How Does an Eminent Domain Attorney Critique and Review An Appraisal?
How Does an Eminent Domain Attorney Critique and Review An Appraisal?
Abstract
How Does an Eminent Domain Attorney Critique and Review An Appraisal Upon Which His Client's Just Compensation Is Based? Attorneys representing property owners and appraisers responsible for documenting the value of the property being taken often work together in an eminent domain case. The appraiser develops an independent opinion of value for the property through an appraisal, and the attorney ensures that the appraisal is sufficient to support a just compensation determination in what is essentially a legal proceeding. An important component of the attorney's review will be how well the appraiser documents moving from Point A to Point B to Point C. Are there any flaws or errors in the appraisal? There are many areas in an eminent domain appraisal where mistakes can be made. A knowledgeable eminent domain attorney will also look for less obvious mistakes, such as: - incorrect facts or false assumptions being considered by the appraiser, - gaps in the appraiser's valuation analysis or logic - or even if a particular appraisal methodology appears to be misapplied by the appraiser in some fashion. Does the appraisal appropriately take into account relevant eminent domain concepts and terms? Concepts like the undivided basis rule, scope of the project rule, the reasonable probability rule, general vs. specific benefits, and even the term "Fair market value" have special meaning in an eminent domain case. Does the appraisal comply with all of the special rules and legal standards applicable in an eminent domain case? In addition to special terms, eminent domain proceedings are also unique in the application of special rules and legal principles that have evolved over time based on statutes and case law in a given jurisdiction. In closing, given the fact that an appraisal in an eminent domain case must not only ascertain value, but must also withstand legal challenge in order to be admissible in the case, the attorney for the property owner plays a larger role in reviewing and even critiquing the appraisal than in other situations.