Nazarenus Stack & Wombacher
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Water Rights Resources

Water law is complex, nuanced, and can be difficult to understand. We delve into common water law concepts and provide tutorials that describe how it use publicly available tools to learn more about water rights. To this end, below are a series of articles that are designed to help parties develop a general understanding of some of the basic principles of water law. The information provided below is for educational purposes only and if you have specific questions about your water rights, please contact the attorneys at Nazarenus Stack & Wombacher for legal advice. Use of this information is explicitly subject the website disclaimer available at this link https://www.nswlaw.com/disclaimer

Water Rights: Title Issues

One common issue that we encounter in helping clients with the purchase or sale of water rights is the actual title to water rights. This issue can take many forms, including: (1) deeds that incorrectly describe the water right intended to be transferred, (2) failure of a prior owner to transfer the water right associated with a priority either by failing to identify the water right or completely failing to include any water rights when the property was transferred, (3) reservations of all or part of a water right in a prior transaction, (4) a deed that does not satisfy transfer requirements dictated by a water court decree, (5) failure to reserve necessary ditch easements when a property is subdivided, or (6) failure of the seller to provide notice to the buyer that water rights are intentionally being reserved from a sale.

 Many of these issues can be resolved relatively easily during the diligence stage of a real estate transaction. However, the more time that passes between when the title issue is created and when it is discovered can increase the challenges in resolving title issues. Oftentimes, buyers will not realize they have a title issue until they apply for a well permit and are told by the Colorado Division of Water Resources that they do not have sufficient title to allow the permit to be issued. Other times, a title issue may not be uncovered until a property is under contract and an attorney discovers the issue as part of a diligence review.

 Title issues can have serious consequences – particularly if the water right in question is the primary water supply for the associated property. We advise all parties who are purchasing water rights to have an attorney perform a review of the title to ensure that there aren’t any issues or to assist in resolving any issues before closing.

 If you have questions about title to your water rights or need assistance in performing diligence on title to a water right prior to purchase, please contact one of the experienced attorneys at Nazarenus Stack & Wombacher LLC.


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