§ 25-2-107. Goods to be severed from realty; recording. - North Carolina Statutes

§25‑2‑107.  Goods to be severed from realty; recording.

(1)        A contract for thesale of minerals or the like (including oil and gas) or a structure or itsmaterials to be removed from realty is a contract for the sale of goods withinthis article if they are to be severed by the seller but until severance apurported present sale thereof which is not effective as a transfer of aninterest in land is effective only as a contract to sell.

(2)        A contract for thesale apart from the land of growing crops or other things attached to realtyand capable of severance without material harm thereto but not described insubsection (1) or of timber to be cut is a contract for the sale of goodswithin this article whether the subject matter is to be severed by the buyer orby the seller even though it forms part of the realty at the time ofcontracting, and the parties can by identification effect a present sale beforeseverance.

(3)        The provisions ofthis section are subject to any third‑party rights provided by the law relatingto realty records, and the contract for sale may be executed and recorded as adocument transferring an interest in land and shall then constitute notice tothird parties of the buyer's rights under the contract for sale. (1965,c. 700, s. 1; 1975, c. 862, s. 4.)