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Economic Regulation & Property
Kelo v. City of New London
Decided: 2005
In brief
Upheld government's use of eminent domain to transfer property for private economic development.
The Court's ruling in depth
The Court, 5–4, held that transferring private property to another private party as part of a comprehensive economic-development plan satisfied the 'public use' requirement of the Fifth Amendment's Takings Clause. Kelo prompted furious public backlash and led a majority of states to enact statutory or constitutional limits on eminent domain for economic development.