Save Berkeley's Neighborhoods v. Regents of the University of California
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The University of California (Regents) approved a new development for additional academic space and campus housing, certified a final supplemental environmental impact report (SEIR), then filed a notice of determination regarding the project, which identified ACC as the developer and CHF as the ground lessee and borrower in connection with the housing. SBN challenged the certification of the SEIR under the California Environmental Quality Act (CEQA), citing various omissions. A first amended petition, substantively identical to the initial petition, added ACC and CHF as real parties in interest, Public Resources Code 21167.6.5(a)). SBN subsequently filed a first amendment to that petition, seeking to add ACC’s parent companies (jointly, ACC) as real parties in interest.
ACC and CHF argued SBN failed to name them as parties within the applicable limitations period. The court of appeal affirmed the dismissal of ACC and CHF, citing Code of Civil Procedure 389(b). The courts declined to dismiss the entire petition. SBN would have no way to challenge the SEIR if the case was dismissed, whereas ACC and CHF were parties in a related case challenging the same SEIR and unlikely to be subject to a harmful settlement. The court concluded ACC and CHF were not indispensable parties, noting the unity of interest between those parties and the Regents.
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