SYLLABUS
(This syllabus is not part of the opinion of the Court. It has been prepared by the Office of the Clerk for the
convenience of the reader. It has been neither reviewed nor approved by the Supreme Court. Please note that, in the
interests of brevity, portions of any opinion may not have been summarized).
Greenway Development Co. v. Borough of Paramus (A-41-99)
Argued February 14, 2000 -- Decided May 15, 2000
COLEMAN, J., writing for a unanimous Court.
The issue before the Court is whether the notice of claim provision in the New Jersey Tort Claims Act
(TCA), N.J.S.A. 59:1 to 12-3, applies to an inverse condemnation action.
The facts are undisputed. In March 1997, Greenway Development Co., Inc. and Greenway Corporation
(collectively Greenway) contracted with Paramus Investment Venture to purchase approximately 2.2 acres of land
located in a residential two-family zone (the Greenway property). Greenway intended to build six two-family homes.
Prior to closing title to the property, Greenway searched the public records and found a subdivision map, filed May
3, 1984, showing six two-family lots and a site plan approved by the Paramus Planning Board and the Borough
Engineer on April 19, 1981 with revisions on March 6, 1984, showing subdivided lots for the construction of two
family houses on each lot.
The Greenway property previously had been part of a larger parcel that was located partially within a
business zone and partially within a residential two-family zone. The Paramus Planning Board passed a resolution
on January 29, 1982 granting a zoning variance to permit construction of a four-story office building on the portion
of the property located in the business zone. As part of the same resolution, the land located in the residential zone,
which included the Greenway property, was to be used only as a buffer area. This resolution was not made part of
the subdivision approval file. After Greenway made a diligent search of the property, closed title to the property,
and sought construction permits to build two-family homes on the property, its applications were denied by the
Borough of Paramus (Paramus or Borough).
Greenway instituted a Verified Complaint in Lieu of Prerogative Writs against the Borough of Paramus and
others (collectively defendants). Count One of the complaint sought to compel Paramus to issue building permits for
two-family homes on the property; Count Two asserted inverse condemnation; and Count Three alleged interference
with prospective economic advantage by the Borough and various municipal officials.
The trial court denied Greenway's request to immediately direct the issuance of the permits. Instead, the
court remanded the matter to the Paramus Planning Board for clarification of the condition in the 1982 resolution
relating to the buffer zone. On remand, The Planning Board determined, by resolution dated April 9, 1998, that it
was intended that the residential portion remain undeveloped as a buffer between the office building and the
surrounding residential area. Greenway later filed an amended complaint naming the Planning Board as an
additional defendant.
In May 1998, Greenway filed a motion seeking to compel Paramus to issue the requested building permits.
Finding that, prior to 1982, it was the Planning Board's intention to permit the property to be developed with two
family residential homes, the trial court directed the Borough to issue the requested permits. The court reasoned that
if the Borough and the Planning Board did not intend that the site be developed as two-family residential dwellings,
the information contained in the public record should have been corrected prior to Greenway's reliance on them.
In November 1998, defendants filed a motion seeking to dismiss the inverse condemnation and interference
with prospective economic advantage claims. The trial court dismissed the interference with prospective economic
advantage claim, finding that defendants were entitled to immunity under the TCA because of Greenway's failure to
file the required notice of claim. However, the court found in favor of Greenway on the inverse condemnation claim
because Paramus prevented Greenway from developing the property. According to the trial court, the denial of
Greenway's use of the land interfered with their reasonable investment-backed expectations in that use, resulting in a
taking. Thus, Greenway was entitled to fair compensation for the temporary taking that occurred between the initial
denial of the permits and the order compelling the issuance of those permits. The court determined that neither
defendants' subsequent actions nor the 1982 resolution could override the Planning Board's original approval of the
two-family home subdivision.
In denying defendants' motion for reconsideration of whether the TCA barred the inverse condemnation
claim, the trial court reasoned that it was bound by the decision in Russo Farms, Inc. v. Vineland Bd. of Educ.,
wherein the Appellate Division held that compliance with the TCA's notice requirement is not a prerequisite to
pursuing an inverse condemnation claim. The court noted that the Supreme Court in Russo declined to resolve this
specific issue but that the opinion nevertheless included a discussion of other jurisdictions who have held that tort
claims rules do not apply to inverse condemnation claims . The trial court found those cases persuasive.
Defendants' motion for leave to appeal to the Appellate Division, on the issue of whether the TCA applies
to inverse condemnation claims, was denied.
The Supreme Court granted defendants' motion for leave to appeal.
HELD: Inverse condemnation is not a tort or an injury within the meaning of the Tort Claims Act, for which the
notice of claim provision is applicable; therefore, inverse condemnation claims should proceed
unencumbered by the TCA.
1. Consistent with its goals of restricting governmental liability in tort, the TCA requires that the public entity be
notified of a claim against it within ninety days of its accrual. Suit may be filed six months after notice is given. In
an inverse condemnation action, a landowner is seeking compensation for a de facto taking of his or her property.
To be considered a compensable taking, the landowner must be deprived of all reasonably beneficial use of the
property. (Pp. 8-10)
2. The Court previously has concluded that discrimination does not constitute an injury within the intendment of
the TCA. The Appellate Division in Russo Farms held that the TCA does not apply to inverse condemnation claims.
This Court did not overturn or disapprove of that part of the Appellate Division's opinion. To the extent that an
inverse condemnation is a constitutional tort as argued by defendants, it is more akin to an action in lieu of
prerogative writs than the tort of negligence. (Pp. 10-14)
3. Clearly the Legislature intended the TCA apply only to civil actions seeking damages for tortious conduct. Fault
or lack of care, essential to the tort of negligence, are not involved in the concept of inverse condemnation. Factors
surrounding the drafting of the TCA strongly suggest that the Legislature never intended inverse condemnation to be
covered by the TCA's definition of injury. (Pp. 14-16)
4. The notice provision of the TCA does not apply to inverse condemnation claims because they allege, in a state
court proceeding, a violation of the Just Compensation Clause of the Fifth Amendment. Claims made pursuant to the
Just Compensation Clause arise independently of the TCA. In addition, a public entity cannot use a state statute like
the TCA to abrogate a claimant's constitutional rights. (Pp. 16-18)
Judgment of the Appellate Division is AFFIRMED and the matter is REMANDED to the Law Division
for further proceedings to provide compensation for the period during which the taking was effective.
CHIEF JUSTICE PORITZ and JUSTICES O'HERN, LONG, VERNIERO, and LAVECCHIA join
in JUSTICE COLEMAN'S opinion. JUSTICE STEIN did not participate.
SUPREME COURT OF NEW JERSEY
A-
41 September Term 1999
GREENWAY DEVELOPMENT CO.,
INC. and GREENWAY CORPORATION
INC., incorrectly impleaded
as Greenway Corporation Co.,
Inc.,
Plaintiffs-Respondents,
v.
BOROUGH OF PARAMUS, MAYOR
CLIFFORD GENNARELLI,
Individually and as Mayor and
PETER WELLS, Zoning Official,
Defendants-Appellants,
and
WARREN LANE ASSOCIATES, a New
Jersey Partnership, ROBERT
C. SUMNER, STEPHEN B. PALMER,
STANLEY BEKRITSKY and DOUGLAS
HAYNES, Co-Trustees of the
Edith Marion Summer Trust
Agreement No. 2, ARTHUR B.
FOWLER, ARTHUR B. FOWLER, II,
and JOHN FOWLER, All as
Successor Venture Agents of
Paramus Investment Venture, a
Joint Venture, SCHILP & CO.,
L.L.C., ALEXANDER SUMMER,
L.L.C. and BOROUGH OF PARAMUS
PLANNING BOARD,
Defendants.
Argued February 14, 2000-- Decided May 15, 2000
On appeal from the Superior Court, Law
Division, Bergen County.
Frank J. Cuccio argued the cause for
appellants (Cuccio and Cuccio, attorneys;
Mr. Cuccio and Jonathan M. Remshak, on the
brief).
Sheri K. Siegelbaum argued the cause for
respondents (Scarinci & Hollenbeck,
attorneys).
The opinion of the Court was delivered by
COLEMAN, J.
The issue raised in this appeal is whether the notice of
claim provision in the New Jersey Tort Claims Act (TCA), N.J.S.A.
59:1-1 to 12-3, applies to an action for inverse condemnation.
The Law Division found that compliance with the TCA was not a
prerequisite to pursuing inverse condemnation claims. We agree
and affirm.
I.
The relevant facts are undisputed. In March 1997,
plaintiffs Greenway Development Co., Inc. and Greenway
Corporation (collectively Greenway) contracted with Paramus
Investment Venture to purchase approximately 2.2 acres of land
located in a residential two-family zone. Consistent with the
zoning plan, Greenway intended to construct six two-family homes.
Prior to closing title, Greenway searched the public records and
found a subdivision map, filed May 3, 1984, showing six two
family lots, and a site plan approved by the Planning Board and
Borough Engineer on April 19, 1981 with revisions of March 6,
1984, showing subdivided lots for the construction of a two
family house on each lot. The tax assessor confirmed that the
lots were listed separately, that a two-family home was to be
developed on each lot, and that the Planning Board had approved a
resolution providing for drainage based on that approved use of
the property.
The property to be conveyed under the Greenway contract
previously had been part of a larger parcel, known as the Atrium
Property, that was located partially within a business zone and
partially within a residential two-family zone. The Paramus
Planning Board passed a resolution on January 29, 1982, granting
a zoning variance to permit construction of a four-story office
building on that portion of the land located in the business
zone. Under the same resolution, the portion of the land that
was located in the residential zone, including that which
Greenway contracted to purchase, was to be used only as a buffer
area. For reasons not revealed in the appellate record, that
resolution was not made part of the subdivision approval file.
Thus, after Greenway made a diligent search of the property,
closed the title to the property and sought construction permits
to erect two-family homes on the site, its applications were
denied by the Borough of Paramus (Paramus).
Greenway instituted the present litigation in the Law
Division by filing a Verified Complaint in Lieu of Prerogative
Writs pursuant to
Rule 4:69. An Order to Show Cause was issued
on December 16, 1997. The complaint contained three counts.
Count One sought to compel Paramus to issue building permits for
two-family homes on the property. Count Two asserted inverse
condemnation, and Count Three alleged interference with
prospective economic advantage by Paramus and various municipal
officials. On December 22, 1997, the trial court denied
plaintiffs' request to immediately direct the issuance of the
permits, and instead remanded the matter to the Paramus Planning
Board for clarification of the condition in the 1982 variance
resolution requiring that the [residential] zone be used as a
buffer only. On remand, the Planning Board determined, by
resolution dated April 9, 1998, that it was intended that the
residential portion remain undeveloped as a buffer between the
office building and the surrounding residential area.
Thereafter, Greenway filed an amended complaint adding the
Planning Board as a defendant.
On May 5, 1998, Greenway filed a motion for summary judgment
to compel Paramus to issue the requested building permits. The
trial court found that prior to 1982 it was the Planning Board's
intention to permit the property to be developed with two-family
residential dwellings. The court explained that if Paramus and
the Planning Board did not intend the site to be developed as
described in the approved and filed plans, the information
contained in the public record should have been corrected prior
to Greenway's reliance on the public files. Accordingly, Paramus
was directed to issue the requested building permits.
On November 4, 1998, Paramus and the Planning Board moved
for summary judgment to dismiss the remaining two counts, which
alleged inverse condemnation and interference with prospective
economic advantage. Defendants argued that the order directing
issuance of building permits rendered the claim for inverse
condemnation moot, and the TCA's immunity for administrative
actions precluded liability for interference with prospective
economic advantage. Alternatively, defendants argued that
Greenway had failed to establish the requisite elements of a
claim for interference with prospective economic advantage.
Greenway cross-moved for summary judgment.
The trial court dismissed the interference with prospective
economic advantage count, finding that defendants were entitled
to immunity under the TCA because of Greenway's failure to file a
notice of claim, but granted Greenway's cross-motion for
liability under the inverse condemnation claim because Paramus
prevented Greenway from developing the property. The issues
regarding the nature and extent of damages were reserved for a
trial. The court found defendants had denied plaintiffs
economically viable use of their land, and interfered with
[their] reasonable investment-backed expectations in that use,
resulting in a regulatory taking. The court held that Greenway
was therefore entitled to fair compensation for the temporary
taking that occurred between the initial denial of the permits
until the court order compelling their issuance. The court found
defendants caused delays that were beyond normal and
incidental, and thus, when defendants decided not to issue the
building permits despite their previous actions regarding the
property, they acted at their own peril. The court held that
neither defendants' subsequent actions nor the 1982 resolution
could override the Planning Board's original approval of the two
family home subdivision.
In denying defendants' motion for reconsideration of whether
the TCA barred the inverse condemnation claim, the trial court
considered itself bound by the holding in
Russo Farms, Inc. v.
Vineland Bd. Of Educ.,
280 N.J. Super. 320, 325 (App. Div. 1995),
aff'd in part, rev'd in part,
144 N.J. 84 (1996), which held that
compliance with the TCA's procedural notice requirements is not a
prerequisite to pursuing inverse condemnation claims. The trial
court noted that on review of
Russo Farms, this Court declined to
resolve the issue of whether the TCA applies to inverse
condemnation actions but included a discussion of the approaches
taken in other jurisdictions.
Russo Farms,
supra, 144
N.J. at
111-13. The trial court found persuasive those [out-of-state]
cases cited by the Court [in
Russo Farms] holding that tort
claims rules do not apply to inverse condemnation claims.
Defendants' motion for leave to appeal to the Appellate
Division the issue of whether the TCA applies to inverse
condemnation claims was denied. We granted defendants' motion
for leave to appeal,
162 N.J. 658 (1999), and now affirm the
judgment of the Law Division.
II.
Defendants argue that an injury under the TCA includes
harm to constitutional rights, such as inverse condemnation, and
therefore, Greenway's claim is subject to the TCA's notice of
claim provision. Injury is defined under the TCA as [d]eath,
injury to a person, damage to or loss of property or any other
injury that a person may suffer.
N.J.S.A. 59:1-3. Defendants
maintain that because the notice of claim provision was not
satisfied, all damage claims are barred for want of jurisdiction.
Greenway, on the other hand, contends that an inverse
condemnation is a taking, and not a tort within the meaning of
the TCA. Hence, Greenway maintains it is entitled to damages for
an unconstitutional taking that is not subject to the TCA.
A.
The TCA seeks to provide compensation to tort victims
without unduly interfering with governmental functions and
without imposing an excessive burden on taxpayers.
See N.J.S.A.
59:2-1 cmt. The TCA states: Except as otherwise provided by
this act, a public entity is not liable for an injury, whether
such injury arises out of an act or omission of the public entity
or a public employee or any other person.
N.J.S.A. 59:2-1a.
This means that generally, immunity applies and liability is the
exception.
Fluehr v. City of Cape May,
159 N.J. 532, 539
(1998). Consistent with its goals of restricting governmental
liability in tort, the TCA requires that a claim be presented to
a public agency within ninety days after accrual of the cause of
action.
N.J.S.A. 59:8-8. Suit may be filed six months after the
notice is given.
Ibid. Two of the primary purposes advanced by
the notice requirement are: (1) to expedite investigation with
the hope of reaching nonjudicial settlement; and (2) to protect
the public entity's access to current information about the
incident giving rise to the claim.
Reale v. Township of Wayne,
132 N.J. Super. 100, 109 (Law Div. 1975);
see Fuller v. Rutgers,
The State University,
154 N.J. Super. 420, 425-27 (App. Div.
1977),
certif. denied,
75 N.J. 610 (1978).
In an inverse condemnation action, a landowner is seeking
compensation for a
de facto taking of his or her property.
Pinkowski v. Township of Montclair,
299 N.J. Super. 557, 575
(App. Div. 1997);
Johnson v. County of Essex,
223 N.J. Super. 239, 258 (Law Div. 1987). [A] property owner is barred from any
claim to a right to inverse condemnation unless deprived of all
or substantially all of the beneficial use of the totality of his
property as the result of excessive police power regulation.
Pinkowski,
supra, 299
N.J. Super. at 575 (citations omitted).
[N]ot every impairment of value establishes a taking.
Ibid.
(citation omitted). To constitute a compensable taking, the
land owner must be deprived of all reasonably beneficial use of
the property.
Ibid.;
see also Washington Mkt. Enters. v. City
of Trenton,
68 N.J. 107, 118 (1975) (stating [w]e have held upon
several occasions that depriving an owner of undeveloped land of
all beneficial use of that land for a significant period of time
was a 'taking').
As Justice Holmes noted, even a strong public desire to
improve the public condition is not enough to warrant achieving
the desire by a shorter cut than the constitutional way of paying
for the change.
Pennsylvania Coal Co. v. Mahon,
260 U.S. 393,
416,
43 S. Ct. 158, 160,
67 L. Ed. 322, 326 (1922). If there has
been a taking, and defendants do not dispute that claim in this
appeal, applicable are the guarantees of both the Just
Compensation Clause of the Fifth Amendment of the United States
Constitution, as applied to the states through the Fourteenth
Amendment, and Article I, paragraph 20 of the New Jersey
Constitution. Those provisions prohibit '[g]overnment from
forcing some people alone to bear public burdens which, in all
fairness and justice, should be borne by the public as a whole.'
In re Plan for Orderly Withdrawal,
129 N.J. 389, 414 (1992),
cert. denied,
506 U.S. 1086,
113 S. Ct. 1066,
122 L. Ed.2d 370
(1993) (quoting
Armstrong v. United States,
364 U.S. 40, 49,
80 S. Ct. 1563, 1569,
4 L. Ed.2d 1554, 1561 (1960)).
B.
In support of their assertion that inverse condemnation is
an injury within the meaning of the TCA, defendants rely on
Lloyd
v. Borough of Stone Harbor,
179 N.J. Super. 496, 512 (1981), in
which the Chancery Division found that plaintiff's employment
discrimination claim was barred by the TCA's notice of claim
provision. The court noted that plaintiff's right to be
protected from discriminatory practices is a property right, and
that she had sued for interference with that right, claiming a
constitutional tort.
Id. at 511. The court then considered
whether the notice provision of the TCA applied to a suit
alleging a constitutional violation. The court held that it did.
Id. at 512;
see also Healey v. Township of Dover,
208 N.J. Super. 679, 682 (App. Div. 1986) (holding that claims of sexual
harassment fall within the expansive Tort Claims Act definition
of 'injury').
The holdings in those two cases, however, were effectively
overruled by this Court's decision in
Fuchilla v. Layman, 109
N.J. 319, 337,
cert. denied,
488 U.S. 826,
109 S. Ct. 75,
102 L.
Ed.2d 51 (1988), which held that the notice provisions of the
TCA do not apply to claims of discrimination under either
42 U.S.C. §1983 or the New Jersey Law Against Discrimination. In
Fuchilla, this Court considered the ambiguity inherent in the
term injury under the TCA as well as the underlying legislative
policies and histories of the TCA and the New Jersey Law Against
Discrimination, and concluded that discrimination did not
constitute such an injury within the intendment of the TCA.
Id. at 335-39.
Although the issue in this case involves inverse
condemnation rather than employment discrimination, we conclude
nonetheless that defendants' reliance on
Lloyd and
Healey for the
proposition that the notice of claim provision of the TCA applies
to constitutional torts is misplaced.
Russo Farms had been
decided by the Appellate Division nearly three years before the
complaint in the present case was filed. That court held that
the TCA does not apply to inverse condemnation actions.
Russo
Farms,
supra, 280
N.J. Super. at 325. This Court's opinion in
Russo Farms had also been rendered before the present complaint
was filed. In that opinion, we did not overturn or disapprove of
that portion of the Appellate Division's holding that is relevant
to the present case. The Court simply declined to decide the
issue because it had not been raised by the parties.
Russo
Farms,
supra, 144
N.J. at 113. However, we observed that other
jurisdictions agreed with the Appellate Division's conclusion.
Ibid.
To the extent that an inverse condemnation is a
constitutional tort, it is more akin to an action in lieu of
prerogative writs seeking to review the reasonableness of
municipal action resulting in the diminution of property values
and to recover damages for such action,
Harisadan v. City of
East Orange,
187 N.J. Super. 65, 69 (App. Div. 1982), than the
tort of negligence. Indeed, plaintiffs in this case contend the
TCA's notice provisions conflict with the requirements of an
action in lieu of prerogative writs because requiring compliance
with the TCA would force them to abandon their right to file a
prerogative writ action challenging the municipality's denial of
the building permits.
The primary remedy sought in this case was an order
directing the issuance of building permits. The request for
damages was ancillary to the primary relief sought but had to be
joined in the complaint to avoid the preclusive effect of
Rule
4:27-1 and
Rule 4:30A.
Rule 4:69-6 requires a prerogative writs
action to be filed within 45 days after the accrual of the
right. The TCA notice of claim provision requires notice to be
filed within ninety days after the accrual of the cause of
action.
N.J.S.A. 59:8-8. Suit may not be instituted until the
expiration of six months from the date notice of claim was
received.
Ibid. Therefore, when the Rules and statute are
viewed together, it becomes apparent that the forty-five day
period in which to commence a prerogative writs action conflicts
with
N.J.S.A. 59:8-8, if applicable, because the forty-five day
filing period of
Rule 4:69-6 would necessarily expire during the
six-month waiting period of
N.J.S.A. 59:8-8.
In any event, if
N.J.S.A. 59:8-8 was applicable, by filing
the complaint within forty-five days after the denial of the
permits, Paramus was promptly notified of the claim for which
damages were sought, thereby providing substantial compliance
with the purpose of the TCA's notice provision. We base our
decision, however, on the fact that there are compelling reasons
why the TCA's notice provisions are not applicable to this type
of case.
The primary focus of the [TCA] is on negligence and similar
tortious conduct impliedly involving fault.
Fuchilla,
supra,
109
N.J. at 338 (Handler, J., concurring). Clearly that is what
the Legislature intended when it stated that it is hereby
declared to be the public policy of this State that public
entities shall only be liable for their negligence within the
limitations of this act.
N.J.S.A. 59:1-2. The TCA otherwise
prominently refers to a negligent or wrongful act.
See,
e.g.,
N.J.S.A. 59:3-9;
N.J.S.A. 59:4-2a. Recently, we observed that
the title to the TCA and its legislative history demonstrate[ ]
that it was intended to apply only to civil actions seeking
damages for tortious conduct.
Chasin v. Montclair State
University,
159 N.J. 418, 428 (1999). Fault or lack of
reasonable care, essential to the tort of negligence, simply are
not involved in the concept of inverse condemnation. Inverse
condemnation is similar to a products liability manufacturing
defect case in that the plaintiff in both types of cases is not
required to prove fault.
Myrlak v. Port Auth. of N.Y. and N.J.,
157 N.J. 84, 96 (1999).
Similarly important is the fact that the TCA was the
Legislature's response to the Court's abrogation of the State's
sovereign immunity in
Willis v. Department of Conservation and
Econ. Dev.,
55 N.J. 534 (1970). All of the cases cited by the
Court in
Willis as examples of where the sovereign immunity
defense had not been allowed involved claims of negligence.
Id.
at 540. The fact that all of the cases focused on negligence
strongly suggests that the Legislature never intended inverse
condemnation to be covered by the TCA's definition of injury.
We, therefore, are persuaded that the TCA disavows any remedial
purpose to vindicate societal interests . . . or to protect any
individual constitutional interest or civil right.
Fuchilla,
supra, 109
N.J. at 344 (Handler, J., concurring).
Today, we resolve the issue that we did not decide in our
Russo Farms opinion. We hold that inverse condemnation is not a
tort or an injury within the meaning of the TCA, for which the
notice of claim provision is applicable. An inverse condemnation
action should proceed unencumbered by the TCA.
A majority of jurisdictions that have addressed the issue
have come to the same conclusion.
See,
e.g.,
Odello Bros. v.
County of Monterey,
63 Cal. App. 4th 778, 785-86 (Ct. App. 1998)
(holding Tort Claims Act inapplicable to action for inverse
condemnation because action is not considered to sound in tort);
Young v. Palm Beach County,
443 So.2d 450, 452 (Fla. Dist. Ct.
App. 1984) (referring to relief sought under claim for inverse
condemnation as the equitable remedy of requiring the government
to condemn the property taken and pay compensation therefor);
Baumler v. Town of Newstead,
604 N.Y.S.2d 372, 373 (App. Div.
1993) (holding the provisions of [the New York Tort Claims Act]
do not apply to a cause of action asserted against a town for
inverse condemnation.);
Borntrager v. County of Delaware,
428 N.Y.S.2d 766, 767 (App. Div. 1980) (holding
de facto condemnation
of land that resulted in permanent appropriation was not a tort
and thus, was not subject to notice requirements).
III.
We are also persuaded that the notice provision of the TCA
does not apply to inverse condemnation claims because they
allege, in a state court proceeding, a violation of the Just
Compensation Clause of the Fifth Amendment. That amendment
provides that private property [shall not] be taken for public
use, without just compensation. That constitutional prohibition
against unconstitutional takings is self-executing, in the sense
that such claims arise independently of the TCA. Additionally,
statutes [cannot] abrogate constitutional rights.
Lerman v.
City of Portland,
675 F. Supp. 11, 15 (D. Me. 1987),
aff'd,
879 F.2d 852 (1st Cir.),
cert. denied,
493 U.S. 894,
110 S. Ct. 243,
107 L. Ed.2d 193 (1989).
We also rely on
Felder v. Casey,
487 U.S. 131,
108 S. Ct. 2302,
101 L. Ed.2d 123 (1988), to reach the same conclusion.
Felder held that a state's notice of claim provision in a tort
claims act does not apply to an action brought in state court
alleging violations of federal constitutional rights under
42 U.S.C.A.
§1983.
Id. at 138, 108
S. Ct. at 2307,
101 L. Ed 2d
at
. Even before
Felder was decided, this Court had held that
the notice provision of the TCA did not apply to a Section 1983
claim.
Fuchilla,
supra, 109
N.J. at 337-38.
Other courts have similarly interpreted
Felder to render
state notice-of-claim laws inapplicable in actions alleging
violations of federal as well as state constitutional rights,
such as claims of inverse condemnation.
See, e.g.,
Moore Real
Estate, Inc. v. Porter County Drainage Bd.,
578 N.E.2d 380, 381
(Ind. Ct. App. 1991) (citing
Felder, court held that governmental
agency may not use . . . the tort claims act, to trump the
constitutional rights of [a land owner] to compensation for
constructive taking);
Wolff v. Secretary of S.D. Game, Fish &
Parks Dep't,
544 N.W.2d 531, 535, (S.D. 1996) (citing
Felder in
refusing to apply tort notification requirements to Section 1983
claim and holding that inverse condemnation claim is not
grounded in tort but proceeds from a [state] constitutional
right, and thus, under the explicit provisions of [the South
Dakota Constitution, requires] no notice of injury). A public
entity may not use a state statute, such as the TCA, to abrogate
a claimant's constitutional rights.
Russo Farms,
supra, 144
N.J.
at 113 (quoting
Moore Real Estate,
supra, 578
N.E.
2d at 381).
IV.
The judgment of the Law Division is affirmed. The matter is
remanded to the Law Division for further proceedings to provide
compensation for the period during which the taking was
effective.
First English Evan. Luth. Church v. County of Los
Angeles,
482 U.S. 304, 321,
107 S. Ct. 2378, 2389,
96 L. Ed.2d 250,
(1987). [T]he property owner [is] owed fair
compensation for [the] temporary taking.
East Cape May Assocs.
v. Department of Envtl. Protection,
300 N.J. Super. 325, 342
(App. Div. 1997).
CHIEF JUSTICE PORITZ and JUSTICES O'HERN, LONG, VERNIERO,
and LAVECCHIA join in JUSTICE COLEMAN's opinion. JUSTICE STEIN
did not participate.
SUPREME COURT OF NEW JERSEY
NO. A-41 SEPTEMBER TERM 1999
ON APPEAL FROM Appellate Division, Superior Court
ON CERTIFICATION TO
GREENWAY DEVELOPMENT CO.,
INC., et al.,
Plaintiffs-Respondents,
v.
BOROUGH OF PARAMUS, et al.,
Defendants-Appellants,
and
WARREN LANE ASSOCIATES, a New
Jersey Partnership, et al.,
Defendants.
DECIDED May 15, 2000
Chief Justice Poritz PRESIDING
OPINION BY Justice Coleman
CONCURRING OPINION BY
DISSENTING OPINION BY
CHECKLIST
AFFIRM AND
REMAND
CHIEF JUSTICE PORITZ
X
JUSTICE O'HERN
X
JUSTICE STEIN
---------------
-----
-----
JUSTICE COLEMAN
X
JUSTICE LONG
X
JUSTICE VERNIERO
X
JUSTICE LaVECCHIA
X
TOTALS
7