Thursday, August 18, 2005

Kelo effect: Getting last pound of flesh?

Via MaxSpeak, we learn that the New London (Connecticut) Development Corporation (NLDC) has decided they want their attorneys' fees and costs from the losing parties, the homeowners who sued to protect their homes. While this is normally par for the course in such litigation, there is an air of punishment and retribution in this demand that is more than distasteful under the circumstances.

I have written the following letter to the Chief Operating Officer of the NLDC:

Mr. Goebel,

I'm an attorney in California who, at my blog, MF Blog, supported the jurisprudence in the majority and concurring opinions in the Kelo decision, though I was troubled by its facts. As one who supports New Deal values, I thought it important for the Supreme Court to defer to legislative action where the overriding primary intent was to restore a tax base to a non-rural community facing decline and blight.

However, that does not mean I support punishing people who are losing their homes in a case that was, after all, 5-4 at the Supreme Court, and contained facts that put this project at the far edge of fairness and close to a private land grab.

I humbly request that the NLDC forego seeking that last pound of flesh from the homeowners who, largely in good faith (I can only speak for some of the homeowners I read about) did not want to lose their homes. As an alternative, the NLDC could hold a few fund raisers and say, "We are pursuing an alternative method of raising money because we recognized that securing the money against the people losing their homes was wrong. We have never intended to penalize anyone. Our goal has always been to re-develop New London into a community in which we can all be proud."

It's your call, but your decision in seeking the fees and costs from the people who were fighting to save their homes will have an adverse effect on all redevelopment actions. The nation is watching.

Sincerely,

Mitchell J. Freedman

_____

As a side note, the article linked to above states the homeowners are being offered buyouts based upon the year 2000 values. This is less objectionable because why should those who fought receive a potential windfall for fighting the NLDC compared to those who chose not to fight and agreed to the buy out when it was offered? Fairness needs to work both ways to be...fair.

6 Comments:

At 10:11 AM, Anonymous Betsy L. Angert said...

Dear Mitchell . . .

I was relieved to read this writing. I read your earlier posts and while I understood you legal logic I rejected your conclusions.

My thought was founded in the history of litigation. It seems, given an inch, those interested in “progress” i.e., development, will and do take a mile. That is not the progressive position I prefer.

I prefer progressive stances that advance equality! For me, true progress would be allowing for the American Dream. Those with mega-business investments have their homes. Please let the common-people retain theirs!

Betsy L. Angert, Be-Think
be-think.typepad.com

 
At 11:03 AM, Blogger Mitchell J. Freedman said...

Besty,

The problem I saw with siding with the homeowners in the Kelo case was that the court, if it sided with the homeowners, would likely have created an abuse that opened the other way, i.e. property owners using constitutional challenges to extort redevelopment agencies and further delaying redevelopment that could be vital to a community.

Each solution, therefore, carries with it its own abuse, as with most matters. That is why I welcome and continue to support (and supported before Kelo) legislative enactments that set identifiable limits on eminent domain, starting with sports stadium deals and big boxes such as Wal-Mart.

It is also why I believe the New London Development Corporation should act more humbly towards these homeowners.

I sympathize with your point about rich people's mega homes not being taken out via eminent domain. However, that begs the question for redevelopment of blighted areas because those megahomes are already likely paying reasonably high property taxes. Further, street crimes of assault and robbery, which are a symptom and exacerbating cause of blight, is most often non-existent in those megahome neighborhoods.

What is needed is a different politics of those on local government redevelopment agencies more than anything else, including the New London Development Corporation. The good thing about Kelo is that it opened the way to a bi-partisan coalition on the subject of redevelopment agency abuse, something people didn't think to speak of with all our time in the media wasted arguing about sex and death cultural issues.

 
At 10:38 PM, Anonymous Betsy L. Angert said...

Dear Mitchell . . .

Point well taken. Sadly, from my reading, it seems the focus is rarely on redeveloping, or revitalizing a community. The homes threatened with destruction are not run down or in ruin. The owners are often long-time residents; they are people that care for their property.

Admittedly, I have a bias against building more hotels, sports stadiums, and big-box-blights such as Wal-Mart. If I never saw another of these in residential neighborhoods, it would be too soon.

However, I do agree with your statement, “Each solution, therefore, carries with it its own abuse, as with most matters.”

Betsy L. Angert
Be-Think, http://be-think.typepad.com

 
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