Covenants

Question 1

Covenants (negative easements)

Answer 1

These are restrictions on the use of land or obligations regarding land held by one who does not own the land.

Question 2

Covenant Elements (3d. Rest)

Answer 2

1. Must be in writing to comply w. SOF
2. Intend to run w/ the land (appurtenant presumed)
3. Notice to servient estate owner (Actual, inquiry, or constructive notice)
4. Must be “reasonable” public policy wise

Question 3

Reasonableness Test Factors

Answer 3

1. Intention of the parties when the covenant was executed AND whether the parties had a viable purpose which did not at the time interfere w/ existing commercial laws.
2. Whether the covenant had an impact on the considerations exchanged when the covenant was originally executed (ho much $ changed hands–is the covenant affecting this?)
3. Does the covenant clearly and expressly set forth the restrictions?
4. Is the covenant in writing, recorded, and if so, did the subsequent grantee have actual notice of the covenant?
5. Is the covenant reasonable concerning areas, time, or duration?
6. Does the covenant impose an unreasonable restraint on trade or secures a monopoly?
7. Does the covenant interfere w/ public interest?
8. Did the circumstances change that made the covenant unreasonable?