Dominion Resources pipeline agreement from 1907 and they want to still use it!

The following information was retrieved from an Oct. 3, 2014 article in the Wheeling, WV Intelligencer. Dominion Resources wants to build a 36 inch 16.5 mile gas line in Harrison County, Ohio. The line will run from the MarkWest fractionation plant in Cadiz to an interconnection with the Tennessee Gas Pipeline near Uhrichville, Ohio.

Here is where things get interesting. Dominion is trying to enforce right-of-way easements that were negotiated in the year 1907! They paid landowners 3 cents per foot for crossing their land back then and Dominion is now offering to provide "20 times the amount agreed to by the 1907 landowners plus any timber damage". Now, 20 times the amount (3 cents per foot) agreed to in 1907 would bring the total to 60 cents per foot for this 36 inch pipeline! Are they crazy? They are trying to say that these old contracts are "on the books" and still enforceable. A lawyer who commented in the article said it's very common for a pipeline of this size to pay $80 to $90 per foot.

Folks, this says it all about the industry. See how they operate! Screw the landowner at all costs! The whole process is rotten, from dealing with the unscrupulous landman, the lies and the "con man" tactics. Does it ever end with these people? The pipeline companies may be worse then the gas companies. It's becoming a nightmare!

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Permalink Reply by craig on October 22, 2014 at 7:50am

Yep, the companies were smart back then and are smart today... that's what business is all about. The average "joe" back then didn't know much and more or less signed anything that gave them money.  In today's world us landowners can be smart as well and we better be smart when signing anything including pipelines, even your home mortgage. 

The wording of the agreement will determine what, if anything, needs paid to the landowner or if the amount per foot can be negotiated. 

Permalink Reply by Booger on October 22, 2014 at 9:06am

according to a law group that is dealing with this particular pipeline - there are ohio laws that have been put in place since 1907 that will not only give affected landowners "todays" rates, but will also provide new protections in these old ROW's.

Permalink Reply by kim caswell on October 22, 2014 at 7:52pm
In louisiana if the line has been dead for 10 years the row reverts back to the landowner.
Permalink Reply by Booger on October 23, 2014 at 9:00am

this particular line is not dead.........they are adding a new line next to the old one.

Permalink Reply by Mtneer on October 23, 2014 at 7:24am

This article serves as a reminder that any negotiation (i.e., contract) with an energy affiliated company needs to be understood from not only an immediate perspective but also long term.  The contracts a landowner signs today can and will impact their family many generations from now.  Remember,  these companies deal in decades, not years. For example, I know of a particular landowner who granted a company a temporary water line across his property.  To the average person, temporary is perceived as weeks, months, maybe a year.  Will you can imagine to his surprise that this line will run for years and will impact his ability to use certain portions of his farm as he sees fit.  Remember, think in terms of decades.  Beware.

Permalink Reply by jerry lee nichols on October 24, 2014 at 4:32am

In Ohio public utility easements have to have and end point,usually 50 years,at least in most plat books I saw.

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