How the City of New London Bypassed Private Property Rights

Yesterday's Wall Street Journal featured a book editorial for a new book titled, "Little Pink House." The book by Jeff Benedict, details how the City of New London took the home of a woman through eminent domain. Susette Kelo, the homeowner, purchased in her home in a desirable neighborhood, made various improvements to the property and over time made close friendships with her neighbors. To Susette Kelo her "little pink house" was paradise.

Now enter the City of New London, who were looking to expand their tax revenues and attract Pfizer, a large corporation, to build a facility in their area. Unfortunately for Ms. Kelo, her home was one in a number of properties that the city wanted to acquire in order to provide the area with not just a corporate research facility but also build luxury hotels and condos. New London believed that the increased tax revenues from the redevelopment was the basis for deeming Ms. Kelo's home as blighted and subject to eminent domain. Susette Kelo fought the order and the case made it all the way the Supreme Court in the case Kelo v. City of New London.

In the end, the Supreme Court ruled in favor of the City of New London. Susette Kelo was forced to give up her home in exchange for a monetary settlement. I think this case is a classic example of how controlled our markets can be. While I can appreciate New London's argument for expanding their local economy, the core value of private property so central to a free market should not have been bypassed.