Property Spring 1995 William Nelson Chapter I: The Power of Legislatures to Allocate Wealth


F. Courtesy Sandwich Shop v. Port of N.Y. Authority



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F. Courtesy Sandwich Shop v. Port of N.Y. Authority (1963)

1. Majority: It's wrong to build the World Trade Center to

subsidize the Path. but since the project promotes economic

development, its constitutional.

a. "Improvement of the Port of NY by facilitating the flow of commerce and centralizing activity incident thereto is a

public purpose supporting the condemnation of property for any activity functionally related to that purpose.

b. Rational: allowing a holdout would compromise the project.


2. Dissent: Port Authority agreed to subsidize Path, but then

decided to build WTC in order to make a profit.

a. When we subsidize by taxing, spread costs equally, when we subsidize by taking lands, spread costs unequally.

b. Use of power eminent domain to combine parcels of land

into a profitable enterprise.


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