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Lot Line Adjustment, Underlying Parcels and Certificate of Compliance

Posted: Wed Jan 06, 2016 10:47 am
by LS_8750
An approved and properly executed Lot Line Adjustment functions as a Certificate of Compliance. That has been the consensus on this forum.

After reading the esteemed Mr. Durkee's attached article, I am left with the understanding that a Certificate of Compliance does not necessarily extinguish interior historic underlying legal parcels, but Mr. Durkee adds the caveat "unbeknownst to the owner" there at the the conclusion.

I understand that some jurisdictions state on the application that failure to document underlying historic parcels will result in permanent merger of the parcels as a part of the recordation of the LLA. But some jurisdictions mention nothing of the sort.

What if the owner knows about the existence of underlying interior historic parcels, submits an application that does not show these underlying historic parcels, gets the LLA approved (which do not impact those underlying parcels) and executes the action of recording deeds to complete the LLA process, and then later wants to sell off one of those underlying historic parcels? In this case, does that approved and executed LLA, which serves as a Certificate of Compliance, extinguish those underlying historic interior legal parcels?

Re: Lot Line Adjustment, Underlying Parcels and Certificate of Compliance

Posted: Wed Jan 06, 2016 11:27 am
by William Magee
LS_8750 wrote:An approved and properly executed Lot Line Adjustment functions as a Certificate of Compliance. That has been the consensus on this forum......
There are agencies who would disagree with you. There is at least one very large city at the southern end of the state which requires you also pay them for a COC when you apply for a LLA. For some darn reason, the powers that be there don't recognize that a LLA can by itself provide constructive notice. (or perhaps they really just see it as a way to grab another fee along the ride).
Another county a bit north actually requires you pay them for a lot merger along with the application for a LLA. That county doesn't believe the LLA merges the original lines.

I think there are as many versions and opinions on the LLA process as there are counties and cities combined. Somewhere close to 500 different takes on what the process, cost and filed documents should be.

I don't think there is a consensus on anything related to LLAs.

Re: Lot Line Adjustment, Underlying Parcels and Certificate of Compliance

Posted: Wed Jan 06, 2016 1:30 pm
by dedkad
Durkee has an interesting take on the matter, but I think his answer focuses solely on whether or not a Certificate of Compliance alone extinguishes underlying lots. I think you are inferring that he also means a LLA. I don't see that.

Re: Lot Line Adjustment, Underlying Parcels and Certificate of Compliance

Posted: Thu Jan 07, 2016 9:51 am
by pls7809
My understanding is the LLA document that is recorded must have the operative language that makes it a COC. If the agencies form doesn't include that language then it may be a two step process - LLA and then COC for each parcel.

My understanding may be incorrect, but this is an area I don't really practice in too much.

Re: Lot Line Adjustment, Underlying Parcels and Certificate of Compliance

Posted: Thu Jan 07, 2016 1:26 pm
by dedkad
pls7809 wrote:My understanding is the LLA document that is recorded must have the operative language that makes it a COC. If the agencies form doesn't include that language then it may be a two step process - LLA and then COC for each parcel.

My understanding may be incorrect, but this is an area I don't really practice in too much.
I don't know what the operative language would be, but our city has been using our current lot line adjustment agreement for over 30 years without any such language and we have never once been asked to follow-up with a COC. Apparently the banks and title companies are just fine without the language. Doesn't mean I wouldn't be willing to change our template if needed to make it more clear, but I'm not going to sweat it.