Kaleta v. City of Holmes Beach

CourtDistrict Court, M.D. Florida
DecidedApril 3, 2023
Docket8:22-cv-02472
StatusUnknown

This text of Kaleta v. City of Holmes Beach (Kaleta v. City of Holmes Beach) is published on Counsel Stack Legal Research, covering District Court, M.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kaleta v. City of Holmes Beach, (M.D. Fla. 2023).

Opinion

UNITED STATES DISTRICT COURT MIDDLE DISTRICT OF FLORIDA TAMPA DIVISION

SHAWN THOMAS KALETA, BALI HAI JV LLC, 3605 GULF DR LLC, 100 73RD LLC, 100 73RD 203A LLC and 100 73RD ST UNIT 202C LLC,

Plaintiffs,

v. Case No: 8:22-cv-2472-CEH-JSS

CITY OF HOLMES BEACH,

Defendant.

ORDER This matter comes before the Court on Defendant City of Holmes Beach’s Motion to Stay Proceedings during Pendency of Related State Court Litigation (Doc. 21) and Motion for More Definite Statement (Doc. 20), which Plaintiffs oppose (Docs. 26, 27). In this 42 U.S.C. § 1983 action, Plaintiffs Shawn Thomas Kaleta et al. allege that Defendant has violated his rights to equal protection and free speech in connection with code enforcement and permit proceedings. Doc. 11. Upon review and consideration, and being fully advised in the premises, the Court will deny the motion to stay. The Court will grant-in-part the motion for a more definite statement to the extent that certain allegations of the Amended Complaint will be stricken. The motion for a more definite statement is otherwise denied. I. BACKGROUND Plaintiff Shawn Kaleta is a property owner and developer in Manatee County,

Florida. Doc. 11 ¶¶ 5, 14. The remaining Plaintiffs are limited liability companies that Kaleta owns, through which he operates hotels and short-term vacation rentals on Anna Maria Island. Id. ¶¶ 6-11, 15-16. Plaintiffs allege that Defendant, the City of Holmes Beach, Florida, has implemented what he terms an “Anti-Kaleta Policy,” in which it targets Plaintiffs through, inter alia, over-regulation and selective or improper

enforcement of its municipal code. Id. ¶¶ 17-19. While the “Anti-Kaleta Policy” has taken many forms, Plaintiffs allege that in combination it amounts to a deprivation of equal protection under the law as well as unconstitutional retaliation for the exercise of their First Amendment rights. Id. ¶¶ 22-23. They identify the exercise of their lawful business practices, prior litigation against the city, and public speech critical of city

officials as the actions that motivated the retaliation. Id. ¶¶ 18, 76. Plaintiffs’ interactions with Defendant resulted in approximately forty-five state or municipal court actions, including code enforcement appeals and lawsuits pursuant to Florida’s Bert Harris Act, which provides a process for landowners to seek relief when their property is affected by government action. See Doc. 18. Some of these

proceedings are still underway. Id.; see Doc. 21. Kaleta first initiated a federal lawsuit in this Court under Case Number 8:21-cv- 3025-CEH-TGW, which he voluntarily dismissed on August 17, 2022. Doc. 18 at 2. On October 31, 2022, he and the other Plaintiffs filed the instant action with very similar allegations.1 Doc. 1. Plaintiffs seek damages under 42 U.S.C. § 1983 for the combination of actions they allege make up the “Anti-Kaleta Policy.” Doc. 11. Count I alleges that these actions amounted to a violation of their right to equal protection of

law based on a “class of one” theory, while Count II alleges that the same actions constituted First Amendment retaliation. Id. Defendant now moves for a more definite statement and to stay the action pending the full resolution of the state court proceedings. Docs. 20, 21.

II. MOTION TO STAY In its motion to stay, Defendant contends that the instant action concerns factual and legal issues that are the subject of pending legal proceedings involving the same parties in the Twelfth Judicial Circuit Court in and for Manatee County, Florida. Doc. 21. Defendant identifies a number of code enforcement or permit-related

proceedings and appeals between the parties that are pending or have already resolved in Defendant’s favor. Id.; see also Doc. 18. It asserts that nearly all of the pending matters concern issues raised in the instant action, such as whether a site plan is required to modify the structures or uses on a property or whether a motion to continue a hearing was improperly denied. Doc. 21 at 11. Therefore, Defendant argues that a

stay is appropriate because the resolution of the pending suits “will likely resolve many of the same issues Plaintiffs seek to concurrently litigate before this Court.” Id. Defendant offers multiple legal grounds for a stay. First, it contends that the abstention

1 The instant action was transferred to this Court as a successive action pursuant to Local Rule 1.07(a)(1). See Doc. 28. doctrine is appropriate because the state actions involve the same parties and substantially the same issues, and the interests of judicial administration favor abstention. Id. at 15-17. Moreover, judgments in the pending proceedings may have

preclusive effect on this Court’s ability to adjudicate the instant action pursuant to the Rooker-Feldman doctrine and res judicata. Id. at 17-20. Finally, Defendant argues that the doctrine of claim-splitting counsels against concurrent adjudication of the instant action. Id. at 20-24. Defendant requests that the action be stayed until the complete

resolution of all pending state court proceedings. Id. Plaintiffs oppose the motion to stay. Doc. 27. They argue that the outcome of the pending state court cases will have no determinative effect on the instant action, which alleges over-regulation and selective prosecution as a federal constitutional violation. Id. at 2, 5-6. Plaintiffs argue that the Colorado River abstention doctrine does

not apply because the state court proceedings will not eliminate the need for further action; in any event, Defendant cannot meet the high burden of establishing that there is no substantial doubt about whether the two lines of litigation are parallel. Id. at 3-4. 1. Colorado River Doctrine As the parties acknowledge, “abstention is an extraordinary and narrow

exception to the duty of a District Court to adjudicate a controversy properly before it,” and “only the clearest of justifications merits abstention.” Jackson-Platts v. General Elec. Capital Corp., 727 F.3d 1127, 1140 (11th Cir. 2013), quoting Colorado River Water Conservation Dist. v. U.S., 424 U.S. 800, 81, 819 (1976). The Colorado River doctrine applies equally whether a district court is asked to abstain, abate, or stay an action in lieu of exercising federal jurisdiction. See, e.g., Baker v. Warner/Chappell Music, Inc., 759 F. App’x 760 (11th Cir. 2018) (applying doctrine in context of stay request rather than

abstention); see also Cottrell v. Duke, 737 F.3d 1238, 1249 (8th Cir. 2013) (Colorado River doctrine test applies when a requested stay “amounts to a complete refusal to exercise jurisdiction”). Under this doctrine, a federal court should abstain if a parallel lawsuit is proceeding in state court and judicial-administration reasons demand abstention. Jackson-Platts, 727 F.3d at 1140. First, “if there is any substantial doubt about whether

two cases are parallel the court should not abstain.” Acosta v. James A. Gustino, P.A., 478 F. App’x 620, 622 (11th Cir. 2012) (citations omitted). Next, even if the proceedings are parallel, abstention is only warranted in exceptional circumstances based upon a six-factor test that applies a presumption toward federal jurisdiction.

Jackson-Platts, 727 F.3d at 1141.

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Kaleta v. City of Holmes Beach, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kaleta-v-city-of-holmes-beach-flmd-2023.