EMINENT DOMAIN OVERVIEW

Transcription

1 EMINENT DOMAIN OVERVIEW Madera County Farm Bureau, March By Andrew Turner turner.com

2 Power of Eminent Domain

3 Power of Eminent Domain Power to take private property for public use An inherent ahribute of sovereignty ConsJtuJons place limits on its exercise

4 Constitutional Limitations

5 Constitutional Limitations Private property shall not be taken for public use, without just compensajon. U.S. Cons)tu)on. California ConsJtuJon also requires just compensajon Determined by jury

6 What is Just Compensation?

7 What is Just Compensation? Fair market value of the property being taken Highest price on the date of valuajon No urgent need to buy or sell Full knowledge of uses and purposes Severance damages or damage to the remaining property

8 Goodwill

9 Goodwill Is business acquired or damaged? Benefits that accrue to a business due to circumstances resuljng in retenjon of exisjng business and obtaining new business. EnJtlement: Loss caused by taking Loss cannot be prevented Loss not recovered elsewhere

10 Relocation Benefits:

11 Relocation Benefits: Required by State and Federal laws Must be a displaced person Person or business who moves because of project Includes moving, related expenses and reestablishment expenses

12 Steps to Acquire rough Eminent Domain

13 Steps to Acquire rough Eminent Domain Appraise property before beginning negojajons Provide wrihen offer/wrihen summary of the appraisal prior to beginning negojajons Offer to pay for independent appraisal, not to exceed $5,000

14 If negotiations fail, the condemning agency must:

15 If negotiations fail, the condemning agency must: Give nojce of resolujon of necessity hearing Adopt resolujon of necessity File complaint in eminent domain

16 What happens after the action is commenced?

17 What happens after the action is commenced? 30 days to answer complaint Deposit probable compensajon? If so. Quick take 1. MoJon for immediate possession 2. Hardship agency will suffer v. owner hardship days from mojon will obtain possession 4. Withdrawal of deposit

18 Typical Litigation: Battle Over Just Compensation

19 Typical Litigation: Battle Over Just Compensation HypotheJcal valuajon Consultants Discovery Experts opinions exchanged 90 days before trial Final offer/final demand 20 days before trial 1

20 Typical Litigation: Battle Over Just Compensation EnJtled to trial by jury Trial typically set months ader filing Verdict no lower than agency number or higher than owner number BaHle of experts 2

21 High Speed Rail Issues

22 Notice from Appraiser to Inspect

23 Notice from Appraiser to Inspect Requests informajon about the property Requests informajon about business Request opinions about property Statements can be admissions

24 Full Take

25 Full Take Value of property taken ignoring project Loss of goodwill if a business

26 Part Take

27 Part Take Temporary construcjon easement Severance damages (awkward shaped remainder, elevated tracks, noise, vibrajon, difficult access, etc.) Benefits offset against severance damages Remnant remainder has lihle value

28 Partial Take Valuation Larger Parcel Before Value $1,000,000 Take $100,000 Remainder Before $900,000 Remainder Ader ($600,000) Severance Damages $300,000 Total CompensaJon Take $100,000 Severance Damage $300,000 Total Compensa9on $400,000

29

30

31

32 What to do between now and taking Relating to eminent domain action

33 What to do between now and taking Relating to eminent domain action Property owners Business owners

34 Questions EMINENT DOMAIN OVERVIEW By Andrew Turner (650) turner.com