Brand v. Union Elevated Railroad

Background

Brand’s executors sued the Union Elevated Railroad Company after an elevated railroad was built along Wabash Avenue in Chicago in 1896–97. They claimed noise, dust, vibration, blocked light, and interference with access reduced the market value of their building at No. 259 Wabash Avenue and sought $25,000. The suit began in 1902 and was tried in 1909; the jury viewed the property and the owner’s real estate agent testified about values before and after construction.

Reasoning

The central question was whether the plaintiffs put forward any evidence that the railroad caused a decrease in the property’s market value. The trial judge directed a verdict for the railroad because the only evidence showed the property’s market value was not lower after construction, and there was no proof of any enhancement that had to be excluded. The Supreme Court agreed, holding that a judge need not give an instruction that would exclude speculative benefits or enhancements when there is no evidence to quantify them; the Constitution does not require an instruction or a damage award unsupported by proof.

Real world impact

The decision leaves in place the Illinois courts’ approach: property owners must show actual, ascertainable loss in market value to recover for damage from public improvements. Absent concrete evidence of depreciation or of special, quantifiable benefits to be excluded, courts may refuse to send damages questions to juries.

Dissents or concurrances

Justice Day (joined by three others) dissented, arguing testimony showed special, compensable injury to ingress and egress and that allowing general neighborhood benefits to offset such special injury violated the Fourteenth Amendment.