Legal Question in Business Law in Arizona

Approximately 20 years ago I divided a ten acre parcel into 5, 2-acre parcels. Had a well drilled and offered a well share agreement. The buyers of 2 parcels paid a small fee and entered into the agreement. The well was used for a short time, but usage was abandoned by the shareholders after a few years due to sanding, and high levels of arsenic that was very costly to remediate. The well hasn't been used for over ten years. One party did continue to use a water tank located next to the well.

As original owner the Shared Well agreement I want to terminate the well share agreement. The Termination paragraph includes this sentence:

This agreement shall continue until terminated in writing by the parties or until the well ceases to provided water to meet the purposes of this agreement.

I have given written notice approximately 6 months ago. The one party is no longer using the tank. My intent is to record a Dissolution OF Well Share Agreement. Based on the above can I do this unilaterally?


Asked on 7/06/24, 4:37 pm

1 Answer from Attorneys
Frank Natoli Natoli-Legal, LLC

It would be a good idea to get written confirmation of acceptance of termination based on the well no longer being able to provide water to meet the agreement's purpose (i.e., drinkable safe water). Of course, a party to this agreement does not have to agree.

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Answered on 7/08/24, 7:40 am


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