*1 that, Miller, permitted to show under 1972); Wright & Federal the cir- Cir. case, particularly Civil of this & Procedure: cumstances those § Practice of over one million judgment dol- in the first sentence of this dissent Where noted involved, this surely principle this he paragraph, should would have reason- lars ably not be overlooked. considered these misstatements insignificant. omissions to be material favorable to Finally, because Ca- join I sey, including respects, Judge the evidence described in In all other Mar- dissent characteristically opinion, sentence of this and the infer- is’ excellent al- first view though, my above, ences from such evidence could be under very stated necessary in his defense to the not be pertinent reach damage contention negligence, he is liable for do not issue at pages 781-784 and the prejudg- Casey can be held to have believe been ment interest issue at pages 784-785 of law, negligent as matter determined the majority opinion. pages majority opinion 775- stage at this
777. The evidence Casey issue is that read negligence form in draft
proxy statement failed to view, my evidence,
correct it. In alone,
standing is not a sufficient basis for Casey, who neither a
holding lawyer nor director, by summary inside liable proce- ASSOCIATES, INC., LINMARK and Wil- Casey dure. I believe was entitled to a Mellman, Plaintiffs-Appellees, liam by a fact finder after trial decision on the issues needed to factual determine whether The TOWNSHIP OF WILLINGBORO position in his reasonable director Daly, Defendants-Appellants. to, Gerald objecting in not negligent referring counsel, or Litton’s to Monroe’s the possible 75-1448. No. omissions, including failure adequately to States Court of Appeals, United interest, reveal conflicts of in the proxy Circuit. Third materials. proof Casey
There is was con- Argued Oct. sciously alleged aware misstatements April 28, 1976. Decided and omissions or of materiality. their question critical is whether he should have
noticed and corrected defects. But the quite
defects themselves are technical. The relating alleged
defect agreement hinges
vote reading language of the
proxy connoting materials as a legally bind-
ing obligation to vote for the merger on the
part of Litton and Monroe. Similarly, the majority opinion
thrust of the with respect alleged
to the disclosure of the conflicts of
interest is that Casey should have realized the relevant facts were presented sufficiently prominent form and that the
disclosure therefore inadequate. As a
non-lawyer director, and an outside Casey
might easily be excused for not having his finely
antennae so tuned to semantic and event,
formal “defects.” he should *3 Gottlieb,
Myron Kessler, H. Tutek and Gottlieb, Bordentown, J.,N. for defendants- appellants. Hauch, Jr., Archer,
John P. Greiner & Haddonfield, Read, J., plaintiffs-ap- N. pellees. support cannot find in the record for GIBBONS, Judge, MAR- Circuit Before conclusions, legal court’s we reverse. district Judge Court of Customs
KEY,* Chief WEIS, Circuit Appeals and Patent Background Historical Judge. development
Residential
chiefly
the late 1950’sis attributed
OF THE COURT
OPINION
Sons, Inc.,
which built moderate
Levitt
MARKEY,
of Cus-
Judge,
Chief
Court
homes for
income
middle
families.
ly priced
Appeals.
Patent
toms and
complete,
now
Development,
virtually
pro
Associates,
(Linmark),
Inc.
through the
whereby
“part system”
Linmark
ceeded
Camden,
corporation of
New
Jersey
(parts)
areas
were sequentially
distinct
New
ten
premises
of residential
In the
Jersey
early stages,
and owner
Levitt
developed.
re
Drive,
Township
minority group
to sell
houses to
fused
Sherwood
*4
The
Jersey (Willingboro)
Jersey
New
and
New
Willingboro,
Supreme
members.
Court
(Mellman)
housing
Re-
racially
of Mellman
based
enjoined
Mellman
dis
William
Sons,
Cinnaminson,
Levitt
Inc. v.
Lin-
and
Divi
Jersey,
New
of
crimination.
altors
Discrimination in State De
broker, challenged
Against
estate
sion
real
mark’s
Education,
of
31 N.J.
a
constitutionality
Willingboro
partment
of
dism.,
177, appeal
and A.2d
the erection of “For Sale”
which barred
have
very successfully.
working
level,
of us in the official
most
I think
Township council consulted the Will-
citizens who
were con-
and most
Human Relations
ingboro
Commission for
to,
it that I talked
felt that
about
cerned
recommendations. The
and
re-
its views
irrational reaction on
part
was an
the
this
was described
the trial
Mrs.
sponse
people,
dealing
and
we were
many
of
Gladfelter, a founder-member of the Com-
problem that we
psychological
with a
had
chairperson
and
1973-74:
mission
way
give people
to
find some
feel-
to
Yes,
we specifically
I think
were recom-
stability
they
so
would not over-
ing of
mending at this time that council move to
situation.
particular
to a
react
possi-
an ordinance or
other
consider
anyone was concerned
I don’t think
prohibit
signs
sale
way to
and sold
ble
minority groups moving
of
people
with
township.
throughout
reaching
per-
or
a 20
community
into the
of
was describ-
cent,
range
even somewhere
of
Commission
The concern
minority grouping.
by Commission
Al-
percent
to 25
trial
member
ed at the
properly
was
as
generally
felt this
W. Porter
follows:
They
exander
Willingboro dwellings
having
Typical
were built in a
lots
60-70 foot street
constructed
street,
line,
frontage.
distance from the
the same
sell;3
panic
to
like
owner wished
about
selling;
Commission would
to
I think
signs
remaining
is as
for six
up
which
harmonious
“Sold”
about
see a
requiring
violation of an ordinance
choose
be without the kind
it would
weeks
term,
(in
in five
days
response
I
use that
if
removal
their
pressures,
great
cited the
dif
people
induce
sell when in
members
would
which Council
which
sell;
“forest”
enforcement);
want
about the
ficulty
don’t
think
fact
thing
impression
the ordinance was
signs,
created
that’s
something wrong
the com
was
with
at.
“there
directed
per
consequent departure
munity,”
responding
and react-
Individuals
might otherwise
remained.
sons who
or,
signs,
one
ing
a rash
and representatives of real estate
Realtors
another, and another and
lead to
spokesmen against
were the main
brokers
another.
ordinance, describing
signs as
the concern the
that’s
Commis-
I think
in their
needed
business.
re
“tools”
Some
trying
address.
sion
questions
injected race
in their argu
altors
effect of “For
concern
Public
ordinance.
ments
One realtor
“Sold”
had
wide-
become
Sale”
whether the
questioned
council
funds to
had
an
1972 and became
issue
spread
the ordinance in litigation.
defend
membership
on the Town-
elections
The Council’s normal
ship
policy
At the end
the second public
Council.
hear
ordinance,
public meeting
ing,
hold one
after an
which took
was to
the form of
prior
had been drafted
to a
and before its
amendment
ordinance and
respect
posting
adoption.
signs,
With
how-
“For Sale” and
prohibited
“Sold”
ferment,
ever,
public
property
residential
years
two
than
after
homes,
two
hearings,
unanimously
public
adopted
conducted
one model
Council
Council,
1974)
Township
Mayor
and one after
(February
Kalik abstain
before
18, 1974)
drafting
ordi-
she considered her status
(March
because
More than 50 citizens
raised a conflict of
herein.
realtor
interest. The
nance
hearings,
during
public
plus
their views
the more than
of both
those
presented
minutes
*6
exclusively
ques-
meeting
adopted
the
which
hours devoted
the
four
of the Council
signs on residential
at
the
property.
tion of the
and
which
Council mem
regarding phone
vote,
were stated
the reasons
their
Complaints
explained
for
bers
calls,
(P-3)
and house-to-house solicitations
and
letters
transcribed
made an exhibit
were
inquiring whether
the
by realtors
home-
trial.4
at the
sell,
signs
would be offered
the
of
and solicitation to
the
these
in
nature
3. The effect
“I think
agreed
they
joint exhibit.
It’s
employed by marauding
do
blockbusters
subtleties
accurately reflect what was said at the meet-
stemming
difficulty of
their actions
and the
subject. However,
the
ings on
the truthful-
point
“tipping”
the
reached —after
before
admitted,
the statements
is not
but
ness
process is irreversible —are all
the
de-
which
were made is.”
fact
Note, “Blockbusting,”
in
59 Geo.L.J.
scribed
appear
to rest substantial-
The dissent
See, also, Comment,
(1970).
“Blockbust-
170
acceptance
ly
of the truth of selected state-
Legislative Response
ing:
and
Judicial
Real
public hearings.
at the
made
same
ments
Excesses,” 22 De Paul
Dealers’
L.Rev.
Estate
decision below.
of the
is true
“Blockbusting:
Statutory
(1973);
A Novel
818
course,
only
can
Exhibit P-3
stand
for the
Of
Increasingly
Problem,”
Approach
Serious
to an
statements, mostly argumentative
fact
(1971);
538
Soc.Prob.
State
&
Colum.J.L.
cross-examination,
subject
none
and
Comment,
in
are collected
“The
decisions
court
references,
Except
three minor
Ex-
made.
Constitutionality
Municipal
Ordinance Pro-
day
ignored at
the two
trial
P-3 was
hibit
‘Sold,’
Sale,’
‘Open’ Signs
hibiting ‘For
or
herein.
Blockbusting,”
Prevent
St.L.M.L.J. 686
Ass’n.,
Industry
So-
As said
Construction
Petaluma,
City
City of
522 F.2d
noma
“super legislature”
(9th
1975)
are not a
we
Cir.
initially
by
P-3 was
submitted
“weigh
reap-
4. Exhibit
and
are not authorized
and
Township
with a motion.
ignored
connection
At
praise
considered or
the factors
opening, plaintiffs’
body.”
legislative
counsel stated:
trial
Mellman, plaintiff
rested. Defendant
Proceedings Below
plaintiffs
for failure of
for dismissal
moved
four months after the ordi-
filed
Suit was
their burden. Decision was re-
carry
witness, Mellman,
One
adopted.
nance
served,
again
the motion was never
but
His direct testi-
side.
plaintiff’s
testified
mentioned, perhaps because defendant had
in the statement
mony
indicated,
motion,
consisted
prior
plain-
to its
sign
nonavailability of a
slowed the sale
rely
intended to
on “evidentia-
counsel
tiffs’
presented by defense.”
property
co-plaintiff
ry proofs
the residential
Inc.;
Associates,
that he had had
Linmark
witnesses,
presented
seven
Defendant
Linmark, as well as from
from
complaints
Heath,
Kearns and
Human Re-
Councilmen
homeowners,
regarding
(unnamed)
Commission members Gladfelter and
lations
furnishing buyers
saying,
Porter,
Human
Relations
Commission
slowness
Rev. Ernest
Lyght,
Shaw
put
up?”;
and that
“Why
you
don’t
Chairman
agents
estate
Evans and Connolly.
real
inquiries
of his
re-
of 30%
had
average
signs
many years.
over
Mell-
sulted from
brevity
Because of its laudable
and its
the ordinance caused
understanding
not state
of our
did
to an
decision
man
relation
herein,
opinion of
district court
specific loss of
actual or
sales or
him
margin.5
presented
After
the cross-examination
commissions.
ordinance,
parties,
describing
precisely
be no doubt that this is
5. After
There can
town,
positions
parties,
Willingboro
of the
and the
desired
Town
the
remainder
herein in its
result
However,
opinion
adopting
of the district
court
this
ordinance.
Council
entirety
key
reads:
between
distinction
Gary
Gary,
is that in
the stimulus and
Indiana
Gary,
city of
Indiana
An ordinance
easily
response were
observable. As “For
Sale”,
display
prohibited the
of “For
appeared,
disappeared
whites
Sale”
“Sold”,
signs in
similar
residential areas
or
city
Willingboro,
en masse. Yet in
there
upheld
where it
as reasonable
was clear-
Rather,
patterns.
evidence of similar
proliferation
exists
ly apparent
of the “For
merely an indication that its residents
tendency
provoke
there
in a
resulted
Sale”
large
Realty,
that there
be a
influx
selling.
City
are concerned
panic
Barrick
Inc. v.
groups moving
minority
Indiana,
in to the
F.Supp.
(N.D.Ind.
town with
Gary,
1973),
being
proper-
effect
a reduction in
(7th
1974).
resultant
F.2d
the
ty
ues,
Cir.
affirmed
declining property
This fear of
val-
values.
stated:
The Court
however,
very
although
property
real to
public
potential
benefit
“The
from the ordi-
Willingboro,
is not and
outweighs
cannot be the
owners
concern
abridgement
the harm to
nance far
realtors
of this court when it results in an
signs.
who wish to use ‘for sale’
homeowners
rights.
of constitutional
expense
delay
might
additional
decision,
spite of its
the Seventh Circuit in
having
to use alternative means
result from
very
recognized
that “The
advertising
F.Supp.
Barrick
is minimal.” 354
is censorial. First Amendment
the ordinance
interests are therefore
Thus,
ques-
as well as commercial
similar to the one in
an ordinance
*7
by this ordinance.”
793
censored, the
message
purpose and
of
effect
Issues
ordinance, and its
to the public
relation
upon to decide whether
called
We are
an
the police power.
as
exercise of
welfare
striking
in
down
court erred
district
on
proc
To defeat
ordinance
due
violative of
the First
(1)
ordinance
grounds
pro
under other constitutional
ess
guarantee
speech,
of free
Amendment
visions, however, Linmark and Mellman
to
infringement
right
of
trav-
as an
(2)
establish,
facie,
prima
must
least
el.
is
arbitrary
so
ordinance
unreasonable and
infringe
to amount to
impermissible
Proof
of
guarantees.
ment
constitutional
Burden
Gold
Hempstead,
590,
v.
82 S.Ct.
blatt
369 U.S.
bodies,
legislative
state
of
Acts
987,
(1960);
795 legitimate public served a welfare residence interest has been fact mercial manner place and limita- signs incorporate thus a the incidental present and The sold. speech falls upon element. on noncommercial “nonspeech” Unit- tion substantial 367, unspoken or invisible O’Brien, 376, “message” or commu- 391 U.S. 88 v. ed States nature 672, of a insufficient to override 1673, 1678, (1968), L.Ed. nication S.Ct. interest on First Amendment public Justice stated: Chief grounds. when held that “speech” This Court are “nonspeech” elements combined and That a communication is com conduct, suffi- same course a in the not strip nature does facto ipso mercial in important governmental interest ciently of its First Amendment the communication nonspeech element can regulating is “exception” There no protections.10 limitations First incidental on
justify limitation exempts a on commercial which freedoms. Amendment communications, “advertising,” scrutiny. That a communica constitutional does at present not does, however, permit is commercial tion regulate the to dictate or content of tempt municipalities weigh impact on signs, particular signs it forbids permitted public of the manner in which the general area, e., particular ain i. it limits altogether is made. And if that im communication signs, leaving of the involved location detrimental, be found and the limita pact conveyance available for means other pure speech element any on be found tion nonetheless, scrutiny, Our content.8 their minimal, the manner which communica whatever message consideration of impels may regulated. is be made Valentine tion signs. Though the mes reside may Chrestensen, 52, 920, v. S.Ct. us is primarily before sage of L.Ed. message, it is clear that a “For commercial includes an necessarily additional sign Bigelow Sale” was characterized in Chrestensen e., is leaving i. owner this message, “The Virginia, 421 U.S. v. residence,” and a includes the (1975), “Sold” 44 L.Ed.2d as follows: has left “The owner this resi message, holding dis- But the [in Chrestensen] detect, We unable and noth dence.” one: tinctly a limited ordinance was of,9 speaks possi in the record upheld regulation as a reasonable of the message and “For Sale” “Sold” ble advertising manner in commercial appears As property. herein- residential be distributed. fact that it had could below, the limitation we consider on the banning particular hand- effect place whereby and wherein manner mean that Chrestensen does bill messages may conveyed to have both proposition for the that all stat- authority governmental paramount on a advertising based been commercial regulating utes interest, wit the termination from constitutional chal- public are immune and its selling psychology impetus obviously 'to sup- case does not panic lenge. The segregation. way, proposition another housing sweeping Stated that adver- port any the manner place tising unprotected per and [Emphasis conclude se. we speech herein footnote commercial and limitation added omitted]. Calif, may Electronics Although 8. In Terminal-Hudson one author consider the exal- 10. Affairs, F.Supp. sterile, Dept. momentary, of Consumer ex- commercial tation (D.C.C.Calif.) three-judge transactions, by struck down a change equating court them to the prohibiting provision advertising all Amendment, code majestic First of the to be status optome and services of commodities cost of constantly press who the Su- unwise: “Those trists, provision permitted because the no other up every preme face issue to stand Court comparative price information means sight utility lost squarely be obtained. could edges keep cutting softening them from our Karst, Law, Community apart.” Law us below, testimony There was no exhib- Future, Assembly, American the American relating message being it, to the nature herein. the ordinance censored *10 796 in are by highest public banned the state matters of the inter- advertisement
The Virginia newspaper a appeared in U.S., 376 266 Bigelow and concern. at est [84 York. services in New S.Ct., 718, L.Ed.2d, for abortion 11 was at at 698]. Virginia could neither noted that court The respects, crucial advertise- In the the in legal services the advertiser’s regulate the present record resemble ments prevent Virginians from York nor New ad- rather than the Chrestensen Sullivan York to themselves traveling New avail expresses position None a vertisement. Because Virginia the those services. whether, aas matter policy, of social to have in their were found erred courts positions ought filled to be certain pro- that no First Amendment assumption sex, of one the other nor does members advertising, attaches Su- tection criticize the or the them Ordinance any of unnecessary it to decide found Court preme practices. enforcement Commission’s advertising may extent to precise no more than a possi- proposal of Each The court then commented: regulated. be employment. The are advertisements ble public expression, like all Advertising, examples of classic commercial thus regulation subject be reasonable may speech. legitimate public interest. serves a here, in respects, So all crucial Pittsburgh Press Pittsburgh Co. v. See and “Sold” in themselves Sale” “For on Human Relations. Comm’n Chrestensen rather than Sullivan resemble Press, 376, Pittsburgh In U.S. S.Ct. The of a subject message matter. visible reh. 37 L.Ed.2d den. U.S. proposal a a commer sign is “For Sale” (1973), city 38 L.Ed.2d a 94 S.Ct. transaction, the sale of residence. cial forbidding sex in classification message is an visible “Sold” The newspaper employment advertising that a sale transaction advertisement infringe not First Amendment held completed.11 Neither, itself, con been Although dissenting opinions rights. on social policy, grievances, comment tains Pittsburgh Press were critical of Chresten- abuses, criticisms, or the like.12 majority relied on sen, opinion speech herein Though primarily it v. with New York Times Co. compared commercial, duty our remains of bal- one Sullivan, governmental ancing the interest involved (1964), as follows: L.Ed.2d precise imposed. limitation As against feature of critical the advertise- The Supreme Court expressed in Valentine Chrestensen ment Bigelow: view, that, it did no more in the Court’s escape not of assess- a court task transaction, propose commercial than the First Amendment interest to a submarine. sale admission weighing public stake Sullivan, Co. v. Mr. York Times New allegedly served by regula- interest Brennan, Court, for the found Justice tion. distin- easily advertisement Chrestensen guishable: preservation of a desirable community impels priority of the commu here publication was not a “com- needs over the needs of those who nity’s in the sense
mercial” advertisement
conduct commercial transactions
was used in
the word
Chresten- would
information,
fit,
see
community
long
so
ex-
sen.
It communicated
are
reasonably
recited
needs
es
opinion,
grievances, pro-
pressed
those
abuses,
means
sought fi-
and the
chosen to meet
claimed
tested
tablished
infringe upon
not
support on behalf of a move-
do
the fundamental
nancial
them
objectives
rights
existence and
of individual business-
ment whose
constitutional
consider,
message,
prohibit
post,
“Sold”
could result
11. To
We
“invisible”
impression
conveyance
e.,
people
leaving.
that houses
i.
could
be sold.
were on sale but
*11
neighborhoods
ordinance
the
present
segre
That
the
denies
men.
destructive
realtors the
and
freedom
homeowner-sellers
effect of a panic selling psychology,
gating
particular
the use of a
sales tool
continue
that
that Township interest
is suffi
and
clear,
not
is it
but
fatal. Nor
new. Con-
justify
is
a prohibition of “For Sale”
cient
stitutionally affirmed laws abound that lim-
signs,
“Sold”
physical
the
embodiments
and
practices. Nor does the record
business
it
plaintiffs’
speech,
commercial
residen
of
district court’s
the
characterization
support
property.13
tial
It’s
as “serious.”
effect on
the denial
of
is, most,
at
the pace
to slow
of
plaintiffs
of the Ordinance
Purpose
30% inquiries
the
of
received from
sales
Nothing in the
indicates
record
to that
the other 70% received from
signs
ads,
present
the
the thrust of
ordinance
Newspaper
in-town
that
sources.
or
displays
possible
or other
means of
the
of a
was
maintenance
racial balance
window
fully
imbalance,
the
to sell
conveying
desire
remain
that such
desire
was the
sold,
all. Houses will still
nothing
available
And
indi
the Council.
of record
quickly.
not as
though perhaps
Most im-
equata
“preserving stability”
cates that
solely
fewer
be sold
because
portantly,
“racial
or to
herein to
discrimination”
ble
had a fear of minorities. We
seller
the
given
the maintenance
numerical ratio
the limited denial
occasioned
consider
persons
white to nonwhite
in the commu
herein to result from a rea-
ordinance
the
nity. Only by refusing
minority
to sell to a
power
police
exercise of the
in fur-
sonable
Willingboro,
in
buyer anywhere
could
public
by forestalling
the
welfare
thering
population
ratio of
be main
set
selling
offspring,
and its
segregation.
panic
herein,
“Stability”
as the record
tained.
shows, means diminution of the number of
argue
and Mellman
Linmark
the
leaving on the basis of fear alone.
neighbors
inadequate.
interest herein is
governmental
Realty Co.,
however,
F.Supp.
v.
304
Brown
State
persuaded,
the con- See
We are
1236,
(N.D.Ga.1969). Obviously,
is of
public welfare
sufficient
1238
cept
uphold
Township’s
interest
could
itself control who
absence
breadth
stable,
racially
protecting
integrated
moves in.14
testimony
There was
herein
13.
housing
precedence.
Village
In
took
of Belle
unsightly.
governmental
Aesthetics
1,
Boraas,
1536,
416 U.S.
94
39
S.Ct.
Terre
supported
which have
limitations on
interests
Supreme Court,
(1974),
citing
L.Ed.2d 797
application of the First
full-force
Amendment
Parker,
98,
U.S.
348
99
Berman v.
75 S.Ct.
advertising,
outdoor commercial
St. Louis
L.Ed.
said:
Louis,
Advertising
St.
Co. v.
Poster
power
legislature
It
within
(1919);
63 L.Ed.
United
community
should be
determine
Advertising
Borough
Raritan,
Corp. v.
healthy, spacious
(1952).
beautiful as well
as well
Q. of the ordi- that in fact or assumed. So for sale didn’t prohibiting nance similarly Commission member A. W. Porter problem; entirely solve is that what testified: saying? you are neighborhood If the was or to be all And there was A. No. no intent on black, if and that is a choice, decision by Commission in part making involved, of the individuals then choice a recommendation. There was no such I believe Commission would have no this going was to somehow thought neighbors, about that. But if concerns problems. But it was all racial felt solve township are being residents one approach, aspect this was one thing into this kind of pushed by the problems, overall dealing specifically with or signs, then I think presence this matter of creating panic to deal with concern the Commission’s would be that we selling, clearly realized be, ought not to this is not the free change, see, cause a in could the racial people ought exercise, choice to community. balance exercise. should you Do your- THE COURT: concern Kearns testified: Councilman balance; things with selves such Now, you you, said that Q. as a coun- mean, instance, for an you do 80/20 ratio mayor, cilman and former were not con- necessarily a balance? minority groups in cerned the com- WITNESS: No concern with THE rat- reaching munity a level of perhaps 20 to ios, absolutely none. Simply open- of the total percent population; cor- ability to live in the ness community rect? in anywhere the community one correct. No concern with A. That’s chooses. ratios.
tation? balance, openness. ance,” BY MR. GOTTLIEB: A. Q. So No, it doesn’t have but should when probably you use say complete, numerical conno- I the term “bal- shouldn’t total say groups ing ever A. Q. [*] this your Absolutely not. your ordinance to feeling that council was [*] moving discussion in [*] into town? ¡fí restrict council, [*] minority was it utiliz- [*] part testimony 15. No of Evans’ established a (in that view were somehow evil the absence of discriminatory desire in him. Nor could his ratio) maintain set acts to would not be personal Township views be attributed to the binding on the Council or constitute evidence testimony The full Council. Evans establish- purpose enacting of the Council’s the ordi- to es that his reference “80/20” involved Evans was not nance. Council and did sales, changed his own which had not policy Willingboro. not make Plaintiffs’ passage short four months since of the ordi- objected, properly, counsel to Evans’ answer- nance, way guessing” and that he “had no question as to whether “conditions in the percentage minority what “overall sufficient to warrant the or- [were] groups Willingboro” was. Evans’ view that dinance.” represents “stability,” ratio 80/20 even if two, number question In answer what- Blacks, Spanish persons, Q. notion as to what preconceived have no have-you? people ought to be. percentages Absolutely trying not. We were A. interest lies in avoidance public reaction on the the emotional prevent leading panic climate psychological way It was in no related of sellers. part impetus housing and its resultant selling, community. moving into people was, here as the district court segregation, Heath: Councilman referred the court recognized, Now, per- I understand that Q. Realty, City Gary, Inc. v. Indi Barrick community, minorities in the centage of (7th ana, 1974) F.2d 161 these Cir. increased; that cor- however, had been terms: rect? banning history of the ordinance correct. A. That’s signs shows that it aimed Sale” “For selling and that its panic shows township exhibit Q. your But resegregation. passed It was halt now; and to eighteen percent it’s of numerous presence response an unstable con- represent you, does *13 signs neighbor- in some white “For Sale” condition? a stable or dition whites move en hoods, caused to sufficient infor- think it’s A. I don’t There replace to them. blacks masse judgment stability to pass as mation real in the record that some evidence is know, You instability. simply or —the these placed brokers who estate simple figures. en- plaintiffs) actively including any (not you great concern? Does it cause Q. by unlawfully couraged resegregation cause me concern? Does it A. before quickly to sell whites urging neighbors property and lower black had Q. Yes. signs proposed Plaintiffs’ a com- values. Personally there because A. pat- part transaction that is mercial Willingboro, no. cause in Would it blacks transactions, all of which taken tern that I large felt that number me concern City lead a result that the together were Be people panic-selling? Yes. try to properly prevent. can Gary white, or and be blacks or they black 163-64. F.2d moving in. whites Township indicated, As above rapidly capriciously not act or did Council years herein. It waited two arbitrarily or simply A. Do I think [sic] It It consulted. investigated. It to act. people of our black percent 18.2 its It exercised public meetings. two held position? an unstable presents its carrying out judgment, unanimous Q. Yes. experi of its basis duty, on the prescribed A. No. threat panic-selling ence with anything on that chart Q. Is there the full results That community. represents think an you unstable terminated sought be here panic-selling or imbalance you an of what condition than extant as rather incipient, population ratio should be in think controlling. Barrick, be cannot Willingboro? Willing found that court district they are two different I think A. pan alleviating problems “of goal boro’s one, If I could answer there is questions. meritorious,” distinguished ic-selling but think, nothing on here that causes me to the basis that evil results Barrick values, statistics, looking (reduction at the it’s unsta- in property panic-selling establishment) ghetto16 question one. segregation, number answer ble. minority apparently “ghet- simply an area of concentra- court defined 16. The district than property values and of low an area tion: to” as inhabitants, rather caused deterioration encourage attempt flight.” mere “white happened Willingboro. yet had 3604(e). argument made the See Brown State same § counsel 42 U.S.C. Plaintiff’s Co., herein admitting, however, Realty supra. Bar- The ordinance us that the before nature and constitution- preventive be being correct if those evil result rick present case fits proven ally permissible, had been to have occurred. results worth adage, prevention “an ounce of to forbid termination of a cause But of cure.” pound until effects its detrimental panic-selling would be burdened the had Barrick, that the court in it critical isNor That form over substance. exaltation “white panic-selling concerned incep combating bar at its approach would neighbor neighborhoods.” Whether so problem plaguing now very tion the Barrick, fully “white” inte as in hood where measures such as many urban areas here, panic- the final effect of grated, necessary.17 now found To “busing” are same, e., i. selling is acceleration seg to await the evils of force segregated housing pat toward movement it has so avoid successfully regation, anything, panic-sell If avoidance of terns. date, principle of Barrick so that ed greater significance in a may have even ing employed in an effort to may thereafter us, which, like before neighborhood those back, approach seems to us an devoid fight integration, be avoidance has achieved common sense. designed preserve cond desirable ition.19 prohibiting an ordinance “For Sale” Thus signs in neighbor “Sold” residential specifically ordinance herein That constitutionally acceptable homes, was found
hoods on model where no permitted possible, a reasonable halt message Barrick as means to further “invisible” *14 panic-selling resegregation and rampant its the that the was fact confirms appears against No reason of record to message the invisible effects. directed e., same i. signs, people that the ordinance18 is not that leaving. were indicate the constitutionally as a acceptable more with the district court that home agree even We to halt early panic-selling means assume that having should not black reasonable owners segregation effects. The will result incipient always prop in lower neighbors and its Housing prohibits comes, Act the values.20 erty day federal Fair Until 17. That circumscribed Atter by public See, also, ghetto that I people pensive been the concerned anybody low twenties? ous neighborhood into a much for a house would want minorities subvert THE THE Do THE WITNESS: THE THE THE Brown, supra, witness. schools heard you [******] out of a town? who could WITNESS: COURT: COURT: COURT: COURT: house Miliken would testimony 3112, 3117, about someone feel of, is set forth in sold make a As a Low It Why afford note Bradley, along I don’t. Yes. must in the the here —that neighborhoods peopled ghetto? price someone lawyer, would ghetto effort to that would the L.Ed.2d low p. paying of houses in the I never 107 and line, you Twenty $20,000 range. out of would been a the least ex- paying to turn this desegregate or think that —and thought make a at you p. previ- town. Years least it’s be at 20. 18. The ordinance 19. court prevent effort tion. ties pra, note toward before cess-preserving has. Courts crimination” selection, Roads F.Supp. ing v. Chairman 1974. black neighborhood sold The The Federal A. who and herein, changed us and Revenue following When the low families, many achieving prevent segregation have succeeded in 1, see and, pp. (N.D.Ga.1973) income should to “freeze and Board of Commissioners was Twenty land use Government, by attacking zon- 100-108, efforts of hands from white families to began transpired in DeKalb first three homes that were entirely course, what hesitate to housing Years Añer white devotes in” in powers employed to DeKalb those say there cited different Real Estate Board at trial: achieving in in site and tenant impede families suburbia, Willingboro few communi- by yeoman County, Brown, the no “dis- the suc- integra- already district effort in an su- in must, court erred in reprehensible attributing when such district come groups of people within broad views of those unworthy lumping the Council ceased, however, phe response who would flee in generalities homeowners be, flight” as “white must known syndrome. Con nomenon a “blacks-lower-values” indi with. above being, dealt is purpose, As. review of Council’s cluding its cated, recognized, its existence declining “fear of stated that the court * * * unlawful, is made encouragement cannot values property Act, 42 U.S.C. Housing Fair federal when it results in an concern of this court 3604.21 But, § rights.” abridgement of constitutional recognition though the Council acted recognized and at- Township Council effects, fear, not to it acted to chill its problem same to deal with tempted proliferation signs plays it. The foster us. To slow before adopting the ordinance very properly fear so excoriated artificial, pace of racial fear-accelerated Prohibiting signs district court.22 re specific population seek not to change is Striking genesis moves the of that fear.23 itself a form of racial not ratio expunge the ordinance cannot down a fact human When ex- discrimination. “sell before it’s too late” notion from panic-selling, recognized such perience, Willingboro. of all minds homeowners firing those on the line acted course, intent, Contrary, of to its desire and community, we the more cloistered stifling court’s conjectures the district interpose regard- our the Town should strangle action, ship’s such in the ab- effort birth the fear of to stifle motive blacks-lowering-values could only evidence of violation of fun- result clear sence continued, rights. sign-generated encourage- constitutional damental express very regarding entry and to concern that all by representations worried or that were then for sale homes of the other entry neighborhood prospective into the of a black, go from white to and that also particular race, color, persons person changed entirely. neighborhood will be sex, origin. religion, or national As amended desegregate ghetto. They’d be left to 93-383, VIII, 808(b)(1), Aug. Title § Pub.L. fear, lot of and I invested a lot There was a Stat. 729. point trying people to talk to of time at below, apparent put of its influence we rushing Because their home on the about not flight” just move to another herein “white element market and discuss *15 people by were transferred in generated some because of lower “For values of fear military. jobs clear, however, their or signs. “Sold” It is and Sale” they way, why If felt that THE COURT: any neigh- proliferation of such in that a borhood, go? They very good them wouldn’t be not let in a nation of citizens of one even anyway; they? neighbors would happy (or nation of the color- in that color not, Perhaps panic- but THE WITNESS: impression productive of the blind), is something selling is not that seems to work many leaving something wrong, and low- is very for a well life. phenomenon The are imminent. er values difference does THE COURT: What it being as sellers rust to avoid itself feeds make where he lives or what color he if over-supply any product for of The “stuck.” good neighbor? he’s a How would that de- likely recognized to lead to lower sale is preciate value? personally he prices. Mellman said Plaintiff agree you. agree I THE WITNESS: with many signs in a “too discretion because used you. IBut think when there is an atmo- properties be- particular not market panic, people area” does sphere of tend to settle for less people.” asked scare When “it than value of market value of their cause house. right. watches, said, “Yes, you All COURT: Mellman I think THE about any market.” can overflood Discrimination the sale or 3604. rental § housing of parallels herein the fed- the ordinance 23. Tl'.us applicable section 3603 of this As made Act, Housing which makes unlawful Fair eral except exempted by and sections title 3603(b) discriminatory expression of intent. title, the written 3607 of this it shall be also, 3604(c). United States v. See § 42 U.S.C. unlawful— Hunter, denying application supra, of First protection to an advertisement of attempt (e) profit, to induce or to in- Amendment For any dwelling any person or in a home.” to sell rent available “white duce a residence Barrick, As was said in from other sources. ordinance herein that fear.24 The of ment supra: adopted at the instance of those con that in plaintiffs’ flee from blacks. On the exhibits reveals would of who One 1972, prior the date the ordinance be- the white to it was aimed trary, nearly of effective three-fourths to by those who wanted whites came flighters per- to home sales were Realty’s Barrick in. ordinance blacks moved An stay when to property by attracted first sons to of a human designed blunt effects sign. other than a means “For Sale” not be struck should down because foible the ordinance does it un- not make Thus An intended exists. foible house; sell a difficult to duly it only of anti- designed impede to exercise slightly it more expensive to do so. makes cannot itself be considered anti- fear black Accordingly, the burden property of fighter The cannot be cancer black. small, rights effect on the existence cancer. for the blamed insignificant. to travel is right statement following agree with We support can we find in the record for Nor Legal Educa- Defense and NAACP of the purchas- court’s conclusion that district Fund in its amicus curiae brief tional broker, be “forced” use a would ers 165): 491 F.2d (quoted at Barrick might be the only capable a broker one of both the black and white interest buyer, or that “he alone” apprising outweighs in stable communities citizens homes for sale. As the testimony aware having to uti- any minor inconvenience clear, newspaper ads were widely made methods for advertisement alternate lize freely and remained available. There used gathering. information percent- at trial as to the no indication through prior homes sold brokers age Ordinance The Effect Moreover, the ordinance. the very or after sign posted aby broker is court considered as district buyers into his regard hands. In this direct important” more than the limitation “even plaintiffs we note who seek rein- sell, right express desire to are two statement business potential purchasers would conclusion dealing estate, in real one a entities broker. learning way “no what is availa have unsupported, find the conclusion We ble.” the district court But went on to assume of the record-established fact unscrupulous in view engage realtors purchasers inquiries “steering,”25 returning stem 70% theme at Though court mentioned “when the district to be So steered some- Q. achieved,” narrowly thing, end can be more words? other appears multiple open listing means and Flip described other none No. A. the record. and let them find their own house. book words, they designate geographical only specific “steering” reference 25. The they’d like to be relative to where area *16 community different the trial related to a and they most cases. work in purchasers constituted denial that be had to your They be in office to have to see Q. “steered”: book? this municipality— any BY MR. HAUCH: InA. is, And in Med- that connection with realtor’s office who is a member Q. Some Q. Lakes, you they said that ford don’t have M.L.S.? of there; Well, reported Burling- out and if it’s 82 of been to A. them in there you your minority family County. one of fellows ton up there, say, they get They out interested and calls into an have to office to see Q. here”; bring though, your out “Don’t them is that correct? whether book it’s office or They have fellows? That’s correct. taken them the other A. of one there, though. paper, right. out Or read the A. right. paper. Right? All Or read Q. Q. way people right. have no themselves Then these That’s A. around, Moreover, seeing, by riding available what’s to was in reference Medford Lakes un- right? necessary may you; that realtors to to establish “steer,” right. That realtors “steer” as well as That’s A. might to opinion. For the reasons desire “stimulate and prey in ra- points three below, think the district court and or bigotry per- we fear” to “create or given cial presump ghettos.” on a resting contrary, its decision On the the evi- petuate in erred Willingboro established that perfidy.26 had tion dence integrated an remarkably status achieved in the record evidence There discriminatory practices and that free discrimination, actual or in racial any governing Council was alert to tended, any person group in the that status which resided in the threat was Willingboro residences.27 There sale effect relationship and between the cause any potential purchaser no evidence panic-selling. the absence of equal opportunity to ac denied been had connecting the ordinance to racial evidence Willingboro in and no any residence quire discrimination, we cannot condemn it on buyer having such been directed evidence grounds. those having area or been de any particular imply we will social guilt Nor known of which knowledge full homes were nied Society is not by assisted as racism. Willingboro. in Nor was there available implication of insidious trait. We still establishing a cause and effect evidence any enough of the real thing around.28 between the ordinance relationship practices. There was no evi The concern illegal district court such relating possibility the ordinance to minority dence for of collusive racial dis Nor could there The in the purchasers. be. crimination sales process house was thus premature. is, and at least equally of the ordinance falls overdrawn It effect buyers. course, always possible black Thus the evidence homeowners and white enter a support specula conspiracy district court’s fails brokers which own only brokers, list broker desired or both would tion ers recognized by, anti-sign law. 42 U.S.C. “blockbust” even facilitated an ordinance. No § placed Lakes ordinance Medford was in evi- probative There was no evidence dence. analysis of the district court is flawed Willingboro’s presumption ordinance modeled after one that the ran the fact might “very who selective which Lakes. Plaintiffs’ counsel realtors cut off of Medford buyer might or who “arbitrar- objected testimony to show home” answer about Evans’ development” ily regulate the racial and ethnic Lakes, indicating that Medford discrimination area, e., might engage realtors who of an i. “community due to a restriction”: there analysis “steering.” assumption makes no your opinion, having been a real- InQ. unscrupulous might, realtors in the ab- Lakes, selling Medford has the tor ordinance, engage opposite sence of the an proposed, been the ordinance discrimination, e., of racial i. the creation form there, prohibits signs being for sale segregated “blockbusting.” areas Both erected, has that been utilized as a further- illegal forms of conduct are under the federal segregation in Medford Lakes? Act, ance of Housing the former Fair under U.S.C. Absolutely— 3604(d) and the A. latter under 42 § U.S.C. 3064(e). your please, just The district court’s limitation Honor I of its HAUCH: If § MR. perfidy may potential thing get view of have been occa- one clear for the record. want trial, early plaintiffs’ when coun- sioned sure have an ordinance in Med- I’m objected question touching to a sel on “block- prohibits signs. Lakes ford busting,” “unscrupulous and described real- we know Do that? THE COURT: “assumption”: tors” as It’s never been HAUCH: testified. MR. If counsel wants to ask MR. HAUCH: to it is there is a closer think Jersey the New or not statute whether that’s been effect for a number restriction might against discrimination restrict the mar- years. beyond that, ket, going right. But unscru- all *17 realtors, colloquy assumptions, district court commented in pulous the other 28. The opinion really problem follow or think an can the “heart of the can’t the trial [racial] expressed honestly on it. be everyplace.” along” “mistrust has been all We view, suggestion join with that mis- to Medford The dissent’s reference Lakes is by races will not be trust between cured mis- to understand. Discrimination had difficult years. rampant a race. Judicial for There was trust within decision cannot been there to, safely suspicion. evidence that that discrimination was due or on rest signs use of either “For tained and effected no racial classifications. from Sale” refrain ads, fell, discrimination, and the newspaper brokers would without on all real or It races, all availability of homes. on lie about colors and creeds then tors and ordinance, with without actual possibility exists The effect of the But alike.29 And, existence, with four during or without months of its the ordinance. ordinance, practices would be violative at the trial a number of wit such described Act, contradiction, Housing nesses, Fair as appearing federal U.S.C. without Jersey purpose. and of the New statute achieved The talk of to have § discrimination, moving 10:5-1 et in fear of minorities N.J.S.A. was described having not construe the ordinance as ceased and the seq. We will number of actual federal and state for that reason was permitting moves described as discriminatory purpose A laws forbid. been reduced to a having minimum. of laws fair on their face the administration v. presumed. Hughes, not be Snowden to Travel Right
will
Racial classifications are constitutionally striking the ordinance herein on error present but suspect, ordinance con- that basis. Township pass principle
29. The dissent states the obvious could not constitutional muster. having established, principle inapplicable an intended but That limiting housing access of minorities to here. *18 XVII of the Revised General Ordinances of CONCLUSION Township of Willingboro, Jersey. New the above, not the ordinance did discussed As in Chapter XVII twelve sections deals com- through other media such expression, deny with the erection and mainte- prehensively The ads, of the desire to sell. newspaper signs. operative pro- of The central nance piecemeal limitation present danger chapter vision of the 17-2: § rights has of constitutional exercise the However, Legality prohi- the 17-2 recognized. long been signs residential as tools the use of of bition and maintained Signs may be erected transaction, a commercial proposing for Township Willingboro only of in the widely more used leaving other and while comply the same with provi- when the announcement, for such means available chapter, of this and it shall sions be un- the level of an in our view rise to not does to erect or any sign maintain lawful of the constitutional denial impermissible within any place Township the said of right the speech or of free right of Willingboro when the same does not com- travel. provisions the of chapter. this ply interests involved we con- Balancing the Chapter of XVII is the Thus foregoing the consider- clude, light of exceptions, with enumerated prohibit, flatly interest ations, governmental the erection maintenance of and of the evils panic-selling, of prevention community. Among the excep- several thereon, is sufficient to free the attendant general prohibition are those tions banning “For Sale” “Sold” 17-6: in § listed this case property in on residential Residential Zones 17-6 infirmity. constitutional from following signs permitted are judgment of the district Accordingly, Township Willing- of areas of those be reversed. must court have been zoned which for residen- boro use. tial GIBBONS, Judge (dissenting). Circuit followed, adoption prior then There appeal judgment from a final is an This 5-1974, desig No. five specific Ordinance court, a non- entered after the district signs permitted nations areas zoned merits, findings based on trial on jury 17-6.5, purposes. residential Section for fact, holding unconstitutional an ordi- encaptioned Signs”, provided: “Rental Willingboro, New Township of nance Signs. Signs pertaining Rental 17-6.5 findings court’s The district Jersey. lease, premises rental or sale of the erroneous, being clearly fact, far they appear, subject to the fol- findings Those by the record. compelled lowing conditions: justify legal the district court’s amply fact sign size shall not exceed a. The I believe majority Because conclusion. feet square in area. eight court’s or distorted district ignored thereby substituted its findings upon and has shall be located b. of the facts for those found pertains version and shall premises own fact, join I cannot in the court’s beyond property the trier line of project unsup- even on this And because opinion. premises. such of the facts the majority has version ported signs shall be removed within e. Such misapplied the governing prin- or misstated lease, days after execution of five sustaining challenged law in ciples agreement agreement or of sale rental ordinance, I respectfully dissent. premises question the occu- 5-1974, premises and/or the owner of pant No. which we review Ordinance case, Chapter sign. an amendment in this 17-6.3; Specific exceptions Nameplate Recreational Activities § included: The other 17-6.1; Signs, Professional Signs, § 17-6.4. Identification § 17-6.2; Signs, Usage Signs, Non-Business § *19 two such are to factual clearly than conclusions are if Not more not over- d. any property. upon supported the evi- placed whelmingly be record dence, unconstitutionality judgment the of repealed 17-6.5. challenged ordinance § The affirmed. must be repealer general the result As a of applicable 17-2 became prohibition § lease, relating to the rental or sale sign INTENDED THE TOWN COUNCIL’S I. Willingboro. a home of IN PURPOSE ENACTING court found: district The NO. ORDINANCE 5-1974. the true appears that thrust of these “[I]t case consisted of primarily plaintiffs’ The promote is to a racial ordinances public hearings minutes of two properly a racial imba- or more balance by the Town Willingboro conducted were perpetuate existing in order to ra- lance adoption prior to of Ordinance Council lines. cial minutes, P-3, Those Exhibit 5-1974. No. doubt that precise- There can be this is nature ex joint “in the of a offered by Willingboro result desired ly the agreed they accurately It’s do hibit. adopting Council this ordinance.” Town meetings what was said at the reflect found that the Having purpose intended of subject.” (131a-32a). examining After was to limit opportuni- the amendment hearings minutes those one can reach property owners to communicate the ty of The conclusion: only one unmistakeable availability potential of their residences proponents for repeal stimulus minority occupants, the court went on was the fact the non-white 17-6.5 § find: had increased from under 12% population important more “Even the concomitant to over in 1973.2 18% No. Ordinance one who wishes purchase result: was a transparent perpetu effort to 5-1974 has way of learn- home existing racial balance ate and arrest what available. only He Willingboro’s popula non-white growth choosing a home from those ‘option’ transcript of the hearings The alone tion. aby realtor, he is shown thereby supports finding the district court’s amply necessitating the use of a real estate bro- maintenance of racial bal existing Further, kerage firm. the broker or primary was the motivation behind ance very selective in choos- salesman ordinance, the supplementary evidence home he ing which wishes to show on behalf of the makes Township presented buyer.” potential as a any other conclusion matter of law the court found that the in- Thus both inescapable. and the purpose effect of the likely
tended Township presented defendant one was to limit the repealer access of minori- D-l, exhibit, This housing in the at trial. exhibit tabulat- Township. No ordi- ties having demographic study nance intended the results ed effect, submit, likely composition Willingboro’s can pass popula- constitu- racial Because the muster. district court’s period years tional (128a): over tion P-3, See, by emphasizing g., of this e. Exhibit statements of Mac- exhibit it was ad- (31a-32a); (40a- (29a-30a); Jones Kirk Now mitted not for the truthfulness of the state- 41a); (43a-44a); (51a); happened Wortman Miller Yost to establish what but ments (59a-60a); (65a); (56a); meeting. suggestions Dubin Fleet- Turoski But the racist are no Realty (72a); (76a); are, Wortham wood Taraschi of motivation because evidence less be, (96a); Klingenberg (97a-99a); (91a); Cohen them to false. The fact remains I believe Connolly Grindlinger (102a); (108a); Boyd minority in-migration was the stim- that fear (110a-lla); (116a); (110a); majority apparent- Cannon Brooks ordinance. ulus (118a-20a); require accept ly Kearns Councilman that we as true the Councilman (121a); (120a); underlying Heath Krane Councilman beliefs about minorities before we (122a). accept expression McGrath In footnote such beliefs as Councilman can denigrate significance majority attempts to of motivation. evidence Year Total White Black Other Non- Percent Popul. Popul. Popul. Popul. White Non- Popul. White *20 1950 852 Unavail. Unavail. Unavail. Unavail. Unavail. 11,801 11,861 60 .005 43,414 38,326 4,738 5,088 .117 8,122 44,607 36,485 7,637 .182 testimony of several Very definitely. also offered A. It The first of these was Donald C. witnesses. sellers, Q. By purchasers By excuse — Evans, proponent a Ordinance and a what was that me. And sentiment? office and whose residence were in Realtor sentiment was that A. Yes. Willingboro. On direct examination he tes- bringing in brokers that were signs 162a): (157a-58a; tified town, from out of bringing non-MLS Now, to Q. my question listen in— you Did that: have occasion to answer say, How do I your THE WITNESS: prospective purchasers with discuss I don’t want to Honor? restrict it to Willingboro prior situation to the en- ‘black’— of the ordinance? I’m talking actment amount of signs (Continuing) minority groups now the for sale about A. —but reaction, any, if would be to sell them into in order Willingboro. in these developed prospective purchasers
by this. Well, Q. in what way pres- would the yes. answer A. The lead to signs ence of less of a stabiliza- that? What were Q. was those What tion?
discussions? Well, you many opinion. People There were in number for A. have an A. I sold, have taken out to show people a watched houses being that have be- And then if there has house to. been two street, or on the side them and there are street, signs on the same or three go out five will to a minority, one been: Is question something has there make this statement: they’ll ‘Boy, the wrong with this street? Is this street sale, goes up one for if next time another And I’ve question black? had that going street, going onto the I’m black moves a of me number of times. asked and move.’ sell Q. taking How about with it the other you find Q. prevalent Did this to be a again, before the way, enactment of ordi- prior to the enactment of attitude nance, discussing this with prospec- with ordinance? homes, you sellers did similarly tive Absolutely. A. with discussions them? have redirect examination Evans was asked On A. Yes. (171a): and answered opinion did have an Q. And opinion, having Q. your been involving signs in the situation the town- selling Lakes,3 in Medford realtor ship? proposed, been sign ordinance the ordi If your please, HAUCH: Honor MR. there, prohibits nance sale him object expressing someone erected, being has that been utilized as a opinion to this else’s witness. segregation furtherance Medford BY MR. GOTTLIEB: Lakes? Q. Was there assess- conveyed you?
ment Absolutely— A. nearby community is a 3. Medford Lakes ordinance served Willingboro whose as model for the ordinance. called defendants witness The next Heath, another member of the E. Steven Kearns, Jr., a member J.
was William Council, the next Township On direct examination Township Council. He to be called. testified witness defense (179a-81a): testified he (205a-06a): the winter prior Q. you, Were what Court you indicate Would feeling on the ’73-’74, to obtain a able of the communi- understanding was your respect with to for community sentiment beginning sentiment ty township? sale on, respect so ’73, and so, yes. signs in the communi- I believe sale A. of for posting ty? opinion what Q. And *21 overwhelming community
time? A. The was abolishing signs. all sale in favor for very definitely was think there A. I community something signs? All feeling in COURT: real estate THE prohibit real estate be done should resi- That was of a WITNESS: THE community. signs in nature. dential sentiment started public I think any There was never (Continuing) A. ’72, early be- probably developing discussion, commer- my knowledge, strong- more —somewhat somewhat came meetings I attend- at signs cial more concerned people became er as signs, model home ed, commercial about adoption with the culminated and nature never en- of that anything signs, in 1974. it. into tered general opinion. Q. That’s go- separate question that’s is a There signs now about the of cer- right opinion the basis for that was What signs things like and you people. commercial Did tain people? these —in this with them? discuss that. ever you Did fact, specific, in I believe be- But key my one of the issues in cam- came Yes, it a number I discussed with A. elected, I was the whole when paign I think that concern and people, signs of real estate and the na- question generally expressed was that was community and the quality ture community expressing were in the people have, we community and the fact their homes and move to to sell a desire community have a that’s we we feel County because Burlington areas other country terms of human leader stability was a lack of they sensed what relations, being that we are taken and community, in the large turnover aor ways. in certain advantage of large turnover was result- this and that consequence, a number of as a And of minority influx ing in a substantial beginning in the people community beyond what into the groups pride and the faith some to lose without the communi- sustained could be community. had in the they turning ghetto into a within the itself ty mention heard him individual —I One county. party at a and a number of specifically was testified that also Kearns they get had to out say people an all-white communi developed as initially great experi- Willingboro because integrated 1960s early was ty, and failing. it working, wasn’t ment a suit devel principal after proper- what’s happening ‘Look That: Sons, Inc., successfully Levitt and oper, wants to sell their Everybody values. ty pressed.4 home.’ riam, Sons, Against 4 L.Ed.2d 80 S.Ct. Inc. v. Division Dis- & Levitt Educ., Dep’t in the State 31 N.J. crimination 177, appeal per cu- dismissed 158 A.2d opinion. people who live in You drive particularly And around. People signs. sections of Rittenhouse Park see a lot of would They say: townhouse would ‘Everybody Park where homes are wants to Fairmount sell. and This must be quite together there are closely on a because too clustered many blacks in town; we if and, or two real estate don’t do something court. One just it, it’s boy know, they look like a lot than going go, more about you get sell out let’s when are that to- now.’ or two close one people say: ‘Every- And gether. trying we’re what And do is kind of wants sell. in Rittenhouse the bud body nip and stop it now before happening?’ much of got What’s this too out of hand. get five or six row point it, in a this we you stop And And could still street, our particular rise, on a different to have property continue values happen stop on the street —I saw it the individual home neighbors but owner from street, thinking: I ‘Boy, now, almost all of if don’t my get own us. out going my one to lose fact, exception, shortest with am investment.’ I’m the on my resident particular the shortest All right. THE COURT: Thank you the street. end of being candid with me. put to him by
To a the court question witness, Another Gladfelter, Valeria *22 (206a-07a): replied Heath member Human Rela- problem it THE COURT: Is a there —I Commission, tions testified about racial in- Kearns said it think Mr. was a device— early in the cidents 1970s. then She said ordinance, is, is it a problem that this (231-33a): affecting minority property values where able you Were Q. gen- ascertain a thought get it was going to you people community sentiment Willingboro eral in you? a question, Is that fair away from respect to the racial with situation and its number one? relationship to the real estate for sale think fair THE WITNESS: I it’s a signs? If I can
question. explain a little bit? Yes, I so. A. think Yes. THE COURT: Okay. Q. now, Right over THE WITNESS: what is that sentiment that you And have years, experienced few we last able to observe? were property in an increase values. In the People expressed concern on seeing A. people who papers of most read the minds signs numbers large sale that follow, or years last three four would neighborhoods undergo rapid racial values have not in- property our been change, and was a this cause of worry to great at a rate as creasing property them. neighboring other values in towns. Peo- expressed per- added this concern She continuously say, buy ‘You can’t a
ple Rights the Human suaded Commission $30,000 any in house for town but prohibition of “For recommend Sale” or Willingboro.’ can in If you that house community. on houses in “Sold” in or only was Cinnaminson in Moores- testimony of The Alexander W. Porter and town, it a move mile across the line Lyght, Rev. Ernest Shaw both members $40,000. Westampton, over Commission, Human Rights of the corrobo- mean THE COURT: You that was that of Mrs. One rated Gladfelter. must thing? general great significance attach fact all true Because that’s THE WITNESS: consistently defense witnesses testi- general feeling. that was the any town intended of Ordinance fied for this was And the reason no one want- Township’s 5-1974 to stabilize the No. know, you houses. You buy ed to when my balance. racial view factual owner, whether property are a the sales by other than that drawn conclusion not, you or going general court would be clearly district erroneous. homes in the community. (164a). court conclusion the did draw Certainly the (165a; 172a): testified also erroneous. But utter disre- clearly Evans not imposed review think, two, standard of going back gard Q. about I 52, Fed.R.Civ.P., Rule ma- you court were familiar with the years, this three disingenuous process of selec- situation jority, Medford Lakes estate real omission, through sifts the record respect posting signs or not? tion with findings justi- its own to construct it, right. below very familiar with I am A. result. On this record predetermined fy a post signs? Q. they Can can properly tribunal hold appellate no They cannot. A. respecting court’s conclusion district there many black families are Q. How intended purpose in enact- Council’s Town Lakes? Medford “(1) completely No. 5-1974 ing Ordinance my knowledge, not one. I A. To evidentiary support of minimum dis- devoid family of the first Jewish know credibility, (2) hue of some bears playing great protest. in under moved relationship the supportive rational recent? Q. And that’s Dinan, Krasnov v. evidentiary data.” years ago, A. About two I believe. (3d 1972); Aldisert, Cir. R. F.2d I Q. And believe that back about Process 690-92 The Judicial years ago, you impressed three opinion completely inverts re- majority way Medford Lakes handled their appellate roles trial and spective transactions; you? weren’t real estate courts, and is instance of ad hoc decision I impressed with Todd A. No. making. way he handled it. was Realty, LIKELY THE THE IMPACT OF II. impressed way with the had ORDINANCE. WILLINGBORO integration, integration. lack of their Q. they still have And that? majority any signif- refuses attach *23 They district certainly court’s conclusion that icance A. do. of Ordinance No. 5-1974 is to
the effect Q. prohibit signs? still And purchasers home prospective to local steer They certainly do. A. brokers, who estate turn real property they in the selective wish very Q. that been used in Has Medford potential purchaser. urges It a that show keep Lakes to minorities out of Medford is unsup- court’s conclusion district Lakes? record evidence. ported by Manifestly My A. salesmen have been asked: “Is is no such absence of here. evidence there black? out person bring Don’t him Mellman, William a real estate Co-plaintiff here.” an office Willingboro, with outside broker Q. Okay. thirty approximately percent testified now, it back bringing In to his office from prospec- inquiries of the home, prohibition of the signs, originated when a prospec- purchasers tive opinion community your desired a “For on a buyer sign viewed Sale” tive prevent in order minorities from this (135a). liked. Defendants’ property he into town? moving Evans, a Willing- broker based in witness A. No. boro, very happy his firm was testified Q. sense on ra- What was maintaining 80/20 white/non-white (160a). He this? community. mixture cial testified since the ordinance was that,
also I if I THE WITNESS: think acquired good “a adopted percent Honor, have, he instance, I may, you market in Willingboro than my more personally, sales a retired [he] seven ago,” and that year increase military had been all over the coun- —-We’ve diversion of sales from an purchased resulted homes ourselves in try. We’ve display broker unable to its We it’s Willingboro. greatest out-of-town think found in the place country. against any we ever person group And in the sale of to do is all we want maintain a stability, Willingboro patently residences”6 is contra because we have more Willingboro Again, pro dicted record below. I in any than we found other town. And appellate process the distortion of the test they feel that with this sign ordinance majority by which substitutes its own now, given they’ve been the opportunity for those of the findings district court.7 compatible to work with real estate bro- III. THE GOVERNING LAW.
kers under the multiple listing service doing who are above board job ethical fact, findings Guided the district selling real estate. concluded that Ordinance No. 5-1974 court regulation speech in unlawful der- was a paraphrase In Evans testified that in Med- rights of first ogation amendment and an brokers, Lakes the local ford with an assist right burden on the sign ordinance, unconstitutional from the maintained zero possible purchasers home for minorities.5 travel denied quota Willingboro, to first-hand assist, knowledge access Will- similar the local brokers will be real estate market. The ingboro majority to maintain percent satisfied a 20 quota. these arguments addresses constitutional The uncontradicted evidence demonstrates that the and concludes ordinance suffers ordinance enhanced the com infirmity. For constitutional the reasons position of the petitive local brokers in the in Part IV of the dissenting opin- set forth market; that brokers were capable of ac ion, disagree with the majority’s analysis tion directed toward excluding minorities these issues. from residence in Willingboro; in a neighboring community such action was simpler But there a much and more effective; completely and that since the analysis compels direct affirmance of Willingboro ordinance adopted judgment “[w]e below. The intended representing still a straight about 80/20 of the ordinance is to discriminate minority to white seller and buyer, both by “stabilizing” minorities racial non- just maintaining balance, sides a perfect population Willingboro white more actually we’re very happy.” (160a). percent. than 20 This is not affirmative demographic trend observed between to overcome the past action effects of dis- words, crimination, has been but is invidious discrimination The majority’s arrested. declaration that pernicious sort, of the most against a dis- “no evidence in there is record of insular minority crete and seeking fulfill- *24 discrimination, intended, actual racial or the ment of American Dream of owning a task, majority Majority me majority takes 5. detects a 7. The fatal flaw in the dis- Opinion 27, adverting “presumption perfidy.” at to this Majori- 803 n. for of trict court’s testimony Medford about Lakes. Of course the ty Opinion majority also faults at 795. The Lakes’ similar Medford making fact that assumption court the district for “no purpose perpetu- unscrupulous both the effect of might, had that realtors in the ab- segregation only ating marginally pro- ordinance, is racial engage opposite the sence of in an relating adoption discrimination, facts to the e., bative of of Will- of racial form i. ingboro suggest ‘blockbusting’.” 5-1974. But it reveals, Ordinance does however, The record facially may a neutral law that behind lurk “presumption the perfi- district court’s that the of sinister of motives. Where it dy” most is shown overwhelming body was based on an of particular kind contrast, of ordinance can be majority a In fact. cites no record pretext for has been used as a racial discrimi- upon presumption which a evidence of block- nation, upon it is incumbent courts to Moreover, examine busting majority can be based. closely underlying adoption. motives A court points correctly Congress already out that has cannot, majority done, Majority as the has against legislated practice, 42 U.S.C. 803-804, Opinion reality at don blinders to 3604(e), regulation un- appear so no local would § pretext condemning practice der the of of necessary event, appropriate. any if even In looking every for a racist under bed. may incidentally regulate the ordinance patently illegal legitimize cannot conduct Majority Opinion discriminatory purpose. at 803. 812 legislative This is a classic ex basis of motive trace back to suburbs. in the
home
Cer
racial discrimination.
jure
Marshall’s
admonition
of
Chief
Justice
ample
de
on its
mani
Peck,
which
face
87, 130,
tainly an ordinance
10 U.S.
Fletcher
Cranch]
[6
quota
maintain a
racial
purpose
162,
(1810),
point
a
176
of view
fested
3 L.Ed.
facially
unconstitu
eclipsed by
more recent events.
has been
are facially
neu
statutes
But
tional.
is too
Certainly it
late in the
day
urge
held
been
to violate
have nevertheless
tral
will
eyes
federal courts
close their
they
clause if
are in
protection
equal
pernicious legisla
manifestations of
patent
applied
discriminatory pur
for
tentionally
motive, or
they
even that
will not
tive
356,
Hopkins, 118
6
Wo v.
U.S.
Yick
poses.
legislative
for more
backwaters
search
Moreover,
1064,
(1886).
220
30 L.Ed.
S.Ct.
Indeed,
currents.
judicial review of
subtle
has
jure
Court
found de
dis
Supreme
compelled by
the Su
legislative
facially
which are
statutes
crimination
test
tri-partite
Court’s
establish
preme
adopted
but which
non-discriminatory
See,
g.,
cases.
e. Meek v. Pit
ment clause
discriminatory legislative
result
as the
349, 358, 362-63,
421 U.S.
95 S.Ct.
tenger,
See,
g.,
County
e.
Griffin v.
School
motive.
1762,
227,
1753, 1759,
217,
44 L.Ed.2d
230
218,
1226,
Board,
84
377 U.S.
S.Ct.
Where,
here,
pur
a
as
evidence of
(1964);
Lightfoot,
Gomillion v.
L.Ed.2d
“stabilizing”
popula
the non-white
pose
S.Ct.
L.Ed.2d 110
tion in the
advanced
(1960).8
through their
witnesses as
defendants
own
ordinance,
expressions
adopting
Although
Supreme
we
the reason
Where,
here,
disinclination
review laws on the
it.
ignore
Court’s
as
a discern-
cannot
nified as censorship 5-1974 of Ordinance Speech Free (A) is direct message. Its effect homeowner’s The district court held that ordi It is not an incidental re purposeful. nance intended to censor the message majority seems to acknowl straint. of the homeowner desiring to home, sell his effect the corrosive Ordinance edge having a censorious purpose violated intended, “speech” upon 5-1974 No. the first amendment. The majority holds incidental, urges that the “limi when district court erred. In so holding upon speech on noncommercial falls tation separate it relies on two lines of authority. ‘message’ invisible or com unspoken first, typified by United States v. insufficient to over munication of nature O’Brien, 391 U.S. S.Ct. on First Amend public interest ride (1968),10 L.Ed.2d 672 permits an incidental Notwithstanding Mar grounds.”12 ment abridgment of first amendment rights by a medi McLuhan’s observation that the shall governmental valid regulation of “non- message, majority cites no um is the elements speech” of conduct, as long as the position that an authority support of infringement goes no further than is re regulates the content rath for the quired accomplishment of the “non- presence sign imposes mere er than governmental speech” purpose. The second which can be characterized as a restraint upon cases line of which the majority relies permissible for first or otherwise incidental involves so-called “commercial 5- speech” Ordinance No. purposes. amendment 9. Neither in the district court nor sustained the convic- here the Court did the In O’Brien registrant urge plaintiffs, Service who a Selective defendants tion of both of symbolic protest his draft card in a injury fact, burned whom have suffered some lack Vietnam War. standing discriminatory to assert effect of Township the ordinance. Nor does the contend See, O’Brien, g., supra; e. United States v. proper it is not a defendant in this action. 566, 586-87, Goguen, Smith individual, Daly, An Gerald is in event *26 1253-54, 1242, 605, (1974) 39 L.Ed.2d 619 clearly proper a defendant since he has the J., (White, concurring). duty enforcing the ordinance. Majority Opinion
12. at 795.
814 power, interpretation zoning politi broad analogous prohibiting to a law
1974 have de- point litigation I in this advertising While can by billboard. for at cal Willingboro even hinted uphold that no court would a only suppose fendants drawn,13 on Euclidean could be validated pointedly morally I am so statute none would it as but an grounds. sustain certain speech. limitation on
incidental
free
message
was
censorship of
Since
effect of Ordinance
majority
purpose
I believe that
can
do
intended
Nor
found,
5-1974,
if
comforting support
justification must be
for its untenable
find
No.
the mes-
placing
such cases as St. Louis
authorities
anywhere,
thesis in
Poster
Louis,
amend-
City
Co. v.
of the first
Advertising
pale
249
sage beyond
St.
269,
274,
suggests the “commer-
(1919)
majority
39
63
599
S.Ct.
L.Ed.
U.S.
ment.
fills
bill. That
Advertising
doctrine
Corp. Borough
speech”
and United
v.
cial
Raritan,
144,
digni-
be so
(1952).14 doctrine,
longer
11 N.J.
93
362
if it can
A.2d
Chrestensen,
general
held
v.
regulation
in Valentine
fied, originated
Those cases
advertising
singu-
is a
opinion
of outdoor
Roberts’
supra.
of the business
Justice
compass
cryptic
of the
treatment
police pow
abrupt
state
larly
within
amendment,
exception to the first
cases offer neither a whit nor a
er. Those
supposed
police
support-
for the exercise of the
devoid of references
jot
support
completely
1942,
accomplish racially
authority.
a
discriminato
It was handed down
power
year for first amendment
ry
hardly
vintage
end.
a
Opelika,
also
v.
jurisprudence.
Jones
See
the majority
suggest,
I also understand
584,
1231,
815
to have
another
an abortion. Since
aging
seem, then,
it
Bigelow
v. Vir-
newspa-
was the editor
aof
the defendant
to rest
ginia has laid
once and
the
for all
published
paid
advertisement
per
Valentine
notion that
v. Chrestensen placed
Clinic,
York
by a New
Abortion
the
placed
advertising in the
category
commercial
speech issue
squarely
was
commercial
speech
unprotected
along with fighting
Writing for seven members of
presented.
words,
v.
Chaplinsky New
315
Hampshire,
Justice Blackmun
said
Valen-
Court
568,
766,
62
(1942),
S.Ct.
86 L.Ed.
U.S.
1031
:
v. Chrestensen
tine
States,
v.
Roth
United
U.S.
obscenity,
354
1304,
476,
1
(1957),
77
L.Ed.2d 1498
S.Ct.
holding
distinctly
a limited
But
libel,
v.
Welch,
Robert
Inc.,
Gertz
418 U.S.
[banning
the ordinance
one:
handbills]
323,
2997,
94
41
(1974)
S.Ct.
L.Ed.2d 789
upheld
regulation
as a reasonable
was
incitement,
Ohio,
Brandenburg v.
395 U.S.
manner in which commercial adver
444,
1827,
89
23
S.Ct.
L.Ed.2d 430
fact
tising could
distributed. The
majority may
otherwise,
think
but I
particular
banning
the effect
it had
recently-expressed
find
views of seven
does not mean that Chrestensen
handbill
Supreme
Court
au-
members
more
authority for
proposition
that all
See Terminal-Hudson Elec-
thoritative.
regulating
statutes
commercial advertis
tronics,
Department
v.
Inc.
of Consumer
are immune from
constitutional chal
6,
Affairs,
F.Supp.
(C.D.Cal.
407
1075
Jan.
lenge.
obviously
The case
does not sup
Millstone
1976); see also
v.
Re-
O’Hanlon
sweeping
port any
proposition that adver
Inc.,
(8th
528 F.2d
ports,
1976);
829
Cir.
tising
unprotected
per se.6
Virginia
Council,
Citizens Consumer
v.
Inc.
6
Douglas,
Mr. Justice
who was a Member of
of Pharmacy,
Board
373
683
F.Supp.
State
Court
when Chrestensen was decided and
(E.D.Va.1974), prob. juris noted,
joined
observed,
opinion,
who
has
“The
ruling was casual almost offhand. And it has
1389,
971,
(1975)
43
95
L.Ed.2d 650
S.Ct.
survived
not
reflection.” Cammarano v. Unit-
74-895).
(No.
States,
498, 514,
524,
358
ed
U.S.
S.Ct.
3
[79
Having
taken Valentine v. Chrestensen
(1959)
opinion).
(concurring
462]
L.Ed.2d
Mr.
Brennan,
Stewart,
joined by
Marshall,
Justice
unprotected speech
category
out
Powell, JJ.,
observed,
“There is
some
Court, while
Bigelow
acknowledging
concerning whether
doubt
the ‘commercial
advertising
subjected
could be
regulation
speech’ distinction announced in Valentine v.
aimed,
example, at
preventing
continuing
.
.
.
retains
Chrestensen
valid-
City
Heights,
ity.” Lehman v.
illegal activities,
of Shaker
concluded
perpetration
418
6,
298,
2714,
314 n.
94 S.Ct.
70%of fact signs, the that the absence
than the same effect on as on whites
blacks, pattern fact that no
racial discrimination had existed in Will
ingboro years, for 14 go all to confirm
error in conclusion and the error
striking the ordinance herein on that ba sis.” misleading. statements are seriously
These testified that per-
Mellman where majority’s analysis stantially advanced this first same reasons 16. amendment analysis reject heavily Barrick’s from the I borrows Seventh Circuit’s therefore dissent. Realty City Gary; opinion unpersuasive. Barrick Inc. (7th 1974). Cir. 491 F.2d believe that flawed, reasoning Opinion Majority Barrick court’s for sub-
