Shi v. City of Palos Verdes Estates
CourtCalifornia Court of Appeal
Date FiledOctober 23, 2026
DocketB350195
StatusPublished
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Full Opinion
Filed 10/23/26
CERTIFIED FOR PUBLICATION
IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA
SECOND APPELLATE DISTRICT
DIVISION FOUR
WEI SHI, B350195
Plaintiff and Appellant, (Los Angeles County
Super. Ct. No. 24TRCV03628)
v.
CITY OF PALOS VERDES ESTATES,
Defendant and Respondent.
APPEAL from a judgment of the Superior Court of Los Angeles County,
Amy N. Carter and Alan B. Honeycut, Judges. Reversed.
Jeff Lewis Law, Tim Cotter and Jeffrey Lewis for Plaintiff and
Appellant.
Best Best & Krieger, Kara L. Coronado, Steven Moctezuma and
Christopher M. Moffitt for Defendant and Respondent.
INTRODUCTION
Wei Shi, a homeowner, wanted to build an ADU1 at his home in the
City of Palos Verdes Estates. He applied for a permit to do so. The City had
a mandatory statutory duty under California law to ministerially approve the
ADU permit. (§ 66317.) The City, Shi alleges, failed to comply with its
mandatory and ministerial duty. Instead, it deliberately delayed approval of
the ADU. Shi sued the City under the Government Claims Act (§ 815.6) to
recover for damages caused by the delay.
The City demurred. It asserted (and asserts on appeal) a single
argument. It argues that the Legislature did not intend section 66317’s
requirements concerning ADU permits to protect private homeowners who
want to build ADUs. Instead, asserts the City, the injury the Legislature
sought to prevent was an abstract harm to the general public, meaning Shi
cannot sue under the Government Claims Act.
In our view, the City’s argument is incorrect. Shi stated a cause of
action under section 815.6 of the Government Claims Act, and the trial court
should not have sustained a demurrer to Shi’s first amended complaint.
FACTUAL AND PROCEDURAL BACKGROUND
A. Shi’s Complaint2
Shi lives in the City. He first applied for a permit to build an ADU in
2020. Shi’s goal was “to complete the ADU construction concurrent with the
1 An “accessory dwelling unit” or “ADU” is an “attached or a detached
residential dwelling unit that provides complete independent living facilities
for one or more persons and is located on a lot with a proposed or existing
primary residence.” (Gov. Code, § 66313, subd. (a).) All undesignated section
references are to the Government Code.
2 We focus on the allegations in the first amended complaint (FAC),
which is the operative version of the complaint. Because this case comes to
us following a demurrer, we accept the truth of all material facts properly
2
completion of the family home” on the lot. Shi alleged that his proposed ADU
was subject to the ministerial approval requirements and shortened timeline
in the relevant ADU statutes.
The current requirements for ministerial approval of ADU permits are
in section 66317. That statute provides that an ADU permit application
“shall be considered and approved ministerially without discretionary review
or a hearing.” (§ 66317, subd. (a)(1).)3
Section 66317 further provides that “[t]he permitting agency shall
either approve or deny the application … within 60 days from the date the
permitting agency receives a completed application” if there is an existing
dwelling on the lot, and if there is not an existing dwelling, as soon as “the
permitting agency approves or denies the permit application to create the
new … dwelling.” (Id., subd. (a)(3).) Section 66317, subdivision (c) states,
“No local ordinance, policy, or regulation, other than an accessory dwelling
unit ordinance consistent with this article shall be the basis for the delay or
denial of a building permit or a use permit under this section.”
Shi alleged that the City did not ministerially approve his ADU
application as required. Instead, alleges Shi, the City “imposed a planning
process that—in letter and spirit—violated [section 66317] and delayed Mr.
Shi’s ADU approval for more than three years.” Among other things, the City
pleaded in the operative complaint. (Fox Paine & Co., LLC v. Twin City Fire
Ins. Co. (2026) 20 Cal.5th 188, 206–207.)
3 When Shi sought an ADU permit in 2020, former section 65852.2,
subdivision (a)(3) included similar requirements. It was repealed and
renumbered in 2024, along with several other statutes involving ADUs. The
parties agree the requirements remain substantially the same. For clarity
and consistency, when we discuss the ADU approval requirements we refer to
the current statute.
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told Shi that approving his ADU would require a conditional use permit,
discretionary review, and approval by the Palos Verdes Homes Association
Art Jury. Shi also alleged that City planning commissioner Janine Nendick
personally lobbied Shi’s neighbors in opposition to the project.
Shi asserted that the City did not approve his ADU permit until 2023.
As a result of this delay, Shi’s ADU was completed much later than planned.
Shi alleged that the delays caused him to incur damages “including loss of
use of his property, increased construction costs, interest expense and costs of
design professionals, and diminished property value. [Shi] estimates the
total damages suffered exceed one million dollars.”
Shi filed his complaint against the City in October 2024 and his FAC in
February 2025. He alleged a single cause of action for violation of section
815.6. That statute provides in full, “Where a public entity is under a
mandatory duty imposed by an enactment that is designed to protect against
the risk of a particular kind of injury, the public entity is liable for an injury
of that kind proximately caused by its failure to discharge the duty unless the
public entity establishes that it exercised reasonable diligence to discharge
the duty.”4
Shi alleged that the “City had a ministerial duty to approve [Shi’s]
ADU application in 2020 when presented.” He further alleged that the “laws
passed by California to expedite ADUs were designed to prevent the very
types of delays, and costs associated with delays, suffered by … Shi in
connection with the approval of his ADU.”
4 Section 815.6 is part of California’s general tort scheme for liability
against public entities, known as the “Government Claims Act.” (City of
Stockton v. Superior Court (2007) 42 Cal.4th 730, 741 [referring to §§ 810 et
seq. as the “Government Claims Act”].)
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He sought compensatory damages, injunctive relief, costs, and attorney
fees.
B. The City’s Demurrer
The City demurred to the FAC on the grounds that Shi failed to
sufficiently allege a cause of action. (Code Civ. Proc., § 430.10.) The City
noted that a cause of action under section 815.6 requires, among other
elements, that the mandatory duty imposed by the statute was designed to
protect against the particular kind of injury the plaintiff suffered. (See, e.g.,
Guzman v. County of Monterey (2009) 46 Cal.4th 887, 898.)
The City argued that Shi failed to meet this element. The City
contended that under the relevant ADU laws, “it is clear that there was no
legislative intent for these statutes to protect against the injuries [Shi]
claims, and as such, there is no cause of action under Government Code
section 815.6.” Shi opposed the City’s demurrer, and the City replied.
C. Demurrer Ruling
The trial court sustained the City’s demurrer in a written ruling. The
court granted both parties’ requests for judicial notice of legislative history
materials. However, the court stated, “When interpreting a statute, the
Court may only look to extrinsic evidence if the statute is ambiguous.
[Citation.] Here, neither party has argued that the statute is ambiguous and,
thus, the Court will look to only the plain meaning of the statute.”
The court found that “the purpose of [former] section 65852.2 and
section 66317, as demonstrated by the plain meaning of the statute, was to
alleviate California’s housing crisis by streamlining the permitting process
for the building of ADUs, not to protect individuals from the additional costs
created by permitting and approval delays. The statute aims to create more
houses for California residents, not protect the investments of individuals
5
who choose to build ADUs. While [Shi] argues that not allowing for a private
right of action under [former section] 65852.2 and [section] 66317 would
render the statutes ineffective, plaintiffs have succeeded in bringing writs of
mandate against cities that fail to properly permit ADUs. (Riddick v. City of
Malibu (2024) 99 Cal.App.5th 956, 965.) Thus, the Court finds that [former]
section 65852.2 and section 66317 do not protect against the harms the FAC
alleges.”
The court therefore sustained the City’s demurrer with leave to amend.
Shi elected not to further amend his complaint. The trial court entered
judgment in favor of the City, and Shi timely appealed.
DISCUSSION
“‘We review de novo a trial court’s ruling on a demurrer and examine
the operative complaint to determine whether it alleges facts sufficient to
state a cause of action under any legal theory.’” (Optronic Technologies, Inc.
v. Celestron Acquisition, LLC (2025) 108 Cal.App.5th 770, 782.)
Shi asserted a cause of action under section 815.6 of the Government
Claims Act. That cause of action “has three elements that must be satisfied
to impose public entity liability: (1) a mandatory duty was imposed on the
public entity by an enactment; (2) the enactment was designed to protect
against the particular kind of injury allegedly suffered; and (3) the breach of
the mandatory statutory duty proximately caused the injury.” 5 (B.H. v.
County of San Bernardino (2015) 62 Cal.4th 168, 179.)
The parties do not dispute the first and third elements. Thus, we
assume without deciding that (1) section 66317 imposed a mandatory duty on
5 “Enactment” includes a statute, ordinance, or regulation. (§ 810.6.)
Section 66317 is an enactment.
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the City to ministerially approve Shi’s ADU permit in a timely manner, and
(2) a breach of that duty caused Shi’s injuries.
The issue before us, therefore, is the second element under section
815.6, whether the mandatory duty in section 66317 was designed to protect
against the injuries Shi suffered.
To meet the second element of section 815.6, a “plaintiff must show the
injury is ‘“one of the consequences which the [enacting body] sought to
prevent through imposing the alleged mandatory duty.””’ (Haggis v. City of
Los Angeles (2000) 22 Cal.4th 490, 499 (Haggis).) Notably, this question
focuses on the Legislature’s intent in imposing the duty—not its intent in
enacting the statute. “Our inquiry in this regard goes to the legislative
purpose of imposing the duty. That the enactment ‘confers some benefit’ on
the class to which plaintiff belongs is not enough; if the benefit is ‘incidental’
to the enactment’s protective purpose, the enactment cannot serve as a
predicate for liability under section 815.6.” (Ibid.) “We must, therefore,
examine the language, function and apparent purpose of [the statute] to
determine if [it] creates a mandatory duty designed to protect against the
kind of injury plaintiff allegedly suffered here.” (Id. at p. 500.) These are
statutory interpretation issues, which we consider de novo as a matter of law.
(Fix the City, Inc. v. City of Los Angeles (2026) 118 Cal.App.5th 957, 972.)
We do not find statutory interpretation difficult here. Section 66317
imposes a mandatory duty on local governments to promptly and
ministerially consider and approve ADU permits. Intended beneficiaries of
that duty are applicants for ADU permits—people like Shi. Allowing permit
applicants to receive the benefit of ministerial approval of an ADU without
discretionary requirements and burdensome local regulations is not
“incidental” to section 66317. It is the point of section 66317.
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To state the obvious, permit applicants like Shi seek the permits that
local governments must timely and ministerially approve under section
66317. The permit applicant receives the direct benefit of timely and
ministerial approval. If the permit is not timely and ministerially approved,
the applicant suffers. The mandatory duty (ministerial approval) is directly
designed to protect against the kind of injury Shi suffered (the City’s failure
to timely and ministerially consider and approve a permit). Thus, under
Haggis, Shi does not seek an “incidental” benefit.
We believe section 66317’s text unambiguously compels that
interpretation. But were there any doubt, related statutory provisions
concerning ADUs confirm it. “To ascertain legislative intent, we consider the
words [of a statute] in the context of the statutory framework as a whole, and
seek ‘where reasonably possible, [to] harmonize statutes, reconcile seeming
inconsistencies in them, and construe them to give force and effect to all of
their provisions.”’ (Michael S. Yu, a Law Corp. v. Superior Court (2020) 56
Cal.App.5th 636, 646.) In section 66310, the Legislature expressly stated
that “[ADUs] are … an essential component of California’s housing supply.”
(§ 66310, subd. (h).) Among other reasons for this conclusion, the Legislature
found that “[h]omeowners who create accessory dwelling units benefit from
added income, and an increased sense of security.” (Id., subd. (c).) In section
66311, the Legislature declared its “intent” to establish that local regulations
governing ADUs “are not so arbitrary, excessive, or burdensome so as to
unreasonably restrict the ability of homeowners to create [ADUs].” (§ 66311.)
Put differently, the Legislature has stated expressly that its provisions
encouraging the timely construction of ADUs are also intended to benefit
homeowners who construct them.
8
Although we do not rely on it because the statute is unambiguous, we
note that the legislative history also supports our interpretation.6 Shi points
us to the legislative history of Senate Bill No. 1069 (2015-2016 Reg. Sess.)
(SB 1069), which enacted the predecessor provision to section 66317. An
assembly committee analysis explained that “SB 1069 proposes a common-
sense, cost-effective approach that will allow homeowners to share empty
rooms in their homes and property, add incomes to meet family budgets,
improve the safety of accessory dwellings, and make good use of existing infill
property across California while easing the housing crisis.” (Assem. Com. on
Housing and Community Development, Analysis of SB 1069, June 15, 2016,
p. 6.) Another analysis described a need for SB 1069 as arising because
“some local governments have placed onerous requirements on individuals
that want to construct these units on their property.” (Sen. Com. on
Governance and Finance, Analysis of SB 1069, April 20, 2016, p. 4.)
In opposition, the City asserts that “the ADU statutes were designed to
alleviate the housing crisis, not create a private right of action” for private
homeowners. The City also notes that “there is no reference to damages or
compensation for delays” in the ADU statutes’ permitting provisions.
This argument misses the point. Shi does not assert that the “ADU
statutes” create a private right of action. Instead, he argues that they create
a ministerial duty, which, in turn, allows him to bring a claim under section
6 Shi relies heavily on legislative history in his briefing. The City argues
that Shi forfeited these arguments by failing to argue below that the statutes
are ambiguous. The decision to consider legislative history in connection
with analyzing the construction of a statute is ultimately ours, not the
parties’. Here, while we do not rely upon legislative history because the
statute is unambiguous, we choose to discuss that history for the sake of
clarifying our statutory interpretation. (See, e.g., Madrigal v. Hyundai Motor
America (2025) 17 Cal.5th 592, 609, fn. 10.)
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815.6. For the reasons given above, we agree with Shi’s argument. Thus, it
is immaterial that section 66317 does not itself create a private right of
action or provide for damages for delays. “It is section 815.6, not the
predicate enactment, that creates the private right of action.” (Haggis, supra,
22 Cal.4th at pp. 499–500, italics omitted; see also Henderson v. Newport-
Mesa Unified School Dist. (2013) 214 Cal.App.4th 478, 494 [explaining that
the trial court “confused the issue of whether the statute imposes a
mandatory duty with the issue of whether it specifies a particular remedy.
Those are two distinct questions, and the test for determining the existence of
a private right of action [under § 815.6] does not include any requirement
that a statute actually specify a remedy”].)
The City also argues that the Legislature enacted section 66317 and
related provisions to help California solve its broader housing crisis. To that
extent, the City is correct. Section 66310 states that as “California faces a
severe housing crisis,” ADUs are “a valuable form of housing in California”
and “an essential component of California’s housing supply.” (§ 66310, subds.
(e), (a), (h).)
But that the Legislature wanted ADUs built to alleviate the housing
crisis does not mean that section 66317 was not intended to protect
homeowners. To the contrary. The means by which the Legislature sought to
alleviate the housing crisis through section 66317 was to encourage
homeowners to apply for permits and build ADUs without undue interference
from local governments. Significantly, section 66317 does not place a duty
upon local agencies to alleviate the housing crisis. Rather, section 66317
places a duty on local governments to consider and approve permits
ministerially. Thus, as we explained above, permit seekers are the direct and
intended beneficiaries of the relevant duty—what matters for the second
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element of a claim under section 815.6. This is so even if the Legislature also
intended section 66317 to have broader beneficial effects on California’s
housing supply.
Finally, the City contends this case is similar to Haggis, supra, 22
Cal.4th 490. We disagree. The issue in Haggis was whether the plaintiff
there, a subsequent purchaser of a property, could sue the City of Los
Angeles for failing to comply with a ministerial duty to record instability
notices issued to the property’s former owners. (Id. at pp. 495–497.) The
Supreme Court, based on a detailed analysis of the relevant statute, found
that the purpose of the recordation requirement was to encourage existing
landowners to perform stabilization work, not to protect subsequent
purchasers. (Id. at pp. 502–503.) The facts of Haggis have little to do with
this case.
In sum, section 66317 was designed to protect against the delays that
Shi suffered. Shi adequately alleged a cause of action under section 815.6.
The trial court erred in sustaining the City’s demurrer.
DISPOSITION
The judgment is reversed. Shi is entitled to recover his costs on appeal.
CERTIFIED FOR PUBLICATION
DAUM, J.
We concur:
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ZUKIN, P. J.
MORI, J.
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