At a  Paralegal CLE Seminar last week sponsored by Chicago Title, the subject of the North Carolina Railroad Company  (NCRR) and their claim of right of way was brought up. NCRR owns and manages a 317 mile rail corridor from Morehead City to Charlotte. NCRR leases freight service on these lines to Norfolk Southern Railway. The NCRR is now claiming 200 feet of right of way -100 feet on each side of the tracts along this corrider pursuant to a 1849 charter of NCRR that indicates right of way of 100 feet on each side of the tracts.This is now coming to light as NCRR is proposing railroad expansion and high speed trains as a transportation alternative to service the area between Morehead City and Charlotte.  (I'll believe it when I see it)  The problem is alot of the old deeds into property owners after 1849 only indicate a 35 to 50 feet right of way and some of these landowners have been paying taxes on land in the right of way now claimed by NCRR. Sometimes the railroad and the land owner are paying taxes on the same land. Per the NCRR, land owners with land in the right of way now have to pay to lease in the right of way, are required to obtain liability insurance and need to be ready to vacate the premises within 60 days if the NCRR goes through with the railroad expansion. The 1849 Charter requires the NCRR to obtain their easement through condemnation..note easement not the full fee. Now all of the local title insurance companies are taking exception to the 100 feet right of way for any railroad right of way. Anyone who has ever been to Morehead City on the NC coast knows that the railroad runs right through the downtown as well as effecting larger NC cities like Greensboro. What a huge impact this will have on these areas. I know that this will be eventually settled in the courts, but I feel that the Railroad only has a limited purpose easement not owning the land on both sides in fee simple under this grant. I find it interesting that the title companies are taking issue and now protecting themselves by taking exception to the 200 ft. right of way when now they are going to have to defend property owners who are now being affected by NCRR's widening easement. They are very interested in any railroad easements or interests in the chain of title. Any thoughts?
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