Opinion
California’s Government Claims Act (Act; Gov. Code, § 810 et seq.) confers immunity from tort liability on public employees when they make “basic policy decisions” in a legislative capacity. (See Gov. Code, §§ 820.2, 821, 821.2.)
FACTS AND PROCEDURAL HISTORY
We draw these facts from the allegations in the complaint, which we accept as true except where contradicted by the exhibits attached to the complaint. (Tucker v. Pacific Bell Mobile Services (2012)
Plaintiffs Robert and Linda Freeny (plaintiffs) own two adjacent parcels of land in midtown City of San Buenaventura (City). For three years, they worked with their own architect and consulted with the City’s staff to design a living facility for senior citizens. The City’s planning commission (Planning Commission) eventually approved a 44-unit, 42,172-square-foot facility (the Project), and concomitantly granted a conditional use permit, a design review, an administrative variance, and a lot line adjustment.
A group of 35 persons living near the proposed facility appealed the Planning Commission’s decision to the City Council. Following a remand to the Planning Commission for further factfinding, the City Council took up the matter at a public hearing. On a five-to-two vote, the City Council approved the neighbors’ appeal and overturned the Planning Commission’s approval. In so doing, the City Council found that building a facility of that “size” on a “street-to-street lot” was “incompatible” with the “existing residential neighborhood.” The City Council stated that plaintiffs “need[ed] to rethink the entirety of the project,” but that its denial was “without prejudice” and invited plaintiffs to submit a “redesign[ed]” project. The City Council subsequently adopted a formal resolution sustaining the appeal “without prejudice.”
II. Plaintiffs’ Complaint
Plaintiffs sued the City and five City Council members (collectively, defendants) who voted to reject the Project.
III. The Trial Court’s Ruling
The trial court sustained defendants’ demurrers without leave to amend on two grounds. First, the court concluded that plaintiffs’ lawsuit was not ripe because the City’s denial “without prejudice” left administrative remedies unexhausted. The court rejected plaintiffs’ arguments that further exhaustion was futile or would irreparably injure plaintiffs. Second, the court ruled that defendants were immune from liability for adopting laws under sections 818.2
DISCUSSION
We independently review the trial court’s sustaining of a demurrer. (San Mateo Union High School Dist. v. County of San Mateo (2013)
I. Exhaustion of Administrative Remedies
When an administrative forum exists for presenting claims, a party is usually required to present claims in that forum before “resorting to the courts. . . .” (Coachella Valley Mosquito & Vector Control Dist. v. California Public Employees Relations Bd. (2005)
This is not a case where the would-be litigant skipped the administrative procedures entirely. To the contrary, plaintiffs presented their application for building permits and variances to the Planning Commission and the City Council. Plaintiffs also obtained a definitive ruling rejecting their application as to the 42,172-square-foot project that underlies this lawsuit.
Defendants contend that this was still not enough. Defendants note that the City Council’s rejection was “without prejudice,” and argue that plaintiffs have yet to avail themselves of their right under the City’s municipal code (SBMC) to file a new application with the Planning Commission. (See SBMC § 24.565.060, subd. H.) Because the City Council advised plaintiffs that they
Whether reexhaustion with an entirely different project is required depends on the nature of the subsequent judicial challenge. If a plaintiff is claiming that a government entity has effected a regulatory taking by “ ‘den[ying] [her] all economically beneficial or productive use . . .’ ” of her property, denial of a single use or project may not be sufficient. (Landgate, Inc. v. California Coastal Com. (1998)
However, when all a plaintiff challenges is the denial of a specific use through denial of a special project, the plaintiff need only show that the administrative agency has finally ruled on that project. Requiring reexhaustion in these circumstances would pervert the exhaustion requirement. No longer would exhaustion be a means of allowing administrative agencies the opportunity to apply their expertise and flesh out facts. (Williams v. Housing Authority of Los Angeles (2004)
Because plaintiffs are not raising a regulatory takings claim and are challenging only the denial of the Project, the City Council’s unequivocal rejection of the Project satisfies the exhaustion requirement.
II. Immunity from Tort Damages
Plaintiffs contest the trial court’s ruling that defendants are immune from liability for tort damages under the Act. (§810 et seq.) We independently review the trial court’s construction and application of the Act. (Coito v. Superior Court (2012)
A. City Council Defendants
When it comes to tort suits against public employees, “ ‘the rule is liability, immunity is the exception.’ [Citation.]” (Ramos v. County of Madera (1971)
Plaintiffs challenge this conclusion on two grounds. We consider and reject each.
1. Liability for Misrepresentations Motivated by “Actual Fraud, Corruption or Actual Malice ”
Plaintiffs contend that the Act’s immunity for legislative policymaking is limited by the exception to the immunity conferred by a different provision of the Act, section 822.2. That section provides that “[a] public employee acting in the scope of his employment is not liable for an injury caused by his misrepresentation, whether or not such misrepresentation be negligent or intentional, unless he is guilty of actual fraud, corruption or actual malice.” (Ibid., italics added.) Plaintiffs assert that section 822.2’s exception should also operate as an exception to the immunities conferred by
The starting point for ascertaining legislative intent is the language used in the statute itself. (People v. Valladoli (1996)
When the plain language of a statute is inconclusive, we must look elsewhere for affirmative indications of legislative intent. (Pacific Palisades Bowl Mobile Estates, LLC v. City of Los Angeles (2012)
The legislative committee’s comment indicates that section 820.2 was meant to “restate^ . . . pre-existing California law” (Legis. Com. coms.— Sen., 32 pt. 1 West’s Ann. Gov. Code (2012 ed.) foll. § 820.2, p. 360), and directs the reader to Lipman v. Brisbane Elementary Sch. Dist. (1961) 55
The logic underlying these cases applies even more forcefully in the context of legislators’ discretionary, policymaking decisions. Like all other public employees, legislators benefit from immunity that does not dissipate “ ‘upon mere allegation of improper motives or unlawful acts . . .’ ” because such immunity eliminates the “ ‘threat of personal liability . . .’ ” (Martelli v. Pollock (1958)
With legislators, absolute immunity also furthers the separation of powers. The judiciary is not in the business of “ ‘inquiring] into the “motivation or mental processes” which may underlie action by a nonjudicial agency of government.’ ” (Blank v. Kirwan (1985)
Even if our Legislature’s intent were not so clear, we are still required to construe statutes to be “ ‘consistent with justice and common sense . . .’ ” rather than to “ ‘lead[] to mischief or absurdity . . . .’ ” (Shoemaker v. Myers (1992)
By contrast, reading section 822.2’s exception for misrepresentations motivated by actual fraud, corruption or actual malice as not qualifying the tort immunity that otherwise attaches to legislators’ policymaking decisions best harmonizes the legislative intent behind all of these provisions. It effectuates the intent behind sections 820.2, 821 and 821.2 by eliminating the danger of harassment and chilling that springs from susceptibility to tort lawsuits while preserving oversight by criminal prosecution and by the electorate. At the same time, this construction appropriately circumscribes the immunity for misrepresentations conferred by section 822.2. Public employees not engaged in legislative or other discretionary policymaking remain liable for misrepresentations they make in the course of their employment if those misrepresentations (1) do not interfere with commercial or financial interests (Johnson v. State of California (1968)
For these reasons, we conclude that the City Council defendants are immune from tort damages for their legislative denial of plaintiffs’ application.
2. Constitutional arguments
Plaintiffs alternatively contend that their tort suit against the City Council defendants is premised largely on violations of procedural due process. In particular, plaintiffs allege that (1) the City Council’s findings differed from the Planning Commission’s findings; (2) plaintiffs received less speaking time than the 35 opponents to their application at the City Council’s meeting; (3) some of the City Council defendants labored under an unspecified “conflict of interest”; and (4) a staff member referred to plaintiffs’ project as having the incorrect number of parking spaces (18 instead of 19), which shows that the City Council defendants were evaluating the wrong set of plans.
To be sure, the courts are currently divided on the question of whether the Act’s immunities extend to claims of constitutional error. (Compare
B. The City
The City is a “public entity” presumptively immune from tort liability. (§§ 815, subd. (a), 811.2; McCarty v. Department of Transportation (2008)
Plaintiffs allege that the City is liable for two reasons. First, they argue that the City is vicariously liable for the City Council defendants’ actionable misrepresentations, even though the City cannot be held directly liable for any misrepresentations under section 818.8. We reject this argument for two reasons. As we discuss above, the City Council defendants are themselves immune. Because they are immune, so is the City. (§ 815.2, subd. (b) [“a public entity is not liable for an injury resulting from an act or omission of an employee of the public entity where the employee is immune from liability”].) Even if we had concluded that section 822.2’s exception applied to the City Council defendants and rendered them potentially liable, it is well settled that section 818.8 confers upon public entities an absolute immunity for all misrepresentations, and that this immunity trumps any vicarious liability for egregious misrepresentations of its employees actionable against the employees themselves. (Harshbarger v. City of Colton (1988)
Second, plaintiffs argue that section 815.3, subdivision (a), renders the City jointly liable in tort as long as the City is named in their complaint as a codefendant with an “elected official.” We disagree. Section 815.3 erects a rule of pleading requiring a public entity to be named as a joint tortfeasor before judgments against an elected official may be enforced against that
III. Mandamus Petition
Because the trial court ruled that plaintiffs had not exhausted their administrative remedies, it had no occasion to decide the propriety of plaintiffs’ request for mandamus relief. The Act’s immunity reaches only “personal tort liability” and does not immunize against or otherwise preclude mandamus review. (Masters, supra,
Plaintiffs ground their request for mandamus on three theories. First, they seek an order compelling defendants to grant their application because City Council members had so promised. This is indistinguishable from a claim that defendants are estopped by their prior statements, and estoppel does not lie against the government in this context. (Toigo v. Town of Ross (1998)
Second, plaintiffs seek a new hearing before the City Council because the City Council’s review did not comply with procedural due process. A viable due process claim rests on the deprivation of a protected property interest. Because plaintiffs had no entitlement to a permit or variance at the time the City Council rejected their application (Clark v. City of Hermosa Beach (1996)
Lastly, plaintiffs allege that the defendants did not “follow legal standards.” Because public agencies are presumed to regularly perform their official duty (Evid. Code, § 664; Moore v. Twentynine Palms County Water Dist. (1957)
The judgment is affirmed. Costs on appeal are awarded to defendants.
Yegan, Acting P. J., and Perren, J., concurred.
Notes
Judge of the Los Angeles Superior Court, assigned by the Chief Justice pursuant to article VI, section 6 of the California Constitution.
All statutory references are to the Government Code unless otherwise indicated.
Plaintiffs also sued two neighbors who oppose the Project, but the trial court struck plaintiffs’ claims against the neighbors under the anti-SLAPP law. Plaintiffs do not appeal that ruling.
Because all of these sections were enacted together as part of the Act in 1963, the canons of statutory construction giving effect to specific statutes over general statutes (Arterberry v. County of San Diego (2010)
