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Russell Allen Nordyke Sallie Nordyke, Dba Ts Trade Shows v. Santa Clara County Santa Clara County Fairgrounds Management Corporation, Inc., a California Nonprofit Corporation Michael Honda Bianca Alvarado Ron Gonzales James T. Beall, Jr. Dianne McKenna Carl Cookson Barbara Perzigian Robert Quinlan Jaime Rosso Jack Rouleau Steve Tedesco John Vidovich, in Their Official Capacities

Citations: 110 F.3d 707; 97 Daily Journal DAR 4562; 97 Cal. Daily Op. Serv. 2538; 1997 U.S. App. LEXIS 6303Docket: 96-16377

Court: Court of Appeals for the Ninth Circuit; April 3, 1997; Federal Appellate Court

Narrative Opinion Summary

The case involves an appeal by Santa Clara County against a district court's ruling that declared an addendum to a lease with the Santa Clara County Fairgrounds Management Corporation (SCCFMC) unconstitutional. The addendum, which aimed to prohibit gun sales at the Fairgrounds to improve its image and reduce gun-related violence, was challenged by the Nordyke appellees, former hosts of gun shows, as a violation of their First Amendment rights. The district court found the addendum unconstitutional, asserting that it restricted commercial speech protected by the First Amendment. The appellate court affirmed this decision, applying the Central Hudson test to determine that the addendum failed to directly advance a substantial governmental interest and was more extensive than necessary. The court also addressed preemption issues, noting that lease terms are not typically subject to preemption like statutes or regulations. The ruling underscored the importance of lawful activity in determining the protection of commercial speech and highlighted the inadequacy of the addendum in effectively regulating gun sales at the Fairgrounds.

Legal Issues Addressed

Central Hudson Test for Commercial Speech

Application: The court uses the Central Hudson test to evaluate the addendum's restriction on commercial speech related to gun sales.

Reasoning: The Central Hudson test, which assesses the constitutionality of commercial speech restrictions, remains challenging to apply, but case law suggests it accommodates beneficial commercial speech while suppressing less favorable expressions.

First Amendment Protection for Commercial Speech

Application: The court applies First Amendment protections to the sale of firearms at gun shows, considering it lawful commercial speech.

Reasoning: The Supreme Court defines commercial speech as speech that proposes a commercial transaction. Thus, an offer to sell firearms qualifies as commercial speech under the First Amendment.

Governmental Interest and Regulation of Commercial Speech

Application: The court examines whether the addendum directly advances a substantial governmental interest and is not more extensive than necessary.

Reasoning: However, the addendum does not directly advance the asserted governmental interest; it merely reflects concerns about gun proliferation while allowing gun shows to continue.

Preemption and Lease Terms

Application: The court discusses the issue of preemption in the context of lease terms and distinguishes it from statutory or regulatory preemption.

Reasoning: Preemption typically applies to statutes or regulations, not lease terms; therefore, a lease provision that exceeds Santa Clara County's authority would be unenforceable, but addressing this issue requires complex interpretation of state and federal law, which is better avoided if possible.

Preliminary Injunction Standards in the Ninth Circuit

Application: The court evaluates the preliminary injunction based on the likelihood of success on the merits and potential irreparable harm.

Reasoning: For a preliminary injunction in the Ninth Circuit, the moving party must demonstrate probable success on the merits and potential irreparable harm, or that serious questions exist with a favorable balance of hardships.