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What the state’s new eminent domain law means for property owners

On Behalf of | May 21, 2025 | Real Estate Law

This month, Washington Gov. Bob Ferguson signed the Houston Eminent Domain Fairness Act into law. The new law gives “owners of real estate taken through eminent domain by school districts, or sold under threat of eminent domain, the opportunity to purchase the real estate back when it is not put to intended public use.”

The law is named for a family that had to sell almost 10 acres of farmland in Renton to the local school district back in the 1960s, supposedly to build a new school. One of the siblings in that family worked with state lawmakers to draft this legislation, which passed unanimously.

Although his parents initially resisted selling the land, he says they finally relented after their house was set on fire twice and an explosive went off on their porch. He explains, “My father had a third-grade education, he couldn’t read or write. My mom had a seventh-grade education….They had no money to hire an attorney. So my dad gave up.”

The loss of generational wealth

Meanwhile, the school that was planned for that land was never built. However, the land wasn’t returned to the family. Surviving family members have been seeking compensation for the current value of the land, which is far greater than what they were paid for it. 

The issue of loss of generational wealth was at the forefront of this legislation. As one lawmaker said, “This is an important step in ensuring homes and land, the most important forms of creating generational wealth, are not procured and sold for profit instead of building a school down the line.” 

The man who championed this legislation on behalf of his family noted in an interview a couple of years ago, “They talk about generational wealth and that was taken from me and my siblings, my children, my grandchildren.” Now, he says, “No school district will do that again.”

It can still be daunting to go up against a government entity when it asserts its rights under eminent domain. It’s crucial to have experienced legal guidance so that land and property owners can protect their legal rights and, if they sell the land, work to ensure that they receive fair compensation.