In 2018, Leonard Hoffmann and his neighbors in North Dakota were notified by WBI Energy Transmission, a natural gas pipeline company, that their land would be taken at about half its market value. Hoffmann and the others sued to secure fair market compensation as guaranteed by the Constitution. After a judge allowed evidence supporting the land's fair market value, the parties settled.

The district court ruled that WBI Energy Transmission must pay approximately $383,375 in fees the plaintiffs incurred to ensure the company complied with the law. The case highlights ongoing disputes over compensation when private companies exercise eminent domain powers granted under the federal Natural Gas Act.

The plaintiffs' petition to the Supreme Court notes that for over 40 years, lower courts have held that private companies using eminent domain under the Natural Gas Act must follow the compensation rules of the states where the property is located. However, the case also reveals splits among federal circuit courts on this issue.

The Supreme Court announced in June 2026 that it will weigh in on this question, which affects property owners nationwide as the United States currently has about 3 million miles of natural gas pipelines, with more under development. These pipelines frequently lead to land condemnations, making the question of just compensation a critical legal issue.

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