Thornton v. City of St. Helens, Civil No. 02-325-JO.

Decision Date19 November 2002
Docket NumberCivil No. 02-325-JO.
PartiesRalph E. THORNTON, et al., Plaintiffs, v. CITY OF ST. HELENS, et al., Defendants.
CourtU.S. District Court — District of Oregon

James Huffman, Huffman & O'Hanlon, St. Helens, OR, for Plaintiffs.

Keith A. Pitt, Steven A. Kraemer, Hoffman Hart & Wagner, Portland, OR, for Defendants.

OPINION AND ORDER

ROBERT E. JONES, District Judge.

Plaintiffs Ralph and Cheryl Thornton bring this action against defendants City of St. Helens (the "City") and individual members of the St. Helens City Council ("City Council") for alleged wrongful enactment and/or application of an ordinance concerning the renewal of wrecking yard certificates. Plaintiffs assert claims for violation of the right to due process pursuant to 42 U.S.C. § 1983, the right to equal protection pursuant to 42 U.S.C. § 1982,1 and tortious interference with contract under the Oregon Tort Claims Act.

This case is now before the court on defendants' motion for summary judgment (# 10), defendants' motion to strike certain evidence (# 27), and plaintiff's motion to amend Ralph Thornton's affidavit (# 29). For the reasons stated below, defendants' motion for summary judgment is denied in part and granted in part. Defendants' motion to strike and plaintiff's motion to amend are denied as moot.2

BACKGROUND

During the relevant time, plaintiffs owned and operated a wrecking yard in the City of St. Helens, Oregon. See generally Complaint. State law requires plaintiffs to annually renew their license to operate the wrecking yard with the City Council. ORS 822.125. In late 1998, plaintiffs applied for renewal of their license for 1999. See Affidavit of Keith Pitt in Support of Defendants' Motion for Summary Judgment ("Pitt Aff."), Exhibit F, p. 9. On December 10, 1998, the City notified plaintiffs that their renewal application for a wrecking license would be denied for a variety of reasons, including storage of vehicles outside the perimeter fence, improper use of the area outside the perimeter fence, refusal to allow St. Helens Police to inspect, storage of inventory in a city right-of-way, and improper use of a nearby location. Id. It appears that the City continued to deny plaintiffs' renewal application over the next several months and, eventually, plaintiff Ralph Thornton commenced an action for declaratory relief against the City in Columbia County Circuit Court. See Pitt Aff., Exhibit B On April 13, 1999, plaintiffs were permitted to continue operation of their business. Pitt Aff., Exhibit B, ¶ 7. In August 1999, Thornton filed an amended complaint in state court in which he requested a declaratory judgment that ORS 822.1353 preempts any ordinances or requirements the City may impose and, specifically, a declaration that the City may not prohibit displaying vehicle parts for sale and up to eight vehicles outside the enclosure fence. Pitt Aff., Exhibit C, p. 2. Thornton filed a motion for summary judgment (See Pitt Aff., Exhibit F), which was denied. Pitt Aff., Exhibit G.

On December 1, 1999, the City enacted City Ordinance No. 2808. Pitt Aff., Exhibit I, pp. 9-12. Under Oregon law, wrecking certificates must be renewed annually by a local governing body. ORS 822.125(3). ORS 822.140(1)(a) requires local government approval of wrecking certificates, and states that "an applicant must comply with any regulations established by a city or county under this section and must obtain approval of the governing body of the (a) City, if the business is or will be carried out within an incorporated city of less than 100,000 population." Accordingly, the City Council, as the governing body of the City, enacted Ordinance No. 2808 to "establish[] procedures and criteria for review of wrecker certificates." Pitt Aff., Exhibit I, p. 9.4

On June 1, 2000, Thornton moved to file a second amended complaint in state court. As pertinent here, Thornton sought to add a claim for a declaration that Ordinance No. 2808 is inconsistent with state law and unenforceable to that extent. See Pitt Aff., Exhibit D, ¶ 9(10) and (11). The court denied leave to amend on July 21, 2000. Pitt Aff., Exhibit E. In July 2000, the City moved to dismiss Thornton's amended complaint. Pitt Aff., Exhibit J. The court granted the motion on August 8, 2000, and dismissed Thornton's action with prejudice. Pitt Aff., Exhibit K. Thornton appealed, and on February 6, 2002, the Oregon Court of Appeals affirmed without opinion. Pitt Aff., Exhibit L.

Plaintiffs filed this action in federal court on March 15, 2002. In their complaint, plaintiffs allege that the City denied their wrecker certificate renewal applications for certain periods in 1999, 2000, and 2001. Complaint, ¶¶ 8-10. Plaintiffs allege that the City enacted Ordinance No. 2808 to "discriminate against the plaintiffs and deny [them] equal protection of the laws and fair treatment and due process ***." Complaint, ¶ 11. Plaintiffs also assert an Oregon Tort Claims Act claim for intentional interference with contractual relationships. Complaint, ¶¶ 21-23. Plaintiffs seek a declaration that Ordinance No. 2808 is unconstitutional, injunctive relief, and compensatory, economic, and punitive damages.

STANDARD

Summary judgment should be granted if there are no genuine issues of material fact and the moving party is entitled to judgment as a matter of law. Fed. R.Civ.P. 56(c). If the moving party shows that there are no genuine issues of material fact, the non-moving party must go beyond the pleadings and designate facts showing an issue for trial. Celotex Corp. v. Catrett, 477 U.S. 317, 322-23, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986). A scintilla of evidence, or evidence that is merely colorable or not significantly probative, does not present a genuine issue of material fact. United Steelworkers of America v. Phelps Dodge, 865 F.2d 1539, 1542 (9th Cir.1989).

The substantive law governing a claim determines whether a fact is material. Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 248, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986); see also T.W. Elec. Service v. Pacific Elec. Contractors, 809 F.2d 626, 630 (9th Cir.1987). Reasonable doubts as to the existence of a material factual issue are resolved against the moving party. T.W. Elec. Service, 809 F.2d at 631. Inferences drawn from facts are viewed in the light most favorable to the non-moving party. Id. at 630-31.

DISCUSSION

Defendants seek summary judgment in their favor on three grounds. First, they contend that plaintiffs' present claims are precluded by the earlier litigation in Columbia County Circuit Court. Second, defendants contend that plaintiffs' constitutional claims are barred by the doctrine of legislative immunity. Finally, defendants assert that plaintiffs' state law claim is barred by the doctrine of discretionary immunity contained in the Oregon Tort Claims Act. I address these arguments in turn.

I. Claim Preclusion

Under Article IV of the U.S. Constitution, the federal government must give full faith and credit to a judgment rendered in a state court. 28 U.S.C. § 1738. Such a judgment has the same preclusive effect in federal court as it would have were the matter brought again in state court. Migra v. Warren City School Dist. Bd. of Educ., 465 U.S. 75, 81, 104 S.Ct. 892, 79 L.Ed.2d 56 (1984). Preclusive effect is no different in § 1983 claims. Id. Therefore, this court applies Oregon law to determine the preclusive effect, if any, of Thornton's earlier action.

In Oregon, a claim is barred where a subsequent action is "based on the same factual transaction that was at issue in the first, seeks a remedy additional or alternative to the one sought earlier, and is of such a nature as could have been joined in the first action." Rennie v. Freeway Transport, 294 Or. 319, 323, 656 P.2d 919 (1982). However,

[c]laim preclusion does not require actual litigation of an issue of fact or law. *** [C]laim preclusion requires that specified characteristics be present in the former action or proceeding before the determination is conclusive on the parties in the future. The opportunity to litigate is required, whether or not it is used. Finality is also required. Where there is an opportunity to litigate the question along the road to the final determination of the action or proceeding, neither party may later litigate the subject or question.

Drews v. EBI Cos., 310 Or. 134, 140, 795 P.2d 531 (1990).

The City enacted Ordinance No. 2808, the basis of plaintiffs' present claims, after pleadings were closed in the state court case. The state court judge denied plaintiffs' motion to amend to add a claim concerning Ordinance No. 2808. Plaintiffs' current claims concerning the enactment and/or application of Ordinance No. 2808 were, therefore, not litigated, nor did plaintiffs have opportunity to have their present claims litigated to finality in the state court proceeding. Consequently, I conclude that plaintiffs' present claims are not barred by the doctrine of claim preclusion.

II. Legislative Immunity of City Council Members

The individual members of the City Council are afforded absolute legislative immunity for discretionary acts performed within their legislative capacity. See Bogan v. Scott-Harris, 523 U.S. 44, 46, 118 S.Ct. 966, 140 L.Ed.2d 79 (1998); also Tenney v. Brandhove, 341 U.S. 367, 71 S.Ct. 783, 95 L.Ed. 1019 (1951). The rationale for absolute legislative immunity is to ensure that the discretion to legislate is not inhibited or distorted by fear of judicial interference. Bogan, 523 U.S. at 52, 118 S.Ct. 966. In Bogan, the Supreme Court expressly recognized that the same privilege extends to local legislators acting within the legislative sphere. 523 U.S. at 46, 118 S.Ct. 966.

When determining the nature of a legislative act, the decision "turns on the nature of the act, rather than on the motive or intent of the official performing it." Bogan, 523 U.S. at 54, 118 S.Ct. 966. While members of a...

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2 cases
  • Thornton v. City of St. Helens
    • United States
    • United States Courts of Appeals. United States Court of Appeals (9th Circuit)
    • 6 Septiembre 2005
    ...moved for summary judgment. By order entered November 19, 2002, the district court granted the motion in part. Thornton v. City of St. Helens, 231 F.Supp.2d 1019, 1026 (D.Or.2002). The court reasoned that the Thorntons were not precluded from challenging Ordinance 2808 because the validity ......
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    • 23 Agosto 2011
    ...distinguishable from administrative or ministerial duties, which are not protected by legislative immunity. Thornton v. City of St. Helens, 231 F. Supp.2d 1019, 1024 (D. Or. 2002). Actions involving discretion and policymaking, "including services to constituents," are '"integral steps in t......

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