Lege Trend: Eminent Domain Compensation Includes Lost Profits for Business

Compensation is the hottest of hot topic in eminent domain. If eminent domain is a habanero pepper, compensation is a ghost pepper. 

Compensation gets tricker when talking about business property or property on which profits are made. How do profits factor into compensation, is at all?

Virginia is tackling how to factor in profit into compensation by proposing legislation to:

• Eliminate damage to the residue (remainder) standard
• Replace damage to the remainder with straight just compensation
• Require that just compensation awards establish the lost profit

Virginia SB 1435