Blaine Family Sues City For Backyard Cottage Permit Denial

Blaine, Minn.—Today, a Minnesota family, Alex and Lynda Pepin, joined forces with the Institute for Justice (IJ), a nonprofit public interest law firm, to file a lawsuit against the city of Blaine, Minn. The lawsuit challenges the city’s unlawful denial of their permit to construct a modest accessory dwelling unit (ADU) intended to provide shelter to a local family experiencing hardship. The Pepins’ suit asserts that the council violated local, state and federal law by rejecting their application, which complied entirely with Blaine’s zoning requirements.

[Read the lawsuit]

“The Blaine City Council cannot ignore its own laws based on unfounded fears about who might live nearby,” said Matt Liles, a litigation fellow at IJ. “The Pepins are entitled to build a small home to help a family in need. Local governments should encourage, not punish, people who want to use their own property to address issues like housing affordability and homelessness.”

The Pepins planned to build a modest ADU in their backyard to offer affordable housing to a local family facing temporary financial stress. Motivated by their faith and extensive experience helping families through local nonprofits, the Pepins carefully followed every step required by Blaine’s zoning ordinance. Their application was reviewed and approved by Blaine’s Planning Commission, which confirmed it complied fully with city law.

Despite this approval, opponents of the ADU wrongly claimed the Pepins planned to create a homeless shelter or house criminals. Giving in to that misinformation, the Blaine City Council voted 5-2 to deny the permit, vaguely citing conflicts with the unwritten “intent” of the ADU ordinance.

“Our family deeply believes in giving back—in using what we have to help those most in need,” said Alex Pepin. “It’s incredibly frustrating that the city council chose to ignore its own laws and block our efforts to provide a safe home to a family working to get back on their feet.”

“Zoning laws exist to protect the health and safety of communities, not to discriminate against certain groups of people,” said IJ Senior Attorney Ari Bargil. “When local officials use zoning as a tool to exclude people based on stereotypes or unfounded fears, they violate the constitutional rights of property owners and those they seek to help.”

IJ’s lawsuit argues that the U.S. Supreme Court has clearly stated zoning laws must regulate land uses, not exclude certain types of people based on unfounded biases or animus. Additionally, Minnesota law explicitly prohibits arbitrary denials of land use permits when applicants meet every zoning requirement. Blaine officials failed to provide any legitimate reason rooted in public health or safety for rejecting the Pepins’ ADU, as the law demands.

This lawsuit is part of IJ’s nationwide Zoning Justice Project, dedicated to challenging arbitrary and abusive zoning laws that infringe on the right to use private property in safe and productive ways—including addressing critical social issues like housing affordability and homelessness. The project has filed cases in Montana, North Carolina, and Ohio on behalf of charitable organizations working to shelter homeless individuals, underscoring IJ’s commitment to expanding private, community-driven solutions that let neighbors help neighbors without government roadblocks.