# Amicus Curiae Brief — Lucas v. South Carolina Coastal Council

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## Record

- **Collection:** Supreme Court brief
- **Document type:** Amicus Curiae Brief
- **Published:** January 1, 1992
- **Citation:** 505 U.S. 1003

## Text

eA FILE Vv

—

No. 91-453 | TAR & 1992

Orrick Ur THE CLERK
$n the Supreme Court of the United

OCTOBER TERM, 1991

DAVID H. LUCAS, PETITIONER
v.

SOUTH CAROLINA COASTAL COUNCIL

ON WRIT OF CERTIORARI
TO THE SUPREME COURT OF SOUTH CAROLINA

BRIEF FOR THE
UNITED STATES AS AMICUS CURIAE
IN SUPPORT OF REVERSAL

KENNETH W. STARR
Solicitor General

BARRY M. HARTMAN

Acting Assistant Attorney General
LAWRENCE G. WALLACE

Deputy Solicitor General

ROGER CLEGG
Deputy Assistant Attorney General

BENEDICT S. COHEN
Acting Deputy Assistant Attorney
General
EDWIN S. KNEEDLER
Assistant to the Solicitor General
PETER R. STEENLAND
JAMES E. BROOKSHIRE
JOHN A. BRYSON
MARTIN W. MATZEN
Attorneys
Department of Justice
Washington, D.C. 20530
(202) 514-2217

QUESTIONS PRESENTED

This case involves the application to petitioner’s
beachfront lots of South Carolina’s 1988 Beachfront
Management Act. When this case arose, that Act pro-
hibited the building of any habitable structure sea-
ward of a setback line established by the South Caro-
lina Coastal Council. The questions presented are:

1. Whether petitioner has a ripe claim that appli-
cation of the Beachfront Management Act resulted in
a taking of his property, in light of 1990 amend-
ments to the Act that provide for issuance of special
permits to build structures seaward of the setback
line in certain circumstances.

2. Whether application of the Act to petitioner’s
lots results in a taking of property for which pay-
ment of compensation is required by the Fifth
Amendment.

(1)

TABLE OF CONTENTS

Page
Interest of the United States ...............................00000000...00-. 1
Statement .......... EA ee 2
EE 6
Argument:

I. This case should be considered in light of the
special permit provisions enacted by the 1990
Amendments to the 1988 Beachfront Manage-
ment Act ............. a ccemapenne 8

II. A limited category of regulatory measures de-
signed to prevent nuisances or other serious
harms to public health or safety do not constitute
a taking even if the value of affected property is
substantially diminished ........................................ 11

Ill. The category of measures that do not constitute

a taking solely because they are designed to pre-

vent nuisances and other harmful uses of prop-

erty must be limited by reference to the nature,

degree, proximity and context of the harm ___. 17

a . ccuwnsnonccwocsegsccsccavers 26
TABLE OF AUTHORITIES
Cases:

Adolph Vv. FEMA, 854 F.2d 732 (5th Cir. 1988) _. 2

Agins V. City of Tiburon, 447 U.S. 255 (1980) ........ 25

Babcock Vv. City of Buffalo, 56 N.Y. 268 (1874) _.... 24

Bowditch Vv. Boston, 101 U.S. 16 (1879) ......... sites 14

Chenango Bridge Co. v. Page, 83 N.Y. 178 (1880)... 24

Chicago, B. & Q. Ry. Vv. United States, 200 U.S.

561 (1906) ................ a .. 20,91
Commonwealth v. Alger, 61 Mass. 53 (1851) 16, 23, 24
Commonwealth v. Tewksbury, 52 Mass. 55 (1846)... 16
Connolly v. PBGC, 475 U.S. 211 (1986) nen 25
Empire Kosher Poultry, Inc. Vv. Hallowell, 816 F.2d

Nee nc ccewenccuseneveccenccseees 13
Esposito vy. South Carolina Coastal Comm’n, 939

| 23

(III)

Cases—Continued: Page
Euclid v. Ambler Realty Co., 272 U.S. 365 (1926)... 23
Fertilizing Co. Vv. Hyde Park, 97 U.S. 659 (1878).. 15
Gilman Vv. Philadelphia, 70 U.S. (3 Wall.) 713

SUIT xi... 2. eosccsencecensasnsesunnemcaiascansedaaiemeianeennamiens 13
Goldblatt v. Town of Hempstead, 369 U.S. 590

ESRC Me cesT eRORTe ¥ Sab Cs Pere aadicaii 17, 25
Griffin v. United States, No. 90-6352 (Dec. 3,

I 15
Hadacheck v. Sebastian. 239 U.S. 394 (1915) ......... 16, 23
Kaiser Aetna Vv. United States, 444 U.S. 164

II co cinitsraanceslsaccledaniaecteshaeteiaaniienveniiniaiacdameliaiaamiemanes 25
Keystone Bituminous Coal Ass’n V. DeBenedictis,

fs fee 5, 17, 18, 29, 21
Kincaid, Appeal of, 66 Pa. 411 (1870) —_. a 16
Laurel Hill Cemetery v. San Francisco, 216 U.S.

S58 Cieee) .............. 16
MacDonald, Sommer & Frates v. County of Yolo,

a eee esemneas 9
McDougal v. County of Imperial, 942 F.2d 668

(9th Cir. 1991) - TR a int Set te NTN 13
Midlantic Nat'l Bank Vv. New Jersey Dep't of En-

vironmental Protection, 474 U.S. 494 (1986) 13
Miller v. Schoene, 276 U.S. 272 (1928) ...... .... 17, 18
Monongahela Navigation Co. Vv. United States, 148

U.S. 312 (1893) 7 oe ..... 20, 24
Mouse’s Case, 12 Coke Rep. 62. - 14

Mugler v. Kansas, 123 U.S. 623 (1887). 6. 7, 15, 16, 18, 21
Nollan v. California Coastal Comm’n, 483 U.S. 825

ERB De Si RRA ILE CE VIE Ris ESR ee
Penn Central Transp. Co. v. New York City, 438

U.S. 104 (1978) - a
Pennsylvania Coal Co. Vv. Mahon, 260 U.S. 393

) Saar i 14, 25
People v. Hawley, 8 Mich. 330) (1854) 16
Pumpelly v. Greenbay Co., 80 U.S. (13 Wall.)

166 (1872). 16
Reinman v. City of Little Rock, 237 U.S. 171

(1915) . 16, 23-24

Respublica v. Sparhawk, 1 U.S. (1 Dall.) 357 (Pa.
1788) . SE eS a Pr ) ae 14

V
Cases—Continued: Page
Russell v. Mayor, ete., of New York, 2 Denio 461
UI: SUEY concndiniinishinnbchlbinnditcoatei nck tig tet tetra, 12
Sligh v. Kirkwood, 237 U.S. 52 (1915) .0000.... 13
Stone V. Mayor & Aldermen, 25 Wend. 157 (N.Y.
RF REESE Brae A SI Seba RL ln RP NR 14
Stuyvesant Vv. Mayor &c. of New York, 7 Cow. 588
SE OEE ae eB Sea OP te 16
The License Cases, 4G U.S. (5 How.) 504 (1847) .. 14
Touby V. United States, 111 8. Ct. 1752 (1991) ..... 12
United States vy. Caltex, Inc., 344 U.S. 149 (1952)... 14
United States v. Riverside Bayview Homes, Inc.,
A a ne 2,9
Williamson County Regional Planning Comm'n V.
Hamilton Bank, 473 U.S. 172 (1985) _.... Sud ee 9, 25
Yancey V. United States, 915 F.2d 1534 (Fed. Cir.
PE cic caibaheaciiniccakes te schiackadhsiisnacetdciea aetna cnet ont caccamcad 13
Constitution, statutes and regulation:
U.S. Const. Amend. V _........... St sila ect gael aes co
Just Compensation Clause .................... 8, 11, 18, 24
Clean Water Act, 38 U.S.C. 1844 ................................ 2
Controlled Substances Act, 21 U.S.C. 861 ef seq. —.... 12

Coastal Zone Management Act of 1972, 16 U.S.C.
1451 et seq.

16 U.S.C, 14 52(2) - jecelaheiahiaomia ssobibeestiaaliaivinaiinioui 2, 20

De Werte BOUND CD oo nnnvcencccctccccenco cece por a a 2, 20
Federal Food, Drug and Cosmetic Act, 21 U.S.C.
301 et seq. Nicihinlccatestadienednitatnet mane i 12
Federal Insecticide, Fungicide, and Rodenticide
Be, DS an, Se Oe OE evict 12
Feueral Meat Inspection Act, 21 U.S.C. 601 eft seq... 12
National Flood Insurance Act of 1968, 42 U.S.C.
4001 et seq. | Pa arae alent 2
42 U.S.C. 4002(b) (3) UNS Sh alge de 2
42 U.S.C. 4022 EERE At Es RIT tO a A TER 2
Poultry Products Inspection Act, 21 U.S.C. 451 et
seq. alameda 12
21 U.S.C. 350a NESE abeTR ERS 12

VI

Statutes and regulation—Continued : Page

Beachfront- Management Act of 1988, S.C. Code
Ann. (Law. Co-op. Supp. 1990):

§ GB-BO-2O(G) 6G) ..-....----.2..20222-0rcecvvereercrecensecneeees 3
§ 48-39-250 (1) (a) ...........-..--------------- hiadiblanietenniiastin 20
IEE CIID occssnnacersavoseoseusenercamersssesoneovenes 19
IED CBD anceenenecvnsscnccssccsssnccsseseseonssnsnsons 19, 20
DID cercsccccesencesnacesereresnsccnnecsencpsamnsonessens 20
IID oc cnssvansopsscsenseepeeannieanerniantionesasests 19
8 48-39-2360 (1) (&)...............---..222002....00000-0020 siete 20
ID COND eccetecsececesennonscccanennccsnanessoconsnes 19
| eee ies 19
PIII | Re euennertee EL er 3
§ 48-39-120 _................ Lua I 3
i iva Oy earns baa ee 3
EEA BRI Beale oso eae ear Cree evo 10

2

Exec. Order No. 12,630, 3 C.F.R. 555 (1989)

Miscellaneous:
W. Blackstone, Commentaries:

eee aoe ae:

Vol. 4 (1769) Sn EA ie Ail. x 15

54 Fed. Reg. 7580 (1989) . See 1
1 F. Harper, F. James & O. Gray, The ‘Lew of

Ea 5 REE RC eNO Re ee .. 22, 24

2 Kent’s Commentaries _.......... coos 14

Restatement (Second) of Torts (1979) . aad a: 15, 21, 23

§u the Supreme Court of the United States

OCTOBER TERM, 1991

No. 91-453
DAvID H. LUCAS, PETITIONER
v.

SOUTH CAROLINA COASTAL COUNCIL

ON WRIT OF CERTIORARI
TO THE SUPREME COURT OF SOUTH CAROLINA

BRIEF FOR THE
UNITED STATES AS AMICUS CURIAE
IN SUPPORT OF REVERSAL

INTEREST OF THE UNITED STATES

This case involves-a claim that application of build-
ing restrictions under South Carolina’s 1988 Beach-
front Management Act to particular beachfront lots
resulted in a taking of property within the meaning
of the Fifth Amendment. The 1988 Act was approved
by the Secretary of Commerce, through the National
Oceanographic and Atmospheric Administration, as
consistent with the Coastal Zone Management Act of
1972 (CZMA), 16 U.S.C. 1451 et seg. 54 Fed. Reg.
7580 (1989). The CZMA establishes a _ national
policy of protecting the resources of the Nation’s
coastal zone and encouraging States to adopt coastal
management programs that, 7nfer alia, seek to mini-
mize the loss of life and property caused by improper

(])

2

development in flood-prone, storm surge, and erosion-
prone areas and destruction of natural protective fea-
tures such as beaches and dunes. 16 U.S.C. 1452(2),
1456b(a) (2). In addition, the National Flood Insur-
ance Act of 1968, 42 U.S.C. 4001 et seq., administered
by the Federal Emergency Management Agency, con-
ditions availability of federal flood insurance in com-
munities on adoption of adequate flood-plain and land-
use measures that are consistent with federal stand-
ards to reduce future losses. See 42 U.S.C. 4002(b)
(3), 4022; Adolph v. FEMA, 854 F.2d 732 (5th Cir.
1988). Federal agencies also engage in direct regu-
lation that affects real property (see, e.g., Clean
Water Act, 33 U.S.C. 1344; United States v. River-
side Bayview Homes, Inc., 474 U.S. 121, 126-127
(1985) (wetlands)) and personal property (e.g.,
food, drugs, and pesticides). At the same time, the
United States has an obligation to ensure that such
programs are implemented in a manner that respects
basic constitutional protections. See Exec. Order No.
12,630, 3 C.F.R. 555 (1989) (directing the Attorney
General to assist federal agencies to minimize the ex-
tent to which their regulatory activities result in a
taking of property rights).

STATEMENT

1. In December 1986, petitioner purchased two
beachfront lots in the Wi:id Dunes development on the
Isle of Palms in South Carolina. T.R. 27.' He in-
tended to build a single-family residence on each lot,
one for his family and the other for investment. A
house had been constructed on the lot situated be-
tween petitioner’s two lots in the early 1980s; there

1“T R.” refers to the Transcript of Record that was filed
in the South Carolina Supreme Court.

3

were also houses on other nearby “cachfront lots.
Pet. App. 36.

At the time, activities along the South Carolina
coast were regulated by the State’s Coastal Zone Man-
agement Act of 1977, S.C. Code Ann. §§ 48-39-10
et seq. The 1977 Act established coastal “critical
areas,” which included the beaches and primary
ocean-front sand dunes. § 48-39-10(H), (1) and (J).
The Act directed the South Carolina Coastal Council
to develop an erosion-control policy, § 48-39-120, and
authorized the Council, under general standards, to
issue permits for development within critical areas.
S$ 48-39-130. The line delineating the “critical area”
along the Isle of Palms was seaward of petitioner’s
lots. As a result, those lots were not subject to re-
strictions under the 1977 Act when petitioner pur-
chased them in 1986. Pet. App. 33-34, 36.

2. South Carolina’s regulatory regime changed sig-
nificantly with the enactment of the Beachfront Man-
agement Act, which became effective on July 1, 19838.
The 1988 Act increased protection for the beach /dune
system by extending the “critical area” to the entire
zone hetween the mean high-water mark and a set-
back line fixed by the Council “utilizfing] the best
available scientific and _ historical data.” S.C.
Code Ann. § 48-39-280(A) (Supp. 1990); see also
§$ 48-39-10(.J) (4) (Supp. 1990). Under the statute,
the Council first must establish a “baseline.” In an
erosion zone such as that in which petitioner’s lots are
located—i.e., an inlet zone that has not been stabilized
by jetties or other structures—the baseline must be
at the most Jandward point of erosion during the past
40 years, unless available data “indicate that the
shoreline is unlikely to return to its former position.”
§ 48-39-280(A) (2) (Supp. 1990). The Council then
must establish a setback line landward of the base-

4

line by a distance 40 times the annual erosion rate,
but not less than 20 feet. § 48-39-280(B) (Supp.
1990). The 1988 Act prohibited construction of
habitable structures seaward of the baseline (and re-
construction of any preexisting structures that may
be damaged beyond repair by natural causes or fire).
$$ 48-39-300, 48-39-290(B) (8) (1988 S.C. Acts 5144,
5140); J.A. 3. As relevant here, the baseline falls
cn the road landward of petitioner’s lots. See DX 22
(J.A.9 (Map) ); T.R. 71.

3. After passage of the 1988 Act, petitioner filed
this inverse condemnation action seeking compensa-
tion for an alleged taking that resulted from applica-
tion of the new statute to his lots. Although peti-
tioner did not apply for a permit from the Council
(or the town) to construct a house on either lot
(T.R. 39-40, 98), the parties stipulated that a per-
mit would have been denied under the 1988 Act had
one been sought. The Council nonetheless “reserve[d]
as an argument concerning temporaiy damages that
no permit has been applied for by [petitioner].” J.A.
3-4.

The trial court found that at the time of purchase,
there were no restrictions imposed by the State,
county, or town on use of the lots for single-family
residences and that the 1988 Act prevented that use.
Pet. App. 36. The court determined that the Act “de-
prive[d] Lucas of any reasonable economic use of the
lots” and rendered them “valueless,” and found a
taking on that basis. Jd. at 37, 38, 40. The court
awarded petitioner $1,170,000 in compensation, rep-
resenting the fair market value of the lots on the date
the 1988 Act became effective. Jd. at 40.

4, A sharply divided South Carolina Supreme Court
reversed, holding that no taking resulted from the
1988 Act’s effect on petitioner’s lots. Pet. App. 1-32.

5

It observed that although regulatory-taking questions
are often complex, the appeal here presented a ‘“rela-
tively straightforward issue’: whether petitioner was
correct in arguing that “if he is deprived of ‘all eco-
nomically viable use’ of his property, he must te com-
pensated for it even if the regulation depriving him
of such is a use-restriction regulation enacted to pre-
vent serious public harm.” Jd. at 2-3. The court took
petitioner to have conceded the validity of the Legis-
lature’s findings and that the Act “is properly and
validly designed to preserve the extremely valuable
resource which is South Carolina’s beaches.” Id. at
4. As a result, it reasoned, petitioner also conceded
that construction “contributes to the erosion and de-
struction of this public resource” and that “‘discour-
aging new construction in close proximity to the
heach lune area is necessary to prevent a great pub-
lic harm.” /d. at 8. The court also noted that peti-
tioner did not ‘‘contend that the setback requirements
affecting him are unreasonable or disproportionate
to the goal of preventing the specified harms.” /d.
at 15.

Against this background, the court rejected peti-
tioner’s contention that he is entitled to compensa-
tion, “regardless of any other consideration.” Pet.
App. 9; see id. at 9-17. It stated that “a taking has
not been found when the regulation exists to prevent
serious public harm,” id. at 10, and explained this
result on “ ‘the simple theory that since no individual
has a right to use his property so as to create a nui-
sance or otherwise harm others, the State has not
“taken” anything when it asserts its power to enjoin
the nuisance-like activity.’ ” /bid. (quoting Keystone
Bituminous Coal Ass’n vy. DeBenedictis, 480 U.S. 470,
491 n.20 (1987)). Here, the court concluded, peti-
tioner’s failure to attack the legislative findings “that

6

new construction would cause serious public harm
* * * amounts to a concession that the Mugler ‘nui-
sance-type exception’ applies.” Pet. App. 12 (refer-
ring to Mugler v. Kansas, 123 U.S. 623 (1887) ).

The two dissenting Justices acknowledged the Mug-
ler decision and agreed that it precluded the finding
of a taking if the statute is necessary for the public’s
health, safety, and welfare, “regardless of the extent
of loss suffered by the property owner.” Pet. App.
20; see id. at 20-23. However, the dissenters believed
that the 1988 Act is “not subject to the Mugler analy-
sis” because it does not have as its primary purpose
the prevention of a nuisance or comparable harms,
but instead confers a benefit on the State by creating
a habitat for flora and fauna and a place of natural
beauty, and by “providing a barrier and buffer from
high tides, storm surge, hurricanes and normal ero-
sion.” Id. at 27. The dissenting Justices would have
found a taking on the basis of the trial court’s find-
ing that the lots lack fair market value and econom-
ically viable use. Jd. at 29-31. They then would have
remanded to the Council to allow petitioner to apply
for relief under the “special permit” provisions added
by the 1990 amendments to the 1988 Act (see pages
8-10, infra) and for an award of compensation if the
Council did not grant him one. Pet. App. 31 (citing
§ 48-39-290(D)) (Supp. 1990).

SUMMARY OF ARGUMENT

1. There is no present basis for finding a perma-
nent taking, in view of petitioner’s ability to apply
for a special permit under the 1990 amendments.
Even if petitioner is granted a special permit, how-
ever, he may still have a temporary taking claim for
the period prior to the institution of the special per-
mit procedure. This Court need not reach that claim
in the first instance, but may instead vacate the judg-

7

ment below and remand to allow the state courts to
consider the viability and validity of any such claim.

2. Government has the established right to pre-
vent certain noxious uses of property that cause
serious harm to others without compensating the
owner of the offending property, even if the prop-
erty has substantially diminished economic value in
the absence of the prohibited use. Some situations
involving total destruction of property or substantial
reduction of its value (e.g., destruction of diseased
food, condemnation of an unsafe building, or a pro-
hibition against building on an unsafe site) do not
require compensation. More generaily, regulatory
measures that substantially further the public inter-
est in preventing established nuisance-type activities
or serious harm to the public health or safety may
not require compensation. That ‘‘nuisance exception”
was well established at the time of the framing and
ratification of the Bill of Rights, and is firmly rooted
in Mugler vy. Kansas, 123 U.S. 623 (1887), and nu-
merous other decisions, as well as principles of prop-
erty rights on which those decisions rest.

The scope of this category of measures designed to
prevent an established nuisance or protect the public
health and safety, however, is by no means cotermin-
ous with the full range of a State’s police powers.
It is instead limited by the principles from which it
springs: such measures must in fact respond to seri-
ous harms to public health and safety that are sub-
stantial in nature, degree, proximity, and context.
The South Carolina Supreme Court did not adequately
consider whether the restrictions imposed on petition-
er’s lots meet this standard. That inquiry is par-
ticularly important here, where petitioner’s two lots
are in a highly developed area, the State’s own recent
amendments contemplate building in some circum-

8

stances, and petitioner seeks to engage in a normally
unobjectionable use—building single-family residences
next to other single-family residences. These factors
combine to cast considerable doubt on whether the
regulatory regime erected by South Carolina in 1988
is properly viewed as directed at a nuisance or threat
to safety. A legislature’s routine exercise of the
police power may not be brought within the “nui-
sance exception” to normal application of takings
analysis simply by incantation of the words “health
and safety”; such an approach would render the Just
Compensation Clause a hollow guarantee.

3. If a statute does not fall within the narrow
category of laws designed to abate a nuisance or
similar public health and safety threat, whether it
amounts to a taking requires a careful assessment of
the three factors the Court has identified in its regu-
latory-takings decisions: the regulation’s economic
impact, the character of the governmental action, and
the extent to which it interferes with reasonable, in-
vestment-backed expectations.

ARGUMENT

I. THIS CASE SHOULD BE CONSIDERED IN LIGHT
OF THE SPECIAL PERMIT PROVISIONS EN-
ACTED BY THE 1999 AMENDMENTS TO THE 1988
BEACHFRONT MANAGEMENT ACT

There no ionger is any live claim of a permanent
taking in this case. The trial court found that the
1988 Beachfront Management Act resulted in a per-
manent taking of petitioner’s lots because it entirely
prevented him from building houses on them, render-
ing them valueless. Pet. App. 37, 40. As the dissent-
ing Justices in the South Carolina Supreme Court
pointed out (id. at 31), however, the 1990 amend-
ments to that Act now authorize the Coastal Council

9

to issue a “special permit” to build or rebuild a struc-
ture (other than an erosion-control device) seaward
of the baseline, if (1) the structure would not be on
the active beach or a primary oceanfront dune, (2)
the permittee agrees to remove the structure should
erosion occur to the extent that the structure becomes
situated on the active beach (see § 48-39-270(13)
(Supp. 1990)), and (3) the use would not be detri-
mental to the public health, safety, or welfare.
§ 48-39-290(D) (Supp. 1990). Petitioner has not
sought a special permit under this provision. See Br.
in Opp. 5.

This Court has repeatedly admonished that a prop-
erty owner has no ripe and justiciable claim for a
regulatory taking until he has secured at least a final
administrative determination of whether and how
the regulatory statute will be applied to the prop-
erty at issue. United States v. Riverside Bayview
Homes, Inc., 474 U.S. 121, 126-127 (1985). This
rule is “compelled by the very nature of the inquiry
required by the Just Compensation Clause,” because
the factors applied in deciding a taking claim “simply
cannot be evaluated until the administrative agency
has arrived at a final, definitive position regarding
how it will apply the regulations at issue to the
particular land in question.” Williamson County
Regional Planning Comm'n v. Hamilton Bank, 473
U.S. 172, 190, 191 (1985). See MacDonald, Sommer
& Frates vy. County of Yolo, 477 U.S. 340, 348 (1986)
(“A court cannot determine whether a regulation
has gone ‘too far’ unless it knows how far the regu-
lation goes.”). This requirement defines the point at
which a taking claim accrues; identifies precisely
what the landowner wants to do with his property
and why he believes that the use would not be harm-
ful; establishes the extent to which the agency has

10

applied the regulatory measure to defeat the proposed
use; and enables the agency to furnish particularized
reasons to support its action. The issue of whether a
permanent taking has occurred simply cannot be ad-
dressed until the applicability of the 1990 amend-
ment procedure to petitioner’s lots is clarified.

There remains, of course, the question whether a
temporary taking occurred between passage of the
1988 Act and the 1990 amendments. This quite dis-
tinct issue of a temporary taking was not addressed
by either court below. In fact, although the Council
stipulated at trial (in connection with the permanent
taking claim) that an application for a permit to
build a home would have been denied under the 1988
Act, it expressly “reserve[d] as an argument con-
cerning temporary damages that no permit has been
applied for by [petitioner].” J.A. 3-4.

Thus, the Council apparently has preserved the
position that no temporary taking can be found under
its regulatory scheme unless the owner has applied
for and been denied a permit. See also § 48-39-180.
This ripeness argument, and other aspects of any
temporary taking claim (including whether petitioner
was deprived of any existing or planned use of the
property during the relevant period), should be re-
solved by the state courts in the first instance. Al-
though the South Carolina Supreme Court declined
to remand in light of the 1990 amendments (Pet.
Reply Br. 3; see Pet. App. 17 n.8), this Court
might chocse to vacate the judgment below and re-
mand for further consideration in light of those
amendments—especially in view of possible threshold
impediments to a temporary taking claim, the narrow
focus of petitioner’s argument to date, and the failure
by the courts below fully to consider the relevant
aspects of the taking issue.

11

II. A LIMITED CATEGORY OF REGULATORY MEAS-
URES DESIGNED TO PREVENT NUISANCES OR
OTHER SERIOUS HARMS TO PUBLIC HEALTH
OR SAFETY DO NOT CONSTITUTE A TAKING
EVEN IF THE VALUE OF AFFECTED PROPERTY
IS SUBSTANTIALLY DIMINISHED

The Just Compensation Clause of the Fifth Amend-
ment affords vital protection to individual liberty by
protecting private property rights against invasion
by the government. At the same time, the govern-
ment has the right to abate nuisances and prevent
harm to public health and safety without incurring
an obligation to compensate those whose uses are
affected, and ownership of private property has never
been understood to include the right to engage in
noxious uses harmful to public health and safety.
The tension between these principles is especially
acute where, as the trial court found here under the
1988 Act, a governmental action has a dramatic eco-
nomic impact on a particular parcel of property.
Accordingly, the category of situations that fall within
the government’s authority to abate nuisance-type
activities must be carefully circumscribed so as not
to eviscerate the protections of the Just Compensa-
tion Clause.

The proper accommodation lies, we submit, in the
roots of the Mugler principle itself, which recognizes
the established need of the government to respond to
certain noxious uses of property that affect the per-
sons and property of others, as well as similar actions
that threaten identified harm to public health and
safety. To justify a finding of no taking on the
Mugler principle alone, the regulatory measure must
substantially further an established nuisance-preven-
tion or public health and safety purpose, in terms of
the nature, degree, proximity, and context of the

12

harm concerned. Such measures plainly do not extend
to embrace the full range of a State’s police powers,
and when government engages in legitimate regula-
tion that is not properly characterized as prevention
of such established nuisance-type harms, it may not
rely on the Mugler principle to immunize itself from
compensation demands.

1. It is clear as an initial matter that there exists
some category of governmental authority that may
result in the substantial diminution of property val-
ues, and yet not require payment of compensation as
a condition to its lawful exercise. For example, the
government may seize and destroy unwholesome foods
and unsafe drugs, and may destroy goods to prevent
the spread of disease.’ Similarly, under the Controlled
Substances Act, 21 U.S.C. 801 et seq., it may be
lawful to manufacture, possess and sell a certain drug
one day and a felony to do so the next (see, e.g.,
Touby vy. United States, 111 S. Ct. 1752 (1991)),
with the result that existing stocks are rendered
valueless. The government’s ability to protect the
public through such measures is historically well es-
tablished and thus has not been conditioned upon pay-
ment of compensation to those who would inflict the
harm.’

* See, e.g., Federal Food, Drug and Cosmetic Act, 21 U.S.C.
301 et seq.; Federal Meat Inspection Act, 21 U.S.C. 601 et seq.;
Poultry Products Inspection Act, 21 U.S.C. 451 et seq.; 21
U.S.C. 350a (prohibiting sale of adulterated infant formula) ;
see also Federal Insecticide, Fungicide, and Rodenticide Act,
7 U.S.C. 136 et seq.

5 See 4 W. Blackstone, Commentaries 162 (1769) (statutes
prohibiting sale of unwholesome food) ; Russell v. Mayor, etc..,
of New York, 2 Denio 461, 476 (1845) (New York statute
passcd during cholera epidemic authorizing destruction of

13

The same principle also applies to real property.
Thus, the government may condemn a residence or
other building that is unsafe for habitation, even
though the value of the building (in itself a distinct
species of property) will be entirely destroyed, or
may bar construction in an unsafe manner (e.g., by
requiring compliance with a building code), even
where compliance would render it economically un-
viable to proceed. Restrictions against siting a resi-
dence or other building on a steep slope or other un-
safe location stand on an equal footing. In other
circumstances, affirmative obligations imposed on the
owner to protect public health and safety may also
have a substantial effect on the value of the prop-
erty. See Midlantic Nat’l Bank v. New Jersey Dep’t
of Environmental Protection, 474 U.S. 494, 502, 509
& n.2 (1986). Another familiar example, deeply
rooted in history, is the right of the government (with-
out compensating the owner) to tear down a struc-

“an unlimited amount of the property of its citizens, for the
purpose of preventing the spread of the disease, without
imposing any obligation or subjecting [the agents] to any
responsibility whatever’); Gilman v. Philadelphia, 70 U.S.
(3 Wall.) 713, 730-731 (1865) (“a bale of goods, * * * laden
with infection, may be seized under ‘health laws,’ and if it
cannot be purged of its poison, may be committed to the
flames”); Sligh v. Kirkwood, 237 U.S. 52, 59-60 (1915)
(such items are not “legitimate subjects of trade or com-
merce” and “may be rightly outlawed as intrinsically and
directly the immediate sources and causes of destruction to
human health and life’); Empire Kosher Poultry, Inc. V.
Hallowell, 816 F.2d 907 (3d Cir. 1987) (no taking in con-
text of poultry quarantine) ; but cf. Yancey v. United States,
915 F.2d 1534 (Fed. Cir. 1990) ; but see McDougal v. County
of Imperial, 942 F.2d 668, 675-680 (9th Cir. 1991) (remand-
ing for inquiry into substantiality of public interest under-
lying floodway ordinance, as well as private interest affected).

14

ture in order to create a firebreak. See Respublica
v. Sparhawk, 1 U.S. (1 Dall.) 357, 362 (Pa. 1788)
(“Houses may be razed, to prevent the spreading
of fire, because for the public good.”) ; Stone v. Mayor
& Aldermen, 25 Wend. 157, 161 (N.Y. 1840) (quot-
ing 2 Kent’s Commentaries 339); id. at 173-174; *
Bowditch vy. Boston, 101 U.S. 16, 18-19 (1879);°
Pennsylvania Coal Co. v. Mahon, 260 U.S. 393, 415-
416 (1922); see also United States vy. Caltex, Inc.,
344 U.S. 149, 154 (1952).

2. The roots of the foregoing principles extend
deep into the Court’s precedents and historical defi-
nitions of private property rights, and into the cor-
relative power of the government to abate nuisances
and protect public health and safety from serious
harm.® This backdrop is important because historical

‘See also 25 Wend. at 176 (citing Mouse’s Case, 12 Coke
Rep. 62 (merchandise thrown overboard to save passengers) ).

5“At the common law every one had the right to destroy
real and personal property, in cases of actual necessity, to
prevent the spreading of a fire, and there was no responsi-
bility on the part of such destroyer, and no remedy for
the owner. * * * There are many other cases besides that
of fire,—-sume of them involving the destruction of life it-
self,—where the same rule is applied. * * * In these cases
the common law adopts the principle of the natural law, and
finds the right and the justification in the same imperative
necessity.” 101 U.S. at 18-19.

* See The License Cases, 46 U.S. (5 How.) 504, 589 (1847)
(opinion of McLean, J.) :

The acknowledged police power of a State extends
often to the destruction of property. A nuisance may
be abated. * * * It is a power essential to self-preser-
vation, and exists, necessarily, in every organized
community.

15

understandings give content to the Bill of Rights,
including the Fifth Amendment (see, e.g., Griffin v.
United States, No. 90-6352 (Dec. 3, 1991), slip op.
3-5), and because those understandings must be
taken into account in assessing what the Framers
understood the private property they were protecting
from uncompensated takings to include. If the use
of property in a particular way was not part of
the owner’s “bundle” at the time he acquired the prop-
erty, he cannot claim the government has “taken”
from him the right to that use.

The necessary interrelationship between property
rights and the correlative power of the government
to protect the person and property of others (and the
public interest) first received extensive treatment by
this Court in Mugler v. Kansas, 123 U.S. 623 (1887).’
But the principles applied in Mugler did not originate
in that case; they find their roots in the law of nui-
sance in England * and were already widely accepted
in the law of the States pertaining to property rights

7See also 128 U.S. at 666-667, discussing Fertilizing Co.
Vv. Hyde Park, 97 U.S. 659, 667 (1878), which sustained an
ordinance prohibiting the manufacture of fertilizer, even
though it “operated to destroy the business of the company,
and seriously to impair the value of its property,” because
it had become a nuisance. 123 U.S. at 667. The Court con-
tinued: “ ‘That power belonged to the States when the Fed-
eral Constitution was adopted. They did not surrender it,
and they all have it now. * * * It rests upon the funda-
mental principle that every one shall so use his own as not
to wrong and injure another. To regulate and abate nuisances
is one of its ordinary functions.’” Jbid. (quoting 97 U.S.
at 667).

®3 W. Blackstone, Commentaries 216-218 (1768); 4 id. at
168; Restatement (Second) of Torts § 821B, comment a; id.
$ 821D, comment a (1979).

16

and constitutional protections.’ For example, in Stuy-
vesant v. Mayor &c. of New York, 7 Cow. 588 (1827),
the New York Supreme Court sustained an ordi-
nance that barred interment in certain parts of the
City. Accord, Laurel Hill Cemetery v. San Francisco,
216 U.S. 358, 366 (1910); Appeal of Kincaid, 66 Pa.
411, 423-424 (1870). In addition, the Court in Mug-
ler relied (123 U.S. at 665) on the frequently cited
decision of the Supreme Judicial Court of Massa-
chusetts in Commonwealth v. Alger, 61 Mass. 53
(1851), which involved an ordinance barring con-
struction of wharves beyond a harbor line and de-
claring such wharves to be a nuisance. Similarly,
and instructive here, Commonwealth v. Tewksbury,
52 Mass. 55 (1846), sustained, as applied to the
owner of beach property, an ordinance barring re-
moval of sand or gravel from a beach. Because prop-
erty “is held under the implied obligation that the
owner’s use of it shall not be injurious to the com-
munity” (Mugler, 123 U.S. at 665), the power
of the government to adopt such measures continues
to exist—and continues to define and limit the under-
lving property right—even if it remains unexercised.
So long as the government regulation does not depart
from the common law origins of nuisance, there is no
taking.”

® See, e.g., People v. Hawley, 3 Mich. 330, 342 (1854);
Pumpelly Vv. Greenbay Co., 80 U.S. (13 Wall.) 166, 177-178
(1872).

See also Stuyvesant v. Mayor &c. of New York, 7 Cow. at
695; Commonwealth v. Alger, 61 Mass. at 84-85.

'' Nor have this Court’s post-Mugler decisions suggested
any departure from Mugler’s fundamental principles. See
MTadacheck Vv. Sebastian, 239 U.S. 394 (1915) (no taking
where law forbade operating brickyard in residential! area) ;
Reinman Vv. City of Little Rock, 237 U.S. 171 (1915) (no

17

Ill. THE CATEGORY OF MEASURES THAT DO NOT
CONSTITUTE A TAKING SOLELY BECAUSE
THEY ARE DESIGNED TO PREVENT NUISANCES
AND OTHER HARMFUL USES OF PROPERTY
MUST BE LIMITED BY REFERENCE TO THE
NATURE, DEGREE, PROXIMITY AND CONTEXT
OF THE HARM

For the reasons stated in Point II, we agree with
the view—endorsed by all Justices of the South Caro-
lina Supreme Court— that there is a category, prop-
erly defined, of regulatory measures designed to pre-
vent nuisances or harm to public health and safety
that do not constitute a taking, even if, in certain
circumstances, they substantially diminish the value
of the affected property. But it is precisely because
of this potential impact that the category of cases
falling under the Mugler principle must be carefully
circumscribed according to the underlying exigencies
that justify it. That is esp>_ially so as regards real
property, which typically is not subject to the sort of
pervasive regulation—or the potential for such
regulation—that often attends ordinary commerce
in goods and services. It is on the application of
these principles here that we disagree with the South
Carolina Supreme Court.

1. In the first place, as this Court has made clear,
the category of regulatory measures whose applica-

taking where law forbade operating livery stable in down-
town area); Miller v. Schoene, 276 U.S. 272 (1928) (state
required destruction of cedar trees to protect apple trees
from cedar rust disease, where apples were an economically
important crop) ; Goldblatt v. Town of Hempstead, 369 U.S.
590 (1962) (no taking where law forbade e::cavation of sand
and gravel below water line to protect public water supply) ;
see also Keystone Bituminous Coal Ass'n V. DeBenedictis,
480 U.S. 470, 488-492 (1987).

18

tion may be justified (without payment of compen-
sation) solely on the Mugler rationale “ ‘is not co-
terminous with the police power itself.’” Keystone,
480 U.S. at 491 n.20 (quoting Penn Central Transp.
Co. v. New York City, 438 U.S. 104, 145 (1978)
(Rehnquist, J., dissenting) ); see also 480 U.S. at
512 (Rehnquist, C.J., dissenting). The general rule
is that the takings implications of a regulatory
measure must be analvzed under the Court’s three-
factor test, under which the purpose of the regulation
is not dispositive. See pages 25-26, infra. Otherwise,
the police power would swallow the Just Compensa-
tion Clause.

The Mugler principle, rather, is confined to meas-
ures that are designed to protect public health and
safety frum serious harm or to prevent or abate a
nuisance-type activity. It is essential, moreover, that
the tvpe of nuisance measures falling within this
category be defined in an objective and non-manipula-
ble manner, for otherwise a legislature could circum-
vent the Just Compensation Clause in the regulatory
context simply by designating as a nuisance whatever
use of property it wished to restrict. Thus, although
the Court has noted that legislatures are not strictly
limited by common-law categories in determining
what constitutes a nuisance for these purposes, Miller
v. Schoene, 276 U.S. at 280, the common law origins
of the rule should inform a court’s review of a statute
to determine whether it falls under the Mugler prin-
ciple. Accordingly, before concluding that Mugler
applies, a reviewing court must determine that the
statute is rooted in the principle that individuals may
not make a “noxious use of their property, to inflict
injury upon the community.” Mugler, 123 U.S. at
669. A landowner could not reasonably have ex-
pected to put his property to such a use. By contrast,

19

regulatory measures (such as a typical zoning ordi-
nance) that restrict one person’s use of his property
in order to confer a benefit on adjacent property
owners or the public at large do not constitute the
abatement or prevention of a nuisance for purposes
of the A/Jugler principle. Compare 3 W. Blackstone,
supra, at 217 (“But depriving one of a mere matter
of pleasure, as of a fine prospect, by building a wall,
or the like: this, as it abridges nothing really con-
venient or necessary, is no injury to the sufferer, and
is therefore not an actionable nuisance.”). Such reg-
ulatory efforts must be analyzed under the usual
three-factor test to determine whether the government
must compensate affected landowners.

The court below purported to recognize this point,
stressing that it was not holding that the mere fact
that the State acted pursuant to its police power
ended the inquiry, but rather that no taking occurs
when a State “acts to prevent a serious public harm.”
Pet. App. 11. The difficulty is that the legislative
findings and policies in the 1988 Act on which the
court exclusively relied in rejecting petitioner’s tak-
ing claim demonstrate that the Act furthers a num-
ber of ultimate purposes, only some of which might
fall within the nuisance or safety rationale. Compare
Keystone, 480 U.S. at 512-513 (Rehnquist, C.J.,
(dissenting). The Act recites, for example, that the
beach dune system it seeks to protect provides a basis
for the State’s tourism industry (which contributes
substantially to the State’s economy and tax base)
and a natural environment for the well-being of its
citizens, and that it is in the public interest to pro-
mote increased public access to the State’s beaches.
S.C. Code Ann, § 48-39-250(1)(b) and (d), (8)
(Supp. 1990); see also § 48-39-260(1)(b) and (c),

20

(6) (Supp. 1990). Achievement of these goals may
benefit the people and economy of the State, but
they plainly do not, in themselves, bring this case
under the Mugler doctrine. The nuisance exception
. to the usual regulatory-taking analysis is premised on
the prevention of harmful or dangerous uses of prop-
erty—in the nature of nuisance—and not on the
conferral of benefits on the public at large or owners
of adjacent property. By contrast, other stated pur-
poses of the Act—such as protection of life and
property—are of the sort that, in proper circum-
stances, do fall within the Mugler doctrine. See
$$ 48-39-250(1) (a) and (d), (3), 48-39-260(1) (a),
(3), and (4) (Supp. 1990); see also 16 U.S.C.
1452(2) and 1456b(a) (2) (CZMA provisions stating
comparable goals).

For these reasons, a more searching inquiry was
required at the threshold to determine which of the
purposes of the Act were actually implicated in appli-
cation of the building restrictions to petitioner’s lots,
and whether those purposes are of a sort that fall
within the Mugler category of nuisance-prevention or
efforts to protect public health and safety from serious
harm. In cases where a statute serves a variety of
collateral purposes, there is the potential that it goes
“beyond the necessities of the case,” Chicago, B. &
Q. Ry. v. United States, 200 U.S. 561, 593 (1906),
and scrutiny of the fit between means and ends is
_ necessary to ensure that the affected property owner
is not being asked to bear “more than his just share
of the burdens of government.” Monongahela Naviqa-
tion Co. v. United States, 148 U.S. 312, 325 (1893).

2. Furthermore, a regulatory statute is not im-
mune from a lifth Amendment claim merely because
it bears some plausible nexus to the prevention of

21

harm to individuals, property, or the public at large.
If that were enough, the established principle that a
house may be razed to prevent the spread of a fire
(see pages 13-14, supra) could be extended to permit
the razing of every other house in an existing row,
to prevent the spread of a fire if one should occur.
See Keystone, 480 U.S. at 513 (Rehnquist, C.J., dis-
senting) (“nearly every action the government takes
is intended to secure for the public an extra measure
of ‘health, safety, and welfare’”’). Thus, the founda-
tion of the Mugler doctrine requires that, in order
for the doctrine to apply, “a statute purporting to
have been enacted to protect the public health, the
public morals, or the public safety” must actually
have a “real and substantial relation” to those ob-
jects. Mugler, 123 U.S. at 661; Chicago, B. & Q. Ry.
v. United States, 200 U.S. at 593 (“real” and “sub-
stantial” relation); ef. Nollan v. California Coastal
Comm'n, 483 U.S. 825, 834-835 (1987) (condition
must “substantially advance” the state interest).
At least where its application to a particular parcel
of real property precludes previously unrestricted
uses, a determination of whether the requisite “real
and substantial relation” exists requires an assess-
ment of the degree of the harm to which the statute
is addressed '-—and, where the harm will occur (if
at all) only in the future, its likelihood and proximity.

' This principle is an established element of modern tort
law as well. See Restatement (Second) of Torts § 821B
(1979) (a public nuisance is an “unreasonable” interference
with a right common to the general public, and a relevant
circumstance in making that determination is whether the
conduct involves a “significant interference” with, inter alia,
public health or safety) ; id. § 821F (liability for a nuisance
only to those to whom it causes “significant harm’’) ; id. § 826
(invasion of another’s use and enjoyment of land is unreason-

22

In this case, the 1988 Act prohibited new construc-
tion of any but temporary buildings seaward of a
baseline fixed by the Coastal Council. In an erosion
zone such as that in which the Wild Dunes develop-
ment is located, the baseline was to be fixed at the
landward-most point of erosion during the past 40
years, unless the available data indicated that the
shoreline would be unlikely to return to its former
position. See pages 3-4, supra. Application of this
statutory formula placed the baseline on the road
landward of petitioner’s lots, and petitioner has not
challenged that determination. T.R. 40. In addition,
the Council introduced evidence at trial concerning
the factual premises for the location of the baseline,
recent episodes of erosion in the vicinity, and the
possibility that erosion might occur to the extent that
petitioner’s premises would be situated on active
beach. T.R. 65-88, 99-104. However, neither the trial
court nor the South Carolina Supreme Court dis-
cussed the statutory requirements for drawing the
baseline, the relationship of those requirements to
purposes of the Act that might fall within the cate-
gory of nuisance-prevention or public health and
safety measures covered by the Mugler principle, the
extent (if any) to which those purposes were ad-
dressed by the location of the baseline as it affected
petitioner’s lots, or the degree, likelihood, or prox-

able if “the gravity of the harm outweighs the utility of
the actor’s conduct” or “the harm caused by the conduct
is serious and the financial burden of compensating for this
and similar harm to others would not make the continuation
of the conduct not feasible’); 1 F. Harper, F. James & O.
Gray, The Law of Torts § 1.23, at 81 (1986) (a “requirement
common to all private nuisance cases is that the interference
must be substantial’).

23

imity of the identifiable harms to which the Act is
addressed.

3. In addition, an important element of the nui-
sance justification for application of the Mugler prin-
ciple is the context in which the restriction applies,
including the normal uses of property in the vicinity.
This important element serves to protect the reason-
able expectations of the property owner. As this
Court said in Euclid v. Ambler Realty Co., 272 U.S.
365, 388 (1926):

[T]he question whether the power exists to for-
bid the erection of a building of a particular kind
or for a particular use, like the question whether
a particular thing is a nuisance, is to be deter-
mined, not by an abstract consideration of the
building or of the thing considered apart, but by
considering it in connection with the circum-
stances and the locality.

See also Commonwealth v. Alger, 61 Mass. at 8&8;
Restatement (Second) of Torts § 831 (1979).

It is as an initial matter strange to characterize
the building of a single-family residence as a “nui-
sance.”’ Here, houses have been built adjacent to pe-
titioner’s lots. It is stranger still to characterize as
a “nuisance” the building of a house on a lot in a
platted subdivision along a beach where other houses
are already located.’ In this respect, this case ap-
pears to be the mirror image of Hadacheck v. Sebas-
tian, 239 U.S. 394 (1915), and Reinman vy. City of

'’ The owners of existing houses were affected by the 1988
Act to some extent, however, because it prohibited recon-
~ struction of homes that might thereafter be destroyed by fire
or natural causes. § 48-39-290(A) (Supp. 1990) (Pet. App.
116); see Esposito Vv. South Carolina Coastal Comm’n, 939
F.2d 165 (4th Cir. 1991).

24

Little Rock, 237 U.S. 171 (1915), where the use was
prohibited because it was inconsistent with surround-
ing uses. Furthermore, where a statute uniquely pro-
hibits a use of property that is permitted on adjacent
parcels, the purposes of the Just Compensation Clause
are directly implicated, because the owner is being
asked to “surrender[] to the public something more
and different from that which is exacted from other
members of the public.” Monongahela Navigation
Co. v. United States, 148 U.S. 312, 325 (1893). See
also Nollan, 483 U.S. at 835-836 n.4; ef. Common-
wealth vy. Alger, 61 Mass. at 102 (“If such restraint
were in fact imposed upon the estate of one proprietor
only, out of several estates on the same line of shore,
the objection would be much more formidable.’’).

4, Finally, in order for a taking claim to be re-
jected on the basis of the Mugler principle alone, a
measure designed to abate or prevent a nuisance-type
activity in the present context should, where feasible,
be tailored to address the identified harm to the per-
son or property of others (or to public health and
safety), while minimizing the impact on the affected
property. Cf. 1 F. Harper, F. James & O. Gray,
supra, § 1.30, at 126-127; Chenango Bridge Co. v.
Page, 83 N.Y. 178 (1880); Babcock v. City of Buff-
alo, 56 N.Y. 268, 272-273 (1874). Here, the 1990
amendments demonstrate that such tailoring was
feasible, for they provide for issuance of a special per-
mit to build a house seaward of the baseline, subject
to the condition that the structure be removed if ero-
sion occurs to the point that the structure becomes
situated on active beach—at which point the attend-
ant nuisance and safety concerns presumably would
be most directly implicated. For this reason as well,
the case should be remanded for further consideration

25

of petitioner’s taking claim in light of the 1990
amendments.

5. If the South Carolina Supreme Court concludes
on remand that application of the 1988 Act to peti-
tioner’s lots cannot be justified (without payment of
compensation) on the basis of the Mugler doctrine
alone, it should evaluate the case under the multi-
faceted analysis the Court has brought to bear on the
question whether a taking has occurred in the regula-
tory context. In that setting, ‘no precise rule deter-
mines when property has been taken,” and “the ques-
tion necessarily requires a weighing of private and
public interests.” Agins v. City of Tiburon, 447 U.S.
255, 260-261 (1980); see also Goldblatt v. Town of
Hempstead, 369 U.S. 590, 593-594 (1962); Pennsyl-
vania Coal Co. v. Mahon, 260 U.S. at 416 (taking
issue is “a question of degree—and therefore cannot
be disposed of by general propositions”’ ).

This approach reflects the wide range of govern-
mental actions and resulting impacts upon private
property interests in which the question may arise.
Although the Court has been “unable to develop any
‘set formula’” for this purpose, Penn Central, 438
U.S. at 124, it has identified three factors that are
relevant to the inquiry: (1) “the economic impact
of the regulation on the claimant’; (2) ‘the extent
to which the regulation has interfered with distinct
investment-backed expectations”; and (3) “the char-
acter of the government action.” Jbid.; Connolly v.
PBGC, 475 U.S. 211, 225 (1986) ; Williamson County,
473 U.©. at 191; Kaiser Aetna v. United States,
444 U.S. 164, 175 (1979). Although the South Caro-
lina Supreme Court adverted to these factors (Pet.
App. 9), it did not fully consider them, since it dis-
posed of the case in reliance on Mugler. The trial
court focused on the economic impact of the 1988 Act

26

on petitioner, but did not address the purposes served
by the Act or the extent and reasonableness of peti-
tioner’s investment-backed expectations concerning
his lots. Pet. App. 39-40. These issues are properly
left, as an initial matter, to the state courts on re-

mand.

CONCLUSION

The judgment of the Supreme Court of South Car-
olina should be vacated and the case remanded for

further proceedings.

Respectfully submitted.

JANUARY 1992

KENNETH W. STARR
Solicitor General

BARRY M. HARTMAN
Acting Assistant Attorney General

LAWRENCE G. WALLACE
Deputy Solicitor General

ROGER CLEGG
Deputy Assistant Attorney General

BENEDICT S. COHEN
Acting Deputy Assistant Attorney
General

EDWIN S. KNEEDLER
Assistant to the Solicitor General

PETER R. STEENLAND
JAMES E. BROOKSHIRE
JOHN A. BRYSON
MARTIN W. MATZEN
Attorneys

WY U.S. GOVERNMENT PRINTING office; 1992 312324 45240

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385013_0184%3A10. Public record. Not legal advice.
