Wal-Mart Stores V. Planning Board of North Elba, New York, 1998

Topics: Lawsuits

Wal-Mart sued the town of North Elba, New York for denying them a conditional use permit. Wal-Mart argued that the Planning Board had been arbitrary and capricious because its decision “was not supported by substantial evidence.” The Planning Board, during the case, determined that Wal-Mart would have a “materially adverse impact upon adjoining and nearby properties” would result in “a clearly adverse aesthetic impact,” and other “general development considerations” which could impact the “social and economic resources” of the community. The court ruled that the town had “ample factual foundation” for its decision from the hearings; the court found that the “large beam” being proposed by Wal-Mart would create an “adverse visual impact” on the scenic views. “It was appropriate for the (town) to place great weight on the visual effect of this large development.” Finally, the court ruled that Wal-Mart’s evidence that “other communities have suffered no decline in commercial property values after a Wal-Mart store opened “was of little probative value” because the other areas were not similar to the North Elba area. The estimates of downtown commercial vacancy rates used by the Planning Board did not exceed the projections submitted by Wal-Mart’s own consultant. The court ruled that it was “in no way irrational” that North Elba found “that the use, though permitted, is not desirable at the particular location.”

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