EASEMENT AGREEMENT
(New Jersey)
[// GUIDANCE: This template is drafted to comply with New Jersey real property law, including the New Jersey Revised Real Property Recording Act, N.J.S.A. 46:26A-1 et seq. Customize all bracketed items before execution and recording.]
TABLE OF CONTENTS
- Document Header
- Definitions
- Grant of Easement
- Consideration
- Term; Termination Procedures
- Representations & Warranties
- Covenants & Restrictions
- Maintenance & Repair
- Default & Remedies
- Risk Allocation
- Dispute Resolution
- General Provisions
- Execution & Notarization
1. DOCUMENT HEADER
Prepared By: ____
Return To: ____
Recording Information: [County] County Clerk – [Book] [Page]/Instrument No. __
Tax Map Reference: [Municipality], Block __, Lot ____
This Easement Agreement (this “Agreement”) is made effective as of [EFFECTIVE DATE] (the “Effective Date”) by and between:
- [GRANTOR’S LEGAL NAME], a [state & entity type or “individual”], having an address at [ADDRESS] (“Grantor”); and
- [GRANTEE’S LEGAL NAME], a [state & entity type or “individual”], having an address at [ADDRESS] (“Grantee”).
Grantor is the fee simple owner of certain real property located in the State of New Jersey more particularly described in Exhibit A (the “Servient Estate”). Grantee desires to obtain, and Grantor agrees to grant, an easement over a portion of the Servient Estate (the “Easement Area”) for the purposes set forth herein.
2. DEFINITIONS
For purposes of this Agreement, the following terms shall have the meanings set forth below, applicable equally to singular and plural forms. Capitalized terms used but not defined herein shall have the meanings ascribed to such terms elsewhere in this Agreement.
“Affiliate” – any entity controlling, controlled by, or under common control with a Party.
“Actual Damages” – the direct, out-of-pocket losses suffered by a Party, excluding special, consequential, punitive, or exemplary damages.
“Easement” – the non-exclusive, perpetual right of way and easement granted in Section 3.1.
“Easement Area” – that portion of the Servient Estate depicted on the survey attached hereto as Exhibit B.
“Improvements” – all structures, pavements, utility lines, signage, landscaping, or other installations placed in the Easement Area by Grantee.
“Losses” – any and all claims, liabilities, damages, judgments, penalties, fines, costs, and expenses (including reasonable attorney’s fees).
3. GRANT OF EASEMENT
3.1 Grant. Grantor hereby grants, bargains, sells, conveys, and warrants to Grantee, for the benefit of the property described in Exhibit C (the “Dominant Estate”), a non-exclusive, [choose type: “ingress, egress, and access” / “utility” / “drainage” / “parking”] easement over, under, across, and through the Easement Area (collectively, the “Easement”), together with the right to install, maintain, repair, replace, and operate Improvements consistent with the Easement’s Purpose.
3.2 Easement Purpose. The Easement is granted solely for the purpose of [DESCRIPTION OF USE], together with incidental uses reasonably related thereto.
3.3 Scope & Limitations.
(a) Non-Interference. Grantor shall not construct or permit any obstruction or improvement within the Easement Area that materially interferes with Grantee’s rights.
(b) Shared Use. Grantor reserves the right to use the Easement Area in any manner not inconsistent with this Agreement.
(c) No Public Dedication. Nothing herein shall constitute a dedication to public use.
4. CONSIDERATION
4.1 Easement Fee. As consideration for the Easement, Grantee shall pay Grantor the sum of [DOLLAR AMOUNT] on or before the Effective Date.
4.2 Taxes & Assessments. Grantee shall bear any real property transfer fees, recording fees, and related taxes attributable to the grant of the Easement.
[// GUIDANCE: Insert additional periodic payment or cost-sharing obligations if required.]
5. TERM; TERMINATION PROCEDURES
5.1 Perpetual Term. The Easement shall be appurtenant to and run with title to the Dominant Estate and Servient Estate in perpetuity, unless earlier terminated as provided herein.
5.2 Abandonment. If Grantee provides written notice of abandonment and fails to use the Easement for its Purpose for a continuous period of [__] years, Grantor may record a Certificate of Termination pursuant to Section 5.5.
5.3 Mutual Termination. The Easement may be terminated at any time by a written instrument executed and acknowledged by Grantor and Grantee and recorded in the Office of the [County] County Clerk.
5.4 Condemnation. In the event all or any substantial portion of the Easement Area is taken by eminent domain, the Easement shall terminate as to the portion so taken, and any award shall be allocated [ALLOCATE PROCEEDS].
5.5 Recording of Termination. Any termination instrument shall reference this Agreement, comply with N.J.S.A. 46:26A-1 et seq., and be indexed against both Estates.
6. REPRESENTATIONS & WARRANTIES
6.1 Grantor’s Authority. Grantor represents that it is the sole owner in fee simple of the Servient Estate, free of encumbrances that would prevent granting the Easement, and that it has full right and authority to enter into this Agreement.
6.2 No Conflicts. Execution and performance of this Agreement do not and will not violate any agreement, law, or order applicable to Grantor.
6.3 Survival. The representations and warranties contained in this Section 6 shall survive recordation and shall not merge into any deed or conveyance.
7. COVENANTS & RESTRICTIONS
7.1 Compliance with Laws. Grantee shall comply with all applicable federal, state, and local laws, ordinances, and regulations in exercising its rights under this Agreement.
7.2 Repair of Damage. Grantee shall promptly repair any damage to the Servient Estate caused by Grantee’s exercise of the Easement to a condition reasonably equivalent to that existing immediately prior to such damage, reasonable wear and tear excepted.
7.3 Notice & Cure. Prior to commencing any material Improvement, Grantee shall provide Grantor [__] days’ written notice, except in emergencies.
8. MAINTENANCE & REPAIR
8.1 Grantee Obligations. Grantee shall, at its sole cost and expense, keep and maintain the Easement Area and all Improvements in good order, condition, and repair.
8.2 Grantor’s Self-Help. If Grantee fails to perform required maintenance within [] days after receipt of written notice, Grantor may perform such maintenance and Grantee shall reimburse Grantor within [] days after invoice.
9. DEFAULT & REMEDIES
9.1 Events of Default. The following constitute “Events of Default”:
(a) Material breach of any covenant, representation, or warranty;
(b) Failure to pay sums when due under Section 4;
(c) Insolvency or bankruptcy of either Party.
9.2 Notice & Cure. A Party alleging default shall deliver written notice specifying the default. The defaulting Party shall have [30] days to cure monetary defaults and [60] days to cure non-monetary defaults (or such additional period as is reasonably necessary provided diligent prosecution of the cure).
9.3 Remedies. Upon occurrence of an Event of Default, the non-defaulting Party may (i) seek specific performance; (ii) pursue damages limited as set forth in Section 10; and/or (iii) obtain injunctive relief to prevent irreparable harm.
9.4 Attorneys’ Fees. The prevailing Party in any action arising out of this Agreement shall be entitled to recover reasonable attorneys’ fees and costs.
10. RISK ALLOCATION
10.1 Indemnification. Grantee shall indemnify, defend, and hold harmless Grantor and its Affiliates from and against any and all Losses arising out of (a) Grantee’s use of the Easement Area, (b) breach of this Agreement by Grantee, or (c) Grantee’s negligence or willful misconduct, except to the extent caused by Grantor’s negligence or willful misconduct.
10.2 Limitation of Liability. Except for (i) indemnity obligations, (ii) willful misconduct, or (iii) uninsured third-party claims, each Party’s aggregate liability under this Agreement shall not exceed Actual Damages.
10.3 Insurance. Grantee shall maintain commercial general liability insurance with limits of not less than $[] per occurrence/$[] aggregate, naming Grantor as an additional insured.
10.4 Force Majeure. Neither Party shall be liable for delays or failures to perform due to events beyond its reasonable control, including acts of God, war, civil commotion, or governmental action, provided the affected Party provides prompt notice and resumes performance as soon as practicable.
11. DISPUTE RESOLUTION
11.1 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of New Jersey, without giving effect to conflict of laws principles.
11.2 Forum Selection. The Parties irrevocably submit to the exclusive jurisdiction of the state courts sitting in [County] County, New Jersey.
11.3 Arbitration. [OPTIONAL – CHECK BOX] ☐ If this box is checked, any dispute not resolved within 30 days of written notice shall be finally resolved by binding arbitration administered by the American Arbitration Association in accordance with its Commercial Arbitration Rules. Judgment on the award may be entered in any court of competent jurisdiction.
11.4 Jury Waiver. [OPTIONAL – CHECK BOX] ☐ EACH PARTY HEREBY KNOWINGLY AND VOLUNTARILY WAIVES ITS RIGHT TO A TRIAL BY JURY IN ANY ACTION ARISING OUT OF THIS AGREEMENT.
11.5 Equitable Relief. Notwithstanding anything to the contrary, either Party may seek temporary or permanent injunctive relief or specific performance in a court of competent jurisdiction to protect its rights pending resolution of a dispute.
12. GENERAL PROVISIONS
12.1 Amendments & Waivers. No amendment or waiver shall be effective unless set forth in a written instrument executed by the Party against whom enforcement is sought and recorded, if affecting record title.
12.2 Assignment. The Easement shall run with the Dominant Estate; otherwise, neither Party may assign this Agreement without the other’s prior written consent, which shall not be unreasonably withheld.
12.3 Successors & Assigns. This Agreement shall be binding upon and inure to the benefit of the Parties hereto and their respective successors and permitted assigns.
12.4 Severability. If any provision is held invalid, the remaining provisions shall remain in full force, and the invalid provision shall be reformed to the minimum extent necessary to effectuate the Parties’ intent.
12.5 Entire Agreement. This Agreement (including exhibits) constitutes the entire agreement between the Parties regarding the Easement and supersedes all prior agreements or understandings.
12.6 Counterparts; Electronic Signatures. This Agreement may be executed in counterparts, each of which shall be deemed an original. Signatures transmitted by electronic means (e.g., PDF or DocuSign) shall be deemed original signatures.
13. EXECUTION & NOTARIZATION
IN WITNESS WHEREOF, the Parties have executed this Easement Agreement effective as of the Effective Date.
| GRANTOR | GRANTEE |
|---|---|
| _____ By: ___ Name: ___ Title: ____ |
_____ By: ___ Name: ___ Title: ____ |
ACKNOWLEDGMENT – GRANTOR
State of New Jersey )
County of ____ ) ss.:
On this _ day of _, 20__, before me, the undersigned, a Notary Public in and for said State, personally appeared ________, [personally known / proved to me on the basis of satisfactory evidence] to be the person who executed this Easement Agreement, who acknowledged that he/she executed the same for the purposes therein contained.
Notary Public, State of New Jersey
My Commission Expires: _____
ACKNOWLEDGMENT – GRANTEE
[Duplicate acknowledgment block]
EXHIBIT A – LEGAL DESCRIPTION OF SERVIENT ESTATE
[Attach metes and bounds or deed description]
EXHIBIT B – SURVEY/SKETCH OF EASEMENT AREA
[Attach survey]
EXHIBIT C – DESCRIPTION OF DOMINANT ESTATE
[Attach legal description]
[// GUIDANCE:
1. Record the fully executed and notarized Agreement in the Office of the County Clerk where the Servient Estate is located, in compliance with N.J.S.A. 46:26A-1 et seq.
2. Verify municipal land use approvals if Easement involves utilities or stormwater facilities.
3. Provide notice to mortgagees and obtain subordination, if required, to avoid priority conflicts.
4. Update Schedule B of title policy to reflect the Easement.]