FAQs About Condemnation

Inverse condemnation occurs when a government entity takes or damages your property without following proper condemnation procedures or offering compensation. Unlike regular eminent domain, the property owner must initiate legal action to seek just compensation.

Common examples of inverse condemnation include:

• Government occupying or using your land without purchase
• Construction projects causing property damage
• Drainage or road work leading to flooding or erosion
• Regulatory changes that eliminate your property’s usable value

If government action has harmed your property without fair compensation, you may have an inverse condemnation claim. Time limits apply, so prompt action is critical.

Learn more about inverse condemnation cases →

Under Texas and federal eminent domain laws, public entities, such as federal, state, and local agencies, have the right to take property for “public use.” Certain private entities also enjoy this power, as long as they are acting under delegated authority. Public projects for which private property may be acquired through eminent domain law include highways and roads, detention, drainage and flood control, schools, airports, pipelines, electric transmission lines, and public utilities.

Determining whether the government’s offer is fair can be challenging. This can involve a variety of steps, including the following:

• Get an independent appraisal from a qualified professional.
• Research recent comparable sales in your area.
• Consider the property’s potential future value.
• Consult with an experienced eminent domain attorney.
• Consider any other costs you might experience due to relocating, including the cost of moving or the impact that leaving the property could have on your business.

Remember, you are entitled to “just compensation,” which should reflect the property’s fair market value.

Depending on the project, government entities might be able to move forward with their projects without taking certain properties. These alternatives include:

• Negotiated sale: The government can attempt to purchase the property through voluntary negotiations.
• Exchange properties: The government might exchange the desired property for another government-owned property.
• Easements or partial takings: Instead of taking full ownership of the property, the government may seek limited rights to use a portion of that property.
• Redesigning projects: In some cases, the government might modify plans to avoid taking certain properties.

Yes, you can fight against the government taking your property in Texas. As a property owner, you have the right to challenge the government’s reasons for taking your land. You also have the right to challenge whether it has made a fair offer for your property.

However, it can be difficult to win these fights unless there are clear legal problems with the government’s claim. An attorney’s guidance can help you determine the best way to protect your rights.

If the government wants to take your property in Texas, you have rights. They are as follows:

• The government must notify you that it wants to take your property.
• The government must provide you with a fair offer, and you can hire an appraiser to determine a fair price for your property.
• You can challenge the government’s right to take your property.
• You can have a special commission decide how much compensation you should receive for your property.
• If you do not like what the special commission decides, you have the right to a trial.
• If the government does not make progress toward using your property in 10 years, you can buy it back.

Because the specific circumstances of each case can vary, you may want to seek the guidance of a lawyer to understand your rights.

In most cases, the answer is, unfortunately no. Eminent domain laws are powerful, and only in rare situations can landowners stop public entities from taking their property. Where a lawyer can make a difference by making sure that the proper procedure is followed and working to help you obtain maximum compensation. A skilled eminent domain attorney knows how to put together a compensation claim aimed at getting you the full and fair value for your land and will fight for every cent to which you are entitled.

We are typically paid a percentage of the increased recovery that we are able to obtain for clients over and above what is offered by the condemning entity. If we are not able to obtain an increase, we are not owed a fee. Under certain circumstances, we are available on an hourly fee basis, although this is not typically recommended as it exposes the client to the risk of paying more in attorneys’ fees than the increase achieved since it is impossible to know how much of the process will be required to get the condemning authority to pay a fair amount of compensation.

The length of a condemnation case depends upon a number of factors, including its complexity and the amount of land in controversy. Cases against governmental entities such as the state typically take longer and can take months – or even years – to resolve. Cases against private companies delegated the power of eminent domain typically run much faster.

Just compensation is the amount required to place a property owner in the financial position they held before the taking occurred. Texas law defines it as the property’s fair market value on the date of taking, measured by what a willing buyer would pay a willing seller under normal conditions. It can include the value of land, improvements, fixtures and certain damages tied to the loss of property use. It may also include damages to any remaining property when only part of a tract is taken.

Business losses are generally not compensable unless a specific statute applies. A detailed valuation analysis is essential because the government’s initial offer often excludes important components of value.

A condemnation notice signals that the government or a delegated authority intends to acquire your property for a public project. You should review the notice carefully because it outlines the project scope, the proposed acquisition and the statutory steps that will follow. You should also gather documents related to your property, including surveys, deeds, leases and recent appraisals.

To protect yourself, avoid signing any agreements or providing recorded statements before understanding your rights. You should consult an eminent domain attorney promptly because strict timelines apply once the process begins. Early legal involvement helps ensure that you do not waive important objections and protects valuation evidence.

If you choose not to accept the government’s offer, the condemning authority must file a petition in court to begin the formal condemnation process. A panel of three special commissioners will then be appointed to determine the amount of just compensation. You will have the opportunity to present evidence and challenge the government’s appraisal during the hearing.

If you disagree with the commissioners’ award, you may file objections and proceed to a trial before a judge or jury. The government may deposit the commissioners’ award into the court registry, which allows it to take possession while the case continues. Declining the offer does not harm your rights, and it often leads to a more accurate valuation.

Texas uses the fair market value standard, which reflects the price a willing buyer would pay a willing seller under ordinary circumstances. Appraisers consider the property’s highest and best use, which may differ from its current use if a more valuable use is reasonably probable. Valuation may involve comparable sales, income‑based approaches or cost‑based methods depending on the property type.

When only part of a tract is taken, the appraiser must also evaluate damages to the remainder, including reduced access or diminished utility. Special valuation rules apply to unique properties such as pipelines, mineral interests or specialized commercial facilities. A thorough appraisal is critical because the government’s valuation may miss important economic impacts.

When property is condemned, existing mortgages and liens do not disappear. Instead, they attach to the condemnation proceeds in the same priority order that existed before the taking. This means the lienholder is entitled to payment from the award before the property owner receives any of the remaining balance.

If the award exceeds the lien amount, the owner receives the surplus. If the award is less than the lien amount, the lienholder may pursue the deficiency based on the loan terms. You should notify your lender promptly, as some loan agreements require disclosure of condemnation actions. Your lawyer can help ensure that lien issues do not delay the distribution of compensation.

The government may take only the portion of the property necessary for the public project. Texas law allows partial takings for roads, pipelines, utilities, drainage improvements and many other public uses. A partial taking can involve land, easements or temporary construction rights. The government must still pay just compensation for the portion taken and any damages to the remaining property.

Partial takings often create complex valuation issues because the remainder may lose access, visibility or development potential. A detailed analysis is essential to ensure that the compensation received reflects the full impact of the government acquisition.

A full taking occurs when the government acquires the entire property, leaving the owner with no remaining interest. Compensation in a full taking focuses on the fair market value of the whole tract on the date of taking.

In contrast, a partial taking occurs when the government acquires only a portion of the property or a specific interest, such as an easement. In a partial taking, compensation includes the value of the part taken and any damages to the remainder of the property.

Remainder damages may arise from reduced access, impaired drainage or loss of development potential. The distinction matters because partial takings require a more detailed valuation analysis to capture the full economic impact.