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Tag Archives: property value

Arkansas Pipeline Rupture Amplifies Keystone Opponents’ Arguments

08 Monday Apr 2013

Posted by texascondemnation in Pipelines

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Arkansas, ExxonMobil, Housing, Keystone XL, Pegasus, Pipelines, property rights, property value, TransCanada, USA Today

In a small town outside of Little Rock, Arkansas, ExxonMobil’s Pegasus pipeline ruptured over 19,000 barrels of a mixture of Canadian crude oil and water. More than twenty residents of the town were forced to evacuate from their homes, and according to USA Today, they may be forced to refrain from reentering their homes for another month. See below for what an oil spill might look like in your backyard. Property owners who recently put their home up for sale rightly worry about a decline in market value due to the spill. About a mile from the location of the spill is Lake Conway, just three miles north of the Arkansas River. While ExxonMobil claims the oil did not flow into these bodies of water, some residents saw the oil spilling into storm drains on the street.

No doubt, the flames of those opposing the contentious Keystone XL Pipeline have been fanned, creating worry and discomfort about the installation of a pipeline intended to transfer 800,000 barrels of Canadian crude oil across the nation. Adding to the growing list of unexpected oil spills in Kalamazoo and Yellowstone makes the TransCanada’s claims in favor of the security of the Keystone XL Pipeline seems doubtful.

Will the current administration rule in favor of landowners or forsake the risks of property damage for industrial capital? The Globe and Mail says the President is expected to make a decision this summer. For now, we can only wait.

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Wind Energy v. Coal – the Endless Debate

08 Monday Oct 2012

Posted by texascondemnation in Pipelines, Politics, Property Rights

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Blog, coal, east of eden, eco-friendly, energy, gas, just com, New York Times, Pipelines, property value, Texas Condemnation, texas eminent domain, wind energy

As with all things that closely intertwine with politics and the economy, wind energy also has its pros and cons. While some may defend it for its efficiency and its potential to sustain clean energy in the long run, others may point out how wind farms obliterate the beauty of American landscapes with their loud noises and endless strings of wire.

One player we generally forget to think about is the landowner whose land is burdened. When wind farms are created, as when pipelines are laid, who’s pockets make the greatest profit? Borrowing from “East of Eden”, the lucky Adam Trask whose luscious land had that magical oil well or windy hill and the shrewd power or oil company that taxes the consumers for the goods produced. No one really thinks about the Sam Hamilton under whose land the power lines that generate the wind farm or the pipeline that transfers oil is laid. This landowner is left stuck in between a rock and a hard place when the only compensation for use of his land is the value of the installation of the required equipment. What about the potential fire hazards as a result of sparks or lightening? And don’t forget the environmental hazards posed by a leaking pipeline, rendering this landowner’s property value virtually diminished.

Instead of debating over which form of energy is more cost effective or eco-friendly, it’s time we consider the effects of our policies on the unforgotten player in the game of energy production.

To read more, click here.

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Luke Ellis and Justin Hodge are partners with Marrs Ellis & Hodge LLP. Justin heads the firm's eminent domain practice in the Houston office. Luke heads the firm's eminent domain practice in the Austin office. Luke Ellis is widely recognized as one of Texas’s top young lawyers—and one of the top lawyers of any age practicing in the area of eminent domain. Mr. Ellis has broad experience and has enjoyed success in many types of civil litigation. Justin Hodge is a trial lawyer who represents Texas landowners in condemnation, eminent-domain, and real-estate lawsuits. He represents landowners in condemnation proceedings, not the governmental authorities or private companies taking property. Mr. Hodge has handled complex condemnation and eminent-domain cases throughout the State of Texas. If you have questions about any of the issues raised in this blog, we invite you to discuss them with us at jhodge@mehlaw.com or lellis@mehlaw.com.

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