When you invest in commercial real estate, you expect clear property lines and undisputed ownership. Unfortunately, boundary disputes can arise unexpectedly, threatening your investment and creating costly delays. Whether you’re purchasing a new property or dealing with a dispute on land you already own, understanding how to resolve these issues efficiently can save you time, money, and significant stress.
At Anderson Jones, PLLC, we handle commercial real estate matters, including boundary disputes, actions to quiet title, and contract disputes related to property transactions. Our practical approach focuses on achieving efficient resolutions that protect your investment and support your business objectives.
What Are Boundary Disputes in Commercial Real Estate?
Boundary disputes occur when there’s disagreement about where one property ends and another begins. In commercial real estate, these conflicts can involve encroachments from neighboring structures, disputed fence lines, conflicting survey results, easement disagreements, unclear property descriptions in deeds, or adverse possession claims. Unlike residential boundary disputes, commercial property conflicts often involve higher financial stakes, governmental authorization, and can impact your ability to develop, lease, or sell the property.
What Happens If You Ignore a Boundary Dispute?
Failing to address boundary disputes promptly can lead to serious consequences. Unresolved disputes may delay or prevent property sales and transactions, block development plans and construction projects, create title insurance problems, result in expensive litigation, decrease property value, and lead to ongoing conflicts with neighboring property owners. Taking proactive steps to identify and resolve these issues protects both your current investment and future plans for the property.
How Can You Resolve a Boundary Dispute?
Obtain a Professional Survey
The foundation of resolving any boundary dispute is an accurate, up-to-date survey. Hiring a licensed surveyor establishes precise property boundaries based on your deed, identifies any encroachments or discrepancies, creates documentation that can be used in negotiations or legal proceedings, and allows comparison of current conditions with historical records. A professional survey provides objective evidence that forms the basis for resolution discussions.
Review Your Title and Deed Documents
Examining your property’s chain of title is crucial. Your current and historical deeds, along with any easements, restrictions, previous surveys, and title insurance policies, often contain important information about boundary descriptions and any pre-existing issues that may affect current disputes. This documentation provides context and legal foundation for understanding the dispute.
Communicate with the Other Party
Before pursuing legal action, attempt to resolve the matter through direct communication. Many boundary disputes stem from misunderstandings that can be cleared up through conversation. Approach discussions professionally by sharing survey results with the neighboring property owner, understanding their perspective and concerns, and exploring mutually beneficial solutions. Always document all communications in writing to maintain a clear record of your good-faith efforts to resolve the issue.
Consider Alternative Dispute Resolution
If direct negotiation doesn’t resolve the issue, mediation or arbitration can provide cost-effective alternatives to litigation. These approaches allow both parties to present their positions with the help of a neutral third party, explore creative solutions that a court might not order, maintain better relationships with neighboring property owners, and resolve disputes more quickly than traditional litigation. Many commercial property owners find that alternative dispute resolution saves both time and money while preserving important business relationships.
Pursue Quiet Title Actions When Necessary
When other methods fail or when title clarity is essential for your business operations, a quiet title action may be necessary. This legal proceeding establishes clear ownership and boundaries through court order, removes clouds on title that affect property marketability, provides definitive resolution to ongoing disputes, and creates a clear legal record for future transactions. While litigation should generally be a last resort, quiet title actions serve an important purpose in providing finality and legal certainty.
How Can You Prevent Future Boundary Disputes?
Taking preventive measures during property acquisition can help you avoid boundary disputes altogether. Always obtain a current survey before closing on commercial property and carefully review title reports and survey results during due diligence.
Address any questionable boundary issues before completing the purchase, and consider purchasing enhanced title insurance coverage. Maintaining clear documentation of property improvements and boundaries, along with establishing good relationships with neighboring property owners, can prevent many disputes from ever arising.
How Anderson Jones, PLLC Can Help Protect Your Commercial Real Estate Investment
Boundary disputes don’t have to derail your commercial real estate plans. With the right approach combining professional surveys, thorough documentation, strategic negotiation, and experienced legal guidance, you can resolve these issues and move forward confidently with your property investment.
If you’re facing a boundary dispute or want to ensure clear title before purchasing commercial property, contact Anderson Jones, PLLC at (919) 277-2541 to schedule a consultation. Let us help you protect your real estate investment.