Litigation of counsel Martin Flumenbaum and firm chairman Brad Karp’s latest Second Circuit Review column, “Sikorsky v. City of Newburgh: Municipalities and the Taking Clause,” appeared in the May 22 issue of the New York Law Journal. The authors discuss the Second Circuit’s unanimous decision addressing whether a property owner may state a claim for a constitutional taking under the Fifth Amendment when the municipality sells the property for a sum exceeding the tax debt and retains the surplus. The decision vacating the district court’s dismissal represents the first time the court has applied the rule in Tyler v. Hennepin County that a property owner who loses his property to a tax foreclosure is entitled to just compensation for any surplus realized upon sale of the property. The decision signals the Second Circuit’s broad willingness to scrutinize municipal practices that result in uncompensated unconstitutional takings. Litigation associate Michael Pisem assisted in the preparation of this column.
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