Enforcing Covenants

Question 1

Pass burden of cov to successor in common law ❌

Answer 1

Pass burden of cov (compliance) in law:

Pos covs:
- Can’t pass at all

Res covs:
- Can’t pass in law
- In equity only

Exception:
- Doctrine of mutual burden & benefit
- If owner enjoys benefits on land
- Benefits come w burdens
- Can only enjoy if take burdens
- eg Benefit: Use communal areas
- Burden: Keep them clean

*** Burden of cov directly bw CT Ps = OK
- Privity of CT

Question 2

Pass benefit of cov to successor in common law (✅4 conditions)

Answer 2

Pass benefit of cov (enforce right) in law:
- 4 conditions:
1. Cov touch & concern land
2. Ori cov’tee had legal title
3. Successor got title from ori cov’tee
4. Cov intended to run w land (Exp/imply/S78)
* >1925 land covs always run w land

Question 3

Pass burden of covs to successors in equity

Answer 3

Pass burden of covs to successors - 4 conditions:
1. Res covs only
2. Cov’tee owned land that benefits frm cov (must kept some, not sold all)
3. Touch + concern land (affect use/value)
4. Intent to run w land:
* >s78LPA1925✅ /
* “I … cov on behalf of me + sucessors”

Question 4

Pass benefit of covs (enforce right) in equity

Answer 4

Pass benefit of cov:
- B4 burden pass in equity, benefit must pass
- 3 conditions:
1. Touch + concern land
2. Successor holds legal / eqtb intst
3. Benefit intend to run w land:
3a. expr/ imply / s78 annexation
3b. exp/imply assignm’t (TX+assign same time;❌ broken⛓️‍of indemnity/assign)
3c. Bldg scheme: Blocks of flats
* cov’tee retain no land
* Covs enforced bw flat owners
* Criteria: a) Land sold in plots; b) Ps subj to same covs

Question 5

Postv & Res Covs run w FH land?

Answer 5

For Freehold pty:
Com Law:
- Prvty of CT=burdens❌bind 3Ps (benefs✅)

Equity:
- Burdens can pass w notice✅
- Too broad if burdns+benefs can pass➡️Pos/Neg

Pos cov situ now:
- ❌run w land
- 2 Workarounds:
i. Chain of indemnity: B signs
* if BR: Ori owner sue B etc
ii. Can pass if mutual Burdens+Benfts
* B must hv choice to give up benfts, if no choice❌
* If cov reg’d: burden likely pass

• Neg cov situ now:
• Cov touch + concern land
• Reg’d (Notice on title reg / land charge)

Restrictive covenants:
- Run w land + bind future owners if touch + concern land

Negative covs:
- not to build structures / limit land use etc, pass to future owners if ori intent = bind them & the cov benefits neighbouring land.

• Pos covenants do NOT run w the land & do NOT auto bind new owners / new Ts w/o add’tl actions, eg chains of indemnity or deeds of covenant.
• Hand in pocket test (Requires action / £): eg repair fences / pay contrib’ns, remain personal to orig covenantor & ❌ bind successors unless exprly agreed
• To bind 3P w positive cov:
• L/H structures/ rent charges / title restrictions require new owner to covenant directly.

Tenants & Leases
- For T, both positive & restrictive covs in lease bind via privity of estate, running with L/H intst.
- FH pos covs still do not bind new LH w/o expr agmt

Question 6

Covenants bind 3P in LH pty Assignm’t?

Answer 6

Old lease: <1 Jan 96:

New lease: > 1 Jan 96
- Benfts+burdns of LL&T➡️New Asgne
-
❌

Question 7

Egs of 🙅🏻‍♀️breaches of covenants:
LL + T

Answer 7

LL’s cov:
1.❌ liab for things existed b4 the lease
*eg T rents farm🏠complain🐑🐮noise
* pre-exist b4 lease & expected frm farm

2. LL fail to repair
   *T’s 3 options if hv exp repair cov:
   A.Stop rent+notice+rsnb time2fix➡️T fix
   B. App to crt for dmgs
   C. Apply for Sp perf LL to fix

T’s cov:
- T1 cov to cut grass➡️ T2❌cut grass
- cut grass= personal benefit to LL
- ❌bind new T / owner
- Bind new T only if ‘touch&concern land’