Court Rejects Landowner's RLUIPA Challenge To Mixed Use Zoning Ordinance

In Dixon v. Town of Coats, 2010 U.S. Dist. LEXIS 56740 (ED NC, June 9, 2010), a North Carolina federal district court rejected a RLUIPA challenge as well as federal and state constitutional challenges to a zoning ordinance that excluded religious assemblies from a six-block Mixed Use Village in downtown Coats, North Carolina. The court held that while a landowner who intends to rent his property to a Christian church has standing to bring a "substantial burden" claim under RLUIPA, the exclusion of churches from one area does not place a substantial burden on free exercise when other ares in the Town are available for churches. The court also rejected plaintiff's claim under the "equal terms" provision of RLUIPA, holding that the plaintiff must be "a religious assembly or institution" to bring a claim under this section. The court went on to reject federal and state free exercise claims and a federal equal protection claim.