RSS Feed
Print Story
E-mail Story
Court rules land was wrongfully taken for track
| Tuesday, Jan 9 2007 9:45 PM
Last Updated: Tuesday, Jan 9 2007 9:48 PM
Hyundai's automobile test track in California City was built on land that was wrongfully taken from its owners, a state appeals court ruled Tuesday.
"This is really a case of the little guy beating the big, international corporation," said Don Johnson, an attorney representing the original landowners.
The ruling likely ends a saga that began in 2003 when California City used eminent domain to obtain property from private landowners using state redevelopment laws. The land was then turned over to Hyundai to build a $60 million, 4.6-mile test track.
At issue in the lawsuit was whether the city had the right to condemn the land as "blighted." Landowners maintained the city couldn't condemn vacant desert land. City officials claimed it was legal and that the small, inaccessible parcels block development.
A Kern County Superior Court judge initially sided with California City. Tuesday's ruling reversed that decision.
As a result, Hyundai will have to renegotiate with the former landowners on the price of the property or move the track, Johnson said.
Hyundai officials could not be reached for comment Tuesday night.
Most of the landowners were paid about $1,000 an acre under eminent domain, according to The Californian's archives.
California City's attorney, R. Bruce Tepper, could not be reached for comment Tuesday.
Land in and around California City was subdivided by speculators in the 1950s and '60s and sold around the world to those hoping to get rich as California's cities grew to the desert's edge, according to The Californian's archives. But by 2003, the land wasn't considered to be worth much since most of the parcels had no roads and a developer would have to pay for utilities and access.
Subdividing small lots without providing roads is illegal today.
In a 2005 story, California City Mayor Larry Adams said the landowners were scammed and that many had never even seen the property they owned.
Some owners hailed from as far away as China and Germany.
Johnson maintained the landowners had a right to hold on to their property.
"It's been a long, hard battle because California City has used Hyundai's money to fight us every step of the way," Johnson said Tuesday.
According to Johnson, Hyundai proceeded with building the test track knowing that legal action regarding the property was pending. In doing so, the company agreed to pay half the city's costs if legal action was taken, he said.
In the lawsuit, California City was chided by the state Attorney General's office as being a "poster child for abuse" of state redevelopment laws.
