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14 Cal. App. 5th 238
Cal. Ct. App. 5th
2017
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Background

  • Martins Beach is privately owned and reachable only via Martins Beach Road from Hwy 1 in San Mateo County; prior owners historically permitted public daytime access (often for a fee).
  • Appellants (Martins Beach 1, LLC and Martins Beach 2, LLC) bought the property in July 2008 and closed public access in 2009 by locking a gate, posting signs, painting over an access billboard, and stationing security.
  • Surfrider Foundation sued, alleging the closure constituted "development" under the Coastal Act (Pub. Res. Code §§ 30000–30900) requiring a coastal development permit (CDP); trial court agreed and enjoined appellants to restore access to the level existing at purchase until resolution of any CDP process.
  • Appellants raised constitutional takings challenges to the Coastal Act’s permitting requirement and claimed the injunction was a per se taking; they also appealed the award of attorney fees to Surfrider under CCP § 1021.5.
  • The appellate court affirmed: (1) closing public access is "development" under § 30106; (2) the takings challenge to the permit scheme is not ripe; (3) the injunction is not a per se taking; and (4) the fee award was within the trial court’s discretion.

Issues

Issue Plaintiff's Argument (Surfrider) Defendant's Argument (Martins Beach LLCs) Held
Whether appellants' closure of access is "development" under the Coastal Act (§ 30106) Closure decreases intensity of public access to the water and thus is development requiring a CDP Ordinary acts (closing a gate, painting a sign) are not "development"; statute should be limited to changes affecting established public rights Held: acts fall within § 30106 ("change in the intensity of use of water, or of access thereto"); definition interpreted broadly and liberally to effectuate Coastal Act goals
Ripeness of takings challenge to the CDP permit requirement Permit requirement effects an unconstitutional taking now; challenge ripe for adjudication Permit-based takings claims are unripe until a final administrative decision on a permit application Held: not ripe—landowner must seek final administrative decision (or show denial/compensation context) before judicial takings claim proceeds
Whether trial court injunction requiring restoration of prior access is a per se physical taking Injunction forces appellants to surrender exclusion right; constitutes a per se physical (judicial) taking requiring compensation Injunction is temporary, enforces statutory permitting process, and is not a permanent physical occupation; thus not a per se taking Held: injunction intrudes on exclusion right but is temporary; under Loretto/Nollan/Dolan permanency matters—temporary intrusion is not a per se taking; appellants did not pursue Penn Central multifactor analysis, so injunction stands
Whether Surfrider was entitled to attorney fees under CCP § 1021.5 Litigation vindicated important public interest (coastal access), conferred a public benefit, and private enforcement was necessary Claims that government agencies had already been enforcing/that Surfrider acted to further its mission undermining private-attorney-general award Held: trial court did not abuse discretion—fee award appropriate (case produced precedent and enforcement had not been pursued effectively by public agencies)

Key Cases Cited

  • Pacific Palisades Bowl Mobile Estates, LLC v. City of Los Angeles, 55 Cal.4th 783 (Cal. 2012) (Coastal Act "development" definition construed broadly and Act must be liberally construed)
  • Yost v. Thomas, 36 Cal.3d 561 (Cal. 1984) (legislative findings and goals of the Coastal Act)
  • Gualala Festivals Comm. v. California Coastal Com., 183 Cal.App.4th 60 (Cal. Ct. App. 2010) (expansive interpretation of "development"; even atypical activities can be development)
  • Landgate, Inc. v. California Coastal Com., 17 Cal.4th 1006 (Cal. 1998) (ripeness principle for regulatory takings requires a final administrative decision)
  • Stop the Beach Renourishment, Inc. v. Florida Dept. of Envtl. Prot., 560 U.S. 702 (U.S. 2010) (Supreme Court divided on judicial takings; courts cannot eliminate established property rights without constitutional limits)
  • Loretto v. Teleprompter Manhattan CATV Corp., 458 U.S. 419 (U.S. 1982) (permanent physical occupation is a categorical taking)
  • Nollan v. California Coastal Comm'n, 483 U.S. 825 (U.S. 1987) (government-demanded permanent easement as permit condition can be a per se taking unless nexus/rough proportionality exist)
  • Dolan v. City of Tigard, 512 U.S. 374 (U.S. 1994) (exaction must satisfy "rough proportionality")
  • Penn Central Transp. Co. v. City of New York, 438 U.S. 104 (U.S. 1978) (multifactor ad hoc test for regulatory takings)
  • Arkansas Game & Fish Comm'n v. United States, 568 U.S. 23 (U.S. 2012) (temporary physical invasions/flooding analyzed with multifactor inquiry; time is relevant)
  • Property Reserve, Inc. v. Superior Court, 1 Cal.5th 151 (Cal. 2016) (California Supreme Court on temporary intrusions and Loretto permanency requirement)
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Case Details

Case Name: Surfrider Found. v. Martins Beach 1, LLC
Court Name: California Court of Appeal, 5th District
Date Published: Aug 9, 2017
Citations: 14 Cal. App. 5th 238; 221 Cal. Rptr. 3d 382; 2017 WL 3431157; 2017 Cal. App. LEXIS 694; A144268; A145176
Docket Number: A144268; A145176
Court Abbreviation: Cal. Ct. App. 5th
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    Surfrider Found. v. Martins Beach 1, LLC, 14 Cal. App. 5th 238