Town of Collierville vs. Norfolk Railway

This is a condemnation case on appeal for the second time. At three places at which roads were to cross over an existing railroad track, the town filed a petition to condemn property in which the railroad owned a right-of-way, in order to build railroad crossings. The trial court initially found that the railroad could not challenge the town's right to take the property and granted the town's motion for the writs of possession. The railroad appealed for the first time. In the first appeal, this Court reversed the trial court and found that the railroad was entitled to a hearing to determine whether the railroad crossings would materially impair or interfere with the railroad's prior use of the rights-of-way. On remand, the trial court found that they would not, thus concluding that the town had the right to condemn the property. The trial court then considered the damages for the condemnation. The railroad sought incidental damages related to its depreciation costs, as well as costs for its increased exposure to liability because of the additional crossings. The trial court determined that the railroad, as a matter of law, could not recover depreciation costs, and also held that the railroad failed to produce proof to support an award of damages for increased liability exposure. The railroad appeals. We affirm, finding that the railroad can recover neither depreciation costs nor damages for increased exposure to liability from the additional crossings.