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Damien Bosco
Damien Bosco, Attorney
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I own a house with 40 acres. 6 months ago i was approached

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I own a house with 40 acres. 6 months ago i was approached by a gas company wanting a right of way through my property to install a gas line. Told them i would think about it. One month ago i signed a purchase agreement to sell my property. A few days ago the gas company guy shows up with the right of way paperwork and a check for signing. I agreed to the right of way and accepted the check. now im wondering if what i did was right. Can i enter into an agreement about my property after signing a purchase agreement?

thank you
Submitted: 11 months ago.
Category: Real Estate Law
Expert:  Damien Bosco replied 11 months ago.
Hi and welcome! My name is XXXXX XXXXX I will be assisting you. I am happy to help.

Your instincts are right. Signing the agreement giving the gas company a right of way is a material event. that needs to be disclosed to the buyer. Think of it this way, if you were the purchaser, you would want the right and the money to enter into the gas company agreement. As the seller, you just sold the right to someone else and took the profit of it. Plus you did it after you entered into the purchase agreement. This may allow the buyer to rescind (cancel) the agreement or sue for damages. Options to resolve the problem would be to attempt to cancel the right of way agreement; or decrease the purchase price of the property for the buyer.

If you need clarification or have a follow up question, please let me know. Best regards, Damien
Customer: replied 11 months ago.

How do you just cancel the right of way agreement? Is there a time limit after signing that you can cancel?


Thank you

Expert:  Damien Bosco replied 11 months ago.
Hi Jerry:

Look at the agreement for any cancellation or termination clause and follow its terms. If there is not one, possibly there is a "cooling off" period for these types of agreement, which in most cases would be 3 days to cancel; but possibly could be a longer period (I could not find one for this type of agreement in PA, but it is difficult to do so from this site; so there still may be one).

If there is no cancellation clause or cooling off period, then another option is to tell the gas company that you realize that you were not able to enter the agreement to begin with because of the purchase agreement. In other words, you never had authority to enter into the agreement. Before doing that, I highly recommend you speak with a local attorney about your options.

We cannot provide legal advice from this site but only helpful general information about your legal issue. In any event, I hope my responses have helped you understand the issues better. If you need clarification or have a follow up question, please let me know. Best regards, Damien
Damien Bosco, Attorney
Category: Real Estate Law
Satisfied Customers: 1233
Experience: Helping you with your legal questions.
Damien Bosco and 8 other Real Estate Law Specialists are ready to help you
Expert:  Damien Bosco replied 11 months ago.
Hi Jerry,

I just want to thank you for giving me a positive rating. I am here to help you in the future also. You can request me by name the next time and I will be notified. Also, you can bookmark my profile and ask me a question that way. Here is the link:

http://www.justanswer.com/law/expert-damien-bosco/

Either way, I am always happy to help.

Best Regards!

Damien Bosco

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