City of South Ogden v. Fujiki

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City of South Ogden v. Fujiki

Citations: 621 P.2d 1254; 1980 Utah LEXIS 1096Docket: Nos. 16902-16904

Court: Utah Supreme Court; December 10, 1980; Utah; State Supreme Court

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The cases at hand involve the condemnation of unimproved real property owned by the defendants, which the City sought for the construction of a new complex. The City requested a determination of just compensation and immediate occupancy. The defendants accepted service and admitted to the allegations, seeking a jury trial for compensation and interest from the date of service.

During a pre-trial conference, the District Court ruled that the City could have taken occupancy immediately due to the defendants' admissions. The Court ordered that interest on the compensation be paid from October 27, 1978. However, the City reserved the right to appeal the interest commencement issue.

Under Utah law, just compensation is based on the property's value at the time of summons service, and no improvements post-summons are compensable. Interest is payable from the date of actual possession, not from service. Defendants argued that the delay between service and judgment resulted in property value appreciation, violating the Utah Constitution's provision for just compensation.

The primary legal question was whether the City was in "actual possession" due to its request for immediate occupancy and the defendants' admissions. The Court concluded that, despite the defendants not farming the land, the City did not take actual possession or begin construction before the judgment. The award of interest from the time of the defendants' answers was deemed erroneous and contrary to statutory provisions. The judgments were reversed and remanded for modification, allowing interest only from the date of judgment, with no costs awarded.