Title Deeds Restrictive Covenants

[Johnny Jekyll]

Just removing specifics for privacy reasons.

 

Does anyone know what they are? If these pose a problem at all? Is there something we need to do?

 

Thanks very much

Edited October 27, 2018 by Johnny Jekyll

[lizzie]

If its so old likely the beneficiaries of the covenant are long gone. Your lawyer should advise but it sounds like a case for an indemnity policy, not expensive

[Hecateh]

I had something similar.  

Had I been as knowledgeable as now I could have got an indemnity for about £100, as it was I got an indemnity after getting planning permission. 

 

The successors in title objected to planning, clearly unaware that there was a covenant in their favour.  Because they had objected, the cost of the indemnity went up to around £300 but it was still no real problem.  As far as I would see it would only have been an issue if they were aware or (worse) I had made them aware

[ProDave]

I read somewhere, perhaps on a thread here, or on another forum, that to be enforceable, a covenant has to be written to benefit "land"  If that is true, this covenants benefits "a company" and so may not be enforceable.

 

Can you buy an indemnity policy to cover this? That is what we did when selling a former house where (without realising it) I had breached a no building clause by building an extension.

[Johnny Jekyll]

Thanks for the information everyone. Any more opinions or advice would be most welcome please. I'll also start doing some Googling.

[Triassic]

Does the company still exist, if not, just buy the insurance and get on with the build.

[Johnny Jekyll]

Just removing specifics for privacy reasons.

Edited October 27, 2018 by Johnny Jekyll

[Mr Punter]

When / if you sell, you may need to pay the insurance premium for the buyer.

[KarlisR]

Hi Johnny,

Restrictive Covenants are equitable interests in land (would usually be created by deed). It is a promise by one landowner in favour of a neighbouring landowner(s) that he will not do certain things upon his own land. The restrictive covenant may be enforceable by one party's successors in title against the other's successors in title, as well as between the original contracting parties. When freehold land is purchased, it is necessary to ascertain whether there are any existing valid restrictive covenants that bind the land and also whether the land has the benefit of any covenants that bind other land. It all depends from the nature of covenant, but generally a restrictive covenant will restrict the use and enjoyment of the land. Also, it is important to distinguish between restrictive (negative) covenants and those that are positive. The burden would not generally bind successors where covenant is positive in nature, but it may do so if the covenant is negative. Restrictive covenants may limit possible use, prohibit particular trade, forbid undesirable activities etc. Ways of dealing with a restrictive covenant: there are several: express release; indemnity insurance; Upper Tribunal (Lands Chamber); Court declaration etc.

Please msg me if you would like to discuss further.