Pacific Palisades Ass'n v. City of Huntington Beach

237 P. 538, 196 Cal. 211, 40 A.L.R. 782, 1925 Cal. LEXIS 306
CourtCalifornia Supreme Court
DecidedMay 28, 1925
DocketDocket No. L.A. 7636.
StatusPublished
Cited by62 cases

This text of 237 P. 538 (Pacific Palisades Ass'n v. City of Huntington Beach) is published on Counsel Stack Legal Research, covering California Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pacific Palisades Ass'n v. City of Huntington Beach, 237 P. 538, 196 Cal. 211, 40 A.L.R. 782, 1925 Cal. LEXIS 306 (Cal. 1925).

Opinion

WASTE, J.

Plaintiff brought an action seeking to enjoin the City of Huntington Beach and its city marshal from attempting to enforce the provisions of an ordinance prohibiting plaintiff from erecting derricks, installing machinery, and drilling oil wells on its own lands within the city limits. The trial court sustained the general demurrer to the complaint, interposed by the defendants, and plaintiff declined to amend. Judgment was entered for the defendants, from which judgment plaintiff appeals.

The appellant is the owner of thirteen acres of land located within the boundaries of that portion of the City of Huntington Beach designated and set apart as a residence district in two ordinances to be hereinafter referred to. This land, it is alleged, is of great value for the purpose of producing oil and kindred substances, and of a much less *215 value for residential purposes. The predecessor in interest of appellant was about to enter into leases of the land to persons or corporations who agreed to drill oil wells thereon, and did enter into one lease whereby the lessee agreed to drill four wells, and by the terms of which the owner of the property would reasonably expect to receive a sum in excess of fifteen hundred dollars per day royalty from the production of oil therefrom. Just prior to the making of this lease, the board of trustees of Huntington Beach adopted an emergency ordinance, subsequently amending same, establishing a business and a residence district in the city, and making it unlawful, among other things, for any person, firm or corporation to erect, establish, carry on, or maintain within the residence or business districts an oil well or derrick, or the business of drilling or operating for the discovery or production of oil, gas, hydrocarbon, or other kindred substances. The lessee of appellant is ready, willing, and able to proceed with the drilling of wells and the production of oil on the lands of appellant, but he and appellant are prevented from proceeding with their plans by reason of the ordinances referred to, the eity threatening to prosecute appellant and imprison its officers, agents, or employees or any persons attempting to proceed with the production of oil under the terms of the lease.

It is alleged that the respondent city arbitrarily and without reason adopted the ordinances prohibiting the drilling for oil on appellant’s land, and that.its action is unreasonable, arbitrary, and discriminatory. In support of these general averments, it is alleged that the property of appellant is proven oil land, and is situate upon the principal oil-bearing district of the City of Huntington Beach. Within five hundred feet of appellant’s easterly line there are now producing wells, and within nine hundred feet of its property there are no less than twenty completed wells. Some of these wells are in operation and produce large quantities of oil. Thirty-six blocks of Huntington Beach, lying north and east of appellant’s premises, and within the purported residence district, are sparsely populated. The larger part of this territory is vacant and unoccupied by residences, there being not more than twenty houses in that section of the city when the first ordinance was passed. Just east of the eastern boundary line of the established residence *216 district, and not included therein, is the most costly elementary school building in the City of Huntington Beach, and a number of residences. Near the schoolhouse and the residences numerous oil wells have been drilled since the adoption of the ordinances, and derricks and engine-houses have been erected and oil-producing machinery installed. In another direction, within ten blocks of the lands of appellant, there is a section of the city more densely populated than the restricted area, the greater portion of which is occupied by residences, and in which the city has permitted the drilling of oil wells and the production of oil. The erection of oil derricks and engine-houses and the drilling of oil wells on its premises will not,' appellant alleges, in any way endanger the safety, health, or welfare of the people of Huntington Beach.

We are of the opinion that the appellant has stated a cause of action. The business of boring for and producing oil is a lawful enterprise. The effect of the ordinance, absolutely prohibiting the maintenance or operation of oil wells within certain designated limits of the City of Huntington Beach, is to deprive the owners of real property within such limits of a valuable right incident to their ownership. While the use to which one may put his property may be restricted or regulated by the state, in the exercise of its police power, so far as it may be necessary to protect others from injury from such use, it is elementary that the enjoyment of the property cannot be interfered with or limited arbitrarily. (In re Kelso, 147 Cal. 609, 611 [109 Am. St. Rep. 178, 2 L. R. A. (N. S.) 796, 82 Pac. 241].) It must be taken as very definitely settled in this state that the right to zone may be resorted to by municipalities upon a proper invocation of the police power. (Miller v. Board of Public Works, 195 Cal. 477 [38 A. L. R. 1479, 234 Pac. 381]; Zahn v. Board of Public Works, 195 Cal. 497 [234 Pac. 388].) But such zoning must be reasonably necessary and reasonably related to the health, safety, morals, or general welfare of the community. A municipality is not permitted, under the guise of regulating business and segregating it to a particular district, to grant a monopoly to business establishments and enterprises already situated in unrestricted districts. (In re White, 195 Cal. 516 [234 Pac. 396].) The City of Huntington *217 Beach has the unquestioned right to regulate the business of operating oil wells within its city limits, and to prohibit their operation within delineated areas and districts, if reason appears for so doing. (Ex parte Hadacheck, 165 Cal. 416, 420 [L. R. A. 1916B, 1248, 132 Pac. 584].) Ordinances having that effect must be reasonable, and must be for the purpose of protecting the public health, comfort, safety, or welfare. Every intendment is to be made in favor of the lawful exercise of municipal power making such regulations, and it is not the province of courts, except- in clear eases, to interfere with the exercise of that authority. But, as was recently said by the supreme court of the United States, “while property may be regulated to a certain extent if regulation goes too far it will be recognized as a taking. ’ ’ (Pennsylvania Coal Co. v. Mahon, 260 U. S. 393, 415 [28 A. L. R. 1321, 67 L. Ed. 322, 43 Sup. Ct. Rep. 158, see, also, Rose’s U. S. Notes].) Therefore, notwithstanding this general grant of power, it is a thoroughly well-settled doctrine that municipal by-laws and ordinances undertaking to regulate useful business enterprises are subject to investigation in the courts, with a view to determining whether the law or ordinance is a lawful exercise of the police power; or whether, under the guise of enforcing police regulations, there has been an unwarranted and arbitrary interference with the right to carry on a lawful business, to make contracts, or to use and enjoy property. (Dobbins v. Los Angeles,

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

Related

Chevron U.S.A. v. County of Monterey
California Court of Appeal, 2021
Rutgard v. City of L.A.
California Court of Appeal, 2020
City of King City v. Community Bank of Central
32 Cal. Rptr. 3d 384 (California Court of Appeal, 2005)
Hermosa Beach Stop Oil Coalition v. City of Hermosa Beach
103 Cal. Rptr. 2d 447 (California Court of Appeal, 2001)
Friends of Davis v. City of Davis
100 Cal. Rptr. 2d 413 (California Court of Appeal, 2000)
Pulskamp v. Martinez
2 Cal. App. 4th 854 (California Court of Appeal, 1992)
Ensign Bickford Realty Corp. v. City Council
68 Cal. App. 3d 467 (California Court of Appeal, 1977)
Clouser v. City of Norman
393 P.2d 827 (Supreme Court of Oklahoma, 1964)
Pearce v. Village of Edina
118 N.W.2d 659 (Supreme Court of Minnesota, 1962)
Consolidated Rock Products Co. v. City of Los Angeles
370 P.2d 342 (California Supreme Court, 1962)
Friel v. County of Los Angeles
342 P.2d 374 (California Court of Appeal, 1959)
Johnston v. City of Claremont
323 P.2d 71 (California Supreme Court, 1958)
Smith v. Peterson
280 P.2d 522 (California Court of Appeal, 1955)
People v. Amdur
267 P.2d 445 (California Court of Appeal, 1954)
Midland Electric Coal Corp. v. County of Knox
115 N.E.2d 275 (Illinois Supreme Court, 1953)
Monterey Oil Co. v. City Court of City of Seal Beach
260 P.2d 846 (California Court of Appeal, 1953)
Beverly Oil Co. v. City of Los Angeles
254 P.2d 865 (California Supreme Court, 1953)
Schmidt v. BOARD OF ADJUSTMENT, CITY OF NEWARK
88 A.2d 607 (Supreme Court of New Jersey, 1952)
Sindell v. Smutz
222 P.2d 903 (California Court of Appeal, 1950)
Lockard v. City of Los Angeles
202 P.2d 38 (California Supreme Court, 1949)

Cite This Page — Counsel Stack

Bluebook (online)
237 P. 538, 196 Cal. 211, 40 A.L.R. 782, 1925 Cal. LEXIS 306, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pacific-palisades-assn-v-city-of-huntington-beach-cal-1925.