The Court declined to award the costs of the substitute facility, holding that the Fifth Amendment does not require consequential damages when the market value of the condemned property is ascertainable and when there is no showing of manifest injustice.
In the condemnation proceedings, the city claimed that it was entitled to recover all of the costs incurred in acquiring the substitute site and developing it as a landfill, an amount in excess of $1,276,000.
The United States, however, contended that proper compensation should be determined by the fair market value of the condemned facility and deposited $199,950 in the registry of the court as its estimation of the amount due.
Before trial, the Government filed a motion in limine to exclude any evidence of the cost of the substitute facility, arguing that it was not relevant to the calculation of fair market value.
"[5] The court found no basis for departing from the market value standard in this case, and reasoned that the application of the substitute facilities measure of compensation would necessarily provide the city with a "windfall.