ABSTRACT
The Fifth Amendment to the US Constitution requires payment of just compensation when private property is taken for a public purpose. The goal of the just-compensation clause is to ensure that the taking of the property does not financially harm the owner of the property. The government taking the property makes an offer of what it has determined to be just compensation based on the evidence available. If the owner of the property rejects that offer and contests the taking, the case goes to court. The determination of fair market value is an issue of fact usually decided by a jury. The US Supreme Court has elaborated on the concept of fair market value to explain what factors may be considered in its determination. The issues of whether property has been "taken" by government and whether it has been taken for "public use" are much more controversial than the issues surrounding determination of fair market value for the property taken.
