Texas Eminent Domain Law News - Texas Legislature Passes New Eminent Domain Law, Limiting Government Powers

On December 21, 2025, the Texas state legislature passed a new eminent domain law aimed at protecting private property owners from abuse of government power. The law, known as SB 1378, was met with widespread support from property rights advocates and is seen as a victory for Texas residents who have long been concerned about eminent domain abuse.Under the new law, government entities are prohibited from using eminent domain for economic development projects or to transfer property from one private owner to another. This provision closes a significant loophole that has allowed governments to seize land for private development purposes, often leaving property owners with little recourse.In addition to restricting the use of eminent domain for economic development, SB 1378 also requires government entities to provide just compensation to property owners when land is taken for public use. This compensation must be fair market value for the property and must include any damages caused by the taking of the land.Governor Greg Abbott praised the passage of the new law, stating, "Property rights are fundamental to our democracy, and it is essential that we protect the rights of Texas landowners. SB 1378 is a critical step towards ensuring that eminent domain is used responsibly and fairly in our state."The passage of SB 1378 comes after years of controversy surrounding eminent domain in Texas, with several high-profile cases of abuse garnering national attention. Property rights advocates hope that the new law will serve as a model for other states looking to protect private property owners from government overreach.The new law will go into effect on January 1, 2026, and will apply to all eminent domain cases initiated after that date. Property owners who believe their rights have been violated under the new law will have the ability to challenge government actions in court, further strengthening protections for Texas residents against eminent domain abuse.

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