STATE, DEPARTMENT OF ROADS v. Nickel Grain Co.

153 N.W.2d 727, 182 Neb. 191, 1967 Neb. LEXIS 473
CourtNebraska Supreme Court
DecidedOctober 27, 1967
Docket36627
StatusPublished
Cited by3 cases

This text of 153 N.W.2d 727 (STATE, DEPARTMENT OF ROADS v. Nickel Grain Co.) is published on Counsel Stack Legal Research, covering Nebraska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
STATE, DEPARTMENT OF ROADS v. Nickel Grain Co., 153 N.W.2d 727, 182 Neb. 191, 1967 Neb. LEXIS 473 (Neb. 1967).

Opinion

Spencer, J.

This is an appeal from the entry of a permanent injunction in favor of appellee, State of Nebraska, Department of Roads, and appellee-intervener, Village of Ax-tell, Nebraska, enjoining appellants from proceeding with an inverse condemnation proceeding for damages to a leasehold interest of Nickel Grain Co., Inc., arising out of the reconstruction of U. S. Highway Nos. 6 and 34 through Axtell, Nebraska.

For convenience hereinafter, the appellee will be referred to1 as State; the appellee-intervener as village; and the Nickel Grain Co., Inc., as Nickels.

To understand the present controversy, it is necessary that we briefly review certain facts. Condemnation proceedings were started by State against Nickel-Bessel Grain Company, of which Nickels is the corporate successor, for the condemnation of certain property adjoining the highway. By stipulation in that condemnation, certain leasehold interests of Nickels on property *193 owned by the Chicago, Burlington & Quincy Railroad Company, hereinafter referred to as C. B. & Q., was excepted from the condemnation. An award was made in the condemnation of $3,000, which amount was paid to Nickels.

In the construction of the highway, State entered upon the property leased by Nickels from C. B. & Q., changing the grade and use of a part of the premises, to the damage of Nickels. The State had contracted with C. B. & Q. as to the property but had no contract with Nickels, who held the leasehold interest. Subsequently, Nickels filed a claim with the Sundry Claims Board for damages sustained by the appropriation of property covered by the lease and not included in said condemnation.

The itemization provided at the hearing before the Salaries and Claims Committee of the Legislature indicated the total damages claimed to be $156,705.25, broken down as follows:

“RECAPITULATION OF DAMAGES FOR DESTRUCTION OF BUSINESS
“1. Reconstruction of 12,000 bu. wet grain storage tank at only feasible location, inside grain warehouse________$8,970.00
Less: condemnation award (3,000) minus value of tank and removal cost (1,125) __________1,875.00
$7,095.00
“2. Repair of dump pit, boot pit, conveyor machinery (leg), and concrete floor in scale. house -------------------- 9,890.00
“3. Construction of corrective drainage to prevent flooding of pits and warehouse caused by highway change *194 of grade with inadequate drainage ----------------- 9,954.00
“4. Loss of profits for 1-year period 5-15-64 to 5-14-65 (based on annual profit, 7-1-62 to 6-30-63)___________ 38,076.14
“5. Continuing expenses (net loss) of corporation during period of 5-15-64 to 5-14-65 when facility was non-operational ____________________ 35,771.04
“6. Bank loans called, with 5-year term otherwise remaining except for default
State Securities Company $55,119.07
Platte Valley State Bank 20,000.00
Total__________________$75,119.07
“Less: Interest for one year recoverable under item 5, and principal for one year recoverable under item 4-----$19,200.00
55,919.07
“TOTAL DAMAGES $156,705.25”
Claimant was allowed $26,939, which is the exact amount of the first three items listed in the claim. A voucher, with the following information, was forwarded by State to- Nickels and returned signed by the president of Nickels on behalf of Nickels:
“Property Damage, Highway Construction as evidenced by the claim filed with the Sundry Claims Board and allowed by the *195 Legislature in LB 905—75th Session __________________________ 26,939.00
“Upon receipt of warrant in the amount of $26,939.00, I hereby release the State of Nebraska from any further liability with reference to within claim or for any other damages resulting from taking of right of way, highway construction, or any change of grade or drainage in the vicinity of or upon land belonging to, leased, or claimed by the Nickel Grain Co., Inc., or immediately adjacent thereto in Axtell, Nebraska, and relocated Highway US 6 and 34.”

Upon return of the voucher, a warrant was issued for said amount and cashed by Nickels. Subsequently, Nickels filed a petition with the county judge of Kearney County against State, village, and C. B. & Q., seeking inverse condemnation for damages sustained by the interference with its leasehold rights in C. B. & Q. property, pursuant to section 76-705, R. R. S. 1943. The present action was brought against Nickels, the county judge of Kearney County, and the appraisers to enjoin the prosecution of the condemnation proceeding.

The primary question herein is whether injunction is a proper remedy. In Consumers Public Power Dist. v. Eldred, 146 Neb. 926, 22 N. W. 2d 188, we said: “This court as well as the courts of other jurisdictions is committed to the rule that injunction is a proper action in which to present the question of unlawful or improper exercise of the power of eminent domain.”

Nickels questions the propriety of injunctive procedure herein. There is no merit to his assignment. The power conferred on the county judge by the eminent domain act and the duties required of him by that act are *196 not judicial powers and duties but are purely ministerial in character. Weiner v. State, 179 Neb. 297, 137 N. W. 2d 852.

The specific complaint against village is that it permitted its streets to be closed without any appropriate procedure of any nature. Nickels lost access from two streets which formerly crossed the highway because of the highway median. However, an access road between the highway and those streets provided access to Nickels from/two adjoining streets which crossed the highway. Section 76-705, R. R. S. 1943, does not cover this situation. The village could not be considered a condemner even if it closed or vacated the streets. The vacation or closing of a street is not analogous to an eminent domain proceeding to appropriate private property for public use. See Hanson v. City of Omaha, 157 Neb. 403, 59 N. W. 2d 622.

Further, as we said in Painter v. State, 177 Neb. 905, 131 N. W. 2d 587: “The fact that a property owner or those desiring to enter his property may have to travel a circuitous and longer route to reach certain points because of traffic regulations changing the direction of traffic does not give rise to an injury different in kind from that sustained by the general public, and affords no basis for an action for damages,”

The attempt to apply inverse condemnation as to village was improper and injunction was the proper remedy.

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Bluebook (online)
153 N.W.2d 727, 182 Neb. 191, 1967 Neb. LEXIS 473, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-department-of-roads-v-nickel-grain-co-neb-1967.