National Real Estate Practice Exam

What is the process by which the government takes a property using eminent domain?

1. Condemnation

2. Adverse Possession

3. Escheat

4. Expropriation

The correct answer is: Condemnation

The process by which the government takes property using eminent domain is known as condemnation. This legal procedure allows the government to acquire private land for public use, often involving compensating the owner at fair market value for their property. The concept of eminent domain is rooted in the idea that the government has the authority to appropriate private property for the greater good, such as building highways, schools, or hospitals. Condemnation specifically refers to the formal act of taking the property, starting with the government providing notice to the landowner and often going through a legal process if there is a dispute regarding compensation. This makes it distinct from other terms listed. Adverse possession, on the other hand, is a legal doctrine that allows a person to claim ownership of land under certain conditions, usually involving continuous and open possession over a specific period. Escheat refers to the process whereby the state takes ownership of property when an individual dies without a will and without legal heirs. Expropriation is a term often used interchangeably with condemnation but is less common in American legal terminology concerning eminent domain. Thus, condemnation directly aligns with the legal framework of eminent domain, making it the correct answer to the question regarding how the government takes property for public use.