California Real Estate Broker ExaminationPropertyEasy

A developer plans to build a new subdivision on undeveloped land. Before construction can begin, the developer must ensure that the property has adequate access to public utilities and roads, and that the proposed use aligns with the local city's master plan. This process falls under which of the following governmental powers?

  1. APolice Power
  2. BTaxation
  3. CEminent Domain
  4. DEscheat
Show answer & explanation

Correct answer: A. Police Power

Police power is the government's inherent right to enact legislation and regulations to protect the public health, safety, and welfare. Zoning ordinances, building codes, and subdivision regulations are all exercises of police power.

Why the other options are wrong

  • B. Taxation is the government's right to levy taxes on private property.
  • C. Eminent domain is the right of the government to take private property for public use with just compensation.
  • D. Escheat is the process by which property reverts to the state when an owner dies without heirs and without a will.

Police Power

The inherent right of a government to enact legislation and enforce regulations to protect the public health, safety, morals, and general welfare.

  • Basis for zoning, building codes, environmental regulations.
  • Does not involve taking property, but regulating its use.
  • No compensation is paid for restrictions under police power.

Memory trick: PETE helps the government control land.

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