Reservation of use and occupancy (abbreviated ROU or RUO) is an arrangement in

US law The law of the United States comprises many levels of Codification (law), codified and uncodified forms of law, of which the supreme law is the nation's Constitution of the United States, Constitution, which prescribes the foundation of the ...

that allows for residents to continue to use and/or occupy their

property Property is a system of rights that gives people legal control of valuable things, and also refers to the valuable things themselves. Depending on the nature of the property, an owner of property may have the right to consume, alter, share, re ...

for a certain period after selling that property to the

US government The Federal Government of the United States of America (U.S. federal government or U.S. government) is the national government of the United States. The U.S. federal government is composed of three distinct branches: legislative, execut ...

. It is typically provided in exchange for a reduction in the purchase price of the property, and is commonly used when expanding

national parks A national park is a nature park designated for conservation (ethic), conservation purposes because of unparalleled national natural, historic, or cultural significance. It is an area of natural, semi-natural, or developed land that is protecte ...

and wilderness areas that are close to residential areas. RUOs are also sometimes provided to businesses operating in areas acquired for wilderness protection. Provisions governing RUOs are found in several different portions of Title 16 of the

United States Code The United States Code (formally The Code of Laws of the United States of America) is the official Codification (law), codification of the general and permanent Law of the United States#Federal law, federal statutes of the United States. It ...

, depending on the specific park or other protected area involved. RUOs are often incorrectly referred to as "leasebacks", although residents make no payment to the government during their period of allowed occupancy. The

National Park Service The National Park Service (NPS) is an List of federal agencies in the United States, agency of the Federal government of the United States, United States federal government, within the US Department of the Interior. The service manages all List ...

, the most common custodian of RUO property, contends that it does not have the power to modify the length or other terms of an RUO, because it is a direct arrangement between the resident and the US government.

References

American legal terminology United States public land law {{US-law-stub