Expropriation is commonly understood to be the compulsory acquisition of property by statutory authority. Expropriation powers may be exercised by governments as well as by a host of statutory bodies and institutions, including municipalities, hospitals, universities and public utilities, all of whom have expropriation powers delegated to them by legislation. Privately owned pipeline companies may acquire expropriation powers under the National Energy Board Act or under certain provincial legislation.

Expropriation legislation encompasses interests in land, some interests falling far short of complete ownership. Interests in land include not only the fee simple, but also mortgage interests, interests in tenancies, formal and informal easements, licenses, and the like. Almost any interest in land recognized in law is capable of being expropriated, despite any informalities that may surround the creation of the interest.

Many expropriation statutes permit expropriated owners to object to the fact of expropriation.  Nevertheless, such provisions may be more window dressing than real. It is not often that an aggrieved owner can successfully challenge the fact of an expropriation. The issue thus comes down to one of compensation.  The compensation provisions of the Act are based on the general principle that, after receiving compensation, the owner should be in the same economic position as before the expropriation. The following guidelines are used for determine compensation. 

You are entitled to receive the advance payment on a "without prejudice" basis. This means that accepting payment does not deprive you of the right to claim additional compensation, providing you make the claim within one year.  Within 30 days of approval being given to proceed with an expropriation, the expropriating authority must make an advance payment of compensation. This payment must be accompanied by an appraisal report that forms the basis for the amount advanced. You, in turn, have the right to have your property valued by an appraiser of your choice. The expropriating authority will pay the reasonable cost of this appraisal.   There could be elements of value of which the approving authority is unaware at the time the advance payment is made. 

In BC, a “market value” jurisdiction, there are three or four different types of damage or heads of claim that may be advanced:  Fair market value of the property taken.Injurious affection (i.e., severance damage or diminished value) to the owner's remaining property caused by the construction or public work following from the expropriation. In some jurisdictions, injurious affect lion may also include personal and business losses and other consequential damages, whether or not land is taken.Disturbance damages, i.e., the losses, costs or expenses involved in a dislocation of the expropriated owner or tenant from her property due to a complete or almost complete taking of the property. Loss of a special economic advantage (in some jurisdictions) which accrued to the owner personally and was not an attribute influencing the market value of the property itself.

Bramwell & Associates Realty Advisors has extensive experience dealing in the appraisal of property for the purposes of expropriation, including the identification and valuation of all types of damages.  When notified of a planned expropriation, contact us as soon as possible to maximize the damages you are entitled to.