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Eminent domain is the right of government, under English and American law, to take private property for public use, such as building a courthouse or completing a highway.  The basis for eminent domain is the assertion by the sovereign of power over all land in its jurisdiction.   

Eminent domain is the right of government, under English and American law, to take private property for public use, such as building a courthouse or completing a highway.  The basis for eminent domain is the assertion by the sovereign of power over all land in its jurisdiction.   

Under the Fifth Amendment of the U.S. Constitution, the government must pay "just compensation" to the owner of the private property that is taken.  However, "just compensation" usually does not include intangible values of the property, such as its business good will with customers or its personal sentimental value.  Often "just compensation" is set by a condemnation hearing that does not even give fair market value.

Under the [[Fifth Amendment]] of the [[United States Constitution|U.S. Constitution]], the government must pay "just compensation" to the owner of the private property that is taken.  However, "just compensation" usually does not include intangible values of the property, such as its business good will with customers or its personal sentimental value.  Often "just compensation" is set by a condemnation hearing that does not even give fair market value.

In the decision of ''Kelo v. New London'' (2005), the U.S. Supreme Court allowed states to include "public purpose" such as increased tax revenues as a substitute for "public use" in eminent domain.  This enables towns to take private property from homeowners and small businesses to give the property to large corporations, such as large retail "box" stores like Home Depot.  This sparked a public outrage and several state courts (e.g., Michigan and Ohio) have required public use, as have several state legislators.

In the decision of ''Kelo v. New London'' (2005), the U.S. Supreme Court allowed states to include "public purpose" such as increased tax revenues as a substitute for "public use" in eminent domain.  This enables towns to take private property from homeowners and small businesses to give the property to large corporations, such as large retail "box" stores like Home Depot.  This sparked a public outrage and several state courts (e.g., Michigan and Ohio) have required public use, as have several state legislators.