You're right. Both in this instance and in the Pink Fence story there is no one to blame except the state. The original homeowners did nothing wrong. The land speculator was simply following rules set out by the law. (Yes, some people think he's an anal sphincter, but he's still following the lead of the state.)
The root of the problem is a legal system that creates these situations to begin with.
Tauzero: Solution: no property tax.
gitmo: The root of the problem is a legal system that creates these situations to begin with.
I agree with one important distinction. It is ignorant, incompetent or opportunist -- and various combinations of the three -- politicians and bureaucrats that manufacture and administer unjust laws. Not to mention their complicit colleagues that sit in silence while others applaud the small-minded politicians and bureaucrats. They create problems where they need not exist. Doing so to protect their unearned paychecks and unearned power. For earned paychecks and real power come with being a value producer; creator of values that benefit self, others and society.
Over the history of the United States there hasn't always been 3,000 new federal laws and regulations created each year. Clinton's eight years as President brought 25,000 new laws and regulations. The exposing question is: How do we as individuals and a society manage to survive and even prosper without those laws, until they are created? Stated differently, next year congress will write and pass into law about 3,000 new laws and regulations, but how is it that we have prospered previous to those forthcoming laws yet come next year we will have those laws shoved down our throats as "must have laws that society can't live without"?
The fact of the matter is, corrupt politicians and bureaucrats can't continue garnering unearned paychecks and unearned power without next year's 3,000 new laws -- mostly creating problems where they need not exist. As they proclaim they are using government to help the little guy they are in reality doing a harmful disservice by hindering prosperity creation and accumulation.