California Supreme Court reins in coastal agency’s permit power in unanimous opinion
April 23, 2026
Sacramento, California; April 23, 2026: A homebuilder won a major victory today when the California Supreme Court unanimously ruled that the California Coastal Commission unlawfully overrode a county-approved building permit. The decision sets limits on the Commission’s authority to second-guess local governments across the state’s coastal zone.
Today’s ruling is one of the most significant checks on the Commission’s power since PLF’s landmark U.S. Supreme Court victory in Nollan v. California Coastal Commission nearly four decades ago.
“Today’s decision is a win for every property owner along California’s coast. The Coastal Commission cannot simply decide to reinterpret legislation based on its own whims. Its authority has limits, and today the court enforced them unanimously,” said Jeremy Talcott, an attorney at Pacific Legal Foundation, which represented the homebuilder at no cost. “For years, the Commission has usurped the power given by the state legislature to local coastal communities to approve homebuilding permits. This decision corrects the Commission’s overreach.”
Shear Development purchased eight residential lots in a Los Osos neighborhood in 2003 and built infrastructure for all, with County approval to build homes in two phases. San Luis Obispo County approved the phase-two permits in 2017 under the Local Coastal Program. But the Commission appealed the County’s decision to itself, claiming jurisdiction based on an illustration buried in a county area plan — not the official designated maps the Local Coastal Program requires. Represented by Pacific Legal Foundation, Shear sued to hold the agency to its legal limits.
For half a century, the Coastal Commission has expanded its authority, often at the expense of coastal property owners’ rights and the communities along the coast. San Luis Obispo County, the League of California Cities, Californians for Homeownership, and the California Association of Realtors filed briefs urging the court to rein in the Commission’s reach.
The case is Shear Development Co., LLC v. California Coastal Commission.
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About Pacific Legal Foundation
Pacific Legal Foundation is a national nonprofit law firm that defends Americans threatened by government overreach and abuse. Since our founding in 1973, we challenge the government when it violates individual liberty and constitutional rights. With active cases in 34 states plus Washington, D.C., PLF represents clients in state and federal courts, with 18 wins of 20 cases litigated at the U.S. Supreme Court.