Late last month the Ohio Supreme Court said, “Enough.” In a unanimous ruling, the Court stated that homes and small businesses could not be snatched up by the government (the city of Norwood in this case) and handed over to those who might make more money with it (in this case a millionaire developer and his partners).
The Court also required that state courts use “heightened scrutiny” to such cases, and that vague language cannot be used to describe the reason for seizing the property. In this case “deteriorating” was the descriptor and was considered vague by the Ohio Supreme Court. The opinion advised legislators to use unambiguous language in future legislation.
The Court also made it clear that the holding is especially important as pertains to property taken to give to another private party.
The ruling also disallowed the possession of coveted properties by the new “owner” before an appeals court has a chance to rule.
This case is a victory for homeowners and small business owners in Ohio, which may prove to be a model for other states. While a state supreme court cannot overrule the U.S. Supreme Court’s interpretation of the federal Constitution, one may (and often does) offer citizens of that state more extensive protection based on the State Constitution. That is what happened here. The Ohio Court obviously disagreed with the Kelo decision last year, and decided to protect Ohioans from it’s overreaching dangers.
“We hold that although economic factors may be considered in determining whether private property may be appropriated, the fact that the appropriation would provide an economic benefit to the government and community, standing alone, does not satisfy the public-use requirement of Section 19, Article I of the Ohio Constitution.”
It was a clear and powerful ruling described by an attorney with the Institute of Justice as “well reasoned.” The Institute says that thirty states have now passed legislation that demands more protection for the property rights. The rights of homeowners as well as owners of small businesses, who are also at great risk of having their properties taken by bigger companies and developers, may now be shown greater respect at least in those states.
*Click here to review some excerpts from the eminent domain abuse case.
*Click here to review the entire Ohio Supreme Court opinion (PDF).