Lowball Watch – Alabama

Dothaneagle.com reports on how the City of Dothan, Alabama, wound up having to pay $830,000 for land that commissioners valued at $117,000. Lance Griffin, Dothan Could Be on Hook for Costly Right of Way Judgment, Dothan Eagle, May 3, 2012. Click here.

The city took a 0.333-acre strip of land, plus a drainage easement of 0.016 acres, and two construction easements totalling  0.25 acres. A three-person panel of commissioners appointed by the Houston County Probate Court valued the take at $117,440. That was on January 28, 2005.

The owner appealed to the Circuit Court where “the matter languished” until this year. Eventually, at trial, the testimony of the city’s apprasiser was stricken on the owner’s motion, and the Circuit Court awarded $507,530. While all this went on, interest was running, and the court calculated it at $327,675.60 for a grand total of $717,716.60 (after giving the city credit for its $117,440 deposit).

The city has appealed to the Alabama Supreme Court. Stay tuned.