Homeroom, Inc. v. City of Shawnee, Kansas

Court of Appeals for the Tenth Circuit·Decided April 6, 2026·No. 23-3168·Unpublished

Opinion

FILED

United States Court of Appeals Tenth Circuit

UNITED STATES COURT OF APPEALS April 6, 2026

FOR THE TENTH CIRCUIT

_________________________________ Christopher M. Wolpert Clerk of Court

HOMEROOM, INC.; VAL FRENCH,

Plaintiffs - Appellants,

v. No. 23-3168 (D.C. No. 2:23-CV-02209-HLT-GEB)

CITY OF SHAWNEE, KANSAS; (D. Kan.) DOUGLAS GERBER; KEVIN MESSICK,

Defendants - Appellees.

ORDER AND JUDGMENT *

Before CARSON, ROSSMAN, and FEDERICO, Circuit Judges.

This appeal arises out of Appellee City of Shawnee’s Ordinance No. 3419, which limits the number of unrelated people who can live together in Shawnee, Kansas. Appellants HomeRoom, Inc., a property management company, and Val French, a private citizen, sued the City under 42 U.S.C. § 1983 alleging the Ordinance violates their Fourteenth Amendment rights to intimate association and equal protection. The City moved to dismiss the

*

This order and judgment is not binding precedent, except under the doctrines of law of the case, res judicata, and collateral estoppel. It may be cited, however, for its persuasive value consistent with Fed. R. App. P. 32.1 and 10th Cir. R. 32.1.

complaint under Federal Rule of Civil Procedure 12(b)(6). The district court granted the motion. 1 Exercising jurisdiction under 28 U.S.C. § 1291, we affirm.

I2

In April 2022, the City adopted Ordinance No. 3419. The Ordinance defines “Co-Living Group” as “a group of four (4) or more unrelated persons age eighteen (18) or older living together in a dwelling unit, provided that if any one (1) of the adult persons is unrelated to another adult person in the group, the entire group shall be classified as unrelated.” RI.10, ¶ 26 (internal quotation marks omitted). According to the Ordinance, “related persons” means “(A) Persons related by blood, marriage, adoption, or guardianship; or (B) A person having legal custody of a minor or the designee of a parent or other person having legal custody of a minor.” RI.10, ¶ 27 (internal quotation marks omitted). The Ordinance prohibits Co-Living Groups in every

1 The complaint also named two City employees as individual defendants. The district court dismissed the claims against those defendants as duplicative of the claims against the City. Appellants do not challenge that portion of the district court’s decision.

2 Because the appeal before us concerns a motion to dismiss, we take

these facts from Appellants’ complaint. See, e.g., Matney v. Barrick Gold of N. Am., 80 F.4th 1136, 1141 & n.1 (10th Cir. 2023) (relying on facts in the complaint to describe the background when appeal involves challenge to a district court’s order granting a motion to dismiss).

residential-use zone in the City. It applies whether the residence is rented or owner-occupied. The City has established a pattern and practice of enforcing the Ordinance. The Ordinance imposes no occupancy limit for related individuals.

When the City adopted the Ordinance, Ms. French lived in a house that she owned along with her husband, their two adult sons, and the girlfriend of one of the sons. 3 The girlfriend was not related to anyone in the house by blood, marriage, or adoption. The entire household was “unrelated” under the Ordinance and thus exceeded the dwelling limit, which prohibits four or more unrelated persons from living together. Because of the Ordinance, Ms. French’s son and his girlfriend had to move out of her house, and Ms. French could not rent the spare room to any other tenant.

HomeRoom is a property management startup company. It helps connect property owners to residential renters and facilitates low-cost housing searches for those looking for co-living situations. HomeRoom manages two

3 The complaint does not allege Ms. French lives in Shawnee; rather,

it simply states she is a “private citizen,” RI.7, ¶ 9, who “lives in a home that she owns,” RI.12, ¶ 36. But because she alleges the Ordinance prevents her from having additional unrelated people living with her, see, e.g., RI.8, ¶ 16, we draw the reasonable inference that she lives in Shawnee. See Matney v. Barrick Gold of N. Am., 80 F.4th 1136, 1144 (10th Cir. 2023) (explaining when reviewing the dismissal of a complaint under Rule 12(b)(6), “we accept the well-pleaded facts alleged as true and view them in the light most favorable to the plaintiff”).

residential properties in Shawnee owned by investors. HomeRoom is the “master tenant” for each property. RI.11, ¶ 30. Before the City enacted the Ordinance, HomeRoom would sublet the homes to unrelated roommates. At the February 28, 2022, meeting of the Shawnee City Council, where the Ordinance was formally discussed, the Community Development Director stated, “that HomeRoom model that’s a new phenomenon, from the new economy I guess, we need to decide if . . . it’s something that you even want to consider in our single-family zones.” RI.10–11, ¶ 28 (internal quotation marks omitted). Since the Ordinance was enacted, HomeRoom has been forced to evict its unrelated tenants, and it now sublets the properties only to blood-related families.

HomeRoom and Ms. French challenged the Ordinance in federal district court. On May 9, 2023, they filed a complaint under 42 U.S.C. § 1983 alleging facial violations of substantive due process and equal protection under the Fourteenth Amendment. “The Ordinance invades the intimate associations of Shawnee residents,” Appellants alleged, “by regulating their household composition in a manner bearing no relation to any legitimate police power aim.” RI.13, ¶ 44. They also claimed the Ordinance “creates a facially discriminatory classification” by distinguishing between those who are “related to all members of their household” and those who are “not so related to all members of their household.” RI.14, ¶ 52. The complaint also alleged a state

claim under the Kansas Zoning Enabling Act. And it sought declaratory and injunctive relief.

The City moved to dismiss the complaint under Federal Rule of Civil Procedure 12(b)(6). HomeRoom’s “claim fails at the outset because HomeRoom is a corporate entity, and has no constitutionally protected right to enter or maintain intimate human relationships in the first place,” the City argued, “[n]or can HomeRoom assert a constitutional claim on behalf of any putative Co-Living Group of its sublessees.” RI.85. Regarding Ms. French, the City asserted “no relationship protected by the Fourteenth Amendment is implicated by [Ms.] French’s claims regarding the Ordinance’s impact on her relationship with either her son’s girlfriend or any other unrelated tenant she ma[y] desire to rent a room to.” RI.87.

Even assuming either plaintiff “could establish that their claim implicated a constitutionally protected relationship,” RI.87, the City argued “the Ordinance does not place a direct and substantial burden on the right to intimate familial association and is subject to rational basis scrutiny,” RI.88. The City principally relied on Village of Belle Terre v. Boraas, 416 U.S. 1 (1974), and argued that case dictated the outcome here. RI.89. Under Belle Terre, the City argued “maintaining the single-family character of neighborhoods—the obvious underlying purpose of the Ordinance—is a legitimate public interest that survives rational basis scrutiny.” RI.90.

Because the Ordinance survives rational basis scrutiny, the City maintained that the due-process and equal-protection claims failed as a matter of law. The claim for declaratory relief under the Kansas Enabling Act also failed, the City explained, because the City had the authority to enact the Ordinance.

The district court granted the motion to dismiss in a written order.

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Homeroom, Inc. v. City of Shawnee, Kansas, (10th Cir. 2026).

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