Supreme Court hears North Dakota land fee case
Landowners won a pipeline dispute but face $380,000 in legal costs, sparking a clash between state and federal eminent domain rules.
By Marco Whitaker ·
Bob McNamara presented arguments to the Supreme Court on Monday regarding a North Dakota property dispute. The case centers on whether a pipeline company must cover the legal costs of landowners it sued under federal eminent domain power.
The conflict began when the pipeline operator, acting on behalf of the government, offered low settlement values to the property owners. The landowners rejected the offer and pursued the matter through the court system for several years. They won the lawsuit, but the victory came at a high financial cost.
North Dakota state law requires the pipeline company to pay the prevailing landowners' legal fees. In this instance, that obligation amounts to $380,000. The federal government contends that federal law supersedes the state statute, meaning the company is not required to pay the fees.
McNamara argued that private companies exercising eminent domain must adhere to state protections for private property. He stated that when states enact laws to protect owners, those private entities must respect the legislation even while wielding federal condemnation powers.
The justices displayed skepticism toward McNamara's position. Justice Ketanji Brown Jackson noted that federal law generally governs federal condemnation actions. She stated that unless Congress explicitly declares state law applicable, the federal rule should control when any actor uses federal power to take land.
The decision will determine if landowners can recover their legal expenses in similar future disputes. If the Court sides with the federal government, owners who win their cases may still bear the full burden of their attorney fees.
