Wednesday Writs for 7/17
L1: We are all aware of “eminent domain”, the nefarious (to some), counterintuitive right of the government to seize private real estate for public use. One normally associates such takings with the building of roads or other infrastructure. But what many probably don’t know is that the same process can be used by the government to take one’s privately owned property and transfer it to another private entity.
Such was the case, of course, when railroads were being built in the 19th century and one’s land stood in the path of the expansion. However, so crucial were the railroads to the development and flow of commerce that the courts had no difficulty finding that the takings were for a public purpose, despite the fact that the land would be transferred to the railroad companies who would build the rails.
In the 1950s, the District of Columbia began the process of condemnation and seizure of land in the District, arguing successfully that the unsanitary slums which sat on those lands should be razed and the land sold or leased for redevelopment, for the good of the city. But included in the claimed parcels was a privately owned department store, which was not dilapidated or hazardous, and its owner was not inclined to sell. The dispute between the District and the land owner made its way to the Supreme Court in Berman v. Parker, and the District prevailed. Even though the land would likely wind up in the hands of a private party, rather than the government, the Court found that the requirement of eminent domain to be exercised for “public use” was met by the interest of the city in maintaining sanitation and safe housing. It was conceded that the department store was not part of the “blight” the government intended to cure, but the Court opined that a structure-by-structure approach was not feasible; they city could exercise its right to eminent domain over the whole of a defined area.
To be sure, the blighted area at issue in Berman as described was a health hazard; there was no plumbing, a lack of heating and electricity, and structures which were themselves beyond repair. One could reasonably understand the public good accomplished by the scheme. But what about the taking of perfectly livable, even impeccably kept private residences, for the purposes of selling the land to private entities, so that they may erect their private businesses?
Such was the case in Kelo v. City of New London, our case of the week. Susette Kelo, owner of what came to be known as “the little pink house”, was one of a group of property owners in the city in south eastern Connecticut, whose land sat in the way of a large-scale plan to revitalize the floundering municipality. The city planned to make way for the development not of roadways, infrastructure improvements, or safe housing, but of shops, office space, parking lots, and recreation areas. Moreover, pharmaceutical corporation Pfizer had announced its intention to build a large research facility adjacent to the area the city wished to acquire. The 90 acre area would be sold or leased to private entities for the purpose of developing these commercial projects, and, the plaintiffs argued, to benefit Pfizer itself. Kelo and several others refused to sell, and argued that the taking of their property only to transfer it to another private entity for that entity’s economic gain was not for public use, and thus an unconstitutional taking under the Fifth Amendment and an improper exercise of eminent domain.
SCOTUS heard the Kelo case in 2000. In the analysis of the issues in this case the Court-and the parties-looked to Berman and the 1984 case of Hawaii Housing Authority v. Midkiff. In Midkiff, the Housing Authority sought to take the private property of certain citizens for the purpose of rectifying a concentration of land ownership among a very small percentage of owners. Under Hawaii’s “Land Reform Act”, the state would pay these landowners for their property and then sell it to other individuals to spread out land ownership. Naturally, the landowners were not pleased and challenged the takings. But the Court reasoned that mitigating the harm caused by the “social and economic evils” of a land oligopoly constituted a public use, and satisfied the “rational basis” test governing eminent domain. (“Rational basis” is the lowest standard of scrutiny applied by the courts to challenges to government action, in which the government need only show the action is rationally related to the accomplishment of a legitimate government purpose.)
In Kelo, the petitioners argued that the intended use of their land by the government was not for public use but for private business enterprise, but the Court rejected the argument, opining that no literal public usage was necessary; a public benefit would suffice. In New London’s case, the elaborate development plan was intended to revitalize the city’s depressed economy by bringing new business and attracting visitors.
The Court averred its preference for broadly interpreting “public purpose”. But it is hard under this analysis to imagine a stated purpose that could not be fitted into this nebulous rubric, especially considering the Court’s stated deference to state and local government’s judgment of what will bring about economic improvement.
Kelo was a 5-4 decision. The majority opinion was written by Justice Stevens, joined by Kennedy, Souter, Ginsburg and Breyer. Kennedy penned a separate concurrence, in which he suggested there may arise “public purpose” disputes in which the standard of scrutiny applied should be higher than rational basis, though he declined to give any examples.
Justice O’Connor authored a dissent, joined by Scalia and Rehnquist, in which she voiced her concern about the open door to pre-textual justifications for transferring property from one individual to another by force of the government:
It was possible after Berman and Midkiff to imagine unconstitutional transfers from A to B. Those decisions endorsed government intervention when private property use had veered to such an extreme that the public was suffering as a consequence. Today nearly all real property is susceptible to condemnation on the Court’s theory. In the prescient words of a dissenter from the infamous decision in Poletown, “[n]ow that we have authorized local legislative bodies to decide that a different commercial or industrial use of property will produce greater public benefits than its present use, no homeowner’s, merchant’s or manufacturer’s property, however productive or valuable to its owner, is immune from condemnation for the benefit of other private interests that will put it to a ‘higher’ use.”
Finally, Justice Thomas wrote his own dissent, which largely echoed O’Connor’s: “If such “economic development” takings are for a “public use,” any taking is, and the Court has erased the Public Use Clause from our Constitution…”, he wrote. But, as Thomas is wont to do, he analyzed at length his interpretation of the original meaning of the takings clause of the Fifth Amendment. His textualist analysis concluded that “public use” was a literal use, not intending to apply merely to a benefit. In support of his reading, he points out the use elsewhere in the constitution of the phrase “general welfare”, which does indeed seem to convey a meaning more akin to the interpretation adopted by the majority.
A film about Susette Kelo and the other plaintiffs from New London starring Catherine Keener was released in 2018:
In the end, the property owners lost their land, the Pfizer facility closed in 2010, and the sprawling development that was the impetus for taking the plaintiff’s land was never built. The area remains a vacant lot.
L2: You may remember Len Kachinsky from the documentary “Making a Murderer”, as the (shamefully inept) lawyer for the younger of two accused killers, Brendan Dassey. But his atrocious and at times horrifying actions toward a female employee during his stint as a municipal court judge are truly worthy of infamy. The cat thing is bizarre, but much of what he did is far from humorous.
L3: I’ve known from the beginning I was not cut out for big law- the story of a Sidley Austin partner’s breakdown and suicide due to the stress of his job is a nightmare that no salary is worth.
L4: The Fourth Circuit issued an important decision regarding gag orders on police misconduct settlements. The Court found that a “non-disparagement” clause in the settlement agreement was against public interest and non-enforceable.
L5: The Thomas M. Cooley School of Law-where people who cannot get into law school go to law school-thinks that a lawyer shortage is imminent.
L6: Trump announces a new rule seeking to block asylum claims, but experts doubt its legality.
L7: In other Trump news, he has decided that he, unlike the rest of us, is “not beholden to the Courts“.
L8: Paul Harrison is a well-known author in the true crime community, for his work with the FBI profiling unit and his interviews with several high-profile serial killers… but he lied about all of it.
L9: Needing to carry home a large, inflatable wading pool, an Illinois mom adapted and overcame- and endangered her children and was arrested- when she let her children ride in the pool on top of her car “to hold it down.” Congrats to our dumb criminal of the week.
** I’m going on a much-anticipated and sorely needed vacation to the beach next week, so Andrew Donaldson will take over for a special “IANAL” version of Wednesday Writs!”**
I want to point out that I had these Writs finished and scheduled before news of Justice Stevens’ death broke, and it’s just by happenstance that I chose a case in which he authored the majority opinion.Report
L1: A couple of years after Kelo, I attended a continuing education seminar on Developments in Eminent Domain Law, which took place at a hotel next to the state’s transportation department HQ. I shouldn’t have anticipated what this turned out to be, one part wake, another part revival. Of the hundreds of attendees, only three didn’t have state badges. The seminar reached its pitch with a recitation of the restrictive laws and rulings that had come down since Kelo, and a multi-media display of videos, songs and writings of an anti-Kelo fervor. The attendees were encouraged to gather their strength, know the righteousness of their cause, and gird themselves against a fallen world as they left the tent.
I don’t know whether the opposition to Kelo was able to sustain its intensity, but the backlash was interesting.Report
I seem to recall that a lot of states very quickly passed laws or amended state constitutions to shore up the private property rights that Kelo damaged.Report
True, but I think the concern was also that the government would be reluctant to use eminent domain as much for fear of political blowback, or that juries would be willing to hit the government harder when fair compensation was awarded.Report
L9: The dumb criminal is from Reagan’s hometown, which seems to have its share of odd stories now and then. The most famous is probably that the city treasurer, of a city of only about 15,000 people, embezzled $53.7 million over twenty-two years to support her championship American Quarter Horse breeding operation. It is believed to be the largest municipal fraud in U.S. history. Just think of all the inground pools that could have bought.Report
L3: Bad link. For the first time in my life, I am working at a firm with billable hours. It is not as bad as I thought it would be. The big thing about BigLaw (multi-state or multi-national firms with big and important corporate clients doing big and important litigation and transaction) is that they demand a hell of a lot of billable hours. Plus everyone is really competitive and trying to do much more because of the “up or out” system. There was also a Big Law managing partner that died from exhaustion.
L5: Jeez, we might just be getting off the end of the law school crisis/there are no law jobs days (or maybe not) and Cooley is trying to get more students. My own alma mater went from being a respectable tier-2 local school to being around Cooley’s level of esteem or worse and horrible bar passage rates. But Paul Campos once noted that he was surprised that more law schools did not shut down because of the crisis like the dentistry crisis in the 1980s shut down a lot of programs.Report
Frankly more should shut down and if they weren’t a cash cow for so many university systems I think they would. What other degree can generate high 5 and 6 figures in tuition with so little overhead? Just lower the standards and people will keep paying. Sadly I don’t think the crisis is well known outside the industry, and cultural beliefs about what attorneys do (and earn) die hard.Report
I think all of this is 100 percent correct. I did well all things considered but there were times I struggled a lot and people had no idea that there was a crisis in legal employment. Even older lawyers.Report
Link fixed- thanks.Report
L7: In the uncomfortable position of sorta kinda defending something Trump said, I kinda think it was just the “pseudo machismo” side of him. Sort of a, “If I keep on this path, I have to deal with courts, so I’ll take another path” and make it look like it was his idea.
If he really thought he could get away with not obeying a court order, he’d be putting the question on the Census form right now. The interesting question is why isn’t he? What motivates him?
I have two possibilities in mind. First, it just doesn’t look good, to his mind. He’s been quoted, in the context of a potential interview with the Mueller investigation, as saying, “the President should not take the Fifth.” Even though, this president should totally take the fifth. He thinks it looks bad. I think he’s right.
The second is that there are lines that Republican Senators have drawn privately and said, “cross this and I’ll vote for impeachment”. That would get his attention.Report
It seems to me that, purely on textual grounds, Kelo was correctly decided. There really isn’t a “public use” clause, as I read it.
The relevant text is, “nor shall private property be taken for public use, without just compensation.” Nothing here implies any particular definition of public use, or contrasts public use with private use. The natural interpretation, to my mind, is that in this context public use is any use for which government wants to take private property.
Presumably, the actual thing they were concerned about here was the government capriciously confiscating private property and just telling the owners to go fish themselves. The requirement to provide just compensation imposes a real restraint on capricious takings and limits the damage to property owners.
Government exercising eminent domain, with just compensation, but for the wrong reasons, just doesn’t seem to be a concern they were trying to address here. Yes, it may be bad, but not all bad things the government might do are unconstitutional, and it’s not nearly as bad just taking your house and giving you the finger. In cases like this, it’s up to the voters to restrain their governments, not the courts.Report
Also, I don’t buy into the idea that there’s something sacred about government-run facilities. I don’t see any good reason why the government should be able to force private property owners to sell so it can build a public housing project in a particular place, but should not be able to do the same so that a private housing development can be built there. If we accept the principle that it’s okay for the government to force people to sell their homes so that other housing can be built, why should public housing should be privileged in this respect?Report
Part of the problem with your plain reading is that the due process clause already exists to protect property interests(*), so if the takings clause didn’t exist, there is already a provision that would protect against arbitrary property confiscation. Perhaps it ultimately is redundant, just as it appears that the free press clause is simply contained within the free speech rights. But what I think you are doing is eliminating the phrase “for public use” as having any meaning.
I think the plainer read is that “public use” means the public has a right to use it. So, if the government wants to build a road, it has to be available for the public to use, no matter whether it is operated and owned by private enterprise; it would be subject to charter that it it would open to “all comers,” even if a toll was required. So, I don’t think it means any public purpose or public ownership.
I really don’t have strong feelings about this, but the main point where I think I might depart from all of this is that I don’t see why the takings clause was incorporated into the 14th amendment against states to begin with.
(*) “nor shall any state deprive any person of life, liberty, or property, without due process of law.”Report
Well, it says without due process of law. If the legislature passes a bill to confiscate private property without compensation, and the governor signs it, and it’s consistent with the state constitution…well, that’s due process of law, isn’t it? The takings clause additionally requires that, due process notwithstanding, the government has to compensate you for taking your property.
Grammatically, I just don’t see how “for public use” can be read as limiting the reasons for which property can be taken. If we assume a distinction between taking for public use and taking for private use, then a straightforward reading suggests that compensation is not required when the government takes property for private use. But that’s obviously absurd.
The Constitution isn’t exactly precision-engineered. There’s all sorts of stuff in there that’s poorly or ambiguously worded, so it’s entirely possible that “for public use” was just thrown in as a rhetorical flourish.Report
Grammatically, I just don’t see how “for public use” can be read as limiting the reasons for which property can be taken. If we assume a distinction between taking for public use and taking for private use, then a straightforward reading suggests that compensation is not required when the government takes property for private use. But that’s obviously absurd.
Maybe the straightforward reading could be seen as “oh, the government shouldn’t take property for private use” with an implied “dUh”.Report
Grammatically, I just don’t see how “for public use” can be read as limiting the reasons for which property can be taken.
Well, sure. If you have (eg) libertarians arguing that privately owned enterprises advance the public good then “public use” will inevitably include private companies. I think the original meaning of the words is clear, tho, despite the lack of legal precision required to block takings for what everyone would agree are private use.
THe bigger point is that not only do words change their meanings over time, but that in most contexts (maybe all…) words fail to perfectly map onto the external world, which allows challenges to the accuracy/meaning of their initial use.Report
Yeah, I tend to agree. Taking it and building, say, a highway is something that, while I disagree with it, I understand it. I can have a conversation about it.
Taking it and giving it to a drug manufacturer? That’s not “public use”. I don’t see how it could be argued that it is.Report