City Sues B & B Owners

by Lyn Reed

The case of the City of New Orleans v. Alexander and James Derbes brings the problem of illegal bed and breakfast establishments into the courts and the media. The heart of the case is that neither Derbes lives on premises during operation of the property at 2216 Esplanade Avenue as a B&B. The law dictates that an owner must live on premises.

The implications of this litigation are far reaching since enforcement of City laws governing B&B's has historically been lax. Upon learning of the City's suit, French Quarter Citizens for Preservation wrote to the City Attorney to praise that office for their action and to encourage vigorous pursuit of the litigation.

During the initial hearing on May 7, Civil District Judge Piper Griffin issued a preliminary injunction prohibiting the premises from being used as a B&B until the owners can obtain a homestead exemption for the property. This was a great victory. However, one week later the Judge suspended that order and allowed the B&B to continue to operate until her first ruling can be challenged in the 4th Circuit Court of Appeals.

In the meantime, James Derbes gave his longtime housekeeper/manager a one-eighth share in the B&B. She now lives on the premises and is in the process of applying for the homestead exemption. If she is successful, the preliminary injunction will automatically be cancelled.