Freeman v. City of Dallas

186 F.3d 601
Procedural entryThis page is a short order in Freeman v. City of Dallas. Read the opinion of the Court — 186 F.3d 601
Court of Appeals for the Fifth Circuit·Decided March 6, 2001·No. 97-10907·Published

Opinion

REVISED - March 5, 2001

UNITED STATES COURT OF APPEALS FOR THE FIFTH CIRCUIT

No. 97-10907

CHARLES FREEMAN and ROSALYN BROWN, Plaintiffs-Appellees-Cross-Appellants, v.

CITY OF DALLAS,

Defendant-Appellant-Cross-Appellee.

Appeal from the United States District Court for the Northern District of Texas

February 22, 2001

Before JOLLY, HIGGINBOTHAM, DAVIS, JONES, SMITH, WIENER, BARKSDALE, EMILIO M. GARZA, DeMOSS, BENAVIDES, STEWART, PARKER and DENNIS, Circuit Judges.*

EDITH H. JONES, Circuit Judge:

The City of Dallas served notices on the owners of two vacant, deteriorated apartment houses, warning them to repair or demolish the structures. The owners fought the order according to City procedures but lost. After the City tore down the condemned buildings, the owners filed suit in federal court alleging violations of the Fourth Amendment and the Due Process Clause. A divided panel of this court held that although the City procedures complied with due process, the City must also obtain a pre-

*

Chief Judge King did not participate in this decision.

demolition warrant of some sort in order to satisfy the Fourth Amendment. This court, sitting en banc, disagrees with the panel majority’s interpretation of the Fourth Amendment and denies relief to the property owners. A warrant is unnecessary when a municipality seizes property that has been declared a nuisance by means of established police power procedures.

I.

Between December 1992 and April 1993, Rosalyn Brown acquired two vacant, eight-unit apartment buildings in Dallas, Texas located at 2621 and 2611 Meyers Street. Brown paid $10.00 for the first building and $1.00 for the second, which had suffered fire damage prior to purchase. On August 11, 1994, Brown transferred a one percent undivided interest in both buildings to her brother, Charles Freeman. The buildings remained vacant during the entire period of plaintiffs’ ownership.

Brown intended to rent the apartment units after making repairs. To this end, she asked Freeman to be the general contractor in charge of renovating the apartments. Freeman was neither a registered engineer or architect, nor did he possess a general contractor’s license or trade license from the State of Texas. No construction company or crew worked for him.

In April and July of 1993, inspectors from the Dallas Department of Housing and Neighborhood Services (the “Department”) cited the plaintiffs’ two apartment buildings for non-compliance

with the City’s Minimum Urban Rehabilitation Standards Code (the “Code”). According to the Department’s inspectors, the buildings together needed nearly $200,000 in repairs to comply with the Code. When the Code violations were not corrected, the Department referred the matter to the Urban Rehabilitation Standards Board (“URSB”) and recommended demolition.

The URSB was established by the City of Dallas to determine whether property condition reports filed by city inspectors identify violations of the City’s building codes. The URSB comprises thirty private citizen members (and eight alternates) who are appointed by the Dallas City Council. The URSB may determine, after a hearing, whether a given structure is an “urban nuisance” and take various remedial measures. The URSB is authorized by city ordinance to order repairs, receivership, the closing and vacating of buildings, demolition, and civil penalties of up to two thousand dollars a day against property owners who fail to repair or demolish a structure after the board has issued a valid determination and remedial order. DALLAS, TEX., CODE ch. 27, art. II, § 27-8.

The URSB functions through hearing panels composed of members of the URSB. The Dallas City Code establishes the procedure to be used by the panels. At a hearing, “an owner, lessor, occupant, or lienholder may present witnesses in his own behalf and is entitled to cross-examine any witnesses appearing

against him.” DALLAS, TEX., CODE ch. 27, art. II, § 27-9(c). The decision of the hearing panel is final except that rehearings may be granted in certain instances. The code also gives an affected property owner an absolute right to appeal the panel decision to state district court. DALLAS, TEX., CODE ch. 27, art. II,§ 27-9(e). Under state law, the court considers whether the landowner’s substantial rights have been prejudiced because the URSB decision violates constitutional or statutory law; exceeds URSB’s authority; is based on unlawful procedure or any other error of law; is unsupported by substantial evidence; or is arbitrary or capricious or an abuse of discretion. TEXAS GOV’T CODE § 2001.174(2).

After receiving the Department’s reports on plaintiffs’

properties, the URSB conducted a title search and mailed a notice of hearing on each of the properties to the owner of record.1 The notice announced that the URSB might order demolition to remedy the Code offenses. It further stated that the property owner would “be given an opportunity to present evidence and witnesses if so desired.”

In preparation for the hearings, Department staffers briefed the panel of URSB members assigned to decide the fate of

1 Freeman did not get notice because he had no interest in either property at this time. Brown received a notice on 2621 Meyers Street, the property of which she was the owner of record. Brown did not receive notice on the 2611 Meyers Street property because, although she had purchased the property by this date, she had not yet filed a warranty deed. Instead, the notice on 2611 Meyers Street was sent to the owner of record, Robert Burkhead.

the Meyers Street properties. They provided the panel members with information on the properties, including repair cost estimates, and accompanied some of them on a tour of the premises.

Freeman appeared at the hearings, identifying himself as the “attorney-in-fact for Brown” and as an owner of 2611 and 2621 Meyers Street. The panel looked at pictures of the structures, questioned Freeman about his plans for repair, and asked whether he had the funds for repair. Freeman testified that he lacked funds at present and asked for more time to make repairs. Expressing doubt about Freeman’s ownership and his ability to finance repairs, the panel unanimously voted to demolish each apartment building as an urban nuisance.2

2 The Code defines an “urban nuisance” as the following:

[A] premises or structure that:

(A) is reasonably dangerous to the physical health or safety of an occupant or other person; or (B) because of violations of [the Code] . . ., its state of disrepair is such that it could reasonably cause injury, damage, harm, or inconvenience to a considerable portion of the community in the use and enjoyment of property, materially interfering with the proper use or comfort and enjoyment of surrounding property, taking into consideration the nature and use of the properties in the area and the character of the community in which they are situated, which condition would be substantially offensive and annoying to persons of ordinary sensibilities, tastes, and habits living in the community.

DALLAS, TEX., CODE ch. 27, art. I, § 27-3(23).

The Code goes on to prescribe with specificity the minimum structural, health and utility standards whose breach may result in the declaration of an urban nuisance. Dallas, Tex., Code ch. 27, Art. III, § 27-11.

Following the hearing, Freeman signed notices of demolition for both apartment buildings. He then asked for and received a rehearing from the URSB. Two panel members visited the properties before the rehearings. They examined the exterior of the apartment building at 2611 Meyers Street. At 2621 Meyers Street, they ran into Freeman. He showed them repairs he had made inside that property, and they told him to bring pictures of these repairs to the rehearings.

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