T hi s di s pos i t i on i s notappr opr i a t e f orpubl i c a t i on a nd i s notpr e c e de nt * e xc e pta s pr ovi de d byN i nth C i r c ui tR ul e 36- 3. NOT F OR P UB L I CAT I ON UN I TE D STATE S C OU RT OF APPE ALS FOR T HE NI NTH CI RC UI T SI ERRA N EV A D A SW EN TERPRI SES, L T D . , a N ev ad a l i m i t ed co m p an y; N E V A D A N O R T H W E S T , L L C , aN e va da l i m i t ed l i ab i l i ty co m p an y, P l ai n t i ffs - A p p el l an t s, v. D O U G L A S C O U N T Y , a pol i t i ca l s u b d i v i s i o n o f

th e St a t e o f

Ne v a d a ; T. M I C H A E L B R O W N , D o u g la s C o u n ty M anager, i n h i s off

i ci al and i nd i vi du al c ap a c ity ; M I M I R O S S , D o u g la s C o u n ty C om m un i ty D evel op m entD i re ct or, i n h er o ffi ci al an d i n d i v i d u al cap aci ty; M IC H A E L A . O L S O N ; D A V ID J. BR AD Y; NA NCY M c DERM I D; GREG L YN N; DO UG N. J OH NS ON , D efen d an t s - A p p el l ees, P E R I E N T E R P R I S E S , L L C , aN e va da l i m i t ed l i ab i l i ty co m p an y, a nd R e a l- p a rty - in - in te r e s t - A pp el l ee . N o. 11- 16451 D . C . N o . 3 : 1 0 -cv -0 0 3 5 4 -R C JR AM ME MOR AN DU M * 

# FI LED FEB 04 2 013 M OLLY C. DW Y ER, CLERK U . S. C O U R T OF APPE ALST he H onor abl e L y nn S . A de l m a n, U ni t e d S t a t e s D i s tr i c tJ udge f orthe ** E a s t e rn D i s tr i c tof

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o rn ia B ef ore: T A S H IM A and G R A B E R , C i rc ui tJudg es , and A D E L M A N , D i stri ct ** Judg e. Pl a i n t i f

f s Si e rr aN e v a d aSW En t e rp r i s e s , Lt d . , a n d N e v a d aN o rth w e s t , LLC, w h o o w n a n d d e v e l o p l a n d i n N e v a d a , c o mme n c e d th i s a c t i o n u n d e r4 2 U . S. C. § 1 9 8 3 fo r al l eg ed v i o l at i o n s o f th ei r fed eral co n st i tu t i o n al ri g h t s b y D e f e n d a n ts D ougl a s C ounty( " C ounty " ) , T . M i c ha e l B r ow n, M i m i M os s , M i c ha e l A . O l s on, D avi d J. B ra dy, N ancyM cD erm i d, G re g L ynn, and D ou g N . John son. P l ai nt i ff s cl ai m thatD ef

endant s’ approv al of ade ve l opm e nta gr e e m e nta nd a m e ndm e ntof the C ou nty’ s m as t erzoni ng pl an, t o the benefi tof re al -party- i n-i nt er es tP er i E nt erpri se s, L L C , vi ol at ed thei r r i gh t s t o d ue process and equ al prot ec t i on un der the F ourt e e nth A m e ndm e nta nd e f f e c t e d a n unc om pe ns a t e d t a ki ng i n vi ol a t i on of th e F if th A m e n d m e n t.3

T h e d i stri ctco u rtg ran t ed D efen d an t s’ m o t i o n fo r j u d g m en to n th e p l ead i n g s, a n d P la in tif

f s tim e lyap p e a l. R e vi e w i ng de novo, H a rr i s v. C nty . of O r a nge , 682 F . 3d 1126, 1131 ( 9th C i r . 2012) , w e a f f i rm. 1 . W e a s s u m e , w ith o u t d e c id in g , th a t th e tr a n s f e rr ab le d e v e lo p m e n t r ig h ts ( " T D R s " ) c r e a te d b ys e c tio n 2 0 .5 0 0 o f th e D o u g la s C o u n tyC o d e c o n s titu te p ro p erty ri g h t s fo r p u rp o ses o f th i s fed eral co n st i tu t i o n al an al ysi s. 2 . T h e d i stri ctco u rtco rrect l y d i sm i ssed P l ai n t i ffs’ p ro ced u ral d u e p ro cess c la im . A s rel ev an th ere, a p ro ced u ral d u e p ro cess vi ol at i on consi st s of " (1) a de pr i va t i on of

ac ons t i tut i ona l l ypr ot e c t e d . . . pr ope rtyi nt e r e s t , a nd ( 2) ade ni a l of a de qua t e pr oc e dur a l pr ot e c t i ons . " B r e w s t e rv. B d. of E duc . , 149 F . 3d 971, 982 ( 9 th C ir . 1 9 9 8 ) . T h e a lle g a tio n s o f th e c o m p la in t f

a il to e s tab lis h th e f

ir s t. P l a i nt i f f s do nota l l e ge tha tD e f

e nda nt s de pr i ve d the m of the i rT D R s ; the ya l l e ge on l y thatthe approv al of the devel op m entagre em entand m as t er pl a n a m e ndm e nt d i m i n i sh ed th e v al u e o f th o se T D R s b y red u ci n g d em an d i n th e T D R m ark etas a w hol e . A n i ndi r e c ti m pa c tof tha tki nd i s nota" de pr i va t i on" f orpurpos e s of pr oc e dur a l due pr oc e s s . S e e D um a s v. K i pp, 90 F . 3d 386, 392 ( 9th C i r . 1996) (" P roce du ra l du e proces s prot ec t i on s do n otext end t o tho se w ho suff eri nd i re ct h a rm f r o m g o v e rn m e n t a c tio n ." ) ; c f . S h a n k s v . D r e s s e l, 5 4 0 F .3 d 1 0 8 2 , 1 0 8 8 ( 9 th C i r. 20 08 ) ( ho l di ng that , w here a c i ty grant ed a permi tfor adevel op m entthatP lain ti ff s d o n o t claim to h av e a p ro p er ty in tere st in th e d en ial o f P er i’ s 1 pr opos a l i t s e l f

. I n a nye ve nt , the ydo not . C f . S ha nks , 540 F . 3d a t1089–90 (r ejec ti n g claim th at a p ar ty h ad a p ro p er ty in tere st in th e d en ial o f a th ird p ar ty’s perm i tappl i ca t i on un l es s the ci ty c om pl i ed w i th app l i cabl e l ocal ordi nances ). 4 m i gh thave i nd i re ct , negat i ve ef fe ct s, "e cono m i c, ae sthet i c or otherw i se , " on a thi rd pa rty ’ s pr ope rty , thos e e f f e c t s di d nota m ountt o " agove rnm e nt a l de pr i va t i on" of thatprop erty) . 1 3 . T h e d i stri ctco u rtco rrect l y d i sm i ssed P l ai n t i ffs’ su b st an t i v e d u e p ro cess c la im . T o st at e s uch a cl ai m , a pl ai nt i ff m ustal l ege ( 1) "thata s t at e a ct or depri ved i tof ac ons t i tut i ona l l ypr ot e c t e d . . . pr ope rtyi nt e r e s t , " S ha nks , 540 F . 3d a t1087, an d (2 ) th atth e g o v ern m en t al act i o n w as "arb i trary an d cap ri ci o u s, " H a l ve r s on v. S ka gi tC nty . , 42 F . 3d 1257, 1261 ( 9th C i r . 1995) . P la in tif f s f a il to m e e t th e f

ir s t r e q u ir e m e n t f

o rth e s a m e r e a s o n s s e t f o rth w i th r e s pe c tt o the i rpr oc e dur a l due pr oc e s s c l a i m . S e e G e rha rtv. L a ke C nty . , 637 F . 3d 1013, 1019 ( 9th C i r . ) , c e rt . de ni e d, 132 S . C t . 249 ( 2011) ( ap p l y i n g th e s a me anal ys i s a s t o w hether apl ai nt i ff w as depri ved o f aconst i tut i on al l y prot ec t ed i nt er es tw i th res pectt o b oth sub st ant i ve and p roce du ra l du e proces s c l ai m s) . P la in tif f s a ls o f a il to m e e t th e s e c o n d r e q u ir e m e n t. " [ O ] nl ye gr e gi ous o ffi ci al co n d u ctcan b e sai d t o b e arb i trary i n th e co n st i tu t i o n al sen se: i tm u st am ou ntt o an abu se of po w erl ac ki ng any r ea sonabl e j ust i fi ca t i on i n the se rvi ce of a5

l e gi t i m a t e gove rnm e nt a l obj e c t i ve . " S ha nks , 540 F . 3d a t1088 ( i nt e rna l quot a t i on m a rks om i tt e d) ; c f

. D odd v. H ood R i ve rC nty . , 59 F . 3d 852, 864 ( 9th C i r . 1995) ( "F eder al j ud i ci al i nt er fe re nce w i th a l ocal go vernm entzoni ng deci si on i s proper o n lyw h e r e th e g o v e rn m e n t b o d yc o u ld h a v e n o le g itim a te r e a s o n f o rits d eci si o n . ") . H er e, re as on abl e j ust i fi ca t i on s e xi st ed for the C ou nty’ s a l l eged act i o n s; f o re x a m p le , th e d e v e lo p m e n t a g r e e m e n t e n s u r e d th a t P e r i w o u ld ex p ed i t i o u sl y u n d ert ak e v ari o u s p u b l i c i n frastru ctu re i m p ro v em en t s. 4 . T h e d istrict co u rt co rr ec tl y d ism isse d P lain ti ff s’ e q u a l p r o te c tio n c la im . P l ai n t i ffs asserta "cl ass o f o n e" cl ai m , an d th ey d o n o tal l eg e th atD efen d an t s’ a c t i ons i m pl i c a t e af

unda m e nt a l r i ghtors us pe c tc l a s s i f i c a t i on, s o the ym us ta l l e ge th a t D e f e n d a n ts " ( 1 ) in te n tio n a lly( 2 ) tr e a te d [ th e m ] d if f e r e n tlyth a n o th e rs im ila r ly si tu at ed p ro p erty o w n ers, (3 ) w i th o u ta rat i o n al b asi s. " G e rh a rt, 6 3 7 F .3 d a t 1 0 2 2 . A s athres ho l d m att er , the com pl ai ntdo es no tes t abl i sh a true " cl as s of one" cl ai m because i tal l eges on l y thatP er i w as subj ec t ed t o i nd i vi du al i ze d p re fe re nt i al tre atm ent , no tthatP l ai nt i ff s w er e s ubj ec t ed t o i nd i vi du al i ze d adv er se tre atm ent . In any e vent , P l ai nt i ff

s w er e not"s i m i l ar l y s i tuat ed" t o P er i . T hey di d n otappl y f or a d ev el o p m en tag reem en to f th e k i n d th atP eri d i d . M o reo v er, th e i n v o l v ed p art i es’ pr ope rt i e s a r e e a c h uni que l ys i tua t e d ge ogr aphi c a l l ya nd the i rde ve l opm e nt pr opos a l s w e r e s e pa r a t e d i n t i m e , s o the i rappl i c a t i ons r a i s e d di f f e r e nt6

c ons i de r a t i ons . W i th r e s pe c tt o the thi r d e l e m e ntof P l a i nt i f f s ’ c l a i m , a s e xpl a i ne d, th e C o u n tyh a d r a tio n a l, le g itim a te g r o u n d s f o rap p r o v in g th e P e r i a g r e e m e n t. 5 . T h e d i stri ctco u rtco rrect l y d i sm i ssed P l ai n t i ffs’ t ak i n g s cl ai m . A p er se ta k in g r e q u ir e s th a t th e g o v e rn m e n t a c tio n d e p r iv e d th e m o f " a ll e c o n o m ic a lly b en efi ci al o r p ro d u ct i v e u se " o f th e a f f e c te d p r o p e rty . L ucas v. S . C . C oast al C ounc i l , 505 U . S . 1003, 1015 ( 1992) . P l a i nt i f f s do notpl aus i bl ya l l e ge s uc h a de pr i va t i on. T hey do n otas se rtthatthe pri ce of T D R s i n D ou gl as C ou nty has a c tua l l yc ol l aps e d; the ym e r e l ys pe c ul a t e r e ga r di ng w ha tothe rl a ndow ne r s m i ght thi nk aboutthe P e r i a gr e e m e nta nd the e f f e c tof thos e pos s i bl e thought s on de m a nd . T h a t " s h e e rp o s s ib ility " o f ata k in g is in a d e q u a te to s ta te ac la im . A s hc r of tv. I qba l , 556 U . S . 662, 678 ( 2009) . N orc a n P l a i nt i f

f s s t a t e ac l a i m unde rP e nn C e ntr a l T r a ns port a t i on C o. v. C ityo f N e w Y o rk , 4 3 8 U .S . 1 0 4 , 1 2 4 ( 1 9 7 8 ) . S e e L in g le v . C h e v r o n U .S .A . I n c ., 544 U . S . 528, 538–39 ( 2005) ( l i s t i ng the fa ct ors thatar e r el evanti n a P enn C entra l i nqui ry a s ( 1) " the e c onom i c i m pa c tof the r e gul a t i on on the c l a i m a nt , " ( 2) " the ext entt o w hi ch the re gu l at i on has i nt er fe re d w i th d i st i ncti nv es tm ent -bac ked expect at i on s, " and (3) " the chara ct erof the go vernm ent al ac t i on . " ( i nt ernal qu ot at i on m arks and b ra cket s om i tt ed)) . E ven i f D ef endant s’ cond uctdi m i ni shed the va l ue of

P l a i nt i f f s ’ T D R s t o s om e e xt e nt , the l a tt e rtw o f a c t or s pr e c l ude aP e nn7

C entra l cl ai m . A s t o the se cond , D ef endant s a ct ed on l egal autho ri ty thatexi st ed at th e tim e o f

P la in tif f s ’ in v e s tm e n ts . A s to th e th ir d , th e g r a n t o f d e v e lo p m e n t r ig h ts t o athi r d pa rtyon adi f

f e r e ntpa r c e l doe s notha ve the c ha r a c t e rof a" c l a s s i c t a ki ng i n w hi ch go vernm entdi re ct l y app ropri at es pri vat e property or oust s the ow ner f r om hi s dom a i n. " I d. a t539 . AF F I RME D.