Valuation of Minerals in Takings Cases

It is well settled that when the government uses the power of eminent domain to take private property for a public purpose, the government is required to pay the private land owner just compensation. Just compensation is the fair market value of the property. This is a difficult determination when t...

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Veröffentlicht in:Natural Resources Journal. - University of New Mexico School of Law. - 42(2002), 1, Seite 185-210
1. Verfasser: KING, REBEKAH (VerfasserIn)
Format: Online-Aufsatz
Sprache:English
Veröffentlicht: 2002
Zugriff auf das übergeordnete Werk:Natural Resources Journal
Schlagworte:Economics Physical sciences Law Business Applied sciences
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520 |a It is well settled that when the government uses the power of eminent domain to take private property for a public purpose, the government is required to pay the private land owner just compensation. Just compensation is the fair market value of the property. This is a difficult determination when the property does not contain unexplored mineral deposits; it is an especially difficult determination if the property does. When attempting to place a value on an unexplored mineral deposit, appraisers turn to three main methods: (1) the comparable sales approach, (2) the cost approach, and (3) the income capitalization approach. All of these methods have their pros and cons. This article explores each method and discusses the strengths and weaknesses of each. After each method is discussed, it is applied to an actual situation in Montana and discussed in that context. The final discussion includes an analysis of which method would work best in that situation and why. 
540 |a Copyright 2002 Natural Resources Journal 
650 4 |a Economics  |x Economic research  |x Economic analysis  |x Economic value  |x Valuation  |x Valuation approaches  |x Income approach 
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650 4 |a Physical sciences  |x Earth sciences  |x Geology  |x Mineralogy  |x Minerals 
650 4 |a Physical sciences  |x Earth sciences  |x Geology  |x Mineralogy  |x Minerals  |x Mineral deposits 
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650 4 |a Business  |x Industry  |x Industrial sectors  |x Extractive industries  |x Mining industries  |x Mining  |x Metals mining  |x Precious metals mining  |x Gold mining 
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