A purpose for which private property may be taken under the Fifth Amendment that is satisfied when the condemnation is intended to permit access or benefit by the general public.
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How its tested
Common Examples
6
Highway Condemnation For Travelers
The state condemns Uma Upadhyay's farmland to build a public highway. The highway will be open to any driver who pays the toll or uses the free lanes. Because the purpose is use by the public at large, the taking satisfies the constitutional requirement.
Beach Access Exaction Upheld
Ulysses Ulrich owns oceanfront land and seeks a building permit. The commission conditions approval on a lateral easement allowing the public to walk across the dry sand. The easement directly serves use by the public and therefore meets the public-use test.
Nollan v. California Coastal Commission483 U.S. 825, 834 (1987)
The Nollans own a beachfront lot in Ventura County, California.
A concrete seawall approximately eight feet high separates the beach portion of their property from the rest of the lot. The historic mean high tide line determines the lot's oceanside boundary. The Nollans originally leased their property with an option to buy, and the building on the lot was a small bungalow totaling 504 square feet.
The Nollans' option to purchase was conditioned on their promise to demolish the bungalow and replace it. On February 25, 1982, they submitted a permit application to the California Coastal Commission proposing to demolish the existing structure and replace it with a three-bedroom house.
The Commission informed them that the permit would be granted subject to the condition that they allow the public an easement to pass across a portion of their property bounded by the mean high tide line and their seawall. On June 3, 1982, the Nollans filed a petition for writ of administrative mandamus in the Ventura County Superior Court to invalidate the access condition. The court remanded the case to the Commission for a full evidentiary hearing.
After the hearing, the Commission reaffirmed the condition. The Superior Court ruled in favor of the Nollans on statutory grounds and directed that the permit condition be struck. While the Commission's appeal to the California Court of Appeal was pending, the Nollans tore down the bungalow, built the new house, and bought the property. The Court of Appeal reversed the Superior Court. The Nollans appealed to this Court, raising only the constitutional question.
Usha Upton's corporation owns an entire town and posts signs barring outsiders. Residents invite the public to shop and worship on the streets. Once the owner opens the property for use by the public, constitutional speech protections attach to those areas.
Marsh v. Alabama326 U.S. 501 (1946)
Chickasaw, Alabama, is a suburb of Mobile owned entirely by the Gulf Shipbuilding Corporation. The property includes residential buildings, streets, a sewage system and disposal plant, and a business block containing stores and a United States post office. A deputy sheriff of Mobile County, paid by the corporation, serves as the town policeman.
The business block and its sidewalks serve as a regular shopping center for residents and the public. Company-owned roads connect to a nearby four-lane public highway. Nothing distinguishes the area from any other town except corporate title.
Grace Marsh, a Jehovah’s Witness, entered the sidewalk in front of the business block near the post office and began distributing religious literature. The corporation had posted notices declaring the property private and prohibiting street vendors, agents, or solicitation of any kind without written permission. Marsh was warned that distribution required a permit, was told no permit would be issued, and was asked to leave. She refused and was arrested by the company-paid deputy.
Marsh was charged in state court with violating Title 14, § 426 of the 1940 Alabama Code, which makes it a crime to enter or remain on the premises of another after having been warned not to do so. She was convicted. The Alabama Court of Appeals affirmed at 21 So. 2d 558, holding the statute constitutional as applied because title remained in the corporation and public use had not created an irrevocable dedication under Alabama law. The Alabama Supreme Court denied certiorari at 246 Ala. 539, 21 So. 2d 564. The case reached the United States Supreme Court on appeal under 28 U.S.C. § 344(a).
Many people across the United States live in company-owned towns, particularly in industries such as bituminous coal mining where, in the period 1922–1923, roughly half of miners resided in employer-owned housing.
The city takes Usman Uddin's waterfront lots under a comprehensive economic plan. The plan transfers the land to private developers who will build a mixed-use project expected to create jobs and tax revenue. The anticipated public benefits satisfy the public-use requirement.
Kelo, et al. v. City of New London545 U.S. 469, 503 (2005)
In the late 1990s the city of New London, Connecticut, confronted severe economic decline after the 1996 closure of the Naval Undersea Warfare Center, which had employed more than 1,500 people. The city's unemployment rate stood nearly double the state average and its population had dropped below 24,000 residents from a 1970 high of 30,000. State and local officials therefore designated the Fort Trumbull peninsula for targeted economic revitalization.
In 1998 the New London Development Corporation, a private nonprofit entity, was reactivated to prepare a redevelopment plan covering roughly 90 acres. The plan divided the area into seven parcels designated for a waterfront conference hotel and marinas, retail and entertainment space, research and office facilities, parking and park support, residential units, a Coast Guard museum, and additional office and retail uses. The city council formally approved the plan in January 2000 and authorized the NLDC to acquire needed parcels by purchase or, if necessary, by eminent domain.
Petitioners Susette Kelo, Wilhelmina Dery, and seven other owners held fifteen properties within parcels 3 and 4A; ten of those parcels were occupied by the owners or their family members and none was alleged to be blighted. After negotiations with the NLDC failed, the corporation initiated condemnation proceedings against the remaining properties in November 2000.
In December 2000 the petitioners filed suit in New London Superior Court asserting that the proposed takings violated the public-use limitation of the Fifth Amendment. Following a seven-day bench trial the Superior Court entered a permanent restraining order barring condemnation of the parcel 4A properties but denied relief as to the parcel 3 properties.
Both sides appealed to the Connecticut Supreme Court, which upheld the validity of all challenged takings. The United States Supreme Court granted certiorari to review the federal constitutional question.
The state condemns private parcels to extend an existing interstate. Motorists from every state will travel the new segment without restriction. The project supplies direct physical use by the public and therefore meets the Fifth Amendment standard.
Sony Corp. of America v. Universal City Studios, Inc.464 U.S. 417, 435 & n.17 (1984)
In 1976, Universal City Studios, Inc., and Walt Disney Productions, owners of copyrights in motion pictures and other audiovisual works, commenced a copyright infringement action in the United States District Court for the Central District of California against Sony Corporation of America and related entities that manufacture and sell Betamax video tape recorders.
The Betamax consists of a tuner that receives signals from the public airwaves, a recorder that places those signals on magnetic tape, and an adapter that converts the signals for playback on a television set. It includes a timer for unattended recording, a pause button to omit commercials, and a fast-forward control. Surveys of several hundred Betamax owners conducted by both parties in 1978 showed that the primary use for most owners was time-shifting, recording a program for single later viewing and then erasing it. Sony's survey indicated that over 80 percent of interviewees watched at least as much regular television as before owning a Betamax.
Seven point three percent of use was to record sports events whose professional leagues had no objection to home recording, and representatives of religious and educational broadcasters also testified they had no objection. After a lengthy trial, the District Court in 1979 denied all relief to the respondents, finding that time-shifting was fair use, that Sony had no direct involvement with any infringing activity, and that the Betamax was a staple article of commerce capable of substantial noninfringing uses. The court noted Sony's instruction booklet warned that unauthorized recording of copyrighted material may violate copyright laws.
The Ninth Circuit in 1981 reversed the District Court's judgment on the copyright claim, holding petitioners liable for contributory infringement without setting aside any findings of fact, and remanded for consideration of damages or a continuing royalty. The Supreme Court granted certiorari in 1982, ordered reargument in 1983, and issued its decision in January 1984.
Ulysses Usher's railroad right-of-way is taken by the city for a street. The state court refuses compensation because the taking is for a public purpose. The Supreme Court holds that the Fifth Amendment's just-compensation rule applies to the states through the Fourteenth Amendment.
Chicago, Burlington & Quincy Railroad Co. v. City of Chicago166 U.S. 226, 239, 17 S.Ct. 581, 585, 41 L.Ed. 979 (1897)
The City of Chicago, acting under an 1872 Illinois statute that became part of its charter in 1875, passed an ordinance on October 9, 1880, to open and widen Rockwell Street from West 18th Street to West 19th Street by condemning parcels of land owned by individuals and parts of the right of way of the Chicago, Burlington and Quincy Railroad Company within the city limits.
On November 12, 1890, the city filed a petition in the Circuit Court of Cook County seeking condemnation of the property and asking that just compensation be ascertained by a jury, with the railroad company admitted as a defendant along with other interested parties. The jury awarded one dollar as just compensation to the railroad company for the parts of its right of way to be used for the street, while awarding compensation to individual owners for their parcels.
The railroad moved for a new trial, which was overruled, and final judgment was entered in execution of the award. The judgment was affirmed by the Supreme Court of Illinois in 149 Illinois 457. After affirmance the railroad company sued out a writ of error to the United States Supreme Court.
The railroad had raised claims under the Fourteenth Amendment in its motion for new trial and in its assignment of errors filed in the state supreme court. The Illinois statute provided no provision for an answer by defendants in condemnation proceedings, but the railroad asserted its federal claims in the written motion to set aside the verdict and grant a new trial.
Does transferring property to a private developer ever satisfy the public-use requirement?
Yes. When the taking is part of a comprehensive redevelopment plan that the government reasonably believes will produce public benefits such as jobs and increased tax revenue, the public-use requirement is met even though the land ends up in private hands.
Supporting sources
What distinguishes a permissible public-use taking from an impermissible private transfer?
A taking is impermissible if its sole purpose is to confer a private benefit on a particular party. A taking is permissible if its purpose is future use by the public, such as a railroad with common-carrier duties or a project that generates widespread public benefits.
How does the public-use requirement apply to exactions that demand public access?
An exaction requiring public access over private land must have an essential nexus to a legitimate government interest that would justify denying the permit outright. When that nexus exists, the condition serves use by the public and does not constitute an uncompensated taking.
Supporting sources
Does opening privately owned property to the public trigger constitutional obligations?
Yes. When a private owner opens its property for use by the public in general, the owner's rights become subject to the statutory and constitutional rights of those who use it, including speech protections.
Supporting sources
438 U.S. 104, 98 S.Ct. 2646, 57 L.Ed.2d 631 (1978)
…law. This Court noted probable jurisdiction. II The Fifth Amendment provides that "private property [shall not] be taken for public use, without just compensation." It is well settled that the government may impose regulations on private property that substantially advance legitimate state interests without effecting a…