Eminent domain authorizes government entities to acquire your private property for public use. Your acquired property can be used to build highways and other public infrastructure.
In Texas, you are entitled to compensation when your land is taken under eminent domain. You may not have been aware that compensation can extend beyond the property’s market value. Here are some damages you can file for in an eminent domain case.
Severance damages
When only a portion of your property is taken, the value of the remaining land may diminish. This is known as severance damages. For example, if a highway project divides your property, the remaining portion may become:
- Less accessible
- Less functional
- Aesthetically less desirable
- Less valuable than when you acquired the entire parcel of land
You can claim compensation for this reduction in value.
Business losses
If the taken property includes a business, you may suffer financial losses due to:
- The interruption of operations
- Lost profits during the transition period
- The disruption caused by moving to a new location
State law allows you to seek compensation for these financial setbacks.
Relocation costs
Relocation can significantly burden you when you become displaced by eminent domain. You may be entitled to reimbursement for moving your residence or business. These costs can include:
- Packing
- Transporting belongings or inventory
- Storage expenses
Compensation can help alleviate the financial strain of being forced to relocate.
Loss of goodwill
The location of your business undoubtedly plays a vital role in building customer loyalty. When your business is forced to relocate due to eminent domain, it may lose this goodwill. Compensation for the loss of goodwill can help offset the challenges of re-establishing a business in a new location.
Pre-condemnation damages
Sometimes, the government’s actions leading up to a condemnation can have negative impacts. Actions that lower the property’s value before it is officially taken can give rise to pre-condemnation damages. These damages aim to hold the government accountable for any harm caused before the formal exercise of eminent domain.
Impact on access and visibility
Partial property takings can cause changes to the access and visibility of your property. This can significantly affect the usability or market value of the remaining property. For example, a new road construction can alter how customers access your property. You may claim compensation for these impacts to help ensure you are not unfairly burdened by changes that diminish the functionality or appeal of your property.
Suppose your property gets acquired under eminent domain; a seasoned eminent domain legal practitioner can help you identify all applicable damages. You may need help gathering evidence to support your claims and negotiating effectively with the condemning authority.