Love's Travel Stops v. City of Wall

2023 S.D. 68
CourtSouth Dakota Supreme Court
DecidedDecember 28, 2023
Docket30277
StatusPublished
Cited by1 cases

This text of 2023 S.D. 68 (Love's Travel Stops v. City of Wall) is published on Counsel Stack Legal Research, covering South Dakota Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Love's Travel Stops v. City of Wall, 2023 S.D. 68 (S.D. 2023).

Opinion

#30277-r-SRJ 2023 S.D. 68

IN THE SUPREME COURT OF THE STATE OF SOUTH DAKOTA

****

LOVE’S TRAVEL STOPS & COUNTRY STORES, INC., and ONE SHOT, LLC, Plaintiffs and Appellees,

v.

CITY OF WALL, SOUTH DAKOTA; CITY COUNCIL FOR WALL, SOUTH DAKOTA; and PLANNING and ZONING COMMISSION FOR WALL, SOUTH DAKOTA, Defendants and Appellants. ****

APPEAL FROM THE CIRCUIT COURT OF THE SEVENTH JUDICIAL CIRCUIT PENNINGTON COUNTY, SOUTH DAKOTA

THE HONORABLE HEIDI L. LINNGREN Judge

RONALD A. PARSONS, JR. of Johnson, Janklow & Abdallah, LLP Sioux Falls, South Dakota

KENT R. HAGG of Hagg & Hagg, LLP Rapid City, South Dakota

STEPHANIE TRASK of City of Wall, South Dakota Attorneys for defendants and appellants.

ARGUED OCTOBER 4, 2023 OPINION FILED 12/28/23 ****

MICHAEL F. NADOLSKI JEFFREY D. COLLINS DANA VAN BEEK PALMER of Lynn Jackson Shultz & Lebrun, P.C. Sioux Falls, South Dakota Attorneys for plaintiffs and appellees. #30277

JENSEN, Chief Justice

[¶1.] Love’s Travel Stops & Country Stores, Inc. (Loves) entered into a

conditional agreement to purchase property in Wall, South Dakota (City). Loves

applied to rezone the property and sought a building permit to develop a new travel

stop on the property. After the City Council denied these requests, Loves filed a

petition for writ of mandamus, writ of certiorari, and request for declaratory relief

with the circuit court. The circuit court granted Loves’ petition in part (Mandamus

Order) declaring that the City’s Zoning Ordinance did not apply to the subject

property and granted mandamus relief requiring the City to reconsider Loves’

application for a building permit after it “review[ed] and determine[d] whether any

member of the City Council is disqualified” from considering Loves’ application

under SDCL 6-1-17. Neither party appealed the circuit court’s ruling.

[¶2.] The City Council subsequently conducted a conflict-of-interest analysis

and determined that no member was disqualified from considering Loves’

application under SDCL 6-1-17. Thereafter, the City Council reconsidered and

again denied Loves’ building permit application. Following the denial, Loves filed a

motion for order to show cause requesting the circuit court to find the City in

contempt of the court’s order and sought issuance of a building permit. The circuit

court found the City to be in contempt for willfully and contumaciously disobeying

its Mandamus Order and ordered the City to issue Loves a building permit. The

City appeals the circuit court’s contempt order. We reverse.

-1- #30277

Factual and Procedural Background

[¶3.] Loves is a privately owned corporation that operates 24-hour truck

stops across the United States. One Shot, L.L.C. (One Shot), a South Dakota

limited liability company, owns real property located in the southwest corner of the

City. Loves entered into an agreement to purchase a 13-acre parcel of land (the

Property) from One Shot, conditioned upon obtaining City zoning and permitting

approvals to develop and construct a new travel stop on the Property. At the time,

the Property was located within the City, but had not been platted or designated to

one of the four established zoning districts in the City’s Zoning Ordinance. 1

[¶4.] All rezoning and building permit applications within the City must be

approved at regular city council meetings. The City Council is comprised of a six-

member panel. At the outset of this case, Rick Hustead, Jerry Morgan, Stan

Anderson, Mike Anderson, Dar Haerer, and Dan Hauk all served on the City

Council. 2 Hustead is the owner of Wall Drug Store, Inc., a popular rest stop and

tourist attraction located within the City. Hustead also owns the Wall Auto Livery

gas station and convenience store. Mike Anderson is the owner of a Dairy Queen

franchise in the City, and Welsh owns a local motel.

[¶5.] On August 22, 2019, Loves presented its plan to build and develop a

travel stop to the City Council. These plans garnered significant interest

1. The four zoning districts listed within the City’s Ordinance include general residential, general commercial, general industrial, and planned unit development.

2. Dar Hearer was replaced by Kelly Welsh while Loves’ building permit was being reconsidered. -2- #30277

throughout the community. Hustead was among the council members who

expressed their opposition to Loves’ plans, citing the potential affect on Wall Drug’s

business and the safety and economic value of nearby neighborhoods. Several

community members also expressed opinions and concerns with Loves’ building

plans.

[¶6.] On October 16, 2019, Loves sought to rezone the Property from the

City’s agricultural district to its general commercial district. 3 In response to this

request, the City published a notice of hearing on the application for rezoning. The

meeting was set to be heard by the City’s Planning and Zoning Commission

(Commission) on November 5, 2019. The Commission was split with three votes in

favor of recommending the application to the City Council and three votes opposed.

Hustead and Stan Anderson were among the three votes in opposition to the

rezoning application.

[¶7.] Following the Commission hearing, Loves submitted a written request

to have the City recuse Stan Anderson and Hustead from considering the

application because of their personal conflicts and dual roles in the City

government. 4 In response to this request, the City attorney informed Loves that

3. Loves alleges that the City initially represented that the Property was zoned as agricultural land and needed to be rezoned to the general commercial district. Loves claims it did not discover that the Property had not been zoned until after its initial re-zoning application was submitted.

4. In their petition for writ of certiorari and writ of mandamus, Loves alleged that Hustead and Stan Anderson could not legally sit on the Commission because they were members of the City Council. The circuit court did not address this issue in its Mandamus Order, and it was not directly raised as an issue in the contempt proceedings. -3- #30277

she did not identify any conflicts of interest regarding Loves’ application and

therefore declined to have any member of the City Council removed.

[¶8.] Loves applied for a building permit on January 20, 2020. The City

Council considered both the rezoning request and the building permit application at

the next City Council meeting. The City Council voted unanimously to deny Loves’

application to rezone the Property. The meeting minutes reflect that the City

Council’s justification for denying the application was because “[a] decision for the

best interest of the health, safety and welfare of this community [was] not possible

at [the] time with the lack of a completed study and update to the Master

Comprehensive Plan.” Shortly thereafter, council members moved and voted

unanimously to deny Loves’ building permit application because the Property was

“not zoned for a commercial business.”

[¶9.] On March 24, 2020, Loves filed a petition for writ of mandamus, for

writ of certiorari, and for declaratory relief with the circuit court. The petition

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Peery v. Peery
2025 S.D. 57 (South Dakota Supreme Court, 2025)

Cite This Page — Counsel Stack

Bluebook (online)
2023 S.D. 68, Counsel Stack Legal Research, https://law.counselstack.com/opinion/loves-travel-stops-v-city-of-wall-sd-2023.