Hello,

I recently purchased a home on the 12th(all papers signed sealed, etc). The home is heated by electric and wood. A propane tank is used for the stove and water heater. The purchase agreement did not specify any particulars, yet on the 26th, the prior owner contacted the propane tank company (the company who supplies the propane and the leased tank) to have the gas reimbursed. On the 8th of the next month, I arrived home to find the propane tank disconnected (I was not given any notice by the prior owner or the propane company). I contacted the propane company and found out the owner had requested a reimbursement from the propane within the tank.
The gas company representative said is is standard practice to automatically refund the gas to the prior account. They stated quite the opposite that the home purchase agreement must state that gas transfers over to me.
Is it not true that unless otherwise specified within the purchase agreement, that ownership of anything on that property would become mine? I was without hot water and a stove for 8 days and am looking into suing the prior owner for the price of the full tank of propane and loss of comfort for not being able to shower, cook my food, do laundry, or have hot water on the premises.

Thank you for reading this. Any help would be greatly appreciated.

poorboytech

Once again, thanks for the opinion, I do appreciate it.

I would think that "utility" isnt necessarily correct. It is not like electrcitiy where it is a constant source. The actual propane itself is physically on the property and not at the power grid where its not in possession of the owner. The tank is leased, but the lease had already been paid for by the owner which I have repaid for and wouldnt be suing for.
Its the actual gas that is mine. Also for failure to notify me as the new owner of his actions. I think it would be considered an actionable offense because because of his actions I was without laundry, hot shower and cooking for that amount of time. If I received a call or anything from his realtor saying "Hey..he called for reimbursement, you need to contact them now else your gas will be turned off" would be a different story, but that never happened.

ScottGem

Not quite. Unless you know exactly what he said to the propane company, you don't know his culpability. If he simply asked for reimbursement of what was in the tank as of the 12th then he was responsible for what the propane company did.

Its still a utility in the same way an oil company is. So you are leasing the tank from the propane company. Since you didn't transfer the account, they could have made the assumption you were going a different route.

I'm sorry, but under the circumstances I just don't think you have much of a a case. It won't cost you much to go to small claims court so you don't have much to lose trying. But I think you will have a hard time proving wrong doing on the part of the propane company, let alone the previous owner.

letmetellu

Lots of propane tanks are rented from the company that furnishes and fills them. A home owner can not sell property that he does not own, and any beef should be with the former owner.

ScottGem

I suspected that most propane companies lease the tanks, unlike with oil.

I don't understand how you can say "any beef should be with the former owner". The previous owner didn't disconnect the tank. Nor do we know what the previous owner said to the propane company. The previous owner appears to have been wrong in asking the propane company for reimbursement of what was in the tank as of the date of sale. That may have even been a contributing factor in the disconnection. But the propane company is the one responsible for thair actions. And, based on the info we've been given, they may have acted reasonably since several weeks went by with the new owner not transferring the account.

Cvillecpm

I would not take the requirement for the propane rebate to be required in the purchase contract that the gas representative told you as truth.

The tank belongs to the propane company and the gas still belongs to the seller. The tank is not a part of the real estate as propane companies don't want the liability of maintaining the tank so they often LEASE the tank to the property owner and then fill it for their use. With the break in the title, the tank lease is broken and the gas in that tank belongs to the old owner.

Your RE agent should have handled this better.

poorboytech

Excellent point. The prior owner had no idea and cannot assume that I would transfer the account to my name. I could have gone with another company! Ergo the propane was not his to be reimbursed.

ScottGem

Actually CVille's point brings just the opposite conclusion. The lease for the tank was in the previous owner's name. Since that lease was never transferred, its still in his name. Ergo, he might still be considered the owner of the gas. If you chose to go to another company, then the old provider would reposses the tank. Since you had no relation with them, any gas left in the tank would belong to their leasee.

By not transferring the account into your name, you have pretty much given away any chance of recovery of damages. I suggest you write it off as a lesson learned and go on.

mr.yet

Since you now have the option of what compnay you want to provide you with fuel, call the company involved ask them their price and check with other companies in the area. You already have a bad taste for the one compnay, you may want to move to another.

Find the best deal>

excon

Hello poor:

I think the propane is yours. It was within an attached appurtenance (the tank - which was attached) and should transfer to the buyer. Ok,,,, so, what are you gonna do about it? Go after the realtor, the seller, the sellers realtor, the propane company, the two brokers????

Maybe you need to file a small claims action against ALL of 'em, and let the court sort it out. I would, because frankly, I can't tell who did you dirty.

excon

ScottGem

I have to disagree with excon here. If the tank was leased then it was NOT part of the property. It sat on the property as part of an implied easement to provide services. Therefore it doesn't follow that the contents of the tank would automatically transfer to the new owner.

You can file in small claims court, won't cost you much, but frankly, I think you will lose.