City of Orange Beach v. The Lamar Companies (Appeal from Baldwin Circuit Court: CV-07-900924 and CV-09-901011).

Supreme Court of Alabama·Decided May 17, 2024·No. SC-2023-0657·Published

Opinion

Rel: May 17, 2024

Notice: This opinion is subject to formal revision before publication in the advance sheets of Southern Reporter. Readers are requested to notify the Reporter of Decisions, Alabama Appellate Courts, 300 Dexter Avenue, Montgomery, Alabama 36104-3741 ((334) 229-0650), of any typographical or other errors, in order that corrections may be made before the opinion is printed in Southern Reporter.

SUPREME COURT OF ALABAMA OCTOBER TERM, 2023-2024

SC-2023-0657

City of Orange Beach

v.

The Lamar Companies

Appeal from Baldwin Circuit Court (CV-07-900924 and CV-09-901011)

MENDHEIM, Justice.

The City of Orange Beach ("Orange Beach") appeals from the Baldwin Circuit Court's order denying Orange Beach's motion to enforce

consent decrees that declared the settlement terms of a dispute between Orange Beach and The Lamar Companies ("Lamar"). We reverse the circuit court's order.

I. Facts

In 1991, Orange Beach adopted a zoning ordinance pertaining to "off-premises" signs within its jurisdiction ("the zoning ordinance"). Before the adoption of the zoning ordinance, Lamar had constructed and erected four billboard signs along the beach highway in Orange Beach. Section 15.0403 of the zoning ordinance provides that signs erected before the adoption of the zoning ordinance are deemed to be "nonconforming signs" and that

"[a] non-conforming sign may be maintained only by painting or refinishing the surface of the sign face or sign structure so as to keep the appearance of the sign as it was when the prior permit was issued or the City permit tag affixed. Upon a determination by the administrator and notice to the permittee that a nonconforming sign has become dilapidated or structurally unsound, such sign shall be moved within 20 days unless an appeal of such determination has been previously filed with the Board of Adjustment. Any structural or other substantive maintenance of the nonconforming sign shall be deemed an abandonment of the nonconforming sign and shall render the prior permit void and shall result in the reclassification of such sign as an illegal sign pursuant to Section 15.0401."

On September 24, 2007, Orange Beach Inspector Chuck Smith determined that the four Lamar billboards were in a dilapidated condition and recommended that Orange Beach order Lamar to remove the billboards because they did not comply with the zoning ordinance. Orange Beach subsequently sent letters to Lamar informing it that the four billboards did not comply with the zoning ordinance and that Lamar was required to remove them.

On October 12, 2007, Lamar appealed to the Board of Adjustment of the City of Orange Beach the determination that the four billboards did not comply with the zoning ordinance. In its appeal, Lamar both challenged Orange Beach's determination that Lamar had not followed the zoning ordinance's requirements for nonconforming signs and requested a variance from the zoning ordinance, pursuant to § 11-52- 80(d)(3), Ala. Code 1975, because, it said, application of the zoning ordinance would result in "unnecessary hardship."1 On November 19, 2007, the Board of Adjustment considered and denied Lamar's appeal.

1Section 11-52-80(d)(3), Ala. Code 1975, authorizes a board of adjustment

"[t]o authorize upon appeal in specific cases such variance from the terms of the ordinance as will not be contrary to the

On November 27, 2007, Lamar appealed the Board of Adjustment's decision to the Baldwin Circuit Court, and the appeal was assigned to Circuit Judge J. Langford Floyd. In its amended complaint filed on August 18, 2008, Lamar asserted claims contending, among other things, that Section 15.0403 of the zoning ordinance: (1) violates the Alabama Constitution in that it is "void for vagueness and grant[s] unfettered discretion to [Orange Beach] officials to license speech"; (2) "violates the Alabama Constitution's due process guarantees" because it uses ambiguous terms; and (3) "deprives Lamar of equal protection" because it "favors the speech of certain groups and organizations while prohibiting speech by other entities that would be no more detrimental to any legitimate governmental interest" and because Orange Beach was "clearly selectively enforcing the [Zoning] Ordinance against Lamar."

On August 28, 2009, Lamar commenced a separate action against Orange Beach in the Baldwin Circuit Court, which was assigned to Circuit Judge Robert E. Wilters, that alleged nearly identical claims to

public interest, where, owing to special conditions, a literal enforcement of the provisions of the ordinance will result in unnecessary hardship and so that the spirit of the ordinance shall be observed and substantial justice done."

those asserted in their appeal of the Board of Adjustment's decision, including allegations of free-speech, equal-protection, and due-process violations related to Orange Beach's alleged selective enforcement of the zoning ordinance.2 On September 1, 2009, Lamar moved to consolidate the two actions, and on September 16, 2009, Judge Floyd entered an order consolidating the two actions. On September 29, 2009, Orange Beach filed a "Motion to Vacate and Rescind Order of Consolidation." On October 20, 2009, Judge Floyd granted Orange Beach's motion and returned the separate action to Judge Wilters.

On June 3, 2010, Judge Wilters ordered the parties to mediate their dispute. On June 16, 2010, Judge Floyd ordered the parties to mediate their dispute in the appeal from the Board of Adjustment's decision together with the already initiated mediation of the dispute in Lamar's separate action. The mediation was successful, and the parties reached a

2In a subsequent filing, Lamar asserted that its reason for commencing the separate action was that in June 2009 it had submitted to Orange Beach permit applications for constructing and erecting new billboards, but that in July 2009 Orange Beach had denied those applications despite having permitted similar signs constructed and erected by a different company.

settlement agreement that encompassed both Lamar's appeal from the Board of Adjustment's decision and Lamar's separate action.

On March 24, 2011, Judge Floyd entered an order explaining the settlement agreement. That order stated:

"The parties, The Lamar Companies, the City of Orange Beach, Alabama and the City of Orange Beach Board of Adjustment, were previously ordered by this Court to attend a joint mediation to see if the issues raised in [the separate action] and [the appeal of the Board of Adjustment's decision]

could be resolved. The parties have favorably reported to the Court that they have reached an agreement. Pursuant to that representation, the Court hereby ORDERS, ADJUDGES, and DECREES:

"1. This Court will assert jurisdiction over both the 2009 and 2007 cases for purpose of entering this Consent Decree.

"2. In 1991, the City of Orange Beach adopted a zoning ordinance prohibiting off-premise signs within [Orange Beach]. [Lamar] currently [has] four off-premise signs within [Orange Beach] as depicted in the attached aerial map as A, B, C, and D. The signs are deemed non-conforming under the zoning ordinance because they pre-existed the 1991 ban on such signs.

"3. The parties' dispute centers on whether the four non-

conforming signs are dilapidated or structurally unsound, and as such, subject to removal under the terms of the zoning ordinance. To resolve these cases, the parties agree and the court orders as follows:

"(a) The three signs identified as A, B, and D on the attached aerial map will be removed not later than 60 days from the date of this order, and

shall not be replaced. Lamar will remove all debris and trash associated with the removal.

"(b) The sign identified as 'C' on the attached aerial map and located on tax parcel # 66-06-13-3-

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City of Orange Beach v. The Lamar Companies (Appeal from Baldwin Circuit Court: CV-07-900924 and CV-09-901011)., (Ala. 2024).

City of Orange Beach v. The Lamar Companies (Appeal from Baldwin Circuit Court: CV-07-900924 and CV-09-901011). (City of Orange Beach v. The Lamar Companies (Appeal from Baldwin Circuit Court: CV-07-900924 and CV-09-901011).) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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