Hart v. City of Detroit

331 N.W.2d 438, 416 Mich. 488
Michigan Supreme Court·Decided December 23, 1982·No. 65370, (Calendar No. 4)·Published·Cited by 65 cases

Opinions

Fitzgerald, C.J.,

and Williams, Coleman, and Ryan, JJ. This opinion was written by Justice Blair Moody, Jr., prior to his death on November 26, 1982. We concur in this opinion and adopt it as our own.

The original complaint in this inverse condemnation class action was filed May 9, 1974. Proper notice was given to all eligible class members. Owners of 42 parcels of land joined the class. On August 18, 1978, the trial court granted defendant’s motion for accelerated judgment on the ground that all but seven of the plaintiffs’ claims were barred by the three-year statute of limitations pertaining to damages for injuries to persons and property.

The Court of Appeals affirmed the trial court’s decision, holding that the three-year statute of limitations was the proper statute to employ. 97 Mich App 697; 296 NW2d 151 (1980). This Court granted leave to appeal to determine whether the three-year statute of limitations for "injuries to persons and property” applies to inverse condemnation actions and, if not, what limitations period, if any, is applicable. Furthermore, if we find that a statute of limitations is applicable, we are asked to determine when the limitation period would begin to run as to the properties in this case.

[493] Facts

The Court of Appeals decision succinctly set forth the pertinent facts as follows:

"This appeal is submitted on a stipulated statement of facts. The statement indicates that the parcels of realty in question are located within the boundaries of defendant’s Elmwood Park Urban Rehabilitation Project No. 3 (Elmwood 3). A part of Elmwood Park,2 the affected area contains approximately 1,400 separate parcels of land. Elmwood 3 was originally conceived by city planners in the mid-to-late 1950’s. As part of its urban renewal efforts, defendant City of Detroit has acquired and demolished the structures upon virtually every parcel within Elmwood Park in order to facilitate redevelopment.
"All parties have stipulated that the actions of defendant in the Elmwood 3 project resulted in a de facto taking of plaintiffs’ property without just compensation therefor. However, in each instance the subject properties were either directly or indirectly acquired by defendant as a result of nonpayment of taxes.3 This occurred after the de facto takings but well prior to the commencement of any formal condemnation proceedings by defendant. The plaintiffs now appealing were not joined as parties to any of 12 formal condemnation proceedings filed by defendant from August 3, 1971, to November 27, 1972.
"On May 9, 1974, the within action was instituted, well after all the parcels involved in this controversy were conveyed for nonpayment of taxes, and more than three years after the right of equity of redemption had expired with respect to every parcel.
"Because this right had expired with respect to the parcels formerly owned by the plaintiffs on appeal, the lower court concluded that each plaintiff’s cause of action accrued, at the latest, on the date of expiration of their right to redeem. Applying (as noted hereinbe-fore) the three-year statute of limitations found in MCL 600.5805(7); MSA 27A.5805(7), the trial court held that the claims of the plaintiffs now appealing were barred [494] thereby because their claims accrued, at the latest, more than three years prior to the institution of the class action suit, and were thus without the statute of limitations.”

Hart, supra, 97 Mich App 700-701.

I

Inverse condemnation is a taking of private property for a public use without the commencement of condemnation proceedings. Under the Michigan1 and United States2a Constitutions, a victim of such a taking is entitled to just compensation for the value of the property taken.3a

The parties agree that the real property involved here was de facto taken but not paid for by the City of Detroit pursuant to In re Urban Renewal, Elmwood Park Project, 376 Mich 311; 136 NW2d 896 (1965), and Foster v Detroit, 405 F2d 138 (CA 6, 1968). The disputed issue is whether this action is barred by a statute of limitations.

Plaintiffs first contend that due process rights guaranteed by the state and federal constitutions cannot be cut off by any statute. Since the issue is one of first impression in this state, plaintiffs primarily rely on Ackerman v Port of Seattle, 55 [495] Wash 2d 400; 348 P2d 664 (1960), to support this proposition.

The Ackerman court did state that an action for compensation predicated on a constitutional taking would not be barred by any statute of limitations. However, this would only apply when the individual still held an interest in the property. If the individual lost this interest by adverse possession, such an action would be barred. The court stated:

"We have held that an action for constitutional taking is not barred by any statute of limitations and may be brought at any time before title to the property taken is acquired by prescription.” (Emphasis added.) 55 Wash 2d 405.

This point was further clarified in City of Sno-homish v Joslin, 9 Wash App 495; 513 P2d 293 (1973), where the court denied plaintiff’s claim for compensation regarding property which the city had acquired by prescription. The court upheld the Ackerman rule as quoted above but stated:

"We recognize anomaly inherent in the statement of the rule. Acquisition of title by way of prescription is the result of the barring of an action by a statute of limitation.” 9 Wash App 497.

Therefore, it is not totally accurate to state that in Washington an inverse condemnation action is not barred by any statute of limitations. Under these cases, a plaintiff’s constitutional right to compensation would expire whenever title to the property was lost by prescription; such a loss of title is predicated on the expiration of a statute of limitations.

[496] Additionally, plaintiffs’ contention that no statute of limitations can bar a constitutional right is not supported by pertinent holdings of the United States Supreme Court. In United States v Dickinson, 331 US 745; 67 S Ct 1382; 91 L Ed 1789 (1947), a leading case on the applicability of statutes of limitations in inverse condemnation cases, a six-year federal statute of limitation period established for claims founded upon the United States Constitution was applied.4 Because the plaintiff’s claim was founded on the Fifth Amendment provision that private property shall not be taken for public use without just compensation, the Court held that the applicable statute of limitations was six years. See, also, Soriano v United States, 352 US 270; 77 S Ct 269; 1 L Ed 2d 306 (1957); Loesch v United States, 227 Ct Cl 34; 645 F2d 905 (1981).

Free access — add to your briefcase to read the full text and ask questions with AI

Hart v. City of Detroit, 331 N.W.2d 438, 416 Mich. 488 (Mich. 1982).

331 N.W.2d 438 (Hart v. City of Detroit) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Lynette Hathon v. State of Michigan
Michigan Supreme Court, 2024
Matthew Schafer v. Kent County
Michigan Supreme Court, 2024
C Nick Yono v. County of Ingham
Michigan Court of Appeals, 2023
Laurie Breiner v. State of Michigan
Michigan Court of Appeals, 2022
The Gym 24/7 Fitness LLC v. State of Michigan
Michigan Court of Appeals, 2022
Melissa Mays v. Governor Rick Snyder
Michigan Supreme Court, 2020
Rafaeli LLC v. Oakland County
Michigan Supreme Court, 2020
Lawrence Washington Jr v. Governor
Michigan Court of Appeals, 2019
Lakeside Resort LLC v. Crystal Township
Michigan Court of Appeals, 2016