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North Carolina court orders compensation for decades-long property restrictions

In a significant ruling on property rights, the North Carolina Supreme Court has determined that state-imposed restrictions on a landowner's property constitute an indefinite taking requiring compensation. The decision addresses decades of land-use limitations stemming from a proposed highway corridor project.

LSN India · 2 October 2026

North Carolina court orders compensation for decades-long property restrictions

The North Carolina Supreme Court has ruled in favour of landowner Elizabeth Mata in a landmark case concerning property restrictions that have lasted nearly five decades. Mata acquired 94 acres of land in North Carolina in 1973, but approximately 9.93 acres subsequently became subject to restrictions linked to a proposed Interstate 540 corridor project. The court determined that the state's prolonged limitations on the use of this portion of her property constituted an indefinite taking under eminent domain law, entitling the owner to financial compensation.

The ruling represents a significant victory for property rights advocates and landowners who have faced long-term restrictions on their holdings without receiving just compensation. The court found that the extended duration of the restrictions—spanning several decades without resolution—crossed the threshold into an unconstitutional taking that violated the property owner's rights.

The case now returns to trial courts, where judges will determine the appropriate level of compensation owed to Mata for the use restrictions imposed on her land. Legal experts view the decision as potentially opening doors for similar claims by other property owners facing comparable circumstances across the state. The compensation determination process is expected to account for the value lost through the restrictions and the extended period during which the landowner was unable to fully utilize her property.