Property
Eminent Domain
Definition
Eminent domain is the government's inherent power to take private property for public use, provided just compensation is paid. The Fifth Amendment's Takings Clause limits this power by requiring that the taking be for a 'public use' and that the owner receive just compensation (generally fair market value). The Supreme Court has broadly interpreted 'public use' to include economic development, and regulatory takings (government restrictions that go 'too far') may also require compensation.
Example
A city condemns private homes to make way for a new highway. The homeowners must be paid just compensation, typically fair market value.