Norfolk 102, LLC v. City of Norfolk

In 2009, the City Council revoked a blanket special exception permitting two business establishments (the Establishments) operating in the City to operate as “entertainment establishments” serving alcoholic beverages for on-site consumption and denied their individual applications for special exceptions to continue such operations. The City later filed a complaint requesting that the Establishments be permanently enjoined from selling or serving alcohol or providing entertainment in their businesses. The Establishments filed a separate complaint and petition for appeal, asserting that the City Council’s actions impaired their vested rights and that the manner in which the Council executed these actions violated their statutory notice and due process rights. The circuit court denied the relief requested by the Establishments and granted the City’s request for injunctive relief. The Supreme Court affirmed, holding (1) the Establishments did not acquire any vested rights under Va. Code 15.2-2307 or Va. Code 15.2-2311(C); and (2) because the Establishments had actual notice of and actively participated in the City Council meeting, any statutory notice issues were waived and their constitutional rights were not violated.

Norfolk 102, LLC v. City of Norfolk