Eminent Domain: A Constitutional Power Explained

when was eminent domain added to the constitution

The concept of eminent domain is derived from the Latin term 'Eminenes Dominium', which refers to the government's power to appropriate private property for public use, with or without the owner's consent. While eminent domain is not explicitly mentioned in the US Constitution, its use is limited by the Fifth Amendment, which states that private property cannot be taken for public use without just compensation. The Fifth Amendment does not create the national government's right to use eminent domain power but rather restricts it to public use. Eminent domain has been used to facilitate transportation, supply water, construct public buildings, and aid in defense readiness.

Characteristics Values
Date added to the US Constitution 1791 (as part of the Fifth Amendment)
What it refers to The government's power to take private property and convert it into public use
Limitations The Fifth Amendment states that the government may only exercise this power if they provide just compensation to the property owners
Other names Takings Clause, Just Compensation Clause
Notable cases Kelo v. City of New London (2005), Kohl v. United States (1875/1876), United States v. Gettysburg Electric Ry. (1896), Midkiff, County of Wayne v. Hathcock (2004)

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The Fifth Amendment

Eminent domain refers to the power of the government to take private property and convert it into public use, often referred to as a "taking". This power is inherent in the government and may be delegated to other governmental bodies or, in certain circumstances, to private corporations. The Fifth Amendment does not create the national government's right to use eminent domain power, but rather limits it to public use and requires just compensation.

The Takings Clause, or Just Compensation Clause, of the Fifth Amendment mandates that if the government takes private property for public use, it must provide "just compensation". This compensation is typically understood to be the fair market value of the property. However, there is no precise definition of "just compensation" in the Takings Clause, and courts have interpreted it in various ways.

The Supreme Court has consistently deferred to the right of states to make their own determinations of public use. In the Kelo v. City of New London case in 2005, the Supreme Court allowed a taking when the government used eminent domain to seize private property to facilitate private economic development. The Court considered this to be a public use as it would contribute to the general economic development of the community. This decision caused controversy and led to many states passing laws restricting the government's takings abilities and implementing stricter definitions of "public use".

In summary, the Fifth Amendment of the US Constitution places important limitations on the government's power of eminent domain by requiring just compensation for any taking of private property for public use. The interpretation and application of this amendment continue to evolve through court cases and state legislation.

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The Takings Clause

The original understanding of the Takings Clause was clear on two points. Firstly, it required compensation when there was a physical taking of private property by the federal government. Secondly, it did not require compensation when government regulations limited the ways in which property could be used. However, in 1922, the Supreme Court's decision in Pennsylvania Coal v. Mahon established a new precedent. The Court held that compensation must be provided when government regulations "go too far" in diminishing the property's value.

The exercise of eminent domain is not limited to real property, and governments may also condemn personal and intangible property, such as contract rights, patents, trade secrets, and copyrights. The power of eminent domain is inherent in the government and can be delegated to other governmental bodies or private corporations when promoting a valid public purpose. The Supreme Court has consistently upheld the right of states to make their own determinations of public use and decide on eminent domain procedures within their respective territories.

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The Just Compensation Clause

The concept of just compensation is based on the idea of providing fair market value for the property being acquired. This typically involves a determination of the property's highest and best use, followed by the application of appropriate appraisal methodologies to arrive at a credible valuation. Courts have generally favoured the use of fair market value as the primary measure of just compensation, with some variation depending on the jurisdiction.

While the Takings Clause primarily applies to tangible property, it also extends to intangible property, such as contract rights, patent rights, trade secrets, and copyrights. This protection of intangible assets ensures that compensation must be provided if the government condemns or appropriates these types of property for public use.

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The transformation of the Takings Clause

The Takings Clause, also known as the Fifth Amendment, was added to the United States Constitution in 1791 as part of the Bill of Rights. The clause states, "nor shall private property be taken for public use, without just compensation." This provision was included to protect individuals' property rights from government seizure without fair payment. Over time, the interpretation and application of the Takings Clause have evolved, shaping the understanding of eminent domain and the government's ability to acquire private property for public purposes.

In the early years following its adoption, the Takings Clause was interpreted narrowly, with a focus on physical occupation or direct appropriation of private land by the government. This interpretation aligned with the historical context of the time, as the Founding Fathers sought to prevent the arbitrary confiscation of property rights by the state, a practice that had occurred under colonial rule. As such, early cases involving the Takings Clause often centred on the government's physical taking of property for projects like roads, canals, and fortifications.

However, the transformation of the Takings Clause began in the late 19th and early 20th centuries with the rise of regulatory takings jurisprudence. This evolution was driven by the increasing complexity of government regulations and their potential impact on private property rights. The concept of regulatory takings emerged from the understanding that while the government may not physically appropriate private land, certain regulations could significantly affect its use and value, effectively depriving owners of their property rights.

A key case that shaped this transformation was Pennsylvania Coal Co. v. Mahon (1922). In this case, the Supreme Court recognized that while regulations that promote the health, safety, and welfare of the public are generally valid, they could go too far and amount to a taking if they substantially interfere with private property rights. This decision established the framework for regulatory takings claims and introduced the concept of balancing public interests against private property rights.

In conclusion, the transformation of the Takings Clause reflects the evolving nature of constitutional interpretation and the dynamic relationship between government powers and individual rights. The expansion of the clause to encompass regulatory takings demonstrates the adaptability of constitutional principles to address modern challenges. As the understanding of eminent domain continues to evolve, the interpretation of the Takings Clause will likely remain a subject of legal scholarship, political debate, and judicial review.

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The Kelo decision

Susette Kelo, the lead plaintiff, sued the city of New London, Connecticut, for violating her civil rights. The city had tried to acquire her house's property through eminent domain, intending to use the land as part of a "comprehensive redevelopment plan". Kelo's neighbourhood was located where the Thames River meets the Long Island Sound, and in 1998, pharmaceutical giant Pfizer built a plant nearby. The city determined that another party could make better use of the land, and so they sought to use eminent domain to transfer ownership of the land from Kelo and her neighbours to a private developer.

The Supreme Court ruled against Kelo and her neighbours in a 5-4 decision, holding that the use of eminent domain to transfer land from one private owner to another private owner to further economic development does not violate the Takings Clause of the Fifth Amendment. Justice John Paul Stevens wrote for the majority that the city's use of eminent domain was permissible under the Takings Clause because the general benefits the community would enjoy from economic growth qualified as "public use".

Frequently asked questions

Eminent domain is the power of the government to take private property and convert it into public use.

The concept of eminent domain was not explicitly added to the US Constitution. However, the Fifth Amendment, which was added in 1791, limits the government's power by requiring just compensation for the fair market value of the property.

For most of the 19th and early 20th centuries, eminent domain was permitted only for true public uses such as roads, bridges, parks, and public buildings. Over time, the courts expanded the interpretation to include private companies like railroads and public utilities, as long as they provided public access and were tightly regulated. More recently, in the 2005 Kelo v. City of New London case, the Supreme Court broadened the government's power by allowing eminent domain for "economic development", sparking significant controversy and legal changes in many states.

Examples of eminent domain being used include the Supreme Court cases of California v. Central Pacific Railroad (1888), Luxton v. North River Bridge Co. (1894), Cherokee Nation v. Southern Kansas Ry (1890), and Albert Hanson Lumber Co. v. United States (1923). In addition, the Land Acquisition Section has contributed to the creation of many federal parks, preserves, historic sites, and monuments.

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