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Glossary
Legal

Encroachment

When a structure, fence, landscaping, or other improvement extends beyond a property's legal boundaries onto neighbouring land or public property. Common examples include a fence built past the property line, a roof overhang extending over the neighbour's lot, or a deck built partially on an easement. Encroachments are typically discovered through a survey or identified in a title search.

Why It Matters

An encroachment can create disputes with neighbours, complicate a sale, or lead to legal action requiring removal of the offending structure. If you're buying a home, a survey or title insurance can protect you from encroachment surprises. If you're selling, an existing encroachment should be disclosed and may need to be resolved before closing.

Real-World Example

A buyer in Mississauga commissions a survey before closing and discovers that the neighbour's wooden fence extends 14 inches onto the subject property. Additionally, the home's rear deck extends 6 inches beyond the property line into the neighbour's yard. The buyer's lawyer negotiates with the seller to resolve the deck encroachment before closing by trimming the deck back to the property line. The fence issue is noted and covered by the buyer's title insurance policy as a known encroachment.

Ontario & GTA Context

In Ontario, encroachments can create adverse possession claims if they go unchallenged for a sufficient period, though the Land Titles system (used for most GTA properties) significantly limits adverse possession rights. Municipal encroachments onto city property or road allowances may require an encroachment agreement with the municipality, which typically involves an annual fee. The City of Toronto, for example, has an encroachment by-law that governs structures extending over or under public property.

How It Works in Practice

If you are concerned about boundary issues, commission a survey before closing rather than relying solely on title insurance. If an encroachment is discovered, your options include negotiating with the neighbour for removal or a mutual agreement, obtaining title insurance coverage, or in rare cases, applying for an encroachment agreement. Address encroachments before they become long-standing disputes.

Common Questions

What should I do if my neighbour's fence is on my property?
Start with a conversation and, if needed, commission a survey to establish the exact property line. In Ontario, the Line Fences Act provides a dispute resolution process through municipal fence-viewers. If the encroachment is minor and not causing harm, title insurance may be the most practical solution rather than demanding removal.
Does title insurance cover encroachments?
Yes, most title insurance policies cover encroachment issues, including encroachments by neighbouring structures onto your property and your structures onto neighbouring property. The policy may cover legal costs to resolve the issue or compensate you for loss of use. Check your specific policy terms with your lawyer.

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