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THE KELO DECISION

EMINENT DOMAIN FAQs

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WHAT SHOULD I DO WHEN APPROACHED BY A RIGHT-OF-WAY AGENT?

• Be polite, but say as little as possible to the Agent in regard to your property.
• Ask the agent why and how much of your property is being taken.
• Request a copy of the appraisal.
• Save all documentation from the agent.
• DO NOT SETTLE FOR THE GOVERNMENT’S INITIAL OFFER.
• Contact THE JUSTICE FIRM at (888) 377-6990 for a free consultation to get “just compensation” for your property.

WHAT IS "JUST COMPENSATION"?

When the government or private condemnor takes property using their power of eminent domain, they are required by the Fifth Amendment to the U.S. Constitution to pay "just compensation" for the property. Unfortunately for many property owners, there is no set rule or standard which establishes "just compensation". Therefore, the government's (or private condemnor's) initial offering for the property is often accepted without challenge to its accuracy and validity. Just as in any real estate purchase, it benefits the purchaser—in this case, the State and its agents—to obtain the property at the lowest cost possible. And though there are many ways to accurately assess both the current and potential value of property, they are NOT legally required to inform you of any of these methods, nor are they obligated to tell you what your property MAY be worth when you assert your legal right to use other calculations.

AS A LANDOWNER OR TENANT, WHAT ARE MY RIGHTS?

If your land is condemned (taken for public use), it is your constitutional right to receive “just compensation”. The amount of compensation initially determined to be “just” varies greatly, which is why it is so important to hire the right legal counsel to protect your interests.

The State’s power of eminent domain (granted in the Fifth Amendment to the U.S. Constitution) is necessary if we are to have roads, schools, utility plants, etc. However, those sacrificing their property for the public good are also required to be justly and fully compensated for their loss by the provisions of the same Amendment.

In any negotiation, your adversary’s purpose is to get the best deal. When the State asserts its right of eminent domain and takes your property, the government becomes your adversary. It is not in the government’s best interest to inform or disclose all that you are entitled to receive, nor is it compelled by law to do so. In fact, they recommend that you seek legal counsel as the onus is on you to know your rights to receive all to which you are entitled.

When the State does exert its power of eminent domain to take your home, business, acreage, etc., THE JUSTICE FIRM works tirelessly to see that you are fully compensated for the real value of your property, as well as for damages to any remaining property, loss of business and/or any other compensations that you are entitled by law to receive.

WHAT DOES THE SUPREME COURT'S RECENT KELO DECISION MEAN TO ME?

It means that they have allowed a broader definition of the reasons by which the State can take property using its power of eminent domain. Though each State has its own set of eminent domain laws, it was generally held that the government can take private property for the "public" good, i.e., highways, schools, hospitals, dams, water treatment plants, etc.

The KELO decision now allows the State to take private property for use by private developers to build malls, condos, hotels, office parks—and so on—with the hope that these projects will stimulate the local economy by adding jobs, retail/wholesale venues, tourists, etc., and thereby increasing tax revenues for the community.

Though it remains to be seen whether or not the merits of this decision prove to be justified, the fact remains that the government has been given a wider range of legal justification to take private property. If YOUR property is taken, it's up to you to be aware of your rights and to insure that you receive full, accurate and "just" compensation.

eminent domain: the government's (and other legally sanctioned entities) power to take private property for public use.