Negotiating Pipeline Easements

Helpful Hints When Negotiating the Terms of a Pipeline Easement.

Money is important, but other items can be of equal or greater importance when it comes to protecting the long term value of your property.

Keep in mind this important premise:    Parties with powers of condemnation will often attempt to purchase more than they could obtain solely via condemnation.

It is essential to at least address each of the following items:

  • Single line and non exclusive
    • If broad non exclusive language is not achieved, at least get a list of pre-approved other easements that landowner can grant across this one; similarly restrict type and number of additional easements taking party can subsequently convey
    • Nature, location and number of any surface facilities associated therewith
    • Depth below the surface
    • Material to be transported ( and any to be expressly prohibited )
    • Rights and restrictions on landowner’s use of the easement area
    • Easement maintenance, the who performs, pays and to what standards
    • Restoration of the surface upon completion ( compaction standards, re-seeding, etc) and upon termination or abandonment
    • Restrict access to and activities on easement area including hours of inspection
    • Restrict or specify activities outside of easement area, such as limit to ingress and egress only with no stopping or standing in or around balance of property
    • Address environmental responsibilities and have appropriate indemnifications
    • Specify activities of landowner that can cross an easement without permission such as roads, fences, and the like
    • State whether or not ponds or lakes may be built that intrude upon the easement
    • State the right by landowner to recover damages of any type from any activity, including permitted activities, that might occur
    • Specify if and when the easement reverts back to landowner
    • Specify what constitutes the abandonment of the easement
    • Duty of pipeline company to remove structures or pipe

Article provided by © 2011 Land With Minerals


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