New York Real Estate Salesperson Exam 2025 - Complete Practice Guide

Eminent domain is defined as the government's right to take private property for public use, provided that the property owner receives just compensation. This principle is rooted in the Fifth Amendment of the U.S. Constitution, which stipulates that private property cannot be taken for public use without just compensation. This power allows governments to acquire land needed for infrastructure projects, parks, highways, and other public purposes, balancing the need for public resources with the rights of property owners.

In the context of the other options, the definition of eminent domain clearly distinguishes it from inheritance processes, financial agreements, or urban development frameworks, which do not encompass the government's authority to appropriate private property for public benefit. By focusing specifically on the concept of public use and compensation, this definition captures the essential aspects of eminent domain effectively.