Facts

Lone Star Video & Security Inc. is a security services provider that primarily advertises through billboards displayed on trailers parked throughout Los Angeles. The city had an ordinance that any vehicle parked for more than 72 hours of a 73 hour period on a city street, without being moved at least one mile was subject to impoundment. Between 2001 and mid-2006, as a result of this ordinance, 77 of Lone Star's trailers were impounded. It filed suit against the city.

PLAINTIFF'S CONTENTIONS:
The plaintiff claimed the wording of the city ordinance was unconstitutional, and the resulting impounds were thereby illegal.

DEFENDANT'S CONTENTIONS:
The defendant claimed its actions were legal.

Damages

Plaintiff sought recovery for the loss of its trailers and lost profit from the removal of its primary source of advertising. It introduced testimony from its principal managing officer to establish a lost profit claim in excess of $1 million.

Result

The law was found unconstitutional, and defendant was ordered to change its wording. Plaintiff was awarded $43,110 for the cost of the impounded trailers, but because it did not establish lost profit sufficiently, was not awarded damages for lost profits.

Other Information

The defendant stated its intention to appeal. A class action was filed by parties who have had vehicles impounded under the ordinance and is currently pending. The plaintiff's counsel is associate counsel in that action.