Fair Market Value vs. Highest and Best Use: Understanding the Difference in Eminent Domain Cases
Ronald Allan Desiderio2025-03-21T05:19:00-04:00By: Editorial Staff, Date: March 21th, 2025 When property is taken for public use through eminent domain, determining just compensation is a key legal and financial consideration. The two critical valuation concepts, Fair Market Value and Highest and Best Use, play a central role in this process. While both are used to assess a property's worth, they serve distinct purposes and can lead to different valuation outcomes. This article explores the definitions, differences, and legal applications of Fair Market Value and Highest and Best Use to provide clarity on their role in eminent domain cases. Fair Market [...]