Thursday, July 05, 2007

Fourth Circuit rejects takings claim in video poker case

HOLLIDAY AMUSEMENT v. SOUTH CAROLINA, an owner of video poker machines argued that South Carolina took his property without just compensation when the state outlawed video poker in 1999. The Fourth Circuit held that the claim was not ripe because the property owner had not not sought just compensation through an available state court procedure.

Ripeness aside, the panel rejected the takings claim: "Government regulation--by definition--involves the adjustment of rights for the public good. Often this adjustment curtails some potential for the use or economic exploitation of private property. To require compensation in all such circumstances would effectively compel the government to regulate by purchase."

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