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19-1399
6th Cir.
Sep 4, 2020
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Background

  • International Outdoor sought permits to erect two off-premises digital billboards in Troy, MI (14x48 sides, 70 ft tall) that exceeded the city’s size, height, and setback limits.
  • Troy denied permits and a variance; International Outdoor appealed administratively then filed a § 1983 suit alleging (Count I) the variance scheme was an unconstitutional prior restraint and (Count II) the sign ordinance was content-based.
  • During litigation the City adopted an amended sign ordinance that tightened variance standards, barred the plaintiff’s proposed signs, and (City says) contains a severability clause; plaintiff conceded injunctive/declaratory claims were mooted by the amendment but sought damages for past denials.
  • The district court dismissed Count II (applied Central Hudson) and granted summary judgment for the City on Count I (finding mootness/severability), and denied plaintiff’s attorney’s‑fee request.
  • The Sixth Circuit affirmed summary judgment on Count I (prior restraint) because the amendment and severability mooted relief, but vacated the dismissal of Count II and remanded for application of Reed; it also vacated and remanded the fee denial pending the Reed-based reconsideration.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
1) Prior restraint — whether the variance scheme vested unbridled discretion Variance criteria were vague ("public interest," "hardship," etc.), giving Board unfettered discretion and an unconstitutional prior restraint The City amended the ordinance and the variance provision is severable; amendment moots injunctive relief and severability defeats damages Pre‑amendment variance scheme was an unconstitutional prior restraint, but the City’s amendment and the ordinance’s severability rendered injunctive/declaratory and damages claims moot; summary judgment for City affirmed
2) Content‑based restrictions — whether ordinance exempting certain sign categories is content‑based and subject to strict scrutiny Ordinance exempts flags, temporary signs, political/noncommercial signs etc., so the City must inspect content; strict scrutiny required under Reed The regulated speech is commercial; apply Central Hudson intermediate scrutiny Reed applies because the ordinance treats speech differently by content; dismissal of Count II vacated and remanded for Reed analysis
3) Standing / redressability (Midwest Media argument) Plaintiff can show redressability because the variance procedure could relax otherwise prohibitive size/height rules, so it may obtain relief Plaintiff lacks standing: even if off‑premises ban struck, size/height rules (severable) would still bar billboards (Midwest Media) Midwest Media is distinguishable; plaintiff has standing to challenge content‑based provisions because the variance provision could afford redress
4) Attorney’s fees under 42 U.S.C. § 1988 Plaintiff asks fees as a prevailing party because City amended the ordinance following litigation No court‑ordered relief was obtained; voluntary amendment does not make plaintiff a prevailing party District court did not abuse discretion in denying fees now; but because Count II dismissal is vacated, the fees ruling is vacated and remanded for reconsideration after further proceedings

Key Cases Cited

  • Reed v. Town of Gilbert, 576 U.S. 155 (2015) (content‑based regulations of speech are presumptively unconstitutional and subject to strict scrutiny)
  • Central Hudson Gas & Electric Corp. v. Public Service Comm’n, 447 U.S. 557 (1980) (intermediate scrutiny test for commercial speech)
  • Midwest Media Prop. LLC v. Symmes Twp., 503 F.3d 456 (6th Cir. 2007) (redressability/standing where severable size/height rules precluded relief)
  • Forsyth Cty. v. Nationalist Movement, 505 U.S. 123 (1992) (prior restraints require narrow, objective, definite standards)
  • City of Lakewood v. Plain Dealer Pub. Co., 486 U.S. 750 (1988) (facial challenge where licensing scheme permits discretionary censorship)
  • Deja Vu of Nashville, Inc. v. Metro. Gov’t of Nashville, 274 F.3d 377 (6th Cir. 2001) (prompt decision and preservation of status quo required in licensing schemes under Freedman)
  • Thomas v. Bright, 937 F.3d 721 (6th Cir. 2019) (applies Reed to on‑premises exception; content‑based treatment invalid under strict scrutiny)
  • American Ass’n of Political Consultants, Inc. v. FCC (Barr), 140 S. Ct. 2335 (2020) (content‑based exception struck; strict scrutiny required and severability considered)
  • Buckhannon Bd. & Care Home, Inc. v. W. Va. Dep’t of Health & Human Res., 532 U.S. 598 (2001) (voluntary change by defendant without judicial imprimatur does not make plaintiff a prevailing party)
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Case Details

Case Name: International Outdoor, Inc. v. City of Troy, Mich.
Court Name: Court of Appeals for the Sixth Circuit
Date Published: Sep 4, 2020
Citation: 19-1399
Docket Number: 19-1399
Court Abbreviation: 6th Cir.
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