John Ketch LLC v. San Juan County

CourtDistrict Court, W.D. Washington
DecidedApril 25, 2025
Docket2:24-cv-00931
StatusUnknown

This text of John Ketch LLC v. San Juan County (John Ketch LLC v. San Juan County) is published on Counsel Stack Legal Research, covering District Court, W.D. Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
John Ketch LLC v. San Juan County, (W.D. Wash. 2025).

Opinion

1 2 3

4 5 UNITED STATES DISTRICT COURT 6 WESTERN DISTRICT OF WASHINGTON AT SEATTLE 7 JOHN KETCH LLC, NO. C24-00931-KKE 8 Plaintiff(s), v. ORDER ON MOTIONS TO DISMISS 9

SAN JUAN COUNTY, 10 Defendant(s). 11

12 This case arises from a building permit denial. Plaintiff John Ketch LLC initially sued San 13 Juan County (the “County”) alleging violations under the Land Use Protection Act (“LUPA”), 14 Washington Revised Code (“RCW”) ch. 64.40, and the Fifth and Fourteenth Amendments. Dkt. 15 No. 1-1. This Court dismissed with prejudice the permit delay claim under RCW ch. 64.40. Dkt. 16 No. 18. The Court dismissed without prejudice Plaintiff’s LUPA and RCW ch. 64.40 permit 17 conditions claims, as well as Plaintiff’s federal constitutional claims, and granted leave to amend. 18 Id. Before Plaintiff amended its original complaint, the County filed an Answer and asserted a 19 counterclaim for attorney’s fees. Dkt. No. 19. 20 Now, Plaintiff moves to dismiss the County’s counterclaim, arguing that the counterclaim 21 is rendered moot after it filed the First Amended Complaint (“FAC”). Dkt. No. 21. In response, 22 the County moves to dismiss Plaintiff’s FAC for failure to state a claim. Dkt. No. 22. 23 24 1 For the reasons below, the Court denies Plaintiff’s motion to dismiss as moot (Dkt. No. 21) 2 and strikes the County’s Answer to the original complaint (Dkt. No. 19). The Court also denies 3 the County’s motion to dismiss the FAC. Dkt. No. 22.

4 I. BACKGROUND 5 A. Factual Allegations in Plaintiff’s FAC1 6 Plaintiff John Ketch LLC is a Washington limited liability company that owns a tract of 7 real property located on Orcas Island, within San Juan County. Dkt. No. 20 at 1. The residence 8 on the property was destroyed in September 2019. Id. ¶ 3.3. Plaintiff hired an architect to assist 9 with designing and permitting a structure to replace the previous building. Id. ¶ 3.4. In September 10 and October 2020, Plaintiff’s architect corresponded with the County’s Department of Community 11 Development about how the non-conforming structure provisions of the San Juan County Code 12 (“SJCC”) apply to the proposed redevelopment. Id. ¶ 3.5. Plaintiff’s architect submitted a diagram

13 providing the calculations for the Average Grade Level (“AGL”) to determine the maximum 14 allowable height of the new home. Id. Plaintiff alleges that the County responded and confirmed 15 that the approach proposed by the architect complied with the SJCC. Id. 16 In January 2022, Plaintiff submitted a complete building permit application (“BUILD-22- 17 0014”) to the Department of Community Development. Dkt. No. 20 ¶ 3.6. In June 2022, the 18 County requested Plaintiff provide an egress plan and suggested that the AGL was incorrect 19 without elaborating as to why. Id. ¶ 3.7. In the following months, Plaintiff attempted to discuss 20 the AGL calculation with County employees, who eventually stopped responding to Plaintiff’s 21 communications. Id. ¶ 3.8. 22

1 For purposes of a motion to dismiss, the Court assumes that the facts alleged in the complaint are true. Edmonson 24 v. City of Martinez, 17 F. App’x 678, 679 (9th Cir. 2001). 1 In November 2022, the County finally responded, explaining that the proposed replacement 2 structure did not conform with the SJCC’s maximum height allowance because it would be taller 3 than the height of the previous legal, non-conforming building. Dkt. No. 20 ¶ 3.9. Plaintiff alleges

4 that the County failed to cite any portion of the SJCC that required that the proposed replacement 5 structure could not be taller than the previously existing building. Id. 6 On June 2, 2023, the County wrote Plaintiff a letter “denying the permit” because it did not 7 comply with SJCC 18.50.090. Dkt. No. 20 ¶ 3.11. In particular, the County’s letter stated that 8 BUILD-22-0014 was denied “because the height of the proposed redevelopment is greater than 9 the original fire destroyed structure” and would be “located within the Shoreline Aesthetic Setback 10 which extends 100 feet inland from the Top of Bank.” Id. The letter lastly stated that the proposed 11 replacement structure “could be replaced in its original three-dimensional envelope.” Id. 12 On June 20, 2023, Plaintiff appealed the June 2, 2023 denial letter. Dkt. No. 20 ¶ 3.12. To

13 date, the County Hearing Examiner has yet to set this appeal for a hearing. Id. Plaintiff then 14 directed its architect to design new plans that complied with the County’s requirements, as 15 explained in the June 2, 2023 letter. Id. ¶ 3.13. 16 In October 2023, the County’s Hearing Examiner issued a decision in an unrelated appeal, 17 which declared that under SJCC 18.50.090, the replacement of a legal, non-conforming structure 18 is not confined to the “original three-dimensional envelope”—as stated in the June 2, 2023 denial 19 letter. Dkt. No. 20 ¶ 3.14. Later that month, the County then “asserted that the height of the 20 proposed replacement structure was still prohibited” by the SJCC. Id. ¶ 3.15. Plaintiff alleges that 21 at several points during correspondence with the County, it asserted methods for calculating AGL 22 that do not appear in the SJCC. Id. ¶¶ 3.16–3.17, 3.20, 3.22. At one point, Plaintiff proposed a

23 replacement structure with a shorter building height than the maximum of 35 feet above AGL. Id. 24 ¶ 3.28. As Plaintiff continued to exchange correspondence with the County regarding AGL 1 calculations, the County never provided Plaintiff with a final and appealable decision on the AGL 2 issue. Id. ¶¶ 3.19–3.25. Plaintiff also claims that the County “has never required an applicant for 3 a building permit to calculate height using th[e] method[s] [it required from Plaintiff].” Id. ¶¶ 3.20,

4 3.22, 3.26. 5 On May 8, 2024, the County issued a building permit to Plaintiff, approving the same plans 6 that Plaintiff initially submitted more than two years earlier, in January 2022. Dkt. No. 20 ¶ 3.30. 7 According to Plaintiff, the County “failed to act on BUILD-22-0014 within one hundred twenty 8 days from the date that BUILD-22-0014 was determined to be complete[,]” in January 2022. Id. 9 ¶ 3.31. 10 B. Procedural History 11 Plaintiff filed suit against the County in San Juan County Superior Court on May 28, 2024 12 (Dkt. No. 1-1 at 2), and the County removed the case to this Court on June 26, 2024. Dkt. No. 1.

13 The Court granted in part and denied in part the County’s motion to dismiss the original complaint. 14 Dkt. No. 18. The Court dismissed without prejudice Plaintiff’s LUPA and RCW ch. 64.40 permit 15 conditions claims, as well as Plaintiff’s federal constitutional claims, and granted leave to amend 16 those claims. Id. Plaintiff’s remaining claims were dismissed with prejudice. Id. 17 On December 30, 2024, the County filed an Answer to the original complaint, which 18 Plaintiff had not yet amended. Dkt. No. 19. In its Answer, the County asserted a counterclaim 19 against Plaintiff, seeking an award of attorney’s fees and costs pursuant to RCW ch. 64.40. Id. at 20 17. 21 Plaintiff amended its complaint on January 10, 2025, asserting substantive due process and 22 equal protection claims. Dkt. No. 20 at 10, 18. A week later, Plaintiff moved to dismiss the

23 County’s counterclaim. Dkt. No. 21. The County then moved to dismiss the FAC. Dkt. No. 22. 24 The parties fully briefed both motions, and the dispute is ripe for the Court’s consideration. 1 II. MOTION TO DISMISS STANDARD 2 In deciding a motion to dismiss under Federal Rule of Civil Procedure 12(b)(6), a court 3 examines the complaint to determine whether, if the facts alleged are true, the plaintiff has stated

4 “a claim to relief that is plausible on its face.” Ashcroft v. Iqbal, 556 U.S. 662

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John Ketch LLC v. San Juan County, Counsel Stack Legal Research, https://law.counselstack.com/opinion/john-ketch-llc-v-san-juan-county-wawd-2025.