Kelo v. City of New London
United States Supreme Court
545 U.S. 469 (2005)
New London (defendant) approved a development plan using eminent domain to acquire private properties for resale to private developers, aiming to create jobs and increase tax revenue. Susette Kelo and the Dery family (plaintiffs), among nine property owners whose homes fell within the condemned area, sued in Connecticut state court, arguing the taking violated the Fifth Amendment's public-use requirement since the properties would ultimately be transferred to other private owners rather than used for a traditional public purpose. The state trial court partially enjoined the takings, and the Connecticut Supreme Court upheld all of them on further review; the U.S. Supreme Court granted certiorari.
Whether a state may exercise its eminent-domain authority to condemn private property and sell it to private developers for the purpose of creating jobs and increasing tax revenue without violating the Fifth Amendment's "public use" requirement.