The Minocqua Brewing Company LLC v. The Town of Minocqua

CourtDistrict Court, W.D. Wisconsin
DecidedJune 3, 2024
Docket3:23-cv-00578
StatusUnknown

This text of The Minocqua Brewing Company LLC v. The Town of Minocqua (The Minocqua Brewing Company LLC v. The Town of Minocqua) is published on Counsel Stack Legal Research, covering District Court, W.D. Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
The Minocqua Brewing Company LLC v. The Town of Minocqua, (W.D. Wis. 2024).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF WISCONSIN

THE MINOCQUA BREWING COMPANY LLC and KIRK C. BANGSTAD,

Plaintiffs, v. OPINION and ORDER

THE TOWN OF MINOCQUA, MARK 23-cv-578-jdp HARTZHEIM, SUSAN HEIL, JOHN THOMPSON, BRIAN FRICKE, ERIKA PETERSEN, and DOES 3-10,

Defendants.

Plaintiff Kirk Bangstad owns The Minocqua Brewing Company in Minocqua, Wisconsin, and he alleges that the Town of Minocqua and the members of the town board have taken numerous adverse actions against him and his company to retaliate against him for his political speech and activities.1 Plaintiffs assert claims under 42 U.S.C. § 1983, contending that defendants violated the First Amendment, the Equal Protection Clause, and the Due Process Clause.2

1 The amended complaint does not say that “Does 3–10” are unknown board members, but rather that they are some other “individuals with policy and decision-making authority over the Town of Minocqua.” Dkt. 35, ¶ 15. Plaintiffs provide no further information about who those individuals are or how they were involved in the alleged retaliation. Plaintiffs filed this lawsuit in August 2023, but they have not moved for leave to identify the Does or explain what they did. So the court will dismiss the Doe defendants from the case. If plaintiffs believe that other individuals were involved, they will have to move for leave to amend the complaint. 2 A few months after filing this case, plaintiffs filed a second case against most of the same defendants, alleging new acts of retaliation. The Minocqua Brewing Company v. The Town of Minocqua, No. 24-cv-135-jdp (W.D. Wis.). The court denied a motion for preliminary injunction in that case and then consolidated the two cases. Id., Dkt. 31. Defendants filed the motion to dismiss in this case before plaintiffs filed the new case, so the court did not include Case no. 24-cv-135-jdp in the caption for this opinion. Defendants move to dismiss the case on both procedural and substantive grounds. Dkt. 37. For the reasons explained below, the court rejects all of defendants’ procedural arguments and most of their arguments on their merits. But the court will dismiss plaintiffs’ due process claim because the Due Process Clause only applies to certain deprivations of liberty

or property, and plaintiffs do not explain how they were deprived of either.

BACKGROUND Plaintiffs’ complaint is 54 pages long, and it provides a detailed history of plaintiffs’ disputes with defendants. But only a short summary is necessary to provide context for the motion to dismiss. Plaintiffs own and operate a taproom in Minocqua, Wisconsin on Front Street. Each of the individual defendants is a member of the Minocqua town board. In the last few years, Bangstad has become increasingly political. His activities include

“publicly espous[ing] left-wing viewpoints, plaster[ing] his building with signs for Democratic political candidates, openly criticiz[ing] the TOWN’s response to the COVID-19 pandemic, and r[unning] for public office as a Democrat.” Dkt. 35, ¶ 120. Plaintiffs allege that defendants disagree with Bangstad’s political views and that they have retaliated against him in numerous ways, including the following:  denying plaintiffs’ request for a waiver from a requirement regarding the number of parking spaces the taproom needed, even though defendants have always granted waivers to other businesses, id., ¶¶ 34–37;

 needlessly delaying consideration of plaintiffs’ permit application to delay the opening of the taproom, id., ¶ 45;

 requiring plaintiffs to enter into a revocable license agreement with the town as a condition of allowing plaintiffs to use town land that is adjacent to the taproom, even though defendants had not required other businesses to enter into a similar agreement under similar circumstances, id., ¶¶ 51–55;

 prohibiting plaintiffs from displaying signs outdoors, id., ¶¶ 58–59;

 telling plaintiffs that they could not open the taproom until all conditions of their permit were satisfied, which was not true, id., ¶¶ 63–64, 69, 71, 74–75;

 reporting violations of plaintiffs’ permit while not reporting the same violations of other area businesses, id., ¶¶ 65–68, 77, 88, 96–97;

 placing barriers in front of plaintiffs’ driveway to block access from Highway 51, id., ¶ 78;

 denying plaintiffs’ request for a permit to use adjacent town land for parking, even though the previous business at plaintiffs’ address was allowed to use the land, ¶ 85.

Most of these decisions were subject to review by Oneida County, and the county approved most of the decisions, deferring to the town board’s recommendations. Plaintiffs allege that defendants’ conduct caused them harm, including the following:

 Plaintiffs secured a second lease when defendants told plaintiffs they could not open the taproom. Id., ¶ 63.

 Plaintiffs hired a lawyer to help obtain the necessary permits because of all the delays. Id., ¶ 80.

 Plaintiffs were required to pay additional application fees. Id., ¶ 125.

 The delays and restrictions led to reduced beverage sales. Id.

 Plaintiffs paid an architect for site and building redesigns to comply with unnecessary permit requirements. Id.

The court will provide additional facts as they become relevant to the analysis. ANALYSIS The arguments in defendants’ motion to dismiss can be grouped into two broad categories, procedural issues and the merits. The court will address the procedural issues first. A. Procedural issues

Defendants contend that that some or all of plaintiffs’ claims should be dismissed on four procedural grounds: (1) plaintiffs’ requests for injunctive and declaratory relief are moot; (2) plaintiffs’ claims are not ripe; (3) the court should abstain from exercising jurisdiction; and (4) the individual defendants have absolute immunity. None of these arguments require extended discussion. First, defendants say that plaintiffs’ requests for injunctive and declaratory relief are moot because plaintiffs ultimately received a permit to use the town land that is adjacent to

the taproom. But defendants acknowledge that plaintiffs are not just seeking injunctive and declaratory relief; they are also seeking damages. Courts do not dismiss parts of claims at the pleading stage. BBL, Inc. v. City of Angola, 809 F.3d 317, 325 (7th Cir. 2015). So defendants’ argument is premature. In any event, plaintiffs’ request for injunctive relief is not about receiving a permit, which plaintiffs had already received when they filed their amended complaint. See Dkt. 35, ¶ 98. Plaintiffs are alleging that defendants have engaged in a years-long pattern of retaliatory actions against plaintiffs based on their political speech. If that is true, that would be strong

evidence that defendants are likely to continue retaliating against plaintiffs. It is also reasonable to infer that plaintiff will likely have more interactions with the town board. Under these circumstances, plaintiffs have standing to sue for injunctive relief to stop further retaliation. See Lopez-Aguilar v. Marion Cty. Sheriff’s Dep’t, 924 F.3d 375, 395 (7th Cir. 2019) (plaintiff has standing to sue for injunctive relief when there is a “real or immediate threat that the plaintiff will be wronged again”). In fact, plaintiffs allege that defendants are currently retaliating against them by refusing to sign the revocable license agreement that defendants themselves proposed. A declaration or injunction could remedy that alleged violation, so plaintiffs’ request for

injunctive and declaratory relief is not moot.

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The Minocqua Brewing Company LLC v. The Town of Minocqua, Counsel Stack Legal Research, https://law.counselstack.com/opinion/the-minocqua-brewing-company-llc-v-the-town-of-minocqua-wiwd-2024.