But it Wasn’t My Fault! The Scope of the Zoning Estoppel Doctrine

Abstract

Zoning Estoppel is a claim in that may be argued by those who, in reliance on an invalid permit issued to them, expended substantial sums of money relying on the permit, later to have their permit revoked for invalidity. This claim is asking the courts to estop the municipality from their power to revoke the permit. Since this is a state-based claim in equity, there is no per se rule that courts use to analyze an estoppel claim other than fairness and equity to the permittee. As such, jurisdictions appear to approach the issue differently, resulting in a doctrine that has a reputation of being opaque, unpredictably applied, and often difficult to attain. This Note argues that while the Zoning Estoppel doctrine is often viewed as unavailable to recipients of illegal permits, courts do in fact invoke this doctrine. Though it seems as if there is no consistency with the way in which the doctrine is invoked, this Note further proposes that courts can and should find estoppel when the facts of the case satisfy four factual categories. Part I of this Note describes the nature and elements of an estoppel claim, the permit process, and the vested rights doctrine. Part II demonstrates the doctrine as applied in the courts, indicating issues courts face when ruling on an estoppel claim. Part III of this Note proposes that this blurred doctrine is not as ambiguous as it appears, and can be understood by analyzing the circumstances of each case. Specifically, it proposes a test consisting of four factual categories that tend to be determinative when courts are confronted with claims for equitable estoppel, and argues that courts should examine the facts of a zoning estoppel claim through these four factual categories. Finally, Part IV discusses the benefits and potential implications of adopting the test. Ultimately, assessing an estoppel claim through these four factors would create more consistency in applying the estoppel doctrine, and would make a successful claim by a developer or landowner more tenable.