Key facts
- California cities may face damages for failing to meet the 60-day deadline for accessory dwelling unit permits.
- A homeowner sued Palos Verdes Estates for a three-year delay in approving his ADU permit.
- The appeals court found that permit seekers are direct beneficiaries of housing laws requiring timely approvals.
- The ruling allows homeowners to seek damages for losses caused by permit delays.
A California appeals court has opened a new avenue for homeowners to sue cities that delay permits for accessory dwelling units (ADUs), potentially imposing financial penalties for missing the state's 60-day approval deadline. The Second Appellate District ruled on October 23 that a Palos Verdes Estates homeowner can pursue damages over an alleged three-year delay in approving his ADU. This decision reverses a previous dismissal, asserting that state laws requiring ministerial approval for housing projects are intended to protect individual homeowners and that cities can be held liable for breaches of these duties. Legal experts believe this ruling could have broad implications for other housing laws in California that mandate timely permit issuance.