Statutory right of way

How BC law treats it

An ordinary easement needs two parcels: a dominant parcel that benefits and a servient parcel that carries the burden. Section 218 of the Land Title Act removes that requirement for statutory rights of way. The Crown, a municipality, a regional district, a public utility and certain other permitted grantees can hold a right of way over land without owning any neighbouring land. The term 'wayleave' is a UK expression; in BC the equivalent is a statutory right of way. The owner grants the right of way in a written agreement, usually on a Form C general instrument with the agreement terms attached, and it is registered as a charge in the land title office. Once registered it runs with the land and binds every later owner. It appears on a title search, and a copy of the registered agreement shows exactly where the area sits, what the holder can do, and who pays for repairs. Municipalities often require statutory rights of way as a condition of rezoning, subdivision or a development permit, for sidewalks, public plazas, servicing corridors or utility kiosks. Utilities such as BC Hydro and FortisBC take them for lines and pipes. Removing or changing one requires the holder's agreement or a court order. The Utilities Commission Act regulates utility rates and service, not the land rights themselves.

What it means for your business

A statutory right of way can limit where a commercial building can sit, block a planned expansion, or give the public a legal right to cross a private site. Buyers and lenders should read every registered right of way agreement during due diligence, not just the title summary. Developers should negotiate the location, size and maintenance terms of any right of way a municipality demands before signing, because it will bind the property permanently. Example: A Surrey developer agrees to grant the city a statutory right of way over a strip of its site for a public walkway as a condition of rezoning. The agreement makes the developer responsible for lighting and snow clearing, an obligation that passes to every future owner of the building.

Risks and common mistakes

Relying on the one line title summary instead of reading the full registered right of way agreement and plan. Assuming an old or unused utility right of way has lapsed when it remains registered and enforceable. Signing a municipal right of way agreement without negotiating maintenance, liability and insurance terms. Designing a building or parking area that encroaches on the right of way area. Treating a statutory right of way as an ordinary easement that needs a neighbouring parcel to be valid.