Property owners and energy companies in Oklahoma may find themselves at odds. Oil and gas companies may want to use certain land for the purposes of energy production. Meanwhile, private property owners will want to keep their property, which may have been in their family for generations and could be incredibly valuable.
So, is it possible for these energy companies to use eminent domain powers? It can be in some cases, though certainly not all, as Oklahoma law states:
“Eminent domain extended to oil pipelines same as railroads. Any oil pipeline company, organized under the laws of this state shall have power to exercise the right of eminent domain in like manner as railroad companies for the purpose of securing rights-of-way and sites for pumping stations, storage tanks and depots.”
In the same way that railroad companies once needed to take private property in order for the railways to connect the entire country, companies that are running pipelines may also need access so that the pipelines can work continuously.
What does this mean for property owners?
While this may mean that a property owner is told that they are going to lose their property, the key thing to remember about eminent domain is that strictly taking the property is not allowed – even by the government itself. Instead, it is just a forced purchase (or sale) of that property.
In other words, the company still has to offer just compensation to the landowner under current market values. They have to be paid the value of their land, even if it is being taken to be used for a pipeline.
Navigating this process can be complex, both for landowners and for energy companies and corporations. Those involved need to be well aware of their legal options.