Defendant, AHEPA 133/Penelope 55, Inc. ("AHEPA"), appeals the trial court judgment granting a preliminary injunction in favor of plaintiff, Robert Asaro.
On September 9, 2008, AHEPA applied for a building permit with the Department of Safety and Permits for the City of New Orleans for the construction of a facility described in the permit application as "Senior Independent Living Apartments (Multi-Family)." The address of the proposed project was listed as 7820 Hayne Boulevard. The permit was issued on March 13, 2009. On May 19, 2009, AHEPA's project manager submitted revised plans to the Department of Safety and Permits for the project previously reviewed and approved. In the letter submitted with the proposed plan revisions, the project manager stated, in pertinent part:
The revised plans were approved by the Department of Safety and Permits on July 20, 2009. However, written notice of the approval was not sent to AHEPA's architect until August 21, 2009. AHEPA commenced work on the project in the first week of February 2010. On February 8, 2010, the Department of Safety and Permits issued a "stop work" order on the project, and then rescinded that order on February 17, 2010.
On February 19, 2010, plaintiff filed a petition for preliminary and permanent injunction. The plaintiff alleged that AHEPA's permit had expired, and that AHEPA must now obtain approval of the New Orleans City Council on a new permit application due to imposition of a moratorium passed by the City Council on July 23, 2009 that affects permit applications for certain types of construction in a section of Eastern New Orleans. In support of the petition, plaintiff submitted his affidavit, which stated that he is the owner of Southern Oaks Plantation that is located on the property adjacent to the AHEPA property. He stated that his business of providing wedding receptions will be adversely affected by the construction of the facility being built by AHEPA.
On the same date that plaintiff's petition was filed, the trial court granted plaintiff a temporary restraining order, without bond, which prohibited any further activity relating to the construction project at issue. On February 25, 2010, AHEPA filed a motion for dissolution of the temporary restraining order. Following a hearing on March 8, 2010, the trial court rendered judgment granting AHEPA's motion for dissolution of the temporary restraining order. In the same judgment, the trial court granted plaintiff's petition for preliminary
To obtain a preliminary injunction, a petitioner must (1) demonstrate that he would suffer irreparable injury, loss, or damage without the injunction; (2) show entitlement to the relief sought; and (3) make a prima facie showing that he is likely to prevail on the merits. Yokum v. Court of Two Sisters, Inc., 06-0732, p. 3 (La.App. 4 Cir. 11/21/06), 946 So.2d 671, 673, citing Saunders v. Stafford, 05-0205, p. 5 (La.App. 4 Cir. 1/11/06), 923 So.2d 751, 754. A showing of irreparable harm is not required in cases where the conduct sought to be restrained is unlawful, such as when the conduct constitutes a direct violation of a prohibitory law. State Machinery & Equipment Sales, Inc. v. Iberville Parish Council, 05-2240, p. 4 (La. App. 1 Cir. 12/28/06), 952 So.2d 77, 81. An appellate court reviews a trial court's granting of a preliminary injunction to determine if the trial court committed an error of law or if the granting was manifestly erroneous or clearly wrong. Yokum v. Court of Two Sisters, Inc., supra.
On appeal, AHEPA first argues that the trial court erroneously concluded that building permit #08COM-01447 had expired. At the conclusion of the March 8, 2010 hearing, the trial court issued oral reasons for granting plaintiff's petition for preliminary injunction. The trial court found that AHEPA's permit had expired, and there was no "good cause" shown for an extension of the permit.
AHEPA argues that its original permit has never expired and therefore, no extension was needed or sought. Two months after the original permit was issued, AHEPA submitted revised plans to the Department of Safety and Permits as required by the Building Code of the City of New Orleans. Although the modification to the plans was described by AHEPA's project manager as "minor," she explained in a letter to the Department of Safety and Permits that the modification affected the entire building footprint. AHEPA argues that because the requested revisions to the plans affected the entire project, it was required to wait until the revisions were approved before proceeding with construction.
The following sections of the Comprehensive Zoning Law of the City of New Orleans and the Building Code of the City of New Orleans are relevant to the instant case. Section 17.2.7(1) of the Zoning Code, entitled "Expiration," states as follows:
Section 17.2.7(2) of the Zoning Code, entitled "Extension of Permits," states as follows:
Section 106.3.4
The only witness who testified at the hearing on the preliminary injunction request was Mr. Paul May, Director of the Department of Safety and Permits for the City of New Orleans. He testified that AHEPA's permit did not expire, and therefore, an extension was not necessary. When AHEPA realized that the plans for the construction project required substantial revisions, it was required to submit the revised plans for another review, and was not allowed to proceed with construction until the revised plans were approved. Mr. May stated that this additional review did not require a new permit application. The policy of his office is that the six-month period during which construction must commence started over when the plan examiner released the letter informing AHEPA that the plan revisions had been approved. The letter authorizing the revised plans was released on August 21, 2009. Because work commenced on the construction project in the first week of February 2010, six months had not elapsed between the issuance of the approval letter and the commencement of construction.
Several days before the hearing, Mr. May executed an affidavit, which is consistent with his testimony at the hearing. Mr. May was asked at the hearing to explain the inconsistencies between his affidavit and a letter he sent on February 11, 2010 to the project developer in which Mr. May referred to the permit as having been extended, and informed the developer that construction could proceed. Mr. May explained that at the time he wrote the letter, he was under the impression that the permit had been extended by the chief building inspector. He wrote the letter without examining the file in this case. Once this lawsuit was filed, Mr. May fully reviewed the file, determined that the permit had not been extended and included the correct dates in his affidavit.
Plaintiff submitted a computer printout from the website of the Department of Safety and Permits. The printout included the line, "Condition Status: Permit has expired—over 6 months old no work." Mr. May testified that the software in his department's computer program is only set up to take the initial dates of permits, and does not include additional dates unless someone makes the effort to go into the program and enter additional dates.
We find that the trial court erred in its findings that the permit expired and that AHEPA was required to demonstrate that it had "good cause" for a permit extension. The record as a whole, including the uncontroverted testimony of the Director
The Director's testimony was that the six-month period during which construction must commence started over when the plan examiner released the letter informing AHEPA that the plan revisions had been approved. AHEPA commenced construction on the project within six months of the notice of approval of the plan revisions. Therefore, the permit was still valid when construction commenced. As for comments listed on a computer printout from the Department of Safety and Permits' website, we find that this was not reliable evidence and should not have been considered by the trial court.
AHEPA next argues that the trial court erred in finding that the approval of the plan revisions was invalid because the Director of Safety and Permits did not personally sign the approval. The trial court essentially found that the Building Code's requirement of the Director's written assent of the approval of plan revisions cannot be delegated to other employees within his department.
Section 4-702 of the City's Home Rule Charter, dealing with the functions of the Department of Safety and Permits, includes the following:
This provision establishes that the permitting process is a function of the Department of Safety and Permits, and not that of the Director alone. The requirement that plan revisions be submitted for further review is part of the permitting process. We find it unreasonable to interpret the phrase "written assent of the Director" to preclude the Director from delegating this duty to an employee. The Department's Chief Plan Examiner issued the notice to AHEPA that the plan revisions had been approved. His authority to do so was delegated to him by the Director, Mr. May. We conclude that the trial court's finding that he could not do so was erroneous.
AHEPA also argues that its building permit is not subject to the moratorium passed in New Orleans City Council Motion M-09-372. On July 23, 2009, the City Council passed the following motion, in pertinent part:
AHEPA argues that because its permit application was made prior to the date that this motion was passed, the moratorium does not apply in this case. We agree.
AHEPA applied for building permit 08COM-01447 on September 9, 2008. The uncontroverted testimony of the Director of Safety and Permits established that the submission of plan revisions on May 19, 2009 did not constitute a new permit application. The same permit number was used for the plan modification review. Because the submission of plan revisions for review was not an application for a permit, the moratorium put in place by the passage of City Council Motion M-09-372 does not apply to the permit issued to AHEPA.
A review of the record shows that the plaintiff did not establish his entitlement to the issuance of a preliminary injunction against AHEPA for the construction project at issue. We find that the trial court erred in granting the injunction.
Accordingly, for the reasons stated above, we reverse the trial court judgment and vacate the preliminary injunction.
BELSOME, J., dissents with reasons.
BELSOME, J. dissents with reasons.
I respectfully dissent from the majority's determination to vacate the preliminary injunction under these facts and circumstances. As the majority acknowledges, Section 17.2.7(1) of the Comprehensive Zoning Code of the City of New Orleans provides that "a building permit issued pursuant to this section
In this case, it is undisputed that the only permit in the record was the permit issued on March 13, 2009; that no construction had commenced within six months of that date; and that no written request or application for an extension of the March 13, 2009 building permit was made.
Notwithstanding the statements made in the Director's affidavit and in his testimony regarding office custom and policy, it appears to this writer that the permit expired by operation of law six months after it issued on March 13, 2009, as the record evidences that no written application for an extension was ever filed with the Director of Safety and Permits. City departments must follow written rules even if internal policies to the contrary exist. See Lafleur v. City of New Orleans, 2001-3224