What Type of Property Is Exempt from Eminent Domain in Los Angeles? Know Your Rights
While the power of eminent domain is broad, not all properties are subject to seizure. California law carves out certain exemptions, and it’s important to know where your property stands.
John S. Peterson is a Los Angeles eminent domain attorney. At Peterson Law Group PC, we help property owners protect what they’ve built. We can help you understand what types of property may be exempt from eminent domain in Los Angeles, how to identify your rights, and what to do if you’re being unfairly targeted.
Categories of Property Exempt from Eminent Domain in California
California does not allow blanket exemptions from eminent domain. However, certain types of property do receive extra protection or outright exemptions under specific circumstances.
Publicly Owned Land
Ironically, land owned by federal, state, or local governments is generally not subject to condemnation by another public agency. For example, the City of Los Angeles cannot simply seize land owned by the U.S. government or another city department unless expressly permitted by statute.
Religious Institutions
Places of worship are not automatically exempt, but they do enjoy heightened scrutiny under both California and federal law. The Religious Land Use and Institutionalized Persons Act (RLUIPA) offers protections against unjustified land use regulations, including some condemnation attempts. Courts often require the condemning agency to prove a compelling government interest if the taking burdens religious exercise.
Conservation Easements and Open Space
Properties protected by conservation easements or designated as open space through land trusts may be partially shielded from eminent domain. This is especially true if the land was preserved using public funds or grants, making it politically and legally difficult for a public agency to justify taking it for a different purpose.
Proposition 99 Protections for Owner-Occupied Residential Property
In response to the controversial Kelo v. City of New London decision in 2005, California voters passed Proposition 99, which prevents state and local governments from using eminent domain to take a single-family, owner-occupied home for transfer to a private party. This means your home cannot be seized for private development, like a mall or apartment complex, if you live in it as your primary residence.
Debunking Common Myths About Eminent Domain Exemptions
Many property owners believe their property is untouchable because:
- It’s been in the family for generations
- It’s privately owned and well-maintained
- They pay high property taxes
- It has historical or sentimental value
Unfortunately, none of these factors offer legal protection on their own. If a public agency can prove the taking is for public use and follows legal procedures, even valuable, historic, or long-owned properties can be seized.
How Is Public Use Defined in California?
The U.S. and California Constitutions both require that any taking of private property be for public use and property owners must be provided with just compensation. But what counts as public use has evolved over time.
Examples of legally recognized public use include:
- Roads, highways, and rail lines
- Public schools and libraries
- Water and utility infrastructure
- Parks and public recreation areas
- Government buildings
California law limits the use of eminent domain for economic development (such as transferring property to a private developer) thanks to Prop 99. Public use must be clearly defined and legally justified, especially when residential properties are involved.
If you suspect the project is really about benefiting a private interest such as a hotel or mixed-use development, you may have grounds to challenge the taking.
What If the Government Targets Property That’s Legally Exempt?
Even if your property falls under one of the protected categories, that doesn’t mean a public agency won’t try to condemn it anyway. Agencies may:
- Misclassify the use of the property
- Underestimate the religious or conservation function
- Assert an exaggerated public necessity
If this happens, you need to act quickly. California eminent domain law has strict deadlines for challenging a taking or filing a response. You may only have 30 to 90 days to contest the action in court.
Contact an eminent domain attorney in California immediately to evaluate your options and preserve your rights.
Can Public Necessity Be Challenged?
For a taking to be valid, the agency must demonstrate that acquiring your property is necessary to accomplish a legitimate public purpose. But necessity can be challenged in court, especially if:
- Alternative locations exist
- The project is overly broad or speculative
- The taking is not critical to the project’s success
- The plan lacks environmental or community impact studies
Public necessity arguments are often weak points in eminent domain actions, especially when the agency hasn’t done its due diligence.
What Compensation Are You Entitled to Receive?
If your property is not exempt, you still have the right to just compensation. However, what qualifies as “just” is often up for debate. The government may only offer compensation for the fair market value of the portion taken, but you may be eligible to receive much more.
Depending on your case, compensation may include:
- Loss of value to the remaining property (severance damages)
- Business losses or relocation expenses
- Loss of access or visibility
- Diminished future development potential
These forms of compensation are often left out of initial offers, and property owners who don’t understand their rights may accept far less than they deserve.
Why Early Legal Help Matters
Too often, property owners don’t seek legal help until the damage is done. But eminent domain cases move quickly, and once the government files its action, your ability to negotiate or fight back narrows considerably.
An experienced eminent domain attorney can help you:
- Determine if your property qualifies for an exemption
- Challenge the legitimacy of the taking
- Work with expert appraisers to determine full market value
- Negotiate aggressively with public agencies
- File formal objections and, if necessary, take the case to trial
Speak With an Experienced Eminent Attorney in Los Angeles
If you believe your property may be exempt from eminent domain in Los Angeles, or if you want to fight back against an unfair taking, we’re here to help. Peterson Law Group PC will evaluate your case, explain your rights, and fight for the full compensation you deserve.
John S. Peterson was named Lawyer of the Year for Los Angeles by Best Lawyers for Eminent Domain and Condemnation Law. John has an AV Rating from Martindale-Hubbell®, and he’s a member of the Multi-Million Dollar Advocates Forum.
Call (213) 236-9720 to learn more today.
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