Chapter 6: Encumbrances

Termination of Easements

-Via Quitclaim Deed -Merger of two properties -Abandonment -Adverse Possession

1 Mill

1/1000 of a Dollar or $0.001

Monetary Encumbrances (Liens)

A claim or charge against a property as security for the payment of a debt or obligation. "All liens are encumbrances, but not all encumbrances are liens".

Prescription

A method of acquiring an easement by continuous, open, hostile, and notorious use for a period of 10 years without the consent of the owner.

Lis Pendens

A recorded legal document that gives constructive notice that an action affecting a particular piece of property has been filed in a state or federal court.

Profit/ Profit a prendre

A type of easement where there is a right to remove soil, minerals, fruit, timber, or some product of the land with compensation to the surface owner of the land.

Non-monetary encumbrances

Affect the physical condition or use of a property.

Express Grants

An Express Grant is usually executed by a separate deed. The rights, privileges, and duties would be clearly stated in the deed.

Encroachments

An intrusion upon another person's property without a right to use it.

Encumbrance

Any claim, lien charge, or liability attached to and binding on real property that may lessen the value, burden, obstruct, or impair the use of the property but not prevent transfer of title.

Appurtnenant Easement

Attached to the land and if the property is sold, the easement is transferred to the new owner. "Run with the land"

Personal Easement in Gross

Cannot be assigned or transferred and terminates with the death of the person to whom the easement was granted, or upon transfer of the subject property.

Lien Claimant

Includes every artisan, builder, contractor, laborer, lessor, or renter of equipment, material man, minor, sub contractor, or other person who provides work, material, or equipment equipment.

Ingress Egress

Ingress- Entrance Egress- Exit

Easement

Is an interest that entitles one party to some limited use of another party's land.

Writ of Attachment

Legal process of seizing the real or personal property of a defendant in a lawsuit and holding it in the custody of the court as security for satisfaction of a judgment.

Mechanic's Lien/ Materialman's Lien

People who provide labor or material to improve someone's property can place liens against and foreclose on the property if they have not been paid for their services or materials.

License

Personal privilege to use the land of another for a limited purpose. It can be revoked at any time and is not an interest in the land.

Deed Restrictions

Private limitations placed on land use.

Tax Due Dates

Property taxes become a lien on property on July 1, and tax is due the third Monday of August. Installments: First installment = Third Monday of August Second installment = First Monday of October Third installment = First Monday of January Fourth installment = First Monday of March

Lien Claimants must:

Serve a 15 day notice of intent to lien. Must record the notice of lien within 90 days of the completion of work. Time for all parties to record their lien is reduced to 40 days if notice of completion is recorded.

How to calculate Ad Valorem Taxes

Taxable value X Level of assessment =Assessed value Assessed value X Tax rate =Total property tax

Laches

The delay in asserting one's right.

Servient Tenement

The land on which the easement runs, or "The one who serves".

Dominant Tenement

The landowner who benefits from the easement.

Judgement

The result of a court action in which one person brings a suit against another person.

Easement in Gross

The right to use the land of another, not attached to the land.

Commercial Easement in Gross

These easements can be assigned or transferred. The sale of the property does not affect this type of easement.

Reservation in a Deed

Transfers ownership to the new buyer, ex: maintained driveway by owner

The highest priority Lien

Unpaid real property taxes have highest priority.

Necessity

When an owner has to grant an easement to allow ingress and egress to the property.

An easement creates a legal right to someone else's real property and must be...

Written and recorded with the county recorder to satisfy the Statute of Frauds.