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The information contained in the ASK MIKE column is provided for general information purposes only and is not intended to be a legal opinion nor legal advice nor is it intended to be a complete discussion of all issued related to the law. No attorney client relationship shall be deemed  to arise hereunder. Every individual's factual situation is different and you should seek independent legal advice regarding specific situations. All information contained within pertains only to California law unless otherwise noted.

Eminent Domain

Question 1


Question #1

Question:


I own a business in Buena Park that faces the Santa Ana Freeway. I know that this section of freeway eventually will be widened. I've read about businesses in Anaheim fighting with Caltrans over being forced to relocate for that freeway widening. I wouldn't want to give up my freeway location without a fight. It brings me sales because I'm so visible. What are my rights?

Answer:

Unfortunately, the California Department of Transportation has the right to take your property through eminent domain. This right exists so that government can act for the greater good, even though individual property owners may suffer.

But you do have rights. If you own the property, Caltrans must make a fair market offer for your property, based on comparable properties. If it is determined that a replacement site can not be purchased for that price, you may be eligible for a purchase supplement that makes up the difference. For example, if Caltrans offers you the fair market value of $150,000 for your property, but agrees that replacement property can't be found for less than $170,000, Caltrans may pay you the difference.

If you do not agree with Caltrans' offer for your property, you can appeal it to the agency and, if you lose, can take Caltrans to court over the issue. Some property owners along the Santa Ana Freeway in Anaheim have won these cases and received a court-ordered payment for their property that was higher than the Caltrans offer.

Whether you own or rent your business site, Caltrans offers some assistance in finding a replacement site and pays reasonable moving costs.  Renters also may qualify for some rental assistance if replacement property is more expensive.

As you may have guessed, the one thing you cannot do is stop this process. You may delay it and you may try to get a higher payment from Caltrans, but you will have to move.

question date: 6-30-98 Top of Page
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