Easement vs. License

By
Mortgage and Lending with Right Trac Financial Group, Inc., NMLS# 2709 NMLS #1012303

Generally, an easement is a right to use the property of another for a specific purpose and lasts forever.  A license on the other hand is a right to use the property of another for a specific purpose, but a license can generally be drivewayterminated by the grantor as specified in the license or otherwise at any time.  The difference was addressed recently by the Supreme Court of Rhode Island in the case of Kinder v. Westcott.

In 1952 Ralph Kinder owned three lots, two with frontage on Poppasquash Road in Bristol, R.I., and the third lot was a rear lot that was located behind the other lots owned by Ralph.  Ralph conveyed the rear lot to his brother Joe, and subsequently Ralph and his wife granted an easement to Joe across the two from lots over an existing driveway so that the rear lot would also have access to Poppasquash Road.  After the deaths of both Ralph and Joe there respective families acquired the ownership of the respective lots and Joe's family continued to use the driveway for access to Poppasquash Road.

The rear lot was originally not a buildable lot when it was conveyed to Joe, but Joe's family acquired an adjacent parcel and the two parcels were merged together so that the new, larger parcel became a lot of sufficient size to accommodate a home.  Joe's family conveyed the now larger parcel to an outsider who did construct a home on the parcel.  This irritated Ralph's surviving spouse who brought suit to quiet title to the driveway area and to prevent further use of the driveway by the outsider, Jil Westcott.

The plaintiff contended that a permanent easement was not what was intended by she and Ralph and that they only intended a license for the benefit of Joe.  She claimed that the right to use the driveway was not transferable to subsequent owners of the rear lot, i.e., Jil Westcott.

The language of the easement was clear that it was for the benefit of Joe and his heirs and assigns.  With that language in the document it was decided by the R.I. Supreme Court that the easement was transferable to subsequent owners of the rear lot.  Had that language been absent, the document would have created a mere license that could have been terminated by Ralph's survivng spouse.

It is imperative that any owner's title insurance policy insure not only the ownership of the land in question, but also insure that the easements are conveyed with the title to the land.  A "standard" owner's title insurance policy does insure access to the insured land, but unless the easement is actually specified, any access to the land would be sufficient under the title policy.  You may not always get the access you want unless it is actually expressed in the title policy.

Posted by

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Randy Kirsch, NMLS #1012303

Right Trac Financial Group, Inc. NMLS #2709

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Manchester, Ct. 06042

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The blogs written and published by Randy Kirsch are not in any manner whatsoever to be considered as legal advice or as a legal opinions.  If you have legal questions or concerns regarding any area of real estate law or mortgage law you are advised to consult a licensed, competent real estate attorney in your local area to address your concerns and questions.

 

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Comments (14)

John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Randy - It is always important to describe in detail the use of the land to avoid future litigation. Excellent blog!

Jan 18, 2015 01:39 AM
Ed Silva
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Good Post, Randy.  People buying homes on interior lots have to do their research to ensure that there are no complications down the road. 

Jan 18, 2015 03:21 AM
Troy Erickson AZ Realtor (602) 295-6807
Good Company Real Estate - Chandler, AZ
Your Chandler, Ahwatukee, and East Valley Realtor

Randy Kirsch - It is important to review the title policy in order to discover any easements, licenses, etc. before making a purchase.

Jan 18, 2015 04:09 AM
Randy Kirsch
Right Trac Financial Group, Inc., NMLS# 2709 - Manchester, CT
(NMLS# 1012303) Your Dedicated Mortgage Consultant

It is important John Pusa to describe all the detyails in painstaking detail and to use the correct legal terminology to avoid future problems.

Thanks for sharing.

Jan 18, 2015 04:58 AM
Randy Kirsch
Right Trac Financial Group, Inc., NMLS# 2709 - Manchester, CT
(NMLS# 1012303) Your Dedicated Mortgage Consultant

It is especially important Ed Silva to double check everything from a title perspective on a rear lot.  It needs to be done in a timely matter and not sprung at the closing.

Thanks for sharing, Ed.

Jan 18, 2015 05:00 AM
Randy Kirsch
Right Trac Financial Group, Inc., NMLS# 2709 - Manchester, CT
(NMLS# 1012303) Your Dedicated Mortgage Consultant

@Tony Erickson, I would take things a step further and review the title with the buyer's attorney well before youy get to the point of seeing the actual rtitle policy.

Thanks for sharing.

Jan 18, 2015 05:04 AM
George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Randy this is why I always suggest to my Borrowers that they spend a few extra dollars and get the Owner's Title Insurance as well.  The few extra dollars the Owner's Title Policy costs can save thousands of dollars later when issues like this arise or boundary line disputes.

Good job with the explanation.

Jan 18, 2015 06:53 AM
Randy Kirsch
Right Trac Financial Group, Inc., NMLS# 2709 - Manchester, CT
(NMLS# 1012303) Your Dedicated Mortgage Consultant

Yes, as much as people want to cut back on expenses, an owner's policy is a very good idea George Souto   Owners receive no protection at all under the lender's policy that they are required to purchase and they do need a separate policy.

Thanks for sharing, George.

Jan 18, 2015 07:37 AM
Joe Petrowsky
Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709 - Manchester, CT
Your Mortgage Consultant for Life

Good morning Randy. It would have been hard for the court now to come up with this decision. This one makes sense for sure.

As you well know easements can create so many headaches, not intentionally, but over time things change.

Make it a great week!

Jan 18, 2015 07:29 PM
Conrad Allen
Re/Max Professional Associates - Webster, MA
Webster, Ma, Realtor

Hi Randy.  Always, always get title insurance and know what you are buying.

Jan 18, 2015 07:59 PM
Randy Kirsch
Right Trac Financial Group, Inc., NMLS# 2709 - Manchester, CT
(NMLS# 1012303) Your Dedicated Mortgage Consultant

This was somewhat of a no-brainer for the court Joe Petrowsky as the language of the easement itself was so very clear.

Thanks for sharing.

Jan 19, 2015 07:24 AM
Randy Kirsch
Right Trac Financial Group, Inc., NMLS# 2709 - Manchester, CT
(NMLS# 1012303) Your Dedicated Mortgage Consultant

I am a big fan of buyers purchasing title insurance Conrad Allen although as you pointed out in your recent post on the topic, there are some bugs in the system that need to be reworked.

Thanks for sharing.

Jan 19, 2015 07:25 AM
Maria Gilda Racelis
Home Buyers Realty, LLC-Manchester, Bolton. Vernon,Ellington - Manchester, CT
Home Ownership is w/in Reach. We Make it Happen!

Good Evening Randy: License is revocable and easement, normally, runs with the land.

And in the scenario you stated, the easement is to be conveyed to its heirs and assigns...

When I see easement on the deed, I will consult a lawyer for further explanation.

 

Jan 19, 2015 08:07 AM
Randy Kirsch
Right Trac Financial Group, Inc., NMLS# 2709 - Manchester, CT
(NMLS# 1012303) Your Dedicated Mortgage Consultant

It is always a good idea to double check if you have any indication that the property has an easement that benefits the property such as a common driveway.  I know some attorneys and settlement agents that get a bit sloppy and do not include those in the deed Maria Gilda Racelis and you need to keep them on their toes.

Thanks for sharing.

Jan 20, 2015 08:37 AM

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