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329 Ga. App. 255
Ga. Ct. App.
2014
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Background

  • In May 2008 Steve and Brenda Pennington signed a "Site Lease with Option" granting T‑Mobile an option (for initial 12 months, renewable upon payment) to lease part of their land for a cell tower; T‑Mobile paid option fees and extended the option up to three years.
  • T‑Mobile filed an application with Gwinnett County for the tower; its application was repeatedly tabled and ultimately denied in April 2011 at T‑Mobile’s request.
  • During the option period (November 2009), Gwinnett County changed policy to allow towers on county property; T‑Mobile requested and later entered a lease with the county for placement of a tower in a nearby park (lease executed January 25, 2011).
  • The Penningtons sued Gwinnett County alleging inverse condemnation (a taking of their business opportunity/expectation to lease) and tortious interference; the county moved for summary judgment.
  • The trial court granted summary judgment for Gwinnett County, holding sovereign immunity barred the tort claim and that the Penningtons had no compensable property interest because T‑Mobile’s option discretion meant no lease ever vested; the Penningtons appealed only the inverse condemnation ruling.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Gwinnett’s conduct effected a compensable taking/inverse condemnation Pennington: county’s actions deprived them of the business opportunity/value of a T‑Mobile lease County: Penningtons only held an option (contingent interest); T‑Mobile had sole discretion not to exercise it, so no property was taken Court held no compensable taking—Penningtons had only a contingent expectation, not a vested property interest

Key Cases Cited

  • City of Tybee Island v. Live Oak Group, LLC, 324 Ga. App. 476 (discussing summary judgment standard)
  • Brown v. Penland Const. Co., 276 Ga. App. 522 (inverse condemnation requires a valid property interest)
  • Coastal Water & Sewerage Co. v. Effingham County Indus. Dev. Auth., 288 Ga. App. 422 (contingent, future contractual rights are not compensable takings)
  • United States v. Grand River Dam Auth., 360 U.S. 229 (prospective business opportunities alone do not constitute compensable takings)
  • State Bd. of Educ. v. Drury, 263 Ga. 429 (no property interest in a governmental benefit not yet issued)
Read the full case

Case Details

Case Name: PENNINGTON Et Al. v. GWINNETT COUNTY
Court Name: Court of Appeals of Georgia
Date Published: Oct 17, 2014
Citations: 329 Ga. App. 255; 764 S.E.2d 860; A14A0999
Docket Number: A14A0999
Court Abbreviation: Ga. Ct. App.
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