Document: 441 U.S. 506 99 S.Ct. 1854 60 L.Ed.2d 435 UNITED STATES, Petitioner,v.564.54 ACRES OF LAND, MORE OR LESS, situated in MONROE AND PIKE COUNTIES, PENNSYLVANIA, et al. No. 78-488. Argued March 27, 1979. Decided May 14, Syllabus The Government initiated condemnation proceedings to acquire land on which respondent, a private nonprofit organization, operated summer camps. Before trial, respondent rejected the Government's offer pay fair market value of property, demanding instead cost developing functionally equivalent substitute facilities at new site. District Court held that "substitute facilities" measure compensation was available only governmental condemnees, and therefore entitled its property. On interlocutory appeal, Appeals reversed remanded, holding owners can obtain substitute-facilities if there is no "ready market" for condemned property are "reasonably necessary public welfare." At jury found not such awarded again reversed, concluding trial required because erroneous instructions "reasonable necessity" requirement. Held : Allowing rather than facilities, consistent with principles fairness underlying Just Compensation Clause Fifth Amendment. Pp. 510-517. (a) In giving content just-compensation requirement Amendment, this has sought put owner "in as good position pecuniarily his had been taken," Olson v. United States, 292 246, 255, 54 704, 708, 78 L.Ed. 1236. But principle indemnity given full literal force. Because serious practical difficulties assessing worth an individual places particular resorted concept value—what willing buyer would cash seller time taking—even though does encompass all values may derive from However, when too difficult ascertain or award depart far principle, other standards appropriate. States Commodities Trading Corp., 339 121, 123, 70 547, 549, 94 707. 510-513. (b) Here, circumstances require suspension normal rules determining just compensation. Respondent's readily discernible value. And reflecting figure be unjust simply it might preclude continuation respondent's use. This previously nontransferable arising owner's unique need compensable. That organization different result. Nor relevant whether camps were reasonably welfare, since under legal factual obligation replace camps, regardless their social worth. have benefited community warrant compensating differently owners, focuses exclusively loss. To extent denial use departs justified by necessity workable valuation. 513-517. 576 F.2d 983, reversed. Stephen R. Barnett, Washington, D. C., petitioner. H. Ober Hess, Philadelphia, Pa., respondents. Mr. Justice MARSHALL delivered opinion Court. 1 issue case proper condemns owned purpose. particular, we must decide Amendment1 requires payment replacement taken. 2 * Respondent, Southeastern Pennsylvania Synod Lutheran Church America, operates three nonprofit, along Delaware River. June 1970, proceeding recreational project. offered $485,400 Respondent demanded approximately $5.8 million, asserted substantial necessary, contended, subject financially burdensome regulations existing exempt grandfather provisions. 3 pretrial ruling, facilities," cost, App. 38-48. Third Circuit 796 (1974). Relying appellate decisions,2 determined condemnations belonging subdivisions, Amendment "so functions carried out behalf members continued." Id., 799-800.3 Since refers expressly but court reasoned Framers could "intended impose greater indemnification" toward entities then owners. 801. Accordingly, applied governing publicly 800. remanded consideration met test. 4 After 10-day instructed regarding prerequisites award. Specifically, charged "the [was] substantially less constructing facilities." See 992 n.9 (1978). further welfare" "fulfill[ed] purpose." id., 995 n.16. compensation, after considering additional evidence, $740,000 5 A panel 996. Although ready-market fundamentally error,4 disagreed Court's interpretation reasonable-necessity Under Appeals' theory, test facility "provide[d] benefit [would] fully provided taken." 995. instruction framed terms benefit, concluded required. One judge, concurring, agreed court's charge decision, argued prior opinion, although controlling, incorrect. 996-1000. third member dissented ground adhered enunciated opinion. 1001-1010. 6 We granted certiorari, 439 978, 562, 58 649 (1978), now reverse. II A. 7 708 (1934).5 time, recognized relatively objective working rule. Miller, 317 369, 374, 63 276, 280, 87 336 (1943); Cors, 337 325, 332, 69 1086, 1090, 93 1392 (1949). employed determine condemnee's standard, receive "what seller" taking. supra, S.Ct., 280; accord, City New York Sage, 239 57, 61, 36 25, 26, 143 (1915); Virginia Electric & Power Co., 365 624, 633, 81 784, 790, 838 (1961); Almota Farmers Elevator Warehouse Co. 409 470, 474, 791, 794, 35 (1973). 8 market-value standard useful generally sufficient tool ascertaining make whole,6 acknowledged necessarily compensate Thus, include special adaptability 374-375, 1090. As Frankfurter wrote Kimball Laundry 338 1, 5, 1434, 1437, 1765 (1949): 9 "The springs subjective needs attitudes; differ widely taker. Most things, however, general demand gives them transferable one another. opposed personal variant whose taken, external validity makes loss incurred result taking view, liability common good, deriving idiosyncratic attachment it, like due exercise police power, properly treated part burden citizenship." 10 L. Orgel, Valuation Law Eminent Domain § 14 (2d ed. 1953). short, chosen strike "balance between public's claimant's loss" upon Toronto, Hamilton Buffalo Nav. 396, 402, 217 (1949); see also ex rel. TVA Powelson, 319 266, 1047, 1055, 1390 (1943). 11 while yield some before rule, refused designate sole For situations where inappropriate. 707 (1950): 12 "[W]hen find, application manifest injustice public, courts fashioned standards. . Whatever constitutional questions arise, dominant always remains same: What 'just' both taken bill?" U.S., 1090; 221; 280.7 Hence, fair-market-value here impracticable diverge so violate B 13 instances involve type infrequently traded cannot predict prices paid, assuming sales, repeated sale cf. 280. case, example, respect roads sewers. fall category.8 There albeit extremely active one. expert witness presented evidence concerning recent sales comparable vicinity, estimated sold within six months year they sale. Tr. 256-258, 263-264, 269-276. Indeed, own testified he prepared appraisal camps' date 143-144. implicitly ordinarily ascertainable criterion assessment n.4, supra. seems clear remaining inquiry impermissibly deviate principle. Emphasizing primary lies put, argues present context. bear financial burdens imposed subject, Brief 5. concludes recovery insufficient indemnify F.2d, 798. 15 unusual uniquely adapted falls short enabling preserve Such situation often family home built tastes, old deteriorated, applicable facilities. Cf. 37, pp. 172-173. Yet compensable, divergence indemnification 511-512. 16 unable discern why should here. provide basis distinguishing business enterprises, uses commercial valued capitalized earnings produced. 799; 157. 403, 221. reason treat many homeowners noncommercial who neither nor hold investment purposes. Unless mandates subsidy organizations, proposition find patently implausible, status us reject standard. 17 welfare. entities, lower entity continue providing See, e. g., 800; Streets, Alleys Public Ways Stoutsville, 531 882, 886 (CA8 1976); Certain Property Borough Manhattan, 403 800 (CA2 1968). duty legally compelled arise necessity; distinction little significance condemnation." 803. If condemnee these costs requisite will 18 merits reasoning n.3, advance analysis entity, free allocate resources serve institutional objectives, correspond needs. Awarding theory operate purpose thus windfall never acquired, later converted another 19 Finally, conferred indication accept conclusion entity. noted "[o]ne rationale those interest continuing existence according Synod, public." 989 n.4. guiding "must made whole more." 708. did trustee indemnified Moreover, condemnees manner confers community, sound factor organizations. depend jury's estimation "benefits" conflict efforts develop valuation 20 sum, recover "basic equitable fairness," Fuller, 488, 490, 801, 803, (1973), Clause. judgment 21 Reversed. 22 POWELL took decision case. 23 WHITE, concurring. 24 rejects claim private, corporation. I am agreement. doctrine unrelated ascertainable; rather, unabashedly demands over above order allow facility.1 cases applied, primarily condemned, basic premise performed property.2 do understand how justifies paying more Obviously, replacing old, itself valuable last longer.3 true any facility, reproduce understood guarantee subsidies either projects. Similarly, building codes enhance replacement, reasonable assume compliance hence financed condemnor. 25 It function option investing project net benefits facility. law imposing presumably embodies policy alternative projects, benefits, condemnee. Even incremental constraints obligated options imposed, sheer speculation equal increase reproduced replaced. me argument enhanced nothing particularized submission exceed it. 26 agree even said sense property4 stake continuance being conducted property.5 doubt construed continued location.6 issue, aside day. Constitution provides pertinent part: "nor shall use, without compensation." 1968); Board Education Mineral County, 253 760 (CA4 1958); Washington 214 33 (CA9), cert. denied, 348 862, 75 86, 679 (1954); Fort Worth 188 (CA5 1951). passed propriety condemnees. cited Brown 263 78, 44 92, 68 171 (1923), genesis substitution method measuring compensation," 802, addressed scope light our disposition express appropriate Appeals, seek clarify criterion, "regardless value, condition replaced market-place roughly camps." 991. Accord Monongahela Navigation 148 312, 326, 622, 626, 37 463 (1893); 373, 279, Reynolds, 397 16, 90 805, (1970); 473-474, most accurate salable articles merchandise, what command marketplace. 404, 217, 222, 195 sure, exceeded stated work ways." re Proceedings, 445 F.Supp. 994, 1031 (Sp.Ct.R.R.R.A.) (Friendly, J.), appeals dism'd prejudice sub nom. Blanchette Railway Assn., 434 993, 98 487 (1977). determination resolve fact ascertainable. depends feasibly obtained question related undertake reviewing sufficiency support determination. latter circumstance, rationally arrive 991 (CA3 1978), quoted ante, 510 n. 4; 882 Land Brooklyn, 346 690 1965); National Conference Commissioners Uniform State Laws, Code, 1004(b). 694; 992-995. appears contemplate reproduction costs, id, 999, (Stern, J., concurring); 796, 799-800 1974). 804, applying positions depreciation deducted states "is ." Ante, 515. Nonprofit Corporation Act 1972, Pa.Cons.Stat. 7549 (1975), apparently obliged enterprises incorporation, gifts them, directly state law—to financing certain functions. organizations profit contractual purposes deciding seemingly irrelevant whom ownership accrue, "public" entities. Of course, Clause, Congress enact legislation approach

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