What is an easement?
A ‘deed of easement’ is a signed, legal document that grants the right to use another person’s land for a specifically stated purpose. In this case, the homeowner will grant rights to the electricity company (DNO), meaning they can leave their existing equipment in situ permanently, in return for a fee. A deed of easement doesn’t have a specific expiration date and once properly created and registered, it is in place indefinitely, passing on to future property owners.
Why do I need an easement?
Electricity easements are exclusive to high voltage equipment, which by its nature, creates injurious affection. This means because of its presence in garden land, it causes a negative effect on the property value. Electricity companies will often compensate the difference when setting up an easement and obtaining rights. Entering an easement usually involves a more substantial lump sum payment to the landowner than that of a wayleave (termed or annual agreement).
How long does it take?
Due to the valuation and legal aspects of the easement process, these claims can take anywhere between three to five years generally.
What rights will I give away?
You will not give away any further rights over your land, but you are agreeing for the equipment to remain, and with reasonable notice, allow the electricity company to maintain and repair their equipment when necessary.
What restrictions or responsibilities will I have?
The electricity companies are always responsible for the maintenance and safety of their equipment; however, they will request that no new structures are built within a certain distance of the equipment so that they can maintain safety standards. This usually sits at around 6 meters, and anyone with an existing agreement should check with the electricity company before starting any building works that may fall within this distance.
Will it affect the sale?
These types of easements do not usually have an impact on the enjoyment or use of the property so do not have a negative impact on the sale of one. As the equipment is already having a negative effect on the property value, an easement should not worsen matters, but this can change case by case and we are happy to discuss this with potential clients.
Can they install more equipment?
Granting an easement for the existing equipment does not give the DNO rights to install new equipment in the future. The easement should talk only of the equipment currently in situ.
Can I get it removed in future?
Once an easement is granted, you cannot request to have the equipment removed and any such requests will be denied.
What’s the process?
Upon receiving an instruction, we must first conduct initial checks to make sure all homeowners have given authority and own the property in question. Following this an inspection will be carried out by a surveyor to establish the quantity and distance of the equipment, plus this can aid in the valuation process.
An internal valuation of the property will be carried out and the information gathered will then be submitted to the DNO. They will then want to complete their own assessment which is usually referred to an external surveyor acting on their behalf. One both parties have verified the claim, a negotiation will be set up whereby both sets of surveyors agree a figure of compensation based on all factors. Once this is checked, the offer is sent to the client to accept or decline. The offer is always the best option that we believe the electricity company will offer.
Following acceptance, the claim is then referred to solicitors to facilitate the administration and oversee the legalities of the deed. Once they have completed their part, the draft deed will be sent to the client for signing and in turn, the DNO will countersign. The solicitors are also responsible for distributing the compensation and fees.
What are your fees?
Our commission fee stands at 20% of the total compensation offered. The surveying fee is almost always covered by the DNO as well as a contribution towards the solicitor fees, but this may be subject to change. We always work on a no win no fee basis and receive any monies when the process has been completed.
Why do I have to use a solicitor?
Should you wish to accept an offer made by the electricity company, it will be necessary to appoint a solicitor to handle the legal formalities. Normally they will also collect the compensation monies from the electricity company and, following completion of the Deed, will send you the monies for the compensation, less our commission.
We refer our clients to solicitors who have considerable experience in dealing with these matters. In most cases, the DNO will contribute towards the legal costs in addition to the settlement amount, and our recommended solicitors have agreed to complete the necessary legal work within this contribution. You should be advised that if additional work is required, such as first registration of a title if your property is unregistered, you may incur additional costs.
Can I use my own solicitors?
Should you prefer, you can appoint a solicitor of your own choosing, however, if they are not used to dealing with these matters, it is likely that the claim will take longer to complete. If you choose to appoint your own solicitor, they must agree to legal undertakings which will be sent to them upon receipt of this acceptance. The electricity company will endeavour to cover the legal fees; however, you will ultimately be liable for any additional fees if your chosen solicitor exceeds the contribution.
Can I claim even if I am planning on selling?
It is not usually a good idea to start the easement process if you are planning on selling your property due to the longevity of these claims.
If at any point during the process you intend on remortgaging or placing your property on the market, it is imperative that you discuss this with both us and your solicitor. You must not exchange contracts until the Deed is complete and registered otherwise, you will lose your entitlement to the settlement monies.
Once you are no longer the homeowner, you lose your ability to grant rights over the land.
Disclaimer: The information in this blog post was accurate at the time of publishing. However, laws, regulations, and best practices may change over time. We do our best to keep our content up to date, but we cannot guarantee that all information remains current or correct. This blog post is for general information only and should not be taken as legal, financial, or professional advice. If you are unsure about anything, please contact us or seek professional guidance before making any decisions.
