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<br />.. <br /> <br />e <br /> <br />t <br /> <br />J. Wi 11 iam McDonald <br />Page 2 <br /> <br />It is my understanding that the water board has approved <br />the spending of an additional $150,000 in order to correct <br />this present system. It is hoped that the legislature will <br />approve the expenditure during this legislative session. <br /> <br />With reference to the first question, I have reviewed the <br />deed enclosed in your letter and. it is my opinion that the <br />deed should not be accepted for two reasons. First, it <br />does not correspond to the description of the facil ities as <br />set forth in paragraph A.2. of the contract between the <br />water board and the town of Rangely. Second, a deed is not <br />the proper method for the conveyance of title to the facil i- <br />ties described in the deed. Paragraph A.2.a of the deed <br />states that tne town of Rangely "agrees that it will... <br />conve( or cause title to be conveyed by deed or other proper <br />conveyance to (the Water Board) the following portions of <br />the proposed project facil ities...." The contract then goes <br />on to describe a pump station, transmission 1 ines with all <br />necessary fittings, valves and other appurtenances, and two <br />water storage tanks. These facil ities are fixtures, that <br />is chattels or articles of personal property annexed to <br />real property. <br /> <br />AS a general rule, fixtures beCome part of the real property <br />and cannot be served or removed without the consent of the <br />owner. &ar~_M~1al~_~lQ~__~_~111~_~Q~_y~_~~~t~LQ_~Q1QradQ <br />~Q~~r_~Q., 73 Colo. 30, 213 P. 124 (1923). While fixtures <br />under certain circumstances can be treated as personalty <br />and conveyed as such, things which have been so fixed to <br />the land as to become a part thereof pass with the land in <br />any transfer of ownership without any express mention of <br />them. There is an exception in the case of trade fixtures, <br />at least where the owner of the trade fixtures is in posses- <br />sion of the land so as to give notice to the prospective pur- <br />chaser of the land, !Ddrg~2_Y~_Hllllgill2' 115 Colo. 478, 173 <br />P.2d 882 (1946), but it is questionable whether the above- <br />described facilities would come under the trade-fixtures <br />exception. Nor is it intended under the contract that the <br />water board will lease or operate the facilities. Therefore, <br />it is my opinion that the deed is not the proper method for <br />conveyancing if the facilities are considered as personal <br />property separate from the land. <br /> <br />However, it would appear that in all probabil ity the parties <br />did not intend that the town of Rangely would convey the <br />