Divided Interests in Eminent Domain

Part 3, Title 7, Chapter 10 deals with divided interests in California eminent domain law. 

Article 1 deals with general provisions. Section 1265.010 provides that, although this chapter provides rules governing compensation for particular interests in property, it does not otherwise limit or affect the right to compensation for any other interest in property.

Article 2 deals with leases. Section 1265.110 states that, where all the property subject to a lease is acquired for public use, the lease terminates.

Section 1265.120 specifies that, where part of the property subject to a lease is acquired for public use, the lease terminates as to the part taken and remains in force as to the remainder, and the rent reserved in the lease that is allocable to the part taken is extinguished.

Section 1265.130 provides that, where part of the property subject to a lease is acquired for public use, the court may, upon petition of any party to the lease, terminate the lease if the court determines that an essential part of the property subject to the lease is taken or that the remainder of the property subject to the lease is no longer suitable for the purposes of the lease.

Section 1265.140 specifies that the termination or partial termination of a lease pursuant to this article is to be at the earlier of the two specified times.

Section 1265.150 explains that nothing in this article affects or impairs any right a lessee may have to compensation for the taking of his lease in whole or in part or for the taking of any other property in which he has an interest.

Section 1265.160 states that nothing in this article affects or impairs the rights and obligations of the parties to a lease to the extent that the lease provides for such rights and obligations in the event of the acquisition of all or a portion of the property for public use.