Challenge to Rent Control Ordinance

In Guggenheim v. City of Goleta, No. 06-56306, an action against the City of Santa Barbara claiming that its rent control ordinance was a taking of plaintiffs’ property without compensation, and asserting numerous other claims, the court affirmed summary judgment for defendants where 1) leaving the ordinance in place impairs no investment-backed expectations of plaintiffs, but nullifying it would destroy the value these tenants thought they were buying; and 2) the ordinance protected owners of mobile homes from the leverage owners of the pads have, to collect a premium reflecting the cost of moving the mobile home on top of the market value of use of the land, which was a legitimate government purpose, related to but distinct from lowering housing prices for all renters.

 

Related Resources

Read the Ninth Circuit’s Decision in Guggenheim v. City of Goleta, No. 06-56306

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