Access Road Fees: How Much Does It Cost to Cross Your Neighbour’s Property?

Can your property only be reached across your neighbour’s land, but your neighbour won’t let you use the road? Or is your neighbour demanding access across your land and offering just a few euros a year in return? Access disputes between neighbours are common and can drag on for years. The Supreme Court of Estonia has issued new guidance on calculating access road fees, which may mean amounts several times higher than before.

When can you claim access over a neighbour’s land?

If a property lacks the necessary connection to a public road, its owner may, under § 156 of the Law of Property Act, require a neighbour to allow access across their land – even against the neighbour’s will. The court will grant the claim if access is feasible in terms of land management and the interest of the person seeking access outweighs the restriction on the neighbour’s ownership. Access cannot be claimed by someone who has lost the previous connection of their own will, for example by digging up the road or building on it.

The Supreme Court case involved a different situation. A neighbour covered a road that had been in use for over ten years with soil, planted trees on it and put up a fence. The court held that the road users had not lost their right to claim access, even though they knew about the construction work and did not object to it. The costs of restoring the road were left to the neighbour, who knew that the road was being used and should have taken the preservation of access into account when planning the work.

If no agreement can be reached with the neighbour, the matter must be taken to court. Such disputes are resolved in proceedings on petition (non-contentious proceedings). The court involves all neighbours across whose land access could be considered. This allows the issue to be resolved at once and with binding effect on everyone.

Why across my land?

In practice, this is one of the most common points of dispute. The court must find the solution that burdens the neighbours as little as possible and consider all reasonable alternatives. If a neighbour proposes a different route, the court must examine it on its merits or explain why it is unsuitable. Relevant factors include, for example, previous use of the road, construction costs, distance from residential buildings and traffic intensity. In the case decided by the Supreme Court, the courts considered the previously used road to be the best option, as restoring it was cheaper than building a new one. If there is no agreement, the court also sets the terms of use: whether the road may be used on foot or by vehicle, how wide it may be and, where necessary, time restrictions, for example for heavy goods vehicles. A road shown in a detailed spatial plan is one option the court will consider, but it does not in itself give a right to demand access.

How much is the access road fee?

The second common point of dispute is money. In the case decided by the Supreme Court, the lower courts awarded the neighbour just 7.52 euros a year.

The Supreme Court found that such a fee does not serve its purpose. The access fee must compensate the neighbour for the restriction of their ownership. This includes, for example, the loss of use of the land, the decrease in the property’s value, lost income and reduced privacy. Land tax is the minimum fee, not the measure of it.

The fee is calculated using the Supreme Court’s formula: the decrease in the property’s value is multiplied by a discount rate. As an access road is usually established for an indefinite period, the neighbour must receive each year an amount that, over time, compensates for the decrease in the value of their property. The discount rate used is the statutory late-payment interest rate. An expert valuation of the decrease in value can be expensive. The Supreme Court has therefore allowed a simpler method: the area of land under the road is multiplied by the market price per square metre in the area. This can be found, for example, in sale listings and in the transaction data of the Estonian Land and Spatial Development Board.

The amount obtained using the formula is not final. If the road runs close to a residential or ancillary building or significantly affects privacy, the court may increase the amount. If the road runs along the edge of the property, does not interfere with its use and traffic is light, the fee may be lower. The fee also includes compensation for land tax and is generally paid once a year. The obligation to pay arises when the court decision enters into force, regardless of when the road actually starts being used.

As a rule, the court will not grant access free of charge. Even if the parties have not submitted any data for calculating the fee, the court must award a fee – if necessary, based on its own assessment, taking into account all the circumstances. The only exception is where the neighbour has clearly waived the fee.

An agreement is almost always better

Access disputes can last a very long time. In our practice, one such dispute began in January 2019. In the meantime, it has reached the Supreme Court and is now back before the circuit court. It is therefore worth first trying to reach an agreement with your neighbour and establishing a servitude before a notary. In an agreement, the parties can themselves determine the location of the road, the fee, maintenance and the terms of use. As the servitude is entered in the land register, it also applies to future owners of the properties. The Supreme Court’s formula provides a good starting point for negotiations: before going to court, both parties can roughly calculate what fee a court would be likely to set. If you are buying a property, check before the transaction whether access is secured in the land register.

If access is being sought across your land, bear in mind that the court is not required to commission a valuation of the property itself. To obtain a fair fee, you must provide the court with evidence of the decrease in the property’s value and the extent of the interference. You should certainly not remove, on your own initiative, a road that your neighbour has used for years. The costs of restoring it and the legal costs may end up being borne by you.

Do you need access, or is access being sought across your land?

The lawyers at Law Firm Lepmets & Nõges have practical experience in access disputes at all court levels. Contact us. We can help you assess your situation and negotiate with your neighbour and, if necessary, represent you in court.