Brown v. Legal Foundation of Washington

In Brown v. Legal Foundation of Washington, 538 U.S. 216 (2003) the Supreme Court found that a state law, which required client funds that could not otherwise generate net earnings for the client be deposited in an IOLTA account, should be analyzed as per se or physical taking allegation. 538 U.S. at 235. However, the Supreme Court noted that even if property is taken, the Fifth Amendment only protects against a taking without just compensation. Id. at 240. In Brown, the plaintiffs suffered no pecuniary loss as a result of the law. Id. Therefore, there was no constitutional violation when the plaintiffs in that case were not compensated. Id.