What does "just compensation" refer to in eminent domain?

"Just compensation" in the context of eminent domain refers specifically to the fair market value that is paid to property owners when their property is taken for public use. This principle is rooted in the Fifth Amendment of the United States Constitution, which requires that private property shall not be taken for public use without payment of just compensation. The intent behind this requirement is to ensure that property owners are fairly compensated for the loss of their property. Fair market value is determined by what a willing buyer would pay a willing seller in an open and competitive market, reflecting the true value of the property being taken.

Understanding the significance of this concept is crucial, as it protects property owners from having their rights and interests diminished without appropriate financial restitution. The other options do not accurately capture the meaning of "just compensation" and relate to different aspects of property rights and taxation. For example, maintenance fees, registration fees, and tax exemptions have no direct connection to the compensation owed to property owners when their property is appropriated for public use.