Legal Question in Real Estate Law in North Carolina

Several years ago, I allowed my former partner to clear space on my property to store her landscaping equpiment and build a small workshop on my property as well. During the first year she lived with me, she was unable to pay rent so when she built the workshop I agreed I would pay for half the building and told her we could consider the rent she owed as paying my half. What are my legal responsibilities? What are my rights?


Asked on 1/25/14, 12:17 pm

1 Answer from Attorneys

You indicate this is a former partner so I assume that you are no longer together. What you and she did was a really bad idea. I assume that you did not have any kind of a partnership agreement with your partner that would function much like a marital settlement agreement for people who are married in that it would spell out what would happen in the event that the partnership was dissolved.

So, where are we at now in terms of your relationship other than that she is no longer a partner with you? You still own the land and her building is on the land, correct? I assume that you and your partner did not have a lease agreement. If so, she would still be considered a tenant, albeit a tenant at will.

In standard lease agreements, there is usually a provision that any structures built by the tenant which become affixed to the realty become the property of the landlord when the tenancy ends and the tenant leaves. Even if the workshop could be disassembled or moved its still attached to the property. So if you wanted to be a hard ass about this, I think you would have a good argument that the building is now yours.

If your ex-partner wants to continue to use it, she can pay you rent if you are amenable to that. However, if you do this, you really need a commercial landlord tenant agreement. You might want to check with a realtor to see if they have a standard one or even look around on the internet for a template you can use as a guide.

The other questions I have is: what did the building cost? how long did she occupy the space? technically, you own 1/2 the building already. As I said, I think you could make a case that the building is all yours now if she leaves the property. If she really wants to move the workshop, you could sell it back to her. If you wanted to be nice, you might only charge for your 1/2.

If you just want your property back the way it was, you could also tell her to get the workshop moved off your land or else you will demolish it (its yours so you can do what you want with it). If she does not comply, you would have to take her to court to get her to move it or you could go ahead and demolish it too.

Finally, you could also just sell her the plot of land on which the workshop sits if you do not mind and if she is willing to pay you a fair price for it.

This is not a question of your rights and responsibilities so much as it is what you and she really want to do here and how amicable or not amicable the termination is going to be. I think once you answer that question you will know what direction you should proceed in with regard to the workshop.

If you do have a partnership agreement or lease agreement that spells out what will happen, you need to look at that to see what it says. But if this is solely your land, the general rule is that anything affixed to the land is yours.

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Answered on 1/25/14, 7:34 pm


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