Table of Contents
The Shared Well Agreement form is a crucial document for property owners who rely on a communal water source. This agreement outlines the responsibilities and rights of both the supplying party, who owns the well, and the supplied party, who benefits from the water. It details the location of the properties involved, referred to as Parcel 1 and Parcel 2, and specifies the terms under which water is supplied. The form ensures that both parties share the costs associated with the well's operation and maintenance, including annual fees and expenses for repairs. Additionally, it addresses the rights to access the well, the obligations for timely payments, and the procedures for handling emergencies or potential contamination of the water supply. By clearly stating the terms of use and maintenance responsibilities, this agreement aims to foster a cooperative relationship between the parties involved, ensuring that all residents have access to safe and reliable water while protecting their individual interests. Understanding the nuances of this agreement is essential for anyone participating in a shared well system.
Common mistakes
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Incomplete Information: Failing to fill out all required fields, such as names, addresses, and legal descriptions of the properties, can lead to confusion and disputes later. Every section must be completed accurately to ensure clarity.
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Incorrect Legal Descriptions: Providing inaccurate or vague legal descriptions of the properties can create problems in identifying the parcels involved in the agreement. It is crucial to include precise legal descriptions to avoid future misunderstandings.
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Ignoring Annual Fee Details: Overlooking the specific amounts for the annual fee and payment deadlines can result in late payments or disputes over costs. Ensure that all financial obligations are clearly stated and understood by both parties.
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Neglecting to Define Easements: Failing to describe the necessary easements for maintenance and access can hinder future repairs or improvements. Clearly outline any easements to avoid conflicts regarding property access.
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Not Addressing Emergency Situations: Omitting procedures for emergency situations can lead to delays in addressing urgent issues. It is essential to specify how emergencies will be handled and who has access to the properties in such cases.
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Forgetting to Include Termination Clauses: Not detailing the process for terminating the agreement can leave parties uncertain about their rights. Clearly outline how a party can withdraw from the agreement to protect everyone’s interests.
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Overlooking Shared Expenses: Failing to specify how shared costs will be calculated and divided can lead to disputes. Ensure that all parties understand their financial responsibilities regarding maintenance and repairs.
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Not Having the Agreement Notarized: Neglecting to have the agreement properly notarized can affect its validity. Ensure that all signatures are witnessed and acknowledged by a notary public to reinforce the agreement's legality.
Example - Shared Well Agreement Form
Shared Well Water Agreement
This Agreement, made and entered into this ____day of __________ by and between
_____________________________, who resides at _____________________________
_____________________________ (street address, city, county, state, zip code), hereinafter
referred to as the "supplying party," and _____________________________, who resides at
__________________________________________________________ (street address, city,
county, state, zip code), hereafter referred to as the "supplied party:”
WHEREAS, the supplying party is the owner of property located at
__________________________________________________________ (street address, city,
county, state, zip code), which property is hereafter referred to as “Parcel 1” and is more fully described as follows:
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
(Put Legal Description of Property Here)
WHEREAS, the supplied party is the owner of property located at
__________________________________________________________ (street address, city,
county, state, zip code), which property is hereafter referred to as “Parcel 2” and is more fully described as follows:
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
(Put Legal Description of Property Here)
WHEREAS, the undersigned parties deem it necessary to provide a well system to service the parcels described herein, and an Agreement has been reached relative to supplying water from the well and sharing the cost of supplying said water; and
WHEREAS, there is located a well upon the above described property of supplying party; together with water distribution facilities, hereinafter referred to as "water distribution system", for the purpose of supplying water to all properties connected to the said water distribution system; and
WHEREAS, it is the intention and purpose of the undersigned parties that the well and water distribution system shall be used and operated to provide an adequate supply of water for each of the properties connected thereto, for the domestic consumption of the occupants of said properties, and to assure the continuous and satisfactory operation and maintenance of the well and water
distribution system for the benefit of the present and future owners, their heirs, successors and assigns of the properties connected thereto; and
WHEREAS, the said well is deemed by the parties hereto to be of adequate capacity to supply a single family dwelling on each of the parcels described herein with water from the well for all domestic uses of a single family residing therein; and
WHEREAS, the water from the well has undergone a water quality analysis from the State of
___________ health authority and has been determined by the authority to supply safe for human
consumption; and
WHEREAS, the parties hereto desire to enter this Agreement for the purpose of reducing to writing their respective rights and obligations pertaining to said well and water distribution system.
NOW THEREFORE, in consideration of the promises and covenants herein contained, it is agreed that the well and water distribution system situated on Parcel 1 shall be used by the parties to this Agreement, as well as by all future owners and occupants of said Parcels 1 and 2, upon the following terms and conditions:
1.That until this Agreement is terminated, as hereinafter provided, the parties hereto (and their heirs, successors and assigns, for the exclusive benefit of the respective parcels of said real estate, and for the exclusive use of the households residing thereon), are hereby granted the right in common with the other parties to this Agreement, to draw water from the well located on Parcel 1 for domestic use excluding the right to draw water to fill swimming pools of any type.
2.That the owners or residents of the dwellings located on Parcels 2, as of the date of this Agreement shall:
a.Pay or cause to be paid to the supplying party, an annual fee for this use of the well and water distribution system in the amount of $_____________ on or before the 15th of January each year, with the exception of this year whereby the amount shall be $____________ and paid on the execution of this Agreement.
b.Pay or cause to be paid promptly, a proportionate share of all expenses for the operation and maintenance of the well and water distribution system that may become necessary. Each respective share shall be determined by dividing the amount of each expense by two, it being understood that the supplying party and the supplied party shall pay an amount equal to one half of the total of such necessary repair or replacement. Shared expenses include the cost of electricity for pumping, repairs and maintenance on said well and water distribution system.
3.That the cost of any removal or replacement of
parcel necessary for system operation, maintenance, replacement, improvements, inspection or testing, damaged as a result of repair of the well or water distribution system maintenance will be borne by the owner of the affected parcel, except that costs to remove and replace common boundary fencing or walls damaged as a result of repair shall be shared equally between or among parties so damaged.
4.That each of the parties hereby agrees that they will promptly repair, maintain and replace all water pipes or mains serving their respective dwellings.
5.That the consent of all parties to pay a proportionate share of costs shall be obtained prior to embarking upon expenditures for system maintenance, replacement or improvement, except in emergency situations.
6.That the supplied party shall pay to the supplying party his proportionate share for the cost of energy for the operation of the pumping equipment. This cost shall be determined by a separate meter upon each dwelling and for each parcel.
7.That it is the agreement of the parties hereto that the payment for energy cost shall be made not later than the _________day of each succeeding month during the term of this Agreement. In the event that any such payment remains unpaid for a period of ____days, the supplying party may terminate the supply of water to the supplied party until all arrearages in payment are received by the supplying party.
8.That each of the parties to this Agreement does hereby grant to the other, his heirs, successors and assigns, such easements over, across and through the respective parcels as shall be reasonably necessary for the construction of the well, maintenance of water pipes, pumping equipment, mains, electrical wiring and conduit consistent with the purposes of this Agreement. These easements are described below, to wit:
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
(Describe easements, if any)
10.That no party may install landscaping or improvements that will impair the use of said easements.
11.That each party shall have the right to act to correct an emergency situation and shall have access to the pertinent parcel in the absence of the other. An emergency situation shall be defined as
the failure of any shared portion of the system to deliver water upon demand.
12.That only those parcels of real estate hereinabove described and the dwellings located thereon shall be permitted to receive water from said well and pumping equipment; and each of the parties hereto does hereby covenant and agree that he/she will not allow or permit other persons, other than household guests, to take, draw, use or receive water from the well, nor permit other persons to connect to the pipes or mains serving his/her respective parcel.
13.That in the event the referenced well shall become contaminated and shall no longer supply
water suitable for domestic consumption, or shall no longer supply water adequate for the needs of all relevant parties, or in the event that another source of water shall become available to the respective parcels, then the rights and obligations of the parties created by this Agreement shall cease and terminate in accordance with the terms and conditions hereinafter described.
14.That upon the availability of such other source of water, it is contemplated that a reasonable time shall be allowed to effectuate the necessary connections to the new source.
15.That the respective rights and obligations of the parties shall continue until the parties who wish to terminate their participation in the Well Agreement have executed and filed a written statement of termination at the _____________________________ (office where deeds in your state are recorded) of the County of ____________ and the state of ____________________. Upon termination of participation in this Agreement, the owner and occupant of each residence which is terminated from the Agreement shall have no further right to the use of the well. The terminated parties shall disconnect their respective lateral connection from said well system and shall have no further obligation to pay or collect for maintenance and related expenses incurred thereafter. The costs of disconnection from the well and water system shall be borne by the owner of the pertinent parcel.
19.That the term of this Agreement shall be perpetual, except as herein limited.
20.That the benefits and burdens of this Agreement shall constitute a covenant running with the parcels of land herein described and shall be binding upon the heirs, successors in title and assigns of the parties hereto.
21. Any dispute under this Agreement shall be required to be resolved by binding arbitration |
of |
the parties hereto. If the parties cannot agree on an arbitrator, each party shall select one |
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arbitrator and both arbitrators shall then select a third. The third arbitrator so selected shall |
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arbitrate said dispute. The arbitration shall be governed by the rules of the American |
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Arbitration Association then in force and effect. |
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Witness our signatures this the ____ day of __________, 20____. |
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__________________________________________________
(Acknowledgment before a notary public, the form of which will vary by state)
More About Shared Well Agreement
What is a Shared Well Agreement?
A Shared Well Agreement is a legal document that outlines the terms and conditions under which multiple property owners can share a single well and its water distribution system. This agreement is important for establishing the rights and responsibilities of each party involved, ensuring that all parties have access to water while also addressing maintenance and cost-sharing issues.
Who are the parties involved in a Shared Well Agreement?
The parties involved typically include the "supplying party," who owns the well and water distribution system, and the "supplied party," who receives water from the well. Each party must provide their names and addresses in the agreement, as well as descriptions of their respective properties.
What are the key responsibilities of the supplied party?
The supplied party is responsible for paying an annual fee for the use of the well and water distribution system. They must also cover a proportionate share of expenses related to the operation and maintenance of the system. This includes costs for electricity, repairs, and any necessary maintenance work.
Can the supplied party use the water for any purpose?
Water drawn from the well is intended for domestic use only. The agreement specifically excludes the use of well water for filling swimming pools or other non-domestic purposes. This restriction helps ensure that the well can adequately supply water for the needs of the households involved.
What happens if the well becomes contaminated?
If the well becomes contaminated or fails to provide adequate water, the rights and obligations under the agreement may terminate. In such cases, the parties may need to seek alternative water sources, and the agreement will outline the process for disconnecting from the shared system.
How are costs for maintenance and repairs handled?
Costs for maintenance and repairs are shared equally between the supplying party and the supplied party. Before any expenditures are made, all parties must agree on the costs, except in emergency situations where immediate action may be necessary to restore water service.
What rights do the parties have regarding easements?
Each party grants easements over their property to allow for the construction and maintenance of the well and water distribution system. These easements are necessary for ensuring that the system operates effectively. Landscaping or improvements that obstruct these easements are not permitted.
How can parties terminate their participation in the agreement?
To terminate participation in the Shared Well Agreement, a written statement must be executed and filed with the appropriate county office. Once a party is terminated, they lose their right to use the well and must disconnect their water supply from the system. The costs associated with disconnection fall on the owner of the parcel being terminated.
Key takeaways
Filling out and using the Shared Well Agreement form is essential for ensuring a smooth and cooperative relationship between property owners sharing a well. Here are some key takeaways to keep in mind:
- Identify the Parties: Clearly state the names and addresses of both the supplying party and the supplied party. This information is crucial for establishing who is involved in the agreement.
- Define the Properties: Provide detailed legal descriptions of both Parcel 1 and Parcel 2. This ensures that all parties understand which properties are included in the agreement.
- Water Usage Rights: The agreement grants both parties the right to draw water from the well for domestic use, but it explicitly excludes filling swimming pools. Understanding these limitations is important for compliance.
- Cost Responsibilities: Each party must pay an annual fee and share costs for the operation and maintenance of the water system. It’s vital to keep track of these payments to avoid disputes.
- Emergency Access: In case of an emergency, parties have the right to access the relevant property to resolve water delivery issues. This provision helps ensure quick responses to critical situations.
- Termination Conditions: The agreement can be terminated if the well becomes contaminated or if another water source becomes available. Knowing these conditions helps parties plan for future changes.
- Dispute Resolution: Any disputes must be resolved through binding arbitration. This process is designed to provide a fair resolution without going to court, making it essential for all parties to understand.
By keeping these key points in mind, parties can navigate the Shared Well Agreement more effectively, ensuring a mutually beneficial arrangement.
Form Attributes
| Fact Name | Description |
|---|---|
| Purpose of the Agreement | The Shared Well Agreement establishes the terms under which two parties share a well and its associated water distribution system for domestic use. |
| Legal Requirement | This agreement must comply with state laws governing shared water systems, which vary by state. For instance, in California, it adheres to the California Water Code. |
| Water Quality Assurance | The agreement stipulates that the water from the well must pass a quality analysis by the state health authority to ensure it is safe for human consumption. |
| Cost Sharing | Both parties are responsible for sharing costs related to the operation and maintenance of the well and water distribution system, typically split equally. |
| Termination Conditions | The agreement can be terminated if the well becomes contaminated or if a new source of water becomes available, with specific procedures outlined for disconnection. |
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Dos and Don'ts
When filling out the Shared Well Agreement form, consider the following dos and don'ts:
- Do provide accurate and complete information for all parties involved.
- Do ensure that the legal descriptions of both parcels are clear and precise.
- Do specify the annual fee and payment deadlines clearly.
- Do discuss and agree on shared expenses before incurring costs.
- Don't omit any required signatures from all parties.
- Don't forget to include any easements necessary for maintenance.
- Don't allow unauthorized persons to use the well water.