A. H. SAKOLSKY, PETITIONER,
v.
THE CITY OF CORAL GABLES, FLORIDA, A MUNICIPAL CORPORATION, RESPONDENT
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The Florida Supreme Court held that a municipality cannot rescind a lawfully issued building permit when the permittee has materially relied on it and incurred substantial expenses, unless the permit was invalid ab initio or actual pending litigation directly attacked its validity. The court rejected the lower courts' application of a rule that mere knowledge of potential political opposition or future election results could negate equitable estoppel.
The court held that equitable estoppel does prevent arbitrary rescission of a lawfully issued building permit by a municipality under these circumstances, and that mere notice or knowledge of potential political change or public opposition cannot negative reliance on the official act. Equitable estoppel applies to municipalities the same as to individuals, and a permit intentionally and lawfully issued can have no other purpose than to authorize action by the permittee in reliance on its terms.
“the doctrine of equitable estoppel may prevent arbitrary rescission of a permit by a municipality in such a situation "as it would be invoked were [the municipality] an individual."”
Establishes the core holding that equitable estoppel applies to municipalities the same as to private individuals
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Join FLexlaw to unlock all legal intelligenceIn August 1960, Sakolsky, at the mayor's suggestion, entered into a land option conditioned on obtaining permission to build a 12-story apartment buil…
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Writ of certiorari has issued in this cause on the ground that the decision of the district court,1 denying injunctive relief against rescission of a building permit, is in direct conflict2 with decisions of this Court that municipal action in such situations is governed by the doctrine of equitable estoppel.3
*434The facts of the case are basically undisputed. In August, 1960, the petitioner Sa-kolsky testified he became interested in erecting a 12-story luxury apartment building in Coral Gables. He went to see the mayor of the City to discuss with him the best location for such a project. The mayor suggested that a portion of Biltmore Way in the City of Coral Gables, west of the business district, was the most logical place and arranged a conference with a landowner in the area. The suggested site fronted on a one hundred foot boulevard in an area zoned for apartments where other multistory buildings already existed. After negotiations with the landowner, Sakolsky entered into options to purchase the land, on the basis that if he could erect a 12-story apartment building thereon, he would purchase the land.4
At the suggestion of the mayor, Sakolsky had preliminary plans prepared for the apartment house, which were submitted to the City of Coral Gables Planning and Zoning Department and Board of Architects for approval, and tentative approval was granted.
Under the zoning code of the City of Coral Gables, the permission of the City Commission was required 5 for the erection of an apartment house in excess of three stories. There was no requirement under the zoning code that public notice be given on application for permission to erect such a structure. A preliminary conference with all of the Commissioners was held in November, 1960, at one of the Commission meetings, at which time it was suggested that a courtesy notice be given to the apartment house owners in the area and that the matter be put on the agenda of the City’s Commission meeting on December 6, I960.
Upon notice and public hearing on that date, Mr. Sakolsky and some 100 objectors, represented by counsel, were fully heard and the Commission by a majority vote enacted an ordinance granting the permission requested. On December 22 the Commission approved traffic flow and fire hazard conditions and the public works department issued a foundation permit authorizing commencement of construction.6
It is uncontroverted that petitioner changed his position materially and incurred very *435substantial expense in reliance upon the permission granted and permit issued by the respondent City. At a meeting on January 10 the City Commission, upon motion by a member whose opposing vote had at the December meeting been overridden, passed an ordinance rescinding petitioner’s permit. This proceeding for injunctive relief ensued, based upon the theory of equitable estoppel. The record fails to reflect the course or ultimate disposition of an independent action instituted on December 21, 1961, against the respondent City by an association of apartment owners, but it is clear that petitioner was not joined by service until after enactment of the rescinding ordinance contested in this proceeding.
The import of the final decree entered against petitioner, and the decision affirming same, is that estoppel does not prevent rescission by the respondent City because at the time petitioner obtained his permit and thereafter he “had good reason to believe” the official mind might change because “strenuous objection was present and made known, suit was threatened and the political issue made apparent.”. Although petitioner denied personal knowledge, the court referred to widespread public notice that City Commission membership was to be altered by an election for a post coming vacant early in January, the campaign being conducted at this time on the issue of high rise zoning controversy.
Aside from petitioner’s contention that the record evidence refutes such notice or knowledge on his part, we believe the decision collides with earlier cases on the basic point of law in question. The law is clearly established that the doctrine of equitable estoppel may prevent arbitrary rescission of a permit by a municipality in such a situation “as it would be invoked were [the municipality] an individual.”7 To deny application of the doctrine to the facts of this case on the ground of circumstantial notice that the “official mind” might change amounts, in our opinion, to a rejection of the quoted ruling and creates an irreconcilable conflict of principle. The basic concepts of equitable estoppel, held by the prior cited case to be applicable to municipalities as to individuals, preclude the notion of such instability in municipal action merely because its business is conducted through a body whose membership is subject to change.
The opinion in the case of Miami Shores Village v. Wm. N. Brockway Post, 156 Fla. 673, 24 So.2d 33, which respondent regards as controlling in its favor, does state that one acts at his peril in relying upon a building permit when he is warned by the “red flags” of a political contest' in which the success of certain candidates may alter the voting pattern of the governing municipal body. While that case might be distinguished from the one at bar and its conclusion justified on the basis of a number of factual differences,8 we believe that the rule there pronounced, that an impending change of municipal officers can prevent reliance on an act of the current governing body, is in error and inconsistent with precedent condemning arbitrary action by these public bodies.9
Such a permit as that here involved, intentionally and lawfully issued by the *436proper municipal officers, can have no other purpose than to authorize action by the permittee in reliance on its terms. Notice or knowledge of mere equivocation independent of actual infirmities or pending official action,10 cannot in this situation operate to negative or prevent reliance on the official act.
The effect of pending litigation directly attacking the validity of a permit or zoning ordinance, or the effect of an eventual determination that such permit was invalid, may present a very different problem.11 The decision in the instant case was not rested on any showing that petitioner, at the time he acted in reliance on the permit granted him, was a party defendant in legal action directly attacking its validity, that he had any notice that his permit might have been invalid in its inception, or that its revocation was in fact required in the public interest. We conclude consequently that he acted in good faith and should not be denied the benefit of the estoppel doctrine upon which his complaint is founded.
The decision of the district court is quashed and the cause is remanded to that court with directions to enter an order directing the trial court to enter a final decree consistent with this opinion.
ROBERTS, C. J., and THORNAL, O’CONNELL and CALDWELL, JJ., concur.
Cases With Similar Vibessemantic neighbors from the corpus
Citator
Cited By (48 total)
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The Hollywood Beach Hotel Co. v. The City OF Hollywood, 329 So. 2d 10 (Fla. 1976)…on of the government (3) has made such a substantial change in position or has incurred such extensive obligations and expenses that it would be highly inequitable and unjust to destroy the right [*16] he acquired. Salkolsky v. City of Coral Gables, 151 So. 2d 433 (Fla.1963).” This Court has never had the occasion to decide if the exception to the Salkolsky rule alluded to, but not invoked, by the Fourth District should be established, i. e., that a city may revoke a building permit even after good faith rel…1 / 2
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Town OF Largo v. Imperial Homes Corp., 309 So. 2d 571 (Fla. 2d DCA 1975)…e been alerted to the risk of expending further monies when members of the community appeared at the November 23, 1971 meeting to object to the proposed high-rise construction is set at rest by the case of Sakolsky v. City of Coral Gables, Fla.1963, 151 So. 2d 433. There, the Supreme Court [*574] rejected the contention that the builder “had good reason to believe” that the official mind might change because numerous persons had raised objections at the meeting in which the requests were granted and because t…
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City OF Hollywood v. The Hollywood Beach Hotel Co., 283 So. 2d 867 (Fla. 4th DCA 1973)…omission of the government (3) has made such a substantial change in position or has incurred such extensive obligations and expenses that it would be highly inequitable and unjust to destroy the right he acquired. Sakolsky v. City of Coral Gables, 151 So. 2d 433 (Fla.1963). The mere possession of a building permit does not create a vested property right and a permit may he revoked where the zoning law has been amended subsequent to the issuance of the permit. City of Boynton Beach v. Carroll, 272 So. 2d 17…
Previewing 3 of 48 citing cases — full citator treatment, depth of discussion, and citing context are member features.
Join FLexlaw to unlock all legal intelligenceAuthorities Cited (15 total)
- Voelker v. Combined Ins. Co. of Am., 73 So. 2d 403 (Fla. 1954)
- Pinkerton-Hays Lumber Co., Inc. v. Doyle Pope, 127 So. 2d 441 (Fla. 1961)
- Miami Shores Vill. v. WM. N. Brockway Post NO. 124 OF THE Am. Legion, 156 Fla. 673 (Fla. 1945)
- McBURNETTE v. Playground Equip. Corp., 137 So. 2d 563 (Fla. 1962)
- Tex. Co. v. Town of Miami Springs, 44 So.2d 808 (Fla. 1950)
- Sharrow v. City OF Dania, 83 So. 2d 274 (Fla. 1955)
- Bregar v. Britton, 75 So. 2d 753 (Fla. 1954)
- Frink v. Orleans Corp., 159 Fla. 646 (Fla. 1947)
- Gross v. City of Miami, 62 So. 2d 418 (Fla. 1953)
- City OF FT. Lauderdale v. Lauderdale Indus. Sites, Inc., 97 So. 2d 47 (Fla. 2d DCA 1957)