Innovative Health Systems, Inc. v. City of White Plains

An outpatient drug and alcohol rehabilitation treatment center, Innovative Health Systems, Inc. (IHS) (plaintiff), sought to relocate to a building in the city of White Plains, New York (defendant). IHS was told by the commissioner of building for the city of White Plains that the proposed use of the facility site would qualify as a business or professional office under White Plains’ zoning ordinance because the site would not have physicians or dispense medication. IHS signed a lease and began renting the space. IHS applied for a building permit to modify a section of the space that was originally zoned for retail into office use. The community opposed the application and argued that the proposed site constituted a clinic that was an impermissible use in the zoning district. The commissioner reaffirmed that the site constituted office use and did not fit the definition of a hospital. The Department of Building issued the permit to IHS. Community members appealed the commissioner’s decision. The Zoning Board of Appeals (ZBA) conducted a hearing and reversed the commissioner’s decision. The zoning ordinance required that the ZBA issue a written resolution, but the ZBA did not and instead stated on the record that IHS’s proposed site was better classified as an impermissible clinic than an office. IHS filed suit in federal district court against White Plains, alleging that the revocation of the permit constituted discriminatory treatment based on disability and that the zoning board’s decision violated the Americans with Disabilities Act (ADA) and the Rehabilitation Act. IHS moved for a preliminary injunction against White Plains to prevent it from interfering with IHS’s occupancy of the site. The district court granted the preliminary injunction, and White Plains appealed.