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Shared Well Agreements and Road Maintenance Agreements – Professional Escrow Resources

Shared Well Agreements and Road Maintenance Agreements

When you’re funding a loan the Road Maintenance Agreement is often a lender requirement. When you’re creating an RMA for the first time and need all your neighbors to sign, it can be an incredible hassle! And if the access to your property is through a private road and don’t have a Road Maintenance Agreement in place, it’s almost always a good idea!”

What does the Road Maintenance Agreement service include? Here’s the breakdown of what we do for you:

  1. Define each homeowner’s responsibility for the road maintenance.
  2. Define each homeowner’s responsibility for the road repairs.
  3. Define a remedy in case of default, or failure to comply.
  4. Define the effective term of the agreement (binding, and in perpetuity).
  5. Have all owners sign the agreement.
  6. Attach legal descriptions for each property.
  7. Record the document with the appropriate county.*

This is admittedly a simplified breakdown of what is involved, but docprepper.com would be happy to assist you in preparing and recording your Road Maintenance Agreement. Keep in mind, additional fees apply. The stated price includes 2 owners, and the legal description of each property is limited to 1/2 page. Additional owners are $15 each with a $5 surcharge for each half-page of legal description. *Additional document recording fees vary depending on the county.

WHO AND WHAT DO ROAD MAINTENANCE AGREEMENTS APPLY TO? In short, a Road Maintenance Agreement applies to a private road. So what is a private road, exactly? Here’s the Free Legal Dictionary definition: A private road is often established because an individual needs to gain access to land; such a road can cross another person’s property. A private road can be used by the general public and is open to all who wish to use it, but it primarily benefits those at whose request it was established. Unlike highways that are cared for by the public at large, private roads are maintained at the expense of the private individuals who requested the road. The last sentence of the definition points out what the Road Maintenance Agreement must address and who must agree to the terms, i.e.: Private Road Maintenance and the private individuals who benefit from it. Keep in mind that once the agreement is established, it runs in perpetuity with the land. So, the responsibilities that are agreed to become the responsibilities of all future owners. That’s why these things show up on a Preliminary Title Report, and sellers are required to disclose whether or not an agreement is in place by laws such as A.R.S. §33-422. If you’re buying property with a Private Road Maintenance Agreement attached to it, you have the right to know. You’re going to be responsible for complying with it as the new owner!

Contact us for a written estimate

2019-02-15T19:05:04+00:00