Search
 

Supreme Court Says Private Property May Be Seized

NEW LONDON, CT-In a 5-to-4 decision, the US Supreme Court rules that governments can seize private property for economic development projects.

By Barbara Jarvie | Updated on June 23, 2005

NEW LONDON, CT-In a 17-page decision, the US Supreme Court has ruled that a local government has the right to use its eminent domain powers to seize private property to transfer it to another private entity. In Kelo v. the City of New London, seven plaintiffs including homeowner Susette Kelo and other property and small business owners, filed suit in December 2000 after New London officials and the New London Development Corp. condemned their Fort Trumbull properties so a number of private development projects could move forward. City officials maintained the projects would bring a great economic benefit to the area.

“The city has carefully formulated an economic development that it believes will provide appreciable benefits to the community,” Justice John Paul Stevens wrote in an opinion joined by Justices Anthony Kennedy, David H. Souter, Ruth Bader Ginsburg and Stephen G. Breyer. “Promoting economic development is a traditional and long accepted function of government.”

In the dissent, Justice Sandra Day O’Connor wrote, “Any property may now be taken for the benefit of another private party, but the fallout from this decision will not be random. The beneficiaries are likely to be those citizens with disproportionate influence and power in the political process, including large corporations and development firms.” She was joined in the dissent by Chief Justice William H. Rehnquist and Justices Antonin Scalia and Clarence Thomas.

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.