Definition - What does Inverse Condemnation mean?
When a government physically takes private property or commits a regulatory taking of private property without recompensing injured property owners, private property owners may bring inverse condemnation lawsuits against the taking government for compensation for their losses.
Inverse condemnation usually arises when a government has not offered compensation through eminent domain.
Justipedia explains Inverse Condemnation
Inverse condemnation gives injured property owners an avenue for seeking payment when a government taking occurs and the government fails to compensate.
When a government intentionally takes private property for public use, the taking government typically factors in eminent domain costs to compensate private property owners.
But, sometimes, a taking occurs through an unintentional act of government. If, for example, a local government is working on city sewage lines and the sewage lines burst, flooding private property with sewage that harms the value of private property, a private property owner may seek damages through inverse condemnation.