EASEMENT AGREEMENT
(Arizona – Comprehensive Template)
[// GUIDANCE: This template is drafted to comply with Arizona real-property law and standard recording requirements under A.R.S. §§ 11-480 & 33-411. Customize all bracketed fields, confirm legal descriptions, and review county-specific recording standards (margins, font size, barcodes, fees) prior to execution.]
COVER SHEET FOR RECORDING
When Recorded, Return To:
[NAME]
[MAILING ADDRESS]
[PHONE / EMAIL]
Assessor’s Parcel No(s). (APN): [______]
TABLE OF CONTENTS
- Definitions
- Grant of Easement
- Purpose; Use Restrictions
- Consideration
- Term; Termination
- Maintenance & Repair
- Insurance; Taxes; Liens
- Improvements; Alterations
- Representations & Warranties
- Covenants
- Default; Remedies
- Risk Allocation
- Dispute Resolution
- General Provisions
- Execution & Notarization
1. DEFINITIONS
The following terms have the meanings set forth below and apply throughout this Easement Agreement (“Agreement”). Undefined capitalized terms have the meanings assigned in context.
“Abandonment” – A failure by Grantee to use the Easement Area for the Easement Purpose for a continuous period of [___] months, coupled with intent to relinquish.
“Actual Damages” – Direct, out-of-pocket losses proven by competent evidence, excluding any form of consequential, incidental, special, punitive, or exemplary damages.
“Easement Area” – The real-property area described in Exhibit A.
“Easement Purpose” – [e.g., vehicular and pedestrian ingress, egress, and utility installation].
“Easement Type” – [Affirmative / Negative] and [Appurtenant / In Gross] and [Exclusive / Non-Exclusive], as set forth in Section 2.
“Grantor” – [GRANTOR LEGAL NAME], an [entity type & jurisdiction] with its principal place of business at [address].
“Grantee” – [GRANTEE LEGAL NAME], an [entity type & jurisdiction] with its principal place of business at [address].
“Recording Date” – The date this Agreement is recorded in the Official Records of [______] County, Arizona.
2. GRANT OF EASEMENT
2.1 Grant. For good and valuable consideration, the receipt and sufficiency of which are acknowledged, Grantor hereby grants, bargains, sells, and conveys to Grantee a(n) [Exclusive / Non-Exclusive] [Affirmative / Negative] [Appurtenant / In Gross] Easement (“Easement”) over, across, under, and through the Easement Area for the Easement Purpose, together with reasonable rights of access thereto.
2.2 Rights Included. The Easement includes the right to (a) construct, install, maintain, operate, repair, replace, and remove improvements reasonably necessary for the Easement Purpose; (b) enter upon adjoining portions of Grantor’s property as reasonably required for construction and maintenance, subject to restoration obligations; and (c) exercise all other rights that are reasonably incident to the foregoing.
2.3 Reservation. Grantor reserves all rights not expressly granted, provided such reserved rights do not unreasonably interfere with Grantee’s use and enjoyment of the Easement.
3. PURPOSE; USE RESTRICTIONS
3.1 Permitted Use. Grantee shall use the Easement solely for the Easement Purpose.
3.2 Prohibited Activities. Grantee shall not:
(a) store hazardous substances within the Easement Area;
(b) interfere with Grantor’s utilities or drainage; or
(c) create unsafe conditions or nuisances.
3.3 Compliance with Laws. Each Party shall comply with all applicable federal, state, county, and municipal laws, ordinances, regulations, and codes in connection with its activities under this Agreement.
4. CONSIDERATION
4.1 Easement Price. Grantee shall pay Grantor $[__] (the “Easement Fee”) within [_] business days after the Effective Date.
4.2 Default Interest. Any unpaid Easement Fee shall accrue interest at the lesser of (a) 10% per annum or (b) the maximum rate permitted by A.R.S. § 44-1201(A).
5. TERM; TERMINATION
5.1 Term. Unless earlier terminated as provided below, the Easement shall be perpetual.
5.2 Termination Events. This Easement may be terminated:
(a) by written agreement of the Parties duly recorded;
(b) automatically upon Abandonment certified by Grantor and recorded;
(c) upon expiration of a stated term if the Parties elect a fixed term in Exhibit B; or
(d) by judicial determination under A.R.S. § 33-113 or successor statute.
5.3 Recording of Termination. Upon termination, the terminating Party must record a notarized Termination of Easement in the Official Records of [______] County, Arizona, and provide a file-stamped copy to the other Party within five (5) business days.
6. MAINTENANCE & REPAIR
6.1 Grantee Obligations. Grantee shall, at its sole cost, keep the Easement Area and related improvements in good, safe, and working order, promptly repairing any damage it causes.
6.2 Grantor Obligations. Grantor shall not obstruct or impair the Easement Area and shall avoid activities that materially increase maintenance costs for Grantee.
6.3 Restoration. Upon completion of any work, the responsible Party shall restore the Easement Area and adjacent property to substantially the same condition that existed immediately prior to such work, reasonable wear and tear excepted.
7. INSURANCE; TAXES; LIENS
7.1 Insurance. Grantee shall maintain, at minimum:
(a) Commercial General Liability insurance with limits not less than $[1,000,000] per occurrence and $[2,000,000] aggregate;
(b) Workers’ Compensation as required by law; and
(c) [other coverages].
Grantor shall be named as an additional insured on CGL policies.
7.2 Taxes. Each Party is responsible for its own real-property taxes, assessments, and fees arising from its ownership or use.
7.3 Liens. Each Party shall keep the Easement Area free from mechanics’ or materialmen’s liens arising from its activities and shall bond-off or discharge any lien within ten (10) days of notice.
8. IMPROVEMENTS; ALTERATIONS
8.1 Grantee may install improvements consistent with the Easement Purpose, subject to:
(a) prior written notice to Grantor of plans and specifications;
(b) compliance with all permits and approvals; and
(c) Grantor’s right to review for reasonable interference.
8.2 Underground Facilities. Before excavation, Grantee shall contact Arizona 811 and comply with A.R.S. § 40-360.21 et seq.
8.3 Removal. Upon termination, Grantee shall remove its improvements and restore the Easement Area unless the Parties agree otherwise in writing.
9. REPRESENTATIONS & WARRANTIES
9.1 Mutual Representations. Each Party represents and warrants that:
(a) it is duly organized, validly existing, and in good standing;
(b) it has full power and authority to execute and perform this Agreement;
(c) this Agreement constitutes a valid, binding obligation enforceable against it; and
(d) execution does not violate any governing documents, contracts, or laws.
9.2 Grantor Title Warranty. Grantor represents that it holds fee simple title to the Easement Area free of monetary liens or encumbrances that would materially impair the Easement, except as disclosed in Exhibit C.
9.3 Survival. The representations and warranties survive the Recording Date for a period of two (2) years.
10. COVENANTS
10.1 Grantor covenants that Grantee shall have quiet enjoyment and undisturbed use of the Easement, subject to the terms herein.
10.2 Grantee covenants to exercise the Easement in a manner that minimizes disruption to Grantor’s remaining property.
10.3 Further Assurances. Each Party shall execute and deliver instruments reasonably requested to effectuate the intent of this Agreement.
11. DEFAULT; REMEDIES
11.1 Event of Default. Failure by a Party to perform any material obligation within thirty (30) days after written notice and opportunity to cure constitutes an “Event of Default.”
11.2 Remedies. Upon Event of Default, the non-defaulting Party may:
(a) seek an order of specific performance;
(b) recover Actual Damages;
(c) obtain injunctive relief; and
(d) pursue any other remedy available at law or equity.
11.3 Attorneys’ Fees. The prevailing Party in any action or proceeding shall be entitled to reasonable attorneys’ fees and costs.
12. RISK ALLOCATION
12.1 Indemnification. Each Party (“Indemnitor”) shall indemnify, defend, and hold harmless the other Party and its Affiliates from and against any third-party claims, losses, or liabilities arising out of (a) Indemnitor’s breach of this Agreement, or (b) Indemnitor’s negligence or willful misconduct.
12.2 Limitation of Liability. NEITHER PARTY SHALL BE LIABLE TO THE OTHER FOR ANY CONSEQUENTIAL, INCIDENTAL, INDIRECT, SPECIAL, PUNITIVE, OR EXEMPLARY DAMAGES, REGARDLESS OF THEORY. EACH PARTY’S AGGREGATE LIABILITY IS LIMITED TO ACTUAL DAMAGES NOT TO EXCEED $[_] PER OCCURRENCE AND $[___] IN THE AGGREGATE.
12.3 Force Majeure. A Party is excused from performance during, and to the extent caused by, an event of Force Majeure (e.g., acts of God, war, terrorism, governmental order, or natural disaster) provided it gives notice within ten (10) days and resumes performance promptly thereafter.
13. DISPUTE RESOLUTION
13.1 Governing Law. This Agreement is governed by the laws of the State of Arizona, without regard to conflicts-of-law principles.
13.2 Forum Selection. The Parties submit to the exclusive jurisdiction of the state courts located in [______] County, Arizona.
13.3 Optional Arbitration. [OPTIONAL] Either Party may elect binding arbitration administered by the American Arbitration Association under its Commercial Arbitration Rules. The arbitration shall be held in [City, Arizona] before one arbitrator. Judgment may be entered in any court of competent jurisdiction.
13.4 Jury Trial Waiver. [OPTIONAL] EACH PARTY KNOWINGLY, VOLUNTARILY, AND IRREVOCABLY WAIVES ITS RIGHT TO A TRIAL BY JURY.
13.5 Injunctive Relief Not Precluded. Nothing in this Section limits a Party’s right to seek specific performance or injunctive relief in a court of competent jurisdiction.
14. GENERAL PROVISIONS
14.1 Amendments & Waivers. No amendment or waiver is effective unless in writing, signed by the Party against whom enforcement is sought, and recorded if affecting real property.
14.2 Assignment. Grantee may not assign the Easement without Grantor’s prior written consent, which shall not be unreasonably withheld, conditioned, or delayed; provided, however, assignment to a successor-in-interest to Grantee’s dominant estate (if appurtenant) does not require consent.
14.3 Successors & Assigns. This Agreement binds and benefits the Parties and their respective successors and permitted assigns.
14.4 Severability. If any provision is held invalid or unenforceable, the remaining provisions remain in full force, and the invalid provision shall be reformed to the minimum extent necessary to make it enforceable.
14.5 Entire Agreement. This Agreement (including all Exhibits) constitutes the entire agreement and supersedes all prior understandings regarding the subject matter.
14.6 Counterparts; Electronic Signatures. This Agreement may be executed in multiple counterparts, each of which is deemed an original, and all of which constitute one instrument. Signatures exchanged via PDF or electronic signature platform (e.g., DocuSign) are binding.
14.7 Headings. Headings are for convenience only and do not affect interpretation.
14.8 No Third-Party Beneficiaries. Except as expressly provided, this Agreement confers no rights on any person or entity other than the Parties and their respective successors and permitted assigns.
15. EXECUTION & NOTARIZATION
IN WITNESS WHEREOF, the Parties have executed this Easement Agreement as of the Effective Date.
GRANTOR:
[GRANTOR LEGAL NAME]
By: ____
Name: ____
Title: ____
Date: ________
GRANTEE:
[GRANTEE LEGAL NAME]
By: ____
Name: ____
Title: ____
Date: ________
NOTARY ACKNOWLEDGMENTS
[// GUIDANCE: Arizona requires a proper notarial acknowledgment for each signatory. Use statutory short form under A.R.S. § 41-311(10). Adapt language for individuals, corporations, LLCs, or partnerships as applicable.]
State of Arizona )
County of ______ ) ss.
On this ___ day of _, 20_, before me, the undersigned Notary Public, personally appeared ______, who acknowledged he/she executed the foregoing instrument for the purposes therein contained.
Notary Public ____
My Commission Expires: _______
(Repeat acknowledgment block for each signatory as needed.)
EXHIBIT A – LEGAL DESCRIPTION OF EASEMENT AREA
[Insert metes-and-bounds description or surveyor’s exhibit.]
EXHIBIT B – TERM (If Other Than Perpetual)
[Optional fixed term language.]
EXHIBIT C – TITLE EXCEPTIONS
[List of recorded encumbrances, liens, CCRs, or other matters of record.]
[// GUIDANCE: Prior to finalizing, review Schedule B-II of most recent title commitment, confirm no conflicting easements, and verify Exhibit A matches survey. Ensure the signed original complies with county recording formatting—e.g., 2" top margin, ½" sides/bottom, and notary seal legibility.]