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cthulu2016

(10,960 posts)
Tue Jan 31, 2012, 07:53 PM Jan 2012

DU experts... how often is eminent domain power given to Corporations?

Snake Alchemist posted an article called "Eminent domain being considered for gas pipeline" http://www.democraticunderground.com/1002248089

That article ( http://finance.yahoo.com/news/landowners-fight-eminent-domain-pa-215039548.html ) is about how New York Central Oil and Gas LLC is using the power of eminent domain to condemn properties in the way of its pipeline.

I assumed this was just sloppy writing... that surely only the government can exercise eminent domain powers. But in the article it says "What rankles them (landowners) is that the federal government has invested the company with the power of eminent domain, taking away their bargaining power."

That invites the general question posed here.

I must assume that's common and I'd just never encountered it before. Probably goes back to railroad charters and such. But I don't know.

How common is it to invest a corporation with eminent domain power in connection with a project like this?


6 replies = new reply since forum marked as read
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DU experts... how often is eminent domain power given to Corporations? (Original Post) cthulu2016 Jan 2012 OP
Depends on your state jberryhill Jan 2012 #1
This case purports to be federal. Any difference? cthulu2016 Jan 2012 #2
Common Carriers FreeJoe Jan 2012 #3
Brain fart FreeJoe Jan 2012 #4
eminent domain is how Jerry Jones built Cowboy Stadium w8liftinglady Jan 2012 #5
What surprises me about the OP case is cthulu2016 Jan 2012 #6
 

jberryhill

(62,444 posts)
1. Depends on your state
Tue Jan 31, 2012, 08:01 PM
Jan 2012

What most people didn't understand about the Kelo decision is that it did not say:

"any state can use eminent domain for private economic development"

What Kelo did say was:

"a state law which authorizes eminent domain for private economic development is not unconstitutional"

The Kelo decision was only relevant to those states whose eminent domain law permits that sort of taking.

I can't remember the count at the time, but it was something like 20 states which did, and the rest did not.

cthulu2016

(10,960 posts)
2. This case purports to be federal. Any difference?
Tue Jan 31, 2012, 08:07 PM
Jan 2012

(Okay, the news article purports, but you know what I mean.)

My hang-up here isn't that the power would be used for a pipeline -- of course it would. No other way to make a pipeline. (Without paying $10 Billion dollars for the last hold-out's land)

I am surprisied by the delegation -- that the corporation has standing to pursue (and defend in court) condemnations, rather than the government doing the formalities on behalf of advancing the approved corporate plan.

Interesting.

FreeJoe

(1,039 posts)
3. Common Carriers
Tue Jan 31, 2012, 08:12 PM
Jan 2012

It happens all the time and it has nothing to do with Kelo. Common carriers, such as gas or oil pipelines are given the power of eminent domain by the feds and many states. Unlike roads and rails, we don't have a public pipeline infrastructure. It's virtually all privately created. Like roads and rails, it would be very challenging to build pipelines if you didn't have the power of eminent domain.

w8liftinglady

(23,278 posts)
5. eminent domain is how Jerry Jones built Cowboy Stadium
Tue Jan 31, 2012, 08:27 PM
Jan 2012

http://www.durangotexas.com/eyesontexas/arlington/dallascowboystadium/dallascowboystadiumarlington.htm


"On March 28, 2000 a Tornado struck a damaging blow to Fort Worth, Texas, destroying homes, skyscrapers, churches and businesses. Five and 1/2 years later, on September 24, 2005, Hurricane Rita struck the Gulf Coast of Texas, homes were lost, much damage occurred, many Texans left homeless refugees. In 2006, in the Dallas/Fort Worth Metroplex city of Arlington, Hurricane/Tornado scale manmade damage erupted, disrupting hundreds, if not thousands, of lives, destroying 104 homes of an estimated 312 residents, forcing the evacuation of an estimated 871 residents from several destroyed apartment complexes, obliterating 32 businesses, everything from restaurants to tire stores to banks to motels. This was an easily preventable unnatural disaster, yet it was allowed to occur, even sanctioned and paid for by the citizens of Arlington, some of whom may have even voted to pay for their own destruction.
And for what has all this destruction occurred? A school? A new highway? A hospital? An airport? A military base? No, an untold number of lives have been direly disrupted for a new football stadium for what the locals call America's Team, that being the Dallas Cowboys of the National Football League. Yes, a sports palace, a private for profit business is being built on a graveyard of personal destruction the likes of which, had Mother Nature wreaked such havoc, the President would have declared it a Federal Disaster Area with FEMA incompetently administering aid to all the victims. But, since this is a manmade disaster, the aid to the victims has been meager, $5000 for apartment dwellers, fair market value plus a bit extra to cover moving expenses for home owners. Businesses were left to flounder, all the destruction scaring customers away while the businesses struggled to stay open, trying to find out when the bulldozers would be coming for them, with much frustration directed at those in charge for their inept execution of the ill-conceived project. Many will never be able to recover. Unless some clever lawyer decides to make this outrageous violation of basic rights and decency and eminent domain abuse into some sort of cause celebre.*

cthulu2016

(10,960 posts)
6. What surprises me about the OP case is
Tue Jan 31, 2012, 08:31 PM
Jan 2012

the transfer of power and standing. I am used to government using eminent domain on behalf of private projects but I was surprised that the oil company was empowered to do the condemnations.

I would have thought that was covered by the constitutional error of "delegation." (That, for instance, congress cannot pass the formal decision to declare war or levy taxes to a panel of experts so they do the blue ribbon comission deal with an up or down vote.)

I would have thought that an eminent domain condemnation was such a singular government power that the state could not delgate it (formally), but it appears I was wrong.

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