Cherokee Water Company, Petitioner v. Gregg County Appraisal District, Respondents

Summary

The Texas Supreme Court affirmed the Court of Appeals' judgment that the trial court properly exercised its de novo authority to determine the fair market value of Cherokee Water Company's land and that the lessor, not the lessee, is taxed on the full value of the property. The Court rejected Cherokee's arguments that the appraisal district's method was unconstitutional, that the property must be valued as a single tract, and that leasehold interests limited the taxable value. A dissent argued the appraisal violated statutory and constitutional due process requirements.