Legal Question in Real Estate Law in California

Re: Deceased Grantor's Rights

It appears from the facts you give that a corporate subdivider reserved utility easements so that purchasers of individual lots would have access to utility services.

Without the opportunity to see the real-world status of this subdivision or to look at the deeds or subsequent records, I cannot say for certain what the status of these easements would be today.

Nevertheless, it is very likely that the easements are still valid and effective, in favor of whatever utility companies have, or might in the future, made or make use of them. The general principle is that courts are very reluctant to find that an easement has terminated by abandonment or non-use when there is some possibility that the easement in question might be useful for its intended purpose some time in the future.

In addition to finding that said past, current or future utility companies were in effect the assignees of the defunct corporation, a court could hold that buyers of individual lots had a sufficient interest in the easements on each other's lots, because of each owner's need for utility service, that said other lot owners were in effect assignees.

On the other hand, if this subdivision was never sold off and the subdivided parcels have been merged, or if for some other reason there is no present or foreseeable need for the easements, a court might find that the easements are terminated by merger, non-use, estoppel, abandonment, prescription or perhaps another of the many ways in which easements can be terminated. The general rule, however, is that easements are at least semi-permanent and will survive the demise of a corporate holder.

I hope this is helpful. If in doubt, contact a real estate attorney in your county who can review the documents and research the recorded instruments.