The Village of Old Westbury is situated on some of Nassau County’s most costly residential land, where mansions are concealed behind stone walls and zoning laws preserve the kind of peace that only wealthy people can afford. This wealthy Long Island community has been embroiled in a court dispute with Rabbi Aaron Konikov and the Lubavitch of Old Westbury for almost 20 years over a synagogue that the hamlet opposed. That battle ultimately came to an end in April 2026 when the village’s insurance companies agreed to pay a nineteen-million-dollar settlement, concluding a case that federal justices had already determined years before.
Although the litigation started in 2008, the conflict existed for almost ten years before the complaint was filed. The dispute began in 1994 when the Lubavitch group first settled in Old Westbury and local authorities began looking for ways to restrict religious events on the land, according to village records and court documents. Anyone observing the village board meetings throughout those years could see the resistance solidifying into policy; it’s the kind of slow-building hatred that doesn’t make headlines until it reaches a courtroom.
| Category | Details |
|---|---|
| Case Name | Rabbi Aaron Konikov & Lubavitch of Old Westbury vs. Village of Old Westbury |
| Settlement Amount | $19 million USD |
| Settlement Date | April 2026 |
| Lawsuit Filed | 2008 |
| Duration | Nearly 20 years |
| Location | Village of Old Westbury, Nassau County, New York |
| Property Address | Glen Cove Road, Old Westbury, NY |
| Plaintiff | Rabbi Aaron Konikov and Lubavitch of Old Westbury (Chabad) |
| Defendant | Village of Old Westbury |
| Central Allegation | Village unconstitutionally blocked synagogue construction through discriminatory zoning |
| Key Zoning Requirement | 12-acre minimum plot size for religious buildings |
| Federal Ruling | Zoning ordinances designed to prevent synagogue; constituted discrimination |
| Payment Source | Village insurance providers |
| Proposed Facility Size | 20,875 square feet |
| Permit Deadline | January 15, 2027 (special-use permit application) |
| Conflict Origins | 1994 (initial animosity toward Lubavitch presence) |
A zoning regulation that mandated twelve-acre minimum sites for religious structures ultimately undermined Old Westbury’s defense. After reviewing that rule, a federal judge came to the conclusion that it had nothing to do with controlling traffic or maintaining neighborhood character. The synagogue was to be shut down. According to the court, there was blatant discrimination under federal religious liberty rights because the village had purposefully created its zoning restrictions to exclude the Chabad community from developing. Settlements are unavoidable once a federal court renders that decision. How much is the only question.
Even if insurance pays the claim, nineteen million dollars is an enormous amount for a community the size of Old Westbury. It’s important to note that the funds don’t originate from property taxes or village budgets, which likely lessens the political hit to local leaders. However, following such large payouts, insurance prices rise, and no coverage can compensate for the damage to one’s reputation. Old Westbury is currently used as an example of how not to resolve zoning conflicts involving houses of worship in legal textbooks and religious liberty case studies.
There are conditions in the settlement that go beyond the monetary amount. The Lubavitch group must apply for a special-use permit by January 15, 2027, in order to build a facility on Glen Cove Road that will be slightly less than twenty-one thousand square feet in size. Another possible flashpoint is created by that deadline. It’s one thing to apply for a permit; it’s quite another to actually receive approval and deal with the inevitable appeals and procedural obstacles. It’s possible that Rabbi Konikov and his congregation will continue to encounter opposition under the pretense of technical compliance issues—the kind of bureaucratic friction that halts projects without ever saying no outright.
This is part of a larger pattern that goes well beyond Old Westbury. In wealthy suburban neighborhoods, when homeowners are concerned about increased traffic, altered neighborhood character, or just the presence of groups they don’t want as neighbors, religious land-use issues have grown unexpectedly common. In order to stop local governments from utilizing zoning regulations as a weapon against religious organizations, the federal Religious Land Use and Institutionalized Persons Act was passed in 2000. The example of Old Westbury illustrates what occurs when local governments disregard these safeguards and believe they will outlast resolute plaintiffs through judicial attrition.

It’s difficult to picture the type of synagogue the Lubavitch congregation intends to construct blending in with the expansive estates and country clubs of Old Westbury. However, the law is specifically intended to alleviate that discomfort. Being free to practice your religion does not limit you to places of worship that mix in with the surrounding architecture. It means that no matter how well the regulations are made to sound neutral, discriminating zoning cannot be utilized to keep your church out.
The village’s decision to battle the lawsuit for almost 20 years raises concerns about political strategy and legal counsel. Presumably, village lawyers told officials at some time during those two decades that the federal decision rendered their position untenable and that further litigation would simply drive up expenses. However, Old Westbury continued to fight, perhaps because of their convictions, their obstinacy, or their sincere hope that they would win on appeal. That decision, which came at a cost of nineteen million dollars, produced the same result as a settlement years earlier, but at a far larger cost.
When building actually starts, it’s still uncertain how the neighborhood will react. Although the legal struggle is finished, court decisions have not addressed the underlying problems that led to the confrontation in 1994. It seems as though the settlement closes one chapter and ushers in a potentially controversial phase including permits, inspections, construction schedules, and all the little administrative choices that have the power to either expedite or permanently postpone a project.
For twenty years, Rabbi Konikov and the Lubavitch community have battled for the right to construct a synagogue in a village that has made it obvious that it does not want them there. Although the settlement affirms that zoning restrictions cannot be used as a weapon against religious organizations and supports their endurance, community acceptance is not usually a result of vindication. If the permit process doesn’t turn into another battlefield, the facility will be constructed. The question of whether it is accepted is somewhat different.
From the outside, the Old Westbury case seems like a costly lesson in what occurs when local opposition collides with federal rights for religious liberty. Even when insurance covers the cost, $19 million is a significant price to keep exclusivity. Furthermore, Rabbi Konikov believes that waiting twenty years for something that the law claims should have been permitted all along is excessive.