Your Input re: Easement Lawsuit

Wolf mom · #1 01/06/11, 05:06 PM

Background: I have a legal, deeded, recorded easement in my favor across another person's property. When he bought the property the easement was not disclosed by the Title Company. He would NOT have bought the property if he had known of the easement as it cuts the flat acreage off from the hilly part.

The title company's attorney is offering me $1000.00 if I'd remove the easement from his property. (Pretty cheap settlement for the title company for not doing due dilligence). This is of NO benefit to me as I would have to bring in fill dirt to build another access that would not be in as good an area. Land here is worth about $15,000 an acre. When he bought the land it was worth $33,000 an acre.

Would you move the easement? What would it be worth to move the easement? How would you negotiate this? Taking into consideration the cost of the lawsuit, and benefits to everyone involved - except for me. I don't live there and the land will be going up for sale when this is resolved. If the title company can't settle with me the lawsuit will go on for a lot of money, and I'll still have the easement.

Oh, I have no atty and do not plan on getting one unless it gets really stickey.

chickenslayer · #2 01/06/11, 05:09 PM

If you are happy with where the easement lies I wouldn't do anything at all, it's not your problem.

Bearfootfarm · #3 01/06/11, 05:14 PM

Quote:

Would you move the easement?

Not unless it was to my benefit.

He needs to settle with the title company for THEIR error

Windswept Hill · #4 01/06/11, 05:39 PM

Quote:

Originally Posted by Wolf mom

Background: I have a legal, deeded, recorded easement in my favor across another person's property. When he bought the property the easement was not disclosed by the Title Company. He would NOT have bought the property if he had known of the easement as it cuts the flat acreage off from the hilly part.

The title company's attorney is offering me $1000.00 if I'd remove the easement from his property. (Pretty cheap settlement for the title company for not doing due dilligence). This is of NO benefit to me as I would have to bring in fill dirt to build another access that would not be in as good an area. Land here is worth about $15,000 an acre. When he bought the land it was worth $33,000 an acre.

Would you move the easement? What would it be worth to move the easement? How would you negotiate this? Taking into consideration the cost of the lawsuit, and benefits to everyone involved - except for me. I don't live there and the land will be going up for sale when this is resolved. If the title company can't settle with me the lawsuit will go on for a lot of money, and I'll still have the easement.

Oh, I have no atty and do not plan on getting one unless it gets really stickey.

Thats why they sell title insurance.

Did your neighbor purchase title insurance or save a few bucks in the short run?

If your land is going up for sale perhaps your neighbor would like to purchase it, remove the easement and either keep or sell it.

Old Vet · #5 01/06/11, 05:45 PM

Whose land is going to be sold? If it is yours then do what ever you want but if it is his then stay the same. The title company should have found this and have admitted it to you by offering money to you. Go ahead and get an attorney because you will need one when it goes to court.

rambler · #6 01/06/11, 05:52 PM

As a 3rd party in this, you have little involved in it - legally. You have the easement, you have no real intrest in how the new neighbor & the title company resolve things - should not affect you really, it's their problem.

So, I wouldn't get involved legally unless I had to. Souds like you are following that path.

However, it sounds like the title company is looking for a way around this issue, and are willing to spend at least $1000 on it. They might be willing to spend much more.....

Taking all things into consideration without knowing anything about the lay of the land and your options:

You could counter with an offer for them to provide a legal and safe enterance to your property across your property - it sounds like you would have a path from a govt road to your property involved, but it will require grading, perhaps a culvert, etc.?

This would greatly enhance your property's value, as you wish to sell; a new road into it without the (obvious!) hassles of an easement should add several thousand dollars to your property.

In fact, you may wish to look at this as an oppertunity, and chip in 1/4, 1/3, whatever, into the project to make it happen, and view this as a good thing.

I'm assuming a lot; I don't understand your easement & 'other access but difficult' stuff so well, and perhaps my ideas don't apply to what you have going on at all.....

You might wish to run the situation past a realitor as to the value you could gain in a sale and wouldn't be bad to have a silent lawyer aware of the situation so you don't get fleeced, but at this time not get all involved in the deal. Just have people with some knowledge on your side so you don't get taken. Both the title company & the new neighbor want this issue to go away, and will look to pass the problem off to you.

I would calmly hold out for more; but don't be so cold so as to pass up an oppertunity that might be hidden in here?

--->Paul

Fat Charlie · #7 01/06/11, 06:12 PM

Since the easement helps your property and you're thinking of selling, don't let it go. It's a valuable part of your land. Your neighbor's issue is with the title company, not you, and the title company's issue is with whichever of their employees didn't do his job.

Why are you involved in any lawsuit? Is your neighbor suing you to remove the easement? That makes no sense at all. The best response would be a motion demanding that he turn over to you his interest in the land in question for $1000. If we're not actually in a court proceeding yet, then the best response would be to tell them how much you want for your land. You're selling anyway, and this will give your neighbor a chance to expand or his title company a chance to remove their easement from his land.

There's no way you should even be talking to them unless you come out ahead. That's just not right.

Windy in Kansas · #8 01/06/11, 06:13 PM

How well do you like the guy that bought the adjoining property some time ago? In some regards he is the only one that will benefit if you agree to give up your easement rights, i.e. the sale of the land may bring more if there is no easement.

Boils down to---it has been your easement every since you purchased your property and letting go of it won't get you much, nor will keeping it since you have no intention AT THIS TIME to use it.

My property came with a 40 foot easement on the adjoining property. When it came up for sale after the death of the owner I made sure the realtor and eventually an auctioneer knew about it and presented them with copies of the record from the courthouse.

fantasymaker · #9 01/06/11, 06:24 PM

IF they could build a better access in some way Id let them. BUT It would be contingent on the NEW access being finished to your satisfaction.
In other words if they could come in from a different better way or build a straighter shorter easement by spending the bucks to build up the land and build bridges Id think about it.

Hoop · #10 01/06/11, 06:55 PM

The lawyer is lowballing you with an insulting offer ($1000) to remove the easement. Counter with an offer of $30,000. This will put them on notice that you're no pushover.

You don't have to hire a lawyer or any of that nonsense. Its their mistake.

An easement can't be legally removed because someone doesn't want it. They are whistling up a tree.

If you have another legal easement to the property, its ok to trade your easement in return for them building you a top notch road. Its a wonderful opportunity. Use it.

Alice In TX/MO · #11 01/06/11, 07:27 PM

I agree with Hoop.

insocal · #12 01/06/11, 07:55 PM

I would tell them you will remove the easement after they pay for and construct whatever is needed for you to have access without said easement. Or give you sufficient money to do so yourself. Grading, culvert, whatever.....

Harry Chickpea · #13 01/06/11, 08:03 PM

Another vote for Hoop. However...

Now might be a time to verify exactly what an easement allows. The landowner might be able to fell trees across the easement, or dig a ditch, or make life miserable. Take extensive photos of the area NOW with a witness or two, and keep backup copies at a couple of locations. Unless the title company and the neighbor and you can work it out within a month, put an attorney on retainer, just in case, and find out who might be willing to come out on a moment's notice with a bulldozer and a camera to re-establish your access if things get ugly.

Simply put, the title company needs to make the landowner whole. That means correcting their error or buying his land. Your recorded deed should not be in question, but they might try to make it so if they see you as weak. If you hire an attorney it is only to saber rattle and dot "i"s and cross "t"s.

Michael W. Smith · #14 01/06/11, 08:05 PM

I have to agree with Hoop and Alice in TX/MO - the title company is hoping by offering you a little bit of money (and hoping you are strapped for cash and stupid enough to take it), their problem and mistake will go away. They are offering you the cheapest offer hoping you "bite". DON'T!!

Since it sounds like you are looking at getting rid of the property, the way I see it, you have 3 options.

Option # 1: Do nothing. The title company didn't do THEIR job. They are now hoping to come up with a quick and cheap fix so their problem and your neighbor's problem goes away. It's THEIR problem. "Too bad, so sad. Sucks to be you."

Option # 2: Get in contact with the title company attorney and say you are insulted by their offer. Tell them the ONLY way for you to sign off and remove the easement is for them to pay (to YOUR specifications and YOUR approval) a new access onto your property. Note: If you go this route, sign off the easement AFTER all work is done to your satisfaction and approval. If they scoff at your offer, let them know THEIR problem means nothing to you. (See last two sentences in Option # 2.)

Option # 3: See how much it's worth to the neighbor. Perhaps the neighbor is willing to pay top price for YOUR property. (You both win in this option - the neighbor doesn't have to worry about the eastment and you get your property sold.

Whatever option you like - go with it. Option # 1 is going to give you an unhappy neighbor. Not YOUR problem though. However neighbor my try to cause problems with the easement - blocking it off, which may cause you legal problems in the future.
Option # 2 will give you access to your property without an easement. This may help you sell the property more quickly - no one looking at your property has to be concerned about an easement on the neighbor's property to get to the property they are looking at. This may help you get top dollar for your property.
Option # 3 will give you an easy sell and top dollar if the neighbor is interested in buying your property and has the money.

paintboy · #15 01/06/11, 09:03 PM

Another vote for Hoop.

Legally you don't have to do anything. Take your time. Wait several days to respond to anything. Make any counter offer insanely high. That title company knows it's their problem. Make them fix it. Not you.

Joshie · #16 01/06/11, 09:29 PM

You'd best be served by negotiating with a lawyer. If you don't their lawyers will see you as weak. The only option, if it was me, would be to have them build access (and I mean very good access) to your property via some other location.

Do you want to sell your place?

wy_white_wolf · #17 01/06/11, 09:38 PM

I would not give up the easement without compensation of some sort. I can only assume that the easement was made because it was needed for decient access to your property. Even if you have another place to put access into your place I would make them compesate for at least the cost to build that access and loss of use of your land and the loss of use of the other easement.

It would also be advisable to check for any limitations/restrictions that may be on the easement. My brother had an easement through his place. The landowner behind him sold out to a developer that subdivided the field and wanted to use that as access to the lots. He found out that the easement was limited to agricultural use. The lots had already been rezoned as rural residential so my brother was able to get the easement removed against the developers wishes.

WWW

MN Gardener · #18 01/06/11, 09:41 PM

Why not just sell the property know. The title co could buy it and resell it without the easement. Their screw up, their problem. I do think that a consult with a good lawyer might be a wise investment though.

GoldenCityMuse · #19 01/06/11, 11:20 PM

$1000 is an insult. $30-40k i sa good figure.

halfpint · #20 01/06/11, 11:27 PM

If you don't currently have a road through the easement to your property, this could be a way to improve your property value - by having them install a road in a different area. If this is possible, you both win.

I'm not sure they would agree to do work until you have signed paperwork, and if you sign paperwork there is nothing you can do if you're not happy. So you might need to get a few bids yourself on having the job done, then take the highest bid and add about 20% to it to cover your time and cost and unforseen costs, and submit that to the title company. If they see that it will cost you x dollars to put in a road elsewhere, they are more likely to work with you than if you just give a number out of the blue.
Dawn