Today’s IV, Inc. v. Los Angeles County Metropolitan Transportation Authority

Is the government liable for a loss of business income due to construction?

Facts: The government builds a transportation system after years of planning. A portion of the transportation system is built underneath a hotel. The construction is loud and makes the hotel hard to access. The commercial property owner loses significant business. The owner seeks money losses from the government.

Claim: The owner claims the government is liable for the loss of business income since the construction is noisy and impairs access to the hotel.

Counterclaim: The government claims they are not liable for the loss of income since the construction is unavoidable and a temporary inconvenience.

Holding: A California appeals court holds the government is not liable for the loss of business income incurred since the construction is unavoidable and a temporary inconvenience. [Today’s IV, Inc.  v. Los Angeles County Metropolitan Transportation Authority (2022) CA5th 1137]

Read Today’s IV, Inc. v. Los Angeles County Metropolitan Transportation Authority.

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