n
- A written and legally enforceable agreement or promise
that is often a part of a contract or deed, especially one to maintain the
status quo of something or to do or not do something during the term of the
covenant.
- An
implied promise that is incidental to a contract or deed.
- A warranty, especially one made in
connection with the sale or transfer of land.
- Same as contract under seal; see contract.
- An action under the common law to
recover damages for the breach of a contract under seal. See also assumpsit.
concurrent covenant
A covenant that requires one party to fulfill her promise to
do or not do something at the same time the other party to the covenant has to
fulfill his promise.
covenant against encumbrances
A covenant of title, whereby the grantor promises
that there are no undisclosed encumbrances (such as easements, liens, or
mortgages) on the property.
covenant appurtenant
See covenant running with the land.
covenant not to compete
A provision, often found in employment, partnership, and
sale-of-business contracts, in which one party agrees not to conduct any
business or professional activity similar to that of the other party. Such covenants
are enforceable for the duration of the business relationship between the
parties, but not afterward except for the period of time, scope, and
territorial limits that are deemed reasonable by a court in light of the
adequacy of consideration given in exchange for the covenant, the hardship that
the enforcement of the covenant or lack thereof would impose upon the parties,
and the need of the party seeking to enforce the covenant to protect trade
secrets and the like. Sometimes also called restrictive covenant.
covenant not to sue
In a settlement of a claim, dispute, or lawsuit, a promise
not to assert or pursue in court a right of action arising from the subject of
the claim, dispute, or lawsuit.
covenant of further assurance
A covenant of title whereby the grantor promises
to do whatever is reasonably necessary to give the grantee full title if the
title conveyed in the deed later proves to be imperfect.
covenant of (or for) quiet enjoyment
- .
- A covenant of title, whereby the
grantor promises that the grantee’s unimpaired use and enjoyment of the land
will not be disturbed by anyone with a lien or superior right to the
land.
-
A covenant of title, whereby the grantor promises to indemnify the
grantee against any defects in the title to the land conveyed or any
disturbances of the unimpaired use and enjoyment of the land. Often considered
synonymous with covenant
of warranty.
covenant of right to convey
See covenant of seisin.
covenant of seisin
A covenant of title, whereby the grantor promises that he or
she has at the time of the grant the full ownership, or the right to convey, an
estate of the quality and size that they are purporting to convey to the
grantee. Also called covenant of right to convey.
covenant of (or for) title
A type of covenant usually given by a grantor in a
warranty deed conveying real property to ensure that title is complete and
secure. Also called warranty of title. In the plural, also called usual
covenants.
covenant of warranty
A covenant of title, whereby the grantor promises to defend
the title against all reasonable claims of a superior right to the land by a
third party and to indemnify the grantee against any losses arising from the
claim. Often considered synonymous with covenant of quiet enjoyment.
covenant running with the land
A covenant that relates to a particular parcel of
land without which the land cannot be conveyed and that is binding for an
indefinite time on all successor grantees. Also called covenant appurtenant and
running covenant.
covenant under seal
See contract under seal.
racially restrictive covenant
A covenant that purports to limit all future
transfers of a piece of real property to successor grantees of, or to successor
grantees who are not of, a particular race, color, or ethnic group. Once very
common, these covenants are now unenforceable.
restrictive covenant
- A
covenant that restrict the use, occupancy, or disposition of real property
(such as specifying the size of lots that the property can be divided into or
the types of buildings that may be constructed on the land).
- See covenant
not to compete.
