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107 F.4th 693
7th Cir.
2024
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Background

  • Indiana Land Trust #3082 owns property in Hammond, Indiana, operated by the Abuzir brothers as a lucrative fireworks and tobacco business, mainly due to its proximity to Illinois.
  • The City of Hammond initiated eminent domain proceedings in 2018 to acquire the property for building a road connecting Water Gardens neighborhood to Indianapolis Boulevard.
  • Indiana’s eminent domain procedures allow property owners to object, but not file counterclaims, in state court condemnation actions.
  • The Abuzirs objected in state court, alleging the taking was pretextual—motivated by animus and to benefit political allies, and not truly for public use.
  • Unable to proceed with counterclaims in state court, the Abuzirs filed suit in federal court, claiming constitutional violations and a conspiracy under 42 U.S.C. § 1983; their claims were repeatedly dismissed by the district court, ultimately with prejudice.
  • On appeal, the Abuzirs challenged dismissals of their equal protection (class-of-one), substantive due process, and conspiracy claims.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Equal Protection: Class-of-One City treated Abuzirs differently from similarly situated property owners without rational basis—motivated by political animus. City had rational basis (building a road); complaint itself provides rational basis. Dismissed; rational basis apparent on complaint's face.
Substantive Due Process City’s action was arbitrary, violated Abuzirs’ property rights, and bore no substantial relation to public welfare. No deprivation of property yet (state proceedings ongoing); proposed amendment futile. Dismissal affirmed; no protectable interest deprived and rational basis exists.
Conspiracy under § 1983 City and others conspired to unlawfully take property because Abuzirs were political opponents. No underlying constitutional violation pled to support conspiracy. Dismissal affirmed; must plead underlying violation, which is absent here.
Monell Claim Dismissal of municipality liability claim improper. No arguments advanced in appeal. Waived for lack of development.

Key Cases Cited

  • Proft v. Raoul, 944 F.3d 686 (7th Cir. 2019) (standard for motion to dismiss; complaint must be construed in light most favorable to plaintiff)
  • 145 Fisk, LLC v. Nicklas, 986 F.3d 759 (7th Cir. 2021) (standard for class-of-one equal protection claims)
  • Chicago Studio Rental, Inc. v. Ill. Dep’t of Comm., 940 F.3d 971 (7th Cir. 2019) (rational basis need not be actual basis; conceivable basis suffices)
  • Zorzi v. Cnty. of Putnam, 30 F.3d 885 (7th Cir. 1994) (substantive due process requires deprivation of protected interest)
  • Starnes v. Capital Cities Media, Inc., 39 F.3d 1394 (7th Cir. 1994) (conspiracy under §1983 requires deprivation of constitutional right)
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Case Details

Case Name: Indiana Land Trust 3082 v. Hammond Redevelopment Commission
Court Name: Court of Appeals for the Seventh Circuit
Date Published: Jul 10, 2024
Citations: 107 F.4th 693; 24-1006
Docket Number: 24-1006
Court Abbreviation: 7th Cir.
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    Indiana Land Trust 3082 v. Hammond Redevelopment Commission, 107 F.4th 693