freehold covenants Flashcards
enforceability of covenants between original parties and successors in title-running of the benefit and burden
original contracting parties- privity of contract, even after sale of the land covenantor (buyer) remains liable
The benefit of the covenant will be enforceable by the seller’s (covenantee’s`) successor in title in law as log as;
1-the covenant touches and concerns the land
2- the covenant was intended to run with the legal estate held by the covenantee
3-at the time of the covenant was made, the covenantee held the legal estate in the land to be benefitted
4- the assignee of the original covenantee now holds the legal estate
the burden of a restrictive covenant will not be enforceable at law against a successor of burdened law. However, it may be enforceable in equity if
1-the covenant is negative in nature
2-covenantee owned benefitted land when covenant made
3-burden intended to run
4-general equitable rules apply
note
1-if the land is registered- the covenant must be seen on the register of title
2-if the title is unregistered- the covenant must be registered as a D(ii) land charge
the buyer of benefitted land can enforce a restrictive covenant in equity.
1- by annexation- the party seeking enforcement must demonstrate that the benefit of the covenant is intended to attach the land-(for the benefit of…)
2- by express assignment
3- under the rules relating to the building schemes- scheme of development has been set upwhen an estate is built
methods of enforcing positive covenants
1- granting a lease
2-setting up a commonhold scheme
3- chain of indemnity covenants
4-right of re entry coupled with a rentcharge