by voting/address concepts Court: Short-term rentals are permitted; ordinance does not unambiguously prohibit them and must be construed in favor of property use
Whether the Board lawfully imposed a time/occupancy requirement not in the ordinance Owners: Board can't impose time requirements absent clear legislative language Board: Implicit residency requirement supports their interpretation Court: Board acted contrary to law by reading in a time requirement; only clear ordinance terms can restrict property use

Key Cases Cited

  • State ex rel. Harding v. Door County Bd. of Adjustment, 125 Wis.2d 269 (Ct. App.) (time-limited occupancy does not remove use from "single-family dwelling" category; ordinance must explicitly restrict duration)
  • Cohen v. Dane County Bd. of Adjustment, 74 Wis.2d 87 (1976) (zoning ordinances are in derogation of common law and must be construed to favor free use of property unless clear)
  • Murr v. St. Croix County Bd. of Adjustment, 332 Wis.2d 172 (2011) (certiorari review examines whether board stayed within jurisdiction and acted according to law)
  • Winkelman v. Town of Delafield, 239 Wis.2d 542 (2000) (standards for judicial review of zoning board decisions on certiorari)
  • State ex rel. B'nai B'rith Foundation v. Walworth County Bd. of Adjustment, 59 Wis.2d 296 (1973) (municipal zoning power broadly construed)
  • Cook v. Cook, 208 Wis.2d 166 (1997) (court of appeals precedent binding unless altered by supreme court)
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Case Details

Case Name: Heef Realty & Investments, LLP v. City of Cedarburg Board of Appeals
Court Name: Court of Appeals of Wisconsin
Date Published: Feb 4, 2015
Citations: 861 N.W.2d 797; 361 Wis. 2d 185; 2015 WI App 23; 2015 Wisc. App. LEXIS 81; No. 2014AP62
Docket Number: No. 2014AP62
Court Abbreviation: Wis. Ct. App.
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    Heef Realty & Investments, LLP v. City of Cedarburg Board of Appeals, 861 N.W.2d 797