inverse condemnation

inverse condemnation n. the taking of property by a government agency which so greatly damages the use of a parcel of real property that it is the equivalent of condemnation of the entire property. Thus the owner claims he/she is entitled to payment for the loss of the property (in whole or in part) under the constitutional right to compensation for condemnation of property under the government's eminent domain right. Example: the city of Los Angeles widens a boulevard and thereby takes the entire parking lot of Bennison's Busy Bee Market. The city offers to pay for the lot, but Bennison claims the market has lost all its business since no one can park and wants the value of the entire parcel, including the market building. (See: condemnation, eminent domain)