Town of Vail v. Village Inn Plaza

2021 COA 108
CourtColorado Court of Appeals
DecidedAugust 17, 2021
Docket20CA1179
StatusPublished
Cited by2 cases

This text of 2021 COA 108 (Town of Vail v. Village Inn Plaza) is published on Counsel Stack Legal Research, covering Colorado Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Town of Vail v. Village Inn Plaza, 2021 COA 108 (Colo. Ct. App. 2021).

Opinion

The summaries of the Colorado Court of Appeals published opinions constitute no part of the opinion of the division but have been prepared by the division for the convenience of the reader. The summaries may not be cited or relied upon as they are not the official language of the division. Any discrepancy between the language in the summary and in the opinion should be resolved in favor of the language in the opinion.

SUMMARY August 12, 2021

2021COA108

No. 20CA1179, Town of Vail v. Village Inn Plaza – Phase V Condominium Association — Real Property — Common Interest Communities — Colorado Common Interest Ownership Act — Applicability of Local Ordinances, Regulations, and Building Codes

A division of the court of appeals considers whether the anti-

discrimination provision of the Colorado Common Interest

Ownership Act (CCIOA), section 38-33.3-106, C.R.S. 2020,

invalidates a section within a Town of Vail ordinance that pre-dates

the CCIOA’s enactment. The division holds that it does.

Specifically, it finds that (1) because the present-day enforcement of

the ordinance is an “event[] and circumstance[] occurring on or

after July 1, 1992,” § 38-33.3-117(1), C.R.S. 2020, the CCIOA and

its anti-discrimination provision retroactively apply; (2) section

11(6) of the Town’s ordinance violates the CCIOA’s anti- discrimination provision because it facially discriminates against

condominiums; and (3) the CCIOA preempts the Town’s ordinance.

Based on this holding, the division also finds that the defendant

condominium association is entitled to attorney fees. COLORADO COURT OF APPEALS 2021COA108

Court of Appeals No. 20CA1179 Eagle County District Court No. 14CV30259 Honorable Reed W. Owens, Judge

Town of Vail, a Colorado home rule municipality,

Appellant,

v.

Village Inn Plaza-Phase V Condominium Association, a Colorado non-profit corporation; Vail Village Inn, Inc., a Colorado corporation; Griffin Development LLC, a Texas limited liability company; Karin Wagner, as Trustee for the Karin Wagner Revocable Inter Vivos Trust; Meadow Drive Ventures Inc., a Colorado Corporation; Potamus Bean LLC, a Texas limited liability company; Staufer Commercial LLC, a Colorado limited liability company; VVI, LLC, a Colorado limited liability company; Richard L. Liebhaber,

Appellees.

JUDGMENT AFFIRMED AND CASE REMANDED WITH DIRECTIONS

Division II Opinion by JUDGE DAVIDSON* Román and Lipinsky, JJ., concur

Announced August 12, 2021

Hoffman, Parker, Wilson & Carberry, P.C., Kendra L. Carberry, Denver, Colorado; Hoffman, Parker, Wilson & Carberry, P.C., J. Matthew Mire, Vail, Colorado, for Appellant

Miletich, P.C., Walter N. Houghtaling, Denver, Colorado; Frederick G. Aldrich LLC, Frederick G. Aldrich, Grand Junction, Colorado, for Appellee Village Inn Plaza-Phase V Condominium Association

Porterfield Oliver LLC, Wendell Porterfield, Vail, Colorado, for Appellees Staufer Commercial LLC and Vail Village Inn, Inc. Hale Law LLC, Allan Hale, Steamboat Springs, Colorado, for Appellees Griffin Development LLC, Karin Wagner, Meadow Drive Ventures Inc., Potamus Bean LLC, Richard L. Liebhaber; and VVI, LLC

Altitude Community Law, P.C., William Short, Azra Taslimi, Lakewood, Colorado, for Amicus Curiae Community Associations Institute

*Sitting by assignment of the Chief Justice under provisions of Colo. Const. art. VI, § 5(3), and § 24-51-1105, C.R.S. 2020. ¶1 The anti-discrimination provision of the Colorado Common

Interest Ownership Act (CCIOA), section 38-33.3-106, C.R.S. 2020,

states that no ordinance may “impose any requirement upon a

condominium or cooperative which it would not impose upon a

physically identical development under a different form of

ownership.” At issue in this appeal is whether a portion of an

ordinance enacted by the Town of Vail (Town) violates this

provision. In a declaratory order entered on summary judgment in

favor of the Village Inn Plaza-Phase V Condominium Association

(the Association), the district court said it did, and we agree.

Accordingly, we affirm.

I. Background

A. The Town’s Ordinance, its Restrictions, and the Association’s Amended Rules

¶2 The Town Code of Vail (Town Code) and its zoning regulations

allow the City Council to establish Special Development Districts

through an ordinance. Town Code § 12-9A-4(D). In 1976, the Town

enacted an ordinance establishing the Village Inn Plaza

development as Special Development District No. 6 (SDD no. 6). In

1987, the Town enacted an ordinance modifying the 1976

1 ordinance to allow for the development of Phase V of the Village Inn

Plaza development.

¶3 The 1987 ordinance includes several conditions of approval for

developers building within SDD no. 6. The relevant condition of

approval here is section 11(6), which states as follows:

Restrictions on any units in Phases IV or V which would be condominiumized shall be as outlined in Section 17.26.075 of the Vail Municipal Code and any amendments thereto.

Section 17.26.075, recodified as section 13-7-8 of the Town Code,

imposes several restrictions on units converted to condominiums

prior to February 7, 1995. Town Code § 13-7-8(A).1 The

restrictions require that condominium units “remain in the short

term rental market to be used as temporary accommodations

available to the general public,” Town Code § 13-7-8(B); limit an

owner’s personal use of their unit during the “high season,” Town

Code § 13-7-8(B)(1); and impose fines for violations, Town Code

1 The Town Code defines a “condominium conversion” as the use of any property as a condominium project regardless of the present or prior use of the property. Town Code § 13-7-2.

2 § 13-7-8(B)(2). Although the 1987 ordinance has been amended,

the restrictions remain in the Town Code.

¶4 In 1988, the Association, seeking to establish a condominium

project within Phase V, recorded a condominium declaration. The

declaration adopted the restrictions for condominiums outlined in

the 1987 ordinance and section 13-7-8 of the Town Code as section

21(i) of the declaration. In 2013, the Association adopted Policies,

Rules, Regulations, and Guidelines. In 2013 and 2014, the

Association amended its rules to state that the Association would

no longer enforce section 21(i) of its original condominium

declaration (i.e., the restrictions from the 1987 ordinance and

section 13-7-8 of the Town Code).

B. Procedural History

¶5 In 2014, Staufer Commercial, LLC, a commercial owner in

Phase V, sought a declaratory judgment that the Association’s

amended rules announcing its refusal to enforce section 21(i) violate

the Association’s condominium declaration. The Town joined as an

indispensable party and filed a cross-claim seeking a declaratory

judgment that section 21(i) of the amended rules violates the 1987

ordinance and section 13-7-8 of the Town Code.

3 ¶6 In January 2015, the Town amended its cross-claim to allege

that section 21(i) specifically violates section 11(6) of the 1987

ordinance and section 13-7-8 of the Town Code (i.e., the restrictions

on condominiums). Subsequently, the Association filed a motion

for partial summary judgment pursuant to C.R.C.P. 56, seeking

dismissal of the Town’s cross-claim on the grounds that section

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2021 COA 108, Counsel Stack Legal Research, https://law.counselstack.com/opinion/town-of-vail-v-village-inn-plaza-coloctapp-2021.