This lawsuit was brought by several homeless people with mental and physical disabilities against the City of Laguna Beach in the U.S. District Court for the Central District of California. The plaintiffs, represented by the Southern California chapter of the ACLU and private counsel, accused the city and the Laguna Beach Police Department (LBPD) of violating the Eighth and Fourteenth Amendments of the U.S. Constitution, Title II of the Americans with Disabilities Act (ADA) (42 U.S.C. § 12132), Section 504 of the Rehabilitation Act (RA) (29 U.S.C. §§ 706, 794), and Article I, sections 7 and 17 of the California Constitution by targeting disabled homeless people under laws restricting camping in public spaces. The plaintiffs argued that the Alternative Sleeping Location (ASL), a small emergency shelter created by the county as part of the settlement of a previous lawsuit, did not provide adequate accommodations for homeless persons with disabilities, leaving them with no viable alternative to camping in public spaces. The plaintiffs brought their suit under 42 U.S.C. §1983, the Declaratory Judgement Act (28 U.S.C. §2201), and California law. They sought preliminary and permanent injunctive relief, declaratory relief, nominal damages, and attorneys’ fees. More specifically, the plaintiffs sought a declaration that the city was violating the law and an injunction preventing the city from enforcing anti-camping laws and requiring that the city provide new accommodations suitable for housing homeless people with disabilities.

On November 23, 2015, the plaintiffs sought a preliminary injunction that would prevent the LBPD from enforcing anti-camping laws against disabled homeless people pending the final outcome of the suit. Judge Andrew J. Guilford denied the plaintiffs' motion on February 10, 2016, finding that the plaintiffs’ claims for injunctive relief were unlikely to succeed at trial.

On May 4, 2016, the plaintiffs filed a second amended complaint in order to introduce additional plaintiffs. Shortly thereafter, the plaintiffs filed a motion for class certification.

On October 31, 2016, both parties filed cross-motions for summary judgment. The plaintiffs moved for summary judgment to establish that the defendants violated (1) the prohibition against cruel and unusual punishment under the Eighth and Fourteenth Amendments and analogous provisions of the California Constitution, and (2) Title II of the ADA and Section 504 of the RA. The defendants moved for summary judgment on all of the plaintiffs’ claims. On June 25, 2017, Judge Guilford granted the defendants' motion for summary judgment on the Eighth Amendment cruel and unusual punishment claims and the substantive due process claims. Judge Guilford denied both parties' motions for summary judgment on the ADA and RA claims.

On June 23, 2017, Judge Guilford granted the plaintiffs' motion for class certification in part, only with respect to the plaintiffs' remaining ADA and RA claims. The named plaintiffs represented a class consisting of "[a]ll homeless persons who reside or will reside in the geographic area of Laguna Beach who have a mental and/or physical disability as defined under section 504 of the Rehabilitation Act and Americans with Disabilities Act and who have been, or are likely to be, cited for violations of California Penal Code section 647(e), Laguna Beach Municipal Code section 8.30.030 and/or Laguna Beach Municipal Code section 18.05.020."

Following nearly a year of settlement negotiations, during which the parties exchanged voluminous discovery and engaged multiple experts, the parties agreed to settle all claims in the lawsuit and filed a motion for preliminary approval of their proposed settlement agreement with the court on June 6, 2018. Under the terms of the Class Claims Settlement Agreement, the Laguna Beach City Council will adopt a resolution affirming its commitment to end homelessness in the City of Laguna Beach. Additionally, the City agreed to a number of measures designed to accommodate disabled persons experiencing homelessness in Laguna Beach. Such measures include, for instance, the continued designation of a full-time City employee to serve as the City’s “ADA Coordinator;” the adaptation of existing grievance procedures to more directly address the needs of ASL guests; the permanent posting of a Reasonable Accommodations Notice at the ASL explaining the process for requesting and obtaining reasonable accommodations; and more. The plaintiffs' counsel did not seek attorneys' fees.

On October 23, 2018, the parties filed a motion for final approval of their settlement agreement. Judge Guilford approved the motion on November 5, 2020. The court retains jurisdiction to enforce the settlement.