Texas Condemnation Gets Clear

Posted On April 28, 2015

Texas Condemnation Gets Clear

The Texas Supreme Court issued its long-awaited opinion in Cause No. 13-0053, State v. Clear Channel Outdoor, Inc. http://www.txcourts.gov/media/943990/130053.pdf, on April 24, 2015.

The Court held that a billboard was a fixture to be valued as a part of the land, not as a separate structure, and that the loss of associated business income was not compensable.

Specifically, the Court held that a billboard may be a fixture, but not necessarily.  A billboard could be more portable, less firmly embedded, or on land not useful for advertising, thereby remaining personalty.  In Clear Channel, the Court clarified that the determination is to be based on the Logan test, as framed from the perspective of a unified fee-holder.

Mary Colchin Johndroe is a partner with Cantey Hanger LLP.