What is the “doctrine of gains”?

The “Doctrine of Gains” is a legal principle in North Carolina’s water law that outlines when a new use of water results in an increase of valuable interests. This doctrine states that any additional gains, or “incremental value,” from the use of a water resource must go to the person or entity that put the new use into place. For example, if a person wanted to use water to irrigate a field and generate crops, they would need to locate a water resource to use for irrigation. In this scenario, if the water is being taken from a pre-existing source, then the Doctrine of Gains will apply. The Doctrine of Gains would require that any additional gains, or “incremental value,” from the new use of the water be shared among the original water resource owners and the person or entity that put the new use into place. The Doctrine of Gains has been in effect in North Carolina since at least 1801 and has become a widely accepted principle of water law in the state. It is important to note that the Doctrine of Gains only applies to existing water resources and does not apply to new water resources that are created. Additionally, the Principle of Gains does not offer any guidance on how the additional gains should be divided between the parties involved. This is why it is important for the parties to negotiate a mutually beneficial agreement for the use of the water resource.

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What is the “doctrine of gains”?

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