Factual Background and Procedural History
This case arises from the enactment of two ordinances by the Town of Chapel Hill (“Defendant” or “the Town”). The ordinances involve the regulation of towing practices and mobile phone usage. Plaintiff George King operates a towing business in the Town under the name “George’s Towing and Recovery” and filed a complaint against the Town on 2 May 2012, requesting (1) a judgment declaring the ordinances invalid and (2) preliminary and permanent injunctions barring their enforcement.
The trial court issued a temporary restraining order that same day and, six days later, ordered a preliminary injunction against enforcement of the ordinances. On 4 June 2012, Defendant filed its amended answer. On 15 June and 18 June 2012, respectively, Defendant and Plaintiff moved for judgment on the pleadings, alleging that there were no material issues of fact and judgment was proper as a matter of law. The case was heard on 2 August 2012. On 9 August 2012, the trial court issued its order and judgment granting Plaintiff’s request to permanently enjoin enforcement of the ordinances. In its order, the trial court made the following pertinent findings of fact and conclusions of law:
FINDINGS OF FACT
2. Defendant. . . enacted a towing ordinance, . . . which came into effect May 1, 2012, hereinafter “the Towing Ordinance.”
4. Defendant. . . also enacted an ordinance prohibiting the use of mobile phones while driving a motor vehicle,...*547 which was to become effective June 1, 2012, hereinafter “the Mobile Phone Ordinance.”
9. [The Towing Ordinance] sets a fee schedule, regulates the method of payment, and includes extensive sign and notice requirements for private lots, as well as specifications for a tow storage lot which the Chapel Hill Police Department will inspect once per year .... All towing operators are required to comply with this ordinance at the risk of civil and criminal penalties.
11. To comply with [the Towing Ordinance], Plaintiff is required to use a telephone to report to the police department when he removes an illegally parked vehicle before the vehicle is removed from the private property.
12. It is the nature of Plaintiff’s business to operate from trucks that are constantly driving to carry out their duties to their clients, to check the businesses’ parking lots, check video equipment, and to tow and travel to release vehicles.
13. The use of a mobile, phone by Plaintiff’s drivers is necessary to make the required phone calls to the police department while in their vehicles.
14. [B]ecause of Plaintiff’s mobile business, he must be able to use his mobile phone to respond to inquiries regarding vehicles that have been towed and need to be released.
15. [The Mobile Phone Ordinance] prohibits use of a mobile phone, either handheld or hands-free, while driving a vehicle.
16. Plaintiff will suffer irreparable harm if Defendant is allowed to enforce [the Towing Ordinance] and [the Mobile Phone Ordinance] due to the threat of prosecution for violation of any notice requirements or use of a mobile phone while driving, which is a necessary part of his business.
*548 CONCLUSIONS OF LAW
3. Article II[,] §[]24 (1)Q) of the North Carolina Constitution states: “The General Assembly shall not enact any local, private, or special act or resolution: [r]egulating labor, trade, mining[,] or manufacturingf.]”
4. The relevant enabling statute for the Towing Ordinance is N.C.[ Gen. Stat.] § 20-219.2. Defendant has conceded that [section 219] is a local law.
5. “Trade,” as used in Article II[,] §[]24[,] . . . has been defined ... as “a business venture for profit and includes any employment or business embarked in for gain orprofit[]”....
6. [Section 219] and the [Towing Ordinance]... regulate trade within the meaning of [Article II, § 24(1)Q)].
7. Because [section 219] is a local law regulating trade, it violates [Article II, § 24(I)(j)].
9. In the absence of [section 219], the Town[] has not been granted the authority to regulate towing from the General Assembly.
10. Plaintiff will suffer irreparable harm if Defendant is allowed to enforce [the Towing Ordinance] and [the Mobile Phone Ordinance] due to the threat of prosecution for violation of any notice requirements or use of a mobile phone while driving, which is a necessary part of his business.
12. The North Carolina General Assembly has enacted general laws regulating the use of mobile phones by all North Carolina drivers by proscribing the use of cell phones for texting and other media..., by prohibiting all use of cell phones by drivers under 18 years of age..., and by prohibiting all use of cell phones by anyone operating a school bus....
*549 13. In regulating mobile phone usage . . . , the General Assembly has enacted a comprehensive scheme of mobile phone regulation.
14. As a result..., the authority of [the Town] to enact the Mobile Phone Ordinance is preempted, and therefore the ordinance is void, and without force and effect.
16. As a result of the foregoing, Plaintiff is entitled to a declaratory judgment entering the conclusions set forth herein and a permanent injunction preventing enforcement of [the Towing Ordinance] and [the Mobile Phone Ordinance].
Accordingly, the trial court determined that (1) N.C. Gen. Stat. § 20-219.2 is -unconstitutional, (2) the Towing Ordinance is unconstitutional as an application of section 219, and (3) the Mobile Phone Ordinance is unconstitutional as preempted by State law enacted by the General Assembly. The court permanently restrained enforcement of both ordinances, and this appeal followed.
Standard of Review
Conclusions of law and issues of statutory construction are reviewed de novo on appeal. State v. Biber,
“When a party moves for judgment on the pleadings, he admits the truth of all well-pleaded facts in the pleading of the opposing party and the untruth of his own allegations insofar as they are controverted by the pleadings of the opposing party.” Pipkin v. Lassiter,
[We review] a trial court’s grant of a motion for judgment on the pleadings de novo. Judgment on the pleadings, pursuant to Rule 12(c), is appropriate when all the material allegations of fact are admitted in the pleadings and only questions of law remain.
Discussion
On appeal, the Town argues (1) that the Towing Ordinance is a lawful exercise of its general police power or, in the alternative, that section 219 is a constitutional grant of authority sufficient to support the Towing Ordinance; and (2) that the trial court erred by addressing the Mobile Phone Ordinance in its order because Plaintiff is not subject to an imminent threat of irreparable harm or, if Plaintiff is subject to an imminent threat of irreparable harm, that the Mobile Phone Ordinance is authorized by the Town’s general police power. We find the Town’s primary arguments persuasive and decline to address either section 219 or the enforceability of the Mobile Phone Ordinance.
I. Die Towing Ordinance
In support of its contention that the Towing Ordinance is enforceable via the Town’s general police power, Defendant cites to sections 160A-174(a) and 160A-194 of the North Carolina General Statutes as enabling legislation. We agree that the Towing Ordinance is a valid exercise of the Town’s police power under section 174(a) and refrain from addressing its validity under section 194.
A. Municipal Authority to Enact Legislation
The North Carolina Constitution declares that “the legislative power of the State shall be vested in the General Assembly,” N.C. Const, art. II, § 1, which “may give such powers and duties to counties, cities and towns, and other governmental subdivisions as it may deem advisable.” N.C. Const, art. VII, § 1. Accordingly, “[i]t is a well-established principle that municipalities, as creatures of statute, can exercise only that power which the legislature has conferred upon them.” Bellsouth Telecomms., Inc. v. City of Laurinburg,
In order to determine whether the legislature intended section 174(a) to authorize cities and towns to implement towing regulations like the
“Early in our history, [the Supreme Court] broadly construed the State’s grant of legislative authority to municipalities.” Lanvale Props., LLC v. Cnty. of Cabarrus, __ N.C. _, _,
It is a general and undisputed proposition of law[] that a municipal corporation possesses and can exercise the following powers and no others: First, those granted in express words-, second, those necessarily or fairly implied in or incident to the powers expressly granted; third, those essential to the declared objects and purposes of the corporation.
Smith v. City of Newbern,
In 1971, however, the General Assembly implicitly overruled Dillon’s Rule by enacting chapter 160A.
In chapter 160A, the legislature made the following pronouncement regarding how courts should construe its various grants of legislative authority to municipalities:
ARTICLE 1.
[JSTATUTORY CONSTRUCTION.
§ 160A-4. Broad construction.
It is the policy of the General Assembly that the cities of this State should have adequate authority to execute the powers, duties, privileges, and immunities conferred upon them by law. To this end, the provisions of this Chapter and of city charters shall be broadly construed and grants of power shall be construed to include any additional and supplementary powers that are reasonably necessary or expedient to carry them into execution and effect: Provided[] that the exercise of such additional or supplementary powers shall not be contrary to State or federal law or to the public policy of this State.
N.C. Gen. Stat. § 160A-4 (2011) (emphasis added) [hereinafter section 4],
Our Supreme Court has since determined that section 4 “makes it clear that the provisions of [C]hapter 160A and of city charters shall be broadly construed and... grants of power shall be construed to include any additional and supplementary powers that are reasonably necessary or expedient to carry [those provisions] into execution and effect.” Homebuilders Ass’n of Charlotte, Inc. v. City of Charlotte,
Despite the language in Homebuilders, our Supreme Court has failed to broadly construe grants of power to cities and towns with uniformity. Specifically, when the language of a municipal statute is unambiguous, the Court has directed that such language “must be enforced as written.” Bowers v. City of High Point,
In Smith Chapel Baptist Church v. City of Durham,
Six years later, in 2005, we declined to use the plain meaning construction described in Bowers and Smith Chapel when interpreting certain sections of Chapter 160A. Instead, we relied on Homebuilders to hold that the City of Laurinburg had been granted sufficient authority under Chapter 160A to operate a fiber optics network. Bellsouth,
Most recently, in Lanvale, our Supreme Court determined that the language of certain zoning statutes was unambiguous and, thus, that the county-equivalent of section 4 did not apply to their interpretation. Lanvale,_N.C. at_,
Justice Hudson authored a dissenting opinion in that case, joined by Justice Timmons-Goodson, in which she argued for the implementation of a broad interpretation under the county-equivalent of section 4. Id. at 818-28 (Hudson, J., dissenting). In response, the Court asserted that the language of the statutes already provides “clear guidance.” Id. at_,
It is important to understand the two different approaches referenced in Lanvale. These approaches were clearly laid out in BellSouth, where we interpreted Homebuilders, Bowers, and Smith Chapel to be “consistent statements of the law and in accord with [section 4]” because they applied the broad construction mandate only where the statutory language at issue was ambiguous. BellSouth,
G. Interpretive Construction of Section 174(a) of Chapter 160A
Given the instruction we provided in BellSouth, we must examine section 174(a) in this case by asking: (1) whether the language of N.C. Gen. Stat. § 160A-174(a) is ambiguous and, thus, should be analyzed under the broad construction of section 4, or (2) whether it is unambiguous and, thus, should be analyzed under our stricter plain-meaning inquiry. We hold that the language of section 174(a) is ambiguous, and, therefore, we apply the General Assembly’s mandated broad construction when interpreting section 174(a).
The Town argues that it was delegated the power to regulate towing by the General Assembly as an element of the general police power granted to municipalities under section 174(a) of Chapter 160A of the North Carolina General Statutes. That section provides as follows:
ARTICLE 8.
DELEGATION AND EXERCISE OF THE GENERAL POLICE POWER.
§ 160A-174. General ordinance-making power.
(a) A city may by ordinance define, prohibit, regulate, or abate acts, omissions, or conditions detrimental to the health, safety, or welfare of its citizens and the peace and dignity of the city, and may define and abate nuisances.
Relevant to this case, section 177 of Chapter 160A elaborates that “[t]he enumeration in this Article or other portions of this Chapter of specific powers to regulate, restrict or prohibit acts, omissions, and conditions shall not be deemed to be exclusive or a limiting factor upon the general authority to adopt ordinances conferred on cities by G.S. [§] 160A-174.” N.C. Gen. Stat. § 160A-177 (emphasis added). In addition,
Unlike the zoning ordinances in Lamíale, section 174(a) fails to list specific circumstances where the general ordinance-making power may be employed. Rather, it enables municipalities to regulate the broad categories of “health,” “safety,” and “welfare” to the end of ensuring “peace and dignity” and “defin[ing] and abat[ing] nuisances.” Given the far-reaching meanings contained within these terms, section 174(a) is more akin to the statutes in BellSouth and, as such, ambiguous. Given that conclusion, the broad construction required by the General Assembly in section 4 of Chapter 160A is applicable here.
D. The Town’s Authority to Implement the Towing Ordinance Under Section 174(a) of Chapter 160A
Plaintiff asserts that section 174(a) does not operate as a valid enabling statute for the Towing Ordinance, despite its broad construction, for the following reasons: (1) the “North Carolina Supreme Court summarily rejected this argument made under county equivalents of [section 160A-174]” in Williams v. Blue Cross Blue Shield of N.C.,
Unlike the ordinance in Williams, the Towing Ordinance does not create a private cause of action against those individuals who would violate it. While the Towing Ordinance provides that an offender will be subject “to a civil penalty” if he or she violates the ordinance, there is no language granting a private individual the right to bring suit against the towing party. Indeed, the ordinance clearly states that a conviction for its violation shall result in “a misdemeanor,” which is a criminal sanction. Accordingly, Plaintiff’s first and fifth arguments are without merit.
We are also unpersuaded by Plaintiff’s second argument, that the Towing Ordinance does not fall within the broad construction of section 174(a). At oral argument, the Town commented that the Towing Ordinance requires certain signs to be placed “in an interval of one at every fifth parking space” for the purpose of informing citizens that they may be towed even when they lawfully park at a business and then walk to another business in a different parking lot. See also Chapel Hill, N.C., Code ch. 11, art. XIX, § 11-301(a) (2012) (requiring signs every fifth space to include the following phrase when the property owner has adopted a walk-off towing policy: “If you walk[]off this property, you are subject to being towed. This includes patrons who are frequenting business on this property.”). The Towing Ordinance also includes a credit card requirement for payment of towing fees, which Defendant states is meant to protect young people who get towed early in the morning and do not have the cash necessary to release their cars at that time of the day. See id. at § ll-304(d).
• While Plaintiff is correct that “[t] owing on private lots is done and allowed by state law for the purpose of protecting private property,” this does not obviate the need to regulate that process when it has become “detrimental to the health, safety, or welfare” of the citizens of the Town. In the “Findings and Intent” section of the Towing Ordinance, the Town
Third, Plaintiff argues that the fee regulations contained in the Towing Ordinance are invalid because (1) the General Assembly did not explicitly delegate the power to decide “what a reasonable fee is with regard to towing,” as it did with taxicabs, and (2) the fee regulations are “in no way related to the health, safety, or welfare of [the] citizens and the peace and dignity of the [Town].” We are unpersuaded.
The fee regulations state that a towing firm may not charge the owner of a towed vehicle more than the Town’s established fee schedule and must refrain from charging storage fees during “the first twenty-four hour time period from the time the vehicle is initially removed from the private property.” Id. at § ll-304(a). The provision also requires towing firms to provide receipt for payment and “[a] clear and accurate reason for the towing and the date and time of the towing.” Id. at ll-304(b) (4). Payment must be accepted if it is made by cash, one of at least two major national credit cards supported by the tower, or a debit card.
Fourth, Plaintiff asserts that the Towing Ordinance’s fee provisions violate his right to contract under the North Carolina and United States constitutions. In support of that point, Plaintiff describes the right to contract, generally, as a protected property right and cites to an opinion
As we have already discussed, supra, the Towing Ordinance was enacted to protect the citizens of the Town of Chapel Hill and provides a number of beneficial services to those citizens. In addition, we note that Plaintiff has offered no evidence that the purported “trespassers” are actually on notice of any unlawful parking. Accordingly, we find this argument unpersuasive. As Plaintiff provides no other evidence to support his fourth position, it is overruled.
Thus, after a thorough review of the Towing Ordinance and chapter 160A, we broadly construe section 174(a) of Chapter 160A —• as the General Assembly mandated in section 4 of that same chapter — and hold that the Towing Ordinance covers a proper subject for regulation under the Town’s police power. Accordingly, the trial court’s order as to the Towing Ordinance is reversed. For the foregoing reasons, we need not address the constitutionality of section 219 or whether the Towing Ordinance is authorized under section 194.
II. The Mobile Phone Ordinance
The Town also contends that the trial court erred in permanently enjoining enforcement of the Mobile Phone Ordinance because Plaintiff is not subject to a manifest threat of irreparable harm. We agree.
In pertinent part, the Mobile Phone Ordinance states:
[N]o person 18 years of age or older shall use a mobile telephone or any additional technology associated with a mobile telephone while operating a motor vehicle ....*561 This prohibition shall not apply to the use of a mobile telephone or additional technology in a stationary vehicle.
Chapel Hill, N.C., Code ch. 21, art. VII, § 21-64(b). The Mobile Phone Ordinance can only be enforced when “the officer issuing [a] citation has cause to stop or arrest the driver of such motor vehicle for the violation of some other provision of State law or local ordinance relating to the operation, ownership, or maintenance of a motor vehicle or any criminal statute[.]” Id. at § 21-64(e).
In issuing the preliminary injunction, which bars enforcement of the Mobile Phone Ordinance, the trial court concluded that Plaintiff would suffer “irreparable harm... due to the threat of prosecution for violation of... [the] use of a mobile phone while driving [provision], which is a necessary part of his business.” This conclusion is rooted in language from the Towing Ordinance, which requires: (1) that the towing company answer or call back within fifteen minutes of receiving any phone call made to the telephone number that it has posted on certain required notification signs located in the parking lots; and (2) that the tow truck operator who removes the vehicle reports by telephone to the Chapel Hill Police Department (a) the license tag number, (b) a description of the vehicle, (c) the original location of the vehicle, and (d) its intended storage location. Chapel Hill, N.C., Code ch. 11, art. XIX, §§ ll-301(a) (3), 11-305.
Arguing that the trial court erred by addressing the Mobile Phone Ordinance at all, the Town primarily cites two cases: Lanier v. Town of Warsaw,
It is a géneral principle of law that injunction does not he to restrain the enforcement of an alleged municipal ordinance, and ordinarily the validity of such ordinance may not be tested by injunction.
However, this principle is subject to the exception that equity will enjoin a threatened enforcement of an alleged unconstitutional ordinance when it is manifest that otherwise property rights or the rights of persons would suffer irreparable injury.
Lanier,
Relying on those cases, the Town argues that the trial court’s order was in error because:
No actual contested case was before the [trial court because Plaintiff had not been charged with violating the Mobile Phone Ordinance]. . . . There is no threatened enforcement of the [Mobile Phone Ordinance] evidenced in the pleadings. [And t]here is no claim in this case to establish any irreparable injury arising out of the implementation of the [Mobile Phone Ordinance].
The Town also points out that “[Plaintiff] could not be cited under the [Mobile Phone Ordinance] unless he already has been stopped by the police for some other valid reason.” Even then, a violation would only “constitute an infraction and subject the offender to a $25.00 penalty. No points or costs could be assessed.” See also Chapel Hill, N.C., Code ch. 21, art. VII, § 21-64(d). Accordingly, the Town concludes “the constitutionality of this ordinance should be left to be tested... when a citation is issued.”
In response, Plaintiff argues: (1) that the Mobile Phone Ordinance threatens tow operators’ ability to conduct their business, which cannot be done “without the ability to use their cell phones, free from threat of prosecution”; and (2) enforcement of the ordinance would result in “irreparable harm by the inability of [Plaintiff’s] drivers to use their cell phones.” We disagree.
We find the Town’s argument under Lanier and Structural Components to be persuasive in this case and hold that the trial court erred in concluding that Plaintiff was subject to a manifest threat of irreparable harm through enforcement of the Mobile Phone Ordinance. If Plaintiff wishes to challenge the validity of the Mobile Phone Ordinance, he must do so in the context of his own case. See id.
REVERSED.
Notes
. An early iteration of Chapter 160A sought to abrogate Dillon’s Rule explicitly, providing in its statement of policy that “the rule of construction commonly called ‘Dillon’s Rule,’ by which cities are held to possess only those powers expressly conferred by law or necessarily to be implied from some specific grant of power, shall not be followed[.]” H.B. 153, § 160A-4 (as referred to the House Committee on Local Government, 5 February 1971).
. We note that, in his explanation of the general law regarding the construction of those statutes delegating the State’s police power to municipalities, Plaintiff relies on decisions of our Supreme Court issued before 1971, i.e., previous to the enactment of Chapter 160A and its mandated “broad construction” under section 4. Plaintiff’s reliance on those legal principles, written under the auspices of Dillon’s Rule, is misplaced.
. As noted above, the credit card provision serves to protect young people in the Town who are towed late at night or early in the morning and lack the ability to pay with cash at that time of day.
. Plaintiff presents no argument that a contract exists or that the Towing Ordinance violates his particular right to make one. Rather, he cites broad legal principles related to the right to contract and then moves immediately to his “benefit versus infringement” argument.
