Strauss v. City of Chicago
180 N.E.3d 832
Ill. App. Ct.2021Background
- Strauss (president of 1572 North Milwaukee Ave. Building Corp.) owned a four-story, mixed-use building in Chicago long zoned B3-2; Double Door music venue was the commercial tenant.
- Double Door allegedly caused noise, drug/alcohol problems, and property damage; Strauss evicted Double Door in early 2017.
- Alderman Proco Joe Moreno repeatedly proposed downzoning amendments targeting Strauss’s building (B1-1, RS-3, then B2-2); some proposals were held or deferred; B2-2 was adopted by City Council in October 2017.
- After eviction and during the zoning activity, two purchase contracts fell through and prospective tenants declined to lease unless B3-2 remained; Strauss sold the building later at a lower price and sued.
- Strauss’s second amended complaint alleged violations of substantive due process, equal protection, inverse condemnation (Illinois Constitution), and torts (tortious interference, IIED); the circuit court dismissed under sections 2-615 and 2-619/Illinois Tort Immunity Act; this appeal follows.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Substantive due process (zoning) | Downzoning was vindictive spot zoning motivated solely by Moreno; ordinance arbitrary and unreasonable | Zoning rationally related to public welfare (secondary effects of a concert venue); rational-basis review applies | Dismissed: complaint pleads facts showing conceivable rational basis (noise, drugs, damage); ordinance survives rational-basis review |
| Equal protection (selective targeting) | Property singled out; class-of-one / retaliatory intent suffices without similarly situated comparators | City had rational basis to treat this property differently given tenant-related problems; alleged alderman motive not imputed to City | Dismissed: rational basis exists from pleaded facts; Moreno’s alleged motives do not control City’s decision |
| Inverse condemnation (regulatory taking/damage) | Pre-enactment conduct and downzoning caused loss of sale/lease income and market value—constitutes taking/damage | Planning and proposal activity not a taking; B2-2 did not deprive all economically beneficial use; mere diminution in value insufficient | Dismissed: no physical disturbance/damage pleaded; pre-enactment planning not a taking; economic loss alone insufficient under Penn Central/Murr factors |
| State-law torts (tortious interference, IIED) | Alderman Moreno’s pre-enactment coercive acts inflicted tortious injury not immunized | Acts were policy/discretionary acts by a policymaking public employee; immunity under 745 ILCS 10/2-201 and 2-109 applies | Dismissed under 2-619: Moreno’s conduct involved policy/discretionary decisions and is absolutely immune; City also immune |
Key Cases Cited
- Pooh-Bah Enterprises, Inc. v. County of Cook, 232 Ill. 2d 463 (2009) (defines 2-615 motion standard)
- Napleton v. Village of Hinsdale, 229 Ill. 2d 296 (2008) (zoning classifications and rational-basis review of land-use restrictions)
- La Salle Nat’l Bank of Chicago v. County of Cook, 12 Ill. 2d 40 (1957) (factors considered in substantive due process review of zoning)
- Sinclair Pipe Line Co. v. Village of Richton Park, 19 Ill. 2d 370 (1960) (additional factors for zoning-review analysis)
- Lingle v. Chevron U.S.A., Inc., 544 U.S. 528 (2005) (regulatory takings framework rejecting certain tests and endorsing Penn Central inquiry)
- Murr v. Wisconsin, 137 S. Ct. 1933 (2017) (multi-factor takings analysis including investment-backed expectations and economic impact)
- Penn Cent. Transp. Co. v. New York City, 438 U.S. 104 (1978) (core factors for regulatory-takings analysis)
- Van Meter v. Darien Park Dist., 207 Ill. 2d 359 (2003) (section 2-619 standard and governmental-immunity principles)
- Village of Bloomingdale v. CDG Enters., Inc., 196 Ill. 2d 484 (2001) (purpose of Tort Immunity Act; immunity can apply despite alleged malice)
- Monson v. City of Danville, 2018 IL 122486 (2018) (section 2-201 requires employee in policymaking/discretionary role for immunity)