What are the different types of compensation available?

In North Dakota, there are multiple types of compensation available when the government uses eminent domain law to take private property for public use. Generally speaking, the state compensates the owner for the value of the property taken, plus any damages incurred as a result. The first type of compensation is for the “fair market value” of the property. This is determined by an independent appraiser and takes into account the value of the property before the taking, including the land and any buildings or other improvements. The second type of compensation is called “injurious affection.” This occurs when the taking of the property has an effect on the value of neighboring properties, either favorably or negatively. In this situation, the owner of the neighboring property may receive compensation for any diminution in value or any increased cost of maintaining the property. The third type of compensation available is called “relocation assistance.” This applies if the owner of the property needs to move due to the taking, and includes payments for moving costs, professional moving services, and temporary housing. Finally, the fourth type of compensation is for any losses incurred as a result of the taking, such as lost access to utilities or any other type of damage. This type of compensation requires a specific claim filed with the court. All types of compensation must be agreed upon by both parties or ordered by the court. It is important for owners to educate themselves on these types of compensation when dealing with eminent domain law in North Dakota.

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