Wednesday, October 3, 2012

Kelo v. City of New London

Though we mentioned Kelo v. City of New London in our last class discussion, I wanted to draw some more attention to this landmark Supreme Court Case. Knowing the current state of property rights in our own country is important to the discussion we will have in class on Thursday. As Wolf remarks, "We know there are some things states must do -- protect property rights. This is a 'must have' if there is to be a sophisticated market economy" (67). After studying the Kelo v. City of New London case in a Constitutional Law class last year, I would argue that the Supreme Court's ruling in this case severly dismantles the private property protection that the founders originally established in the Constitution. The following is a paper that I wrote for my Con Law class about this case.

The Destruction of Private Property Rights:
Public Use v. Public Purpose
 
The conflict between the private interest in protecting property rights and the public interest in the general welfare of society is not new or unique to America. In many societies, the interest in the general welfare is so compelling that it has encroached on property rights in the form of socialism or communism. However, because America’s founding fathers believed that private property rights were fundamental to a capitalistic society, they virulently defended them against anything—including personal liberty—that could impinge. The framers of the Constitution, many of whom were philosophically opposed to slavery because of their belief in personal liberty, did not prohibit the institution of slavery in the Constitution because they sought to protect the “property” of slaveholders.[1] The founder’s reverence for private property is communicated in the strict provisions of the Fifth Amendment, stipulating that “private property [shall not] be taken for public use, without just compensation.” By expanding the Fifth Amendment’s Takings Clause to constitutionally justify governmental taking of private property for a public purpose in Kelo v. City of New London, the Supreme Court ultimately eviscerates the public use requirement of the clause; because of its inherent breach of an explicit amendment to the Constitution, the Court should overturn its decision.
The case of Kelo v. City of New London arose when the city’s economic development plan called for the procuring of private land—including that of Susette Kelo and eight other petitioners—for use by new businesses that potentially would revitalize the economy. The catalyst to this development plan was the announcement by the pharmaceutical company Pfizer Inc. that it was planning to build a global research facility in the city. The city, looking to capitalize on economic growth, thought potential new businesses would benefit the public more than the private structures that currently occupied the land.
In upholding the legitimacy and constitutionality of the city’s taking of private property for the use of new businesses, the Court relied on the test of public purpose—that is, any governmental taking of private property has to be shown to serve a public purpose. Whereas the public use requirement of the Fifth Amendment strictly limits governmental takings of private property to situations in which the land will be used by the general public, the public purpose requirement is not so much of a limit; it is an unwarranted grant of power.[2] In his dissenting opinion, Justice Thomas wrote that because government eviscerated the public use requirement “citizens are safe from the government in their homes, [but] the homes themselves are not [safe]” (577).[3] Justice O’Connor elaborated on the consequences resulting from an increased governmental takings power in her concurrence: “Under the banner of economic development, all private property is now vulnerable to being taken and transferred to another private owner, so long as it might be upgraded” (574). This danger caused Thomas to call for a limitation on governmental takings to property that “it actually uses or gives the public a legal right to use” (577). Under this strict standard of purely public usage, the government could not take land from Susette Kelo to give to private businesses, regardless of the potential for economic growth.
The belief that government should not take land from a private entity to give to another private entity originates in common law. Thomas’ dissent quotes Blackstone—one of the foremost experts on English common law—on the fundamental belief in the sanctity of private property. Because the law reflects this belief, it will not tolerate governmental usurpations, even if they are a means to the end of ensuring the general welfare of the community. Therefore, any governmental taking of property must imitate the typical private transaction in that government should only take land for its own use. The government is not a real estate broker—it is not justified in “taking property from A and giving it to B” (577). Hence, the framers of the Constitution instituted the public use requirement to prevent governmental takings contrary to the common law tradition.
While the majority contested that property can be taken for the general welfare of society, the wording of the Fifth Amendment suggests otherwise. As Thomas pointed out, “the Constitution’s text … suggests that the Takings Clause authorizes the taking of property only if the public has a right to employ it, not if the public realizes any conceivable benefit from the taking” (576). He claimed that while the framers used the phrase “general welfare” in other sections of the Constitution, they purposely limited governmental taking to property which will be directly used by the public.[4] If they wanted the eminent domain power to be greater, they would have employed wording that would have broadened the power.
The majority asserts that the Public Use Clause should not be interpreted so strictly; it should be construed as a loose requirement that the taken land will serve a public purpose. According to the majority, the “Court long ago rejected any literal requirement that condemned property be put into use for the general public” (572). This claim is a result of the Court’s reliance on precedent—Berman v. Parker and Hawaii Housing Authority v. Midkiff. While O’Connor argues that these cases were decided correctly, but do not apply to the current case, Thomas contends that these cases should be overturned because they contradict the Constitution. His contention is based on the belief that “Berman and Midkiff erred by equating the eminent domain power with the police power of States” (577). In other words, the Takings Clause, with its public use and just compensation requirements, should not be confused or combined with the state’s police power, which allows a state to take land without compensation if the land is harmful to the health, morals, safety, and general welfare of the community. Because he believed those cases were decided wrongly, he claimed that the current ruling should not be based on them even if their precedent did apply to this case; basing decisions on unconstitutional precedent is not a valid exercise of jurisprudence.[5] Two rulings contrary to the Constitution, even if in agreement with one another, do not make either constitutional. In Thomas’ dissent, he argues, “When faced with a clash of constitutional principle and a line of unreasoned cases wholly divorced from the text, history, and structure of our founding document, we should not hesitate to resolve the tension in favor of the Constitution’s original meaning” (578).  O’Connor disagreed with Thomas’ view that Berman and Midkiff were decided wrongly. However, she did not believe those cases had any bearing on the current case because their circumstances were different.
            Berman v. Parker and Hawaii Housing Authority v. Midkiff expanded the government’s takings power. In both cases, the “extraordinary, precondemnation use of the targeted property inflicted affirmative harm on society,” whereas the property in Kelo did not (575). Also, each taking in Berman and Midkiff “directly achieved a public benefit,” whereas the taking in Kelo, achieved, if anything, an indirect public benefit (575). In Berman, the court upheld the constitutionality of a revitalization project for a blighted area of Washington, D.C. The project affected the area as a whole, not just random individuals. The majority contended that although the houses of the plaintiffs in the Kelo case were not blighted, the legislature’s determination that “the area was sufficiently distressed to justify a program of economic rejuvenation is entitled to our deference” (572). This logic gives too much power to the legislature to make judgments it is not fit to make. Legislators are not qualified as judges of home value and upkeep and are liable to err, which is evidenced in the fact that it allowed the taking of Susette Kelo’s property even though she had made “extensive improvements to her house” (571). If the legislature relied on facts to conclude that the properties involved in the Berman case were blighted, its determination should be respected. However, in the Kelo case, the legislature clearly did not rely on any such evidence, and therefore, an external judicial check is needed to reign in governmental powers.
In Hawaii Housing Authority v. Midkiff, the court upheld the legislature’s taking of property for the opposite reason of Berman—the properties were not blighted, but instead a few elites owned a majority of the land. The court determined it should defer to the legislature’s determination that in effect eliminated an oligopoly that was a “social and economic evil” (572). Just as the plaintiff’s land was not blighted, it was also not part of an oligopoly. By owning her land, the plaintiff was not negatively impacting society or the economy. While the majority implicitly claimed that the plaintiff was hurting the economy by occupying space that more lucrative businesses could have owned, this reasoning, while logical, is not constitutional. In Kelo, the state had no justification to take the property by its police power because the property did not interfere with the health, safety, morals, or general welfare of society. Government also did not have any justification for seizing it with its takings power, because the land was not going to be directly used for the public. As long as the private property does not directly harm society, government cannot take it and give it to another private entity—even if the entity is a business.[6] Because Midkiff and Berman concerned private property that was harmful to society, their precedents do not have any bearing on Kelo.
Another precedent that the majority employed in their decision in Kelo was that of deferring to legislative determinations of public use. O’Connor and Thomas found fault with this precedent. While O’Connor believed that deference to the legislature in determining whether the land serves a public use is valid, she contended that “an external, judicial check on how the public use requirement is interpreted, however limited, is necessary if this constraint on government power is to retain any meaning” (574). She then cited three categories of takings which the Court previously held to be constitutional: the least controversial—a transfer of private property to public ownership, more controversial—a transfer of private property to private parties who make the property available for public use, and most controversial—a transfer of private property to a private entity who may use the land privately in order to meet “certain exigencies” (575). Note that O’Connor did not believe economic development takings were constitutionally justified by any of the aforementioned categories. O’Connor believed that because the government could abuse the third category of takings, the Court must actively review—and sometimes overturn—legislative decisions in order to protect the sanctity of private property.
While O’Connor’s view on deference to the legislature was moderate, Thomas’ view was extreme. He attacked deference to the legislature, declaring that “there is no justification … for affording almost insurmountable deference to legislative conclusions that a use serves a “public use” (577). He claimed that because the public use determination is at its heart a legal question, the Court should review legislative acts just as it would review acts dealing with other provisions of the Bill of Rights—such as search and seizure. He brought this argument to life, claiming that because studies have shown that minorities are most often the victims of urban renewal plans, the Court, in accordance with the famous footnote in United States v. Carolene Products Co., has an even greater responsibility to review these plans.[7] Both O’Connor and Thomas criticized the majority’s insistence that the legislature’s judgment on situations dealing with the Public Use Clause is paramount. The Court needs to fulfill its responsibility to protect private property.
Not only did the Court shirk its responsibility by deferring to the legislature, it further deviated from its purpose by putting the burden on the each state to protect private property by reminding each state that it has the power to place “further restrictions on its exercise of the takings power” (574). O’Connor condemned the majority’s suggestion, calling it “an abdication of our responsibility,” because though the government is federal, the enforcement of private property rights against (primarily) state intrusions is the job of the federal government (576). Power is addicting and ever-expanding;[8] the Court must not rely on state governments to limit their own power.
In order to protect private property rights, the framers created strict requirements for governmental taking—the most important of which is the Public Use Clause. This strict requirement is a reflection of their reverence for private property. Thomas Jefferson, a Lockean scholar, thought property should be defined as that which is developed by a man’s “own industry or that of his fathers,” and should only be limited when he owns an excess of property resulting in “uncultivated land.”[9] Susette Kelo adhered to Jefferson’s conception of property. She did not have more land than she could feasibly improve—in fact, she made several improvements to her land. She was causing no direct harm to society; nevertheless, government took her land and gave it to another private entity. The majority decision in Kelo emasculates the main limit on the takings power of the federal government, and therefore conceivably puts all private property in jeopardy. Because of this decision, no longer are people protected from being deprived of their right to property, as the framers first established. This decision is an unconstitutional precedent that constitutes a slippery slope for possible future governmental encroachments on private property.
            


[1] Richard Beeman, Plain, Honest Men: The Making of the American Constitution (New York: Random House, 2009), 311-312.
[2] Justice Thomas’ dissent recognizes the increase of governmental power inherent in the public purpose precedent: “Once one permits takings for public purposes in addition to public uses, no coherent principle limits what could constitute a valid public use” (Rossom and Tarr, American Constitutional Law, Volume I, 577).
[3] In-text parenthetical citations are taken from Rossom and Tarr, American Constitutional Law, Volume I.
[4] Examples of sections of the Constitution that use the phrase “general welfare” are the Preamble and Article 1, Section 8.
[5] In his concurrence to Hein v. Freedom from Religion Foundation, Justice Antonin Scalia attacks the use of judicial minimalism, or stare decisis, when he declares, “Minimalism is an admirable judicial trait, but not when it comes at the cost of meaningless and disingenuous distinctions that hold the sure promise of engendering further meaningless and disingenuous distinctions in the future. The rule of law is ill served by forcing lawyers and judges to make arguments that deaden the soul of the law, which is logic and reason.”
[6] Justice Thomas would take issue with this argument. He would say that the government cannot seize private property with its police power at all. In his view, the Takings Clause is the only means by which government can take private property, and therefore it must satisfy both the requirements—public use and just compensation. According to Thomas, the fact that a certain piece of private property harms the health, safety, morals, or general welfare of society has no bearing on whether government can take it.
[7] The United States v. Carolene Products Co. footnote stated, “There may be narrower scope for operation of the presumption of constitutionality when legislation appears on its face to be within a specific prohibition of the Constitution.” The Court further decided that it should pay special attention to statutes “directed at particular religious … or national … or racial minorities” (571).
[8] Bernard Bailyn, The Ideological Origins of the American Revolution (Cambridge: Harvard University Press, 1992), 56-59.
[9] The first phrase is taken from Jefferson’s Second Inaugural Address in 1805. The second phrase is taken from Jefferson’s letter to James Madison on October 28, 1785. See Barbara Arniel, John Locke and America (Oxford: Clarendon Press, 1996). The chapter entitled “Locke, Jefferson and the Amerindian” is especially relevant to a discussion of Locke’s influence on Jefferson’s conception of property.


No comments:

Post a Comment