First, Lederuvdapac, welcome to the world of of the real.
Eminent Domain, is indeed, Constitutional. The problem of course, is that the interpretation has, like with a lot of other things, been distorted and twisted over the years. Now, it's just another form of "corporate welfare", doled out by counties and cities to increase their tax revenues.
Eminent Domain was intended to be used for being able to build roads, schools, and the like, where public use of the property could be seen as a greater good over the single individual's property rights. A fair market assessment of the property would be determined by real estate appraisal, and the government would condemn the land, and pay the former landowner this market value, so they could then purchase property elsewhere.
No longer. Now local governments claim that adding to their coffers is "public use", and happily condemn one person's private property to give to someone else, because the second person claims he can make more money there.
The first really abusive case of this nature happened in the 1980's in a place called Poletown, Michigan. I found this on a pro Ralph Nader website:
QUOTE
Detroit was desperate for economic revitalization, and General Motors took advantage. Having announced plans to shut down two plants in the city, GM offered to build a new complex, with over 6500 new jobs, if a suitable site could be found and given to GM on favorable terms. Detroit and GM eventually agreed that the best site was Poletown, a close-knit residential neighborhood consisting primarily of second-generation Polish-Americans and African-Americans.
Many in Poletown protested, when they were told to move, insisting that no amount of money was “just compensation” for their cherished homes and neighborhood. But the Michigan Supreme Court didn’t care, upholding the seizure of hundreds of homes, a half-dozen churches, an array of schools, a hospital, and dozens of small businesses. In all, 4,200 persons were forced to relocate, and a thriving community was destroyed.
Sadly, this abuse of power yielded no net gain for Detroit. GM fell 3,500 short of its promise to create 6,500 new jobs. In the end, more people were displaced than employed, and the sweetheart deal cost taxpayers more than $300 million in federal, state, and local subsidies for GM.
This court ruling basically set the precedent for all of the other abuses to come. Some of the more blatant cases that have been fought in recent years can be found on the
Castle Coalition website, an organization devoted to fighting these kinds of abuse:
* Removing an entire neighborhood and the condemnation of homes for a privately owned and operated office park to complement a nearby Pfizer facility in New London, Connecticut.
* Approving the condemnation of more than 1,700 buildings and the dislocation of more than 5,000 residents for private commercial and industrial development in Riviera Beach, Florida.
* A government agency collecting a $56,500 bounty for condemning land in East St. Louis, Illinois, to give to a neighboring racetrack for parking.
* Replacing a less-expensive car dealership with a BMW dealership in Merriam, Kansas.
* A Boston apartment owner has the city condemn his own building allowing him break his leases so that the property could be used for a new luxury hotel.
* Seizing the homes of elderly homeowners in Mississippi and forcing them and their extended families to move, in order to transfer the land to Nissan for a new, privately owned car manufacturing plant, despite the fact that the land is not even needed for the project.
* Taking the building of an elderly widow for casino parking in Las Vegas, claiming it was blighted but without ever even looking at the building. This case was recently decided in the State Supreme Court in favor of the widow.
* Improperly denying building permits to a church in New Cassel, New York, then condemning the property for private retail as soon as it looked like the church would begin construction.
* Condemning 83 homes for a new Chrysler plant in Toledo, Ohio, that promised to bring jobs but ended up employing less than half the projected number because it is fully automated.
* Forcing two families (along with their neighbors) to move for a private mall expansion in Hurst, Texas, while their spouses were dying of cancer.
Most of the larger private concerns no longer bother with trying to buy out property owners any longer. They simply make friends with the local governments in the way of campaign contributions, and then have those governments do their dirty work for them. Corporations like Walmart, Costco, and others use these tactics all the time to get their hands on property they would otherwise never be able to buy.
The good news? There are enough people fighting back, and winning, that the tide may be turning somewhat. In fact, the Michigan Supreme Court, in July of this year, overturned it's own ruling on Poletown, when their decision was challenged during another eminent domain battle that reached their bench.
Most people just can't afford to "fight city hall" on this, because the legal fees can be astronomical. However, everytime this kind of abuse happens locally, everyone in town should be screaming at their local politicians to return eminent domain to the purposes for which it was originally intended.