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What is
eminent domain?
Can eminent domain be used to take my
property and give it to someone else?
What does "public purpose" mean?
How can I find out if my area is being
condemned?
There is a hearing coming up about
designating my area as “blighted.” What does that
mean?
I've been told that if I don't sell my
property voluntarily, the developer will take it
anyway and I'll get less money. Is that true?
What does "just compensation" mean?
What is a Pro Tanto Award?
If the police suspect criminal activity
on my property can I still receive a Pro Tanto Award
during eminent domain proceedings?
What if I was unaware of any criminal
activity being conducted on my property?
Can I challenge the government's right
to acquire my property?
What if I AM successful in challenging
the government's right to take my property?
If I am unsuccessful in my challenge,
will I have any liability for the government's legal
costs?
What steps must the government take in
order to acquire my property by eminent domain?
Must the government make me an offer for
my property before filing a court action?
Am I entitled to a copy of the appraisal
report done by the government?
Am I required to accept the amount of
the government's offer or can I seek a higher price?
Must the government give me notice
before deciding to take my property by eminent domain?
At what point in time can the government
take possession of my property?
What is eminent domain?
Eminent domain is the power of the government to take private property
belonging to its citizen's for public use. It can also be called
"condemnation." Recognized public uses include, but is not limited to,
schools, parks, roads, highways, subways, fire and police stations, public
buildings, and the elimination of blight through redevelopment. A key
attribute of eminent domain is that the government can exercise its power
of eminent domain even if the owner does not wish to sell his or her
property.
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Can eminent domain be used to take my property and give it to someone
else?
Generally, property may only be condemned for "public use." However, some
state courts allow eminent domain to be used for private corporations that
hold public utilities, like electric companies and railroads.
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What does "public purpose" mean?
In order to take private property under the powers of eminent domain, the
government must show that it would be used for a public purpose.
Generally, the government is given a lot of leeway on what constitutes a
public purpose. Generally only a public benefit is required.
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How can I find out if my area is being condemned?
Often the first step before condemnation is a redevelopment plan. Get a
copy of this plan and look to see if your property is included. Also talk
to your local officials and agencies for further information.
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There is a hearing coming up about designating my area as “blighted.”
What does that mean?
Designating an area as blighted is usually is the first step before using
eminent domain. Once the area has been designated as blighted, most states
say that anything within that area can be condemned for the public purpose
of eliminating blight. In some states, blight designations last for a
certain number of years, and in many they last forever.
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I've been told that if I don't sell my property voluntarily, the
developer will take it anyway and I'll get less money. Is that true?
Generally speaking, if an agency condemns your property, you are entitled
to "just compensation." In some states, that means the value of your land
and building. It is possible that the developer will offer you more at the
beginning of the proceedings. On the other hand, it is possible that in a
condemnation proceeding, you can show that your property is worth more
than the government's appraisal. You will need to get a sense of what your
property is worth in order to figure out if you are being offered a fair
amount.
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What does "just compensation" mean?
"Just compensation" means that the government must pay you for the land
that they take from you and use for a public purpose.
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What is a Pro Tanto Award?
A pro tanto award is an offer on your property based on the appraisal done
by the government. Most people accept the pro tanto award, but you are not
required to do so. Consult a real estate attorney to determine if you
should accept or reject a pro tanto award.
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If the police suspect criminal activity on my property can I still
receive a Pro Tanto Award during eminent domain proceedings?
Usually not. If the police have reason to believe that you have committed
a criminal activity on your property, they may have the right to seize
your property; which is called a civil forfeiture or condemnation. In a
civil forfeiture, the government is not required to compensate the owner
for taking the property.
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What if I was unaware of any criminal activity being conducted on my
property?
The law provides an innocent owner with a defense to the property seizure.
To prove that you are an innocent owner, you must show that your property
was seized, but you had no knowledge that the property was being used for
a criminal activity.
Do I need an attorney if my property is being taken under Eminent
Domain or a Civil Forfeiture?
It would be in your best interest to contact a real estate lawyer who can
help you negotiate with the government for a proper award for your
property. Additionally, if your property has been seized, a real estate
attorney can help you determine if the government acted appropriately and
whether you are eligible for an innocent owner defense.
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Can I challenge the government's right to acquire my property?
Yes; on occasion, a successful challenge to the government's right to take
a particular property for a particular project is successful, but this is
the exception, not the rule in most cases.
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What if I AM successful in challenging the government's right to take
my property?
If you are successful the eminent domain proceeding may be dismissed and
you may be entitled to litigation expenses. Even with a successful
challenge, the courts often allow the government agency to correct any
procedural mistakes and proceed with the acquisition.
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If I am unsuccessful in my challenge, will I have any liability for
the government's legal costs?
No.
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What steps must the government take in order to acquire my property by
eminent domain?
Generally, the following steps are taken:
- Initial contact by the government to express interest in your land and
schedule the appraisal
- Appraisal of the property
- Offer to purchase the property is made to the owner
- Notice of public hearing to adopt "resolution of necessity" to acquire
the property
- Public hearing is held
- Discovery takes place and both parties hire appraisers to determine
"fair market value" of the propert
- Final settlement offers and demands are exchanged
- If settlement cannot be reached, trial of the eminent domain action
takes place
- Jury returns verdict and judgment is entered
- Government pays judgment within 30 days following entry of judgment
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Must the government make me an offer for my property before filing a
court action?
In most states the answer to your question is, yes.
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Am I entitled to a copy of the appraisal report done by the
government?
The agency must provide the owner only with a brief summary of the
appraisal upon which the offer is based.
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Am I required to accept the amount of the government's offer or can I
seek a higher price?
A property owner is not required to accept the condemning agency's offer.
Instead, the property owner may make a counter offer. Property owners
often receive higher compensation than the amount of the condemning
agency's offer by asserting a claim for greater compensation in the
eminent domain proceeding. This is, of course, not always the case.
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Must the government give me notice before deciding to take my property
by eminent domain?
Yes. The condemning agency must give the property owner notice of the
hearing and an opportunity to speak.
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At what point in time can the government take possession of my
property?
Generally, a property owner will be given 90 days to vacate the property.
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