Fines

Why Did a California County Fine Them Over $1 Million for Someone Else's Code Violations?

A recent settlement crippled a local code enforcement scheme—and exposed the perils of turning petty violations into government revenue streams.

Billy Binion | 9.20.2026 7:00 AM

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Corrine and Doug Thomas (Institute for Justice)

Thanks to a settlement with several property owners, a wrecking ball is about to hit one California county's cannabis code-enforcement scheme—a system that piled ruinous fines on people for violations they say they did not actually commit.

Corrine and Doug Thomas, two of the plaintiffs, were staring down more than $1 million in civil penalties. That came with a twist. Humboldt County, California, said their property's previous owner, Summerville Creek LLC, had been in "violation of the commercial cannabis land use ordinance," had constructed "a building or structure in violation of building, plumbing, and electrical codes," and had "facilities or activities in violation of the........

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