LICENSE TO…USE LAND? AN OVERVIEW OF LAND LICENSES

Much like a lease or an easement, a land license allows the holder the personal right to use the property of another. But there are key distinctions for one to consider in evaluating whether or not to enter into a land license arrangement.

What is a Land License?

A license to use land, which can be formed either in writing or orally, grants certain, generally revocable, powers to parties to perform certain actions on land. It does not, however, grant any ownership of the land to the licensee. The property burdened with the license is referred to as the servient tenement and the holder of a license is called a licensee. A license is a personal privilege held by an individual for the nonexclusive use of the servient tenement and it cannot be transferred to another individual; as such, a license does not create or convey an interest in real estate nor does it endow the licensee with a right to possession.

Distinctions Between a Land License and Other Common Encumbrances

While land licenses share similarities with other common encumbrances, like easements, leases, and adverse possession, there are key distinctions.

Easements: An easement, unlike a license, creates an exclusive, nonpossessory interest in real property. Moreover, an easement, unlike a license, is potentially irrevocable. While a license is a personal right, an easement runs with the land, meaning subsequent property owners are bound by the terms of the easement.

Leases: A lease is an agreement between a property owner and a tenant granting the tenant the exclusive right to possess the property. Leases, unlike licenses, are transferable and leases are not revocable until the term of the lease has expired. Notably, leases also typically connotate payment of rent while licenses may not.

Adverse Possession: Like a license, adverse possession does permit someone without any interest in another’s land to legally use the land. However, adverse possession requires that the property be possessed continuously, open and notoriously, for the prescribed period and – significantly – hostilely. Whereas a license is granted orally or in writing to the licensee, an adverse possessor does not have the permission of the land owner to use the land.

Is a Land License Right for Me?

In assessing whether or not a land license is right for your situation, it is important to keep in mind a license’s key features: they are (for the most part) revocable at any time, are personal and cannot be transferred, are not exclusive, and are not insurable. With that in mind, a license may be an option for you if you are looking for temporary, short term, or minor needs like, for instance, access for service vehicles or guests. They may also be an option for a landowner looking to grant a more temporary right to another to perform certain actions on the land. 

If you are considering whether or not to pursue a land license, it is important to consult with a knowledgeable attorney as there may be pitfalls and unintended consequences in entering into a license.

Land licenses are a complex and detailed statutory structure. The information above is by no means exhaustive, and does not, and is not intended to, constitute legal advice. All information, content, and materials are for general informational purposes only and do not create an attorney-client relationship. The experienced and knowledgeable attorneys at Blake Law Firm are available to help you navigate land licenses, foreclosures, and other real property concerns.

Andrew Hall

Attorney Andrew Hall has over 10 years of experience handling complex real estate, business, and litigation matters throughout California and Washington. Andrew has vast experience with a wide range of clients – from residential to commercial property owners, landlords to tenants, real estate agents to brokers, title to escrow companies, hard money lenders to banking institutions. Andrew has handled cases ranging from administrative disputes, to unlawful detainers, to bankruptcies, to litigation, leaving his clients with the confidence that he can handle all of their needs from soup to nuts.

Andrew is committed to exploring efficient and cost-effective resolutions for his clients, whether that be through informal conversations with parties or attorneys, mediations, or settlement conferences. However, when litigation is inevitable, Andrew has counseled his clients through all stages of a dispute, including arbitrations, court trials, jury trials, and appeals at both the State and Federal Court levels.

Andrew resides in Carlsbad with his wife Lauren, son Nolan (7), and daughter Madeline (5). Andrew is actively involved with the Magdalena Ecke Family YMCA, where he can often be found on the weekends cheering Madeline on in any variety of youth sports or with Nolan participating in the Y’s Adventure Guides Program. Andrew enjoys playing golf, tennis, softball and good barbeque.

Andrew is committed to identifying his client’s goals and employing his big firm experience with small firm attention to help his clients achieve those goals.

Previous
Previous

RECEIVERSHIPS: AN OVERVIEW OF THIS POWERFUL TOOL

Next
Next

BONA FIDE PURCHASER UNDER CALIFORNIA