Title Defect
The property I purchased was merged from two parcels. There is an public utility easement between the two parcels that got merged. This is a title defect which was not caught during the title search. I even opened a case with the title company, but of course, the title company has words in their contract that prevent me to get any reimbursement from them for that defect. Title insurance is a scam.
Abandonment of Easement Process
It turns out that there is a process to remove a preexisting easement on a property. It is called Abandonment of Easement, and it is quite complicated. First, you need to get your surveyor to prepare a map, and a legal description of the area where the easement needs to be abandoned. Then you contact all the utilities that could possibly have their installations in there, or plan an installation, and get them to agree to drop their right-of-way. Once that is complete, you get a current preliminary title report, pay $670 to the county, and the county may (or may not) agree to remove the easement from the official map.
Options
I could leave the easement alone. The architect came up with a satisfactory site plan that did not cross the easement. However, I would not be happy if I woke up one day to see Pacific Gas and Electric stringing some wires right next to my house.
The other option was to initiate the process, eat the costs, and get rid of the easement. This is what I did. This process will take some time, probably eight to sixteen weeks.