BigBox Stores, Inc., has just purchased 100 acres of land in Happyville. The town, fearful of a huge chain store ruining the economy and putting local retailers out of business, quickly passes an ordinance restricting the size of any new buildings to no more than 5,000 square feet. The typical BigBox store averages approximately 100,000 square feet. Does the town of Happyville have the right to enact a zoning restriction of this nature?

What will be an ideal response?


Ordinarily, a municipality has the right to enact zoning ordinances for the regulation of real property use in its jurisdiction. This protects property values by keeping industry, retail, and residential areas separate. Ordinances may also be passed that apply to aesthetics as long as aesthetics are not the sole factor in the decision to create the zoning restriction. This ordinance, as passed, is so overreaching that it deprives BigBox of the entire economic value of the land. Therefore, the ordinance constitutes a taking of BigBox's property rights and would likely be overturned if BigBox brings suit.

Business

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