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  1. #1
    Join Date
    Apr 2008
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    6

    Default Utility Wants Additional Easement On Property

    Our electric company contacted us. Since the area is growing, they need to upgrade. They selected our property as the site to do this. They want to place an 8 x 10 foot transformer on a 25 sq foot area on a corner of our property. They have stated that since they are a cooperative, they do not need to reimburse us for this. They also stated that the would place shrubbery around this thing and then would maintain it. In looking at the contract, there is nothing regarding continued maintenance. #1 - Is it true that they don't need to reimburse us? and #2 - Should we require that they put the maintenance in writing?

  2. #2
    Join Date
    Jul 2006
    Posts
    5,437

    Default Re: Utility Wants Additional Easement On Property

    #1 - Is it true that they don't need to reimburse us?

    A: I would ask to see a state statute on that; frankly, I don't believe the utility.


    #2 - Should we require that they put the maintenance in writing?

    A: Insist on everything you want to be in clear, plain, and simple language. If you do not understand it, then don't sign it.

  3. #3
    Join Date
    Jul 2006
    Posts
    2,652

    Default Re: Utility Wants Additional Easement On Property

    I agree with SJ.

    I didn't read anything that gives them the right to do it just because it is a cooperative.

    http://www.moga.state.mo.us/STATUTES...rs/CHAP394.HTM

  4. #4
    Join Date
    Oct 2007
    Location
    Ohio
    Posts
    2,592

    Default Re: Utility Wants Additional Easement On Property

    The fact that they are a cooperative does not seem to give them the right they claim. But one of your predecessors in ownership may have agreed to a blanket easement, possibly when first joining the coop. You need to check for that by requesting in writing their authority to take without compensation.

  5. #5
    Join Date
    Jul 2006
    Posts
    5,437

    Default Re: Utility Wants Additional Easement On Property

    Quote Quoting LandSurveyor
    View Post
    The fact that they are a cooperative does not seem to give them the right they claim. But one of your predecessors in ownership may have agreed to a blanket easement, possibly when first joining the coop. You need to check for that by requesting in writing their authority to take without compensation.
    And I can guarantee you that the co-op will not be able to find it.

  6. #6
    Join Date
    Feb 2008
    Posts
    16

    Default Re: Utility Wants Additional Easement On Property

    You can just tell them NO. Or you can tell them to have the area appraised and you will go from there. Its called just compensation for the area taken. Also, read their document. Its going to be a multiple use document. Gives them every right under the sun on your property. Remember, with transformers comes lines. They will need to get the power into and out of that site. You can tell them that you will grant them the easement but for XXX dollars and you will sign only a document that gives them the rights they say they need now. Thats what they could condemn for not all the other crap. The money they pay you now will be reported on a 1099. The money you will get from a special master is damages and not taxed in most states. There is a lot involved here and most of the time if you tell them no or drag it out they may go somewhere else. They don't want to start paying money for anything so they can tell other landowners " we don't pay for easements". If they try and say that you agreed to this as being part of a cooperative tell them you do not think that has had judical review and you think its time. If they keep showing up at your door day after day, call the police. Interesting that they need just that small an area. Makes me think they have a new customer and are putting in a express feeder line just for them. Without money and a document limiting what they can do I would tell them NO. Keep us informed.

  7. #7
    Join Date
    Oct 2007
    Location
    Ohio
    Posts
    2,592

    Default Re: Utility Wants Additional Easement On Property

    Quote Quoting seniorjudge
    View Post
    And I can guarantee you that the co-op will not be able to find it.
    Well, a guarantee from SJ is pretty good and I would hang my hat on it.

  8. #8
    Join Date
    Apr 2008
    Posts
    6

    Default Re: Utility Wants Additional Easement On Property

    Wow! I'm glad I found this site. I will definitely be asking them some hard hitting questions. I did ask at the time what would happen if we said no. He said they would put in a tall pole with a transformer on our property where they already have an easement. Is there anything that can be done to prevent that? By the way, there wasn't any electricity on our property until we bought the land. They put up a pole on one end and then ran the lines underground to the house.

  9. #9
    Join Date
    Mar 2007
    Posts
    9,096

    Default Re: Utility Wants Additional Easement On Property

    By the way, I would include in the easement amount an attempt to recoup the money your property value will lose when a power line is run through it.

    Your neighbors may want to join in on that one.

  10. #10
    Join Date
    Feb 2008
    Posts
    16

    Default Re: Utility Wants Additional Easement On Property

    Seems like the utility has options but wants the easy way out and they don't care what they do to your property. You might want to look at the current easement document if there is one and see whats in it. So if they can use a pole mounted transformer and solve their problems, what are they not telling you about the other site? Remember, with additional transformers comes additional lines both in and out of the site. If the area is growing that much then this may just be stop gap. Next will be 1/2 acre or more for a full blown sub-station. Give them a price to buy you out completely and when they reject that say thanks but no thanks. Give them the options that work for you. Keep us informed.

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