OREGON COURT DENIES COMPENSATION FOR 'TAKING' ACTION BECAUSE OF HIGHWAY CONSTRUCTION

The Oregon Court of Appeals held May 20 that the state highway commission's action pursuant to construction of a freeway including creation of noise, dust, and confusion in the area did not constitute a "taking" for which compensation must be paid under the Oregon Constitution (Lincoln Loan Company v. State). The plaintiff owned two plots of land that the commission 10 years earlier had declared it intented to acquire. Thereafter, the plaintiff charged, the commission dismantled dwellings in the area, created noise and dust, moved in trucks and tractors, and published notices regarding the construction that made it impossible to maintain reasonable or any rental achedules or maintenance on the plaintiff's dwelling. The plaintiff also alleged that the commission's actions caused a "condemnation blight" resulting in a de facto taking, not of possession, but of the plaintiff's use and benefit of the property. In its opinion the court said "It is not necessary that a taking completely destroy plaintiff's property, or completely deprive him of possession. However, there must be interference with the physical use and enjoyment of the property involved. An act of the government which merely affects property values is not a 'taking' for which compensation must be paid." The plaintiff's petition, the court said, failed to allege either acts of the commission that continually interfered with his use of the property, or actual deprivation of possession. "All that is alleged is monetary damages which resulted from the 'condemnation blight.'"

  • Supplemental Notes:
    • Availability: for full opinion see "Lincoln Loan Co. vs State of Oregon", 536 P 2d 450 (Or. App. 1975) TRIS: 127675.
  • Corporate Authors:

    Bureau of National Affairs, Incorporated

    1231 25th Street, NW
    Washington, DC  United States  20037
  • Publication Date: 1975-10-27

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Filing Info

  • Accession Number: 00127732
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Dec 29 1975 12:00AM