Marking the Fifth Anniversary of Kelo v. City of New London
23rd June 2010
In 1998 the pharmaceutical company Pfizer announced plans to build a giant new research and development center in New London, Connecticut. As part of the deal, city officials agreed to clear out neighboring property owners via eminent domain, giving a private developer space to build a fancy new hotel, apartment buildings, and office towers to complement the corporate facility. Five years ago today, in Kelo v. City of New London, the U.S. Supreme Court upheld this seizure of private property because it was part of a “comprehensive redevelopment plan” that would provide “appreciable benefits to the community.”
Half a decade has now passed and we know exactly how well Kelo worked out. The project that was used to entice Pfizer was never built, and last year the company announced that it was closing down its facility and pulling out of New London entirely. The only upshot of this atrocious decision is the nationwide backlash it sparked against eminent domain abuse, including several successful legal challenges and the passage of eminent domain reform in 43 states.
When the government is permitted to pick winners & losers, eventually the losers include everybody.