William H. Thomas, Jr. v. Tennessee Department of Transportation

CourtCourt of Appeals of Tennessee
DecidedAugust 5, 2011
DocketM2010-01925-COA-R3-CV
StatusPublished

This text of William H. Thomas, Jr. v. Tennessee Department of Transportation (William H. Thomas, Jr. v. Tennessee Department of Transportation) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
William H. Thomas, Jr. v. Tennessee Department of Transportation, (Tenn. Ct. App. 2011).

Opinion

IN THE COURT OF APPEALS OF TENNESSEE AT NASHVILLE May 13, 2011 Session

WILLIAM H. THOMAS, JR. v. TENNESSEE DEPARTMENT OF TRANSPORTATION ET AL.

Appeal from the Chancery Court for Davidson County No. CH-07-2186-III Ellen H. Lyle, Chancellor

No. M2010-01925-COA-R3-CV - Filed August 5, 2011

An applicant for a billboard permit appeals the dismissal of his Petition for Judicial Review of the decision of the Commissioner of Tennessee Department of Transportation to deny his application. During the pendency of this action, the applicant admitted he had sold his leasehold interest in the property on which the billboard was to be located. Upon the filing of a motion to dismiss for lack of standing, the trial court concluded that petitioner “lacks standing to maintain this lawsuit and this cause is moot as a matter of law.” We affirm.

Tenn. R. App. P. 3 Appeal as of Right; Judgment of the Chancery Court Affirmed

F RANK G. C LEMENT, J R., J., delivered the opinion of the Court, in which A NDY D. B ENNETT and R ICHARD H. D INKINS, JJ., joined.

William H. Thomas, Jr., Esq., Memphis, Tennessee, Pro Se.

Robert E. Cooper, Jr., Attorney General and Reporter, and Larry M. Teague, Deputy Attorney General, for the appellee, Tennessee Department of Transportation.

Robert L. J. Spence, Jr., Memphis, Tennessee, for the appellee, Clear Channel Outdoor, Inc.

OPINION

This controversy arose in 2004 over two competing applications for permits to construct billboards, filed respectively by the Petitioner, Mr. William H. Thomas, Jr., and the Respondent Clear Channel Outdoor, Inc. (“Clear Channel”), with the Respondent Tennessee Department of Transportation, (“TDOT,” or collectively, “Respondents”). Following a series of administrative proceedings, the Petitioner and the Respondents, as well as several other interested parties, engaged in protracted litigation in both Shelby and Davidson Counties in separate but related suits regarding TDOT’s handling of the billboard permit applications and administrative hearings.

Currently before this Court is a petition filed by Thomas for Judicial Review of the Commissioner of TDOT’s Final Order denying him the permits, and granting them to Clear Channel. The complexity of the relationships – among the parties and the various administrative and judicial proceedings – has necessitated an abbreviation of some detail in the history of this case for the purposes of this opinion.1 The facts and procedural history relevant to our holding today are as follows.

Administrative Proceedings

In late August 2004, Mr. Thomas and Clear Channel each submitted applications for billboard construction permits, known as “Outdoor Advertising Device Permits,” to the Beautification Office of TDOT.2 The sites requested by Thomas and Clear Channel for the location of the billboards were located approximately 50 feet apart on adjoining plots of land along I-40 East in Shelby County, Tennessee. Thomas was leasing the land for his proposed site from Southern Millwork and Lumber Company, Inc. (“Southern Millwork”). Clear Channel was leasing the land for its proposed site from Tennison Brothers, Inc. (“Tennison Brothers”). At the time, Clear Channel held previously issued billboard permits, nos. 79-1666 and 79-1667, for billboards located on the same Southern Millwork site Thomas was now requesting; the Clear Channel billboards were removed in 2003 but the permits had not been revoked.3

TDOT Rule 1680-2-3-.03(1)(a)4(i)(I) provides that, “no two structures shall be spaced less than 1000 feet apart on the same side of the highway;” thus, because Thomas and Clear Channel requested sites only 50 feet apart, they could not both receive the permits. Subpart –5(i) also provides:

1 The 2010 Court of Appeals case, State ex rel. Comm’r of TDOT v. Thomas, 336 S.W.3d 588 (Tenn. Ct. App. 2010), provides an extensive procedural history of this billboard construction permit saga. 2 The Beautification Office, specifically the Outdoor Advertising Control Program, is responsible for regulating billboard construction and maintenance along Interstates, National Highways, and Federal-aid Primary Highway System Routes in Tennessee, to ensure compliance with state and federal law, and to “Keep Tennessee Beautiful.” The relevant regulations are provided in Tenn. Comp. R & Regs. 1680-2-3-.03, “Criteria for the Erection and Control of Outdoor Advertising.” 3 The record does not reflect why the permits had not been surrendered or revoked prior to Clear Channel’s application for the new Tennison Brother site. Clear Channel surrendered the old permits, nos. 79-1666 & 79-1667, prior to TDOT’s site inspection of the proposed Tennison Brothers site.

-2- Permit applications will be considered on a first come first serve basis. The applicant must either show proof of ownership of the property or submit a valid land lease or an affidavit signed by the property owner stating that permission has been given to erect this particular outdoor advertising device. The property owner’s signature must be notarized. . . . Incomplete applications with accompanying fees will be returned without action.4

Thomas’s application packet was received and reviewed by Connie Gilliam, a TDOT transportation specialist, on August 24, 2004. The packet contained the completed form signed by Thomas, the application fee, a letter from the president of Southern Millwork requesting a revocation of permit nos. 79-1666 and 79-1667, and a signed lease agreement between Thomas and Southern Millwork. However, Thomas’s application was rejected because the signatures on the lease agreement were not notarized.

The same day TDOT rejected Thomas’s application, TDOT received Clear Channel’s application for the nearby Tennison Brothers site. The application was accompanied by all the necessary paperwork, including a notarized lease agreement between Clear Channel and Tennison Brothers. The application was immediately approved pending the results of a “site inspection,” during which a TDOT employee visits the proposed location and measures the distances between other billboards to ensure compliance with the spacing regulations.

On August 31, prior to the site inspection, Clear Channel formally requested revocation of permits 79-1666 and 79-1667 so that the new billboards could be constructed on the Tennison Brothers site without violating the 1000 feet spacing rule. Because the permits were revoked prior to the inspection, the site was approved, and TDOT awarded Clear Channel permit nos. 79-2921 and 79-2922 on September 8, 2004.

In the meantime, Thomas obtained the proper documentation and resubmitted his application on August 31; however, Thomas’s second application was also rejected, this time on the grounds that his proposed site violated the spacing requirement as a result of Clear Channel’s recently approved application. Thomas was notified on September 13, and shortly thereafter, he requested an administrative hearing, prompting TDOT to temporarily void

4 This is the 2004 version, in force at the time of Thomas’s and Clear Channel’s applications. The current version of the “first come first serve” rule, which has been modified in ways not relevant to this case, can be found at Tenn. Comp. R & Regs. 1680-2-3-.03(1)(a)7(v). Additionally, the requirements for proof of ownership or a notarized lease or affidavit from the property owner can be found at –(a)6(iv)(III); and the rule that an application will not be considered unless it is completed and accompanied by all the necessary documentation can be found at –(a)7(I).

-3- Clear Channel’s new permits pending the outcome of the administrative proceedings. Clear Channel then also appealed.

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