NFIB has submitted an amicus brief to the United States Supreme Court in the case of Michael Pung v. Isabella County, Michigan. The case addresses whether property owners are entitled to just compensation when government authorities seize and sell property to recover unpaid taxes.
Beth Milito, Vice President and Executive Director of NFIB’s Small Business Legal Center, commented on the filing: “Small business property owners deserve to be fairly compensated when the government seizes their property, even if that seizure is to compensate a debt to the government. Home equity theft allows decades of equity to be erased over even miniscule amounts of debt. Diminishing a property’s worth to a fraction of fair market value would be devastating for any small business owner. NFIB urges the Court to reverse the appellate court’s decision and end this predatory, unjust practice.”
The amicus brief presented by NFIB and several other organizations makes four main arguments. First, it cites prior Supreme Court decisions, such as Tyler v. Hennepin County (2023), which determined that landowners must receive surplus proceeds from seized property sales. Second, it notes that the right to just compensation is grounded both in legal precedent and foundational principles of the United States. Third, it states that deciding what constitutes “just” compensation requires considering equitable factors. Finally, it asks the Supreme Court to ensure just compensation is provided in all tax lien foreclosure cases.
NFIB collaborated with The Buckeye Institute, Competitive Enterprise Institute, Mountain States Legal, Owners’ Counsel of America, and Illinois Policy Institute on this brief.
The NFIB Small Business Legal Center represents small business interests in courts nationwide and currently participates in more than 40 federal and state cases across the country and at the U.S. Supreme Court.
