Just Compensation Demand - Alaska

DEMAND FOR JUST COMPENSATION — ALASKA

SENT VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED, AND EMAIL

I. INTRODUCTION AND PURPOSE

This letter is a formal demand for just compensation made on behalf of [OWNER NAME] ("Owner"), the owner of the property identified above (the "Property"), in connection with the proposed acquisition of the Property by [CONDEMNING AUTHORITY] ("Condemnor") for the [PROJECT] (the "Project").

The Owner is entitled to just compensation under Alaska Const. art. I, § 18, and the eminent domain statutes, AS 09.55.240 et seq. This demand states the Owner's valuation, the basis for it, and responds to the Condemnor's offer (if any). The Owner sends this letter in good faith to resolve the matter without litigation, while expressly reserving all rights.

II. IDENTIFICATION OF THE PROPERTY AND THE TAKING

III. THE GOVERNING JUST-COMPENSATION STANDARD IN ALASKA

1. Constitutional measure — "taken or damaged." "Private property shall not be taken or damaged for public use without just compensation." Alaska Const. art. I, § 18. This clause is broader than the federal Fifth Amendment and reaches property that is damaged even without a physical appropriation.

2. Full indemnification. Just compensation requires full indemnification of the owner for property taken or damaged, which Alaska courts have held generally requires payment of the owner's necessary appraiser's and attorney's fees and interest from the date of taking to the date of payment.

3. Measure of value and damages. The jury or master ascertains and assesses (a) the value of the property taken and all improvements pertaining to the realty; (b) on a partial taking, the severance damages that will accrue to the remainder by reason of the severance and the construction of the Project; and (c) the special benefits, if any, to the remainder, which offset severance damages (but not the value of the part taken). AS 09.55.310.

4. Valuation date — date of summons. The Property is valued as of the date of the summons, and its actual value at that date is the measure of compensation for the part taken and the basis for damages to the remainder. AS 09.55.330.

5. Project-influence rule. Any increase or decrease in value before the date of valuation caused by the Project, or by the likelihood that the Property would be acquired for it (other than physical deterioration within the owner's control), is disregarded. AS 34.60.120(3).

IV. OWNER'S VALUATION — ITEMIZED DEMAND

Based on the appraisal and analysis described in Section V, the Owner's just-compensation valuation is as follows:

The Owner hereby demands payment of just compensation in the total amount of $[____________].

V. BASIS AND APPRAISAL SUPPORT

This demand is supported by:

☐ Appraisal report of [APPRAISER NAME / FIRM], dated [__/__/____], opining a value of $[____________] (Exhibit B)

☐ Comparable sales analysis

☐ Before-and-after analysis of the larger parcel (partial taking)

☐ Cost-to-cure estimate from [CONTRACTOR / ENGINEER]

☐ Survey / site plan (Exhibit C)

☐ Documentation of damage to the remainder / property not taken

☐ Photographs (Exhibit D)

☐ Other: [________________________________]

VI. STATUTORY LEVERAGE — CONDEMNOR'S OBLIGATIONS AND FEE EXPOSURE

1. Appraisal and written offer of just compensation. For projects using federal or federal-aid funds, the Condemnor must appraise the Property before negotiation, establish an amount reasonably believed to be just compensation (not less than the approved appraisal of fair market value), make that written offer, and provide a written statement of the basis for it. AS 34.60.120(1)–(3). The Owner demands a copy of the Condemnor's appraisal and the written basis for its offer.

2. Possession only after payment or deposit. The Owner may not be required to surrender possession before the Condemnor pays the agreed price or deposits with the court at least the approved appraisal of fair market value (or the award). AS 34.60.120(4). A move from a dwelling, business, or farm requires at least 90 days' written notice. AS 34.60.120(5).

3. Fee-shifting — the 10% rule. Under Alaska R. Civ. P. 72(k)(3), if the court awards at least 10% more than the amount the Condemnor deposited (or than the master's award appealed from), the Condemnor must pay the Owner's reasonable attorney's fees incurred in obtaining just compensation. Under Rule 72(k)(5), the Owner's costs and attorney's fees are assessed against the Condemnor where their allowance appears necessary to achieve just and adequate compensation.

4. Full indemnification. Because Alaska's just-compensation principle requires full indemnification, an owner who recovers an award for a taking is generally entitled to reasonable, necessarily incurred appraiser's and attorney's fees and to interest from the date of taking. This demand is calibrated to exceed a lowball offer by more than 10% and thereby to trigger the Condemnor's fee exposure.

VII. DEMAND AND DEADLINE TO RESPOND

The Owner demands that the Condemnor:

1. Pay just compensation in the amount of $[____________]; or

2. Within [____] days of the date of this letter, respond in writing with (a) the Condemnor's appraisal and the written basis for its offer, (b) an explanation of any disagreement with the Owner's valuation, and (c) a good-faith counter-offer.

If the Condemnor does not respond by [__/__/____], or if its response does not reflect a good-faith effort to pay full just compensation, the Owner will pursue all available remedies, including the fee exposure described above.

VIII. RESERVATION OF RIGHTS

The Owner expressly reserves all rights, including the right to:

1. ☐ Appeal any master's award and demand a trial by jury on the amount of damages and value of the Property (AS 09.55.320);
2. ☐ Contest the Condemnor's authority, the public use, and the necessity of the taking (AS 09.55.240; Alaska R. Civ. P. 72);
3. ☐ File an answer in any condemnation action under Alaska R. Civ. P. 72;
4. ☐ Pursue an inverse-condemnation claim for property "taken or damaged" without just compensation (Alaska Const. art. I, § 18);
5. ☐ Recover attorney's fees, appraiser's fees, costs, and interest as provided by Rule 72(k) and the full-indemnification principle;
6. ☐ Amend or supplement this demand based on further appraisal or information;
7. ☐ Pursue relocation assistance and benefits under AS 34.60 and the federal Uniform Relocation Assistance Act, 42 U.S.C. § 4601 et seq.

Nothing in this letter is an admission, a waiver, or an agreement to any valuation.

IX. SIGNATURE

Respectfully submitted,

[________________________________]

[OWNER NAME / COUNSEL NAME]

☐ Owner ☐ Attorney for Owner — Alaska Bar No. [__________]

[FIRM NAME]

[STREET ADDRESS]

[CITY, STATE ZIP]

Telephone: [__________] Email: [__________]

Date: [__/__/____]

X. ENCLOSURES

☐ Exhibit A — Legal description
☐ Exhibit B — Appraisal report / summary
☐ Exhibit C — Survey / site plan
☐ Exhibit D — Photographs
☐ Authorization to represent (if counsel)

XI. ALASKA PRACTICE NOTES

• "Taken or damaged." Alaska Const. art. I, § 18 compensates property "taken or damaged," broader than the federal Fifth Amendment; damage to property not physically appropriated can be compensable.
• Measure / valuation date. Value of the part taken plus severance damages to the remainder, offset by special benefits (AS 09.55.310); valued as of the date of summons (AS 09.55.330).
• Jury right. A party may appeal a master's award and obtain a jury trial on damages and value. AS 09.55.320; Alaska R. Civ. P. 72.
• Fee leverage (strong). Rule 72(k)(3) — condemnor pays the owner's attorney's fees if the award beats the deposit/master's award by 10% or more; Rule 72(k)(5) — fees/costs where necessary to achieve just and adequate compensation. Owners who recover a taking award are generally entitled to full indemnification, including necessary appraiser/attorney fees and interest from the date of taking. Confirm current Rule 72(k) text.
• Inverse condemnation caveat. If no taking is established in an inverse case, Rule 82/68 (not Rule 72(k)) governs fees, and the owner can owe the condemnor's fees. Alaska Laser Wash, Inc. v. State, DOT&PF (Alaska 2020). (Flag for counsel.)
• Acquisition policy. Federally funded acquisitions follow AS 34.60.120 and the Uniform Act (appraisal, written offer ≥ approved appraisal, possession only after payment/deposit, 90-day notice).

XII. SOURCES AND REFERENCES

• Alaska Const. art. I, § 18 — https://law.justia.com/constitution/alaska/
• AS 09.55.240 — https://codes.findlaw.com/ak/title-9-code-of-civil-procedure/ak-st-sect-09-55-240/
• AS 09.55.310 (hearing; value, severance damages, benefits); AS 09.55.320 (jury trial); AS 09.55.330 (compensation; date of summons)
• AS 34.60.120 (Uniform real property acquisition policy) — https://codes.findlaw.com/ak/title-34-property/ak-st-sect-34-60-120/
• Alaska R. Civ. P. 72 / 72(k) — Alaska Court System, https://courts.alaska.gov/rules/docs/civ.pdf
• Alaska Laser Wash, Inc. v. State, Dep't of Transp. & Pub. Facilities (Alaska 2020)

Disclaimer: This template is provided for informational purposes only and does not constitute legal advice. An attorney licensed in Alaska, working with a qualified appraiser, must review and customize this document before use. Laws, citations, and court rules change; verify all authorities before relying on them.