1981

State Highway & Transp. Comm’r v. Donelson


Supreme Court of Virginia
221 Va. 822, 273 S.E.2d 814
 

Landowners operated the Frosty-Bossie fast food drive-in on their .13-acre tract. Commissioner petitioned to have property condemned for highway by-pass. Over objection, landowners were allowed to testify about gross sales of the restaurant. Trial court allowed gross sales figures in evidence as it was a proper element of the capitalization of income method of appraisal. Supreme Court reversed and remanded. Evidence of gross sales of a business conducted upon land that is the subject of condemnation proceedings is not admissible to prove fair market value of land taken.  Instruction referring to gross profits was also improperly given.

Summary prepared by Judge Jonathan Apgar, 23rd Judicial Circuit in Virginia, for the William & Mary Property Rights Project, Marshall-Wythe School of Law, William & Mary ©2019.


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