When the government needs part of your property for a project, you probably know you could be entitled to compensation. But what happens if it’s only for a short time? Temporary taking damages might be the answer. In this guide, you’ll learn what temporary taking damages are, how they work, and what steps you can take to claim what’s fair.
What Are Temporary Taking Damages?
Temporary taking damages are payments made to property owners when the government or another entity uses private property for a limited time without buying it outright. This is different from permanent eminent domain, where ownership actually changes hands. Here, you still own your property, but you may lose the use or value of it for weeks, months, or even years while the project is ongoing.
Let’s say the city needs to use your driveway for construction equipment for six months. You can’t access your garage, your property value drops, and your daily life is disrupted. That’s where temporary taking damages come in. These damages are designed to make up for the loss or inconvenience you face during that period.
Common Examples of Temporary Takings
Temporary takings can happen in lots of ways. You might see them during road expansions, utility work, or public events that block access to your business or home. Here are some examples:
- A city blocks off your restaurant’s parking lot for a year to redo underground pipes.
- Utility crews use your backyard to store equipment during a power line installation.
- A public festival closes off street access, making your store hard to reach for a few weeks.
In all these situations, you keep ownership, but your use of the property is limited. That’s what makes it “temporary.”
How Are Temporary Taking Damages Calculated?
Figuring out how much you should be paid for a temporary taking isn’t always simple. The goal is to compensate you for lost use, lost income, or a decrease in property value while your rights are restricted. Some things that might be factored in include:
- Rental value of the property for the time it’s used.
- Loss of business profits if your shop or office is affected.
- Costs to repair any damage caused by the temporary use.
Let’s say your shop loses $5,000 in sales because customers can’t park nearby. Or maybe you would normally rent out a guest house, but it’s blocked off for a summer. Those losses can be part of your claim. Each case is unique, so the details really matter.
The Process: How to Make a Temporary Loss Claim
If you find yourself facing a temporary taking, here are the basic steps to take:
- Document everything. Take photos, keep a log of disruptions, and save receipts for any extra costs.
- Get an expert opinion. Sometimes you’ll need a property appraiser or accountant to figure out your actual loss.
- File your claim with the government or agency responsible. This might involve paperwork, deadlines, and sometimes a hearing.
- Negotiate or seek help. If you’re not offered a fair amount, you can often negotiate, or talk to a lawyer who handles short term taking suits.
The process can get complicated, especially if you’re dealing with lost income instead of just lost access. That’s why having an experienced advisor can make a big difference.
Your Rights as a Property Owner
You have rights when it comes to temporary takings. The Fifth Amendment to the U.S. Constitution says you must receive “just compensation” if the government takes your property, even temporarily. Many states also have their own rules that may give you even more protection.
Keep in mind, not every inconvenience counts as a taking. Minor disruptions, like a day of street repairs, usually don’t qualify. The loss has to be significant enough to impact your property’s value or your ability to use it.
When to Seek Legal Help
Temporary taking damages can be tricky, especially if you’re not sure what you’re owed or how to prove your losses. If the government’s offer seems low, or you’re struggling to get answers, talking to a lawyer who specializes in eminent domain and interim taking compensation can help. They’ll know how to build your case and make sure your claim gets the attention it deserves.
Temporary takings are more common than most people realize. The good news is, you don’t have to accept a loss without a fight. If your property is being used temporarily, you may be owed compensation for the trouble. Contact us to learn more.