Legal Expenses

A property owner’s legal cost may be reimbursable if the owner challenges the agency’s damage determination and wins. If the final award for damages, as determined at any level in the eminent domain process, is more than 40 percent greater than the last written offer of compensation made by the agency prior to the filing of the petition, the court must award the owner reasonable attorney fees, litigation expenses, appraisal fees, experts fees, and other related costs in addition to the compensation and fees required by the eminent domain laws of Minnesota. If the final judgment or award is at least 20 percent, but not more than 40 percent, greater than the last written offer, the court has the discretion to award reasonable legal costs. The final award of damages is determined at the date of the taking. However, legal costs will only be awarded if the final award of damages exceeds $25,000. This does not include any amount for loss of a going concern unless that was included in the last written offer by the condemning authority. In any case where the court determines that the taking is not for a public use or is unlawful, the court must award the property owner reasonable attorney fees and other related expenses, fees, and costs.

Should you decide to hire an attorney in condemnation proceedings, the authority's original offer will typically serve as a baseline for your fee agreement with an attorney. Most attorneys who practice eminent domain law will work on a contingency fee basis. In most cases the contingency fee should be calculated based upon what the attorney recovers for you, which will be measured by the authority's offer as compared to what you later receive.