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(1) A proceeding to obtain private property for public use through the exercise of the government's rights of eminent domain. Historically considered possible only for public improvement projects such as roads, schools, and courthouses, the landmark U.S. Supreme Court case of Kelo v.City of New London, 125 S.Ct. 2655 (June 23, 2005) held that local government could condemn land belonging to one private party in order to convey it to another private party as part of an economic development plan to increase government revenues, add jobs, and improve the quality of life in a depressed area.

In a condemnation case, the government will order an appraisal of the property and then offer the owner the appraised price,or perhaps a negotiated amount in excess of the appraisal but taking into account the savings realized by not having to litigate the issue.If the property owner does not accept, the government must escrow the amount of money determined by its appraisal and may then proceed with condemnation of the property.The parties may then go to court to contest the amount of the required award,but the contest will not prevent or delay condemnation of the property.

Specialized tax rules apply whether property is condemned,sold to the government under threat of condemnation,or sold to a third party under reasonable fear of impending condemnation (see IRS Publication 544 at may defer income realized in a condemnation award by purchasing replacement property within 2,3,or 5 years,depending on the particular circumstances.

Payments to cover the costs of relocating are not part of the condemnation award and are not taxable income.Severance damages awarded because of damage caused to the remaining property are not part of the condemnation award. The amount of damages will reduce the basis in the remaining property. If it reduces the basis to $0, then any excess must be reported as gain, but taxation can be deferred.

(2) A decision by local government that property owned by another is no longer safe and must be repaired or demolished.It is not a defense that the owner is making no use of the property and is not exposed to any danger,so long as the public at large may be exposed to danger.If the owner fails to make the necessary repairs or take any other action, the government authority may conduct the demolition itself and place a lien upon the property for the costs of demolition.


The taking of property by a public authority. The property is condemned as the result of legal action and the owner is compensated by the public authority. The power to condemn property is known as the right of eminent domain.
References in periodicals archive ?
We call on the Palestinian Authority to unequivocally condemn this terrorist attack and for the perpetrators of this heinous crime to be held accountable," it said.
We strongly condemn this and we hope to see others strongly condemn it as well.
If traditional churches wish us to follow St Paul's words about lesbians and gays then they will also have to condemn men with long hair, women ministers, and state that women will only get to Heaven if they have babies.
Does Dear condemn George Washington for waging the War of Independence and Abraham Lincoln for waging a war to preserve the Union and abolish slavery?
The former Archbishop of Canterbury last night said that Islamic leaders must condemn the "barbaric" beheading of a US hostage.
Islamic leaders must condemn 'barbaric' beheading, says Carey:The former Archbishop of Canterbury yesterday said that Islamic leaders must condemn the 'barbaric' beheading of a US hostage.
The United Nations Commission on Human Rights should be a place for nations to speak out in favor of these universal principles and condemn those who repeatedly and egregiously violate them.
GOD did not send his Son into the world to condemn the world, but to save the world through him.
Most of us certainly do condemn adultery when it involves a betrayal of trust.
Secretary General Kofi Annan that it was important to issue a statement as early as possible to condemn indiscriminate terrorism in Iraq against those involved in Iraq's reconstruction.
2:1 Therefore you have no excuse, whoever you are, when you judge others; for in passing judgment on another you condemn yourself, because you, the judge, are doing the very same things.
To this phi/autia Rabelais opposes Pantagruel's example of interpretative generosity ("interpreter toutes choses a bien"), a striking example of which occurs in the judge Bridoye episode, where Pantagruel elects to interpret "wrongly," rather than condemn a man whose good judgment has been tainted by old age.