Chicago Says Vacant-Property Ordinance Isn't Preempted

Law360, Chicago (June 19, 2013, 4:37 PM EDT) -- An attorney for the city of Chicago told an Illinois federal judge Wednesday that the Federal Housing Finance Agency's suit challenging a local vacant-property ordinance should be axed because the ordinance is not preempted by federal law and the agency lacks authority to bring the case.

Michael Dolesh, a city attorney, told U.S. District Judge Thomas M. Durkin at a hearing on the city's dismissal bid and FHFA's cross-motion for summary judgment that the Housing and Economic Recovery Act of 2008 does not expressly or implicitly preempt local land use laws like the ordinance at issue, which requires mortgage holders to...

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