Zoning Laws & Personal Property Rights in Vermont: The Legal Battle Over Retroactive Zoning
When you purchase a property, you expect that your rights as an owner are protected and secure. But what happens when the rules change after you’ve already made your investment? Can a town retroactively alter the rules and ban a use that was once perfectly legal?
This is the critical question facing property owners across Vermont, especially as municipalities—like Burlington—introduce new zoning restrictions on short-term rentals (STRs). These new regulations are attempting to target and restrict uses that were lawfully established before the laws were even created.
At the heart of this issue is a fundamental legal principle: zoning laws are meant to guide future land use, not to be applied retroactively.
Zoning Cannot Erase Established Property Rights
Zoning laws are designed to manage land development and ensure a balance between private property rights and community planning goals. However, there is a key protection for property owners: the right to use their land as it was originally permitted. If a use was legal when it was established, municipalities cannot simply strip away those rights by enacting new rules.
This principle is vital for all property owners. If a town is allowed to retroactively ban a legal use—like short-term rentals—it could set a dangerous precedent for other property types:
Long-term rental properties: Could municipalities restrict or ban rental properties that have existed for decades?
Home-based businesses: Could towns revoke the rights of property owners who operate businesses from their homes?
Agricultural and commercial uses: Could towns invalidate farming operations or other uses that were once legally permitted?
A legal challenge currently underway in Burlington could determine whether Vermont will uphold this principle of protecting established property rights—or if towns will be allowed to enforce sweeping retroactive restrictions.
Courts Have Rejected Retroactive Zoning Before
Vermont has a strong legal precedent protecting property owners from retroactive zoning changes. In the landmark case Bianchi v. Lorenz (1962), the Vermont Supreme Court ruled that municipalities cannot revoke property rights that were established legally prior to new zoning laws.
Several other cases have reinforced this principle:
State v. Sanguinetti (1982): In this case, the court clarified that zoning restrictions cannot arbitrarily limit or eliminate nonconforming uses that were previously allowed.
Badger v. Town of Ferrisburgh (1998): Addressed the issue of discontinuing nonconforming uses, emphasizing the conditions under which rights may be deemed abandoned.
These rulings affirm that property rights that were legally established cannot be taken away simply because of new zoning laws.
Despite these legal precedents, some Vermont municipalities are still attempting to retroactively eliminate short-term rentals that have been legally operated for years, raising concerns about the broader implications for property rights.
The Case of: 32 Intervale, LLC et al. v. City of Burlington
A pivotal case currently before the Vermont Supreme Court—32 Intervale, LLC et al. v. City of Burlington, Vermont Supreme Court Docket No. 24-AP 391—addresses the very issue of retroactive zoning. The plaintiffs in this case are challenging Burlington's attempt to retroactively enforce new zoning laws that would eliminate short-term rental operations that were previously allowed.
This case has the potential to set a significant precedent for all Vermont property owners, as it will determine whether municipalities can strip away property rights that were legally established before new zoning regulations were introduced. If Burlington is allowed to retroactively apply these new rules, it could open the door to similar actions in other towns across the state, jeopardizing property owners’ ability to use their property as they see fit.
This Affects All Vermont Property Owners
While the issue may seem to revolve around short-term rentals, it’s much bigger than that. If Burlington—or any Vermont town—is allowed to retroactively ban an established use, it could set a dangerous precedent for all types of property owners: residential, home-based businesses, commercial, industrial, agriculture, and more.
This is a question that affects all Vermont property owners. Today it’s about short-term rentals, but tomorrow it could be about other uses that were once legally established.
How To Protect Your Property Rights
The legal battle in Burlington isn’t just about short-term rentals. It’s about defending a fundamental property right that applies to everyone in Vermont. Property owners must act now to protect their rights from retroactive zoning enforcement.
Here’s how you can help:
Stay informed: Subscribe to VTSTRA’s newsletter for legal updates and to learn more about how zoning laws are evolving in Vermont.
Join the movement: Donate to VTSTRA’s legal defense fund to support property owners’ rights across the state.
Speak up: Share this article and educate local officials about why retroactive zoning bans are unfair and unlawful.
This issue goes beyond short-term rentals—it’s about protecting your right to use your property as you see fit, without the fear of losing that right due to political shifts.
Final Thoughts
Zoning laws should help guide future development, not be used as a tool to revoke existing property rights. Vermont’s courts have already ruled that retroactive zoning enforcement is unlawful. Now, it’s time for property owners to ensure that this principle is upheld and enforced.
If you agree that Vermont should respect property rights and uphold established law, join us in this fight. Because if they can take away this right today, what will they take away next?