JMER Properties, LLC v. The State of Delaware Department of Transportation

CourtSupreme Court of Delaware
DecidedJanuary 30, 2023
Docket225, 2022
StatusPublished

This text of JMER Properties, LLC v. The State of Delaware Department of Transportation (JMER Properties, LLC v. The State of Delaware Department of Transportation) is published on Counsel Stack Legal Research, covering Supreme Court of Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
JMER Properties, LLC v. The State of Delaware Department of Transportation, (Del. 2023).

Opinion

IN THE SUPREME COURT OF THE STATE OF DELAWARE

JMER PROPERTIES, LLC, § § No. 225, 2022 Plaintiffs Below, § Appellants, § Court Below—Court of Chancery § of the State of Delaware v. § § C.A. No: 2020-0597 THE STATE OF DELAWARE § DEPARTMENT OF § TRANSPORTATION § § Defendant Below, § Appellee, and § § MEDING FAMILY, LLC, § a Delaware limited liability company, § KAY-DE-DID, LLC, § a Delaware limited liability company, § ROB’S RIDES, LLC, § a Delaware limited liability company, § and ROBERT WAYNE MEDING § and MELINDA MEDING, § § Nominal Defendants § Below, Nominal § Appellees, §

Submitted: December 14, 2022 Decided: January 30, 2023

Before SEITZ, Chief Justice; VAUGHN and TRAYNOR, Justices.

ORDER

This 30th day of January 2023, after consideration of the parties’ briefs and the

record on appeal, it appears to the Court that: 1. The “Turf Field Complex,” located along State Route 1 in Kent County,

opened for business in May 2017, boasting a stadium and twelve synthetic sports

fields that host soccer, lacrosse, and other large athletic tournaments throughout the

year.

2. The Meding family owns “[a]n approximately 37.60-acre assemblage

of parcels” located on the west-side of State Route 1, roughly 700 feet from the

southern boundary of the Turf Field Complex.1 The property is undeveloped aside

from a restaurant called “Meding’s Seafood.” To take advantage of the economic

opportunity presented by the arrival of the complex, the Medings formulated a plan

to convert the unused portion of their property into a commercial development, to

include a Wawa convenience store and a hotel.

3. The Medings’ plan placed the family in direct competition with JMER

Properties, LLC, which had recently purchased a plot of land for development on

the west-side of State Route 1 located roughly 250 feet from the northern edge of

the complex.

4. To service their proposed development, the Medings requested

permission from the state’s Department of Transportation (“DelDOT”) to replace

their restaurant’s existing, but limited, “rights-in/rights-out” entrance with an off-

ramp and on-ramp onto State Route 1. The ramp—which would service the

1 App. to Answering Br. at B41. 2 development by connecting to an access road, which itself would connect to a to-be-

constructed service road running parallel to State Route 1—would increase the

number of vehicles able to enter the Meding property.

5. The Medings’ proposal required DelDOT to complete a Traffic Impact

Study (“TIS”) to determine the feasibility of the plan. On June 2, 2021, DelDOT

issued its final TIS Review Letter, granting preliminary approval for the construction

of an off-ramp from State Route 1 to the Meding property.2

6. JMER believes that this TIS Review Letter constituted the final word

on whether the Medings’ development would be allowed direct access to State Route

1. JMER had also requested DelDOT for direct access to State Route 1, but DelDOT

denied that request.

7. JMER sued DelDOT—and, nominally, the Medings—in the Court of

Chancery, seeking declaratory and injunctive relief that would effectively prohibit

the Medings from building an off-ramp from State Route 1. JMER claims, among

other things, that any grant to the Medings of access from and to State Route 1

exceeds DelDOT’s statutory and regulatory authority, would be arbitrary and

capricious, and would deprive JMER of its “constitutional right to equal protection

under 42 U.S.C. § 1983.”3 JMER also contends that allowing the Medings direct

2 The TIS Letter did not, however, address the Medings’ request for an on-ramp. 3 App. to Opening Br. at A38. 3 access to State Route 1, when JMER was denied such access, would confer on the

Medings a “unique and unprecedented competitive advantage.”4

8. The Medings and DelDOT moved to dismiss JMER’s complaint as

“premature” because “DelDOT . . . ha[d] not yet definitively granted or approved

any new access to Route 1.”5 After hearing oral argument on the motion to dismiss,

the Court of Chancery dismissed JMER’s complaint “without prejudice on the

ground that the dispute is not ripe.”6 The court’s written order incorporated the

reasons announced by the court during the parties’ hearing.7 At the conclusion of

the hearing, the court encouraged the parties to return once their dispute was ripe

(i.e., once the Medings had received final approval to construct their proposed new

entrance).

9. In this appeal, JMER contends that the Court of Chancery’s dismissal

was in error and that DelDOT’s final TIS Review Letter was, in fact, DelDOT’s final

determination on whether the Medings’ development would ultimately be allowed

direct access to State Route 1.

10. Delaware courts are permitted, under the Declaratory Judgment Act, to

issue declaratory judgments where an “actual controversy” exists between the

4 Opening Br. at 15. 5 App. to Opening Br. at A356, A378. 6 Opening Br., Ex. 1. 7 Id. 4 parties.8 There are four prerequisites for an actual controversy to exist, one of which

requires that “the issue involved in the controversy [] be ripe for judicial

determination.”9

11. A case is “ripe” when its underlying controversy has “matured to a

point where judicial action is appropriate.”10 The inquiry is governed by a “common

sense assessment of whether the interests of the party seeking immediate relief

outweigh the concerns of the court in postponing review until the question arises in

some more concrete and final form.”11 Consequently, judicial action is inappropriate

where “the claim is based on uncertain and contingent events that may not occur, or

where future events may obviate the need for judicial intervention.”12 The relevant

“common sense” inquiry before us now is whether DelDOT’s final TIS Review

Letter can be considered a final decision that renders JMER’s claims ripe for

adjudication. We hold that it cannot.

12. Section 2.2.3.1(H) of the DelDOT Manual describes the function of a

TIS review letter: “When DelDOT finds that the TIS is satisfactory and agrees with

its conclusions, DelDOT shall establish conditions for approval of construction and

8 XL Specialty Ins. Co. v. WMI Liquidating Tr., 93 A.3d 1208, 1216–17 (Del. 2014). 9 Id. at 1217. 10 Stroud v. Milliken Enterprises, Inc., 552 A.2d 476, 480 (Del. 1989) (citing Schick Inc., 533 A.2d at 1239)). 11 XL Specialty Ins. Co., 93 A.3d at 1217. 12 Id. 5 subdivision streets and for approval of access to state-maintained roadways, and

shall provide a letter detailing the conditions to the Applicant.”13

13. The final TIS Review Letter is, therefore, a conditional document. It

describes the conditions that a developer must meet in order to obtain final approval

of their project.

14. To receive final approval from DelDOT, the Medings must first comply

with the conditions specified in the TIS Review Letter, which require the Medings

to submit detailed design and construction drawings that show the precise location

of the proposed off-ramp, the turning radii of the off-ramp, the Medings’ plan for a

deceleration lane leading to the off-ramp, and a host of other technical requirements.

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Related

Stroud v. Milliken Entersprises, Inc.
552 A.2d 476 (Supreme Court of Delaware, 1989)
XL Specialty Insurance v. WMI Liquidating Trust
93 A.3d 1208 (Supreme Court of Delaware, 2014)

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