I should admit at the outset that I don’t really like this case. The whole thing seems unfair. But I’m not sure how much of that perceived unfairnes is just the way it is, or whether perhaps the case should have been decided differently. I have no idea.
With that disclaimer, here is City of Puyallup v. Carl R. Hogan (Division 2, May 16, 2012). Carl Hogan owns a shopping center in Puyallup. But he used to own a little bit more. A “small portion” of his shopping center was condemned by the City in connection with a road construction project. As a taking, Hogan was entitled to “just compensation,” which a jury calculated at $5,150,000. That award was based, at least in part, on the City’s elimination of a road, which would reduce traffic and access to the center (and therefore reduce the number of shoppers).
Okay, so far so good. But then Borders (the shopping center’s “anchor tenant”) claimed that it was entitled to a portion of the award. The trial court agreed and awarded $948,000 to Borders after a “bench apportionment trial.” I admit that this is the first time I’ve ever heard of such a procedure. Continue reading