Las Vegas Sun

April 19, 2024

Court rules against company in Project Neon condemnation case

CARSON CITY — The Nevada Supreme Court has rejected the claim of a company that wanted compensation from the state in connection with the construction of Project Neon, the widening of Interstate 15 in Las Vegas.

The court said there were undisputed facts showing the state Department of Transportation was not committed to taking the property of Ad America for the mammoth construction project.

The court, in its decision today, overturned a ruling by District Court Judge Allan Earl, who held Ad America was entitled to economic damages dating back to 2007.

Ad America filed an inverse condemnation suit against the state in 2011 claiming its tenants were moving out and the loss of that income caused the property on Highland Drive to go into receivership.

The decision, written by Justice Michael Douglas, said the Department of Transportation never occupied the property in question nor did it pass any rule impacting the land. It did not take legal action to acquire the four acres.

Ad America contends there was a “de facto taking” of the property.

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