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Church may forfeit land
June 27, 2007

Breakaway churches may have to give property back to the Episcopal church.
By Greg Mellen, Staff writer (Long Beach CA) Press-Telegram
Article Launched: 06/26/2007 10:50:42 PM PDT

In a stunning reversal of a lower court decision, an appeals court ruled Tuesday that a Long Beach church may have to forfeit its property to the Episcopal church from which it seceded in 2004.

A three-judge panel of the California Court of Appeals upheld a claim by the Episcopal Diocese of Los Angeles and the Episcopal church that it had rights to property of three breakaway churches, including All Saints, at 346 Termino Ave.

The ruling overturned a 2005 decision by Judge David Velasquez in favor of All Saints, St. David's of North Hollywood and St. James Parish in Newport Beach.

The three churches drew national attention when they broke away from the Episcopal Church over disputes in church doctrine, including the ordination of an openly gay bishop in New Hampshire and the blessing of same-sex unions. The three churches subsequently aligned themselves with an Anglican diocese in Africa.

Even though the dissident churches had bought, maintained and owned titles to their property, the Los Angeles diocese claimed the churches' property and hymnals belonged to the larger church under church canons and were held in trust by the smaller parishes.

Eric Sohlgren, an attorney who has represented the breakaway churches, said the churches were "obviously very disappointed" with the ruling.
He said the churches were considering appealing the ruling to the California Supreme Court.

"I was surprised the court adopted a method that has been overwhelmingly rejected in the state for over three decades," Sohlgren said.

Sohlgren labeled the ruling by the Fourth Appellate District, Division Three, an "anomaly" and said it stood in opposition with findings by other appellate courts.

"We have one division in one district going in a different direction than the law that has been developing in California," Sohlgren said.

In his initial rulings in favor of the breakaway churches, Velasquez wrote the Episcopal organizations had not "produced competent evidence of an express trust."

Although the Episcopal Church in 1979 enacted a canon proclaiming property of parishes were held in trust for the larger church, the parishes say they never agreed to the canon and were not bound by it.

However, Presiding Judge David Sills in his ruling wrote "the right of the general church in this case to enforce a trust on the local parish property is clear."

In a seemingly parallel case decided in 1981, in which four parishes broke from the diocese, the appellate court supported three of the churches in their efforts applying so-called "neutral principles" of law.

In his earlier decision, Velasquez used the 1981 decision as his guide.

Bishop J. Jon Bruno of the Diocese of Los Angeles was happy with the ruling.

In a statement, Bruno said "we now have clear judicial recognition that parish property is dedicated forever for the mission and ministry of the Episcopal Church."

Sohlgren said the leadership at the breakaway parishes had only received news of the appellate ruling late Tuesday. He said he expected a decision within a week on whether to appeal to the California Supreme Court.

Greg Mellen can be reached at greg.mellen@presstelegram.com or (562) 499-1291.