http://fairfieldweekly.com/gbase/News/content?oid=oid:119000A New (London) Low
A refrigerator box under the bridge: The Kelo Seven prepares for the worst
by Jonathan O'Connell - July 14, 2005
Those who believe in the adage "when it rains, it pours" might take the tale of the plaintiffs in Kelo v. New London as a cue to buy two of every animal and a load of wood from Home Depot. The U.S. Supreme Court recently found that the city's original seizure of private property was constitutional under the principal of eminent domain, and now New London is claiming that the affected homeowners were living on city land for the duration of the lawsuit and owe back rent. It's a new definition of chutzpah: Confiscate land and charge back rent for the years the owners fought confiscation.
In some cases, their debt could amount to hundreds of thousands of dollars. Moreover, the homeowners are being offered buyouts based on the market rate as it was in 2000 .
The hard rains started falling that year, when Matt Dery and his neighbors in Fort Trumbull learned that the city planned to replace their homes with a hotel, a conference center, offices and upscale housing that would complement the adjoining Pfizer Inc. research facility.
The city, citing eminent domain, condemned their homes, told them to move and began leveling surrounding houses. Dery and six of his neighbors fought the takeover, but five years later, on June 23, the downpour of misfortune continued as the U.S. Supreme Court ruled 5-4 that the city could claim the property for economic development....
...The New London Development Corp., the semi-public organization hired by the city to facilitate the deal, is offering residents the market rate as it was in 2000, as state law requires. That rate pales in comparison to what the units are now worth, owing largely to the relentless housing bubble that has yet to burst....
...And there are more storms on the horizon. In June 2004, NLDC sent the seven affected residents a letter indicating that after the completion of the case, the city would expect to receive retroactive "use and occupancy" payments (also known as "rent") from the residents.
In the letter, lawyers argued that because the takeover took place in 2000, the residents had been living on city property for nearly five years, and would therefore owe rent for the duration of their stay at the close of the trial. Any money made from tenantssome residents' only form of incomewould also have to be paid to the city.....