Podcast
Questions and Answers
A landlocked parcel of real estate has direct access to a public road or street.
A landlocked parcel of real estate has direct access to a public road or street.
False
Title policies insure against loss if the insured parcel has access.
Title policies insure against loss if the insured parcel has access.
False
Public policy supports that land should not become unusable due to lack of access.
Public policy supports that land should not become unusable due to lack of access.
True
An implied easement of necessity applies only if a landlocked property was previously owned as part of a larger parcel.
An implied easement of necessity applies only if a landlocked property was previously owned as part of a larger parcel.
Signup and view all the answers
Section 704.02 allows for the creation of a statutory easement of necessity only within municipalities.
Section 704.02 allows for the creation of a statutory easement of necessity only within municipalities.
Signup and view all the answers
What is a landlocked parcel of real estate?
What is a landlocked parcel of real estate?
Signup and view all the answers
What must be proven to establish an implied easement by necessity?
What must be proven to establish an implied easement by necessity?
Signup and view all the answers
Which Florida statute addresses the implied easement of necessity?
Which Florida statute addresses the implied easement of necessity?
Signup and view all the answers
What happens if a newly created tract is landlocked?
What happens if a newly created tract is landlocked?
Signup and view all the answers
What is a statutory easement of necessity primarily concerned with?
What is a statutory easement of necessity primarily concerned with?
Signup and view all the answers
What is required for establishing an implied easement of access as per the given guidelines?
What is required for establishing an implied easement of access as per the given guidelines?
Signup and view all the answers
Which situation will cause an easement to be terminated?
Which situation will cause an easement to be terminated?
Signup and view all the answers
Why must a mortgage holder consent to the termination of an easement?
Why must a mortgage holder consent to the termination of an easement?
Signup and view all the answers
Under what circumstances should a tenants in possession exception be included in a policy?
Under what circumstances should a tenants in possession exception be included in a policy?
Signup and view all the answers
What can modify the standard tenants in possession exception language in commercial transactions?
What can modify the standard tenants in possession exception language in commercial transactions?
Signup and view all the answers
Study Notes
Landlocked Parcels and Access Easements
- Landlocked parcels lack direct public road access, requiring access over neighboring land.
- Title policies typically include exceptions for lack of access.
- Implied easements of necessity allow landlocked parcels to access public roads.
- Florida Statutes codify implied easement of necessity (Section 704.01(1)).
- Proven factors include prior shared ownership, prior public road access, and only reasonable access across a neighboring property.
- Statutory easement of necessity (Section 704.02) exists for non-municipal agricultural, timber, or stock-raising purposes.
- Establishing an implied/statutory easement requires a court order.
- Policies issued on landlocked properties will contain an exception for lack of access.
Terminating Easements
- Easements terminate when the dominant and servient estates are owned by the same party.
- The theory is an easement does not exist on land owned by the same party.
- Executing a release by all parties benefiting from the easement is needed.
- If the grantor had placed a mortgage on the property, the mortgage holder also needs to execute the release.
- Recorded mortgages over an easement will likely have to be listed as exceptions.
- Foreclosure can extinguish easements, if the mortgage entity is named in the foreclosure proceeding.
Leases and Leaseholds
- Leases affect property ownership/use, and are relevant to both commercial and residential properties.
- Insuring leases requires reviewing relevant instruments (subordination agreements).
- Standard tenant(s) in possession exceptions are commonly included in commercial property policies.
- Affidavit from property owner may be needed in order to delete lease as exception from policy (must include tenants in possession).
- A lease should be an exception if it's recorded.
- Owner occupied residential may have unrecorded, however, a tenant's in possession exception needs to be included on Schedule B.
- Parties in possession should be confirmed by affidavit.
- Lenders and buyers often want clean policies (especially in commercial transactions).
- Terminating leases requires releases from all parties (lessor and lessee).
- Merger of title does not automatically terminate lease.
- Expired terms do not necessarily qualify property to remove the lease exception from the policy.
- Leases are an insurable interest (conveyance of interest). Each party requires verification (lessor and lessee authorities).
- Lease, Memorandum of Lease, and relevant documents, containing granting language for the transaction, should be readily available to insurers.
- A lease should have a legal description for its terms and be unambiguous.
- All relevant entities and parties must execute the lease. Lease, Memorandum should be acknowledged and recorded to insure lease.
- Non-recorded leases are often not insurable by the lender.
- Lease Exception removal is often not automatic, additional due diligence is necessary. Contact underwriting if unclear.
- If lease is assigned to a new party, estoppel by lessor (no default and all payments current) is required.
- Leasehold policies have specific endorsements (13-06 & 13.1-06) to provide tailored coverage.
- Foreclosure does not extinguish leasehold interest on a property with a pre-existing (recorded) lease.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Test your knowledge on landlocked parcels and access easements, including statutory and implied easements of necessity as per Florida laws. Understand how easements terminate and the conditions under which access can be established. This quiz covers essential legal principles that affect property access.
