July 24, 2019 / 12:31 AM / 3 months ago

3rd Circuit adds consequential damages to Kinder Morgan’s tab for pipeline expansion

State law determines the amount of just compensation a pipeline company must pay when it exercises its power of eminent domain under the Natural Gas Act, a federal appeals court held on Tuesday.

In a 2-1 split, the 3rd U.S. Circuit Court of Appeals said that Kinder Morgan’s Tennessee Gas Pipeline Co is liable for a Pennsylvania home builder’s increased development costs due to the pipeline easement, even though the federal government would only have to pay the diminution in property value if the government had condemned the property itself.

To read the full story on Westlaw Practitioner Insights, click here: bit.ly/2K05wji

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