expropriation-compensation-entitlement-analysis

Market Value Entitlement Framework

Valuation Date Determination

Rule (s.13(2)): Earlier of notice of expropriation (Form 7 service) OR plan registration

Scenarios:

• Form 7 served June 1, plan registered June 15: Valuation date June 1
• Plan registered May 15, Form 7 served June 1: Valuation date May 15

Rationale: Earliest date owner loses use and enjoyment

Market changes: If market changes between valuation date and hearing, owner gets valuation date value (not hearing date value)

• Example: Valuation date June 1, 2020 (value $500K), hearing October 2022 (market increased, comparable sales $650K) → owner entitled to $500K (June 1, 2020 value), not $650K

Highest and Best Use vs. Current Use

Principle: Property valued at highest and best use (optimal legal use), not actual current use