Supreme Court Revisits Test For Constructive Taking Of Private Property

On October 21, 2022, the Supreme Court of Canada released its decision in Annapolis Group Inc. v. Halifax Regional Municipality, which revisited the test for constructive taking, also known as de facto expropriation of private property. The decision is important as it broadens and clarifies the circumstances where state regulation of lands may amount to a constructive taking of private property.

Facts

Annapolis Group Inc. (Annapolis) began acquiring land (the Land) in Halifax during the 1950s with the intention of developing it. In 2006, the City of Halifax (Halifax) adopted a municipal planning strategy, which included the Land, and which zoned the Land as a combination of lands reserved for parks and urban development over the next 25 years and beyond.