Police Power

Screenshot 2024-12-09 at 16-13-02 Involuntary Regulatory Servitudes Correcting for “Regulatory Takings” Terminological Problems by Donald J. Kochan SSRN

Check this out, a new SSRN posting by lawprof Donald Kochan (George Mason/Scalia Law).

If this one is not a direct sequel to his earlier work on re-branding the “takings clause” (a piece we think is excellent and is part of the materials we teach in our Eminent Domain course at William and Mary Law), it does at least seem like a spiritual successor.

Here, Professor Kochan suggests that we’re being unclear when we use the term “regulatory takings” to describe those instances where an exercise of some governmental power other than eminent domain results in what feels like an eminent domain taking from the property owner’s viewpoint.

Instead, he argues, we should focus on the burdens the regulations place on an owner’s use (what the common law described as a servitude). To us, that seems very consistent with the Supreme Court’s approach, and proposals from other commentators. And it does focus the inquiry on the right question, namely what effect has a regulation put on an owner’s property rights. As that suggests, this should be a property-centric inquiry, and not on such unknowables such as the “character of the government action,” or whether an owner has “distinct investment-backed expectations.”

Here’s the Abstract:

This essay challenges the use of the term “regulatory takings” in our takings jurisprudence and scholarly discussion. The words we choose when developing doctrine matter. They can, even subconsciously, affect—by reducing, enlarging, distorting, limiting, or accurately shaping—the perceived and functional quality and character of the things they describe.

The better way to frame the inquiry underlying what is often called regulatory takings law should be to determine not whether there is a “regulatory taking” – some special kind of taking – but instead whether there is a regulation that amounts to a taking. Segmenting the judicial treatment of regulatory effects into a specialized analysis that takes it farther and farther away from an enterprise focused on equivalency between the private law of voluntary servitudes and the public law of what we should be calling involuntary regulatory servitudes. Regulations that restrict some but not all sticks in the property rights bundle should be characterized as the involuntary equivalent of the voluntary instrument, mechanism, or transfer that would have been necessary to achieve a parallel result. The essay proposes an alternative test for determining whether a regulation should be deemed a taking based on a comparison between the effect on the bundle from the regulation and determining whether the same effect in the private marketplace would have required a consensual, mutually beneficial exchange with appropriate compensation. This would better serve the meaning and purposes of the so-called Takings Clause.

The essay also documents the usage history of the regulatory takings label. To be sure, “regulatory takings” was not a dominate part of the takings lexicon before 1981. The first law review publication available in Westlaw to use the term “regulatory takings” is from 1965. The first court opinion to use the term came in a footnote in 1977. Briefing in advance of the 1980 U.S. Supreme Court decision in Agins v. Tiburon involved significant invocations of “regulatory takings” language across nearly a dozen briefs. But, the U.S. Supreme Court in its Agins opinion never uses the phrase “regulatory takings.” The first major court opinion to use “regulatory takings” language is the dissenting opinion by Justice William Brennan—joined by Justices Stewart, Marshall, and Powell—in the 1981 case of San Diego Gas & Elec. Co. v. City of San Diego. And, the Brennan dissent may have entrenched the term in the takings lexicon and is likely the impetus for widespread adoption of the term after 1981.

A must-read for all you takings…uh, dirt law…mavens.
Continue Reading New Article (Donald Kochan): “Involuntary Regulatory Servitudes: Correcting for ‘Regulatory Takings’ Terminological Problems”

Screenshot 2024-11-04 at 12-34-18 Texas Supreme Court
Charles McFarland, arguing.

Here’s the latest in a case we’ve been following closely (and disclosure: our firm filed an amicus brief in the Texas Supreme Court).

In The Commons of Lake Houston, Ltd. v. City of Houston, the Texas Court of Appeals held that the city could not be liable for a taking

Screenshot 2024-10-11 at 08-06-50 RPFSS

Hawaii lawyers (and those barred in the 808), take note: On October 21, 2024, the Hawaii State Bar Association will hold its annual Convention, and as always there’s a full lineup of CLE programs so you can meet your MCLE requirements.

Thanks to the Real Property & Financial Services Section, there’s a significant dirt law

If there’s a silver lining in the U.S. Court of Appeals for the Sixth Circuit’s opinion in Slaybaugh v. Rutherford County, No. 23-5765 (Sep. 3, 2024), a case about what we call “SWAT takings” (police destroy someone’s property in order to dislodge a criminal suspect), it’s that the court did not adopt

Screenshot 2024-09-26 at 09-41-29 Too Far Imagining the Future of Regulatory Takings

There’s still time to join us next Friday, October 4, 2024, at the Antonin Scalia Law School (George Mason University) for the symposium “Too Far: Imagining the Future of Regulatory Takings.”

Co-produced by our outfit (Pacific Legal Foundation) and the Journal of Law, Economics & Policy, the symposium will feature the

We were all set to write up a scintillating and detailed analysis of the New Jersey Appellate Division’s opinion in Englewood Hospital & Med. Center v. New Jersey, No. A-2767-21 (June 27, 2024), when we thought, ah, why not just ask you to read our New Jersey colleague Joe Grather’s scintillating and detailed analysis.

Short story is right there in the title of this post. As Joe puts it:

In short, the hospitals argued that requiring them to provide charity care and Medicaid care at a loss was an unconstitutional taking of private property without just compensation.  The trial court analyzed the claims as an “as-applied” challenge.  Therefore, it dismissed some of the claims because of a failure to exhaust administrative remedies.  The “slightly different reason” was that the Appellate Court found the claims were a facial challenge to the constitutionality of the statute, and therefore it analyzed the takings claims under the familiar rubric of whether there was a “direct government appropriation or physical invasion of private property,” or an “uncompensated regulatory interference with a property owner’s interest in their property.” Slip op. at 14.

No physical taking, no Penn Central taking. We recommend you read his entire post “As We Approach Our Nation’s Birthday, a New Jersey Appellate Court Rejects Hospitals’ Takings Claims.”

Joe ends it this way: “I bet the hospitals are preparing their petition for certification to the New Jersey Supreme Court now.  Happy 4th of July!”

That means to stay tuned for more.

Englewood Hospital & Med. Center v. New Jersey, No. A-2767-21 (N.J. App. Div. June 27, 2024)

Continue Reading New Jersey: Forcing Hospital To Provide Care At A Loss Isn’t A Taking

Today at 10am Hawaii Time (1pm PT/4pm ET), the Hawaii Supreme Court will hear oral arguments in a case asking whether a 1922 deed restriction imposed by the Territory of Hawaii on a land patent conveying fee simple title to a private owner, subject to the land always being used for “church purposes” (i.e

BetterCoastalCommnReportCover

The California Coastal Commission is infamous for being the most out-of-control governmental agency in the nation. This regulatory leviathan fancies itself the undisputed czar of land use and other activities in its fiefdom, the California coastal zone.

Created in 1976 as an agency with regulatory authority across California’s 1,000+ miles of coast (and land in