Hunters Capital LLC v. City of Seattle

District Court, W.D. Washington·Decided May 9, 2022·No. 2:20-cv-00983·Unknown

Opinion

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4 WESTERN DISTRICT OF WASHINGTON 7 HUNTERS CAPITAL, LLC; HUNTERS PROPERTY 8 HOLDINGS, LLC; GREENUS BUILDING, INC.; SRJ 9 ENTERPRISES d/b/a CAR TENDER; THE RICHMARK 10 COMPANY d/b/a RICHMARK LABEL; ONYX HOMEOWNERS 11 ASSOCIATION; WADE BILLER; MADRONA REAL ESTATE 12 SERVICES LLC; MADRONA REAL ESTATE INVESTORS IV LLC; 13 MADRONA REAL ESTATE INVESTORS VI LLC; 12TH AND C20-983 TSZ 14 PIKE ASSOCIATES LLC; REDSIDE PARTNERS LLC; OLIVE ST ORDER 15 APARTMENTS LLC; BERGMAN’S LOCK AND KEY SERVICES LLC; 16 MATTHEW PLOSZAJ; SWAY AND CAKE LLC; and SHUFFLE LLC 17 d/b/a CURE COCKTAIL; 18 Plaintiffs, 19 v. 20 CITY OF SEATTLE, 21 Defendant. 22 1 THIS MATTER comes before the Court on Plaintiffs’ motion for class 2 certification, docket no. 65. Having reviewed all papers filed in support of, and in 3 opposition to, the motion, and having considered the oral arguments of counsel, the Court

4 DENIES Plaintiffs’ motion for the reasons stated in this Order. 5 Background 6 1. The Protest 7 Plaintiffs are property owners, businesses, and residents in Seattle’s Capitol Hill 8 neighborhood who claim that they were harmed during the Capitol Hill Organized Protest

9 or Capitol Hill Occupying Protest (collectively, “CHOP”). Third Amended Class Action 10 Complaint (“TAC”) at ¶ 13 (docket no. 47). Plaintiffs allege that the City of Seattle 11 (“City”) “abruptly deserted” the Capitol Hill neighborhood on June 8, 2020, and left it 12 unattended until July 1, 2020. TAC at ¶¶ 3 & 9. On June 8, 2020, the City evacuated the 13 East Precinct of the Seattle Police Department (“SPD”) amid ongoing civil rights

14 protests, leaving behind barriers that had been used to separate police from protesters. 15 See Sixkiller Dep. at 38:9–40:9, Ex. 4 to Weaver Decl. (docket no. 66-1); Zimbabwe 16 Dep. at 12:23–13:20, Ex. 5 to Weaver Decl. (docket no. 66-1). Almost immediately after 17 SPD abandoned the East Precinct, protestors declared the area “Free Capitol Hill,” and 18 used the barriers to block off streets within one block of the precinct to create a “no-cop”

19 zone. TAC at ¶¶ 37–39; see also Zimbabwe Dep. at 16:15–17:22. According to former 20 SPD Chief Carmen Best, the City intended to reenter the East Precinct the following day, 21 but protesters declared the area their “sovereign property,” or an “autonomous zone,” and 22 denied the City access. Best Dep. at 33:12–35:1, Ex. 6 to Weaver Decl. (docket no. 66- 1 1). CHOP participants claimed the area as their own, and secured it by physically 2 barricading and patrolling the area’s borders. TAC at ¶¶ 41–42. As the zone expanded, it 3 first became known as the “Capitol Hill Autonomous Zone,” also known as “CHAZ,”

4 and finally became known as CHOP. Id. at ¶¶ 1 & 39. The area of protest around the 5 East Precinct eventually expanded to a sixteen-block portion of the Capitol Hill 6 neighborhood, bounded by East Denny Way (to the north), Thirteenth Avenue (to the 7 east), East Pike Street (to the south), and Broadway (to the west). See Exec. Ord. 2020- 8 08, Ex. 7 to Weaver Decl. (docket no. 66-1). This area was also referred to as the “Cal

9 Anderson Park Area” in former Mayor Jenny Durkan’s June 30, 2020, executive order. 10 See id. 11 Plaintiffs allege that, instead of restoring order to the area, the City actively 12 endorsed, enabled, and encouraged the occupation of CHOP. TAC at ¶ 5. In contrast, 13 Mayor Durkan’s executive order explained that the City reasonably facilitated the

14 exercise of First Amendment rights and demonstrations in the area by: 15 • Providing basic hygiene, water, litter and garbage removal, and electricity; 16 • Temporarily allowing obstructions of public parks, streets, and sidewalks; 17 • Modifying SPD and [Seattle Fire Department (“SFD”)] response protocols to meet public safety needs to the extent possible within this 18 area; • Modifying streets and pedestrian access routes; 19 • Providing social services outreach and engagement along with referrals for shelter, behavioral health and other supports for individuals in need; 20 and • Facilitating modified city services delivery to local residents and 21 businesses impacted by the events in this area.

22 1 Exec. Ord. 2020-08 (docket no. 66-1 at 63). Despite these measures, conditions in the 2 area deteriorated throughout June 2020, “to the point where public health, life, and safety 3 [were] threatened by activities in and around [the] area.” Id. SPD designated a large

4 portion of the area as the “Red Zone,” and prohibited officers from entering the zone 5 except to respond to reports of mass casualty events, such as active shooters or other life- 6 threatening emergencies. See Ex. 15 to Weaver Decl. (docket no. 66-1); see also Ex. 18 7 to Weaver Decl. (docket no. 66-1). Violent crime increased in the area, including two 8 fatal shootings, and the City received numerous reports of rape, robbery, assault, and

9 increased gang activity. See Exec. Ord. 2020-08, Ex. 7 to Weaver Decl. Residents and 10 businesses in the area also reported increased incidents of harassment, graffiti, excessive 11 noise, and the obstruction of vehicular and pedestrian traffic. See id. On June 30, 2020, 12 the City announced that it would close the area and remove any remaining individuals 13 occupying City property or obstructing public rights of way. Id.

14 Plaintiffs allege that they suffered numerous economic and non-economic injuries 15 as a result of the City’s actions, including reduced property values, extensive property 16 damage, reduced access to emergency services, public safety dangers, exposure to 17 excessive noise, and an inability to use and access their properties. TAC at ¶¶ 2 & 6. 18 The City responds that many of these harms were caused by the COVID-19 pandemic or

19 third parties, and not CHOP. See generally Exs. 1–6 to Farmer Decl. (docket nos. 75-1, 20 75-2, 75-3, 75-4, 75-5 & 75-6). Plaintiffs bring five causes of action against the City on 21 behalf of themselves and the proposed class: (i) violation of procedural due process; 22 1 (ii) violation of substantive due process; (iii) unlawful taking of their property; 2 (iv) negligence; and (v) nuisance. TAC at ¶¶ 188–222. 3 2. The Proposed Class

4 Pursuant to Federal Rule of Civil Procedure 23(c)(4), Plaintiffs move for 5 certification of an issues class solely for purposes of liability. Rule 23(c)(4) provides that 6 “[w]hen appropriate, an action may be brought or maintained as a class action with 7 respect to particular issues.” Fed. R. Civ. P. 23(c)(4) (emphasis added). Issue 8 certification is appropriate when “adjudication of the certified issues would significantly

9 advance the resolution of the underlying case, thereby achieving judicial economy and 10 efficiency.” Valentino v. Carter-Wallace, Inc., 97 F.3d 1227, 1229 (9th Cir. 1996). 11 Rule 23(b)(3), however, still requires that common issues predominate over individual 12 issues and that class certification be superior to other litigation alternatives. Id. 13 In this case, Plaintiffs propose an issues class comprised of one class, three

14 subclasses, and twenty-eight “particular issues” bearing on the City’s liability, as well as 15 the issue of nominal damages with respect to Plaintiffs’ federal claims.1 See Ex. 1 to 16 Weaver Decl. (docket no. 66-1). Plaintiffs also request that the Court certify two issues 17 related to a discovery dispute regarding certain City officials’ missing text messages. See 18 id. The Court has previously provided Plaintiffs with an opportunity to conduct class

19 discovery. See Order (docket no. 23). 20

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