FOR PUBLICATION
ATTORNEY FOR APPELLANT: ATTORNEY FOR APPELLEE:
LATRIEALLE WHEAT RICHARD K. MUNTZ
Angola, Indiana LaGrange, Indiana
IN THE COURT OF APPEALS OF INDIANA
RANDY BIXLER and KAY BIXLER, )
)
Appellants-Plaintiffs, )
)
vs. ) No. 44A03-9909-CV-351
)
LAGRANGE COUNTY BUILDING )
DEPARTMENT, STANLEY W. HIGH, )
DONNA M. HIGH, LAGRANGE COUNTY )
PLAN COMMISSION, BY AND THROUGH )
ITS ADMINISTRATIVE AGENT AND )
REPRESENTATIVE, ROBBIE MILLER, )
)
Appellees-Defendants. )
APPEAL FROM THE LAGRANGE SUPERIOR COURT
The Honorable Michael J. Kramer, Special Judge
Cause No. 44D01-9905-CP-34
June 28, 2000
OPINION - FOR PUBLICATION
MATHIAS, Judge
I.C. § 36-7-4-918.1 (West 1997). Generally, if an administrative remedy is available,
it must be pursued before the claimant is allowed access to the courts.
T.W. Thom Const., Inc. v. City of Jeffersonville, 721 N.E.2d 319, 322
(Ind. Ct. App. 1999). The failure to exhaust administrative remedies deprives the
trial court of subject matter jurisdiction. Subject matter jurisdiction cannot be waived.
Id.
However, with regard to the issuance of building permits, the exhaustion prerequisite historically
has been restricted only to permit applicants, who are directly affected by a
public officials decision to issue, condition or deny building permits. In Laws
v. Lee, 471 N.E.2d 1229, 1234 (Ind. Ct. App. 1984), this court discussed
the rule set forth in Fidelity Trust Co. v. Downing, 224 Ind. 457,
68 N.E.2d 789 (1946):
In Fidelity Trust a building permit was issued and construction begun when another
party brought suit to enjoin the erection of the building on grounds that
its construction violated local zoning provisions. The parties erecting the building argued
that anyone challenging their right to build had to first appeal the issuance
of the building permit thereby exhausting administrative remedies. The court rejected this
argument stating that to require exhaustion would be to require that every landowner
take notice of every building permit issued. Similarly, Laws was not directly
affected by the issuance of the permit to Beagle. Rather, she was
a neighboring landowner who could not be expected to be aware of the
permits issuance. The appellants challenge to the permits validity is not barred
by her failure to exhaust administrative remedies.
Id. (citations omitted, emphasis added.)
The Bixlers position is precisely that of the complainant in Laws. They
are property owners who are not responsible for monitoring the issuance of improvement
location permits for which they have not applied. While a person who
has knowledge of the issuance of an improvement location permit may initiate a
statutory appeal to the zoning board, he or she is not required to
do so. See Stout v. Mercer, 312 N.E.2d 515, 519, 160 Ind.
App. 454, 462 (1974.
We believe the caselaw relied upon by appellees is factually distinguishable. In
T.W. Thom Const., Inc., the exhaustion doctrine did not apply to subdivision
developer Thom because no local zoning approval was required and the issuance of
a construction permit for a mobile home park was not an administrative decision
from which Thom could have appealed. In Martin v. Monroe County Plan
Comn, 660 N.E.2d 1073 (Ind. Ct. App. 1996), the Plan Commission appointed itself
a hearing body under Alternate Procedure Statutes, and provided notice and hearing to
opponents prior to issuing the challenged permit. Thus, the unhappy opponents were
required to exhaust administrative remedies prior to resort to the trial court.
In Stout, a landowner not directly involved in the issuance of an improvement
location permit chose to pursue an available administrative process when he had notice
of the issuance of anothers permit.
Here, there was no notice or hearing provided to the Bixlers
prior to issuance of the permit, and the Bixlers did not voluntarily avail
themselves of the administrative appeals process designed for permit applicants. Thus, their
challenge to the validity of the Highs permit is not barred by failure
to exhaust administrative remedies. The trial courts dismissal of the Bixlers complaint
was therefore in error.
Reversed.
FRIEDLANDER, J., and NAJAM, J., concur.