Legal Question in Real Estate Law in California
We have been asked by utility co to grant an easement, they will pay us a $2500 one time fee. Is this a fair fee and with this easement cause any problems when we sell in the future?
3 Answers from Attorneys
Depends on what type of easement they are requesting. The easement will always follow title. In other words, it may cause someone to offer you less for your property based on that easement since they have to take title with that easement.
In a way, this is like asking if $2,500 is a fair price for your used car. What are they getting and how disruptive will their installation of faciliies and future use of the easement be? I think for the right to string wires overhead across a back corner of a good-sized residential lot, the amount seems fair. If the easement is for a 30-inch high-pressure gas transmission line underground through your barbecue area, no.
If you don't agree to the easement, the utility company might be able to initiate an eminent domain action to acquire the right to use the easement whether you agree or not. In that case, the utility company would have to reimburse you up to $5,000 for the expense to hire a real estate appraiser to tell you whether $2,500 is a fair price. You could ask the utility company to pay you the $5,000 right now to hire a real estate appraiser, in order to expedite the process. Maybe the company would do it.