The California Court of Appeal, Division Four, reversed a Los Angeles County Superior Court ruling that had dismissed a suit by Palos Verdes Estates resident Robert Shi over a three‑year delay in approving an accessory dwelling unit (ADU).
Shi first applied for the ADU in 2020, expecting a 60‑day ministerial review as mandated by state law, but the city’s process extended to more than three years, requiring discretionary review and a conditional use permit.
During the delay, Shi alleged losses exceeding $1 million, citing lost use of his property, higher construction costs, interest on financing, professional design fees, and a devaluation of the estate.
The appellate court held that the state’s ADU statutes impose a duty on local governments to provide timely, ministerial approvals, and that preventing unnecessary delays directly benefits homeowners seeking to build additional units.
Though the court did not yet decide on Shi’s damages, it ruled that his claim was not dismissed improperly, effectively reopening the case and allowing Shi to recover the costs incurred.
For Shi, the decision means a chance to recoup the financial blow that forced his family to postpone the construction of a second home, a move that could reshape how Palos Verdes and other California cities handle ADU permits.