Knapp v. City of Coeur D'Alene

172 F. Supp. 3d 1118, 2016 WL 1180168, 2016 U.S. Dist. LEXIS 39758
CourtDistrict Court, D. Idaho
DecidedMarch 25, 2016
DocketCase No.: 2:14-cv-00441-REB
StatusPublished

This text of 172 F. Supp. 3d 1118 (Knapp v. City of Coeur D'Alene) is published on Counsel Stack Legal Research, covering District Court, D. Idaho primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Knapp v. City of Coeur D'Alene, 172 F. Supp. 3d 1118, 2016 WL 1180168, 2016 U.S. Dist. LEXIS 39758 (D. Idaho 2016).

Opinion

MEMORANDUM DECISION AND ORDER RE: DEFENDANT’S MOTION TO DISMISS FIRST AMENDED complaint

(Docket No. 31)

Honorable Ronald E. Bush, Chief U. S. Magistrate Judge

Now pending before the Court is Defendant’s Motion to Dismiss First Amended Complaint (Docket No. 31). Having carefully considered the record, participated in oral argument, and otherwise being fully advised, the Court enters the following Memorandum Decision and Order:

[1120]*1120I. INTRODUCTION AND SUMMARY OF DECISION

Donald and Evelyn Knapp (the “Knapps”) are the owners of Hitching Post Weddings, LLC, a business located in Co-eur d’Alene, Idaho, which provides wedding services. Such services generally involve wedding ceremonies performed at their business location (the “Hitching Post”) and usually performed by one of the Knapps as the officiant. The Knapps contend that their rights have been violated because a local anti-discrimination ordinance places them into a Hobson’s choice of choosing between violating their religious beliefs by performing same-sex wedding ceremonies, or violating City Ordinance § 9.56 (the “Ordinance”) by refusing to perform same-sex wedding ceremonies. In this lawsuit against the City of Coeur d’Alene (the “City”), the Knapps seek (1) compensatory damages for the seven days they say they were forced to close the Hitching Post due to the City’s alleged threats to enforce the Ordinance against them; and (2) to enjoin any enforcement by the City of the Ordinance, as unconstitutional in violation of “the Free Speech Clause, the Free Exercise Clause, the Equal Protection Clause, the Due Process Clause, and Idaho’s Free Exercise of Religion Protected Act.”

The City seeks- dismissal of the case, claiming that Hitching Post Weddings, LLC is a religious corporation and therefore specifically exempt from the Ordinance’s authority. According to the City, because the Ordinance does not apply to either Hitching Post Weddings, LLC or the Knapps, each of them lacks standing to bring this lawsuit and their claims are not ripe for review.

Through this Memorandum Decision and Order, the Court grants, in part, and denies, in part, the City’s Motion to Dismiss. The Knapps have standing to bring a claim for compensatory damages associated with the Hitching Post’s closing on the single date of October 15, 2014; in this respect only, the Motion to Dismiss is denied. However, the Knapps do not have standing (1) to bring a claim for compensatory damages associated with the Hitching Post’s closing on October 7, 8, 9, 10, 11, and 14, 2014, or (2) bring a pre-enforcement challenge to the Ordinance; in these respects, the Motion to Dismiss is granted.

That the Knapps have standing to bring a claim for compensatory damages associated with the Hitching Post’s closing on October 15, 2014 does not mean that they prevail as a matter of law on such a claim; rather, they are simply permitted to move forward in asserting such a claim through this legal action. The actual merits and scope of this discrete claim are not addressed at this time.

II. RELEVANT BACKGROUND1

A. The Knapps and the Hitching Post

1. Plaintiffs Donald and Evelyn Knapp are Christians and ordained ministers of the International Church of the Foursquare Gospel. See Pis.’ First Am. Compl., ¶¶ 51, 54, 77, 83 (Docket No. 29). Mr. Knapp first officiated a wedding in 1969. See id. at ¶ 79.

2. Mr. Knapp learned about the Hitching Post in Coeur d’Alene, - Idaho around 1975 [1121]*1121from a member of his church, John Green; Mr. Green worked at the Hitching Post and eventually purchased it. See id, .at ¶ 86.

3. Mr. Knapp began working at the Hitching Post in 1987, which included officiating weddings there one day a week. See id. at ¶89. Mr. Knapp continued to work at the Hitching Post in this capacity for one and a half years. See id. at ¶ 90.

4. In 1989, the Knapps purchased the Hitching Post from Mr. Green. See id. at ¶94. For their newly-acquired business, the Knapps formed a new Washington state corporation, named D.L.K. Enterprises, Inc. See id. at ¶¶ 95, 96. D.L.K. Enterprises, Inc. D/B/A the Hitching Post was organized as a “profit corporation,” under Washington law. See id. at ¶¶ 97, 143, 156. The Knapps also elected to file their federal and Idaho tax returns for “D.L.K. Enterprises, Inc. D/B/A the Hitching Post” as an S-Corporation. See id. at ¶¶ 101,143.

5. The Knapps continued to operate the business as an S-Corporation until September 12, 2014, when they created a new business entity known as Hitching Post Weddings, LLC (another Plaintiff in this action) by filing a certificate of -organization with the Idaho Secretary of State. See id. at ¶¶ 144-145; see also Gridley Dec!., ¶ 8 (Docket No. 31, Att. 2). Hitching Post Weddings, LLC is a for-profit enterprise; the Knapps are its members, owners, and operators. See Pis.’ First Am. Compl., ¶¶ 53, 56,146,156 (Docket No. 29).2

6. On October 6, 2014, the Knapps executed the “Operating Agreement of Hitching Post Weddings, LLC.” See id. at ¶ 161; see also Op. Agmt., attached as Ex. 2 to Pis.’ First Am. Compl. (Docket No. 29, Att. 2). According to the Operating Agreement:

The Hitching Post is a religious corporation owned solely by ordained ministers of the' Christian religion who operate this entity as an extension of their sincerely held religious' beliefs and in accordance with their vows taken as Christian ministers. The purpose of the Hitching Post is to help people create, celebrate, and' build lifetime, monogamous, one-man-one-woman marriages as defined by the Holy Bible.
The Hitching Post provides wedding and marriage-related services for the purpose of publicly expressing and promoting that marriage is the union of one man and one woman, which is consistent with the owners’ sincerely held religious beliefs and with their ministerial vows. Any request for wedding and marriage-related services not within this identified purpose is outside the scope of services offered by the Hitching Post.
The Hitching Post, consistent with its owners’ sincerely held, religious beliefs, provides wedding and marriage-related services also for the purposes of promoting the social institution of marriage as a fundamental building block of our society and promoting the public understanding of marriage as the union of one man and one woman. By furthering these purposes, the Hitching Post endeavors to instill and promote this biblical understanding of marriage and marriage-related values in the communities where it operates. Achieving these goals is important to ensure that marriage [1122]*1122.'remains a vital social institution that uniquely promotes the raising of children by their mother and father.

See Pis.’ Compl., ¶ 163 (Docket No. 29); see also Op. Agmt., attached as Ex. 2 to Pis.’ First Am. Compl., ¶ 3.1- (Docket No. 29, Att. 2). Around that same time, Plaintiffs created new employee and customer policies, identifying .the Hitching Post as a “religious corporation” with a “religious purpose.” Nee Pis.’ Compl., ¶¶-169-174,178-181 (Docket No. 29); see also Employee Policy, attached as Ex. 3 to.Pls.’ First Am. Compl., p. 1 (Docket No. 29, Att.

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Bluebook (online)
172 F. Supp. 3d 1118, 2016 WL 1180168, 2016 U.S. Dist. LEXIS 39758, Counsel Stack Legal Research, https://law.counselstack.com/opinion/knapp-v-city-of-coeur-dalene-idd-2016.