Chapter 4

Question 1

What is the difference between eminent domain and condemnation?

Answer 1

Eminent domain - the right of a private or public agency to take posession of private property
Condemnation - the act of exercise of eminent domain to seize property

Question 2

What are some safeguards against Eminent Domain?

Answer 2

• Property can only be taken by due process of law

- Land owner must receive fair compensation for land that is seized.

Question 3

When would a mechanic’s lien be used?

Answer 3

Typically used by GC’s or subcontractors to place a claim on property they have improved when they have not been paid (either by the owner or GC)

Question 4

What are some criticisms of lien laws

Answer 4

• They are complex and require notice, filings and actions within specific time limits
• They do not guarantee payment
• They are a severe method of collection
• Payment by owners may have to be made twice for he same work