Condemnation/Eminent Domain Law

Upper Midwest Eminent Domain Attorneys

What is Eminent Domain / Condemnation?

The right to own, use and exclude others from your property is one of, if not the most, fundamental constitutional rights in America.  However, governmental bodies and other entities can interfere with one's property rights by condemning or taking property under the power of eminent domain.  Under eminent domain, private property can be taken for "public purposes" or "the public good."  When a property owner's land is taken, the owner is entitled to "just compensation" for his or her land.  In many landowners' eyes, they never can be justly compensated for the loss of their property, as a person's land is unique and irreplaceable.

There are several examples of condemnation and takings that occur quite frequently: municipalities or the state taking a person's property to expand or build a road, school districts taking property to build a school, utility companies taking property with public authority to build or expand a gas pipeline or transmission line, and property taken for urban renewal.

Can my Property be Taken for Non-Governmental Purpose?

In 2005, the United States Supreme Court in the controversial case of Kelo v. City of New London held that the government could acquire property under eminent domain authority for private, non-governmental purposes.  Wisconsin and many other states, in fear of overreaching governmental authority to interfere with private land use and enjoyment, have enacted provisions restricting the right to condemn property for private use contained in Chapter 32 of the Wisconsin Statutes.

Despite restrictions on takings, private utility companies nevertheless maintain authority to condemn private property to install, maintain and expand oil and gas pipelines and high voltage transmission lines because such purposes are considered in the public's best interest.  Dealing with representatives from large utility companies can be challenging and intimidating to many landowners.  Private utility companies pose a significant threat to property owners' constitutional property rights.

How does Condemnation Work?

Utility companies must obtain the approval of the Public Service Commission before having authority to condemn property.  However, utility companies, state, municipal and other governmental entities often will attempt to negotiate with landowners to purchase property from a landowner before formally condemning his or her land or even having approved condemnation authority.  In fact, under Wisconsin's Chapter 32, condemnors are obligated to attempt to negotiate with landowners for a fair purchase price before formally commencing a condemnation action to take the landowner's land.  As one of many protections afforded landowners under Chapter 32, condemnors must furnish a landowner with a appraisal of his or her property when attempting to negotiate a sale for land, or, in the case of utilities, a sale for an easement in which to install or expand oil, natural gas or electric transmission lines.

When a landowner refuses an offer to sell land or give an easement, the condemnor will give what is called a "jurisdictional offer," which is the condemnor's final offer price for the land.  If the landowner does not accept this offer within twenty days, the condemnor brings a lawsuit with the Condemnation Commission in the county where the land is located.  The Condemnation Commission is made up of a group of people from the county who will determine what they believe is the just compensation for the taking. 

Condemnation Commissions usually hold hearings within a few months of the landowner's rejection of the jurisdictional offer.  Hearings are like court trials in many ways, though they lack some of the formalities of courts.  If a landowner or the condemnor disagree with a Commission award of compensation, either may appeal the award to a court and have a formal jury trial.  At present in Wisconsin, a party has sixty days to appeal a Condemnation Commission award on just compensation.

What is Just Compensation?

Property owners are entitled to compensation not only for their land taken, but also for the damage that the government or utility condemnation causes to the land that the landowner retains.  For instance, when a utility company installs a large high voltage transmission line on a portion of a person's property, that person is entitled to compensation for the loss in value of his or her remaining property as a result of the transmission line's presence.  Such lines diminish the value of property around the lines because they are an eyesore and can cause potential health risks.

The Wisconsin legislature has acknowledged through Chapter 32 that landowners are also entitled to recover costs and fees associated with litigating a condemnation offer and judgment when the condemnor issues an inequitably low jurisdictional offer.  Such litigation costs include attorneys fees; therefore, landowners are encouraged by statute to hire an attorney to handle their condemnation matters, especially when they receive a low offer for their land.

When Should a Property Owner Consider Hiring an Attorney?

Generally, property owners are at a great disadvantage in dealing with governments and utility companies.  While property owners may face a condemnation only once in their lifetime, utilities and governments have experienced personnel who understand condemnation law and are trained at negotiating with landowners.  Representatives of the condemning authority usually will present landowners with appraisals of their land and offer the appraised price to the landowner.  Sometimes, landowners have no advanced warning of any condemnation and are taken off guard.  Landowners should not blindly accept an appraisal as a true and accurate valuation of their land.  Appraisals of the same land can vary significantly from one appraiser to the next, with one appraisal sometimes being up to two or three times larger than the other appraisal. 

Usually, the legal battle is in regards to just compensation.  However, landowners should be aware of other potential concerns.  First, in some cases, the battle is not over the value of the land to be taken, but rather whether the taking is truly for the public good and whether the condemning authority should be allowed to take the targeted land.  In many cases, a landowner's property is taken or the value of the property is diminished by government action.  In these instances, landowners will often pursue what is called "inverse condemnation" actions to acquire just compensation.  

Furthremore, utility companies will attempt to have landowners sign easements granting the utility company the right to install a certain size utility line or lines within a certain boundary.  Often, the easements give utility companies powers greatly in excess of what is needed to complete the current project.  If the given powers are too great, the utility companies will often assert a right to expand the use or size of a line in the future without compensating a landowner for such expansion.  This can greatly diminish a landowner's property value.  Lastly, the tax law regarding condemnation awards is quite complex, and landowners often are surprised to find out that they owe tax after their land has been condemned.  Arranging an agreement or award in a certain manner can eliminate such adverse tax consequences.

The key for landowners is knowing that they have rights.  Attorneys can make a substantial difference for landowners.  Attorneys can advise them of their rights, thereby avoiding the landowner from signing an inequitable deal before condemnation, missing a deadline to appeal a Condemnation Commission ruling or facing adverse tax consequences.  Furthermore, because they have experience dealing with government bodies and utility representatives, they often can compel condemnors to issue an equitable offer, thereby eliminating potentially time consuming, expensive and stressful formal condemnation proceedings.  It has been our experience and the experience of many others in our field that landowners who hire attorneys will recover substantially more than those who try to fight their own battles.

Start fighting back against condemnation. Contact us right away.

We represent property owners in Wisconsin, Minnesota, the UP of Michigan and nationwide.

We are the eminent domain litigation lawyers of Niebler, Pyzyk, Roth & Carrig, LLP, in Menomonee Falls, Wisconsin.  For more than thirty years, our attorneys have been helping property owners protect their Constitutional rights against illegal seizure of their property by federal, state, or local government entities and large utility companies.  We have become recognized as one of the leading law firms in the Upper Midwest for our special focus on condemnation law, always on the side of property owners.  We aggressively challenge the government's rights under existing eminent domain law. We have also taken a leading role in getting community condemnation laws changed to provide increased protections for property owners. When eminent domain laws threaten your private property rights, we will help you fight to receive the true market value of your land.

Attorney Robert W. Roth has the experience to handle any of your condemnation/eminent domain takings and concerns.  Attorney Roth has been involved in some of the most important and influential condemnation cases in Wisconsin, such as Arents v. ARN Pipeline Co., 696 N.W.2d 194 (Wis. App. 2005) and Hoekstra v. Guardian Pipeline, LLC, 726 N.W.2d 648 (Wis. App. 2006). 

Condemnation Appraisals

In addition to protecting the rights of individual or corporate property owners, we also defend land appraisers who have their fair appraisal value called into question or ignored by government entities. We have the experience, the reputation, and the resources available to develop and present a strong case for fair appraisal value.

Land use ▪ Zoning ordinances ▪ Inverse condemnation ▪ Easement/Right-of-way disputes

Contact our offices in Menomonee Falls, Waukesha County, Wisconsin, to learn more about how we can help protect your rights and your market value from government entities taking advantage of eminent domain laws. We fight condemnation on behalf of property owners nationwide.

For more information, see Land Rights Wisconsin.