Understanding Eminent Domain Law in the Context of the GOP Presidential Contest: What Ted Cruz and Jeb Bush Aren't Telling You.
The current status of eminent domain law in the United States, however, doesn't square with Cruz's, and now Bush's, fear-mongering over the issue. In essence, Cruz and Bush are trying to make Trump the boogeyman here. And while there may indeed be plenty of grounds for pinning that moniker on Trump, eminent domain does not appear to be one of them.
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Yes, in Your Country: Judge Says City of Philadelphia Can Take Artist's Studio, Turn It Into Grocery Store
Perhaps the mere threat that local and state governments might get serious about using eminent domain to seize underwater mortgages might be enough to get banks to do something they have been loathe to do from the beginning: write down principal and right-size mortgages to align them with current property values.