Land 4 - Freehold Covenants Flashcards

1
Q

What is a mixed covenant? How can it be dealt with?

A

One that contains both positive and restrictive elements:

  • may be separated into different covenants if possible; (don’t do X, but do Y)
  • seen as one obligation with a condition attached (not to do X without consent) in which case whole is viewed as either positive or restrictive.
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2
Q

What process should one follow when determining whether benefit/burden of a freehold covenant has passed to a successor covenantor/covenantee?

A
  • restrictive covenant = equity.
  • positive covenant = common law

Apply relevant rules

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3
Q

What are equity rules for BURDEN of a restrictive covenant passing?

A
  • Must be restrictive covenant
  • Must benefit the dominant tenement:
  • Must benefit land, not owner;
  • land must be proximate
    —————————————————
  • Intention for burden to run (assumed)
    —————————————————
  • Notice of covenant:
    *registered = notice on Charges Register;
    *unregistered = D(ii) Land Charge
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4
Q

What are the equity rules for BENEFIT of a restrictive covenant passing?

A
  1. Covenant must ‘touch and concern’ the dominant land
  2. Benefit must pass by either:
    - Annexation (fixed to land express or statutory) assumed
    - Assignment (expressly gives benefit to next purchaser)
    - Building Scheme
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5
Q

What are the equitable remedies for breach of restrictive covenant?

A

Most common = injunction (prohibitory or mandatory)
Damages but not as of right
Equitable principles apply e.g. delay

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6
Q

How can burden of positive covenants pass at common law?

A
  • chain of indemnity

OR

  • benefit & burden:
  • same time
  • linked
  • theoretical agreement
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7
Q

What are 2 ways BENEFIT of a positive covenant can pass to the new dominant owner at common law?

A
  1. Express Assignment:
    - in writing;
    - express notice of assignment given to covenantor
  2. Implied Assignment:
    - intention for benefit to run (assumed s78);
    - original covenantee has legal estate in dominant land when covenant made;
    - successor has legal estate at time of enforcement
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8
Q

What are 4 methods of discharging/modifying covenants?

A
  • Merger (same person owns both plots)
  • Express Release/Modification (deed)
  • Implied Release/Modification (doing nothing in face of open breach)
  • S84 LPA 1925 (only for restrictive covenants)
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9
Q

What is a positive covenant?

A

Requires you to do something

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10
Q

What’s a negative covenant?

A

Requires you not to do something.

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11
Q

What are the two sets of rules that apply to covenants?

A
  • Equitable
  • Legal

Two should not be mixed

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12
Q

Can positive covenants be enforced against a successor under equity?

A

No

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13
Q

What’s required for building scheme?

A

Only applies to restrictive covenants:

  • all buyers from same seller
  • seller divided into plots
  • covenants intended to benefit all plots
  • each buyer knows intention to benefit all plots.
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14
Q

What is the exception to positive covenants pass at common law?

A

Exception to General Rule: mutual benefit and burden rule =
- clear link between benefit & burden
- genuine choice to take benefit or not
- benefit & burden conferred in same transaction

E.g. benefit from drains but help pay for upkeep

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15
Q

Does a chain of indemnity allow the person with the benefit of a positive covenant to sue the current occupant?

A

No - the chain means it’s the original contractor who is liable.

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16
Q

What is required for a s.84 discharge/modification?

A
  • only applies to restrictive covenants
  • apply to Lands chamber
    Grounds:
  • obsolete, or
  • hinders reasonable use, or
  • express or implied agreement, or
  • dominant will not suffer