ZACK'S, INC. v. City of Sausalito

165 Cal. App. 4th 1163, 81 Cal. Rptr. 3d 797, 2008 Cal. App. LEXIS 1228
CourtCalifornia Court of Appeal
DecidedAugust 11, 2008
DocketA118244, A118723
StatusPublished
Cited by28 cases

This text of 165 Cal. App. 4th 1163 (ZACK'S, INC. v. City of Sausalito) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
ZACK'S, INC. v. City of Sausalito, 165 Cal. App. 4th 1163, 81 Cal. Rptr. 3d 797, 2008 Cal. App. LEXIS 1228 (Cal. Ct. App. 2008).

Opinion

*1170 Opinion

KLINE, P. J.

The questions this case poses are (1) whether a city can lawfully lease a portion of a dedicated public street to a private party for a commercial purpose, thereby impairing private and public easements therein, where the street is situated on tidelands granted the city by the Legislature arid held by it pursuant to the common law public trust relating to tidelands and submerged lands and, if so, (2) whether the power granted the city by the Legislature permits it to vacate or close the leased portion of the street without complying with general statutes applicable to the vacating or closing of public streets.

Appellant, Zack’s, Inc. (Zack’s), commenced this action against the City of Sausalito (City), the State of California, the California State Lands Commission, Paul D. Thayer, Executive Officer of the State Lands Commission (hereafter collectively the state or state respondents), and Edgewater Yacht Sales (Edgewater), claiming that the storage of boats and equipment by Edgewater on a leased portion of a street upon which Zack’s property abuts constitutes a nuisance per se. Zack’s complaint also included causes of action to quiet its title to easements of ingress and egress to the street and for an adjudication that a statute transferring title to the tidelands at issue to City pursuant to the public trust does not authorize City to lease a portion of the street for a use that interferes with private and public easements in the street. The cause of action for nuisance is only against City and Edgewater; the two remaining causes of action are against all respondents.

City and state respondents separately moved for summary judgment and Edgewater joined in City’s motion. The motions were both granted on the ground that Zack’s claims are all barred by applicable statutes of limitation. Judgment in favor of City and state respondents was entered on that basis, as was a subsequent separate judgment in favor of Edgewater.

We shall reverse the judgments.

FACTS AND PROCEEDINGS BELOW

Zack’s owns property improved with a large “warehouse style building” at the comer of Locust Street and Humboldt Avenue in the City. The north side of the property abuts on Locust Street, which travels easterly and westerly, and the west side abuts on Humboldt Avenue, which mns northerly and southerly. Approximately halfway between Locust Street and Turney Street, the next parallel street to the south, Humboldt Avenue terminates at the edge of Richardson Bay, a body of water within San Francisco Bay. The south and east sides of Zack’s property are bounded and apparently partially submerged *1171 by Richardson Bay. In 1979, City leased to Edgewater month to month, a portion of Humboldt Avenue contiguous to Zack’s property and to the waters of Richardson Bay that abut the end of the street, for use “only for the storage of boats in the water premises and storage of boats on trailers in the land premises.” 1 As we later explain, Zack’s property and the streets it abuts are on reclaimed tidelands originally held by the state in trust for the public purposes of navigation, commerce, and fishery. In 1957, the Legislature enacted an uncodified statute transferring to City, upon express conditions, the state’s right, title, and interest in the submerged land and tideland over and upon which the leased premises are located, and also transferring to City the state’s responsibilities as trustee of said lands. (Stats. 1957, ch. 791, § 2, pp. 2002-2004 (hereafter the 1957 statute).)

Because Zack’s had access to its warehouse from Locust Avenue, Edgewater’s leasehold did not significantly interfere with its use of its property until 1999. That year, Zack’s commenced efforts to develop the property by converting the warehouse into a restaurant. This effort has allegedly been frustrated by the fact that use of the leasehold for the storage of boats eliminated parking, blocked easy access to Zack’s building, and obstructed visibility of the building from City’s main thoroughfare, a block away. For these reasons, Zack’s claims it was unable to interest prospective operators of its proposed restaurant.

On March 7, 2005, after City had rejected development proposals that would have eliminated Edgewater’s boat storage facility, Zack’s commenced this action by filing a complaint for nuisance and inverse condemnation. Five months later, Zack’s moved for summary adjudication, claiming undisputed material facts entitled it to judgment as a matter of law on its nuisance claim. The ground of the motion was that City had no lawful basis upon which to grant a leasehold in a public street, and obstruction of the street by the leasehold therefore constituted a nuisance per se. City opposed the motion by simultaneously filing a cross-motion for summary judgment or, in the alternative, summary adjudication. Resting on the proposition that “[njothing which is done or maintained under the express authority of a statute can be deemed a nuisance” (Civ. Code, § 3482), City asserted that the 1957 statute provided it “expressQ authorit[y]” to lease a portion of that tidewater street for commercial use as a boat storage facility. The trial court agreed. Finding that the 1957 statute “necessarily” conferred the requisite authority to lease Humboldt Avenue to a private party for purposes of boat storage, the court concluded that “the reasonable use of the street for this purpose cannot be a nuisance as a matter of law,” and City had a complete defense to the cause of *1172 action for nuisance. Accordingly, the court denied Zack’s motion for summary adjudication and granted that of City.

Thereafter, on April 11, 2006, the court granted Zack’s leave to amend its complaint not only by adding causes of action for quiet title and declaratory relief and to add state respondents as defendants to those causes of action, 2 but also by amending its nuisance claim. With respect to the nuisance claim, Zack’s proposed to add a paragraph stating that “[wjhether by reason of the proper interpretation of [the 1957 statute] or by virtue of the invalidity of [that statute], the use of Humboldt Avenue for private purposes is not a use specifically authorized by the California Legislature.” City objected to this additional language on the ground that it asserts a claim the court had previously rejected. Agreeing with City that this legal question had been resolved, the court barred Zack’s from adding the new language to its nuisance claim. The proposed new language was, however, surplusage, because the remaining portion of the “amended” cause of action for nuisance, which the court allowed, is identical to that of the original cause of action summarily adjudicated in favor of City; both state: “The private commercial use of a public street is a nuisance per se under California Civil Code section 3479” and “ ‘a municipality has no power to authorize the use of streets for a private purpose.’ ”

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Cite This Page — Counsel Stack

Bluebook (online)
165 Cal. App. 4th 1163, 81 Cal. Rptr. 3d 797, 2008 Cal. App. LEXIS 1228, Counsel Stack Legal Research, https://law.counselstack.com/opinion/zacks-inc-v-city-of-sausalito-calctapp-2008.